Favre heading BACK AT PACK for the moment.....

Brett, Brett, Brett...where are you?????  I love what Timberlake said at the ESPYs.  "Brett, what you've been up to dude?"  We haven't heard from you.  This is not only the story of the moment, this could be the football story of the year.  It's well thought that Brett will be applying for reinstatement from the NFL. 

Gotta tell you...I love them both....Arron Rogers is the future of the pack, but Favre gives them the best chance to get to the Super Bowl NOW!!!! 

Roger Goodall will get him reinstated.  He's pressuring the Packers to find a place for Favre either with them or getting them to trade him to a team that will work out for both the Pack and Favre.  The inside teams now are rumored to be New York Jets and the Tampa Bay Buccaneers.

We'll see....in the mean time....as my 9 year old says....dad..."when Brett plays the Packers, I'm going to vote for Brett Favre, but hope that the Packers always win."  Spoken like a true politician....GO PACK GO!

Spoken from a true Packer fan living in Bear Country.

Foreclosures up 121%, but ECONOMIC REVISIONS suggest ecopnomic stabilization....Go Figure!!!!!!!

U.S. new home sales fell marginally in June but the pace was much higher than expected due to +50k of revisions over the past three months. Economists were surprised by the report and said it may be a tentative sign of stabilization.

Some Cheif Strategists suggest that it "paints a brighter picture (than previously portrayed).  We'll see.....I can't believe that this is more than just a blip.  We'll see....time will tell....the proof will be in following economic data results.

Sales fell 0.6% to an annual pace of 530k sales in June's U.S. Census Bureau report on Friday. April's new home sales were revised up to 542k from a previously reported 525k, while May's 2.5% decline to 512k was revised to a 1.7% decline to 533k.  Paul Ashworth, senior U.S. economist at Capital Economics, called the reduction of inventories to a 10-month supply "encouraging," but noted that level "remains well above normal and will continue to put downward pressure on prices for some time yet."

One encouraging sign was that the median sale price of new houses sold in June was $230,900, up from May's revised median of $227,700.  I don't know what to think....I just hear that the foreclosures are up 121%, but then we hear all of this other stuff.  So which data is it?  Foreclosures up or economic revisions are suggestion a stabilized economy.  Which one?

Foreclosures up 121%....can you say gross????? Vegas leads the pack

U.S. home foreclosures soared by 121% in second-quarter year-over-year results, according to a report issued by RealtyTrac.  Realty Trac (RT), said that there were 739,714 foreclosure filings in the second quarter of 2008, a 14% quarterly increase. According to RealtyTrac, 48 of 50 states and 95 of 100 of the largest metropolitan areas experienced year-over-year increases in foreclosure activity in the second quarter.

Bank repos were 30% of the total for the second quarter, up from 24% of the total in the first quarter.   Nevada was the highest highest monthly foreclosure rate. That There were 24,657 foreclosures filings in the second quarter.  Go figure....Vegas was the Hot Spot, but now you can't give away property there.  The playtime mecca is having a hard time staying open.....  They place to be is now the place you can't sell.  Since when did Vegas become an economic indicator.  Last week on the news it said that brothels are down over 30%.....Evidently the pinch is greater than that market likes to lead on.

Today's Abbreviated Market Recap!!!!

Good Evening Sports Fans!

Here's a recap of the heavys determining today's market.  I picked most of this off of Bloomberg, but a great day for interest rate improvements nonetheless.... 

•§ DJIA was down 283 points

•§ Oil was up $1 to $125.45

•§ With the exception of Radian and Thornburg, the rest of the watch list was in the red today

•§ Fannie Mae and Freddie Mac down almost 20% on the day

•§ The Fannie Mae 6.0 September coupon closed above par! (up 19.5/32 or 61 bps)

•§ Interest rates across the board rallied in price, pushing rates lower

 This market is crazy - to have swings up/down of 20% is ridiculous... hang on - it's quite the roller coaster ride!!

What the passing of this housing legislation means to the American People.

The House and Senate reached agreement on a massive housing bill that affects FHA, Fannie and Freddie, tax policy and many changes involving the housing market. The housing and mortgage crisis has caused Congress to combine these provisions into a bill exceeding 400 pages.

Here are the major components:

1. FHA Changes

Mortgage limits for high cost areas will be increased to $625,000 on a permanent basis (115% of the current conforming limit).  The FHA floor will go from 48% to 65% of the current conforming limit. This will put the new permanent floor at $271,000.

Cash downpayment is set at 3.5%.

The seller funded downpayment assistance program (DPA) will be terminated on September 30.

The risk based premium established by HUD last week will be suspended on September 30. The ceiling on upfront premiums will go to 3%.

2. Fannie and Freddie

The conforming loan limit will be increased to 115% of area median up to $625,000.

The bill provides for a federal "backstop" for Fannie and Freddie which allows the Treasury to capitalize the companies by taking an equity stake.

A new regulator with enhanced powers is created.

The bill creates an affordable housing trust fund paid for by assessments on Fannie and Freddie to help prevent foreclosures and facilitate affordable housing

3. FHA Rescue Fund

The bill creates a special FHA refinance program designed to allow the refinance into fixed rate FHA products of up to $300 billion in distressed mortgages.

4. Licensing

Encourages a nation wide licensing and registry system for loan originators by setting minimum qualifications and assigning responsibility to HUD for establishing new rules for those states that do not enact licensing laws.

5. Redevelopment of Foreclosed Properties

Provides $4 billion in funds for local governments to purchase and redevelop foreclosed properties.

6. Tax Incentives

Establishes a range of housing incentives, including a first time homebuyer tax credit and expands the Low Income Housing Tax Credit.

Stay tuned as there is more infvormation to come as this snakes its way to the white house.  We'll see what is ultimately passed.

The Active Rain Survival Kit!!!!!!!!!!

I've been here for 1.5 years.  I love it.  I thought I'd share my few pearls of wisdom that'll help you learn quicker than I learned.  This past weekend, I asked an fairly straightforward question that evolved into a sub bloggin post of it's own.  Members started to get cross against each other before finally getting everything past them and moving forward today.  So....in hindsight, I was thinking that there are some AR safety tips (Image from www.bellaonline.com/articles/art42143.asp)

First....communication should be two way.....  One way communication tends to get lost or taken the wrong way.  One of the nice tips that I first recieved was when PEOPLE POST ON YOUR BLOG IS TO ANSWER THEM.  So stupid that cyperspace has it's own set of unwritten rules and etiquette, but it does.  This has made a huge difference in the way that I interact with others.

Second, DON'T HAWK!  Selling your wares is OK, but some people are so obvious that they use AR only as a self-promotion tool.  I'm sure that they are not receiving what they're truly looking for from AR.  That's recognition and sales.  As you're recognized in the AR community the deals will come.  BALANCE YOURSELF...intertwine your personality between your business blogs.  Show business sales blogs, but don't make that the end all.  Have fun, write about things that you're passionate about.  Comment on hobbies, whatever, but DON'T JUST HAWK YOUR WARES.  You want a true following.

Thirdly, subscribe to other people's blogs.  There's really a 2 fold reason for this.  First, you should subscribe to people who you like.  You like their blogs, their wit, their intellect, their humor.  You build relationships that way.  The rapport you build is awesome.  You'll kick some people to the side, but others....you'll build awesome and deep relationships with.  Additionally, you'll find that as you subscribe to others, the "right" people will begin to subscribe to your blogs and you'll get even more exposure.

Fourthly, be on ACTIVE RAIN.  That doesn't mean once every three weeks or twice a year.  You don't need to obsess about AR, but do make sure that you're INJECTING YOURSELF INTO THE COMMUNITY.  It's SO NECESSARY!!!!!  Out of sight, out of mind is such an apprapro position here.  YOU DON'T HAVE TO BLOG EVERY 2 MINUTES OR EVERY 2 DAYS, but you need to be present if you want to be known.

Next, BE GRACIOUS.....e-mail doesn't have the tonal inflections that a conversation has.  Some of the worst fights have been through misinterpreting e-mail.  When in doubt give the writer the benefit of the doubt!  No fires to put out if they never get started, you know?I've seen more anger and snapshot responses from people who just assume what was written was actually saying something else.  Be quick to forgive....this is an awesome community.  Although tifs rarely play out for the experienced blogger, it's important that we're always moving forward.  By harping on what someone has done to you (I had to deal with this myself last week), you don't....YOU JUST DON'T have the ability to move forward.

Finally....DRINK THE KOOL - AID....have fun....reach out and connect with others.  I have exchanged information with so many AR members that I can truly say that I have some great relationships as a result.  I have reaped financial benefits to the tune of more than 10 closings in the past 16 months.  Have fun...welcome...embrace and enjoy.

Wachovia is shutting down there wholesale!!!!! What's next for W?

Wachovia says that July 25th....THEY'RE DONE.  They're not done with retail, but they say that they are done with the wholesale.  I know that their RETAIL reps have been out looking at other opportunities for a while.  I wasn't aware that the WHOLESALE REPS are now out at as well.  In fairness, I'm not sure that their wholesale conduit could support paying their reps as there just isn't that much business being brokered out.  It will be most interesting to see if the retail loans fall to the wayside or if W actually invests in their realtors.  Having said that....only time will tell.....W is a strong bank, but let's see what happens with the mortgage side.....Wachovia is the 4th largest bank nationally.

Chicago Anti-Predatory Lending Database Program!!!!!!

The Anti-Predatory Lending Database Program.....It's been out for 3 weeks and the verdict is.....

What's the latest?  It's out there....It's been around since July 1, 2008, but it's really quiet.  What is the Anti-Predatory Lending Database Program?  This Illinois requires all mortgages in Cook County to have a Certificate of Compliance or Certificate of Exemption, generated by the Database, affixed to it in order to be recorded. The Cook County Recorder will not close a mortgage without this certificate. If it's determined that the clients need to complete a counseling course a fee of $300 needs to be paid. 

This program is pretty clear....this applies for all mortgages whether commercial or residential that are to be recorded in Cook County.  Originators need to fill out the on-line information, but only after they're registered with the state to originate in Cook County.  The on-line engine will spit back findings of either a certificate of compliance or a certificate of exemption.  If there's no exemption then the counseling is requisite.

There are criteria the are determinations for counseling...counseling is NEEDED IF ONE OF THE FOLLOWING ARE TRUE:

1. The loan allows Interest Only payments;
2. loan allows negative amortization (neg am);
3. total points and fees are in excess of 5% of the loan amount (wow);
4. loan includes a prepayment penalty; or
5. the loan is an adjustable rate loan with an initial period of LESS THAN 3 years!!!!!

So far all of the loans that we've done in cook county haven't required the aforementioned.  We're taking our first this week.....first tim homebuyer.  We'll see where this goes, but so far, this isn't the end of the world.

Campton's Leaders Back Down....

Campton Hills has decided to allow the petition for the dissolution of Campton HIlls to be certified.  Mind you, these leaders have spent a lot of time and money creating a community that most people now don't want.  They incorporated, and have spent a lot of money in legal fees fighting subdivisions that have the right to opt out.  What's so amazing is that I believe the majority of Campton's residents don't want anything to do with this village, but we're being taxed to pay attorneys to keep us hostage in Campton.  So stupid isn't it? 

I have spoken to people who have had horrible run in's with Patsy Smith.  Mr. Paul Fritz is a landowner and business owner who has been out here for over 20 or 30 years, and Patsy has had interchanges with him that have left him questioning whether we actually have leaders in Campton.  I have spoken to people who live in Arbor Creek that say that she tried to dress them down for not participating in Patsy's census and for opposing the existence of the Campton taxing machine. 

Aren't community leaders suppose to lead?  You don't become a leader by dressing down the taxpayers that are paying your job.  You don't tell the tax payers who have been involved with the community more than the time that Patsy has even lived out here.  Don't you actually lead through service?  Through serving others.

Brett Favre needs to move on.  I'm a huge packer fan.  I love Brett.  The difference is that Brett has a claim b/c he actually served the packers for 16+ years.  Servant leadership always rises to the top.  If Campton's "leaders" want to lead, then they need to serve.....not serve on the board, but rather they need to serve their citizens.  Patsy and company seem to have a need for power more than a desire to serve. 

Stay tuned....more to come.

THE LEMONADE STAND - - - BE A REAL ESTATE MILLIONAIRE!!!!!

 This past week it got to over 90 degrees in our "locale."  Not brutal, but enough that my 5 kids, all 9 and under were feeling the heat.  We live out in a country part of a subdivision.  It's nothing fancy at all, but at the end of a "dead end" cul de sac there really isn't much traffic for these kids to generate a lot of business, BUT DESPITE THE CIRCUMSTANCES, all they could think of was the fact that they were going to do their first Lemonade stand ever (this picture taken from www.thecancerblog.com/media/2006/03/alex-lemonade-stand-cancer.jpg.  Needless to say.....

1)  The kids were excited...something so many of us have lost. 

2)  The kids didn't know what they were doing.  How many of us were the same when we got in the business.  There are still people long into the business, but who still don't know what they're doing.  They're part timers or just slow learners, but they still press forth.

3)  They don't know that they're not supposed to make sales at the end of a dead end street.  I really think that some of us are better off not knowing that we're not supposed to succeed.  These kids in 2 hours sold about 30 glasses of lemonade.  They had to refill the pitcher 3 times.  On 25 cent glasses they made over 11 dollars.  Nice tips as well.

4)  They are serving a need.  Hot day...cool refreshment.  They have inventory and there are buyers.  There are plenty of homes as inventory and plenty of buyers.  Too cool if you ask me.

I really think that our preconceptions are that we are not supposed to succeed because of our markets.  I know in Illinois more than 60% of originators have gotten out of the business.  That's not gloom and doom...that's awesome.  A lot of inventory...a lot of buyers...a lot of opportunity.

Really if you think about it...why would we listen to anyone with gloom and doom in this business other than for strategy.  If their life sucks, it'll always suck.  I don't need that crap in my life.  I'm here to serve and sell.  If I've made a decision to have a career in real estate...I know the gig.  I can only sieze opportunity.  That's what these kids did.  That's what we need to do.