Martin's Mortgage Minute...

5 Things Every Realtor in Santa Clarita needs to know for this weekend

Martin Rodriguez - President (SCV Loan Solutions) — Sun, 15 Nov 2009 20:51:19 -0600

5 Things Every Realtor needs to know for this Weekend

By now you already know that the FTHB Tax credit has been extended and expanded, but do you know the details so that you can properly explain it to your clients.

Here are some bullet points:

You need to be in contract by 4/30/2010 and close the transaction by 6/30/2010.
The income limits for the tax credit have been raised to $125,000 for a single filer and $225,000 for a joint filer.
The best part of this extension is the expansion to all home buyers that have owned a home for 5 consecutive years out of the last 8.
If your buyer is a repeat home owner the credit is $3250 for a single filer and $6500 for a joint filer.

•· It's that time again -- Ready or not, the Holiday's are in full swing and this means your open house needs to compete with the mad shoppers at the mall. Talk to your local stores and restaurants and ask them for coupons that you can pass out at your open house. You help them - they help you. Advertise that you'll be passing out coupons to visitors. Find creative ways to keep the foot traffic flowing through your open house.

•· The Valencia mall expansion is finally about to open.. On Thursday Nov 19, the Patios restaurants complex at the mall is planning to finally open its doors. Just in time for the holiday rush. (imagine that) Time to go check out some new restaurants. Why not treat your clients --especially if they're moving into SCV from out of the area.

•· Interest rates really surprised me this week with 2 late bond market rallies on Thursday and Friday causing rates to move back down. I don't expect them to stay this low for very long and there's a good chance that rates will bounce back up on Monday, so if you have a buyer ready to go. Call me immediately! We can lock and load and get them a phenomenal rate this weekend.

•· Loan Limits for 2010 have been published and Fannie and Freddie have decided to keep everything the same for next year. This means conforming loan limits will stay at $417,000 across the nation and high cost areas such as Los Angeles County will be eligible for higher balance limits up to $729,750. That's a big plus for everyone... If you want a better understanding on the significance of this call me. Your buyers and sellers need to understand this..

Ok that's my update for this weekend. Remember I'm always available to help you and your clients, so please don't hesitate to call me.

Make sure your florist gets your flower deliveries right.

Martin Rodriguez - President (SCV Loan Solutions) — Mon, 09 Nov 2009 17:26:31 -0600

A client bought a new home and the broker sent flowers for the occasion.

The flowers arrived at the home and the owner read the card; it said "Rest in Peace".

The owner was angry and called the florist to complain.

After he had told the florist of the obvious mistake and how angry he was, the florist said, "Sir, I'm really sorry for the mistake, but rather than getting angry you should imagine this: somewhere there is a funeral taking place today, and they have flowers with a note saying, "Congratulations on your new home".

--------------

When you close a deal, what do you send your clients?

Martin Rodriguez

First time Home Buyers: Use your $8000 Tax Credit Now

Martin Rodriguez - President (SCV Loan Solutions) — Sat, 30 May 2009 18:36:28 -0500

Over the last several weeks HUD, along with FHA, have been back and forth as to the legality of whether or not they would allow the use of the $8000 First time home buyers Tax Credit to be used as part of the down payment and closing costs of a qualified purchase.

Well now we have an answer. Yes! You can cash in your $8000 instant rebate at the register!

There are some rules that need to be followed, so if you want this credit instantly applied to your purchase transaction, you need to make sure that your lender follows the specific steps that are outlined in HUD letter to Mortgagee's dated May 29. I have posted a copy of this letter here for you to review.

The letter outlines 2 ways that you can apply the credit. You can either get secondary financing from an FHA eligible agency such as a non-profit organization or State Govt Agency or you can sell your tax credit and get a cash advance from an approved FHA non-profit organization or Govt Agency.

So while HUD has made provisions to instantly cash in on this money, you still have to take several steps to qualify with an approved agency that can provide you with the $8000 before your close of escrow date.

I realize that many borrowers want to cash in on this immediately, but it raises some interesting questions. Look at it this way, If a seller knows that the buyer is going to instantly cash in on $8000 will this affect the barganing table? Think about it? Will a seller really be willing to pay more in buyers closing costs if they know that the buyer is receivng $8000 to assist in the transaction?

While I think that HUD's announcement is a good thing for some borrowers, it is certainly not something for everyone and needs to be carefully evaluated by your Realtor and Mortgage lender. If you want to know how to tilt the tables for your advantage, call me at SCV Loan Solutions, we'll be happy to help you assess your situation.

A Wicked Wednesday for Mortgage Rates

Martin Rodriguez - President (SCV Loan Solutions) — Thu, 28 May 2009 00:25:56 -0500

Today is Wednesday May 27, 2009 and it marks the single biggest drop in the price of mortgage backed securities in over 10 years. Today we lost 206 basis points in the price of mortgage backed securities, however the bleeding actually began last Thursday when the markets began to slide, and since then we've lost over 360 basis points.

Ok, Ok let me not get too technical..

I realize you don't watch the bond market everyday like I do, so you may be wondering what is a basis point and what does it mean to me? Basically it refers to the price of mortgage backed securities as they are sold to investors on the free market. If the bond price drops, interest rates go up. Typically we'll see movement in the price of bonds within a 50 basis points window, so a 300 point slide in a few days is huge and it correlates to about a 1% interest rate increase. The movement in today's market was so rapid that lenders couldn't keep their rate sheets current. One of my lenders issued 9 different rate sheets today, while others just closed their lock desk.

So what caused this madness?
Didn't the Fed just announce in March that they were buying mortgage backed securities so as to keep rates low and help the housing markets?
So why this sudden about face with interest rates and more importantly what will rates do as we go into the summer months?

Todays bond market collapse began last Thursday when Bill Gross of PIMCO (one of the biggest buyers of mortgage securities) questioned the AAA credit rating of the US. The Fed then announced that it would slow its program for purchasing mortgage backed securities so they can extend the money (1.25 Trillion) allotted well into 2010. These items along with the better than expected Consumer Confidence report that came out yesterday and a slightly better Existing Home Sales Report today, and the notion that inflation could be a problem if the economy turns north, sent investors to an extreme selling panic today.

Again let me simplify. If the US bond rating gets down-graded it means that the cost of raising funds for the US will go up. With a 1 Trillion dollar budget deficit and the inability to raise funds it calls our solvency into question. And when they keep printing money (as the Fed has been doing) they're staging a foundation for high inflation. No matter how you look at it this, it's bad news for mortgages and the only solution (according to the Fed) is to keep doing more of the same. So what do you say Ben? Do you want to double down?

I don't know where rates will be later this summer. I do believe that we'll see a retreat from today's bond market lows, but I also know that we will not see rates below 5% again. (at least not in the short run)

So if you were planning to refinance at the proverbial 4.5% that was announced earlier this year, I'm afraid you may have just missed the boat. You may have one more chance at getting a rate in the low 5's but its only a matter of time before rates move back up into a more normal range of 6-6.5%. Buying down your rate with points might be a good option to lock a lower rate, but that advice needs to be handled on a case by case basis.

If you're buying real estate or if you're planning to refinance you need to take action while you still can.

President, SCV Loan Solutions

YEO - Maintaining Contact With Thousands. Why Do You Care?

Martin Rodriguez - President (SCV Loan Solutions) — Sat, 09 May 2009 02:20:45 -0500

I've had several discussions with Jeff Turner about managing one's online presence and creating meaningful relationships. It's easy to get caught up with the numbers game and satisfy the ego by having thousands of followers, but what does it all mean?

Lets face it if you have a thousand followers that dont give a rip what you have to say, then why bother. The key to effective blogging or twittering is to have a community or network of followers who actually do care what you have to say and that have influence on your posts.

Facebook is a good example of how people can have meaningless online relationships, yet its cool to call everyone a "friend" although you may not even know the person. Yet, you're friends on facebook.

Managing a large network of true followers can be difficult, but Jeff's post on managing YEO and what it takes to manage meangingful online relationships is spot on..

Thanks for another great post, JT

Martin

Via Jeff Turner (Real Estate Shows):

The following conversation on Twitter inspired this post today.

HomesByThomas  yesterday

@respres Jeff, with over 6000 followers, how hard is it to maintain any sort of contact with people? Did you notice that I sent you a Thank You?

respres  yesterday

@HomesByThomas yes, I did, but hadn't responded yet. And a lot easier than you might think. You may have given me my YEO post for the week.

HomesByThomas  21 hours ago

@respres Jeff, I'm glad to hear your response. I thinks it's awesome that you can respond like this and I'm excited I could inspire a Blog!

respres  12 hours ago

@HomesByThomas well, let's hope I find the time to write it tomorrow.

If you're being followed by a lot of people, how hard is it to maintain any sort of contact with those people?

Not very hard at all. Why? The answer lies in how we define "contact" and "engagement." And that is different for the 6,000+ followers I have, people who have chosen to "listen" in on my stream, than it is for the nearly 4000 people I follow, people I have chosen to "listen" to.

In this context, "contact" can have a good number of definitions. Each time I post a status update, I have the potential of making contact with some percentage of those 6,000 people. There are many variables that influence what that number will be at any given time. It depends on who is online at the time and their level of interest in me and the content being delivered. It also has to do with the number of people they're following (their own stream noise level) and the pace at which others are posting status messages at that same time.

If I'm consistently delivering value to, the contact happens as part of my daily activities. There is no extra effort required. I call this "ambient presence." My followers are aware of me and what I say and can choose to engage in a conversation or take action on a request, but I don't have to reach out specifically to anyone specific each time I want to make contact.

The more critical question would be this: "How do you maintain any sort of contact with the 4000 people you are FOLLOWING."

Why is it more critical? Because what I have said by "following" those people is this, "I am listening to you." I'm saying that I want to have a conversation with them, that I want to engage with them. I'm saying they are of interest to me. I don't follow everyone back for one reason and one reason only. I want the people I follow to know that I have a desire to engage with them at a higher level.

Thomas sent me a welcome message shortly after I followed him and about 12 hours before the question that prompted this post. I knew this because I got a txt message update using a tool that we built at Zeek for Ben Martin called Twext.me. Twext.me sends a summary of the "mentions" I receive on Twitter and alerts me to the possibility that I might want to go pay attention. Ben expressed his need for a tool like that, so we built it. And it's free. I needed that tool too, because it IS hard to pay attention to 4000 people. It's not as hard as one might think, but it's still hard.

There is a need for better tools to manage our online relationships.

If we are attempting to engage with thousands, this may seem fairly obvious. But even if we're trying to engage hundreds, we will not be as effective if we don't use tools like Tweetdeck and Tweetgrid to our advantage. That's a fact. But even if we do, we are missing systems that would allow us to understand who we have and have not talked with in any given period of time. Current systems don't allow us to see who has and has not acted on requests we've made. They don't give us the tools to help us assess our reach with the messages we're promoting. And while the social side of me says, "who cares. Just engage and let it take it's course." The business analytics side of me says, "it would sure be nice to know."

So, Thomas, if someone mentions me on Twitter, I know about it. I have all the tools necessary to make sure that I can respond and engage appropriately. What's missing are the tools to help me beter categorize the people I'm following and help me me identify who I've not spent enough time conversations with. Sites like twitTangle attempt to make it easier for me to conentrate on certain people, but they don't go nearly far enough.

But this has me wanting to ask a different question.

If you are a local real estate agent, why would you need to follow thousands? Having thousands follow YOU may happen whether you like it or not. If you're interesting, it will probably happen. But why would you need to follow thousands?

I saw this tweet a few weeks ago from @anitamatys. She said, "I am new to twitter and my son told me I needed to get 2000 followers." To which i replied, "Why did your son pick the number 2000? Are there 2000 people on Twitter in Klamath Falls?" I never received a response. She now has her 2000 plus followers, but she has only posted 11 updates. I glanced through a few pages of her followers and who she was following. There was no rhyme or reason to the people she had chosen to listen to. Not that it matters. She isn't really talking to anyone. i don't get it.

Again, do YOU (not the universal YOU, but you specifically) even need to maintain contact with thousands of people in order to be successful in the social media space? What are your goals with Twitter? Facebook? Does the number of people you're listening to support those goals or interefere with them?

The Lie Detector

Martin Rodriguez - President (SCV Loan Solutions) — Sun, 29 Mar 2009 04:32:08 -0500

Lies Lies Lies... We see them everywhere.. Everything from asking Johnny if he had a cookie before dinner; only to see him wipe crumbs from his face and say "no mom", to the Bernie Madoff's of the world that schemed millions with a carefully crafted series of deceit and forgery.

We all condenm lies, and generally speaking no one wants to be a liar. Yet we all occasionally fall into the trap ourselves and justify this ocassional mistep by saying it's ok as long as it's a white lie. Meaning a white lie is acceptable provided that no one is hurt by it or if the lie was unintentional.

Let me clarify. A lie is a lie!

It's a misrepresentation of the truth and intent doesn't matter, it either IS or it ISNT.

For century's we've been seeking ways to determine if a person is lying or not. People have been persecuted and convicted for lying, and in many cases also persecuted when they were innocenct and it was believed that they lied.

To this day however, there is still no full proof way to determine if a person is lying or not, sure law enforcement has lie detector polygraph tests and psychologists have done extensive testing on human behaviors that are exhiibted when one lies, but the truth can only be confirmed by facts. If you have the facts, you can usually prove it one way or the other, but in the absence of facts there is no way to confirm what is true.

So how do lies factor into business?

How does a consumer know if they are being lied to by an individual or a corporation?

The mortgage industry for years was issuing stated income loans that where referred to as a "liars loan". This was an accepted practice that was embraced by many, so long as no one was being hurt by it (and everyone got what they wanted). Well fast forward to 2009 and we see that the bubble didn't just burst, it exploded! And it took the real estate industry and the American economy with it. Now we are in the midst of a recession trying to assess blame and figure out what went wrong.

Im not going to get into all the dynamics of how we got into this mess, thats a whole topic of discussion on its own, but its clear there were a series of lies and a lot of people got hurt by it.

So what can you do to protect yourself?

One answer is to create checks and balances where you can. Work with proven individuals that have a track record and compare them to others. Educate yourself on important matters and investigate anything that doesnt seem right to you.

Recently, I was at a restaurant with a friend and he asked me a casual question. When I gave him my answer, he said "you're lying! I saw you look down and to the right." I was surprised by his remark because I didn't think I had lied about anything, but his police training taught him to watch for certain mannerisms that could indicate a lie. Well I don't know how credible this technique really is, but my point is that if you have a hunch that something isn't right. Look into it. Don't assume and don't accept things for face value. And if you find yourself taking part in a lie, even a white lie, correct it immediately. Sometimes lies may appear to have no repercussions, but lies left uncorrected can often re-surface years later to cause irrepairable damage.

Honesty really is the only policy, not just the best policy.

Real Estate Investing: Its about the People

Martin Rodriguez - President (SCV Loan Solutions) — Sun, 07 Dec 2008 03:41:44 -0600

Real estate isn't so much about property as it is about people.

As an investor you need to know and understand the sellers circumstances. You need to be respectful of the fine line where one mans financial misfortunes become another mans exploitation for his own fortune.

I oftern hear Realtors talk about what a great time it is to invest because there are so many foreclosures and great deals to be had right now. True, but lets put this into perspective. Foreclosures are bad! Its a terrible thing for society, terrible for our economy, and it causes a deep psychological impact and stress on the family being foreclosed upon.

As an investor/buyer you might consider buying a foreclosure becuase it really is a good deal. However, your responsibilites should go well beyond the finances. You have a resonsibility to ensure that your actions are not predatory in nature and that once you complete the purchase transaction, you will use your investment as a place to provide housing at fair prices. Your tenants should have a safe home, that is well kept and maintained by you. Your investment doesn't have to be the nicest house on the block, but it should be something that is appropriate for the community and something that you are proud of.

Understanding people is at the cornerstone of SCV Loan Solutions. We work with buyers and sellers everyday to ensure that our investment solutions are optimal for all parties and done so with respect. We want you to make it BIG as an investor, but do this with respect and integrity first.

As President of SCV Loan Solutions, I'm always networking with buyers and sellers and I look for ways to put parties together that can complement one another, so as to create win/win solutions. You can take advantage of this and make it work for you by letting me know what types of investments you are interested in.

Contact me to discuss your goals, your vision, and how we can partner to make your next transaction something that gives back to the community.

Self Directed IRA's --An alternative to traditional retirement planning

Martin Rodriguez - President (SCV Loan Solutions) — Mon, 03 Nov 2008 00:18:05 -0600

Most people's retirement plans today are typically invested in some form of securities or commodities plan that is managed by a third party plan administrator. The administrator decides how the retirement fund is invested, controls the make up and structure of the fund, and is responsible for the day to day decisions on how that retirement fund is managed. In other words, if you have a 401(K) your employer withholds money from your paycheck, and a third party decides how to invest it for your future retirement. While this might be an acceptable form of retirement planning for some, many people are realizing that declining stock values and increased inflation are leaving their retirement plans vulnerable and insufficiently diversified to counter economic fluctuations.

A Self Directed IRA allows you to take control of your IRA and manage it yourself, provided you follow the IRS rules for IRA's. Using a self directed IRA you can direct your IRA to buy real estate (or other investments) and the rental income along with the appreciation of the real estate will become part or your retirement plan. Income generated from the property will grow in your retirement account and receive the same tax treatment as your traditional IRA, consequently it is also subject to the same penalties for early withdrawal.

A Self Directed IRA is not for everyone and like any investment or tax decision, you should consult your CPA or Financial Adviser. However, do not be surprised if your CPA or Financial Planner is not familiar with the details and regulations of a Self Directed IRA. Self Directed IRA's have been in existence since the IRS first established the retirement planning code in the 1950's however many CPA's, financial planners and broker dealers, lack experience with this type of investment because the IRA assets must be held by a government appointed custodian and there is no compensation structured for them to benefit from setting up a self directed IRA. While this may be the case, it should not hinder you from pursuing this form of retirement planning. Remember, the business model for self directed IRA's does not lend itself for your CPA or Financial planner to profit from these types of transactions, therefore you may be required to pay a fee for their advisory services, however the up-side of a Self Directed IRA will give you greater control, diversity and growth from your IRA assets. Deciding whether this is the right choice for you or not, should be determined after reviewing the overall assets and strategies of your existing plan with a qualified advisor and comparing that to the investment benefits of the real estate you plan to buy through your retirement fund.

Your goal in establishing a self directed IRA should be to strike a balance with all of the investments held within your retirement plan and to spread your risk through diversification. Adding real estate to an existing portfolio of mutual funds, bonds and other securities can offset risks associated to volatility in the bond and stock markets.

As a real estate investment consultant I work together with CPA's, Attorney's and Financial Planners that can help you explore if a self directed IRA is the right thing for you. In my next publication, I will discuss the do's and don'ts of a self directed IRA and I will share examples of how a self directed IRA can help you grow your retirement.

US Treasury takes over Fannie and Freddie: What does this mean?

Martin Rodriguez - President (SCV Loan Solutions) — Wed, 10 Sep 2008 02:48:58 -0500

This weekend we witnessed the biggest Govt expansion into the private sector ever. I'm a free enterprise guy and personally, I don't like Govt involvement in the private sector. Fannie and Freddie where designed as a publicly chartered agencies designed to operate in the private sector, and when things are going well you can make this work, but during down times you cant. They have an internal conflict of interest because they're trying to serve the general public and also be profitable for investors and shareholders. It's like having a non-profit company with shareholders. You can't have it both ways. Earlier this year the US Treasury bailed out Bear Stearns and now Fannie/Freddie. Who's next GM or Ford? My favorite French word is Laissez-faire, and we need to re-introduce this term to Washington.

Having said that, I think the govt had to do this and they had no other choice but risk the entire US economy. The catalyst for this surprise move was PIMCO's announcement that they won't buy anymore mortgage backed securities, (PIMCO is the largest buyer of mortgage securities from Fannie) followed by foreign investors also saying that they are pulling back. Those statements left unattended would have ignited a wild fire in our economy that would have gone out of control. Fannie and Freddie hold too much of our economy within 1 company. A failure of either will crush the markets. You may as well put a big for sale sign on the White house lawn.

Can you say S&L Crisis? This is almost a complete repeat. Our Govt was criticized at the time for getting involved, but in hind sight it proved to be the right thing to do and the cost of the S&L bail out was recuperated through the R.T.C. in the years that followed. By comparison, the Japanese didn't do anything to fix their banking industry and they continued into a 10 year recession.

The Govt actions this weekend established a preferred bond of $200 billion to keep the 2 firms from becoming insolvent and thus renewing investor confidence. The liquidity and investor confidence will keep money flowing and it will bring down interest rates (in the short term). It won't fix the mortgage crisis, but it will make it cheaper to borrow money. The cost to tax payers is yet to be determined, but taking a preferred bond position helps to ensure that the US will get its money paid back over time.

The long term picture is very uncertain and the new administration will have to tackle this issue next year. Secretary Paulson is pushing for down sizing of Fannie and Freddie to be no more than $250B in guaranteed mortgage securities.

Time will tell.

What's you're take on this?

Should Mortgage Brokers Consider Realtors Their CUSTOMERS?

Martin Rodriguez - President (SCV Loan Solutions) — Wed, 10 Sep 2008 00:28:17 -0500

Via Janet Guilbault, California Mortgage Expert:

Sometimes you get that jaw dropper comment on one of your posts. You know, the comment that is raw. The one that speaks volumes about our entire industry.

It is something laced with real emotion that spews out like hot lava from a smoldering volcano (that you assumed was dormant).

It is the kind of comment that I live for, because the truth is most often hidden in business communications. Usually we try to stay out of controversial territory.

But not always. The comment:

And do you not consider Realtors your customers, as well? It sure doesn't seem like mortgage brokers look at Realtors in this light.

I wonder if we in the mortgage industry have "trained" Realtors to think of us as their "customers"? After all, didn't we entice Realtors to do business with us by bringing donuts to sales meetings? By laying rate sheets on their desk? By showing up in their office with a bright shiny badge with the hope that we can "sell" them on the idea of doing business with you?

Don't Realtors hide when they see a mortgage broker coming? Sure sounds lika a classic salesman/customer realtionship to me.

My jaw dropped because I realized that if a Realtor believed that they are a customer of the mortgage broker, then this speaks volumes about the difficulty in establishing a rapport that will carry a real estate transaction smoothly to its close.

Why? Because that means we are starting on a different page. Coming from a different place. Confused about our roles, if not our goals.

You see, I don't think most mortgage brokers would consider themselves a "customer" of a Realtor. This leaves the implied implication that mortgage professionals must "win" the satisfaction of the Realtor (winning the customer over), that the Realtor is never wrong (like a customer is "always right"), and that the mortgage brokers main goal in the transaction is to satisfy the Realtor (like having a "satisfied customer").

Wow. This is miles away from the way I think. I think of the Realtor as my teammate and our job is to win the most important game in the world.

It does not matter to me if a Realtor refers me a client, or if the client arrives in my office, contract in hand, saying "Call this Realtor. They are handling my sale." In all cases, I want to join forces with the Realtor to close the loan on time, and end up with a client who would be thrilled to do another transaction with Realtor involved, or with me.

Make no mistake. My first priority is NOT to impress a Realtor. It is to impress our mutual client. I figure if I do that, everything else will fall in place. If the client raves about how well things went, and the Realtor is impressed enough to refer me future business, then that is a bonus.

It is not the point.

Certain behaviors that I have witnessed by Realtors now make much more sense. I realize WHY it is possible to have an ecstatic client, who refers you business multiple times, but his Realtor remains, well.... a "customer" who did not get satisfaction.

Could it be that the ROLE of being a mortgage broker (the Realtor's customer) is not the same as GOAL of being a mortgage broker (a happy client)?

How ironic is this?

And should it be surprising that Realtors think this way when only a very short while ago, mortgage brokers were merely a commodity in the marketplace where oversupply was the rule?

You remember economics 101? When supply is high, the price goes down.

It might pay to remember that the supply has vastly shrunk, and the quality, by sheer necessity, has vastly improved.

Written by Janet Guilbault, Mortgage Lending Expert Based Out of the San Francisco Bay Area.

Now is the time to Lock Your Home Equity line.

Martin Rodriguez - President (SCV Loan Solutions) — Thu, 01 May 2008 02:32:07 -0500

Many homeowners are unaware that some home equity lines have a feature that allows you to convert an equity line into a fixed rate equity loan. The process does not require a refinance and is usually accomplished by placing a phone call to the lender and paying a small processing fee. If your home equity line has this feature you should consider locking it now, while rates are at their lowest.

Here's why I'm recommending an equity lock right now.

Today, 4/30/2008 the FED lowered the FED funds rate by another .25% which means prime rate is at the lowest point it has been in several years. Additionally, the FED explained that further reductions in FED funds rate are unlikely as we risk further devaluation of the US dollar and higher inflation. Basically what this means is that Prime rate is at the bottom right now and not likely to go any lower. -- It's Time to lock

If you are unsure whether or not your home equity line can be converted into an equity loan, you can call SCV Loan Solutions for a free consultation and review of your equity line documents.

Martin Rodriguez
President
SCV Loan Solutions
661-254-6839

Your Equity Line May Be Frozen (and you may not know it.)

Martin Rodriguez - President (SCV Loan Solutions) — Mon, 14 Apr 2008 00:17:53 -0500

Banks are sending notices to homeowners advising them that their home equity lines have been frozen or reduced to a lesser amount.

If you have an unused equity line, it may be at risk.

Recently, I have received several phone calls from clients who have already received such notices. As a mortgage consultant, I felt very strongly that I share this important information with my clients immediately.

Banks are taking huge write downs and losses as a result of poor lending practices and high foreclosure rates throughout America. As their stock values continue to plummet, banks are being forced to change their credit policy and lending guidelines faster than they can communicate. While it's easy to understand their defensive repositioning, many homeowners are being caught off guard when their bank refuses to honor an equity check or a request for funds to be drawn.

If you believe that you may need to access available funds on your equity line then I would strongly urge you to look at your loan agreement to see if it contains any language that would permit the bank to freeze or reduce your line of credit.

If so, you may want to consider whether or not it makes sense to draw down any of the remaining funds on your equity line. While I would not normally make such a recommendation, this may be the only option available for some people that have a need for liquidity. However this action would have to be carefully evaluated against the cost of the payments and the overall impact on your equity position in your home versus declining property values.

Please consult your CPA, Financial planner or my office at SCV Loan Solutions if you need guidance with this decision.

Email vs Snail Mail.. Stop the Junk mail and be Professional

Martin Rodriguez - President (SCV Loan Solutions) — Thu, 27 Sep 2007 09:26:13 -0500

I often stop and think. Wow -- how did my parents ever get anything done in the business world 20, 30, 50 years ago?

There was no email, no computers, no internet and the scariest of all no Google. Yikes! (The thought of working without these tools sends chills down my spine.)

Yeah, things moved slower, but nonetheless business was getting done with great success.

Fast forward to the modern era of instant gratification where you can do just about anything (well almost) with the stroke of keyboard and the click of a mouse and suddenly you have a whole new set of problems that keep slowing you down.

Information overload! Spam mail, direct marketing, and many other forms of "in your face click on me now" types of marketing campaigns can potentially rob you of crucial productivity and time. Knowing how to keep these things in their appropriate place and time will help you keep your focus and help you effectively manage your time.

Email by far is the most used part of the internet and coincidentally the most misused, too.

Your school teachers and parents taught you how to effectively write a letter, and for some you learned how to compose a professional business letter to higher level of learning. Whatever the case, the basics are always the same. A salutation, state the purpose of the letter, make a request and set expectations for a response, close the letter.

Personally I believe that email should be treated professionally, but that doesn't mean you have to follow the formalities of a conventional business letter. Email should be straight to the point and brief, yet the brevity should not compromise the intended message. In other words, say what you need to say and be done with it.

So here are some tips:

Brevity is at the heart n soul of your email.

Short emails rule! -- If I get an email thats several pages long, I have to stop and think do I really want to read this now? Can I pass it on to someone else?

Use the subject line. Nothing is more frustrating than trying to find and old email that has no subject line that you can search or sort for.

Get rid of FW: FW: FW or RE: RE: RE: RE: Nothing says junk mail more than an email thats been recycled by everyone in your address book. Clean up the subject line to a single FW or RE as necessary..

Be respectful of the recipients time. Your email is competing for read time with many other emails in your recipients inbox.

Supporting material is important in email, but keep it separate. Know how to attach items and keep them separate from the email body. Let the reader decide if they want to click n open to read your attachment. (By now you better know how to attach files.)

Introduce yourself properly -- If you don't personally know the addressee of your email, you better tell how and why you are contacting them in the first sentence or you're likely to end up in the spam or delete file.

Communicate expectations -- If an email reply is expected. Then say so. If the email is informational only and no reply is needed then state that too. Use the subject line to say "FYI only - No reply needed."

Format your email for easy reading -- Format the email to make key points jump off the page. Your email should be in HTML format which will allow you to do some formatting of fonts and paragraphs. use spaces, italics and different colors to make key parts of the email jump out.

For example an invitation to a business conference might have the place, and time in red and separate from the body of the email.

Protect other people's email privacy: Don't send an email blast to people that don't know each other. You're just begging for spam to be sent to all. Use the BCC line when sending email to multiple parties that don't know each other. This keeps everyone's address private.

Stop the stupid jokes junk mail: Sure everyone likes a good laugh and I admit some emails are pretty funny, but don't send joke mail or junk unless you know the recipient really well and/or you have their permission to send joke mail. We don't need 10 copies of the latest email cartoon clogging your inbox. (this also goes for the overly emotional email campaigns to save some child in need. You can verify most junk mail on www.snopes.com check it out before participating in spam)

Pick up the Phone. Lastly and most importantly, don't use email for things that need personal attention or immediate action. Don't assume that because you sent it, the other person read it. Email is a valuable communication tool, but it's not a replacement for good ol fashion verbal dialogue.

Learn to use email correctly. Understand its limitations and you'll be very efficient in your business. Otherwise you will compromise your productivity in which case your better off going back to snail mail.

Martin Rodriguez
President, SCV Loan Solutions, Inc.

College of the Canyons -- Opens new campus

Martin Rodriguez - President (SCV Loan Solutions) — Thu, 30 Aug 2007 02:52:42 -0500

Today I had the honor of attending the ribbon cutting - opening ceremonies of Santa Clarita Valley's newest college campus.

The College of the Canyons -- Canyon Country campus.

The project first started in 1991 when the Chancellors office commisioned a long range study to determine the educational needs of the community and recommended that a 2nd campus would be required to accomodate the rapid growth of College of the Canyons main campus in Valencia. Just as projected, the enrollment has steadily increased over the years from 6,500 students in 1990 to over 19,000 students today. The College of the Canyons main campus has been named the fastest growing college nationwide for 3 years in a row and future growth is expected to continue at a rate of 9-10% through 2012. It was clear that the commisions report was accurate and the school would have to expand to accomodate the needs of the Eastern most parts of Santa Clarita Valley.

After passing two State bond measures totaling $242 million dollars to acquire the 70 acres of land, complete the construction of 6 buildings totalling 240,000 square feet, and funding the initial daily school operations, the community welcomed the new campus today with open arms and the college will rapidly become a signigicant part of the local economy.

In a heartfelt speech at todays ceremonies, Superintendent-President Dr. Diane Van Hook told the stories of how her and her team managed to navigate all of the legalislative, legal and construction requirements of building a new college from ground breaking to opening day in only 13 months. Dr Van Hook walked us through the painstaking process of many obstacles and challenges that had to be overcome so as to keep the project on track while addressing the many unexpected surprises that often come with a large construction process. She concluded the ceremonies by thanking the many key people and representives of the construction companies and organizations that worked together on this project to see it through to success.

So what can we expect from this new college campus?

In this first year the school will accomodate 3000 students and will increase enrollment to a projected 10,000 students by the year 2015 or sooner. A multitude of classes will be offered at the college to include Health Occupations, Techonology, Arts and humanities, Engineering, Math, Science, Social Science, Library media tech, and many other scholastic programs will be added as enrollment increases each year.

Intercollegiate sports will be held at the main valencia campus however the campus has a state of the art athletic facilities to accomodate weight lifting and gymanasium sports.

The new campus is located at 17200 Sierra Highway in Canyon Country, CA. For more information on the college class schedule and program enrollment visit the schools website at http://www.canyons.edu/offices/CCEC/FAQs.htm

Personally, as mortgage broker and real estate professional living near the school, I am thrilled to see that our community is pulling together to continue building our infrastructure, our schools, and we are laying the foundation for success for many years to come.

Martin Rodriguez
SCV Loan Solutions

100% Financing in 2007 and beyond

Martin Rodriguez - President (SCV Loan Solutions) — Mon, 27 Aug 2007 02:45:13 -0500

One of the most commonly asked questions that I get from realtors and clients now days, is who can qualify for 100% fianancing and how to qualify for it.

If there's any loan out there more likely to burst the infamous housing bubble it would have to be the misuse of 100%-interest-only-adjustable-rate financing. So let me address this question head on as the mortgage industry is changing dramatically.

In spite of all that is going on the mortgage industry these days, this doesn't mean there's not an appropriate place for 100% financing. It does mean however, that before you consider 100% financing you must first understand the proper application of this type of loan. You have to carefully evaluate the subject property and then you must ask yourself several questions about your personal finances and your ability to repay the loan through thick and thin.

100% Financing is speculative.

You are speculating that the real estate you are buying will be worth more tommorow than it is worth today. So how do we know the answer to this question for any given property? Well, we don't. So right off the bat, you should expect a higher interest rate for 100% financing becuase of this added risk. What we do know is that given enough time real estate will eventually appreciate, therefore if you hold a property long enough odds are it will be worth more in the future.

Since banks are assuming the full collateral value of the property during the first few years of ownership, they are requiring a much greater scrutiny of the buyers credit history, the appraised value of the property, and they are taking a much closer look at the buyers liquid assets and income. (Something they should have been doing all along). The days of stated income 100% financing are long gone. If you want 100% financing you can still get it, but you need to back it up with solid evidence of your ability to payback the loan.

Here's a questionaire that will help you determine if 100% financing is right for you.

Do you plan to hold the property for longer than 5 years?
Is the property in a well maintained neighborhood that can be expected to appreciate?
Are you happy with the floor plan?
Will it suit your needs for many years to come?
Is the home structurally sound and not likely to require any major improvements in the next 5 years?
Is your current employment stable? Is there any possiblity that a life event could cause you to move against your wishes?
Do you have at least 8-12 months worth of house payment saved in liquid assets?
Is your credit score above 700?
Is your overall debt ratio less than 50% ? (meaning that less than half of your gross income is going towards your debts including the new house payment)
Is your income documented and verifiable through pay stubs or tax returns?

If you answered "Yes" to all of the above questions then there's a good chance tht 100% financing may still be an acceptable form of financing for you. If you answered "No" to one or more of the questions then you should probably consider other forms of financing or put your plans on hold for a while.

This questionaire provides you with a rough guide to help determine your likelihood of qualifiying for this type of loan given the current lending environment. However, it is essential that you meet with a well trusted mortgage professional that can evaluate all the variables to determine whether or not you should even consider this type of loan. If the answer is that 100% financing is not the right choice for you, let that be OK. Focus instead on developing financial plans that can steer you into a home with the "right" loan, even if it means waiting a year or longer.

Fannie Mae and Freddie Mac have many loan programs that can assist borrowers in getting into their first home without taking on unnecessary risks and with loans that make sense. Many cities have government programs that can help you qualify and otherwise offer you other types of government subsidized loans.

Martin Rodriguez is the Senior Loan Officer - President of SCV Loan Solutions. A mortgage planning firm that works in affiliation with the financial planning offices of Total Financial Solutions.

Flow Chart: Real Estate Purchase Transaction

Martin Rodriguez - President (SCV Loan Solutions) — Mon, 27 Aug 2007 02:29:25 -0500

For those of you that prefer visual concepts, I have prepared a simple flow chart that illustrates the key steps involved in the purchase of real estate.

This illustration is designed to provide buyers with a road map to ownership from begining to end, it is not a detailed list of everything that occurs in a transaction.

I realize there may be some variance from state to state as some states are non-escrow states, but the overall process is generally the same.

If you have any recommedations or see anything that I may have missed please let me know.

Lastly, If you'd like a PDF copy of this, please feel free to email me.

Click here to view Flow Chart.

Roger Waters of Pink Floyd, Rocks in LA tonight

Martin Rodriguez - President (SCV Loan Solutions) — Thu, 14 Jun 2007 05:59:37 -0500

Roger Waters, the creative musical genius of Pink Floyd from 1965 to 1985, performed tonight at the world famous Hollywood Bowl in front of a sold out crowd of nearly 18,000 fans. The performance was an embodiment of his best work as a member of Pink Floyd along with his solo creations since departing the band in 85.

The US tour began last month in Florida as a celebration of Pink Floyd's Dark Side of the Moon. An album that continues to be on the top 10 list of most selling albums of all time - worldwide. The tour will continue to work its way around the country for the next two months, and If you have ever enjoyed any of Pink Floyds music, you gotta find a way to see this show. It really is awesome!

Everyone in attendance tonight would agree that tonight's performance was an amazing presentation of musical talent and creative expressions choreographed to stimulate all of your senses in true Pink Floyd fashion. The sound was crystal clear, sharp, and loud enough to feel the rocking shock-waves of each beat go through your chest. The visual displays of fire, laser shows, flying pigs, and pyrotechnics kept you craving more as the lights dimmed between songs. At the back of the stage, there was a full width-stage wide, high definition screen that displayed psychedelic images and video footage that accompanied each song. The picture quality was so amazing that at first we thought it was some sort of video hologram image. From our seats we couldn't tell, at first, if the image was projected or real. I've never seen anything quite like this before.

The Hollywood Bowl is by design perhaps one of LA's most acoustically piqued venues, but when you add the rich sounds of Pink Floyd's rhythmic guitars, keyboards, saxophone, and ear piercing background vocalists, you realize how this venue and perfomer compliment one another to give the audience the richest musical experience possible.

The music sets opened with his solo work from his "In the Flesh" album and then proceded to interlace songs from "Dark side of the Moon" and "The Wall". Shine on you Crazy Diamond, Money, Time, Learning to Fly, Brain Damage, Eclipse and more, kept the crowd rocking in awe as the backdrop screen displayed images specifically designed to accompany the melody being played. His ballads Wish you were Here, and South Hampton Dock grabbed you from the inside out and made you sing along with 18,000 fans. Water's then broke out his new music, a song called "Leaving Beirut" which is a song about the hospitality of an Arab family that he met as young man in has travels throughout the Middle East. The song is emotionally and politically charged with socialist views and anti-war images were displayed on the screen with pictures of President Bush alongside Osama Bin Laden and Saddam Hussein. Personally, I struggle with these types of political statements, but they seem to go hand in hand in with most professional musicians these days and their political views are clearly expressed with passion through the songs. While I don't agree with the political view, I appreciate the passion from which the song is written and I understand the message communicated.

The pictures that I took with my cell phone camera are grainy and somewhat of an insult to the multi-million dollar visual displays that were used in the show. Yes. the flying pig was a giant inflattable pig with political graffiti written all over the pig. The pig made its appearance during the song, "Sheep" from the animals album as yes I learned tonight that Pigs do fly.

The Concert started in the twilight hour of 8pm and went on until 11pm Look at how bright the back drop is while its still light out.

Pyrotechnics make the stage explode with the drum beat.

Roger in his full pasion of a song.

The Dark Side of the Moon Prism hung on a crane above the entire stadium. A laser light show projected images down on the crowd.

The Prism turns towards me.

I think this was during Eclipse. Images of Deep space and exploration beyond the dark side of the moon.

Cant remember what song this was, but look how vivid this image is.

Money... The original album was spinning on the screen.

"Grab that cash with both hands and make a stash.."

Note the inflattable floating astronaut that was flying around the stage.. Awesome ...

Ahh yes the flying pig is coming after me.

The pig might debut in this years Macy's thanksgiving parade. Ha ha..

This song describes how I felt about you... "How I wish you were here..."

And remember.. Teacher leave those kids alone.......

Schools Out for Summer: What did your kid learn?

Martin Rodriguez - President (SCV Loan Solutions) — Tue, 12 Jun 2007 13:13:55 -0500

Yes, this is the shameless plug of an extremely proud dad, but shouldn't we all be proud of our kid's accomplishments.

From Kindergarten to Graduate school, the months of May and June are cornerstone months symbolic of academic achievements and scholastic growth. Graduations are celebrated, report cards are issued and a chapter in a students life is closed, but as parents what does this mean beyond the class room?

How is our kid developing behaviorally? Sociologically and Philosophically?

It used to be that our elementary schools only focused on the core studies of Math, Science, Reading and a few other foundational subjects, but today's student are much more sophisticated and our school system and parents need to look deeper than core subjects to understand how our kids are maturing. I'm a firm believer that the responsibility of developing good moral character and values rests with the parents, but teachers have a great influence and the biggest gains are made when parents and teachers have good open dialogue that works together to steer a child's development.

When you get the right combination of support from parents and teachers behind a kids natural interest's, the possibilities and results are amazing! Such was the case with my 5th grade daughter this year.

My daughter's teacher, Mrs. Smith, (really that's her name - go figure) from James Foster School in Santa Clarita was a most impressive and influential educator for my daughter. Most of us can identify with a teacher or two in our life that we remember forever. Often we can pinpoint something they said or did that molds us forever. I'm pretty sure that I can speak for my daughter and say that Mrs. Smith will be one of the memorable ones.

This year Mrs. Smith gave her class a simple creative writing assignment that started as an art coloring project. She told the class to draw a picture of a jar and then fill the jar with an item of their choosing. The object can be a single item or many of the same item, but the jar must be filled with that item.

Shortly after the class was done with the coloring project, the real assignment began. Mrs. Smith asked a philosopher's favorite question. WHY?

"Write a story telling why you selected that item and what about it makes it special."

The results of giving 5th graders the freedom to write whatever is on their mind eventually became the most telling report card my daughter's ever brought home. My wife and I have always known her letter grade scores, but this assignment helped us confirm where we were with the development of our daughters personal values.

As I looked at all of the other kids jar projects during open house night, I realized what amazing kids we really have these days. The stories they wrote were very telling of what was on their mind. Dr. Phil would've had a field day interpreting these stories. Sure there's always the class clown, but even that kid wrote thought provoking stories worthy of his parents pride.

So as I said at the beginning of this post, it's with the sheer pride of a Dad that I present my daughter's assignment. Keep in mind this project was done in about an hour and was written off the top of her head.

Here's what she wrote:

                                "I Filled my jar with keys because I want to lock the door to bad choices, open the door
                                  to happiness, and unlock and reveal the path to integrity.   With my keys, I would give
                                  each person two keys and take them to lock the door to bad choices. When they realize
                                  there is no path to take, they would unlock a door to happiness and goodness. However
                                  there is a third key, but only one of this key is contained in the jar. This third key
                                  reveals the path to integrity. The path will only open to a person who chooses not to
                                  unlock the door to bad choices when they can. These keys are the better choice, but
                                  you're in control. The choice is yours to make."

So ask yourself, what did your kid learn this school year? Look deeper than their grades. Help them develop their inner self, their self esteem, their values, their ambitions. Let them dream and help them dream bigger. The results are awesome and as parents we owe it to our kids to give them our full support.

Please share your kid's stories and accomplishments. I'd love to hear them. (It helps me sleep better knowing my future is in good hands)

PS. For Privacy and protection I have omitted my daughters name from this post. If you know her and leave a comment, please refrain from using her name.

Santa Clarita: Celebrates Life without Cancer - SCV Relay For Life

Martin Rodriguez - President (SCV Loan Solutions) — Tue, 05 Jun 2007 19:45:07 -0500

Several weeks ago Dr. Kelly Herta of Aligned Health Chiropractic approached our local BNI chapter (Team Gold) and recommended that we participate as a group in our city's Relay for Life. With Dr. Kelly at the forefront our group began to learn about the Amercian Cancer Society's grass roots effort, which is an event that started in the mid 80's when Dr. Gordy Klatt of Seattle, WA decided to run for 24 hours in an effort to raise funds for his local chapter of the American Cancer Society. In just a few short weeks our BNI Chapter began to raise funds, coordinate schedules for the 24 hour event, and helped to raise awareness about this great opportunity to contribute to the ongoing efforts to find a cure for cancer.

The event was an amazing experience that brought the community of Santa Clarita together to celebrate life in honor of, or in memory of, anyone that has been affected by cancer. With over 10.5 Million cancer survivors and 1.3 million new cases each year, just about everyone has a friend or family member that has had to fight the cancer battle.

The mission and cause for the event is clearly defined, but the core of it is rooted in giving inspiration, love and support to cancer patients and survivors everywhere. The SCV relay for life has become, and continues to be, a catalyst for breathing new life and hope into those people that are currently sufferning with this ongoing killer.

The event opened early Saturday morning with the survivors walk. A parade around the park with cancer survivors providing living testament that we can beat this disease, and that together we will find ways to rid the world of cancer. The survivors shared their story on the center stage and each talked about their own personal experiences of physical and emotional pain. While their stories varied a common bond was prevalent as they all share an amazing zest and spirit for life and in living it to the fullest.

I had the pleasure of meeting some amazing cancer survivors who gave me personal insight as to how this disease affected them and their families, and how it has become their own personal quest and mission in life to stop this disease in its tracks. Their convictions are strong, and they stand ready like soldiers, to help other cancer patients win their own battle. People like, Colleen Shaffer who will continue her own battle with breast cancer everyday for the rest of her life, yet has found ways to take control of her life and turn this disease into a positive energy that can help others. Shortly after her chemo-therapy and radiation treatment Colleen walked 60 miles in 3 days and went on to found an organization called Circle of Hope. The organization's purpose is to serve those who may be under-insured or lack financial resources to get the medical treatment they need and to educate about the fears and misconceptions of cancer. It's the only non-profit organization of its type that serves the North LA county area.

I also met Analisa Marquez O'Rullian whose book "The 11th Hour Miracles" tells her story of beating the odds with Leukemia and describes what it was like for her to undergo a bone marrow transplant. Her story goes well beyond that of medical treatment and the disease itself. It's a story of how her miracle was a spirtual event rooted in family love, her faith in God, and how she worked with committed doctors who were also as driven as she to find a cure.

The entire event was full of people like Colleen and Analisa that continue to sound the drum against cancer until it is gone. The collective energy of this grass roots event has a clear message. "Failure is not an option, we need to stop cancer." Everyone that I spoke to had the same fire in their eyes that tells you how serious they are about this cause.

The festivities of the day continued in a fun and playful way until the main event started at about 9pm. The luminaria walk. This was a solemn and respectul tribute and rememberance to all those who lost the lives to cancer and a chance for all in the community to come together in support of one another. The pathways were lined with candlelit bags that had been decorated by families. People shared stories, they cried, they comforted one another and most importantly they memorialized their lost family and friends.

The Relay for Life is a yearly event in Santa Clarita and it will continue to grow stronger each year as new survivors, families and businesses join together to find a cure so that someday cancer will be viewed as a thing from the past much like the Polio disease.

I urge you that regardless of where you live, find your American Cancer Society and get involved. Check to see if your local city is hosting a Relay for Life and if it is, make it a point to attend and participate. The battle against cancer is not just a medical issue. It is about awareness, support, spirituality and understanding.

In closing, I want to thank all of the people that made SCV Relay for Life event possible and worked so hard to help others. Teresa Kerr the co-chair of this event is always looking for new volunteers to help make this event even bigger and better. If you would like to participate in this event or would like to host a similar event within your own commuity, please click here to contact Teresa Kerr.

Martin Rodriguez
Sage Commercial Capital

Do you want to be President of the United States?

Martin Rodriguez - President (SCV Loan Solutions) — Sun, 27 May 2007 18:59:44 -0500

Last week my daughter's 5th grade class went on a field trip to the Ronald Reagan Library in Simi Valley, CA. I was fortunate enough to tag along as a chaperone and learn more about one of the greatest President's our country has ever elected.

Regardless of political affiliation visiting this library is a definite must for anyone in the Los Angeles area. The collection of history, artifacts, and memorabilia demonstrates the genuine nature of a young Ronald Reagan, and walks you through the various years of his life on his journey to becoming the unwavering leader that stands up to communism, shuts down the cold war and reduces our federal debt.

Instead of writing this post about the exhibits and galleries found at the library, I want to explore a question that I posed to the 5th graders while at the museum. As we looked at a photograph of Ronald Reagan with his 5th grade class, I asked,

"Do you think that he was thinking of becoming President of the United States back then?" How many of you would like to grow up to be President of the United States?

Surprisingly they all said "No" to this question.

None of them claimed to ever dream of becoming President some day. At first I thought their replies were out of shyness, but after speaking more with them. I realized the responses where driven by other factors. Basically the job of leading our country doesn't appeal to them. Has the Presidency lost its luster? Have political arguments become so aggressive and tainted that we frown at the thought of working as part of our political system?

As Americans we take pride in our freedom and in our democratic policy, yet we aren't encouraging our children to embrace this process. Instead, we criticize, polarize and state opinions in a such a win/lose way that we forget, that the other side is still on our team. Whether you're a Democrat, or Republican the opinions contained within each political arena is all part of a process and that shouldn't be viewed as a bad thing. It's part of what makes us strong!

Later that evening I was telling this story to my friend Jeff Turner who said to me, that from his viewpoint it appears that we just don't speak of the Presidency the same way we did 30 years ago. When we were kids the Presidency was the ultimate job. Every kid dreamed of this role in some way or another. We grew up seeing our parents looking up at our President as a powerful leader, and even though times were different we still had political opposition, bitter debates and strong opinions. Yet, the role of President was a respected one. Somehow we've lost some of that magic today.

Unfortunately, it appears that we're so opinionated that our focus has become shutting down the opposition or if that doesn't work, we withdraw and humbly shy away from political discussions because we don't want to offend others. This is what our kids see.

Be proud to express yourself and acknowledge the difference of opinions that you will have with others. Ultimately someone has to be the leader, why not teach your kid to step up to the challenge.

The headstone above Ronald Reagan's grave site reads,

"I Know in my heart that man is good
that what is right will always eventually triumph
and there is purpose and worth to each and every life."

Let's teach our kids to focus on that which is right, and be bold enough to proudly step up in leadership roles to express their views.

I want to thank the staff at James Foster Elementary school for taking the 5th grade class to learn about Ronald Reagan and all of our U.S. Presidents. I think everyone learned something new on this field trip.

I know I did.

Management: Leaders Pull -- They Don't Push.

Martin Rodriguez - President (SCV Loan Solutions) — Sat, 12 May 2007 01:58:01 -0500

Whether your business is a one man operation or a corporation that is several hundred employees strong. Getting the right support from those around you is critical to your success. Your staff employees, co-workers, vendors and colleagues each play a critical role, in your success, failure, or the perception that your clients/customers will have of you and your business.

It's no secret that good help is hard to find and when you find it, it's hard to keep. Unless you can succesfully create an environment that makes employees want to work for you, serve you, see you succeed and be a part of that success. In other words, your employees have to believe in you and believe in the work that you do. Good managers understand this concept and know how to lead employees through day to day activities that continually drives towards the goal. However doing this well, goes much further than leadership by example.

How to motivate employees. -- Do --

Know your values and have a clear picture of your vision. Communicate this to employees frequently.
Know your communication style and learn how it may come across to others. Know how/when to adapt.
Communicate your expectations in detail. Then clarify that it is understood.
Communicate the consequences of failure so that employees can correlate it to the value of their work. (I'm not referring to disciplinary action - I mean the direct impact to other co-workers and clients if a job is not well done.)
Challenge employees with difficult tasks that are just within their abilities.
Give employees the opportunity to set completion deadlines (when possible) for tasks, but hold them accountable to their self imposed deadlines.
Celebrate success. Recognize employees that go the extra mile, but keep it in moderation. Success is an expectation, not a surprising result.

How not to motivate employees. -- Dont --

Tell people what to do without making sure they understand the big picture.
Delegate via email without at least having a conversation about what is expected.
Assume employees know what you mean.
Assign tasks beyond an employees capabilities.
Fail to hold employees accountable for substandard performance.
Be disrespectful to employees under any circumstances. Never direct foul language at a person.
Celebrate your own personal success in front of employees, unless it relates to them. Keep your success private or in the appropriate circles.

The key to effective management, is to talk to employees as peers and not to talk down to them just becuase you hold a greater ranking title. Employees know who the boss is and they know that you've got the power. Don't hide behind your title and management power to tell employees what to do. Learn to create opportunities that motivates employees to do what you need, without you having to tell them to do it.

If you do this well, you'll have happy employees that want to see you succeed because they know that as you succeed, so do they. The reward is in the acheivement not the paycheck.

As a mortgage broker my immediate staff is small, but my list of support personnel consists of a long list of vendors, colleagues and other professionals that I need to manage. They're not on my payroll, but my business depends on them. If I want to be succesful, I better know how to manage those that support me.

Paris911: To Protect and To Serve

Martin Rodriguez - President (SCV Loan Solutions) — Sun, 29 Apr 2007 00:32:58 -0500

On the door of every LAPD police car are the words "To Protect and To Serve", but in the case of former LAPD officer turned Realtor, Connor MacIvor, these words represent a duty beyond that of a law enforcement officer. For him, these are words that describe his work ethic, dedication, and commitment to his real estate clients.

Last week I had the opportunity to meet with Realtor Connor MacIvor of Re/Max in Santa Clarita. This was my first time meeting a fellow Active Rain blogger, and it was a great experience. Within a few minutes Connor and I connected like old friends, we swapped stories from our previous careers, we discussed many of the articles and products that we've read about on AR, and we talked about our respective business models. If you didn't know any better, it would appear as though we'd known each other for years.

What struck me the most during my time with Connor, is how he and his wife Paris built their real estate business upon law enforcement principles of honesty, integrity, and service. Within 2 minutes of walking into Connor's office he had begun to size me up. He asked me questions about my business practices, my background and my experience. He left no doubt that he has a serious commitment to his work, and that he expects anyone he works together with, to also hold the same high standards. Connor explained to me that Police officers in general don't trust anyone. It's not because they want to be skeptical or distrusting of others, but they hold safety and security in highest regard. Police officers are trained to create barriers of defense, and no one gets into their inner circle without passing a personal scrutiny test or somehow demonstrating their trustworthiness.

With these principles at the core of their business, Connor and his wife Paris have tackled the Santa Clarita real estate market with SWAT like precision. Their marketing is elegantly coordinated and specifically targeted to get their brand name out into the communities that they serve. These marketing plans along with their personalized service, creates a client loyalty that rewards them with ongoing client based referrals.

Meeting Connor MacIvor was a pleasure for me and I am grateful for the time we spent together. He's a man of solid character and very genuine, and while he may not be wearing a policeman's uniform when you meet him, you'll know that he continues "To Protect and To Serve". That's a pretty comforting notion for clients that are spending $500-$700k for the average Santa Clarita home.

Connor thanks for the time.

Martin

Emergency Broadcast System: This is a Text !

Martin Rodriguez - President (SCV Loan Solutions) — Sun, 22 Apr 2007 21:36:43 -0500

The tragic events of Virginia Tech University last week were a horrible tragedy. Our Country continues to mourn the loss of all the students and professors whose lives where robbed short of their full potential.

This post is in no way an attempt to second guess the efforts of any police officer or rescue personnel.

However, the campus police department has come under scrutiny (by some) for their actions and an investigation is under way. Regardless of the outcome of this investigation, there is only one question that matters.

Could this have been prevented? or some how contained?

Again, I'm in no position to attempt to answer that question, but it does raise the question as to how we respond to emergencies and tragedies. Hurricane Katrina, 9-11, Virginia Tech, in all of these cases response times and communication played a key role in the outcome of the tragedy.

The key to successfully handling any disaster, whether man made or natural is to have an early warning system and good preparedness. The U.S.A currently uses the Emergency Alert System, which replaced the Emergency Broadcast System in 1994.

Emergency Broadcast System -a design from the cold war.

The E.A.S. system is nothing more than an enhancement to the E.B.S. system that was developed during the cold war to warn of nuclear attacks. This system allows the President to instantly take over the radio/TV and satellite airwaves to communicate emergency information. (Interestingly enough this system was not used on 9.11.2001).

Many states also have their own emergency broadcast systems, employing items like, air raid sirens that sound in advance of tornadoes, or radio and TV scrolling messages during periods of floods are powerful storms. While these systems have served their purpose, I think its time we catch up with technology and find better ways to disseminate emergency information.

Cell Phones and Text Messages to the rescue.

Just about everyone these days has a cell phone capable of receiving text messages. (even if you aren't paying for a text service, the phone is usually capable of this.) Cell phones with text capabilities are by design poised for immediate dissemination of information. Think about this. How often do you leave your house without your cell phone? Who do you know that doesn't have a cell phone? Sure, there are some people that don't have one, but there's also people that don't have radio and TV's. The mobility and flexibility of a cell phone can allow emergency personnel to send a message directly to you and give you life saving information. Odds are that your phone is with you all day long, unlike a radio or TV that might be turned off.

I don't know enough about cellular technology to comment on how well our current system can handle the load of a National crisis, but the technology is certainly available and we need to put this into use right away. Verizon, Sprint, Cingular, T-mobile and all cell phone carriers are regulated by the FCC, whom controls who and how information is transmitted. Each of these providers are constantly offering a whole host of text services from sports, news, mortgage rates, stock tickers and more. Emergency services needs to be at the top of their list.

I recently heard a radio commercial on how to sign up for wireless amber alert text messages on my cell phone and while I thought this was a great idea and signed up for it. I also thought to myself, why do I need to sign up for this? Just send the message to everyone -- there is a child is in need. Why are we waiting for people to sign up?

It's my understanding that a system such as I describe in this post was being tested at Virginia Tech and there are private companies such as ravewireless that are pursuing a system such as this. Unfortunately the system at Virginia Tech was not activated and was still in test mode. We'll never know how that could have made a difference, but we do know that we can't continue to rely on an emergency broadcast system that was designed in the 60's. We live in a volatile world and information during and emergency is critical. Its time we use our technology to the fullest -- It will save lives.

Martin

Help Me Understand???

Martin Rodriguez - President (SCV Loan Solutions) — Thu, 19 Apr 2007 12:03:41 -0500

Communication, Communication, Communication.. (or the lack thereof)

This is perhaps one of the biggest problem areas identified by clients, employees and managers in virtually any business. It doesn't matter what industry you're in, effective communication can make you or break you. Good managers recognize the importance of this and they are always striving to improve their communication.

Huh, ah what did you say?

Have you ever delegated a task to another person, only to find the end result resembles nothing like what you expected? Was the task clearly communicated? Did the receiver of your message hear you? Or did they effectively listen to you? The difference being comprehension.
(My wife complains to me about this all the time. I hear her, but I certainly don't listen) :-)

Often we complain about poor communication meaning the message delivered was poor, but instead the problem often resonates within our ability to listen effectively. Our brain can process auditory signals faster than we can speak, therefore its easy for our minds to drift and think of other things even as someone is speaking to us.

As an HR manager, I've managed hundreds of employees and I've been on both sides of good and bad communication. Through my experience, I've learned a few tricks along the way that can help promote clarity when managing important discussions. You can apply this technique in real estate negotiations, mortgage lending, parenting or just about any discussion that requires effective communication.

Help me understand?.

One of my favorite phrases is "Help Me Understand" I use this phrase anytime I need to gain clarity in a conversation, but I also use this phrase to probe and draw out additional information that may not have been originally communicated. For example, when speaking with a client that has a concern, an objection, or a need. The words "help me understand" sends a message that you are genuinely interested in gaining better clarity of their problem or thoughts. Ask this question and then listen carefully. Don't interrupt, just listen. When the person finishes, don't reply with a solution or a suggestion. Paraphrase the main points of the message and then ask for additional clarity about specifics as necessary, once again using the phrase "Help me understand".

Synchronize your mind with your ears.

Since we can think faster than we speak, we must take steps to focus our attention on the speaker.

Clear your mind of distractions and learn to consciously focus your attention on the speaker.
Learn to recognize your own internal cues that will serve as a signal that you are drifting from the speaker.
Paraphrase what you heard by repeating the key points back to the speaker, but do so using your own words.
Like paraphrasing you can also parrot what you heard, meaning you are repeating what the speaker said verbatim. (However, remember that parroting doesn't imply understanding. It only means that you heard what was said, paraphrasing on the other hand does imply understanding)

Once you master this technique, you can get through most conversations by saying, Help me understand, and "So what I heard you say is ....."

A typical conversation between a realtor and client might sound like this:

"Hello, Mr Jones, so help me understand - why do you want to buy a new house?" ............. "So you're buying a bigger house becuase you need more room?" Well, help me understand what exactly was the problem with the old house, was it not enough bedrooms or where you looking for a bigger living room? Oh, So what I hear you saying is that you need a bigger house becuase you want a bigger yard, not necessarily more bedrooms?......"

Do you see how this can work? Help me understand, invites the client to speak openly. All you have to do is take notes and steer the conversation to extract the information that you need. Paraphrasing what you heard ties down the conversation and ensures that clear communication occurred. Never move on to your next topic until you have confirmed that clear communication was both transmitted and received.

As a mortage broker, one of my biggest responsibilties is to have a clear understanding of my clients needs and goals. A minor break down in communication, or a misunderstanding, can cost a client thousands of dollars and can potentially tarnish my reputation as a professional mortgage consultant.

I hope this article is clear and that you understand what I'm saying here. If not, leave a comment with your help me understand question...

Martin Rodriguez
Sage Commercial Capital

Under the Mortgage Microscope: Understanding Points vs. No Points

Martin Rodriguez - President (SCV Loan Solutions) — Sun, 15 Apr 2007 04:38:56 -0500

Under the Mortgage Microscope: Understanding Points vs. No Points

One of the most common questions that I get as a mortgage broker is, "Can you do a zero point loan?" Of course I can, any broker can do a loan with no points.

The real question is understanding the trade-off between a zero points loan vs a loan where points are paid. (all other things being equal, of course.)

Many "loan shoppers" often focus on this dimension alone and they will run the other way if the lender mentions that a loan has points included. This is short sighted and illustrates a lack of understanding of where the point costs come from, and what benefit (if any) points may have. I am not advocating one way or the other for loans, with or without points, the answer to that question needs to be addressed on a case by case basis. I just want consumers to understand that a zero points loan doesn't necessarily mean they are getting a low cost loan, and they should evaluate all of their loan costs, both with and without points to determine what is best for them.

I recognize a borrowers desire to get a low cost loan. We all want the lowest cost, and best value in anything that we buy. Whether it be our clothes, a car, a house, or in this case a loan. It comes down to doing a cost-benefit analysis that will help borrowers understand what they get for the cost of their points.

Before I explain how to do this analysis, let me be very clear about something. No matter what kind of loan you get, meaning one with points vs one without points. The bank is going to make their profit margin on the loan, - end of story. Pay me now or pay me later, the bank always wins. With that in mind, the borrower has a decision to make. Buy down the interest rate with points or take out a loan with no points.

There are 3 ways you can look at this problem.
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To learn more on how to analyze this problem, you can read the full post here.