Tiffany 's Blog

Is America a Capitalist Country Still? I can't tell...

Tiffany Norton (MN-Pro) — Fri, 07 Nov 2008 17:21:03 -0600

I just had a discussion with my step-father and about the finanical crisis, the election and where the hell is all of this money going from the bail-out. Why are we here...I think in part because America has lost her sense of identity. Let's look at the 3 main types of Governement practiced in the world.

1. Capitalisim

2. Socialism

3. Communisim

Which category do we fall into?

Well, as long as YouTube is alive and well we are definitely not practicing Communism.

Socialism, that's tougher to answer because we have aspects of our governement that are "Soicalized". Here's a short list

US Postal Service

Police and Fire services

Social Security

Education

Veteran Administration

And now, Corporations are becoming Socialized because, if you are recieving tax dollars, you are now reliant on the Government.

I am happy that Barack Obama won the presidency however, I strongly disagree with any politican that voted for the bailout of the banking industry. Including him. Capitialism isn't Capitialism anymore, if you get money to stay in business from the tax payers and not your profits. If America is moving towards becoming a socialized country, then why are only SOME getting the benefits and not other? The banks are getting bailed out but, the people who used to work at those companies AREN'T!

I feel in away this violates our own constitution. Remember from High School; "Taxation without Representation".

I never saw that topic on the ballot at the election...Did YOU!I got to vote for the Clean Air and Water Act of Minnesota but, I didn't get a vote on the most expensive decision ever made.

Either everyone gets it or no one should...this isn't a popularity contest..this contest is called "Survivor"!

Tiffany Norton

P.S. Looking forward to your comments positive and negative...

Mortgage Crisis: Who's to blame? I blame the year 1971

Tiffany Norton (MN-Pro) — Sun, 19 Oct 2008 17:51:35 -0500

This is an email response to a friend of mine who forwarded a power point presentation that was done to explain the current economic crisis. The basis of the presentation was that most of our troubles started with Bill Clinton in 1998 and because Barack Obama was a recepient of money from Fannie Mae and Acorn that this is why we are in an mortgage crisis. Thought you would like to see my response...I am sure a few wont either.

"Since I was knee deep in this bulls%*t for the last 10 years (1998 just like the power point said) I thought I would fill you into some of the events that happened before 1998 that lead up to this crap.There is a piece that the power point left out...it was a bi-partisan vote for all of the decisions that I am about to discuss.

1. The reason that Fannie Mae started getting more aggressive was because of a loop-hole in the compliance standards of mortgage brokers. Since mortgage brokers do not service the loans that they write, they are only forced to take a loan back if it fails to preform within the first 12 months the loan is originated. Many of the questionable loans that I am aware of, involved a mortgage broker would make sure the customer had 12 months reserves and set the loan on automatic withdrawl...the first 12 months would always make it on time. The loan is a ticking time bomb, waiting to go off in 13 months or so. If a brokers loans would preform, he would get more business. Not to mention all of the false documentation (pretty easy to make fake tax returns on your laptop these days), fake business cards, fake phone numbers and verification. Unrealistic appraisal values, fradulent title work and closings...there was more than Obama invloved with this.

Now, how could this happen? I mean these people are trained in right? They have ethics classes and continuing education requirements right??? Wrong... MN in response to all of the foreclosures in the past year required all mortgage brokers in the State of MN to take 15 hours of education, so they could continue doing business in our state. Did you notice I said education and not Continuing Education or Required Education? That is because last year, 2007, was the 1st time in our state's history we required these f&*kers to go to training. I have held my Notary License, Life, Accededent and Health Insurance License, Property Casualty Insurance Licsense and my Real Estate Lisence in the State of MN. All together that took me over 300 hours, not to mention the yearly requirements to retain the license. (Hell, my babysitter has to do more required education than these guys...)

Mortgage brokers, on the other hand, 0 untill last year and now the State of MN is not requiring continuing ed for mortgage brokers in MN...too big of a hassle I guess to educate people that can ruin lives.

If you don't believe me here is a quote from the WFW 2006-11 Regulation of Brokers PDF..."An increasing number ofstates are requiring these originators to pass tests in order to become licensed." Not even 1/2 of our states require this yet. And let's not forget who is also a culprit in this crisis? The LAST Savings and Loan crisis...Freddie Mac and Fannie Mae were founded during the last S&L situation in the 1970's. That is why we even have these organizations to begin with...

In 1971, Freddie Mac offered its first conventional mortgage security, the Mortgage Participation Certificate (PC). Freddie Mac bought mortgages from lenders, primarily savings and loan associations (S&Ls), and then bundled them together in the form of mortgage-backed securities that were sold to investors. The holders of the PCs--most often institutional investors--received monthly principal and interest payments based on the underlying mortgages. Now almost every American is investing their retirement in whether or not their neighbor is going to pay on time...if those loans go bad they are worth 0.

In the 1960s, the United States violated a rule of economics. In Economics 101 classes, students learn about the guns or butter economy. Basically, if a nation is fighting a war, it has to divert resources that are normally used for domestic consumption into feeding the war machine. A nation cannot practically do both, even the world’s richest...this also needs to enter into the conversation about the economy.

If you ask little old me...I think there is plenty of blame to go around. This seems less like a partisan issue and more like a Male Issue to me...

P.S. Even though McCain was cleared of all the charges in the last S&L crisis (The Keating 5), he was still good enough friends with them that they had his phone number...interesting.

Feel free to pass this email out to anyone you feel like...including the professor that wrote the power point!!!"

...thanks for reading...VOTE or DIE

Could Capitalistic/Socialism work in Coporate America?

Tiffany Norton (MN-Pro) — Wed, 18 Jun 2008 14:32:18 -0500

I am in the plannng stages of a new business and I had a thought about staffing and payroll. What if everyone that worked there were all paid the same salary, including myself as the leader. The sum $20 per hour came to mind plus bonus. But, I mean everyone...receptionist, janitor, ect. The principle being, that if all people are created equal, then all jobs are created equally, too. You cannot run a business successfully by underpaying the people who are at the front lines. It doesn't matter how nice your lobby is if it smells like something died in it.

Corporate Leaders are like politicians, they are seldom close to the details and rarley see the front lines. I worked for a bank for 8 years, won 3 president's club trips and never met the president...once. Apparentley he does not attend his own trips or parties for that matter.

I bet most corp exec's don't know the first name of the person who runs their reception area. The first person people are going to meet. Their "director of first impressions". You never have to remind a self-employed employed person of the importance of a GREAT 1st Impression! When you are self employed you are often the front line, the back line and occassionally we get to grace the sidelines. When the s*@t hits the fan...there is no one to hide behind.

Not in Coporate America, the farther away from danger you are...the more you make. People know that if they have a problem with their new camera, and they politiely called the president of the company to set an appointment to discuss his products shortcomings and your value as a customer, you would shortly hear a dial tone.

I think it's interesting, that our own military recognizes that the people closest to the front lines should be paid more than the person 10 miles back and out of harms way. Makes sense to me! Next time you are going to spend thousands remodeling the lobby, stop and think.

1. Think of what you would pay to avoid an unpleasant exchange between your receptionist and your best client?

2. Think of what you would pay to not have the janitor quit on the day the toliets in the executive men's room overflow?

3. Then think how much your companies' reputation would benefit from a highly talented, customer service person, who is rediculusly over paid. And in case you didn't know...your receptionist talks to everyone, including your wife.

Remember the "word of mouth ad budget" is as cheap as marketing gets! More importantly, it's marketing that people believe.

Tell me lies...tell me sweet little lies

Tiffany Norton (MN-Pro) — Thu, 24 Apr 2008 16:18:21 -0500

I tried recently to go an entire day without telling one lie...including white lies.

Here is my list of the lies that I really missed.

1. Mommy doesn't know where the paints are (of course I do)

2. I thought I already took care of that (Actually, I just thought about taking care of it)

3. I know just where that is (somewhere in my house)

4. I am on top of that (I completely forgot about that)

5. You said you had it! (well you did but, then you gave it to me)

6. I can't tonight (I could...not sure I want to)

7. I would love to but, I have other plans (like watching my butt spread on the couch and watch reality t.v.)

8. I haven't been drinking (no one believes that one anyone...I should get a new one there)

To Blog or not To Blog

Tiffany Norton (MN-Pro) — Sun, 06 Apr 2008 04:42:41 -0500

Why is there so much pressure to have the perfect thing to say in life? Why do we always think of the appropriate response in the CAR? I don't really have a lot to say at this moment other than.....SAY IT...STOP DELIBERATING...GET IT OFF YOUR CHEST. "let the cards fall where they may" isn't that what we have heard...live it. To quote Don Miguel Ruiz "If someone turns their back on you it's a blessing". How true

i choose to BLOG

The Gift of Fear by Gavin DeBecker

Tiffany Norton (MN-Pro) — Mon, 11 Feb 2008 14:01:43 -0600

I was just reading a post about the real estate agent that was killed in Canada a few days ago while on duty. I have my Bachelor of Science in Law Enforcement so, this is an area of extreme interest to me. There is a book that was written about 10 years ago by a man named Gavin DeBecker called "The Gift of Fear". This is an excellent book for women and how we as a society condition women to not listen to their intuition about dangerous situations. The plain truth is that sometimes being nice can get you killed. I am not speaking of course, to the tragic story at the beginning of this post as I do not know all of the circumstances. I know from personal experience.

I was walking on University Ave. in St. Paul one evening a few years ago. I had just parked my car and I was meeting my husband and daughter at a local place called Porky's for hamburgers. There was a big car show that day and parking was hard to find so, I found a spot a few blocks away. The sun had just set and I noticed that many of the street lights were out where I had parked and there were a bunch of people just hanging out in front of the building.As I began walking to my destination, I heard someone a few blocks behind me making a weird noise. I stopped and noticed that there was a man behind me that wasn't there a second ago. When I turned he looked down and away (like he didn't noticed me). Red flag #1

My internal alarm for trouble went up. I picked up the pace and walked faster when I heard the sound of heaving breathing coming up from behind me. Red Flag #2. I panicked...should I stop and turn around or keep heading forward? I challenged my fear stopped and looked at him and realized that he was sprinting up on me and was covering the distance between us quickly (he showed no sign of slowing down).Before I knew what I was doing I remembered "The Gift of Fear", I shouted "What the hell do you think your doing?". He stopped for a minute, stunned. Then I took off running down the street towards the resteraunt like I was back on the track team in High School.

I ran as fast as I could until I got near the crowd. I stopped and looked back at him one last time. He was bent over, winded (and more than a little suprised at how it turned out). I found my husband who was standing there the whole time with my daughter. He could see this man running up the street after a woman but, until I got across the street into the light, he had no idea that it was me being chased.

Bottom line, if someone is freaking you out the worst thing you can do is be polite and assume that your probably "overreacting". If you feel that your life is in danger, please overreact. You can always applogize latter if you feel like it.

The cockroach story...

Tiffany Norton (MN-Pro) — Mon, 28 Jan 2008 11:34:04 -0600

My first manager in mortgages told me the Cockroach story as an example of a great sales moment. I think it s more than just a good story, you be the judge.

My manager is taking an application from a married couple. The loan officer is wearing a suit and tie and the client is blue-collar and in his work uniform. The application was not going well. The client didn't like this young kid in a suit making (in his mind) the decision to lend him money. The loan officer tried everything to bond with this guy but, for 45 minutes he just kept his arms folded and stared at my friend.

All the sudden the LO feels something on his neck. He reaches around to the back of his neck and grabs it. When he opens his hand he realizes it's a cockroach. My friend is from MN and not used to the size of the cockroaches in the south. Before he can think about it he jumps up, throws the cockroach across the room hitting the wall, while at the same time shouting the "F" word.

My buddy thought he had totally lost the deal but, a funny thing happened. The customer actually smiled for the first time. After the "cockroach" moment the application went smoothly. The customer told him that he would have done the same thing if there had been a cockroach on him. Everyone relaxed and loosened up after that.

Although you want to maintain professionalism and I am not advocating swearing for people that are not comfortable with it. However, sometimes being too professional is a turn off. I am married to a union mechanic who wears a blue uniform everyday and I know that he would rather have a loan officer that relates to him, than one who appears to be judging him. The bottom line is...if you are real with your clients they will appreciate it more than fancy talk and a nice office.

Are your meetings just "smile" training?

Tiffany Norton (MN-Pro) — Sun, 27 Jan 2008 13:07:36 -0600

Smile training is my term for meetings where real issues are not discussed. Sales people and staff are told to "just smile" without soliciting input from the group. In a group dynamic, there is pressure to conform with the group. Conformity is the obstacle of Creativity. To build a world class sales force, you need to listen to them.

Meetings are the MOST important line of communication that your have with your sales and operations staff. Too often, managers are not trained on how to deliver quality meetings that improve the culture in the organization and get things done. Ask yourself these questions...

Are you a sales manager who dreads planning the next sales meeting?

Are you a sales manager who likes planning meetings but, no one attends?

Are your meetings as productive as they could be?

Do you have trouble when members of the group question decisions or ask for explanation?

How do you get your sales people to the next office meeting?

Step 1. Ask them to come. I would photocopy the agenda after each team meeting and write a note to each person who missed the meeting asking them to come to the next one. It may take 8 times but, eventually they will come around or at least call you and tell you why they didn't make it.

Step 2: Let them talk. Even Johnny Carson knew to keep the monologue to less than 5 minutes. Open with an over view of the meeting and what needs to be accomplished. Propose a clear question to the group and let them discuss solutions.

Step 3: Have an agenda and stick to it! A good meeting can take a bad turn, if you have someone in the group that loves to bring up items not on the agenda. The easiest thing to do is have a secretary for the meeting that takes down discussion points for the next meeting. Remind the group of the time constraints and if they have an issue they can request it be added to the agenda of the next meeting. Bring a timer or assign a time keeper.

Step 4: Play a game. I like to start my meetings with an ice-breaker to get everyone comfortable. There is a great book called "Quick team-building activities for busy managers" by Brian Cole Miller. It has 50 exercises that take 15 minutes or less to do. I would always give out the same prize, they are hand-clappers. They are noise makers in the shape of two hands and they are really fun. After a meeting, I would always hear someone in the hall giving them self a round of applause.

Step 5: Make sure every one is respected. The group is looking to you to protect the integrity. The fastest way to lose a group is to "wield the sword" on someone. You are the one in control and you must stay that way, even in the line of fire. You must still show respect to the person who is questioning your decision making ability, as you would want respect in that same situation. It's better to hear it from your people than from your boss.

Affordable Housing Interview on UTube

Tiffany Norton (MN-Pro) — Thu, 24 Jan 2008 14:34:21 -0600

watch video

Video Description

Brief discussion on options for people that are looking to buy their first homes. Topics include resources, credit and budgeting. There is a tremendous need right now to think long term about sustainable, affordable homeownership. Once people have had a foreclosure, most people never go back to homeownership again. Please excuse the fact that I am slouching...that looks terrible.

If you are a real estate professional and would like to learn more about affordable housing resources in MN come to my class. See previous blog post for times and dates

Njoy

The CEO has no clothes...do I say anything?

Tiffany Norton (MN-Pro) — Thu, 24 Jan 2008 12:49:03 -0600

How would you handle it if you had a direct order from your manager or broker, to do something that you thought was dumb. What do you say? Do you really speak your mind or do you agree and try to get away from them as fast as possible? Since we have the instinct of self preservation you might be tempted to say something like "oh...that is interesting" or something generic like that. Not really agreeing but, not sharing with them why it won't work. Why, we don't want to lose our jobs.

Here are a few of my favorite stupid questions that I have been asked by supervisors in my business career.

1. "Why can't you just have group closings, where you get 10 couples in a room and hop around closing them all at the same time?"

2. "What if we only focused on recruiting new agents...they are the fastest to train?"

3. "You mean we have to send out those disclosures every time we deny someone for a loan?"

4. "What does RESPA have to do with me taking my clients to the football game?"

and my personal favorite....

5. "Why should managers get paid less, just because they do less?"

The point of this blog is, what makes a question stupid is not the question itself. Determining whether or not a question is stupid depends on whether or not the person asking the question, is in a position that they should already know the answer.

My grandfather told me many times as a child," Sometimes it's better to keep your mouth shut and have people THINK that you are stupid, than to open your mouth and prove them RIGHT." These are 5 prime examples where Grandpa's advice would have come in handy.

People do judge your ability to manage based on the questions that you ask and how you answer them. It is a barometer of your intelligence. So, if you have the next great idea and want to get feedback on it, do a little independent study before you start asking silly questions. Get feedback from the people that will have to live day to day with your decision.

Your subordinates will appreciate it!

Affordable and Fair Housing in Minnesota: 3.75 CEU's for Mortgage and Realtors

Tiffany Norton (MN-Pro) — Thu, 24 Jan 2008 12:15:25 -0600

I would like to invite you to my 4 hour course regarding Affordable and Fair Housing in MN. This course discussion based course addresses the history and future of affordable housing. Assistance programs and resources available to your current and past clients. What effects the economy has on affordable housing.

This class is approved for Mortgage Required education credits for MN and for continuing education requirements for REALTORS. Register at www.mn-pro.com

Dates/Times: Thursday, January 24 1-5 pm

Wednesday, February 6 1-5pm

Friday, February 29th 1-5pm

Location: MN-Pro Corporate Offices

3475 Willow Lake BLVD, Suite 101, St. Paul, MN 55110

Dates/Times: Thursday, February 21 1-5pm

Thursday, February 28 1-5pm

Location: St Paul Area Association of Realtors (SPAAR)

325 East Roselawn, St. Paul, MN 55117

Dates/Times: Friday February 22 8am-12pm

Location: Colonnade Building

5500 Wayzata BLVD, Lower Level C, Golden Valley, MN 55416

*Class can be taught on-site if there are 10 people or more. 30 day approval and turn time necessary.

Shift Happens: Look forward...not back

Tiffany Norton (MN-Pro) — Mon, 14 Jan 2008 13:44:56 -0600

....and listen to your gut!

In times of chaos, it is natural to be indecisive.

Should I go this way or should I do that. Do I stay in the business or do I cut my losses and go back to a previous industry? One day you tell your spouse you are going back to school and then the phone rings and its a buyer...nope, I am staying in real estate.

Until the next day when the buyer calls back and says they have changed their minds. All of this back and forth can lead you to a "schizophrenic" state of mind; "Should I let go of this and go for that?". To make it more interesting, once we have made a decision, we are constantly second guessing it. Our ego and limiting self-beliefs crawl in there to add their 2 cents. Pretty soon it feels like you are right back where you started.

Do not second guess yourself. Learning to listen to our "gut" isn't a quality that is celebrated often in our society, but sometimes it is all you have. When you are indecisive, it feels like you are on a boat with no oars. You are being pushed around by life and you are waiting for an external signal to indicate your path. The problem with that logic is, it assumes that the "universe" understands what you need better than you do. This is simply not the case.

The fear comes not from making the decision itself...but, from the fear of being "judged" for the decision. Fear of judgement is one of the strongest feelings we can have. It brings up all kinds of goodies like; shame, guilt, remorse, regret, low self esteem, ect. You know...the FUN stuff! However, taking time to consult your own inner guide, is well worth the effort.

When you are faced with your business this week, do not seek the council of others and instead, spend sometime getting in touch with your "gut" and see what he or she has to say in the matter. Forget the "pro's and con's" and "making the right decision", any decision is the right decision once you are comfortable with why you are making it.

Two book suggestions on the subject of fear:

"Feel the Fear and Do it Anyway" by Susan Jeffers

"The Gift of Fear" by Gavin De Becker

2007: The year of completion 2008: The year of new beginnings

Tiffany Norton (MN-Pro) — Sun, 06 Jan 2008 14:19:07 -0600

Since we work with numbers I thought it would be fun to point out in numerology, that the year 2007, means 2+0+0+7=9. 9 in numerology is the completion of a cycle. 2008 means 2+0+0+8=10. Since you have to keep adding numbers together until you get a single number you take 10 1+0=1. 2008=1 in numerology. Ones signify new beginnings in many cultures. A good example of a "one" is the egg. It is 1 but, then becomes 2 and those 2 can become many.

What does this have to do with real estate? The cycle of the previous 9 years is over. Where where you 9 years ago?

Where was your business? Were you in real estate? Have you been self-employed and how does it suit you?

Analyze for your self what the last nine years have brought you. Is there something falling away or something that you are just about to accomplish?

I started thinking about me in 1997 and I was a substitute teacher part time and a waitress. 2 years out of college and no real job yet. I wouldn't get hired in my first profession position until April, 1998. That was when I began my career in banking, financing and real estate. I have made more money in my life in the last 9 years than all my previous years (since babysitting) together. I had a daughter, got married and became self employed. All and all I have learned a lot from the last 9 years.

What will your new beginning be in the year of 1? A new niche market or program. A new project or hobby. A new career. Think about a project that you want to give "birth" too and cultivate the seeds for that now. This is the perfect moment for you to act on your instincts.

Ego: The Little Green Man your in Business with

Tiffany Norton (MN-Pro) — Sat, 05 Jan 2008 14:14:36 -0600

I was trying to explain the concept of Ego to my 9 year old daughter. She was upset that she was not picked for a part she wanted in the Christmas play. After struggling with it for awhile I came up with "Ego: The Little Green Man".

Ego: The little green man is in side of us and when we lose or fail at something...he is the one who gets really upset about it. The funny thing about Ego is that he likes to think that everything he thinks is correct and doesn't quite understand when other people don't see it the same way. He takes everything personally. Ego gets really upset. Like a child throwing a tantrum.

The truth is, who you truly are can never be diminished. When painful things happen, Ego is the one who is hurt...not you.

It sounds like I am giving Ego a bad rap...believe me...I know his purpose. Ego makes us highly successful in a competitive business but, if the "cosmic 2x4" hits and your forced to make changes sometimes he doesn't like to cooperate. He can be a source of courage and strength for us in times of darkness but, only when he is working in harmony with your larger purpose. If he isn't, Ego can be a little green man that acts much like a gremlin on your business.

I am a firm believer in the Law of Attraction and I think this quote sums it up the best for me."Worry is a form of prayer that draws to you that which you DO NOT want"-Doreen Virtue.

Make sure Ego is on board with what ever changes you have to prepare for in the new year.

Integrity: How does your mirror look?

Tiffany Norton (MN-Pro) — Thu, 03 Jan 2008 11:51:13 -0600

The mirror is the center of one of my favorite movies, "Snow White". When the Queen is mirrored in a way she does not like she becomes filled with rage and jealousy. Which leads me to my point...

Was I the only one who caught Inside Edition where a male, real estate agent in Florida lost a listing to a female competitor? When he didn't get the listing he decided to "take out his competition" by assassinating her character in public.

He placed over 20 ads for sex on Craig's List, using the female agents real name, home and cell phone numbers. He included pictures of provocatively dressed women, that were not the agent. The State of Florida sentenced him to probation, I think it was 4 years. In the 30 or so days this went on she received over 700 phone calls from men looking for sex.

Granted this is a very EXTREME example of someone not working with in integrity. However, every day in our offices we see smaller, more subtle versions of this type of behavior. I remember sitting at an office happy hour and one of the top agents in the office had too much to drink and started gossiping and bad mouthing every other top agent in the area. I was used to this...I have been working with competitive sales people for 10 years.

This is the part that caught my attention because, this is an agent that constantly talks about how "un-professional" people are and how they don't have "integrity". The agent confessed to me that she had lost a listing to another agent in her office, many years ago and still held a grudge about it...(honestly I think it had nothing to do with the other agent other than she was 10 years younger and was a pretty girl).

The interesting part was when she told me what she did the next time she was in competition with that same agent. On a listing appointment a few months latter, when she asked the clients who else they were interviewing, they mentioned her competition. At that point, she launched into "smear campaign" to the clients, of course, she was completely justified in her own mind to do so...and boy of boy did she.

The result, neither of them got the listing (it took me some probing to get that out of her because then she recognized that in the process of throwing her competition under the bus...she went down with her).

We want people to judge us by our intentions. However, as a society, we judge on actions..not intentions.

What would your mirror say about you if it could talk?

Cultivate in 2008: Let's burn something!

Tiffany Norton (MN-Pro) — Tue, 01 Jan 2008 13:20:33 -0600

Got your attention?

I have a tradition that was shared with me by a good friend. Every New Year, make a list of all of the "crap" you don't want to bring in the New Year and on the other side of the paper write down all of the things you DO want in the New Year. Then put it in a fire safe container and burn the piece of paper. Concentrate on the flames and try to imagine all of the things that you want to cultivate in 2008 really happening.

Notice any items on your wish list that don't seem possible as this is an indication of an area where you are blocked. Daily affirmations can help you work through any feelings preventing you from realizing your goals. You deserve a great life and a great 2008!

P.S. This is a great exercise with older children and teenagers. It is a great way to teach them early about setting goals and working with positive affirmations.

What to do with my free time.....

Tiffany Norton (MN-Pro) — Sat, 24 Nov 2007 16:41:55 -0600

My mother was my first contact with the world of real estate. She started in the business in 1980 when rates were astronomical and contract for deeds was the only way. She teamed up with another newbie in the business and they started working as a team. My mom was a great buyers agent and her partner was great with the contracts.They both credit their success in that tough market to their "team". When times force you to be creative, look for ways to barter in your office. If you hate to market but, love to do research, find someone who can "partner" with you. You don't need to mix your business or incorporate, just work together. You will find that if you make the time for yourself to do it, how much more work is it to do a little for someone else too?

We are looking at 3 months of downtime and attacking projects, we like to put off, will make you feel much better about your business.

Countrywide forced to borrow to stay afloat...like many of our customers!

Tiffany Norton (MN-Pro) — Thu, 16 Aug 2007 12:29:00 -0500

Just in from Wall Street, Countrywide (the countries biggest lender) reports that to stay solven they must borrow against their 1 billion+ credit line to fund opperations. Now I have no idea how much of Countywides portfolio is in sub-prime lending but, I will share with you my experience and also give you and your clients a resource that can help if someone is in danger of losing their home.

When I started out as a lender for a finance company in 1998, I knew that their were a lot of people that were getting loans that they realistically couldn't pay back. My finance career was short, I really didn't have the stomach for it. I was raised in a family where money, the real estate market and wall street were always discussed at the dinner table. I knew doing the math...unless they got a new job making more money or overnight they became finacially responsible, they couldn't afford the loan. Even though I couldn't handle it, many of my friends stayed in the "sub prime/ high risk=high rate" business and many of them still work their today.

The money and the incentives that a lot of the big finance companies threw around was crazy. A friend and former manager for a finance company, shared with me that for his office hitting its goals one year he won a brand new sports car and the previous year qualified to go to the super bowl and party at the company tent. If they are giving away prizes like that...someone is making money off of someone else. Period. And it is usually the empowerished and uneducated or undereducated that they target.

The first time I attended the Affordable Homes Congress in Minnesota was 2002 and the subject of predatory lending was raised a few times. People were discussing how can we get the word out that people are at risk of losing their house and their equity by doing business with these guys. I felt compelled to share my experience working for a finance company and I let them know that the average sub-prime finance company lender was required to make over 100+ cold calls to consumers per day. Now that's lead generation and it goes to show even if your product isn't in your best interest, someone telling you that you qualify for a loan is something that people want to hear. My old slogan at US Bank Home Mortgage was "we're not afraid to say YES" even though most people with bad banking experiences didn't see it that way.

After awhile, more traditional institutions wanted to make a grab for the brass ring so, they loosened up the underwritting guidelines. What would have never gotten approved 10 years ago was flying through underwritting and in most cases, files were underwritten by computer programs and even if the underwritter didn't agree, if it met the guidelines, they secondary market was their to purchase it. So, who really cares anyway...as long as we can sell our loan, get our money back, and make another loan...isn't that what we are supposed to do?

Well enough depressing news...I promised you a resource and here it is!

Don't borrow Trouble is a campaign to help victims of predatory lending.

They can help guide your clients to assitance in their area. Look under "Participating Communities" to see if there is assitance in your area. If we as loan officers and agents hear a past client of ours is going into foreclosure...forward them this article. Many times a home can be saved and banks are very willing now to make deals. If we can help people stay in their homes while negotiating with the bank, you are doing a tremendous service to the community.

http://www.dontborrowtrouble.com/

Another one bites the dust: American Home Mortgage files for BK

Tiffany Norton (MN-Pro) — Tue, 07 Aug 2007 11:50:11 -0500

I was just reading on the net that yet another major lender is closing its doors and filling for bankruptcy, American Home Mortgage Company. The interesting part is they are NOT a subprime lender, their portfolio consisted of mostly "A" paper loans.

If you have a client that is preapproved with a mortgage broker it might also beneifit your client to get a preapproval from their bank. Some banks lend their own money for mortgages, therefore they have more flexiblity in securing funds by using the deposits of their banking clients. Have your clients get a second opinion from a mortgage banker if they are planning to use a mortgage broker. That way you will have two avenues for financing should your clients funding dry up.

When this thing is over it's going to be worse than the savings and loans scandal.

Here is the link about American Home Mortgage...

http://finance.comcast.net/www/news.html?x=http://www.comcast.net/data/news/2007/08/06/732904.xml&cvqh=itn_mortgageco

ABR: Always Be Ready!

Tiffany Norton (MN-Pro) — Mon, 21 May 2007 15:12:56 -0500

I just attended a seminar about Business Appropriate Business Casual with Linda Thomas founder of Powerful Appearance Corporate Image Advisor's. She was excellent in terms of discussing what our clothes say about us and our image. As I sat there, I recalled a "Business Casualty" of my own. I hope this story inspires you to always be ready for business...or don't go to the office.

It was a beautiful summer day and I was going to meet my friends at the beach. I just needed to stop in the bank I worked at, grab a file and I was out of there (or so I thought). Just then, a customer service agent in the bank informed me a client had signed in to ask about a mortgage refinance and could I talk to her? I didn't have my own office and the woman can clearly see that I am there...I wanted to hide under the desk.

Why you ask? I dressed for the beach, wearing flip flops, shorts, a bathing suit with a big T-Shirt over it....needless to say, I was embarrassed and not feeling confident about talking business. I invited her to my desk and I knew she could tell I was very uncomfortable. I explained my reason for the outfit to the woman and that made it worse because, now she was apologizing for interrupting me on my day off and she didnt' want me to be put out so, she left in a hurry (can't imagine why?).

I would have been better off not going to the bank at all or at least wait to change into my beach attire until after I stopped by the bank. I have heard that 80% of communication is non-verbal, 10% of communication is intoneation and 10% are the actual words we use.

I know my non-verbal communication that day was saying "Why did I stop in the office"?

I found out later that the woman went to one of our other branches and did a cash out refinance for $350,000 (presumably from someone with pants on...not shorts).

The lesson from this Business Casualty...ABR: Always Be Ready!

Coach: I don't need no stinkin' coach!

Tiffany Norton (MN-Pro) — Tue, 10 Apr 2007 19:39:19 -0500

Many of you I am sure have heard that Tiger Woods has 5 coaches to help him with a variety of the aspects of his game. These coaches are not as good as a golfer as he is...why would one of the top golfers in the world take advice from a 3rd party. Because it's from a 3rd party. When a coach goes through the discovery process with you to really understand your individual business model, what is often revealed is that their are re-occuring patterns of inefficiency...in my experience most often with time managment, lead generation and boundaries.

Effectivness is not gauged by the amount of hours you work per week but, the amount of hours you spend each week moving your business forward. I had an office next to the "busiest loan officer in town", he was always running around and acting really busy. He was always talking about how many leads he had but, what I discovered was that he had one of the lowest contract to close ratios of any loan officer I had ever managed. He was so focused on generating more leads to offset the ones that didn't close... that more often than not his loans didn't close on time and worse yet, sometimes not at all. He was focusing on what was wrong with his game and not on how he could improve it. His mental focus on losing transactions became a self fufilling prophecy for him

If you are a believer in the Law of Attraction or the book "The Secret" you already know what I mean.

If you are not familiar with these principles here's the Cliff note version. What we focus our time, thoughts and attention to, in each moment of each day, is what begins to materialize in our lives. What we visualize for ourselves is quite often what happens to us...good or bad. If you are constantly focused on transactions not getting to the closing table guess what... your right and you'll probably have issues. As Henry Ford said,"If you think you can or you think you can't your right".

Tiger Woods expects to do well in a tournament, he visualizes how the ball will feel when he makes contact on a long drive. He understands that if he is grateful for what he has already received and visualizes receiveing more good things, he will. You are no different than Tiger...you have the right and the power to be happy so, if you expect a successful transaction, more than likely you will find ways to make that a reality. On the flip side, if you believe that your business will never be as good again as it was before the market shift...you are also right and you will attract that too

A good coach can help you realize where you want to go and the most efficent way to get there with your strenghts. As Ken Blanchard said, "feedback is the breakfast of champions" and it's only through self discovery and examination that you can truly begin to maximize your efficency, which allows you to spend more time doing what you love....if it's been so long since someone asked you what you loved to do that you don't have an answer, a coach can help you with that too!

Shift Happens: Mindset of the successful agent

Tiffany Norton (MN-Pro) — Fri, 22 Dec 2006 09:53:20 -0600

Mindset is the key to this market right now. I was talking with an agent friend of mine the other day that works for another brokerage. She was sharing that she wanted to stay in the real estate business but, she was concerned that she was not able to ride out the changes in the market. She is working a full time job and selling real estate on the side. After we spoke for a long time I told her, "right now this is the time to run AT the real estate or run AWAY from it...you can't walk down two sides of the street at the same time. If we don't believe that you are going to make it through this change then you won't."

Practice this, visualize what you want to have happen during your day. Your appointments all go well, your child gets a good grade, your spouse picks up dinner, ect... Plan it all out in your mind before you get out of bed, then wait to see if any of it happens. You will be suprised how often what you visualize will happen!

"If you believe that you can or you believe that you can't, you are right (Henry Ford)." It is all about seeing these changes as a postitive thing for your business. I have a CAN'T JAR in my office, if someone uses the word CAN'T you have to pay a quarter to the jar. Can't is the worst of all 4 letter words in my opinion because, it allows you to limit your possiblities. "I can't get this to work...I can't sell that house...I can't solve this problem", how do you know what you can or can't do until you commit yourself to doing the absolute best job that you can!

Here is a quote that I particularly enjoy..."We suffer when we don't get what we want, we suffer when we do get what we want, we suffer because life is constantly changing." Don't focus on what has changed...focus on what YOU want and nurture that everyday.

Predatory Lending: What is on the horizon?

Tiffany Norton (MN-Pro) — Tue, 14 Nov 2006 22:50:14 -0600

I began in this business in 98' as an assistant manager at a local bank. I was in the finance division (which sounds impressive but...let me go on) in the finance company, we were responsible for processing turn downs from the bank to see if we could finance them (at a higher rate). I was so young and new to the business, that I didn't realize that in a lot of instances we weren't really helping people...(we were doing what they wanted) but, it wasn't in their best interest long term.

My finance career was short lived, however I will never forget what my manager told me one today. He said, "at some point all of this "loose and fast" financing has to stop or ...what happens to the economy, will be worse than the savings and loan scandal." I fear he may be correct.

I was just attended my 3rd Minnesota Affordable Homes Congress, many of the people dealing with affordable housing get together every 2 years and discuss the issues around the Affordable Housing Crisis in areas of Minnesota. According to some statistics I was given, there are some really terrible things happening. There are incredibly high numbers of loans that are in foreclosure many of the people are; low income, on a fixed income or a person from a community of color. Almost 700,000 nationally just in these groups, according to their statistics.

That is a lot.

The biggest offender seems to be the "option arm". In many cases, these loans were given to people on a fixed income, the clients' income wasn't going up quickly or the client didn't fully understand the loan program...just the payment. That is what they do...the only sell the payment. Never mind that it won't be that low 6 months from now.

There was an article that I read this week where they busted a real estate fraud circle in Colorado. Fortunately they had an ethical broker that cooperated (and I think turned them in) but, the damage was already done. This ring had falsified documentation on loans like; social security numbers, W2's, paystubs, ect. They commited $34 million in loan fraud. I personally know that the predatory lending in our area is out of control. I have no doubt that this is an iceberg and we have NO idea how big it is.

KEEP YOUR EYES OPEN...be very careful and listen to your little voice. Make sure you discuss your clients finances with them. Learn how to calculate payments (check your local real estate board for a class).

The client percieves 84% of the time (according to Fannie Mae), that the real estate agent is the trusted advisor that will protect them in this process. If you are referring them to a loan officer that says they can afford it and they can't...they will blame YOU.

I wish all agents wanted SUCCESSFUL HOMEOWNERSHIP...not just a deal.

Follow up to Shift Happens

Tiffany Norton (MN-Pro) — Thu, 05 Oct 2006 21:04:15 -0500

Thank you all for all of the positive feedback regarding my first blog entry. I was encouraged to do this by my friend, Teresa Boardman. Thanks Teresa, for all of the help and time that you have dedicated to helping me get over my "Technophobia"!

Don't FEAR the Shift...EMBRACE THE SHIFT. There are opportunities in every market (yes, even in the bad ones). Orphaned Clients, Closing Offices, People Leaving the Business, ect...

Implement time in our shedule every week for PROSPECTING...instead of looking at your email (I don't mean give up on your technology but, block a few times to respond to emails daily...they can be a big time waster).

It is the old cliche...Work Smarter not Harder. Networking is one way to start working smarter (and it's also how you can have some fun when everyone is negative).

More to come...