(soar like an eagle and be proud)

During the Late 90's leading up to 2000 we saw a hot stock market.  We all knew the market was due for a correction.  You know the market is hot when you are getting stock tips from the butcher who cuts your meat at the supermarket. (true story)  Like all markets you have boom times, and you have bust times.  I remember that the money people in 1999 to 2000 were trying to keep that money train moving. 

So what did they recommend for investments          .com's 

So over night we started hearing the horror stories about these companies going bust.  Consumers wanted to gamble with their retirements, and Wall Street was ready to sell that pipe dream.  Then, the gravy train was over.  Slowly people who invested in their 401K's and IRA's were being told that they had to work another 5-7 years to retire just to make up for a lot of short comings.  The SEC was busy doing investigations, and now we have financial planners who have to disclose everything and anything.  The damage was done. 

I noticed however, that consumers became smarter.  They decided to make the flight to quality people.  I have relationships with a couple of great financial planners, and these guys are smart, good with money, honest and care about their clients.  Bottomline, they are quality people.  That industry has somewhat cleaned up their image.

Now fast forward to our present Real Estate Market.

  Yes its a like looking in a mirror from 2000.  The markets are different, but the problems are the same.  The money people (banks and lenders) wanted to keep the moneytrain moving.  So we (the industry) recommended more risky loans, consumers spent all their equity, foreclosures rose and the SEC is back to investigations again (Countrywide Home Loans).  The licensing has not hit Arizona for Loan Originators yet, but I am embracing it when that does happen.

Today I got a great referral from a past client.  He refers a friend who is buying a new home and is not 100% satisfied with the builders lender (go figure).  So the client calls me and asked for my help.  I spend quality time understanding his unique situation.  He called me at the end process, because he has been bounced around by this lender, and is now working with his 3rd loan officer from this company.  He asked for me to give him a rate quote.  Now on the surface, I thought this would not be a problem, but as I discovered more about my potential client, I realized that this was going to be a complex loan, and just taking a guess on his rate without having a full application was going to make me look really bad.  I explain the situation in detail to my potential client and frankly he was very irritated.  He was expecting the same service he has probably been accustomed to which was to just talk fast and apologize later.  He basically did not want to invest the proper time with me to end up with the right product and service.  As I was taking all this in.   I was thinking in my head that "Here is a guy who is going to make the biggest purchase in his life and will make a big mistake because I'm providing him due diligence".  Wow, my mind was spinning.  I am still in talks with this potential client, but this just blew me away. 

So I leave you with a long quote from the movie "Tommy Boy", starring Chris Farley:  Audio Clip

Christopher Crosby Farley (February 15, 1964 - December 18, 1997) was an American actor and comedian (born in Madison, Wisconsin) . He was best known as a cast member on Saturday Night Live television series, who went on to enjoy success in movies in the mid-1990s.

Tommy: Let's think about this for a sec, Ted, why would somebody put a guarantee on a box? Hmmm, very interesting.
Ted Nelson, Customer: Go on, I'm listening.
Tommy: Here's the way I see it, Ted. Guy puts a fancy guarantee on a box 'cause he wants you to feel all warm and toasty inside.
Ted Nelson, Customer: Yeah, makes a man feel good.
Tommy: 'Course it does. Why shouldn't it? Ya figure you put that little box under your pillow at night, the Guarantee Fairy might come by and leave a quarter, am I right, Ted?
[chuckles until he sees that Ted is not laughing too]
Ted Nelson, Customer: [impatiently] What's your point?
Tommy: The point is, how do you know the fairy isn't a crazy glue sniffer? "Building model airplanes" says the little fairy; well, we're not buying it. He sneaks into your house once, that's all it takes. The next thing you know, there's money missing off the dresser, and your daughter's knocked up. I seen it a hundred times.
Ted Nelson, Customer: But why do they put a guarantee on the box?
Tommy: Because they know all they sold ya was a guaranteed piece of shit. That's all it is, isn't it? Hey, if you want me to take a dump in a box and mark it guaranteed, I will. I got spare time. But for now, for your customer's sake, for your daughter's sake, ya might wanna think about buying a quality product from me.
Ted Nelson, Customer: [pause] Okay, I'll buy from you.