Washington Mortgage Planner-straight up mortgage advice and commentary

Hello all: I thought I'd turn the tables a bit and relate what my expectations are for a realtor. Invariably the talk is always about what a loan officer needs to do to satisfy a realtor. So I thought I'd change it up as turnabout is fair play! Please understand part of this is just having some fun. It in no way is intended to make fun of what I think is a great profession. In fact, I'm not sure I'd want to do your job and admire you greatly for doing it.

So here goes. My expectations for a realtor are as follows:

1) Allow me to do my job just as I allow you to do yours. Most of the time this happens and there are no hitches. Occasionally I get called incessantly or questioned about something that I know how to already do.

2) Learn our side of the business. I'm not asking you to know every intimate detail but it's impressive to me the more you know. Last summer I had a transaction with a realtor that was great. It was at a time when loans were getting really tough to do and this realtor was not only understanding but she was right up to date with what was going on.

3) Be available and return my calls. If I'm calling you it may be important so I suggest you get back to me. We keep score as well.

4) Be a professional. I like to work with realtors who are completely dialed in. They plan on being in the business for a long time and treat it as a career. The realtors I know and work with I admire. They're the best and I feel lucky being a part of their circle.

5) Value relationships. I've heard the stories about loan officers "hounding realtors" for business. I've never done that because I would prefer to work with people who want to work with me and vice-versa. If you can't sense a long-term working relationship, then find someone else.

I hope this helps. Again, I sense that for the most part the only people still in the real estate business are the truly dedicated. I wish you luck! Have a great weekend and a fabulous 4th!

Hello all: It's an absolutely gorgeous day outside here in Seattle and I'm still working! Maybe that's to my benefit. For some odd reason, I'm often busiest on Friday. Maybe it's mental but I've often taken more applications, etc. on Friday than any other day of the week.

It's funny how everyone in my office clears out early on Friday. Sometimes I try and leave by 4 but usually it's after 5. I have a feeling it's a mental thing. Or maybe I love my job more than most. Whatever it is, I'm going to keep working hard on Friday as the results are so strong. I'm curious what you find. I can tell you this; there is always something to do when I think about it. That keeps me going. May you all have a great weekend! Talk to you soon!

Paul

Hello all: I picked up the paper yesterday and saw that the governor of our state, Christine Gregoire, had fined Countrywide Home Loans $1 million dollars and ordered them to cease doing business in the state of Washington. Countrywide, of course, can appeal this. It will be interesting to see how this all plays out. I'm aware other states such as Illinois are litigating against Countrywide as well.

My feelings are it may be a moot point. I've always felt that once the Countrywide/BofA merger goes through (which is slated any day now unless it falls through), Countrywide will cease to exist. To me, it doesn't make any sense to keep the Countrywide name, especially since it's pretty tarnished right now. I'm sorry Countrywide may go away although I really haven't encountered them much recently. I would bet their loan production is way off and a lot of folks have probably already jumped ship.

The bottom line is Countrywide wasn't the only one doing shady loans as we well know. They just paid the biggest price because they were always tooting their horn the loudest about how special they were. In this day and age, it obviously pays to run your business ethically. The flip side is potential jail time! Good luck to all of you that are left. We'll get back to prosperous, and, hopefully, honest, above-board times. Have a great day!

Paul

Hi all: Last night Helen Martin of Keller Williams and myself held a homebuyers seminar at the Green Lake Library in Seattle. We felt it was a success and plan to build on it and hold a seminar quarterly. Although we didn't have alot of people attend (3 showed up), we felt we were able to convey a message and we answered several questions from experienced homebuyers who wanted to know about how our business worked. Personally, I love to teach and share and Helen does as well.

Going forward we plan on repeating so if you're reading this here, and live in the Seattle area, I invite you to attend the next one. Although we touched on first-time homebuyer programs such as FHA and Nehemiah, we also talked about how reverse mortgages work and what a customer should look for in a realtor. I discovered that the public is always interested in free, worthwhile information and there are seminar junkies out there always looking to learn something new.

If you have a seminar in you, I encourage you to try it. My next one will cover lending and how to think like a banker in order to secure that loan. Let me know if you're interested in atttending. In the mean time, make it a great day!

Paul

Good morning: We all know we should network yet we often don't. Why? I would argue that it's uncomfortable for us to go to an event, etc. and possibly not know anyone or know what to say. I would argue that all of us are inherently shy so we get invited to an event and hope that someone will come talk to us.

Why do I network? It's not necessarily because I look forward to it. I'm a little bit of an introvert personally. The reason I network is because you never know. Case in point. A few weeks ago I attended a  Discover Burien, WA. event hosted by a realty firm. I knew one of the realtors there slightly so that made it easier. The bonus I didn't expect was I met their managing broker who informed me that they had just lost their mortgage lender for another office she manages. Now we're going to talk about if it makes sense for me to help them with that vacancy. So you never know. That's why I network.

I have attended more breakfasts, lunches, and dinners the last 2 years than I would have liked. Some have been good, others a waste of time. But whenever I try and talk myself out of going, I remind myself that I never know who I might meet. And sometimes, when I'm the most reluctant to go, is when I make a great connection.

So, again, you never know. I encourage all of you to network if given the opportunity. There are always events, some cost and and some are free. In this market, it has definitely paid big dividends for me as I build my business. Give it a try! You might actually find that you like it! Have a great day!

Paul

Good morning: I was reading the Seattle Times yesterday and it reported that 6 people had been indicted for mortgage fraud. One worked at a bank which says to me not all mortgage brokers are to blame for the mess we're in.

Nationwide, there have been over 200 indictments for mortgage fraud and I'll bet it's just the tip of the iceberg. Personally, I say good riddance! That's the one thing that bothers me about this business. The greed. It appears because there is so much money to be made and borrowers to be taken advantage of that our business often attracts the scam artists of the world. I think that's sad.

I've always felt that people who try and defraud others have a screw loose. And ultimately they'll get what they deserve. If you're still in the business and you're switching people in and out of their loans just to make a buck, or changing the terms of the loan and saying oh well, I hope you get your just due. I'm sorry to be so critical; it's just that the rest of us who go about our business honestly and ethically get a bad name. Our business is confusing to the consumer and there is either a great amount or complete lack of trust in what we do. It doesn't help when we go about deceiving the customer.

So I urge you to operate your business as you know you should. Let's look after our customer and sleep well at night. Otherwise, the chickens will come home to roost! Have a great day!

Paul

Hello all: I just wanted to share with you that I received a call from a borrower today who may use me for a loan. He found me on Zillow Mortgage Marketplace. We'll see what happens because he is a first-time homebuyer.

When I initially signed up for Zillow Mortgage Marketplace, I was obviously intrigued about only having to pay $25 for leads. Then, I went through the drill and got nothing. Fortunately, both Spencer and David were very encouraging (thanks guys) and suggested ways I could improve my message, etc.

I'd like to share what my potential borrower related. One, he was looking for a local lender and two, he wanted to know if he could really qualify for what he thought he could. The bottom line is I think Zillow Mortage Marketplace allows the consumer to anonymously check into mortgages which they like. Obviously, us loan officers would like a little more control in the process but, so far, I'm planning on staying a part of ZMM.

One comment I would make to all of you who are already on there. One, make it local. Yes, borrowers can choose you if you're out-of-state and yes, I can lend in every state in the nation. But why? We're still in a pretty people oriented business and let's face it, how strong a long-term relationship can you build with a borrower if you're in Florida lending in Oregon? Also, I sense there are lenders on there producing anonymous quotes just to see what the competition is doing. How do I know? When I see numerous quote requests from small towns, it makes me wonder. If you're doing this, don't insult our intellligence. It's also a waste of your time and mine.

Again, thanks for reading. Thank you Spencer and David as well. In these trying times, you've come up with a solution that, although not perfect in our eyes, works and actually adds to our opportunities. Have a great evening!

Paul

Good morning! With the recent volatility in  mortgage rates, it leads one to wonder which way-up or down? Lately, rates have been climbing although they almost always do during the summer. Lately, the predictions have been for rates to either decrease slightly (currently they're at 6.25% on a 30 year fixed O.A.C.) or stay the same. I concur.

It appears the Federal Reserve will leave short-term borrowing rates alone. There was a lot of speculation that rates might increase but it appears the greater concern is inflation at this point. I would bet the Fed. will leave rates alone for most of  the balance of this year. Again, short-term rates have nothing to do with mortgage rates; it's just that what the Fed. does or doesn't do affects the stock market and this is a broad indicator of the direction of our economy in the future.

Us mortgage folk always wish for a market downturn as it means people are putting their money into safer havens such as bonds. As the bond market goes, so go mortgage rates. I think the mood swings will continue for the balance of this year and possibly into 2009. There still is plenty of shakeout in the real estate busines that needs to be done. Plus, I was reading this morning that experts are predicting that writedowns from mortgage losses may be 50% greater than originally predicted. Initially, the prognosticators thought there would be close to $900 billion in writedowns. Now they're saying the figure may be closer to $1.3 trillion. Expect a continued consolidation of financial institutions and for credit to remain tight.

I'm curious as to your thoughts. In the mean time, keep plugging. These are interesting and trying times but the professionals among us will emerge at the other end and be prepared for the next wave. Have a great day!

Paul

Good morning! I have to admit when I woke up this morning, I wasn't all there. I'm pretty sure I slept well last night. It's just that the business we're in can be such a grind. That being said, I was looking for ways to rev myself up and was curious what gets you going.

For me, it's being able to read inspirational thoughts first thing often followed by a quick set of exercises and writing this blog. It's also the knowledge that this is just one day and tomorrow is a new day. Hopefully my thoughts and preparation will lead to success. I'm pretty sure it will.

So what do you do? Does it work? I personally realize how blessed I am to have everything I have. This helps tremendously. May you all have an incredible day! God bless!

Paul

Good morning! Happy Father's Day! We were at my brother-in-law's house last night and he wished everyone a Happy Father's Day. It was a nice touch. I don't know about you but I think a lot of us dads wonder about our place and what kind of legacy we'll leave. I think mother's have a clearer sense of this.

So enjoy your day today. Do something special or noteworthy. And take heart that fathers are important too. We should all be proud. We're doing the best that we can! Take care.