THIS MORNINGS QUICK LOOK
- TOUR DE MTG FINANCE – What The FED Did and Said
- PRODUCT HIGHLIGHT – 2 – 4 Unit Condo
- MARKETING – Ideal Operating Conditions
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WHAT THE FED DID AND SAID
A couple things to note from yesterdays FED comments.
The first big item is that the FED is shying away from really acknowledging the fears of recession or at least talking much about it.
The reason they are explaining is that we continue to have a very strong labor market. In a recession you would see a digressing labor market due to companies are not doing as well as they were before so their business is declining and as their business declines so does the economy which puts us in a recession.
So, we have a strong labor market but then GDP which measures the production of US consumer goods and services is down and if you have 2 quarters in a row with down production that is the very definition of a recession. Well, the GDP comes out today right at the same time I am sending this out so we will officially know when I send out my MBS text update around 9:30 Central Time. If you do not receive those sign up above this article.
So, if we are producing less as a country but we are continuing to hire then the data is disagreeing with itself. That is the quandry that the FED, the markets and rates have to figure out. This means every time we get a conflicting report the volatility in bonds goes all over the place.
Between today and tomorrow we have an insane amount of news coming out so be prepared!
Today we have GDP, jobless claims and a 7 year bond auction. All of those are market movers.
Tomorrow we have employment cost, personal consumption (inflation), personal spending, personal income and manufacturing purchasers report which tells us what people are ordering.
Anything can happen folks so hang in there and we will chat soon.
Product & Guideline Highlight Knowledge That Gives You An Edge Over Your Competition
2-4 UNIT CONDOS
I found out recently that we actually have a decent niche in this area and likely you are not aware of what you can do.
Any time you have a small cluster of homes that thought it would be a good idea to form a condo association it can cause problems down the road but recently we changed how we view 2-4 units.
When you have 2 – 4 units under a legal condo situation we do not require a full project review.
All we need to approve one of these is the HOA master insurance, the HO-6 Insurance and the appraisal.
If their is no HOA master policy which is common then we just need to see the master deed and bylaws to determine who is responsible for the hazard insurance. If each unit is responsible for their own we do not need a master policy and will use the one they have in place.
Now you know!
Marketing Ideas And Opportunites Little Things That Can Make A Big Impact
IDEAL OPERATING CONDITIONS
If you are a Navy Seal or an Army Ranger or a master trader in the markets then you want ideal operating conditions to do your absolute best.
Well, guess what. For the elite in whatever industry they are in the ideal operating conditions are the worst possible conditions that you can imagine.
For example, a Navy Seal does not want to invade under a full moon in beautiful weather with the birds chirping. They want a raging storm, pitch black, 10 foot waves and chaos so they can maneuver in the way they have been trained to maneuver.
You may not realize it but the worse the conditions in this market the better your chances of success are to beat out the competition and to make things happen.
You see, when their is turmoil the weak give up, they let fear and worry and anxiety take over their emotions and more importantly take over their actions. They look at the situation and say oh no this is too much. I need to back away, regroup and rethink what I am doing.
We are seeing and will continue to see a large exit of people from this industry get out thinking these are not ideal operating conditions.
You just have to ask yourself are you the Navy Seal or Army Ranger of the mortgage industry and are you willing to go all in when the operating conditions seem like they are the worst when in actuality it is the best operating conditions to show realtors and clients what you are made of.
