The Renton Wa Realtor Blog !: December 2009

Wells Fargo doesn't want to play nice with ....... Wells Fargo

Great post about the funny short sales we are "attempting" to get completed.  Wells and Wells First and Second.  This almost reminds me of "Who's on First".  Nice post Ken, thanks.

Via Ken Crotts (Windermere Real Estate):

Wells FargoWe are currently in the process of completing a short sale with one of the lending industries giants, Wells Fargo. This is a tale of the beauricratic morass that gives rise to the to the question, "Too big to fail or too big to succeed?".

Take a nice one story house in a well known neighborhood that is up side down on the mortgage. The seller can no longer afford to make the payments on the property through a series of events and you are left with a short sale. This one seems to be the perfect candidate for working out a short sale transaction as the first and second mortgage are both with Wells Fargo Bank, reputedly one of the better lenders to deal with. I take the listing and over a reasonable period of time we are able to secure and offer ont he property that represents fair market value. So far so good.

The offer is signed and presented to Wells Fargo along with a complete short sale application and the file eventually moves through the gate keepers and onto a negotiator for both the first and second mortgages. So far so good.

The loan is Freddie Mac backed to their rules state the Wells Fargo 1st can only allow the Wells Fargo 2nd  to get $3,000. This is Fredie Mac's rule. The Wells Fargo 1st offers to approve the deal if Wells Fargo 2nd will sign off. The negotiator for Wells Fargo 1st mortgage admits he is in communication Wells Fargo 2nd mortgage so we are thinking it will work out. Wrong! Wells Fargo 2nd mortgage wants more money. OK... If we come up with more money Wells Fargo 1st will insist on taking a note for 200% of what we come up with for the Wells Fargo 2nd. If we don't come up with the extra money Wells Fargo 2nd will not sign off. The seller is broke, Wells Fargo 2nd is demanding more cash... where's it coming from?

Welcome to short sales!!! Is it any wonder that Freddie Mac is losing billions? When Wells Fargo won't accept a deal proposed by Wells Fargo and then Wells Fargo insists more money in cash from unspecified sources? How much is Wells Fargo paying these people to chase their tales anyway? 

When Wells Fargo can't work out a deal with Wells Fargo who are we to think we can? The losers in this kindergarden match? Freddie Mac (your tax dollars and mine), the seller, the buyer, Wells Fargo, the reputaion of the banking industry and pretty much everyone else. Nice going Wells Fargo!

 

Ken CrottsCertified Short Sale Specialist

Broker, Certified Short Sale Specialist

www.KenCrotts.com

Ken@KenCrotts.com

425-432-8600

 

0 comments • Gary McNinch Realtor Renton WA Real Estate • December 18 2009 12:04AM

1995 Post: Why Web Won't Be Nirvana.... Missed the Boat and the Whole Ocean on This One!

1995 Post: Why Web Won't Be Nirvana | Newsweek Technology | Newsweek.com

Here is a Newsweek Magazine article from 1995 discussing WHY THE INTERNET WON'T EVER BE A BIG DEAL.

Clifford Stoll: Why Web Won't Be Nirvana | Newsweek Technology | Newsweek.com



Compare this with my last post showing web 2.0 and where social media is going from here. How we even think of doing business. How would ActiveRain ever exist?Wow did this guy miss the boat. How would we ever sell houses on a worldwide scale?

The Gary McNinch Team home website is www.RentonHomeFinder.com

My twitter handle @RentonHomeFinde

Our facebook page is Gary McNinch on Facebook

My Active Rain website is Gary McNinch Team on ActiveRain


Gary McNinch Team Realtor Renton WA Real Estate Keller Williams Realty Renton WA. Call us 206-696-2329, email Gary@GaryMcNinch.com Serving Renton, Kent, Auburn, Newcastle, Skyway, Fairwood, Renton Highlands and Kennydale.

Please tweet us, text us, or send us a snail mail.

3 comments • Gary McNinch Realtor Renton WA Real Estate • December 17 2009 12:54AM

Buying A Home: Your Needs And Wants & The Ben Franklin Close

Buying a Renton Home and how to decide what you want from what you need. Great info from my friend and Canadian Realtor Liz Moras.  I do this with every buyer client, so get ahead of the game and do it too.  It may be enlightening.

Via Liz Moras ~Chilliwack Realtor, Chilliwack,Hope,Langley,Abbotsford (Harrison Hot Springs, Cultus Lake):

Buying A Home: Your Needs And Wants and The Ben Franklin Close.

O.k. so you've Decided to it's time to Buy a Home.  Now what?  How do you prioritize?  You know you probably can't have it all - but you Want to!  It can be confusing and frustrating trying to separate your Needs from Your Wants.  Especially when you Need your Wants!

It's important however to distinguish between the two.  Reality dictates that the chances are you won't be able to have "Everything you Want".......but the hope is that we can get you everything you NEED and then some!  But what's the Sum of the Some?

Ever heard of the Ben Franklin Close?  Well this is a variation of it.  Take a piece of paper and divide it into two columns.  On the one side write down - "Must Haves"  - or  "Non-negotiables" and on the Other Side write down "Wants but Not Essential".

Identify features you need and want.  Is the location a non-negotiable?  What about the square footage or bedrooms?  Do you have to have a Garage or a Workshop?  Or do you need to Have one level living?

Now lets flavor it up with the 'Wants'.....What would spice it up for you? What are the things you would like  have if thy were available and you could afford them?  Large lot - workshop? Or Fancy Ensuite or jacuzzi? View?

Remember, the time you take to think about these things now will prove invaluable.   Also remember that if you're purchasing with a Partner - you should both have your own lists - AND - then come together and jointly decide what your priorities are!

Later when you're trying to decide which home to purchase - and if there is more then one that you're considering - you can use the orginal version of the Ben Franklin close.  This time you'll divide the page into two - and do Pro's and Con's.........it's effective this way too.  And not so that a 'salesperson' can close you!  But so you can identify the house for you! :-)

Oh and a Reminder - make sure that you've taken the time to have yourself pre-qualified - you want to know exactly how much you can afford and what it is that you choose to spend.  Otherwise it doesn't really matter what your List says - if you find out later you can't afford it!  

Take your lifestyle into account and the things that could enhance or detract from your daily enjoyment. Then add these preferences to your needs or wants shopping list.

It goes without saying that a Professional Realtor will help you through this process.  If you're serious about buying your dream home call me! It's my business to help you make your home ownership dreams come true! 

                                       

If you or someone you know is thinking of Buying or Selling property in Cultus Lake, Chilliwack, Hope, Abbotsford, Langley or anywhere in the Fraser Valley Area of B.C. - or if you would like more information please give Liz  Moras of Landmark Realty Chilliwack a call at- 604-799-0459 or e-mail at lizmoras@gmail.com.     

Copyright © 2009 By Liz Moras, All Rights Reserved. All photos taken by Liz Moras and copywritten.  Please do not use without permission.   Information provided by this author is only an opinion, it is not guaranteed, may be based on information collected from several sources, and may be time sensitive.  It is not necessarily representative of the opinions of Landmark Realty Chwk. Ltd.   

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0 comments • Gary McNinch Realtor Renton WA Real Estate • December 15 2009 10:40PM

FED Final Meeting of 2009 and Renton Mortgage Rates

FED Reserve Final Meeting of 2009 and Renton Mortgage Rates

The Federal Reserve's Relationship To Mortgage Rates and how it relates when you buy a Renton home.

Interest rate spread between the 30-year fixed rate mortgage and Fed Funds Rate (2000-2009)The Federal Open Market Committee meets today for the last time in 2009. It's a 2-day meeting and the Fed is expected to leave the Fed Funds Rate near 0.000 percent.


But that doesn't mean mortgage rates won't change. This is a simple (I hope) explanation of how this system works.


See, a major misperception among the public is that the Federal Reserve sets mortgage rates. That's false. Mortgage rates are based on the price of mortgage-backed bonds.



As an example, since 2000, the Fed Funds Rate and the 30-year fixed rate mortgage have been within 1 percent of each other at times, and as far apart as 5 percent at others.


If there was a direct relationship between the two, such a spread would be impossible.


The Federal Reserve doesn't set mortgage rates. Wall Street does. However, whenever the Fed adjourns from its meetings, mortgage rates are susceptible to change.


For home buyers and rate shoppers, this week's Fed meeting takes on added significance.


Over the last half-year, the Fed has used its post-meeting press releases to acknowledge an improving economy in which growth is tempered by job loss and tepid spending. In November, though, net job gains nearly went positive and Retail Sales data proved strong.


If the Fed gets more positive in its message tomorrow, mortgage rates will suffer. This is because Wall Street will use the Fed's position on the economy as a reason to buy stocks. Some of the cash to fuel those buys will come from the mortgage bond market.



As extra bond supply hits Wall Street, mortgage rates go up.


Similarly, if the Fed's message goes negative on the economy, investors are expected to sell their stock positions in favor of buying bonds. This makes rates go down.


So, the Federal Reserve doesn't make mortgage rates, but it does exert an influence on them. In other words, rate shoppers would be wise to watch for the FOMC's 2:15 PM adjournment. Even though the Fed Funds Rate is expected to remain unchanged, mortgage rates certainly are not.

The Gary McNinch Team home website is www.RentonHomeFinder.com

My twitter handle @RentonHomeFinde

Our facebook page is Gary McNinch on Facebook

My Active Rain website is Gary McNinch Team on ActiveRain


Gary McNinch Team Realtor Renton WA Real Estate Keller Williams Realty Renton WA. Call us 206-696-2329, email Gary@GaryMcNinch.com Serving Renton, Kent, Auburn, Newcastle, Skyway, Fairwood, Renton Highlands and Kennydale.

Please tweet us, text us, or send us a snail mail. We like to hear from our many satisfied clients.

0 comments • Gary McNinch Realtor Renton WA Real Estate • December 15 2009 10:35PM

Era of Green Flight Begins Boeing 787 Dreamliner Takes Off

Boeing 787 Dreamliner Takes Off and the Era of "Green" Flight Begins

Today, the Boeing 787 Dreamliner flew for the first time. Test flight was smooth, pilots reported it flew smooth and responded easily. Congratulations to all my friends and clients who helped design and build this great new aircraft.

Boeing 787 Dreamliner Pictures, Images and Photos



In this day of environmentally friendly movement or "Green" everything, this aircraft is top of the list. Due to the composite structure it weighs much less than any other commercial airplane. In fact it should get 20% better fuel mileage. Fuel mileage is huge to airlines, because of the major cost of fuel. So besides being more enviromentally than other aircraft, it will save the airlines huge dollars per flight. Now, I don't want to be cynical, but it is the $$$$$$$$$$$$ cost savings that will drive the sales of this aircraft. There are 870 presales and will be more soon.

Boeing has been and remains to be a major economic force in Renton and the Puget Sound region around Seattle. The 787 Dreamliner is not only good for the environment and the local economy but it will mean steady employment and great quality of life (including wonderful family homes) for the people who build and support this aircraft. And quality of life is the most important feature of this new aircraft.

Congrats Boeing Aircraft and every person with a mouse click, hand or tool that build this state of the art aircraft and who stand proud today! Lots of my friends are smiling hugely today.The Gary McNinch Team home website is www.RentonHomeFinder.com

My twitter handle @RentonHomeFinde

Our facebook page is Gary McNinch on Facebook

My Active Rain website is Gary McNinch Team on ActiveRain


Gary McNinch Team Realtor Renton WA Real Estate Keller Williams Realty Renton WA. Call us 206-696-2329, email Gary@GaryMcNinch.com Serving Renton, Kent, Auburn, Newcastle, Skyway, Fairwood, Renton Highlands and Kennydale.

Please tweet us, text us, or send us a snail mail

5 comments • Gary McNinch Realtor Renton WA Real Estate • December 15 2009 10:28PM