Category: Personal Reflection

I’m Talking About You, BOOMER!

From relocations to reverse mortgages, we’ve been helping more baby boomers than ever

As the second-largest generation in history, Baby Boomers have spent their entire lives shaping and shifting the marketplace. We have experienced a boomer boom in our business lately, as more folks in this age range (58-76) reach out to us for advice while facing major life changes.

Several recent blog posts such as “Yo Mama Is So Important” & “19 Is Your New Favorite Number” have touched on topics pertaining to this growing trend, and more clients than ever are inquiring about our reverse mortgage services! Specifically, we have helped recent boomer clients:

Move to a new area to be closer to their adult children

Pull cash out to finance a major purchase rather than sell taxable assets

Obtain a reverse mortgage to help with retirement planning

Many of our clients know we are a one-stop-shop to help you buy, sell & finance homes.  But some overlook the fact that we also offer REVERSE MORTGAGES.  Already this year, our team has completed more reverse mortgages than in all of the previous three years combined!

These loans are growing in popularity amongst baby boomers, and for good reason.  A reverse mortgage allows a client 62 & up to retain ownership of their home, provide access to pent-up equity, and have monthly mortgage-payment relief.  We are experts in these programs, and can discuss the pros & cons with you or a loved one.  I will be posting again soon with more details about how we can help clients looking for a reverse mortgage.

The Blue Waters Group is designed to help homeowners of all ages, but we are perfectly suited to serve the diverse needs of Baby Boomers.  As retirement approaches, it is common to reconsider how you spend your time & money. 

Some may decide they want a smaller house or move closer to the grandkids.  Others want to free up their hard-earned equity through a reverse mortgage.  And even those who choose to not change things up still may look to help their kids or grandkids achieve home ownership by steering them to a trusted real estate professional (that’s us! 😊).  No matter the need, our firm is suited to serve you, your friends, your family, and your colleagues with ALL home buying, selling & financing needs.

Babies & Businesses – Oh, How They Grow!

My son turns 10 this year.  Its incredible to think of how much he’s grown and learned in such a short time.  While he still needs lots of attention, love and discipline, he’s a far cry from the helpless newborn of 2012.

THEN…

& NOW!

The same can be said for Blue Waters Mortgage & Real Estate Group, which also turned 10 just this month.  We were a bit insane to birth both a baby and a business in the same year!  But that’s for another blog post.  

Since that exciting “I’ve Started My Own Business!” announcement, The Blue Waters Group has grown from a start-up with 1 part-time employee to a company of 10 experienced, caring professionals.  But just like Oliver, we still need help from the folks that care about us…that’s YOU!

THEN…

& NOW!

My son’s teachers often speak to how 10 is an age of transition.  You’re old enough to begin grasping the complex world around you, but you still need the help of loved ones to find your way in it.  The Blue Waters Group is in a similar phase of transition; we are here to stay, grow & serve our community, but we still need the referrals and repeat business from our cherished clients to do it. 

Today’s real estate market is a tough one to navigate, and folks need the help from a trusted, seasoned professional.  Please pass along my name to anyone you know who may benefit from our real estate and mortgage services when buying, selling or refinancing.  You doing so is vital to our continued growth & success.

Here’s to turning 10!  May the next decade be just as fulfilling and exciting as the last!

10 YEARS AND COUNTING!!!

Do You Want Red or Blue Peaches?

Today’s Runoff Elections in Georgia will determine which political party holds majority power in the US Senate.  The outcome will shape the national political landscape for the next two years, and could have a significant impact on mortgage rates over the next few days.

Watching The Peach State’s election results is important for all of us in the financial markets.  If Georgia “turns blue,” meaning both Senate seats are won by Democrats, it will shift the balance of power of the national government and set the stage for sweeping changes for not just politics, but for finances as well.

There’s obviously no such thing as a red or blue peach, but all eyes will be on The Peach State this week to see if it “turns” blue.

Two Senate seats are up for grabs in Georgia.  Presently, Republicans hold 50 US Senate posts while Democrats hold 48.  If the Democratic nominees win both Georgia Senate positions, both parties will hold 50 seats, allowing for Vice-President Kamala Harris to hold tie-breaker voting rights.  With politics sadly so polarized along party lines, this will allow for Democrats within the Senate to hold a majority and influence policy proposals.

This is of interest to the mortgage market because there are several political agenda items that are much likely to become law if Democrats control the US Senate.  Most notably, a larger stimulus package to combat the economic struggles of the Covid-19 pandemic will likely pass.  This federal financial aid will be paid for by selling government bonds, and when this is done at a large scale it tends to push mortgage rates higher. 

There are obviously other complexities and uncertainties surrounding the direction of our nation’s political and financial arenas, but if you’re considering a refinance in the near future here is the take-home message: a “Blue” Senate means upwards pressure on rates.  As the news headlines of the coming days begin to report Georgia’s election results keep an eye on if both elections are led by Democrats.  You may not want to wait to see the results come in; a safer move would be to get a refinance application in ASAP to lock in a rate before the markets adjust.  Its no guarantee rates will rise in the coming days, but mortgage rates presently have never been lower.  Let me help you take advantage of the current market conditions before they potentially change. 

How Do You Show Your Support?

Our country’s election is next week, and it has most of us filled with emotion.  The emotions & opinions vary but they, like the stakes, are high.  I encourage you to get out (or mail in!) to VOTE!

I have a good friend, Justin Raithel, running for Folsom City Council.  If you live in Folsom please strongly consider voting for him.  He currently serves as Folsom’s Planning Commission Chair and was recently recognized as Folsom’s Volunteer of the Year by the Chamber of Commerce. Justin would be a great addition to Folsom’s City Council! 

Let me help you take a look at Justin’s campaign!

I’ve been looking for ways to support Justin in his campaign, as I want to honor his tremendous courage to run for public office.  Justin will likely need to gain 25% of citizen’s votes in order to secure one of the two open City Council seats.  While hitting that mark means Justin will win and earn more votes than the other candidates, it also means 75% of voters didn’t believe in him.  Ouch, right??!! Even if he wins the election, 3 out of 4 people didn’t vote for him.

When I have a friend take on a risky endeavor, like running for office or starting a band, I often throw my family’s full support behind them.  While I’ve never done either, I too know the reality of winning while not having everyone’s support. 

As a small business owner in a very competitive industry, I’m always on the “campaign trail.”  A big part of my career is tirelessly showing why folks can trust me as their capable REALTOR or mortgage broker over the countless other “candidates” in our marketplace.  Thanks to you, we’ve done more business than ever this year, largely through repeat and referral business.  I am forever grateful for the confidence so many of you have in my team and me to help you through your real estate endeavors. 

Despite crushing every metric we’ve ever set for The Blue Waters Group, I still feel the sting when realizing we don’t get everyone’s “vote” of confidence.  Folks choose to do business with other REALTORS, with the big banks out of state and community credit unions down the street.  The old adage says there’s plenty of business for everyone, and that’s true!  But, as a small business owner, my goals have always looked beyond the bottom line. I constantly strive to be the professional in my hometown that can be trusted by my neighbors, by the parents of my kids’ friends, by the folks who I run into at the grocery store.  If I can’t live up to that measure, then the money doesn’t mean much.

I share this with you to remind you how much it means to me when you refer your friends and family and when you come back for your next transaction.  Sure, your business helps me to make payroll with my employees and put food on the table with my family. But you’re also fueling the very ethos of what I’m about, which is “earning your trust is far more important than simply getting your business.” Thank you for how you’ve shown your support over the years.

In similar fashion, I’m showing my support for Justin Raithel because he’s earned my trust.  He is not running for City Council for the simple sake of winning an election.  Justin wants to serve our city because he has the experience, the smarts and the heart to do it better than anyone else.  I’d like to think the same could be said for me as your trusted mortgage and real estate professional.

You Need To Know This

2019 was a remarkable year for our firm.  We exceeded every prior record our team set, from loans closed to homes sold.  We added three new team members, taking our total to over 10 for the first time ever.  We increased our office space.  And we achieved all of this while I was gone for over half of the year.

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For eight months I was on a sabbatical out of the country with my family. We sold our house and cars and lived on a sailboat in the Caribbean!  It was an incredible chapter in our lives, but this post is not about our adventures (visit @SV_Storymaker for that) . 

 

This is about the amazing team here at the office who made it all possible by caring for my clients while I was away.

f90dec07-34d3-4eaf-95e9-35d07b62f40cIts not easy for a small-business owner to take time away from their company.  If you ask other entrepreneurs, most would tell you they’ve never left for more than a couple of weeks, and even then were handcuffed to their cell phone just in case they were needed.  Its common for an owner to be needed; after all its their company!  Who else is going to handle the emergencies and tough decisions?

So how was I able to do it?  Preparation of and trust in our team.  This sabbatical was calculated for nearly a decade (watch this video for the backstory I shared prior to last year’s departure).

Every major life and business decision revolved around this singular goal of taking some extended time away with my family. As such, we were building a business that could survive without me.  My business partner of 8 years, Lisa Ferro, has built The Blue Waters Group with me and has the same principles instilled in her approach to our company and clients.  My support team of Donna Adams and Jennifer Perry have learned to do most facets of our job better than me, so I knew you were in safe hands.  And my wingman, Chris McGann, the one who was recruited in 2013 to fill my role during this eventual sabbatical, became an All-Star mortgage and real estate consultant proficient at replacing me to care for you.

Sure, there were marketing pieces that were sent to you on my behalf while I was away, but I was removed from the day-to-day operations.  I trusted my team because we prepared for this.  My cell phone stayed with my team while I was gone; I did not check my work email from remote locations.  I was not called upon when a transaction became complicated.    I was not needed.

I am forever grateful for my team who not only kept the business alive in 2019, but who made it thrive as never before.  I’m sharing this with you to remind you that what we do does not begin and end with me; the team approach to our services is what makes us great.  Take comfort in knowing there is a team behind me who is caring, capable, and committed to serving you in my absence, whether for a single phone call or an entire sailing season!

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Caring, Capable, Committed (& pretty darn Charming!) team at The Blue Waters Group

This should be illegal, but it’s NOT!

Whether you like it or not, your credit information is for sale.  I first blogged about this little known scandal over a decade ago, and it is worth revisiting as this issue has become more rampant than ever.  In my opinion, it should be illegal (it’s not!), but there is something you can do to fight back and protect your credit information from being sold to aggressive cold-callers!

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First a little back-story: under the Fair Credit Reporting Act, banks and other creditors can pay the credit reporting agencies (Equifax, Experian, and Trans Union) to be notified when a competitor pulls your credit report.  For example, you come to me seeking guidance and estimates for home finance options.  To provide you with accurate information, I ask the credit bureaus to compile a credit report for your transaction (a service I have to pay the bureaus for).  The credit bureaus then notify other mortgage firms that you are shopping for a home loan.  These other “professionals” also obtain your contact information, and proceed to call you tirelessly offering their services.

Let me repeat for emphasis: when you choose to do business with me you should expect dozens of cold-calls from other lenders the moment I pull your credit!  You never granted these companies permission to call you, yet its legal for them to know when and why your credit is pulled.

I equate it to this: imagine you go into your favorite furniture store to buy a new sofa.  After a store associate walks you around the store and points out a few options, you decide on your sofa.  Upon making your selection, hidden cameras within the store notify competing furniture stores that you are about to buy something.  Droves of salespeople from OTHER furniture stores immediately come rushing into your favorite store, aggressively offering sofas, beds, dining room tables and other furniture alternatives while you’re in line to pay for the sofa you’ve already selected.

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It may not be illegal, but its certainly an inappropriate practice!

Crazy, right??!!  Supporters of this practice defend it as capitalism at its finest. After all, if you’re shopping for a product isn’t it good to have options?  Yes, you should shop around, but you should do it on YOUR TERMS.  It is inappropriate for the credit reporting agencies to have the ability to sell your information to companies that you have no desire to hear from, particularly given their track record of keeping customer information secure (remember in 2017, Equifax had data of 143,000,000 consumers stolen by hackers)!

But there is something you can do to stop this harassing practice!  You can Opt-Out of these solicitations by visiting https://www.OptOutPreScreen.com/.  You can submit an electronic request that will stop these solicitations for 5 years, or submit a request by mail to permanently opt-out.  There is no cost to do so, and it takes 1-minute to complete the electronic option.  It may take 5 days for the request to take effect, so I recommend ALL clients complete this simple process ASAP.

If you’d like to take it a step further, you can register with the Direct Mail Association (small $2 processing fee required) to reduce all forms of solicitations, including email, catalogs and other “junk mail” offerings.  Lastly, you can register with the National Do Not Call Registry to remove your mobile and landlines from Telemarketing lists.

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Your credit information is valuable, and should not be shared with just any company willing to pay for it.  We hope you take the precautionary steps to protect it, and in doing so save some sanity by stopping unwanted solicitations.

Team Member Spotlight – Donna Adams

Donna is our most seasoned team member, having joined us the first year we opened our doors.  She immediately made an impact on how we handle transactions and, more importantly, how we care for clients.

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Her perfect combination of industry experience and warm personality is a perfect fit within The Blue Waters Group.  As she has many team responsibilities and the licensing to originate loans and sell homes, its likely she’ll be essentially involved the next time you need our team’s help.

Team Member Spotlight – Barry Harris

Barry joined our team in 2018 after working for a larger bank for many years.  He saw the value of working with an independent mortgage brokerage like us, and wanted to care for his clients with our teamwork approach.  Barry embodies all of the principles The Blue Waters Group holds paramount: honesty to all, commitment to clients, and excellence to his craft.

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We are fortunate Barry has become a member in our work family, and a representative of The Blue Waters Group in our community.

WAR. CURVES. DRAMA. A Story Line For a Refinance BOOM!

War. Curves. Drama.

These may sound like buzz words of a summer blockbuster, but they are the central themes of our current financial markets and why mortgage rates are in a free fall.

Trade WAR
Yield CURVES
Political DRAMA

All of these factors (scroll down for the backstory on each) are pushing mortgages rates to historic lows, and giving nearly EVERYONE a reason to consider refinancing. Yesterday I quoted a rate I don’t think I’ve ever been able to offer…2.875% (3.17% APR) on a 10-yr fixed loan. Yes, a fixed-rate mortgage under 3%!!!

I have spoken to many clients in recent weeks, but I haven’t had a chance to connect with everyone. Many of our clients are refinancing for a wide variety of reasons, such as:

Lower interest rates and monthly payments
Cash out to pay off credit cards or student loans
Cash for home improvements
Remove PMI or adjustable rate 2nd mortgages

If any of these scenarios sound like they may apply to your finances and we have not yet spoken, please reach out to me ASAP. I’ll be working through the weekend to be sure I help my clients take advantage of these rates before they change. My team and I promise to get back to you quickly with no-nonsense advice on your refinance options.

 

Trade WAR
USA and China trade war[1]_ US of America and chinese flags crashed containThe escalating tensions between the US and China have the global markets very concerned. If it costs more to trade goods between the world’s two largest economies, then less goods will be traded. This will slow spending, profits, and potentially lead the world into the next global recession. We are watching this story closely, particularly as it affects mortgage rates.

Yield CURVES
Typically, the longer you invest your money, the greater return you should expect on your investment. For example, putting your funds in a 5-yr Certificate of Deposit (CD) will typically have a higher return than a standard savings account. If illustrated on a graph curve, the return on your investment (also called a “yield”) line goes up the more time your money is invested.

Business man drawing a graph EDITEDThis is also generally true when investing in US government bonds (also called “T-Bills”), but there have been a few instances in the last 70 years where this graph becomes INVERTED, meaning a bond buyer actually realizes a higher return from a shorter-term bond. And EVERY time this bond yield curve has become inverted since 1969, the beginning of a financial recession has followed in the months after. On August 14th, 2019, this yield curve became inverted for the first time since 2007 (a year before the latest recession), and the 30-yr bond yield hit an all-time low. During recessions, mortgage rates tend to be lower, so the recent foreshadowing has pushed mortgage rates lower as well.

Political DRAMA
Our teammate, Chris McGann, recently said that President Trump has more influence on the financial markets than Federal Reserve Chairman Jerome Powell. He has a point; due to Twitter and 24/7 media outlets, the financial markets are aware of the President’s political agenda and personal diatribes on a constant basis. As arguably the world’s most powerful person, the President’s actions, ambitions, and tweets must be considered by the financial markets.

The “Trump Effect” however, may be losing its potency, as the markets seem to be accounting for the fact a tweet rarely becomes legislative policy. Regardless, the unreliability of the signals President Trump provides the markets make things uncertain. This uncertainty is leading to lower mortgage rates.

 

Bottom line: mortgage rates are low and they may fall lower if these factors continue to plague our financial markets. While this may be unpleasant for your retirement portfolio, it creates tremendous opportunities for refinancing your mortgage.  Call us to help you easily navigate your options.

Interest Rates, Backyard Landscaping & The Weather Man

ed0431b4-364f-4e42-b156-60bd79610733[1]Spring is finally here! The sunshine and blue skies are a welcomed sight at our household. It also means that we are FINALLY able to get started on the next stage of our backyard landscaping project. We started phase 1 (the demo) last fall, and made quick progress. Demo goes REALLY fast when you get rid of everything! We also encountered plenty of delays, and as a result have had to stare at a lot of dirt—and when it rains mud—for the better part of 6 months!

Scheduling has proven to be the biggest challenge. When our contractors were available, the weather didn’t cooperate. And when the weather was good, our contractors had prior commitments. It felt a little like trying to catch lightening in a bottle. 7a7be339-e720-4266-8a96-9699f33f7915[1]We would try our best to plan ahead, but predicting the weather is 50/50 at best. After all, the weather man seems to be wrong as much as he is right. I went to great lengths trying to control the weather. I know that sounds funny, but I did. I thought if the grounds crew for the San Francisco Giants can keep the infield dry when it rains surely, I can keep my backyard from getting muddy. If I could succeed in keeping the ground dry then maybe, just maybe I’d be able to have the stars align for one Saturday when our contractor was also available. (How did I do? I’m happy to report that I was able to keep the ground dry. But as is often the case when you’re working with a good contractor who is in high demand, they had limited availability.)

Throughout the process, I realize a similarity between my responsibilities as a loan officer and my self-appointed duties as landscape project manager. In the same way that I can’t predict when the weather will be ideal for work on the landscaping project, I don’t know when rates will drop creating the ideal opportunity for our clients to capitalize on a refinance. What is within my control is my ability to keep in touch with our clients to know their needs and goals and stay vigilant to the direction that rates are headed. Much like the weather man’s forecast, I provide an educated forecast of what we anticipate rates to do. But we also stay prepared to reach out to our clients when rates improve unexpected. After all, you never really know when it’s going to be a sunny day!