Florida Mortgage Report

Tomorrow is the Last Day at This Domain

I still see many of you subscribing to this feed and/or commenting on this blog.  This post is a reminder that the Florida Mortgage Report will not be located at www.floridamortgagedaily.com after tomorrow.  I will be moving my Florida Mortgage Daily (mortgage market updates) blog to this domain March 1, or shortly thereafter.

That being said, this blog is currently hosted under Typepad, so the blog will remain here for nearly a year, though no comments will be accepted (stopped 2/15/08) and the blog will not be updated any longer.  To follow my writings, please jump over to www.flmortgagereport.com and while there, don't forget to subscribe to that feed to stay up to date.

This will ensure lively discussions continue on the "hot topics" such as Money Merge Accounts and other mortgage acceleration strategies, as well as current events.  All prior posts are over there already (and some new ones), so if you liked a post (or even linked to one), check out the same post (and link to it) over at the new location, www.flmortgagereport.com. 

There are two main reasons for the change that I mentioned before in case you are wondering.  Number one is the change to WordPress to add more flexibility and control.  Since I rely on feedback from you, you can have an effect on how the site looks and its functionality.  I want it to be a very user interactive site and WordPress allows that more easily.  Number two is that I wanted to match domain names to the blog titles.  It was rather awkward, as you can imagine, say the Florida Mortgage Report was at www.floridamortgagedaily.com then turning around and saying Florida Mortgage Daily didn't have its own domain.

So, once again, please go over and visit www.flmortgagereport.com and subscribe to its feed to continue staying up to date on the Florida Mortgage Report.  If you want to see mortgage market commentary, keep www.floridamortgagedaily.com bookmarked and return in March when I have that blog up and running on this domain.  You can also check out my contributions over at Lenderama and Agent Genius.

Florida Mortgage Report Looking at a New Home

I eluded to the fact I was working on switching this blog to a new domain and new format.  Currently, I am running a WordPress version of this site alongside this and have already transferred all of the posts and comments over to it.  Please check it out at www.flmortgagereport.com.  I will get into why later in this post.

As with any move, there are going to be things that get lost, namely those incoming links and trackbacks already set up for this site.  So, I ask you to please start linking and tracking back to posts on the other site in order to protect the integrity of those links in your own blogs.  No one likes broken links, especially when they are looking for follow up material, so this will help you as much as it will help me.

Also, I am always looking for solid feedback.  Please take a moment and let me know how you like the new site, what you would like to see added, and what you would like to see taken removed.  Also, while you are there, don't forget to subscribe to that feed as this one will shut down eventually.

Why the move?

There are a number of reasons I am moving the blog:

1. I can control, tweak, add and subtract the site easier through WordPress and I control who hosts it as well.  I also maintain it with the latest updates to keep it running as smooth and quickly as possible.
2. Domain names should be indicative of the blog's title.  I was getting tired of having Florida Mortgage report on www.floridamortgagedaily.com when I also have a mortgage market blog called Florida Mortgage Daily that isn't on any domain.  Florida Mortgage Report will now match its name with the new home, www.flmortgagereport.com.
3. That leads into the next reason, which is the expansion of Florida Mortgage Daily.  This site will eventually be moved over to this domain, www.floridamortgagedaily.com, to match it's title.  This is important as I will be offering this service to others in the RE.net.  I will provide more details later as I am ready to launch, but it will likely be a free service.
4. I wanted a new look and feel to the blog.  I like Typepad, but I was not happy with the layout I had and did not feel it was worth the money to upgrade to gain functionality when I could do it basically on my own for free.

So, as you can see, I have many things in the works.  I am constantly trying to upgrade my services to provide better content, education and more for you.  I believe this change will be for the better and will be more user friendly.  Don't forget to provide some feedback so I can make it the best.

Am I Worthy?

Many times I think that I am in my own mind, but what really matters is what do you think.  I had the pleasure of being interviewed by Brian Brady last year on BloodHound Blog (podcast)which actually helped my decision to start blogging separately from my ActiveRain blog.  Now, I am honored to say I was tagged for an interview with REMBEX and have joined an great group of RE.net bloggers.  Here is the list of interviews available and I suggest you check them out:

Alex Clark April Groves Ardell Dellaloggia Chris Lengquist Dan Green Dave Smith David Porter Dustin Luther Eric Blackwell Frances Flynn Thorsen Greg Polashock Greg Swann Jay Thomson Jeff Brown Jeff Corbett Jeff Turner Jessica Hughes Jim Cronin Jim Duncan Joeanne Hanson John Harper Jonathan Dalton Kelley Koeler Kristal Kraft Lani Anglin

Laurie Manny Linda Davis Mariana Wagner Marlow Harris Mary Pope Handy Maureen Francis Maureen McCabe Meredith Hanson Mike Mueller Morgan Brown Nicole Nicolay Owen Raun Pat Kitano Phil Hoover Phil Leto Rhonda Porter Rob Blake Robert Ashby Steve Scheer Teresa Boardman Teri Lussier Todd Carpenter Tom Wolf Vali Wimberly Vicki Moore

In case you missed it in the list or just want to go straight to mine, here is the link:  Blogger Spotlight: Robert Ashby

There truly are a lot of great bloggers out there, so take a moment and check out at least a few on the list.  Who knows, maybe you will find a new blog to add to your feed, or even someone you want to work with.

Are Mortgage Brokers a Dying Breed?

I have been reading a lot about how I am a member of a dying breed, one that should fall by the wayside and will not be missed.  Hmm.  I guess I should stop blogging right now, right.  Why should I, owner of a mortgage brokerage, even bother to help the consumer with free advice and information they need?  After all, I am a dying breed, right?

That's right, I am a mortgage broker so I must, by stereotype, rip off my clients at every chance I get.  I must charge the absolute maximum on every loan and if I can't get it, I will just say you don't qualify anymore so I can place you into another loan where I can get it.  And if you don't like it, too bad because I stuck you with a 3 year prepayment penalty and there's nothing you can do about it.

By now you probably realize I forced you into that loan you cannot afford, even though the house was beyond your means anyway.  You are obviously going to face foreclosure because I underwrote that loan in reality and not the lender who gave you the money.  As a matter of fact, I kept telling you to get the maximum loan possible so I could line my pockets with as much cash as I could while I was still in business.

Sure, I used YSP as way to get paid even more and hid it from you in plain site on the closing statements.  I wanted you in those adjustable rate mortgages because I knew I could get you back in here to rip you off on your next loan, again and again, that is unless foreclosure gets you first.  Wait, that just means I could get more money from you because now you can't get a loan from your bank and have to go through me.  Damn I am a devious person and didn't even realize it.

Oh wait, I just realized that not all brokers fit that stereotype (Isn't that called racism elsewhere?), and thankfully I don't.  Will mortgage brokers be a dying breed?  I certainly hope so, at least those that do fit the stereotype above.  Certified Mortgage Planners are the wave of the future in my opinion, whether they are brokers, correspondent lenders, or lenders. 

Mortgage brokers acting in this new role have an advantage as they can use the tools from across the lending spectrum to the clients advantage.  Wholesale lending will always be around because lenders lend and they will do so every chance they can. 

It seems that many arguments stating that mortgage brokers and the wholesale lending channel will go away are encased in what the Bank of American and Countrywide merger will do, which is eliminate the wholesale channel.  Interestingly enough, I was asked about this by Inman News and my quote was presented in this article.  One thing I would add, I never used Countrywide or B of A, and I am still here.

What about if YSP goes away?  Big deal as we will just charge a fee for service at closing like we do every time we offer the wholesale rates anyway.  YSP simply allows the borrower to pay less at closing through a higher rate. 

What's a wholesale rate?  Basically the same rate that lenders charge you points for, so mortgage brokers actually don't cost any more and in many cases are actually cheaper than going to the lender themselves (I have a testimonial to prove that also).

So, despite what you read, you can see that I will not be going away anytime soon, unless I am the one who decides to do so. 

Another Testimonial From a "Non-Client" Client

As I mentioned before, I started asking some of the families I am assisting outside of the state to provide a testimonial if they wouldn't mind.  The results have been spectacular as I continue to realize just how much of an impact my advice has been for those outside of the state whom I do not even get paid for my services, except for satisfaction of knowing I helped them.

These people sometimes have to wait several days for my advice as I have to prioritize clients which do pay me for my services, so their patience is appreciated by me and the testimonials show that the wait has been worth it for them.

Here is the latest testimonial I have received, this time from a family which desires to remain nameless and withhold the location, at least for now...

“After e-mailing Robert Ashby on several occasions and reading many, many of his postings and articles, it has become clear to me that he is first and foremost committed to helping people.  His strong sense of the mortgage industry as well as his keen pulse in other areas including investment options, retirement considerations, financial strategies, etc. is indicative of his enduring capacity as not only a multi-faceted mortgage professional, but a truly committed advisor.  Thanks for all your help Robert!”.

Once again, I was blown away by the impact I have had on this family.  All I can say is for those looking for advice on their situation, please contact me, especially if you are in Florida.  The more people I can help, the happier I am and I look forward to more and more of these types of testimonials.

Florida Mortgage Report for 2008

Many people make resolutions during course of beginning a new year.  Of course, most of those resolutions fail  and people seem to simply renew them every year.  As for this post, it is not about resolutions, it is about goals, goals which will stand for the entire year and which I fully intend to meet or exceed.

The Florida Mortgage Report started as I thought long and hard about how to expand my ability to both further differentiate myself and provide valuable content to its readers (you) in a way that does not get "consumed" by a huge community of bloggers, which ActiveRain has become.  The time frame for the start was June 2007, and I really started working on it in October from the standpoint of marketing it so more of you learn of its existence.

Since then, it has grown slowly, but surely even through the holidays.  Now it is time for me to look at where Florida Mortgage Report is headed for 2008.  So, here are my goals for this site going forward..

• Grow subscribers to over 1,000
• Switch blogging platforms to one which I have more control over and redesign the site (I could use your feedback on this as to which platform and more user friendly design and "plug-ins")
• Build Google rankings to 1st page (already on 2nd page for "Florida mortgage").  Add more relevant keyword rankings as well
• Provide exceptional content in mortgage planning, education, news, advice, and more
• Provide more requested content from you, the readers, to better provide that relevant content and discussions, so please let me know what you would like to see.
• Make Florida Mortgage Report the most read blog on mortgages for the state of Florida as well as provide advice and guidance for those outside the state.
• Make more contributions to the RE.net community to help promote education, solid guidance, and more to ensure readers have access to the best, most beneficial content available.

As you can see, I have big plans for 2008 for this blog, and that does not even bring in my mortgage business, Solid Rock Mortgage Corporation.  I have big plans for it as well.  But I need your help to make these goals happen.

I need assistance from you to make this site the best.  I need your input on what you like and dislike from postings, the design, etc.  And, of course, I need you to subscribe to the feed or I can't make the "numbers".  Please feel free to contact me or comment on posts to provide your valuable input.

As we start 2008, let's work together to not only meet my goals, but yours as well.  Let's build wealth together and develop new ideas on how to bring financial freedom to the masses the best and fastest ways possible.  Make it your goal to meet your financial dreams this year.

Providing Solutions is What's Best

I have been asked to put some real case studies up of client's I have worked  with in the past and provide examples of how mortgage planning differs from your typical mortgage broker.  Since I have had several requests to do so, I am going to start adding some of the cases every now and then to provide examples of how I come up with solutions for clients.  (Client identities will not be used).

These posts will begin next week, but I want to give you an idea of how I do business first since that background is needed to understand how their stories play out and help you understand how that solution is derived.  You will clearly see how focusing on "lowest rate" and/or "lowest fees" will lead to financial destruction.  You may even learn a thing or two you didn't realize about the time value of money and how your decisions today compound the consequences of your future.

How does a process with myself and other mortgage planners work?

I cannot tell you about everyone else, but here is a rundown of how I do it.  (I will be holding back some of the "ideas" as I am working to market the system to others as well, so all I can say is it is different.)  The whole process doesn't start with you completing an application (online 1003 or "quick app" form).  It starts very simply with you contacting me.

From there I schedule your first appointment to discuss your situation in greater detail and provide a questionnaire developed to help me truly understand what financial situation you are in and where you want to be in the future.  After you complete the questionnaire, the second appointment is made to rehash and confirm answers and ensure we are on "the same page". 

Then the education process begins, which occurs side by side with searches for best loan programs to match.  Here is where you, as a client, learn what a mortgage is, the whole process, pros and cons of various programs (those which will be possible solutions), understanding of financial concepts, etc. 

Once again, we schedule a time to discuss what you have learned and show possible solutions in a side by side comparison spanning the range of solutions.  We will review the pros and cons of each and mutually agree which program is in your best interests.  If you aren't completely satisfied and comfortable with a solution I show, you can always opt to fall back on what you want at anytime during the process, but then again, you will also understand the financial consequences of doing exactly that.

Throughout the process, how you answer questions and the process itself will help me determine your level of fiscal discipline and your ability to maintain the plan.  Of course, once you complete the loan process and start your mortgage plan, we will maintain contact to ensure you stay on that plan and annually review it to ensure the plan adapts as your financial goals and dreams change (marriage, children, etc.). 

Please keep in mind that sometimes the solution is to maintain the loan you are in, simply put.  Rest assured your interests supersede mine.  I will not recommend any solution that is not in your best interests and which we mutually agree to be so.

Keep in mind that the planning process works for everyone from the first time homeowner up to the real estate investor with multiple residential and/or commercial properties.  The program is adapted to your level of experience and financial understanding and combined with your specific situation, goals, dreams, etc.  In simpler terms, it is truly "custom fit" for you.

So, there you have a little background in how I differ from others.  I hope that helps you understand where I come from and how I develop solutions.  Now, take what you learned about how I do mortgages and keep them in mind as I show some solutions I have provided.  They will be posted sporadically, so don't forget to subscribe to the feed and check back regularly.

Happy New Year: 2008 Version

Well, I want to again thank all of you for helping Florida Mortgage Report grow and I look forward to 2008 and what it has in store for you and for me.  I am already planning on some posts that will really get you thinking and some that may just knock your mind for a loop.  But all in due time.

For now, I just want to wish you all a joyous, prosperous and blessed 2008.  HAPPY NEW YEAR!!!

Postings Will Be Scarce While I am On Vacation

This post is just to let you know I am off on vacation so there will likely be fewer posts for the next week.  Normal posting should resume on or after January 4th, but check back once in a while or subscribe to the feed as I will be doing some posting here and there and you won't want to miss what I have up my sleeve.

I will be doing my normal posting at Lenderama and likely a few at Agent Genius as well as I find some down time or spin up my thought process on some topic.  So, please check those sites for what I add there as well.

I wish you all a Happy New Year (post to come later) and look forward to growing this site and providing more mortgage truths as well as education next year.

What's In Store for 2008?

Many have asked what are my predictions for the next year and now I feel compelled to provide you the answers.  I have read many forecasts across the realm and agree with some and disagree with others.  I will focus the real estate forecast to that of Florida, namely South Florida, since that is where I am located and do most of my business.

I warn you that it is not a rosy picture, and hopefully I am way off with many of the predictions as I am certainly not going to sugar coat it.  Here are my predictions for the 2008 year:

• Florida real estate will see an average price drop of 22-25% before achieving its "reality price".  That will be fueled by more lenders taking on guidelines similar to IndyMac, but is necessary to begin the improvement cycle.  We will see the bottom in Florida during 2008 and probably even a slight improvement as well.
• Mortgage rates will continue to climb as inflationary pressures continue.  Rates will likely stabilize around the 7% mark, but will likely reach higher at least short term.
• Fed Funds Rate will likely see at least one more rate cut before the Fed changes stance.  They will continue to do everything in their power to flood money into the system and fuel inflation and fight the next financial bubble bursting.  They will likely start raising rates again by year's end.
• Credit cards will be the next liquidity crisis as more and more Americans will fail to pay off their Christmas spending spree fueled by lower interest rates.  Auto loans may not be far behind.
• Bankruptcies will continue to climb as Americans have drowned themselves in debt and are unable to tap into their house ATM machine.
• Inflation will continue to increase, reaching 3% or higher during the year settling around the 2.8% mark.
• Economic growth will continue to be slow as "stagflation" takes hold.  expect growth to be around .5-1.0% for the year.
• Unemployment rates will continue to climb, breaking 5.0% during the year.
• The dollar will see a rally before it continues to plunge further, setting new record lows against virtually every non-dollar pegged currency, except maybe the pound (it will start its own devaluation).
• Gold will pass the $1,000 per ounce mark and silver will trend to the $17.50 mark.

As I said, not a rosy picture, but the good news is I am not an economist, so I may be way off and things will be better.  I highly doubt it though.

As for South Florida, things will get worse before it gets better but the "end" is near.  Changes in real estate tend to start here and IndyMac's changes in mortgage guidelines are a good example of that.  More lender's will follow suit and change will take place and do so rather quickly.

Once prices have dropped, buying will begin and we can finally start seeing the inventory numbers drop back below 2 years.  We can weed out amateur investors that were chasing a quick buck.  We still have plenty of investors, and they are making money right now despite the market.  Many other buyers, including investors) are waiting on the sideline until the pricing becomes the "reality price".

Thank you for taking the time and expressing an interest in my 2008 predictions.  I invite you to add your predictions in the comments or email them to me.  I also want to take this time to thank you for helping Florida Mortgage Report grow during 2007 and wish you a Happy New Year!!!