We are going to look at what is causing this trifectaof opportunity we are experiencing and take a look behind the scenes to see howdifferent people are using various strategies to get some high fives and bragging rights onfreeing up thousands of dollars.
Whatcan you do differently in your life plan, if you gave yourself a bonus everyyear with a few hundred per month saved or several thousand over the next fewyears.
What do YOU want to accomplish with YOURmortgage? Let’s explore some mortgageangles that will help you get where you want to be. Let’s stay connect! Call me at (615) 924-6215 This email address is being protected from spambots. You need JavaScript enabled to view it. Subscribe toget Real Estate Mortgage Shoppe podcasts with show notes at www.TNRDHomeLoans.com
To Your Success,
McKenzie Mortgage RD Loans, Mortgage Loan Officer NMLS#757308 (901)482-0354 This email address is being protected from spambots. You need JavaScript enabled to view it.
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JOIN US IN THE REALESTATE MORTGAGE SHOPPE STUDIO
Good morning Memphis! Welcome toour internet listeners and podcast listeners across the 50 states! You’re onReal Estate Mortgage Shoppe. I’m your host, McKenzie Mortgage RD Loans, Mortgage Loan Officer. You can connect with me at www.TNRDHomeLoans.com. Our generaltopic is High Home Values, Hot Housing Market, LowMortgage Rates, How Long Will It Last? Today’sshow is sponsored by real estate attorneys Rob Draughon and Shelley Rothman ofGriffin, Clift Everton and Maschmeyer. For your home purchase or refinance give Rob and Shelley a call at (901)752-1133. Subscribe to get Real Estate Mortgage Shoppe podcasts with show notesat www.TNRDHomeLoans.com Call us whilewe’re live today August 1st, 2020 at (901) 535-9732.
Tom King, our real estate appraisal expert is back in the co-hostchair. Tom you have over 40 years experienceappraising real estate in the Shelby County TN, Tipton and FayetteCounties. Tom you have a very up closeand personal view of what is happening with our home values and what we shouldexpect in the near future. (Tomhas about 1 min or so to introducehimself and talk about what he does for his appraisal clients.)
(Jo) I was listening to some market gurusdiscussing the future of our real estate and mortgage market. Corelogic forecasts that home values will godown 6.6% over the next year. But, IvyZelman a national housing research expert believes that our home prices will goUP 3% by the end of this year. She doessay that what happens after the end of the year will depend on our employmentnumbers and the situation with mortgage forbearances under the current CARESACT which will soon end. We are livingin a golden time of opportunity right here and now.
An example of why it is important to exploreyour mortgage options Now why we have this Tremendous Trifecta of MortgageRates Low, Home Values High and in a Hot Housing Market.
Calvin and Courtney Collinger’s story (nottheir real names) Mr. Collinger called me and he said, “ I listen to you onWREC when you are talking about how much a simple restructure on a mortgage canchange someone’s life and save them thousands of dollars. But I always thought our mortgage rate wasn’tbad so I never called– until today.”
He went on to say that he and his wife hadchildren late and life and now they are looking at faced with a two-part dilemmaof wanting to help their two children financially while they are in college.BUT they ALSO want to retire in a little over 10 years with some savings and apaid off mortgage. Calvin and Courtneytalked about ways they might be able to afford to achieve both goals, but therewas no extra money to get around these two challenges. They just thought therewas nothing they could do to change those facts.
But, what this family did was sobrilliant. The Collingers took sometime and we looked at some refinance options that could lower their payment byover $500/month. Their mortgage balance was quite a bit lowerthan when they had gotten the loan 10 years before. The answer for theCollingers decided was to refinance to a 15 year loan and since the rate was somuch lower than the one they had. They could now save over $500/month whichwould allow them to help their children in college. AND, when their children graduated, theycould apply all of the $500 savings per month to pay off the mortgage. Ten years down the road when Calvin andCourtney were ready to retire, their mortgage would be PAID OFF. Calvin kept saying how amazed he was thatthe answer to get over TWO challenges was just one simple restructure on hismortgage. MAKE YOUR PLAN. LET’S WORK YOUR PLAN. IF THE DEALWORKS FOR YOU TODAY, LET’S DO IT TODAY. Connect with me at www.TNRDHomeLoans.com. Email me at This email address is being protected from spambots. You need JavaScript enabled to view it. or just call me at (615) 924-6215.
Tom, I have never seen a market like we are in now in allof my 30 years in the mortgage business. I can remember people saying to me, “if only the rates were lower, andif only I had more equity in my house and if only homes were selling fast, Icould do this or that…” Well, thattime is now –at least for now. What areYOU seeing happening with our home values? What is YOUR opinion of why we are seeing this very unusual marketsituation? Tom talks about what he isseeing in the market and the reasons for these market conditions…
You’re on Real Estate MortgageShoppe. I’m your host, McKenzie Mortgage RD Loans, Mortgage Loan Officer. What do YOU want to accomplish with yourmortgage? Make your plan. Let’s work your plan if the deal works for you today,let’s do it today. When we come backTom King of Bill King Appraisal Company will be giving more insight to how yousee your home values. We will beintroducing our featured guest Miranda Griffin, Wellness Coordinator for www.HealthyMidSouth.com with some simple tips to keep you healthy
TALK SHOPPE BUSINESS TIP FOR REAL ESTATE PROS
2nd segmentafter 9:15 advertising break – (producer to start the song “Taking Care of Business” by Bachman Turner Overdrive–but bring the volume down before the lyrics start) It’s time to talk shop withTalk Shoppe’s Business Tip For RealEstate Professionals. Talk Shoppe is a marketing company offering freeeducation and networking to anyone interested in real estate or in business.Talk Shoppe is made possible by thefinancial support of its sponsors and advertisers. For more about Talk Shoppe,go to www.TalkShoppe.com(shoppe) For our Talk Shoppe BusinessTip today we have Talk Shoppe sponsor Miranda Griffin, Wellness Coordinator at www.HealthyMidsouth.com- ImprovingLives One Step at a Time. Miranda hasquite a personal testimony of how healthy eating can bring a positiveturnaround when challenged with sickness. You can learn something new fromMiranda regularly at Talk Shoppe. So Miranda Griffin, please share our TalkShoppe tip and help our real estate professionals and other listeners so we canstay healthy.? (Miranda has about 1.5minutes to share some healthy tips )
Miranda, how do we contact you? www.HealthyMidSouth.com
Tip#1
True or False?
You are what you eat?
It’s not rocket science!!!
Think about it. What you literally put in yourbody will do something.
You put the right healthy food, herbs, spices,grains, protein, juices, milk etc. in your body, then good things happen.
They will process through out your systemeither feeding your body to continue to fight off sickness and disease as wellas fuel it for it’s optimum performance or it will do the opposite. Bad thingswill feed a disease or sickness and tear your body down. It truly is thatsimple. Where the average person has difficulty is choosing better habits. Ourtaste buds want that tasty southern fried food and the great American whitediet of pastas, potatoes and breads. It is so easy to make good choices but onthe flip side our bad habits are easy to do as well.
Bottom line, tip for today is to be mindfuland think about your choices. As I always say, “Every choice you make isand investment in you. You’re all you’ve got and you cannot traded yourself infor a new one.”
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TOPICS COVERED BY TOMKING, REAL ESTATE APPRAISER
- Tom, please give usa broad overview of what you are seeing in our local real estate market when itcomes home values and trends of people buying and refinancing.
- Explain some of the economic reasons we are seeing lowrates, high home values all going on in a hot real estate market.
- Talk about what kind of sanitizing protocol you need to usewhen you go into home to appraise it.
(Tell story about thelady who met you at the door with shoe covers and gloves)
- What type repairs doyou suggest be handled before an appraiser comes out to your home?
TOPICS COVERED BY JO GARNER, MORTGAGE LOAN OFFICER:
- What areyour mortgage customers doing right now that is giving them an advantage in ourcurrent real estate market?
To prepare for ANY market—foul or fair—the smartest things a homebuyer or mortgage customer can do, in myopinion, is to get the payment in a comfortable range, keep plenty of emergencyfunds too. And surround yourself withresourceful people who can help you later if your circumstances should becomemore challenging.
Two Basic Types of Refinance Mortgage Customers
- For the benefit of ourpodcast listeners, today is August 1st, 2020. There are two basic camps for people who arerefinancing and walking away with big-time bragging rights.
- Free Up Cash-The first camp are the homeowners and families whoseultimate goal is to free up cash every month by refinancing to a much lowerrate and taking the loan back to a 30 or 20 year fixed rate term.
The free-up-cash goals for these families may be to reinvest wisely themoney they are saving each month into places that can build them wealth or a safety net.
There are some mortgage clients that may even combine their higher ratefirst mortgage and second mortgage and credit card debt into one very low, veryfixed rate mortgage. By getting theother higher interest rate debt combined into one low rate over 20 or 30 years,some clients have freed up over $1,000 per month.
Let me share with you an example of someone who used this impressivestrategy:
Mr. Jones not his realname.) Mr. Jones and his wife had a good jobs but his wife got sick and had toquit her job. The income in thehousehold dropped but not the bills. As Ms. Jones’ health deteriorated, sheended up in the hospital and then needed around the clock care. Mr. Jones hadto cut back on time he could work on his job and his own income dropped.Unfortunately, Ms. Jones never recovered and passed away.
Late one afternoon Ipicked up my phone and it was Mr. Jones on the other line. He told me hisstory. When the income dropped in theirhousehold, he said he had no choice but to start using credit cards and now waspaying over 15% interest and the owed balances kept compounding higher becausehe could only pay the minimum payment. He also told me they had amassed mountains of medical debt.
He and his wife hadpaid down their mortgage over the years and only owed about 25% of the value.The mortgage payment was really high though, because they had refinanced it afew years ago to a short 15 year term, hoping to have the mortgage paid offbefore they retired. The mortgage payment in Mr. Jones’ situation, was chokingthe life out of him.
We looked at severalscenarios and Mr. Jones decided on this one:
He refinanced hismortgage back to a 30 year term with a lower fixed rate to get the payment as low as possible. He rolled the biggest part of the credit carddebt, especially the cards with the exorbitantly high interest rates. Byconsolidating his high debt payments all into his new 30 year mortgage byrefinancing, he lowered his monthly payment by about $750/month.
Mr. Jones then set up a small monthly payment plan with themedical collection companies. He usedsome of the $750/month savings from refinancing his mortgage to wipe out evenmore debt. Now he was seeing light at theend of his tunnel.
By setting up a plan to systematically pay off his debt, hefigured that in less than 5 years when the biggest part of his debt was paidoff, he could start paying all of the $750/month that he was saving and startprepaying his principle on his mortgage so he could still pay off his mortgageearly.
My client, Mr. Jones, was enjoying some hero status withother family members because of the steps he took to overcome what seemed to beinsurmountable odds. Not only did he quickly get his debt back under controlbut he was still going to get to pay his mortgage off early.
- The second camp are thehomeowners whose ultimate goal is to get rid of debt sooner starting withshortening the mortgage term. This isespecially beneficial when you can use the low mortgage rates to knock off afew years off your mortgage term without raising the mortgage payment you arealready paying. A perfect example ofhomeowners getting these bragging rights are people like Calvin and CourtneyCollinger whose story you heard earlier in the show.
TwoBasic Types of Home BUYERS
- There are two basic camps of homeBUYERS rightnow taking advantage of this market.
Move-UpBuyers-
- Taking advantage of this double opportunity of having more equity than everin their own homes and the lowest rates in our history. These buyers are selling their current homesand moving up to the nicer, bigger homes with the pool and the community wherethey thought they might never get to live –at least not this soon.
Here’s anotherexample: Maynard and Marlene Mueller(not their real names) had yearned to move for a couple of years now to a moreupscale neighborhood where some of their friends live. But the price tag on the monthly note wouldhave been $800 higher than what they were paying then on their currenthome. That plan was insanely outof reach for them in 2018.
However, thisyear the Muellers considered the deep dip in the mortgage rates TOGETHER withthe simultaneous spike in their current home value. Now they finally could makethe positive pivot to the bigger, beautiful home. They sold their current home at top priceand took the $300,000 net profit and put it down on that more upscale home witha $200,000 higher price tag. Their payment was a little higher than they werepaying at the old place, but making this transition today with lower ratescompared to 2018 made the $300 bump in payment very affordable–a happy day forthe Muellers.
BuyersAdding Real Estate To Their Net Worth
- These homebuyers are often first- time homebuyers buying their first home or investors buying their 2nd, 3rd or fourth home.
First-time Homebuyers-The key for first-timehomebuyers are generally to buy a home with an affordable monthly payment andnot a lot of cash out of their pocket. There are plenty of down payment assistance programs and special zero to3% down loan programs out there too. The next priority for first-time homebuyer mortgage clients is to makesure they have multiple exit strategies that would help them make a profit evenif he housing market turned down. Callme and let’s explore some strategies YOU can use to get that peace of mind whenyou buy your home that you never have to feel stuck.
Investors- This is also a great opportunity for real estateinvestors to get out and start buying homes to use for rental income. Make sure you buy where you are making anice positive cash flow up front. Likea business, you want your rental income producing properties to make YOU money. Call me and let’s explore some ways tohelp you get started –even if you start small and build your portfoliogradually over time.
Talking about investors and setting yourself up to come out on top, evenif the market conditions go to a bottom, reminds me of a former client—a verysuccessful real estate investor who started out small, but ran into hurdlesthat were bigger than him. Here’ howWallace Winton overcame hurdles that could have sunk him financially and onehurtle that could have taken his very life.
About 15 years ago, Wallace Winton (not his realname), worked hard at a job to providefor his family. Every day as he worked,he yearned for a life he could see in his mind, but was financially way out of reach. Wallace started attending alocal real estate investment association and became friends with some of theinvestors there. He put someexperienced people from his network on his team and jumped out to buy 4 homesthat year, all of those homes earning a positive cash flow. He combined hisskills with resources other people had to offer-like private financing,wholesaler leads to money-making rental properties.
Over the first7 years, Wallace put a plan in place and acquired 55 rental properties, some ofthem fixer-uppers that he renovated and kept for income. He had so much incomethat he no longer had to work a job.
It was not a leisurely walk to the path of success forWallace, though. Just as Wallace wasacquiring his first few income-producing properties, he was suddenly slammedwith a serious illness that forced him to pull away from buying real estate andjust rest and recover for a couple of years. Then—BOOM– real estate market crashed. Financing dried up. Then the market spiked again.
Here’s Wallace Winton’s secret for surviving well -nomatter what happens in life or in the economy–Wallace tenaciously stuck withhis plan, tweaking it to adjust to what the real estate market was demanding atthe time. He nurtured his friendships and kept up his association with theright real estate professionals and the smart use of his resources, Wallacepowered through with his plan and, today he and his family are enjoying theirabundant harvest.
REAL ESTATE TIP OF THE WEEK (Miranda Griffin, WellnessCoordinator of www.HealthyMidsouth.com sharesanother health tip
Tip #2 from Miranda Griffin, www.HealthyMidSouth.com
Dog days of summer can easily dehydrate you.
Are you getting enough?
Drinking Water Helps Maintain the Balance ofBody Fluids. Your body is composed of about 60% water. The functions of thesebodily fluids include digestion, absorption, circulation, creation of saliva,transportation of nutrients, and maintenance of body temperature and so muchmore!
Adequate hydration can:
– Reduce the oxidative stress
– Significantly affects energy levels andbrain function
– Can aid in weight loss
– Helps with constipation
– helps the muscles
The bottom line
Even mild dehydration can affect you mentallyand physically.
#3
Sleeping Deprivation can create havoc in one’slifestyle
The benefits of having 7 to 9 hours of sleepcan literally change one’s life.
It helps your heart and your brain. It reducesstress and inflammation. It improves your memory and makes you more alert. Itaids in weight loss and healing of the body.
So when you hear someone say they will sleepwhen they die, keep in mind not having enough sleep can lead just to that.#GetYourRest
ANNOUNCEMENTS:
Talk Shoppe offers freenetworking & education to anyone interested in real estate or in businessand health and wellness. Talk Shoppe meets every Wednesday 9A-10A CT virtuallyin our awesome location. Go to www.TalkShoppe.com click on he UpcomingEvents tab and then click on the zoom web link to join us every Wednesday. This Wednesday August 5th, 2020 Kelly Inman ofNext Day Access will be presenting “Home Modifications For Aging In Place”
Talk Shoppe events arefree thanks to advertisers like Pat Goldstein, Realtor with Crye-Leike in WestTN and North Mississippi. Pat is called“The Gold Standard in Real Estate.” Forexpert help with the sale or purchase of your home, call Pat at (901) 606-2000
Talk Shoppe also thanksPeggy Lau and Kurt Lau of Dream Trips. Peggy and Kurt can show you how to take 5-star vacations at a verybargain price or even free. You can travel on your own or with a fun community. Contact Peggy at (901) 289-0747
2. Thank you to realestate attorneys, Rob Draughon and Shelley Rothman of Griffin, Clift Evertonand Maschmeyer for sponsoring today’s episode of Real Estate MortgageShoppe. Are you thinking about buying ahome or refinancing one? Give Rob andShelley a call at (901) 752-1133
3.
4.
4. Subscribe at www.TNRDHomeLoans.com and you can get our weeklyblog posts with podcasts conveniently in your inbox.
5. RealEstate Mortgage Shoppe reminds you to MAKE YOUR PLAN. LET’S WORK YOUR PLAN. IF THE DEAL WORKS FOR YOU TODAY, DO IT TODAY.
SPECIAL NOTE: REAL ESTATE MORTGAGE SHOPPE RECOMMENDS THAT YOU CONSULT WITH A FINANCIAL,LEGAL OR OTHER CERTIFIED, LICENSED PROFESSIONAL BEFORE ACTING OR INVESTING ONANYTHING YOU HEAR OR SEE FROM THE CONTENT ON THIS SHOW OR BLOG POSTS. THEINFORMATION WE SHARE ON REAL ESTATE MORTGAGE SHOPPE IS GENERAL IN NATURE MEANTFOR GENERAL EDUCATIONAL PURPOSES ONLY. ALL EXAMPLES GIVEN FOR ILLUSTRATIONPURPOSES ON REAL ESTATE MORTGAGE SHOPPE AND ARE BASED ON TRUE STORIES BUT WEUSE FICTIONAL CHARACTERS AND DO NOT DIRECTLY REFLECT REAL PEOPLE OR EXACTDETAILS IN ANY OF THE SITUATIONS.
Outofstress.com The Good New is…Nothing Last Forever. And now the BadNews….Nothing Last Forever
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REJOINDERS:
- Mark Loden, Monthly Budgeting Specialistfrom Germantown, TN (901) 624-0052
- Nita Black, business strategist fromBartlett, TN www.901ELearn.com
- EricEurich, Kaizen award-winning business coach with Focal Point Business Coaching(901) 340-9558
Transitional Music: “PayAttention” from Sister Act; “Any Way You Want It” by Journey; “You Make MyDreams Come True” by Hall and Oates’ “Taking Care of Business” by BTO for theTalk Shoppe Business Tip for Real Estate Pros
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ABOUT MIRANDA GRIFFIN, WELLNESS COORDINATOR
MirandaGriffin is a native Memphian with deep Southern roots.
Her journey from being diagnosed with RA & Lupus about 6years ago, to getting off all 8 of her medications until now has placed aburning desire in her to share with others that it is never too late to startgetting healthy.
Inthe past three years she has teamed up with other local healthcareprofessionals where they educate small groups, schools, churches, library’s andbusinesses simple steps for a healthier lifestyle and longevity.
Understandingthat you cannot thrive without your health and you cannot enjoy life if you aresick or have a debilitating illness or disease.
Shealways says
“invest in you you’re all you’ve got!”
(901)859-2410
ABOUT TOM KING, REAL ESTATE APPRAISER
Tomis a well- respected and sought after appraiser in Memphis, Tennessee. Heis a second generation appraiser with 40 years of experience. He hasbeen elected to the Memphis Area Association of Realtors Board of Directorsthree times.
Tom is a certified residentialappraiser in Tennessee. He have appraised over 20,000 homes in hiscareer. A graduate from the University of Tennessee with a degree in realestate, Tom is also a Certified Relocation Professional (CRP). Tom alsohas vast experience in dealing appraising real estate for pre-listing sales,cash buyers, divorce settlements, estate settlements. (901) 487-6989
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ABOUT JOGARNER-MORTGAGE LOAN OFFICER:
WHAT DO YOU WANT TO ACCOMPLISHWITH YOUR MORTGAGE?
www.TNRDHomeLoans.com (901) 482 0354 This email address is being protected from spambots. You need JavaScript enabled to view it. twitter @jogarner NMLS# 757308 (currently working with SierraPacific Mortgage, Inc)
“Whatever YOUR personal priorities are, my job is to help youget the mortgage terms that will give you bragging rights when you talk aboutit and help you score on hitting yourgoals .”
As a mortgage loanofficer, my job is to help you get to the benefits you want from your financing terms. What is most important to you? I can help youfind the financing terms that will help you get to what you want. What is your comfort level on a house payment?How much are you comfortable paying down,? What type of financing do you needto get the house you want to buy or refinance?
Different clients have different priorities inlife—some are buying their first home with very little down payment funds. Some are recovering from medical challenges,divorces or preparing to send children to college and some are embarking on along term goal of buying properties to build rental income.”
TNRDHomeLoans is a mortgage officer with extensive knowledge in tailoring mortgages toher customers who are refinancing or purchasing homes all over thecountry. She offers conventional, FHA,VA or other loan programs for refinancing and purchases.
Jo can help you look at rent vs buy, when it makes sense torefinance, how to get the best deal on your home purchase financing.
McKenzie Mortgage RD Loans has beenin the real estate/financing business for over 25 years. She got herstart in Portland, Maine where she first began her real estate career. Shereceived her real estate education from the University of Southern Maine and was personally mentored in San Diego, California by Robert G. Allen,author of Nothing Down,Creating Wealth andThe Challenge.
On moving back to West Tennessee in 1987, she went intobusiness buying and selling discounted owner-financed notes secured on realestate. In 1990 Jo went to work for a residential mortgage company andhas been a mortgage loan officer for over 25 years. Her goal is to offerexcellent, affordable service to her customers, tailoring theloan programs to the specific needs of her clients.
In addition to her work in the mortgagefield, McKenzie Mortgage RD Loans is the primary sponsor and founderof Talk Shoppe in Memphis. www.TalkShoppe.com TNRDHomeLoans also host the radio show Real Estate Mortgage Shoppe airing on NewsRadio AM 600 WREC and iHeart Radio with podcasts and show notes published on www.TNRDHomeLoans.com
