March 1, 2022

I hope you had a wonderful weekend, and Happy March!

Two months of 2022 are in the books, and most of us wonder when business will get better again? I don’t have that answer, but I will say that we all start to get worried when business drops down the way it has the first couple of months of 2022. Some of you have had great starts, so keep it up! Others are struggling to find their groove, and that’s OK! We don’t want to press and put pressure on ourselves to do more than we can. The market dictates the amount of business, and we can’t change that. I know in my business that I have been receiving a solid amount of good prospective buyers every week, and if there were enough inventory, I would be killing it! Unfortunately, the inventory crisis has pushed many potential buyers to beg to find something or quit because the road is too harsh. Quitting is not an option in my eyes, and delaying will only cost them more.

I get that we all have bills to pay, we need to make a living, and we thought the past two years would never end. Well, let’s say those days won’t come back for a long time, maybe 5-10 years. So now you have to work harder and smarter. Letting your clients know that prices are still rising, buying is cheaper than renting, mortgage payments are fixed, and you are building equity when you buy!

Then think of all of the great sources for business that you never had time to pursue. Speak with Business Owners, Divorce Attorneys, Property Managers, Financial Planners, College Planners, CPA’s, and see how you can help their clients. Farm your neighborhoods, be on the planning committee for the summer neighborhood party, be on the planning committee for your 10/20/25/30/40/50 year High School reunion. Get the old dance, football, baseball… team together. Call the Moms that you did Girl Scouts with and so much more. Wine nights, Poker games, come over and watch the Bachelor (Just kidding on that), have a dessert party, a cigar night, and so much more. We can do so much to turn this slowerish start to the year into a wonderful 2022 and beyond.

The last thing you need to do is work on your skills and team! Take a class, work on scripts, get more organized, stay consistent, work harder, hire someone to do the $15.00 per hour stuff, and make yourself more available than ever before! Ensure that the team around you is just as skilled and talks with your clients about what a great market this is if they can get in. Talk with your lender about your offers. Can we waive everything? Appraisal and Loan? My answer is YES if they have the money to cover a short appraisal! Will I screw that up? NEVER!!!! What will make your offer stronger? Who will make you look better? What will give you an edge over other agents?

There is so much more to talk about, but you have to get out there and work. I am 100% a team player, and I am only as successful as the people I work alongside. I love what I do, and I am passionate about homeownership leading to a great retirement! I may be too optimistic, but that means I am rarely negative, and we need to take the first two months and put them in the back of our minds and push forward to have better days, weeks, and months ahead!

Interest rates are a little better this week. The war in Ukraine has pushed stock investors into bonds, plus Mortgage-Backed securities are doing better too! Please understand that this could be a temporary blip on the screen.

Interest rates have been at this level or lower 17.5% of the time over the past 50+ years! If people think they will go down in the short term, they will miss the boat!
30-year Government Loans (FHA / VA) are in the mid to high 3’s
Conventional Loans up to $647,200.00 – high 3’s and low 4’s
High Balance Loans $647,201.00-$ 970,800.00 are in the low 4’s +
Jumbo loans above $970,801 are in the low 4’s +. We can do high 4’s with as little as 10% down. We can do 1-year findings on these too!
5/1, 7/1, 10/1 Arms are in the high 3’s and low 4’s! The weird market for them.
Bank statement loans – They are available with 10% down again! 4’s to low 5’s depending on down and credit score.
Stated income loans – I have one bank with 30% down, but everything else has to be perfect! Interest rates are in the high 4’s.
0 down loans are in the 4’s – 620 credit score min right now! Mid 3’s for the most part up to $670,000.00 Price.
0 down Jumbo to 1.2 Mil – 700 credit score – call for a quote
Private Money lenders – hard Money Loans – 35% down!
No Ratio Loans 30% down
Debt Service Coverage loans with as little as 25% down
Bridge Loans – are typically 4.99 – 5.99% with limited fees – But they get you where you need to go!
Interest rates are subject to change without notice! Above are LA County Loan Limits.

I will be around all week if you need anything. My cell is 661-714-6258, and my office line is 661-260-2970 xt. 2222. Please text me at 661-714-6258 or email me at Mike@AugustaFinancial.com. Have a great day and a better tomorrow! Please call me when you have a client that needs to borrow!