10th Annual Coldwell Banker Charity Golf Tournament a Success

Mortgage California is a proud sponsor of the 10th annual Coldwell Banker Charity Golf Tournament, held on Monday June 27. The tournament was a great success, with benefits going to the Children’s Gaucher Research Fund.

The CGRF was founded in 1999 by the Macres family in memory of their son, Gregory, whom they lost to the disease.

They have raised over $1.6 million for medical research on Gaucher Disease, funded important research projects, and held several scientific conferences.

The golf tournament, held at the North Ridge Country Club, raised a substantial amount of money for this great cause. We are very proud to have sponsored a hole at this wonderful charity tournament.

This Week’s Market Commentary

This week brings us the release of four economic reports for the markets to digest, with three of them being considered important.

One of those three is one of the more important reports we see each month.

There is relevant data or events scheduled for each day except Thursday, so it will likely be another active week for mortgage rates.

May’s Personal Income and Outlays data will be posted early this morning. This report gives us an indication of consumer ability to spend and current spending activity. They are important because consumer spending makes up two-thirds of the U.S. economy.

Analysts are expecting to see an increase of 0.3% in income and a 0.1% rise in the spending portion of the report. Smaller than expected increases should be good news for the bond market and mortgage rates.
June’s Consumer Confidence Index (CCI) is the second report of the week. It will be posted late Tuesday morning. It is important to the financial markets because it measures consumer willingness to spend. If consumers are more confident about their own financial situations, they are likely more apt to make large purchases in the near future.

Current forecasts are calling for a reading of 60.3, down from last month’s 60.8 reading. The lower the reading, the better the news for bonds and mortgage rates.

Friday has two reports scheduled, with the first coming from the University of Michigan who will update their Index of Consumer Sentiment for May. This index gives us a measurement of consumer willingness to spend.
As with Tuesday’s CCI, if consumers are more comfortable with their own financial situations, they are more apt to make large purchases in the near future. Since consumer spending makes up two-thirds of the U.S. economy, any related data has the potential to affect bond trading and mortgage rates.

The second report of the day and the last data of the week is the Institute of Supply Management’s (ISM) manufacturing index for June late Friday morning. This index measures manufacturer sentiment by surveying trade executives on current business conditions. A reading above 50 means that more surveyed executives felt business improved during the month than those who felt it had worsened.

Analysts are expecting a reading of 51.1. That would indicate that manufacturers felt business worsened from the previous month, when we saw a 53.5 reading. Good news for bonds and mortgage rates would be a weaker than expected reading, particularly something below the recessionary threshold of 50.0.

Overall, tomorrow and Tuesday’s data should bring some volatility in trading and mortgage rates, but Friday’s ISM report is definitely the most important of the week.

Mortgage California Ranked #3 Company to Work For In Bay Area

In the Sunday edition of the Mercury News, the Bay Area News Group published their February survey results of the Top Work Places. We were ranked #3 for mid-sized companies (150 to 500 employees). The rankings were based upon surveys completed by employees which makes this honor even more special.

We also received a special award in the area of Ethics for the way we conduct business. Below are links to the rankings, our profile, the special awards listing, and information about how the rankings were compiled. Don’t miss the picture of the “worker bees” which was printed on the front page of the special section in the newspaper.

Mercury News Top Workplaces List
Mortgage California Profile
Ethics Award
Mortgage California mentioned in Open Communication article in SJ Mercury
Congratulations, and especially thank you, to all employees and clients for making this one of the best places in the Bay Area to work! Mortgage California is currently hiring loan officers; take a look at our website to get in contact and learn more.

“This is a huge honor, and purely reflective of all of [the employees'] individual efforts and dedication to each other,” said Rob Reid, CEO. “I am very honored to be part of this great team.”

Mortgage Rates Set New 2011 Low

Mortgage rates have continued their decline and have set yet another 2011 low, according to the Wall Street Journal.

A decrease in new jobs has caused the mortgage rates to fall to the lowest point of the year. The decline in fixed rates represented the eighth-straight weekly fall.

This is a result of the statement by the Bureau of Labor Statistics this week that employers did not add nearly as many private-sector jobs as they expected.

Freddie Mac’s most recent survey shed light on the lower rates, and the downward trend is continuing.

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I am Truly Flattered!

Loan Officer Fosters Dogs In Need

June 14, 2011

Christina Herzig, our 2010 Rookie of the Year award winning loan officer, was surprised by her interest in the real estate finance industry when she stumbled into it in 1998.

“Honestly, I had no idea what real estate finance was until I was “lended” out as a fill in receptionist for a small brokerage firm in the same building where I was working at the time.  One of the loan officers saw my interest in learning about what I was doing, hired me as his assistant and showed me the ropes,” she said.
Her skill was quickly apparent, and she found that she loved the numbers, the interactions with the people and the uniqueness of each file.  The job was never boring to her, and Christina had found her career.

Today, she is extremely successful in a job she adores.

“I love the problem solving involved in most loan transactions.  Most loans are not “vanilla” loans that are easy to close,” said Christina. “Most of all, I enjoy the relationships I develop with my clients during the process and hearing their excitement when we get their loan approved and seeing their joy at the signing.”

Aside from her work at Mortgage California, Christina is highly involved with the Animal Friends and Rescue Project, an amazing organization that rescues animals that have been abandoned or are at their “expiration” date with other shelters. Christina volunteers as a foster parent for these dogs, taking care of them until they are adopted.

“I find it to be so incredibly rewarding to see these great dogs find loving homes where there is a mutual giving/taking of love and joy,” said Christina.

Chocolate

Chocolate, a nine-year-old Chow mix, came into Christina’s life after the dogs’ family lost their home. A true Houdini, Chocolate was a mastermind at getting past obstacles and by his foster mom’s side.

“She figured out how to jump over her 3’ high puppy pen.  She figured out how to move the baby gate out of the way to get into my room at night,” said Christina.  “She even figured out how to move my heavy bar stools, climb over her crate and move the baby gate to get to me.  Nothing stopped her.”

Though she does get attached to the dogs she fosters, it helps knowing that they are going to loving, forever homes. Her caring nature carries over from her volunteering to the way she values her clients, and is one of the things that makes Christina an outstanding loan officer.

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Should You Pay Off Your Mortgage?

Homeowners may dream of the day they can pay off the mortgage. Financial advisors across the country say they are hearing questions all the time about the wisdom of retiring the mortgage early.

The pros:
* The obvious reason to do it: Paying off the home loan could save tens of thousands of dollars in interest during the time you would make payments.

* The second reason is the peace of mind you have from owning your home free and clear.

* Most experts recommend owning your home free and clear before you retire.

* If you still have a higher interest mortgage, paying down your principle will make refinancing easier.

The cons:
* Some financial needs should come first: Max out your 401(k) contributions. Pay off credit cards. Create a 6-month emergency cash fund.

* Mortgages are cheap money. When you pay down your mortgage or pay more every month, you are probably hoping for those big dollar savings on interest. But remember these are future dollars and they will be worth less 20 years from now. Keep your higher value dollar today and pay the bank its lower value dollar in the future.

* If you plan to move to another city or trade up or down, it’s not wise to pay off the mortgage. You would tie up your money in a home you might not be able to sell very soon when you want to buy another one.

* The mortgage interest tax deduction doesn’t help everyone. If you are in a high tax bracket, it’s more valuable. If you are retiring or in a lower tax bracket, it’s not worth as much.

* Check to see if the investment you could make with the payoff money would earn more interest than what you are presently paying on your home loan. A 50/50 stock/bond portfolio has historically earned 8.2 percent in the long term, but might only make 6 percent now, according to Money magazine.
Their conclusion The Money experts say that if paying off the mortgage would give you great satisfaction and a sense of security, go ahead and do it.

Tagged as: finance, home ownership, loans, mortgage, real estate

How to avoid big problems with your do-it-yourself project

If you have a few construction skills, you might be eager to tackle a home modification project. Before getting started, here are several steps and cautions that should be considered.

* Make a written plan. Prepare a day-by-day calendar outlining each portion of the project and how many hours it will take to compete.

* Get a city permit. If you are adding a room, putting up a storage building or changing your patio into a room, you need a permit. Some plumbing and electrical jobs require permits, as do changing gas or sewer lines.

* Buy the correct materials. Skimping with inexpensive products can compromise the quality of the job.

* Invest in a set of tools specifically designed for the repair or the construction job.

* Use safety gear. Wear safety goggles when using a power saw. Buy the best gloves for the job. Wear a hard hat if others will be working above you.

* Before you pick up a power tool, climb a ladder or raise a hammer, consider whether you can do the job safely. If you aren’t sure, hire a professional for that part of the project, especially when it includes electricity or moving heat ducts or plumbing lines.

* Be very cautious with chain saws. They send many a do-it-yourselfer to the emergency room.

* Emphasize accuracy. Remember the principle, “Measure twice, cut once,” when working with drywall, baseboards or pipes.

* Expect the unexpected. If you are moving a wall, don’t be surprised to find problems such as termites, mold inside the wall, or electrical wiring that has to be moved.

It’s exciting to plan and to get started on a DIY project, but always remember: Safety first!

Want Granite Countertops? Prices are Lowest Ever

The price of granite has declined by about 50 percent. You can thank competition for the reduction as producers in Asia and Brazil quarries now market granite in the United States.

Remodeling contractors say the cost of labor for kitchen projects is down as well. People who have waited out the recession and have the money to do it are moving forward with kitchen updates.

The Harvard Joint Center for Housing Studies say remodeling spending fell 16 percent between 2007 and 2010. Now, affordable prices for traditionally upscale appointments are perking up homeowners’ remodeling plans.

According to the National Association of Home builders, overall remodeling costs are running at least 20 percent lower than 2006.

The biggest budget killer: impulse buying.

Studies at the University of Pittsburgh show that impulse buying adds up to 30 percent of overall spending. Here are some tricks to keep you from unplanned purchases:

• Look at the clothing or electronic gadget but don’t touch them. Picking up an expensive sweater or cellphone increases your sense of ownership, which makes it more difficult to resist buying.
• Consider what you would rather do with the money. Save it toward a grand vacation? Focus on which one you would rather give up.
• Shop with a list. This classic idea can be one of the biggest money savers of all. Decide what you want and need. Mentally decide how much you are willing to spend on gifts, personal care and items for your home, and how you could save one-third of those costs over a year.
• Create separate savings accounts for items like vacations, Christmas, and new furniture. One Dartmouth researcher says a reminder on your calendar can help. Reminders like “Deposit tax refund to Roth IRA” can boost savings by 15 percent.

Tagged as: decor, home improvement, real estate, remodeling, saving money, staging