Drawing on Steve’s more than 20 years of working with professionals to dramatically improve their success, the “MindShift” he offers frees people from unnecessary pessimism and puts them back in touch with the source of their enthusiasm for work and life.
Although Steve Chandler graduated from the University of Arizona with a degree in Creative Writing and Political Science, and spent four years in the military studying language and psychological warfare; he credits his own life experiences with failure as the most valuable tools for helping others.
Steve’s audiences are inspired by stories of his “low points” – it gives them hope, because they realize that they are not nearly as bad off as he was – they figure if Steve can transform his life, so can they!
Steve Chandler is now the author of 30 books that have been translated into over 25 languages. His personal success coaching, public speaking and business consulting have been used by CEOs, top professionals, major universities, and over 30 Fortune 500 companies. He has twice won the national Audio of the Year award from King Features Syndicate. A popular guest on TV and radio talk shows, Steve Chandler has recently been called "the most powerful public speaker in America today."
Steve is also a master coach that has helped train hundreds of coaches to transform many lives and businesses. He created the Coaching Prosperity School to assist coaches to build a strong practice and create great clients www.CoachingProsperitySchool.com
Steve believes in the power of coaching so much that he just signed a four-year contract with his own coach, the legendary Steve Hardison. www.TheUltimateCoach.net
“A bend in the road is not the end of the road, unless you fail to make the turn.” Successories
You just parked your car in the driveway, unpacked your suitcase and holiday presents and swept the last of New Year’s confetti out of the floorboard. Once inside the house, you flip on the news to get the latest financial headlines. Inflation, higher interest rates and increasing real estate values are the headlines. It’s time for another road trip—a financial road trip, using your real estate to protect your finances.
No one has a crystal ball, but history tells us that inflation erodes the value of our money and higher interest rates reduce our buying and borrowing power. Which road do we take to protect ourselves against inflation and rising rate market forces?
Here are the routes some homeowners decided to take to protect their wealth based on market predictions:
Lower Rate-Lower Payment-The Smiths refinanced and lowered their interest rate and freed up a few hundred dollars per month by lowering their mortgage payment. They plan to take part of the extra money and pay off variable rate debt. The other part of their savings is to take some memorable vacations.
Refinance to Shorten Term and Pay Off Mortgage Sooner-The Millers have ratcheted down their mortgage rate and eliminated ten years off their mortgage term. Now they can retire without being tied down to a mortgage payment.
Refinance Using Cash Out to Restructure Finances- The Garcia family took this opportunity to refinance and pull cash out using a fixed mortgage rate program. The Garcia’s used the cash out to upgrade and modify their home for their own enjoyment and to open the door for other family members to live with them to reduce living costs. John and Jane Doe bought an additional house to create more positive cash flow each month from the rental income.
The Johnsons had been renting an apartment for years but finally broke away from paying their landlord’s mortgage. They bought their first home and locked in a fixed-rate mortgage that will help them build wealth and keep their budget on track. They don’t have to worry about the landlord raising their rent every year.
The opportunity is here now but will be gone one day, and we don’t know when. Consult with your financial advisors and do something today. Don’t regret missing the opportunity.
Home values are predicted to continue to increase in 2022, but at a more moderate pace depending on how high interest rates climb. Inventory of homes for sale will still be tight but more homes are predicted to hit the market throughout the year.
The Millennial generation is leading the charge when it comes to buying homes. The Millennial generation and the emerging Generation Z appear to be keeping the outlook strong for the future on home sales and strong real estate values.
Find more tools and resources for overcoming common barriers to mortgage approval from the book by Jo Garner “Choosing the Best Mortgage: The Quickest Way to the Life You Want” on Amazon and Barnes and Noble.
2022 is here and the first full week is ending. What a powerful first few days it has been for sure. After a record setting 2021 for mortgage purchase dollar volume of more than $1.6 TRILLION in closed purchased loans, is everyone ready for an even better 2022? It will be better for you the better your balance of purchase to refinance volume is.
I know many of you may not been aware at the record dollar volume for any number of reasons, but if you were a purchase focused originator, your dollar volume should have been the best it’s ever been! If it wasn’t, you really need to take stock and pay attention, you won’t have trillions of dollars in refinances to carry the load. The strategies on the purchase side require some effort and consistency, and it isn’t about calling realtors and setting coffee or lunch appointments. You need a real plan and strategies that work!
First and foremost, you will need to keep yourself informed about the REAL markets you live in and what national news impacts your community and what doesn’t. For example, a higher conforming loan limit means much more in some markets than in others. For other areas a change to the FEMA map can make a huge difference. You need to keep informed and know what information really impacts your community and your business so you can provide real options and opportunities for your clients and referral partners. We will go into this more in the coming weeks.
Today, you need to focus on information that could impact the rate markets. Today we have the jobless claims at 8:30am and tomorrow we have the Jobs Report for December. Following yesterdays FED minutes that really shook the market, there is a chance that one or both could be market movers!
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Yesterday was a bad day for bonds. A poor 7yr note auction pushed the UMBS 30 2.5% coupon down 36bps to a floor of support at 101.80, while the 10yr T rose 8bps to 1.55, which is just 5 bps below the current ceiling of resistance of 1.60.
I always get nervous when the markets move sharply right before a holiday weekend, and with this weekend bringing in the New Year, it bears watching closely. As I have maintained for a while now, if you like it, LOCK IT!
I am interested to see activity in the housing markets this weekend. With buyers still hungry for homes and the excuse of waiting to after the holidays are over now past, it will be very interesting to see the first few weeks of January go, especially if we see mortgage rates ticking up as well.
So be aware of the markets and especially for those who are already in a tight situation. Rising rates as well as higher home prices can change debt ratios very quickly. So be sure all of your preapproved borrowers understand how the payment they are qualified for can no longer support the same house they saw just a few weeks ago. It’s important that people understand how a mortgage payment is calculated and the impact of every item on the list that contributes to the total payment, not just the rate!
Have a safe and happy New Year! 2022 will be a huge opportunity for those purchased focused originators!
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“It is better to look ahead and prepare than to look back and regret.”
www.inspirational-picture-quotes.com
Are you thinking about buying a home this year but not sure if this is a good time to do it?
Let’s explore the trail map for real estate and mortgages in 2022.
Ask yourself these questions to give you confidence and make your journey more enjoyable.
Questions to Answer:
How long do you plan to keep this property?
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1. (Will the property appreciate enough using conservative predictions to allow you to sell at a profit?) If you need to sell within the next two to three years, could you rent it for more than your house payment and maintenance costs?
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2. Does the house payment fit comfortably enough into your budget to cover the mortgage payment and repairs on the home if you could not sell later and did not want to rent it out to anyone?
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3. Do you have enough accessible savings or investments to make payments on the home for six months if you experienced an unexpected financial setback?
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Choose an experienced, reputable realtor to help you determine the long-term appreciation in value on the house—not just over the last 2 years but look back several years to gauge the stability and growth of the neighborhood. Choose an experienced, reputable mortgage loan officer to help you explore the best mortgage options. Finally, consult with your financial advisor.
Trail Map
Let’s explore the trail map for real estate and mortgages in 2022.
Home Values
Forecasters predict that home values will continue to push upward around 7% to 8% for the year. If the predictions are correct, when you buy a home worth $300,000 today, a year from now, you may be looking at a gain in the value of around $24,000. That is a possible increase in wealth of about $2,000 per month.
Home Inventory Levels
Lawrence Yun, the chief economist for the National Association of Realtors, predicted that inventory will increase in 2022 but not significantly in the following year.
He predicts that the housing market will remain strong in the coming year.
Builders will continue to struggle with supply lines and labor shortages.
Mortgage Rates
Mortgage rates are predicted to go up as inflation rises. The Federal Reserve's actions will be key in determining how fast and how much rates rise. Historically mortgage rates go up as inflation rises and drop as inflation lessens.
The Federal Reserve is currently tapering its aggressive purchases of mortgage bonds and treasuries. They plan to end the new purchases but may continue reinvesting about $70 billion per month from the profits on the bonds they currently have on the balance sheet. If the reinvestment continues, the rates should stay somewhere in the 3’s on the 30-year loan program. If inflation drops later in the year, the price on mortgage rates could fall again.
The Federal Reserve plans to begin a series of rate increases throughout 2022 and 2023. Mortgage rates are not tied to the Federal Reserve Rates. Mortgage rates are expected to be influenced more by the inflation rate than other factors.
Rent Rates
The rise in rental rates vary from city to city. However, most predictions are that rental rates will continue to increase in 2022 by 5% to 10% for the year. Rising rental rates will continue to compel renters to gravitate toward buying a home.
Historically owning real estate with a fixed-rate mortgage has served as an excellent hedge of protection against the storms of inflation. Owning your home creates multiple chances to profit when the value goes up, and the mortgage balance is paid down. Your home offers flexibility. You can rent it to tenants for income or borrow against it in an emergency.
Which path to homeownership will you take?
You know what I hear from everyone I coach? Yup…you got it (and I bet you say it, too)! This same script is in almost every session:
• I want more time
• I want to get more organized
• I can’t get caught up
• My to-do list keeps growing and I am overwhelmed
Sometimes the overwhelm can be real; holidays, family events, a new influx of business – like Roseanne Roseannadanna used to say: “It’s always somethin’!”
You can just about guarantee that some random last-minute hiccup will sabotage your perfect plan! I should know; with a name like “Murphy” it can happen a lot… and trust me, Murphy’s Law is always there if you allow it! So, here’s the scoop:
You will never control time, events, happenings, last minute interruptions, catastrophes, blessings, etc. - You can however, control how you respond to them!
I can almost see you rolling your eyes about now, but take a deep breath and hear me out.
In most cases, emergencies belong to someone ELSE! Your family, dog, friend, co-worker, boss, etc. Some are legitimate: The water heater that sprung a leak during the week you had guests, or the refrigerator that stopped working right in the middle of a family reunion.
Unexpected glitches like that almost ALWAYS throw you off track, but those events don’t have to keep you off target for long! Life if full of bumps and bruises, but when you lay a solid foundation of non-negotiables, you can rest assured that you will get back on track with less stress and more productivity.
You may be interested to know that research suggests that in an eight-hour day, the average worker is only productive for two hours and 53 minutes! That's right--you're probably only productive for around three hours a day.*
The trick is to be PRODUCTIVE every day and to have a plan in place to consistently accomplish the action steps that move you closer to achieving your goals.
Enter the discipline of a process we use called “My Planned Week”, which is designed to create the unconscious “habit” of activities that are consistent and blocked every day on your calendar. Before you throw up the objections, think about this.
Every day you wake up and follow the same basic routine- get up, bathroom, coffee, shower, dress, etc. The sequence of showering before or after breakfast, when you brush your teeth, etc. are examples of how your “routine” rolls out, and you follow this pattern almost religiously!
What if that same type of routine was blocked differently for a few minutes each day?
Just like an appointment for your hairdresser, doctor, dentist, etc. – you BLOCK the time – even if it is only 15 minutes at a time – to get that ONE THING DONE. The movement, even ever so tiny, will give results. For example:
• 15 minutes of quiet time each morning to get yourself ready for the day. Got kids? Get up a tad earlier and get that quiet time all to yourself!
• Walking the dog? Listen to books on tape, a Ted Talk, or even a funny or informative podcast.
• Need to work out? Walk with friend so you have an accountability partner.
• Can’t find the time to send birthday cards or thank you notes but riddled with guilt when you neglect opportunities to express your gratitude? Hire a retired person with lovely penmanship to send them for you. It doesn’t matter if you physically write them out or not. It’s not important who physically sends the cards, but that the acknowledgement is received! As my coach says, “Everything works…doing nothing doesn’t.” Stop being disappointed and start feeling productive! When you recognize the value of others, you get love and often reciprocity in return, and it feels GREAT (even if you weren’t the person who addressed and stamped the envelopes)! Your loving and positive impact goes beyond that one recipient as you change how they “feel” as they reach out to others in their lives. Express yourself and all parties win!
If you really only work 3 hours a day, then you spend the majority of your time “reacting” to every little emergency, request, or demand that appears URGENT, but not important! Begin your day with intention…focusing on what YOU want to get out of this precious, newly unfolded day. Some days will, of course, be impacted by something outside of yourself, but a well-planned out, established course of action items that have a defined space in your schedule will help to support your wants and needs daily.
As tough as it might be, sit down and make a list of what you want to accomplish in your day, both personally and professionally. If you are like many people, you feel you can do it ALL – but here’s where smart delegation comes in.
Decide what you HAVE to do, WANT to do, and are WILLING to do and prioritize from there. You might get caught up in thinking EVERYTHING is a priority, but when based on your INTENTIONS and focus for how you want your life to look and feel, then it becomes a tad easier.
Being busy is not the reward; productivity that results in PROFITABILITY is the higher goal. Look for the opportunities to block your time to fit your personal outcomes. It makes for less stress, increased productivity, more joy, and will result in more income to fund your life by design.
*According to the Bureau of Labor Statistics, the average American works 8.8 hours every day.
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The FED had it’s meeting this week and made some observations and projections that they supported with their “FACTS”. While Jerome Powell has tried to bury his whole “tapering” comments with a simple shrug of the shoulders and the comment that we won’t use the word transitory any longer, it doesn’t absolve the facts that keep getting shared are just as big a fantasy going forward. So how about we just get real here for the next few minutes.
With all the data the FED looks at, it’s hard not to see they almost always ignore reality. CPI & PPI are significantly flawed measurements because one doesn’t take a real measure of costs, especially food, energy, and housing. When they do look at those numbers, the measurements they use so far behind the reality, it almost makes it a moot point. The other makes assumptions as to how much of the increase in costs will manufactures past along to the consumer.
So, when the FED inflation data says one thing, we as consumers know that things are far worse. You can’t just strip out food and energy and say here it is! You can think that significantly higher wages aren’t going to just not get calculated into the price to the street. You can make mandates, raise taxes, reduce supply, and NOT expect that some how it all works out fine. So, let’s get real. The FED will reduce its bond and treasury purchases by 30B a month, which means by March they should be done completely. That is when they can start raising rates. By their own projections, the consensus is that through 2022 and 2023 we should see 1.5% rise in the FED Funds rate. How it gets spaced out and in what increments will depend on what they see in their tea leaves. While I am never confident in the FEDs ability to forecast, I do think it will happen sooner rather than later. That fact that it will start to happen sooner is good news because it needs to happen, and I believe the long-term securities will benefit from a serious move to tackle inflation.
In the mortgage industry inflation is the devil. The sooner there is a serious attempt to deal with it, the quicker the market will get to the new “normal” and everyone can adjust accordingly! Elimination of FED purchases and higher FED Funds rates will be a good thing in the long run. For the short term, if you like it, lock it!
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Rick began his career as a part-time agent in 1976, quickly becoming full-time and eventually buying the company in his fifth year. He grew it from 34 to 193 agents and lead the U.S. in agent productivity. His personal sales production saw him sell 200+ homes per year during his sales career. He was honored to be both Renos Salesperson of the Year, as well as the Nevadas Realtor of the Year. Upon selling his company, Rick has shared his successful strategies worldwide ever since. He has spoken in all 50 states, for every real estate franchise and has been recognized as one of the most popular trainers within the real estate industry. In 2014 Rick became the Regional Director for an Australian based franchise and grew it to 7 offices with 125 agents in Oregon and Washington.
With over 40 years of experience Ive seen every real estate model offered to this industry. When I was first introduced to Exit Realty, I was intrigued with a business model I had never seen. The culture of we help our people grow immediately impressed me. While providing state of the art technology, Exit Realty continues to emphasize the importance of relationships. The combination of providing incredible tools, exceptional service to owners, agents and staff, a strong emphasis on strengthening relationships and a compensation plan that rewards growth has created a culture that is truly unique in this industry. I believe my 40+ years in this business has prepared me for this journey and by joining the Exit Realty family I will create a legacy I will be proud to claim.
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