A Good Time To Be Thankful

There has been a lot of complaining in the mortgage industry for over a year now. I will be the first one to say that there has been a lot to complain about over the past year but we should take a break this week. What could have been a complete meltdown of our financial system was slowed and we are now starting to see the light at the end of the tunnel. We still have a long road in front of us but we can see the light. Despite the many fingers of blame that have been pointed at this industry from the federal government, business is getting better and for the most part, there has been an industry cleansing that has got rid of many brokers who gave this industry a bad name. But of all weeks of the year, this is a time to be grateful. We have so many things to be grateful for, look around. No doubt it will be an eye opening experience to anyone who really stops to think about all he/she has been given. Happy Thanksgiving from all of us at Praedo.

Great Turnout

We had a great turnout at our Good Faith Estimate Course yesterday. We had over 100 students show up who were all eager to learn about the new good faith estimate and to be taught how to keep their jobs in January. We are eager to announce new classes coming in Salt Lake, St. George, Boise, and Denver. Don't wait until after the new GFE goes into effect to learn more about it. Step up to the plate and get some mortgage CE as well!! Real Estate continuing education also available.

FACT OR FICTION: BROKERS ARE DEAD

So is it true or not? The end of the mortgage broker is here? New GFE takes away YSP? We have been flooded with questions regarding the RESPA changes which take effect on January 1, 2010. Rumors are flying regarding the future of YSP and the future of mortgage brokers in general. Many of these statements are simply false. The new GFE and the accompanying RESPA changes DO NOT eliminate YSP. The new GFE simply requires it be disclosed differently. Mortgage brokers may still earn YSP as part of the total compensation on the transaction. The RESPA reforms do not kill the broker industry, but do require ALL loan officers to change the way they disclose costs to the borrower.

Due to the massive amounts of confusion and rumor about these issues, we will be holding several seminars in the next few weeks to explain the new GFE and the RESPA changes. Please see the schedule below and know that we will be adding additional dates in Utah, Idaho, and Colorado. We are only charging $30 for the course and it is approved for 2 hours of core Utah Mortgage CE. (MC091014) In the next few weeks we will be launching a new online course on the new GFE.

Salt Lake City, Utah

November 18, 2009

St. George, Utah

December 14, 2009

Utah New Agent Renewal Course

Praedo Institute offers the only online new agent renewal course in the state. This course allows new real estate agents the opportunity to sharpen their skills while their career is still in it's infancy. Students will not only participate in our engaging online education but will also complete several case studies that will help them be more successful in this competitive industry.

$8,000 Tax Credit Hasn't Been Extended YET

Many loan officers, real estate agents, and even some title companies have been spreading the good word of the extended $8,000 tax credit for first-time home buyers. Well, hold the phone. You don't have to hang up the phone, but hold the phone. While there is a lot of momentum in the Senate to get this stimulus tax credit extended, it still has not happened.

Here is what is going on. If the tax credit is extended, it's December 1, 2009 deadline will be extended to some time during the middle of next year. There is also talk of a $6,500 tax credit for homebuyers who have lived in their previous home for at least 5 years. A final bill will be voted on next week in the Senate, but until then . . . Dec.1 is the deadline. Just hold the phone.

Idaho Mortgage Continuing Education

I saw Christmas lights last night. I couldn't believe it. I just stared in awe, not really knowing what to do. We barely are scraping November and christmas lights already? Someone told me that they hauled up their Christmas tree this weekend. It made me think of two things. One, where has 2009 gone? Two, many Idaho mortgage licensees are coming up on their year-end renewals. With that being said, many will be procrastinating and their getting continuing education while the kids are banging pots and pans together and counting down to the New Year.

With that being said, maybe we can help you keep some of those long, forgotten new year's resolutions that you made back in January. The first of course being not procrastinating. The second being spending more time with your kids during important times in their lives, like New Year's Eve. Here's how we can help, we at the Praedo Institute are not only a leader in the Idaho mortgage continuing education but we have the best prices in the industry. Our courses allow you to take at your own leisure from the comfort of your own home or office. Contact us for information on corporate discounts and help others keep at least one new year's resolution.

Just how SAFE is it?

Any firefighter or EMT will tell you that the worst thing to do in an emergency situation is panic. Whether it is the parent or a friend or even the victim himself, the guaranteed way to ensure a worse outcome is panic. I wish we could apply this to other facets of our lives. Sometimes we try to fix things that don't need being fixed and end up causing bigger problems then the ones we sought out to combat. This issue is really obsessed over in our society. We love it. We can't live without it. We thrive off of it. If you don't believe me, turn on prime time any night of the week. And before you run behind the barricade of blame that it is the networks' fault, they only give us what we want. But you turn it on and what do you see? Drama. Drama. Drama. People living ordinary lives with more drama then any self-respecting person could ever stand. And now that is 'reality' in our society. Normal problems that are blown way out of proportion and so the outcome is blown way out of proportion. I can't help but believe that this is seeping into the rest of our lives. I would be willing to submit that I know that it is.

Was there panic involved in trying to get our economy back on its feet? Was there some drama in how government (we as they are our representatives) fixed some of our economic problems?There was. One such outcome was the SAFE Act which instituted a federal licensing system and guidelines by which all mortgage licensees, schools, states, and other regulating bodies must abide. Yes, some states did need to regulate their licensees but many had to downgrade in order to be compliant with these new regulations. Others could were not prepared for such a change because of the substantial fees and costs. This goes without mentioning the fact that after this bill was compiled, passed, and assigned it was handed off to a non-governed third party that could address the issue as they wished. Not only were states obligated to pay an exorbitant amount of money to make changes and adjust to the SAFE Act, they had to give up their right and obligation to follow the demands of their citizens but had to submit to the demands of strangers who now wielded the shield and sword of federalism.

Time would tell that such a radical change was probably unnecessary, that it simply caused more panic and drama than it attempted to abolish. Many would even agree that the finger of blame was pointed in the wrong direction in this case. What can we learn from all of this? Any good EMT or fireman would tell you to relax. Breathe. Analyze the situation and look at the FACTS. Then make a decision. With that hopefully we can better combat the problems that will inevitably come.