New Year’s 2020 Letter From My Heart

Good morning to the Holiday Season of Great Joy,

May the joy, colors, and celebration of Christmas, energize your “New Year”. The Good News: The past year of our excellent economy, jobs, and wages should continue into 2020. I too, am caught up in this hope, as we begin to turn the page on this New Year of great expectations.

Yet we will continue to watchful of the upcoming 2020 elections, the happening of our new trade deals with USMCA, China, Japan, and Korea. Equally of interest, will be Brexit, the EU, and how they may influence inflation, interest rates, US dollar, and foreign trade. Amazing how interconnected we are with the world. And above all, the politics of our local governments and how it effects our real estate market.

Thus our regular commentary will continue to seek good information, interconnect the many dots, relate the sources where helpful, and focus on how this effects you and the value of your real estate. Good information helps us make timely decisions, with the best outcomes.

The Good News: We offer our special talents, well-tuned experience, and focused training to you and your referrals. It is what makes our working together, helpful and informative.

Rates are great, so prepare today, for your tomorrow. Call today.

Housing: Expectations are high, both from Builder’s and from buyers. 2020 should be another good year for both Buyers and Sellers and interest rates. Springtime will be exciting and if you are considering acting, please call and let’s start preparing – the sooner the better.

Current home owner? Fantastic ! Let talk. Now maybe “that” good time you have been waiting for. Interest rates are great now. My suggestion – let’s not out guess tomorrow.

Still renting? With todays’ very low rates – call to see what your downpayment can buy you, today. We will lay out loan programs – finding ones best fit for you – while offering excellent, step-by-step approach, before deciding. Best of all: It’s free. And with our assistance, let us show you how to make your new home, a simple and straightforward process.

Give us call. We know how to provide you a strong loan, giving the Seller needed confidence about your offer. Our real estate friends suggest this can be the difference maker. Let’s talk.

Is this your Time to Buy or Refinance?

We are ready to make it happen – Call Mike.

Helpful News:Facts are the best counter to “fake fears” about a recession. It overcomes misguided distortions and brings a helpful reality to what matters to you.

  • Economy: Year-end is finishing strong. Equites up, income up, productivity up, and more people working. And with these, tax revenues.
  • Health Care Costs: The US spends 18 % of GDP on health care. This is more than double the 8.6 % of GDP spent by 35 other major economies. One wonders the potential wage growth that is swallowed up, by small business, to pay medical coverage costs.
  • Monetary policy influence: PCE is the new Fed-favorite gauge of inflation. Of interest: Housing, health care, and food are not included. Why so? Because the Federal Reserve monetary policy has no direct influence, input, or control on these items.
  • Positive / Negative Signs: Is there a liquidity crisis? Interesting, to offset this complication, the Federal Reserve has boosted monies available for ‘the settlement window’, to $1.5 Trillion. At the same time, to keep banking “safe”, the amount of required cash reserves – money not for lending – is $1.5 Trillion. Complex realities.
  • Trade talks: While US and Chinese relationship is stabilizing, and even strengthening, the same cannot be said for the EU. Business growth is at its slowest, since 2013. Their manufacturing sector is in recession and deteriorating. Luckily the service sector is doing better. Fourth Quarter GDP, for the Eurozone, will likely be 0.2%, unchanged from the third quarter. This compares to 0.5%, is their third quarter. Thus negative rates.


1) We provide loans for Small Business and Commercial. 2) Even more, we offer specialized tax-advantaged alternatives, when selling highly appreciated real estate. We are proud to say: Don’t pay Capital Gains taxes now, unless you want to deplete your cash. 3) And, We provide strategies to stay in your home longer, only one solution being the Reverse Mortgage.

Quick Plug

January 18, 2020, I am presenting our :

Tax Deferral and Avoidance Strategies for

Highly Appreciated Real Estate’

See you in the morning.

Call today and let’s prepare for your tomorrow – Now.

The Good, the Bad, n the Ugly

The Good: Global Warming

CO2 emissions have declined in six of the past 10 years and remain 12% lower than the 2005 peak. This despite the economy now being 25% larger, in inflation-adjusted terms. This beauty of it all: Creating a million dollars of GDP, now requires 29% less CO2 than in 2005. Even the use of coal has fallen significantly, relative to natural gas.

The Bad: Rent Control

Rent control policies result in: 1) more challenges in moving a bad tenant on, 2) more legal and paperwork costs to manage property, 3) more 1 / 2 unit owners deciding to no longer rent and selling to an owner occupant, 4) less money coming into the rental supply market.

What drives me nuts is this is not political blathering, but documented results from rent control in locations around the Country.. yet is ignored.

The Ugly: Transporation

The Court again blasting Santa Clara VTA management. But is it solvable? The Board has 18 elected members – 15 from the City Council and 3 County Supervisors, based upon the jurisdictions they represent. It is State authorized, so knowing how to run a railroad, maybe less important than the politics of appointments. It thus becomes protected and insulated, from public input and outcries. Thankfully some of our largest private employers – hoping to reduce the pain and confusion – are moving beyond this, creating their own transportation network.

Winter Buying – A Unique Season of the Astute Buyer

With mortgage rates so attractive, if you, your friends, or co-workers are looking to buy or refinance? Give us a call. We are ready to help. And, well-prepared to discuss your options and opportunities. To see the benefit of having a highly qualified and experienced loan officer working with you. We love to put each of our client’s success first – today and tomorrow. And more, we stand with you, until the sale or refinance is completed and all questions answered.

It is a trust relationship far superior to an “Internet-only” approach. You will have my 30 years of proven success, ready to quickly adapt, if the situation calls for it. Together, we avoid unsuspecting hick-ups and undisclosed expenses. Best: We custom fit your loan to what you want, not what the lender wants you to buy. This is my commitment to you. Let’s talk today.

Closing Thoughts:

We are the financing arm to help leverage your assets and accumulate long-term wealth. We offer needed information – perspective and plausible financial solutions – with strong lenders ready to say “Yes”. Give us a call. If you are interested in this kind of outcome, let’s start building your future, today.

Thank you and continued blessings.

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