Your March 2023 Residential Lending News and Successes

Good morning to the Rainy Season

– Mortgage Rates Continue Sideways – 


Good News: Next American Dream TV segment will air next month on KSBW – San Francisco. My interview will be with a Realtor friend. It will take place at a new build in Willow Glen. I think you will find it informative, while also exciting. Good viewing

Next: Spring brings a newness to the air. With this, the focus of my writing will attempt to do the same. Most of us are quite familiar with our troubles – political and media. Thus, our future emphasis will be more about your building wealth or increasing cash flow. 

Our goal: Turning words and data, into cash and assets

Herein, our focus will be about successful investment strategies for immediate needs and future events – kids in college, inheritance, vacations, and retirement. As for retirement, key is low-risk, steady and reliable cash flow. More good news: The Good, Bad n’ Ugly will continue, but again, with more emphasis on one’ daily life and plans for the future.

Our hope: Unite together the promise and ideal of the American Dream TV network and our new shift towards fulfilling one’s dreams of financial independence. 

The Beginning: My early career centered on construction and automotive. What followed is my 35 years in Real Estate. It is what I love. Along the way, I flipped properties, both residential and commercial – in State and out of State. Managed small apartments, bought bulk foreclosed real estate in numerous states, and successfully guided both IRS-1031 Tax deferred real estate exchanges and alternative deferral strategies. As a side light, I traded options and prepared taxes, in order to support our ‘little’ bee and honey business consisting of 100 beehives. I do love life.

The BenefitClothed in the brag and arrogant, is the simple love of providing individuals and families insights into the reality often hidden or disguised by headlines. The goal is to see you prosper, as you define it. There are others, like myself, well positioned to retire. But what a waste. Simply put, I love what I do and want to share it. My conversations with you keep me hopeful and inspired and I want to return the same to each client. 


Points of interest:

  • Economic drivers: Headlines talk of jobs cuts. So far, I am not seeing ‘huge, large’ etc. language being used. Yet the headline brings a sense of fear. Being laid off is not fun and not to be ignored. Yet, from the 20,000 foot level, we have approximately 4 M working people in the 5 Bay Area Counties, bringing a more balanced perspective to the headline – “Over 150,000 layoffs announced”. 
  • Stock market: What next? The drivers are ‘earnings’, Fed policy on rates, and their reducing its market involvement. This helped lead to stock buybacks, mergers, and better dividends. But at the same time, this can be drag on future investment in plants and equipment – slower growth in GDP. Thus, higher interest rates may lead to more innovation and capital improvements – called expanding from the inside. It will be interesting to see how the free market adapts and responds. Stay tuned ! 
  • Incomes: Because employers, in general, are loath to lose workers, I look for steady employment numbers, near term. Last year, job jumpers benefited from nice pay increases. Yet, as the economy softens, this will be less likely. Note: for recently unemployed, the wait time to catch another ride is longer. Caution is the word. 
  • Real Estate: Easing of values is the common word and often found in the headlines. However, we have the perfect storm for home values to remain relatively stable. We have a low supply of available homes for sale. This due to property tax reassessments and far better existing mortgage rates. At the same time, the number of Buyers remains healthy. Thus, if rates remain stable, it could be a most interesting Spring. Time to prepare now. See below for more.

Overall Market News

1) Overall Home Values: 37 % of homes are owned free and clear. For those with mortgages, it is estimated home equity has grown 16 % – over the past year. This due to the price increases seen from the last couple of years, plus principle reduction from mortgage payments. Homes under water continue holding very low at +/- 1.9 %. Less than last years 2.2 %. Good News: This is not a real estate “bubble”. During the financial debacle, numbers underwater were 25 %. 

2) Unemployment: February’s reports are more back to normal. Last month ADP reported job additions of about 150,000 jobs. This weeks the number plus 311,000 jobs. 

3) Unemployment Surprise:  Now we have a more realistic report – cleaned up of the blurry ‘seasonal adjustments’. For job seekers, the reported 10 M job openings might be a tad overstated. Next month will provide a clearer number. The question: Are job openings being double counted, as they may be posted across multiple States and many localities? If you have insight / specific information, please let know. 

Helpful: With the weekly initial jobless claims knocking around the 200,000 per week, the labor market will continue to be tight. Further, continuing claims is not ratcheting up, leading one to believe that those seeking work, are finding jobs. Keep watching.

Recent Residential Success Story:

Now the Fun of what’s new – from me to you:

We have the financing options you need. The best of the market. Quick list: 1) Veterans, 2) 1st time homebuyers with some fabulous new programs out, 3) self – employed, and 4) investors with and without traditional income sources. The marketplace being heavy in cash, benefits prepared borrowers. There are now more lending options than before Co-Vid. Call. Lets talk today. .

Rule # 1: Desire to create ‘more’ wealth for tomorrow? Start sacrificing today. 

Investing – Equities. Strongly advise and recommend one maxes out retirement accounts. This deferred income, with tax benefits, builds for future years. Many such plans are offered with an employer match or contribution plan. A great perk. Don’t leave it on the table and keep close attention to how it’s invested. Said money has a job – to grow and earn more money for you. 

Investing – Real Estate. Yes, yes and yes. Yes today. Yes yesterday. And Yes tomorrow. This is much the same as putting money aside in retirement accounts, while adding diversity. If your life is in the ‘building for tomorrow’ stage, then let’s talk building. 

Divesting: There are times in life where one needs to sell due to life’s uncertainties. Yet most often, there are needful times to carefully review your investment inventory and compare them to your current situation. Such times may indicate a need to divest – go to cash or an alternative investment. Good News: We are here to help layout the steps and discuss how best to handle the issue of capital gains. More good news: We have tools and techniques to help keep your hard earned gains working for you, and away from the taxman – federal and state – on a deferred basis. Such is the beauty of working with Mike Ryan and Associates. We are just a call away. Planning amongst friends. 

Preparing to buying your next home: How about a “tool” that uses your old property, as collateral for the new home? How about tools whereby the current, “old” home payment, does not count against you, as you moved into the new.  Want More OptionsCall today.

It is good to know, our letters but scratch the surface of options, alternatives, and potentials. We are ready and experienced in most every stage of life, able to help you build a strong investment portfolio – regardless the ebb and flow of life. This helps explain why the key to my approach is carefully knowing each unique individual and each individual’s view of life. 

Because You Matter

Our letters are a guidepost to buying, selling, or investing. Then doing so, wisely and with a sense of timing. Ours is to address questions and find real life solutions, customized to you. It is what I love about my work – the people to people, person to person aspect. Add to this, our complete set of helpful tools designed to complement our shared goal – your success, today and tomorrow. We are here for you.

Knowing you – individually – proves the best way to meet your needs – your unique viewpoint and dreams. Thank you for your trust and your referral. It’s greatly appreciated.

Call me – Your success is my success. 

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