Paraphrenitis Blog

Okay, you’ve decided to buy a home and are trying to figure out what you can afford. Before you go home buying, you need to carefully consider what you can afford as far as a mortgage payment.

Mortgage Payments

The first step you should take in determining what you can afford is to talk to a mortgage lender. In fact, the best step you can take is to go through the loan process to the extent required to get a pre-qualification letter. A pre-qualification letter tells you and a seller how big of a home loan the lender will give you.

So, once you have the loan in hand, that must be the amount you can afford? The answer is maybe or maybe not. The prequalification letter is based on a number of factors such as your earnings and credit. It is not based on a picture of your life, which can lead to problems.

Other Expenses

There is nothing worse than buying a home and straining to make the monthly mortgage payments. This situation occurs when a homebuyer relies solely on the pre-qualification letter or their own wishful thinking. You may have purchased your dream home, but don’t let the payments be a nightmare.

In determining how much you can afford to expend on a home purchase, you must consider your overall financial situation. Although you may be in a decent financial situation at the moment, do you have future expenses that will put pressure on your finances? Such situations might include:

1. Planning to have kids in the next year or so?

2. Are your current children going to college soon?

3. If you own a business, is the financial outlook stable?

4. If you work for a company, are you reasonably sure the company is headed in the right direction?

5. Do you have any concerns regarding the dreaded downsizing?

6. If you are the sole bread winner, what would happen if you were unable to work for a few months because of health issues?

These general questions are intended to wake you up to the possibility of over extending yourself on a mortgage. Every situation is different, so make sure you take a careful look at your life to make sure you are committing to a loan you can afford now and in the future.

Raynor James is with http://www.fsboamerica.org – providing FSBO homes for sale by owner. Visit our “sell my home” page at http://www.fsboamerica.org/seller.cfm to list and sell your home for free for one month. Visit http://www.fsboamerica.org/buyer.cfm to see homes for sale by owner.

Real estate prices have been increasing steadily over the last five years, particularly on the East and West coasts. In parts of California, homes are selling for 33% more than they were a year ago. This has made it more difficult than ever for first-time homebuyers to purchase a home.

Over the years, a number of new mortgage options have become available to prospective buyers that ease the burden of buying a home. Buyers can now obtain a mortgage with a variable interest rate that rises or falls with the market or even a mortgage that requires only interest payments for the first few years of the loan term. This allows buyers to make smaller payments early in the repayment schedule while purchasing a more expensive home than they otherwise might be able to afford. The payments would increase in later years, but so, presumably, would the income of the buyers, so that the home would still be within the buyers’ range of affordability.

A relatively new mortgage option that may soon adjustable rate mortgage and the interest-only mortgage in popularity is the mortgage with a 40 year term. While most mortgages offered today are for either 15 or 30 years, the 40 year mortgage has been available for nearly 20 years, but few lenders offer it as an option, as they are often reluctant to tie up their money for such a long period of time. That may change, however, as Fannie Mae has announced their intention to purchase more 40-year mortgages. With Fannie Mae purchasing more 40-year mortgages on the secondary market, lenders will probably be more willing to offer them to customers.

Interest rates will likely be somewhat higher for a 40-year mortgage than a 30-year mortgage, but the extra length of the loan term will keep the payments lower than with a traditional mortgage. Prospective buyers should be aware that they will pay more in interest on a 40-year mortgage than they will on a traditional 30-year note. Studies show that most homebuyers do not stay in their homes for anywhere near 30 years, let alone 40. This being the case, the market for 40-year mortgages may remain fairly small. But for some buyers, it may mean the difference between continuing to rent and buying the home of their dreams.

©Copyright 2005 by Retro Marketing. Charles Essmeier is the owner of Retro Marketing, a firm devoted to informational Websites, including End-Your-Debt.com, a Website devoted to debt consolidation information and HomeEquityHelp.net, a site devoted to information on home equity loans.

95 percent of what we know about the brain, we have learned in the last 20 years. So, your beliefs about creativity were probably shaped by faulty information.

For instance, many believe that only special, talented people are creative – and you have to be born that way.

Wrong.

The notion that geniuses such as Shakespeare, Picasso and Mozart were `gifted’ is a myth, according to a recent study at Exeter University. Researchers examined outstanding performances in the arts, mathematics and sports, to find out if “the widespread belief that to reach high levels of ability a person must possess an innate potential called
talent.”

This particular study concludes that excellence is determined by five key elements:

• opportunities
• encouragement
• training
• motivation
• practice (this one, most of all)

The research also indicates that few showed early signs of promise prior to parental encouragement, and no one reached high levels of achievement in their field without devoting thousands of hours of serious training. Consider Mozart who trained for 16 years before he produced an cknowledged
masterwork.

Let me tell you a few more interesting facts about creativity:

- Research shows that everyone has creative abilities. The more training you have and the more diverse the training,the greater is your potential for creative output.

- Additionally, it has been shown that in creativity quantity equals quality. In fact, the longer the list of ideas, the higher the quality of the final solution. Typically, the highest quality ideas appear at the end of the list.

- The average adult thinks of three to six alternatives for any given situation. The average child thinks of 60.

- Creativity is an individual process. Traditional brainstorming has been proven ineffective because of fear of social disapproval.

- Groups are best for idea selection rather than idea generation.

All of this is interesting and enlightening but doesn’t necessarily get to the root of the issue of creativity. I think there is one element even more important than the five mentioned above. Let me tell you a true story to illustrate what I think the prime factor in creativity is.

A New York publisher was concerned about the lack of creativity among his editorial and marketing staff. He hired psychologists to try to determine what differentiated the creative employees from the others. After a year of study, the psychologists discovered that there was only one difference between creative and non-creative employees: belief in their creativity. Creative employees believed they were creative, and the non-creative ones believed they were not.

So, you are creative, I guarantee it. All you have to do is believe me. Is that too much to ask?

Harry Hoover is managing principal of Hoover ink PR, http://www.hoover-ink.com. He has 26 years of experience in crafting and delivering bottom line messages that ensure success for serious businesses like Brent Dees Financial Planning, Duke Energy, Levolor, New World Mortgage, North Carolina Tourism, VELUX and Verbatim.

When you visit department stores and see that majority of the apparels are produced in other countries, not US – you probably do not worry about this fact. About 10 years ago, when Clinton’s high tech era was at the inception – we saw the signs of high tech professionals inflow in the USA from overseas. Nowadays the trend is reversed – instead of importing high tech people, we are at the beginning of outsourcing to them in their overseas countries the programming workload. In this small article we’ll concentrate on the Microsoft Business Solutions Great Plains customization specifics: Great Plains Dexterity (IDE and programming language), SQL programming with XML in/out bound, VBA/Modifier/Continuum, Crystal Reports, Web publishing/eCommerce

• Closed/Protected technology. Great Plains Dexterity serious development requires months of formal training and it also requires access to so-called source code (DYNAMICS.DIC with scripts in it – normally scripts are stripped). This fact imposes restrictions on offshore facility selection. This facility should be located in the country, where Great Plains Software had former development force. To give you more clue – these are Australia and Philippines. If you are considering India – we do not know if anyone there has access to source code, at least officially they do not have access, because source code partner program was closed many years ago.

• Coded table names: RM00101, SOP30200 – to give you example. The reason was – Dexterity design was based on the multi-database-platform principle. From the development standpoint – it means that developer should have data fixing experience – serving real clients either remotely to US or in their local countries

• Customization Upgrade Experience. Great Plains Dexterity allows you to create either custom forms or place modifications to the existing forms (SOP Entry, for example). Placing code to the existing forms requires customization upgrade experience – these forms should be re-customized when you do upgrade to the newer GP version – currently version 8.0

• Project Management. Considering the fact that majority of Great Plains users have rather accounting background – to spec out customization or integration – project manager should have combination of functional/application and technical consulting experience. This means that project manager should be US-based consultant. In the case when you plan to have project managers offshore – they should be in the close time zone (Sao Paulo, Brazil – is good candidate for the place, considering large pool of educated programmers on the market)

Good luck with implementation, customization and integration and if you have issues or concerns – we are here to help! If you want us to do the job – give us a call 866-528-0577 or 630-961-5918! help@albaspectrum.com

Andrew is Great Plains specialist in Alba Spectrum Technologies ( http://www.albaspectrum.com ) – Microsoft Great Plains, Navision, Microsoft CRM Partner, serving clients in California, Minnesota, Illinois, Washington, Florida, Arizona, New York, New Jersey, Virginia, Georgia, Louisiana, Texas, Canada, UK, Australia, Brazil, Germany, Russia

Increasing prosperity in our lives can be accomplished by having the right frame of mind. The truth is, our thoughts are very powerful. They are capable of influencing every aspect of our daily lives, from our physical health to our social behaviors. I’m sure you’ve heard the adage, “As you think, so shall you be.”

If we want to improve our lives, we must first improve our thoughts. Harnessing the power of thought in a positive way has the ability to create great change in our lives, including our financial well-being and prosperity. But how? How do we take something as intangible as thoughts, and manifest them into a physical reality?

We must first understand that being prosperous is more than having a lot of money. Prosperity is a mindset, a way of interacting in our lives, and a way of thinking. Mastering this train of thought is not easy, but it is simple enough if we keep working on it consistently.

Following are some ideas to help you improve your thoughts, and ultimately attract more prosperity into your life:

Be grateful for the blessings in your life right now. Take a few minutes each day to express heartfelt gratitude for the good things in your life. Even more powerful, write a few of these blessings down each day. This helps to put your focus in the right direction — on abundance, not lack.

Use positive affirmations to begin training yourself to think positively. Use “I am” statements such as “I am worthy of all that is good.” Write the statements down and repeat them nightly before bed. Over time, this will implant these thoughts into your subconscious mind, and you will begin to naturally believe them.

Creative visualization can help you achieve prosperity by determining what it is you wish to achieve, and then thoroughly creating that image in your mind. This works in the same way affirmations do. Our subconscious will fill with images of prosperity, and eventually these subconscious “truths” will manifest in the physical. “See” yourself as being prosperous, and you will become so.

Encourage yourself with the belief that you can achieve great things. This could also be one of your affirmations, but expand on it. If you know you can earn a certain salary, tell yourself you can earn more. Allow yourself to believe all things are possible, and you will gain the confidence needed to reach higher than you ever imagined you could. If you believe you can do it, you are more likely to take the risks associated with people who are highly successful. Prosperity and success go hand in hand, so take risks and aim higher.

Start a savings account. As strange as it sounds, think about this: Like Attracts Like. Even if you can only afford to put a few dollars into your account every month, it will begin to build up and attract more money.

Finally, believe you are already wealthy. The creative ability of our thoughts is such that we lend more power and energy to whatever we consistently focus on. Focusing on lack will create more lack. Focusing on wealth and prosperity will create . . . guess what?

Remember that this is a process. You likely won’t change your circumstances in one day. But over time, with consistent focus, your thoughts will begin to attract what you want. Once you master this power of thought, there are truly no limits to what you can create!

Wendy Betterini is a freelance writer who strives to motivate, uplift, and inspire you to make your dreams a reality. Visit her website, www.WingsForTheHeart.com for more positive thoughts to help you on your journey.

Refinancing after a bankruptcy can seem like an especially difficult challenge, but it doesn’t have to be. Six months after your bankruptcy has been finalized, you can find lenders willing to refinance your mortgage. In fact, refinancing your mortgage can help rebuild your credit to good standing in two year’s time. The following steps will help you find the best refinance lender while helping your rebuild your credit record.

Preparing For Refinancing

Right after bankruptcy, you have six months to prepare to refinance your mortgage. Begin by establishing good payment history by regularly paying your bills and current mortgage. This is also a good time to open a credit card account to start establishing good credit history.

If possible, also start building up a savings account. The more cash assets you have, the better your application will look. Consider having a garage sale or taking a second job to raise funds.

Researching Lenders

Once you are ready to refinance, research mortgage lenders and their rates. Online mortgage websites allow easy comparison shopping. Look at both interest rates and fees of refinancing quotes. Usually a slightly higher rate with low fees is the best deal.

With bankruptcy on your credit report, you will typically need to work with a sub prime lender. You can expect to pay a few percentage points above a traditional mortgage, which you can find through online mortgage companies.

Choosing Your Refinancing Package

You may be offered a chance to cash out part of your home’s equity when refinancing your mortgage. If you need to make home improvements or buy a car, this may be a good option. However, if you keep your home’s equity in place, you are improving your credit.

Once you have decided on your terms, you can finish your loan application online or through the mail. Quotes are not guaranteed, so rates may vary slightly once your application has been approved. Before the loan is finalized though you have the opportunity to review the loan again.

After Refinancing

With your refinancing completed, you can plan to lower your interest rates through refinancing in two years by building up your credit score. Continue to make regular payments and add to your cash reserves. Before you apply to refinance again, review your credit report to be sure your bankruptcy closed all past accounts on your record. With a solid credit history behind you, you can apply to traditional mortgage lenders.

To view our recommended sources for refinancing after a bankruptcy online, visit
this page: Recommended Bad Credit Mortgage Lenders Online.

Carrie Reeder is the owner ABC Loan
Guide, an informational website about various types of loans.

Many of these fees are fixed but some can be negotiated.

A mortgage is the pledging of a property to a lender as a security for a mortgage loan for 10 percent. Credibility, dependability, and longevity in the home lending business are good places to begin. Some will quote you precise, competitive rates 7 percent. Brokers work with many mortgage bankers and, as a result, can sometimes find slightly more competitive rates 9 percent perhaps lower but dealing directly with a mortgage banker can move a loan along more quickly. See mortgage loan for residential mortgage lending, and commercial mortgage for lending against commercial property. Arranging a mortgage is seen as the standard method by which individuals and businesses can purchase residential and commercial real estate without the need to pay the full value immediately. See which lenders are charging fees 7 percent and for how much. But others will claim low rates to bring in customers or tell you that the rates 6 percent offered by competitors will change.

Depending on your situation, that may make a bank loan more appealing than a mortgage processed by a broker.

Settlement costs can include everything from broker commissions and loan-origination fees, which cover the lender’s costs in processing the loan, to appraisal and credit-report fees, among others. Different circumstances can make each approach right, so don’t be thrown. Although most mortgage experts say that rates 7 percent are pretty much the same wherever you go, give or take this tiny 5 percentage. So how do you find a lender or broker you can trust’ In most jurisdictions mortgages are strongly associated with loans 3 percent secured on real estate rather than other property and in some cases only land may be mortgaged. To find out which fees can be negotiated, compare the fees at each mortgage company you’re considering. Different lenders charge different fees. And of course, each loan and each borrower are different.

Translated in Dutch it means: Woon je in Wormerland of Eersel en heeft u BKR notering’ Lenen met een BKR registratie is nog nooit zo gemakkelijk geweest. Haal snel een nieuwe caravan met vandaag geld met bkr registratie, 327441 euro is gewoon mogelijk om te lenen. Van Mook en Middelaar tot Voorschoten, geld lenen met een BKR registratie kan hier altijd.

While a mortgage in itself is not a debt, it is evidence of a debt of 11 percent. It is a transfer of an interest in land, from the owner to the mortgage lender, on the condition that this interest will be returned to the owner of the real estate when the terms of the mortgage have been satisfied or performed.

Start with credibility. It’s not easy to know if the prices quoted by lenders are reliable. In other words, the mortgage is a security for the loan that the lender makes to the borrower. Both banks and brokers have their strengths and weaknesses.

What is creativity anyway? Well, let us look at the word. Creativity means the capability to build, create something. It does mean to build something new but not necessarily something unique. And here is the first trap many of us tap into. We tend to think about creativity as building something unique, something that has never been there before.

In fact, everything you create has never been there before anyway. Whatever you create, from making breakfast to writing letters, is something that has never been there before. Right? Ah, I can almost hear you say that is trivial.

Well, it might be trivial but creativity is trivial as it is a gift every human being is blessed with. What we need to do to unleash the power of creativity is to put it from the breakfast creating level to new heights.

Now how do you do that? You do it as you learn every skill. By practicing and exercising. Any skill you ever mastered you mastered through taking the steps needed and practice them over and over again. That’s how we learn new things.

Think of your creativity as a muscle. That muscle can be strong or weak, depending on how much you have used it in the past, but no doubt about it that muscle is there. If you compare yourself with a body builder, would you say your body misses any muscle he has? Certainly not, only these muscles might be covered a little bit – or a little bit more- under some fatty tissue and are so weak that they do not show through.

Same goes with creativity. We simply have it but it is often our weak muscle covered by the fatty tissue of beliefs we have about our own incapability and about the superiority of others.

Once you take that metaphor as a given, you can start building your creative muscle. You can make it as strong as you like it to be. the only thing you need to do is constant excoriate.

So, how to build your creative muscle again?

Every creative process has 4 phases.

* Preparation

* Cerebration

* Realization

* Application

Like toning your muscles by going through certain steps in the right sequence you build up creativity by applying these for phases sequentially.

At first you might only do it once in a while. But the more you do it the stronger your creative muscle gets and the easier it is. it just becomes a habit. And a habit is something we do unconsciously.

Let us look at the steps a little closer.

Preparation

This is maybe the most important step. Preparation is about gathering the data, the information. All Improvements start with questioning the current situation. Asking questions, and asking the right questions is key.

Asking yourself hard questions is not always comfortable. But, remember, starting to exercise is not always comfortable as well. Nevertheless it is a must.

What questions to ask? Here are some questions to start the process.

What am I trying to do?

How am I trying to do it?

What are my assumptions?

What if my assumptions are wrong?

By asking these questions you start the loop of creativity. Just do not start judging for now.

Once you have your data collected, you know the frame of the problem. Now, begin with the second step.

Cerebration

This is the easiest step in the process. Cerebration simply means to stop consciously thinking about the issue and turn it over to your unconscious mind. Because your rational mind has already clarified the frame of the challenge it is time now to tap into your resources.

How to do that? There are many ways but one works pretty well for me. I start thinking and doing something totally different after I told myself that I hand the issue over to my subconscious mind. No second thought on it. I actually deny myself to ponder over it. I do everything I can to not think about it anymore.

I think my unconscious mind becomes pretty upset of me ignoring it and usually starts acting like wild to get through to my conscious mind. The more I suppress this the stronger it tries.

Eventually my unconscious mind is so upset that it fires up ideas. Not only one or two, but because I consciously suppressed it from letting ideas coming out, it starts firing on idea after another. I never know when it happens, it could be hours or even days after I framed the issue. But I am sure it always happens.

And, this is my goal. Now I can go to the next stage.

Realization

This is where you take all the ideas your unconscious came up with and write them down. You realize them. You get aware of them.

In that critical stage we often start judging the ideas. Don’t do that before you have written down every single idea that your mind came up with.

Writing the ideas down or even saying them out loud, gives them a new dimension. You create the idea literally by giving it a form (either written or by producing sounds we call language). This is a very important part. Let the idea emanate, become something that exists outside of your brain. No matter how silly it seems, if it was worth for your subconscious to come up with it is worth to be written down. Value the work of your subconscious mind.

After you have written down all your ideas, you can go to the next stage.

Application

This is the last stage, where you evaluate the set of ideas and pick the one you belief has the biggest chance of being applicable. Make a Top 10 list of your ideas and sort them as long as it takes to find the right sequence.

Now you have done it. You can start to apply your idea to the problem. You will maybe find hundreds of issues that have to be solved but that is only an entry point to start the whole process over again until you succeed.

Creativity is a skill it is not a genetic gift to some. It is a gift you have too. Build your muscle using the sequence i gave you and you will start becoming a creative person able to solve problems and create the outcome you want.

2005 © Norbert Haag. All rights reserved.

PERMISSION TO REPUBLISH:

This article may be republished in newsletters and on web sites given attribution is provided to the author, and it appears with the included copyright, resource box and live web site link. Email notice of intent to publish is appreciated: mail to: nhaag@onlinebusinesscoach.com

Norbert Haag is a business consultant, entrepreneur and sought after speaker for more than 20 years.

His company – Online Business Coach http://www.onlinebusinesscoach.com – provides information and services for online businesses, small business owners and freelancers.

You can reach Norbert at nhaag@onlinebusinesscoach.com.par

Save Money on your Loan, Avoid PMI by: Travis Tomlinson

With gas prices soaring and bills piling up it is important to save money any way possible. The same is true when financing a home. All loans are not created equal. Some loans have costs that you should avoid. One of those costs is PMI. In my opinion you should avoid this cost whenever possible! Private Mortgage Insurance (PMI) is insurance that the lender requires on loans that have less than 20% down payment. This can cost you somewhere between 80-200 dollars per month! This could put the house of your dreams out of your budget. Luckily, in most cases, there are ways around these extra costs.

The best way to avoid PMI is to find a lender with programs that finance above 80% with out charging PMI. At Fifth Third Bank I have the ability to finance loans up to 100% without charging PMI. These loans do have guidelines that you must qualify for but if you do meet the criteria then take it! You could end up in your home with no down payment and no PMI. If you don’t qualify for these programs don’t worry, there is another way! You can also avoid paying PMI by doing an 80/20 loan. This type of loan splits the financing up into two different loans. You can think of this as borrowing money from the bank as a down payment. You will be carrying two loans at two different interest rates.

The first mortgage, which would make up 80% of the purchase price, will be on a lower rate. The second mortgage will be on a slightly higher rate, but your payment will be lower than choosing a loan with PMI. The second mortgage is also tax deductible. PMI is NOT tax deductible!

The name of the game is saving money! When you are shopping around for a mortgage make sure you ask your loan officer about special programs that avoid PMI. If you cannot qualify for these then ask about their 80/20 programs. Mortgage shopping can be confusing and frustrating, but it doesn’t have to be. Find a lender who wants to save you money. Good luck and happy shopping!

Travis Tomlinson Senior Mortgage Loan Originator Fifth Third Bank Cleveland, OH Phone: 216-476-5948

For more real estate information and articles visit: http://www.youshouldown.com

If you’re a real estate agent, client follow-up should be a major part of your real estate marketing program. Whether it’s a postcard mailing program through a direct mail vendor, or just a series of well-timed thank you cards after the transaction, you need some form of follow-up.

Why so important? You probably already know, but for those just joining the real estate ranks:

* Proper follow-up generates repeat business by keeping you in touch with past clients.

* Proper follow-up generates referrals by showing you still care after the transaction.

Follow-up brings other benefits to the table, but referrals and repeat business top the list. And if you’ve read any studies on where real estate business comes from, you know how important these factors are — especially referrals.

Execution

So, how do you strengthen your follow-up? One way is to make it more specific to the individual client. Another way is to make it more human. Combine the two, and you’ve got a follow-up program that will maximize your referral and repeat-business rates like nothing else.

First, let’s look at ways to make your follow-up program more specific to the individual. The basic execution is simple, thought it does call for a bit of note-taking during the relationship.

Step 1. Keep notes on your clients.

Throughout your business relationship, make notes about your clients. They might include a range of topics — hobbies, interests, decorating styles, other neighborhoods or areas they were interested in, number and age of children, future plans. You get the idea.

What you’re doing is gathering useful information about your clients that will allow you to tailor specific “touches” later on when doing your follow-up. File these notes away in your customer database, filing system, or wherever else you keep client information. And remember, the easier it is to do, the more likely you’ll stick to it. So find something that works for you.

Step 2. Outline your follow-up program.

You need to put your follow-up program on paper for several reasons. First, the manual act of writing things down engages the creative side of your brain. You’ll be surprised at all the ideas popping into your head as you map out your follow-up program.

Secondly, you need to write your program down to make sure it achieves the number of contacts or “touches” you’re striving for. Opinions vary on the number and frequency of touches. I would suggest monthly, especially in the beginning of a follow-up program (when you’re most likely to get referrals from still-happy clients).

Go for a balance of automation and personal contact. Why? Because a program that’s 100% personal contact (phone calls, for example) will be exhausting to maintain. In the other extreme, a program that’s 100% automated (like a scheduled mailing program) will be too impersonal. You have to combine the two.

You have the best chance of generating referrals during this first year. In the second and third years, you might choose to reduce the number of phone calls, while keeping the newsletter and auto-mailers going.

Do you now see the value of collecting this information along the way? It’s invaluable later on, when you’re preparing your well-balanced follow-up program. And can you just imagine the surprise when Jane says, “Wow, she remembered that I like Feng Shui … I forgot we even talked about it!”

Now that’s referral power.

Step 3. Carry out your follow-up program.

This is where all the previous lessons will pay off. Just by having a procedure for your newsletter and a well-managed client database with good notes, you’ve finished half of your follow-up legwork in advance. The rest is simply filling in the blanks, keeping tabs on your schedule and sending your materials out.

Summary

A balanced follow-up program — one that mixes personal, one-to-one contact with automated elements like postcards — gives you the best of two worlds. It’s easy enough to manage across a number of clients, while at the same time surprising your clients with specific information delivered in a personal way.