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Pending home sales rise for the fourth straight month

Chris McLaughlin — Thu, 02 Jul 2009 20:25:54 +0000

Real Estate News & Commentary by Chris McLaughlin, July 2, 2009

http://www.shortsalesriches.com

* Follow me on Twitter: http://www.twitter.com/mclaughlinhris

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Pending home sales rise for the fourth straight month

According to the National Association of Realtors, its Pending Home Sales Index, a forward-looking indicator based on contracts signed in May, rose 0.1% to 90.7 from a reading of 90.6 in April, and is 6.7% higher than May 2008 when it was 85.0. This incidentally is the fourth straight monthly gain; the last time there were 4 consecutive monthly gains was in October 2004. Lawrence Yun, NAR chief economist, cautions that there could be delays in closure of home contracts. “Closed existing-home sales have improved but are coming in lower than expected because some contracts are delayed or falling through from the application of new appraisal rules for many transactions,” said Yun. “The pronounced increase in April and the fact that May sustained this rise does indicate that actual existing home sales are poised to rise in the coming month or two,” said Joshua Shapiro, chief U.S. economist for MFR. On a regional basis, the pending home sales index rose 3.1% to 80.9 in the Northeast, increased 2.2% to 96.9 in the West, dropped 1.3% to 89.2 in the Midwest, and dropped 1.7% to 92.6 in the South.

Government widens the scope of mortgage refinancing program

Housing and Urban Development Secretary Shaun Donovan has announced that the scope of the Home Affordable Program will be widened to include refinancing of mortgages with loan-to-value ratio of 125% from the current 105%. As home values keep falling, more homeowners are slipping into delinquency. The government’s move clearly acknowledges the worsening situation in the housing sector. “The president’s Making Home Affordable plan is already helping far more than any previous foreclosure initiative and with today’s announcement we will extend its reach still further,” said Donovan. The program is limited to loans by Fannie Mae and Freddie Mac. Rick Sharga, a senior vice president of RealtyTrac, said: “The bulk of loans that are significantly upside-down probably aren’t the Fannie and Freddie products, they’re probably the other loans.” Analysts believe the impact of the move will be limited. Paul Miller, an analyst with FBR Capital Markets, said: “I don’t think it’s going to have much of an impact because you still don’t have enough qualified borrowers.”

Unemployment rises in June

The jobless rate jumped from 9.4% in May to 9.5% in June; the highest since August 1983. The Labor Department said employers cut 467,000 jobs in June. The total number of jobless people was 14.7 million in June. On a sectoral basis, professional and business services cut 118,000 jobs in June; manufacturers cut 136,000, and construction companies eliminated 79,000 jobs. Retailers eliminated 21,000 jobs, financial sector cut 27,000, and the government cut 52,000 jobs in June. Education and health services were among the few sectors which added jobs. Economists expect the unemployment rate to rise further, particularly in sectors such as automobiles. “Payrolls will be going down the rest of the year and the unemployment rate will be rising,” said John Silvia, chief economist at Wachovia. “The challenge for the Obama administration is that we’ll have positive economic growth but still no job growth. It’s going to be tough on them.”

Beazer Homes admits to mortgage and accounting fraud

According to court documents, Beazer Homes, a homebuilder, has admitted to wrongdoings in its mortgage origination and accounting practices and agreed to a $50 million settlement. The company will pay $10 million immediately to home-buyers who were impacted by the company’s practices. Over a period of time, the company will pay up to $50 million to a national restitution fund. The Securities and Exchange Commission (SEC) has accused Michael Rand, the former chief accounting officer of the company, of recording improper reserves in order to “smooth” the company’s earnings between 2000 and 2005. In 2006, Rand started decreasing the reserves in order to report a better than actual performance. The SEC says that meeting analyst expectations was critical to keeping the stock price high and maximizing the annual bonus of senior company executives. “We deeply regret these matters and have used what we learned to strengthen our control and compliance culture,” said Ian McCarthy, Beazer’s president and chief executive.

GM plans “garage” sale

General Motors (GM) proposes to sell its “worst” assets by way of auction in the bankruptcy court. The assets for sale include polluted factory sites, parking lots in Michigan, and a nine-hole golf course in New Jersey. GM has been criticized for its polluting factories. In a court filing, the state of New York has listed 11 GM sites that are contaminated or have “ongoing environmental compliance obligations.” New York Attorney General Andrew Cuomo has said that the carmaker should meet all its environmental obligations during its asset sale. A golf course is anything but strategic to a carmaker. “The new GM hardly needs to be in the golf course business,” said Tom Wilkinson, GM’s director of news relations. “The old GM will be selling a lot of potentially valuable but peripheral property the company accumulated over 100 years, kind of like a big garage sale. You will see some really good real estate deals come out of this for investors and communities.”

Now on to our real estate investor education section…

Rich or Wealthy – What’s Your Motivation?

“Being rich is having money; being wealthy is having time.”

Margaret Bonnano

There is a lot of hidden insight into the quote above; being rich is about having money whereas true wealth affords the luxury of time. Because time is the only true commodity on earth – it is also the most elusive. It is also one of the reasons short sales will remain one of the most popular ways to build both riches and wealth remaining to the average individual.

While most people think the only thing they really need is a bit more money, research shows few are able to enjoy it or obtain the quality of life anticipated. In most instances the progressive nature of income taxes combined with the heavy time requirement of high income jobs steals the wealth right out from under all your hard work. On the other hand, short sales afford the opportunity to structure your time and taxes into the most favorable – and affordable – methods possible to generate real wealth including the time you desire to actually live your life.

So, are you brave enough to tally up the total riches and wealth generated by your life-energy? After all, you only have one life to live so you should make it count. To date, what has it done for you in terms of money and time? Find out by taking this quick assessment:

Calculate your lifetime income. Create a list estimating how much you have made over your entire work-life to date.
Make a list of all major items you own free and clear. It could be real estate, cars, boats, television or anything you consider valuable.
Make another list of all your most precious moments in life.
Make a final list of all the moments you missed out on in life or all the things you wanted to do, learn or experience but haven’t been able to do so yet.
Be Honest…how much do you have to show for all your years of hard work as of this very day? Many people work 20, 30 or even 50 years and literally have nothing to show for it. No security from having a house paid in full during old age, no car they love to take out for a spin just for the fun of it, no boat or other items to occupy their golden years…nothing.

If you aren’t satisfied with the results of your hard work to date, it’s time to do something new before even more time is stolen away from you. Time is the one thing you can never get back; time to spend with your family and friends, time to enjoy the simple pleasures in life that make living worthwhile. Time to become the person you always wanted to be and learn or experience what life has to offer. At the very least, you should have a decent list of items like homes, cars or fun toys to show for all your years of effort….if not an actual list of memories and experiences that make life complete.

If not – find out how short sale investments are allowing people just like you to obtain both riches and true wealth.

See you at the top!
Chris McLaughlin

http://www.shortsalesriches.com

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Finally, a blog for Real Estate professionals
that want up-to-the-minute news, & how it impacts
us and our market…
http://www.shortsalesriches.com/blog

About the author:

Chris McLaughlin is widely known as America’s top
Real Estate Attorney and Investment Consultant.

running 4 different offices, supporting nearly

450 agents, uniquely positioning him to help

thousands of investors make money in the

biggest market opportunity ever!
* Highly sought-after speaker, consultant, and
seminar leader for current trends and hot topics
in Real Estate Investing, Entrepreneurship, and
Wealth Building
* Follow me on Twitter: http://twitter.com/mclaughlinchris
* Add me on Facebook: http://www.facebook.com/mclaughlinchris

Home prices fall in major U.S cities

Chris McLaughlin — Wed, 01 Jul 2009 13:04:16 +0000

Real Estate News & Commentary by Chris McLaughlin, June 30, 2009
http://www.shortsalesriches.com

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Home prices fall in major U.S cities

The Standard & Poor’s/Case-Shiller index, which measures the movement of home prices in 20 major U.S. cities, dropped 18.1% in April from a year earlier. This follows an 18.7% drop in March. The price drop was largely on account of increasing foreclosures. “The market will likely remain out of balance for some time given the flood of foreclosures,” said Michelle Meyer, an economist at Barclays Capital. “Home prices are likely to continue to fall, albeit at a slowing pace, even after the economy technically emerges from the recession.” The decline in home prices is stabilizing the housing market. According to the National Association of Realtors, home resales rose 2.4% in May to an annual pace of 4.77 million units. Lennar Corp., the third-largest U.S. homebuilder, reported last week that home deliveries in the second quarter rose 47% while new orders rose 67%, from the first quarter of this year. Stuart Miller, Chief Executive Officer of Lennar, said: “While we are sensing pent-up demand in the market, rising unemployment, increased foreclosures and tighter credit standards continue to present challenges for the industry.”

Loan modifications program yet to take off

The Obama administration introduced the $75 billion loan modifications program 4 months ago to refinance and modify millions of mortgages, by offering government subsidies and incentives for servicers, lenders, and borrowers. The plan offers $1,000 to mortgage companies for each loan they modify, followed by $1,000 per year for the next 3 years. The program has been ineffective so far with millions of homeowners continuing to slip into delinquency and foreclosure. Analysts attribute the slow progress of the program to operational constraints faced by mortgage companies. Michael Barr, the assistant Treasury secretary for financial institutions, said mortgage companies need to do better to promote the program. “They need to do a much better job on the basic management and operational side of their firms. What we’ve been pushing the servicers to do is improve their infrastructure to make sure their call centers are doing a better job. The level of training is not there yet,” said Barr. Mortgage companies acknowledge they need to do more. Tom Kelly, a spokesman for JPMorgan Chase, which now owns Washington Mutual, said the bank has added 950 loan counselors since the beginning of the year, bringing the total to 3,500, in order to expedite the process. “But we’ve got a lot more to do,” said Kelly.

State can probe racial discrimination in mortgage lending.

In an important judgment, the U.S. Supreme Court has ruled that New York’s attorney general can investigate whether banks discriminated against minorities while offering mortgage loans. In 2005, Eliot Spitzer, then the New York state attorney general, said data showed that loans to minorities carried higher interest than loans to non-minorities, and wished to start a probe. The Office of the Comptroller of the Currency (OCC), a federal agency that oversees banks, opposed the probe because it believed the probe fell outside state jurisdiction. The Supreme Court ruled in favor of the New York state attorney general. Andrew Cuomo, the current New York attorney general, said: “This is a huge win for consumers across the nation.” According to Cuomo, the ruling will help state attorneys to protect consumers from the “illegal and improper practices by our country’s biggest and most powerful banks.” James Cox, a securities law professor at Duke University, said the ruling gives state attorneys a “bully pulpit” and “even without subpoena power they can still hold press conferences and take steps to swing public opinion.” Michael Calhoun, president of the Center for Responsible Lending, said the ruling “is a victory for taxpayers, who have suffered enormously as a result of abusive business practices in all types of lending.”

GM seeks approval for the “new GM” plan

Just 30 days after filing for bankruptcy under Chapter 11, General Motors (GM) has sought court approval for selling its prized assets such as Chevrolet and Cadillac under Section 363 of the bankruptcy code to a “New GM.” GM’s old assets would remain behind for liquidation. The proposal is likely to face opposition from GM’s bondholders. Analysts believe that GM’s case is likely to be strengthened by the permission of U.S. Supreme Court for the sale of Chrysler to Italy’s Fiat. Stephen Lubben, a bankruptcy professor at Seton Hall Law School, said: “I think it is going even perhaps more smoothly than Chrysler, which is kind of interesting considering how much bigger GM is than Chrysler.” GM has emphasized in its court filings that its proposal will avoid a “systemic failure” in the U.S. auto industry and provide “a genuine opportunity for the business to survive and thrive in an economically viable entity.”

The “not in my backyard” syndrome

The Obama administration’s financial reform plan, unveiled on June 17, is facing opposition from almost all constituents – banks, hedge funds, and industry associations such as the U.S. Chamber of Commerce. The “not in my backyard” (NIMBY) reaction is predictable as industry constituents begin to realize how the new regulations will impact their business. Scott Talbott, a lobbyist for the Financial Services Roundtable, which represents large financial companies, said: “I think the NIMBYism started once we had something to shoot at—before that, it wasn’t really real. Then once we have the legislative language, the real fights will begin.” While banks and other players say they have valid concerns on the impact of the new regulations, consumer advocates and groups supporting government proposals have criticized financial industry participants. “It’s a strategy to try to split people on Capitol Hill and try to confuse people,” says Ed Mierzwinski, consumer program director for the U.S. Public Interest Research Group, a consumer advocacy organization. “It’s an attempt to blame it on the other guy—they’re hoping to water down reform, deflect criticism of their industry.”

Now on to our real estate investor education section…

To Diversity or Not…That is the Question

Common wisdom holds that diversification is the key to safety and the secret to building long term wealth but does this golden nugget of investment knowledge really hold true? By now every investor with a pulse should be ready to carefully evaluate every piece of investment advice before putting their hard earned dollars to work; scandals, worthless securities and severe economic strain have turned retirement accounts into little more than emergency funds while millions of Americans are completely rethinking the concept of retirement in light of meager savings.

So, should you heavily invest in short sales while the price is right or are you spreading yourself too thin and putting yourself at risk? If you are one of the plethora of people that would never dare consider the option of not diversifying – keep reading before making up your mind. In his latest book “A Gift to My Children” by legendary investor Jim Rodgers, Rodgers clearly comes out against diversification. A quick look through history shows many of the wealthy failed to follow that worn-out advice and became outright rich because of it; Henry Ford, Bill Gates, Rockefeller and others were heavily invested in what they knew best.

The Down Side of Diversification

Diversification is nearly always portrayed as a way to reduce risk but it simultaneously reduces profit. For example, if an investor has $100,000 to spend and they spread it across ten different stocks, the chances of all ten going up (after correcting for inflation) are minimal. It happens but typically they rise and fall at different rates over different periods of time. Some will go out of business entirely while others will reach stratospheric rates of return. Typically the winners and losers “average out” to create a long term rate of return of roughly 8 percent. Unfortunately, as millions of Americans have found, when the market is down it can take considerable time to reverse losses. Add in holding fees, transaction costs, the rate of inflation and taxes…well, you get the idea.

On the other hand, if the same investor had put the entire $100,000 into a “sure-fire” stock they would have one of three outcomes: win, loose, hold steady. Yes, it is a risk but it’s also the way to obtain big life-changing rewards. Unfortunately, stocks are not easily controlled and do not conform to the hard work or direct intervention of the average investor.

However, real estate does. It still retains excellent tax advantages, provides a direct input by investors that are able to impact the value of the property through a multitude of individual decisions such as how to use the property (rental, flip, option etc) or even how to stage and repair. Before you allow others to tell you short sales are risky or that putting all your eggs into one basket is a recipe for financial failure; take time to examine the current condition of that person’s portfolio versus a short sale investors. Despite the downturn in the economy, chances are the short sale investor is outpacing the traditional stock and bond diversification investor by significant margins.

Remember, it is still possible to diversify while building a short sale investment profile simply by expanding the type of properties purchased and geographic location. Stop accepting common wisdom as the plain truth – instead, start putting it to the test. Chances are you will agree short sales have the most to offer by a long shot.

See you at the top!
Chris McLaughlin

http://www.shortsalesriches.com

PS:

“Strange New Automation Strategy Closes Short Sales

Fast and Easy!”

Think of it! Our new automatic system for finding and

closing short sales is letting people cut their

work-week in half… and triple their income!

If you’re ready to say good-bye to endless hours of

labor, and far too few dollars in return, find out

more for fr-ee – no cost, no obligation. Just click

the link below..

https://www2.gotomeeting.com/register/309228778

http://www.shortsalesriches.com

http://www.shortsalescoach.com

http://www.sixfigurebpo.com

http://www.reomillionaireclub.com
Finally, a blog for Real Estate professionals
that want up-to-the-minute news, & how it impacts
us and our market…
http://www.shortsalesriches.com/blog

About the author:

Chris McLaughlin is widely known as America’s top
Real Estate Attorney and Investment Consultant.

running 4 different offices, supporting nearly

450 agents, uniquely positioning him to help

thousands of investors make money in the

biggest market opportunity ever!
* Highly sought-after speaker, consultant, and
seminar leader for current trends and hot topics
in Real Estate Investing, Entrepreneurship, and
Wealth Building
* Add me on Twitter: http://twitter.com/mclaughlinchris
* Add me on Facebook: http://www.facebook.com/mclaughlinchris

Home Resales Up 2% in April

Chris McLaughlin — Wed, 27 May 2009 19:38:46 +0000

Real Estate News & Commentary by Chris McLaughlin, May 27, 2009

http://www.shortsalesrichesturbocharged.com

It’s LIVE! The Launch of the Year has begun .. find

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Home Resales Up 2% in April

According to a survey conducted by Bloomberg News, resales of home rose by 2% in April from March. Falling prices, tax credits, and low mortgage rates may be contributing to an increase in home resales. The rise in foreclosures also helped home resales. Foreclosed properties accounted for 50% of home resales in March. “Home sales are being boosted by foreclosure sales and that’s helping to keep activity stable,” says Celia Chen, an economist at Economy.com, a provider of economic analysis. Many analysts believe that the market is stabilizing. “Home sales and construction activity are probably at the bottom,” said Chen. Robert Niblock, Chief Executive Officer of Lowe’s Companies, a large retailer of home-improvement products, said in a conference call that “there have been some encouraging signs in recent weeks that suggest perhaps the worst is behind us. Consumer confidence has ticked up. Housing turnover, especially in certain markets, is showing signs of a bottom.”

Mortgage applications drop

According to the Mortgage Bankers Association, its index which tracks applications to purchase a home or refinance a loan dropped 14.2% in the week ended May 22, as compared to the earlier week. Requests for home loan refinance dropped 18.9%. While some believe the market is about to stabilize, housing analysts rule out the possibility of a sustained recovery unless unemployment goes down. Pete Flint, chief executive of Trulia, a real estate website, says, “The housing market is not going to recover until foreclosures stabilize and reduce, which is unlikely in the short run. I would feel a lot more hopeful for the housing market when I see some positive signs in the employment statistics.” The unemployment rate in the U.S. is currently 8.9% and is expected to climb in future.

Irrational exuberance

The Standard and Poor index is up more than 30% since early March. With the economy not showing any signs of sustained recovery, the enthusiasm of the market could well be misplaced. In its latest budget projections, the U.S. government estimated that the economy will grow by 3.2% next year and by the year 2012, the growth will be 4.6%. Many analysts expect the economic growth to be lot lower. The economy has been bolstered by government spending. The question is what would happen if there is a reduction in government spending. Jeffrey Rosenberg, head of global credit strategy at Bank of America Securities Merrill Lynch, says, “When you remove the government stimulus, what the private sector can generate in terms of growth feels like a recession.” According to Rosenberg it would take another 3 years before banks recover from credit crisis and during that period economic growth could be as low as 0.5 to 1%. When the economy grows at a rate as low as 1%, it is susceptible to external shocks such as rise in the price of oil. History suggests that when recession is caused by financial crisis, it takes a lot of time for the economy to recover.

Consumer confidence grows

Data released by The Conference Board, an agency which carries out economic research, suggests that consumer confidence is on the rise. The index of consumer attitudes, published by The Conference Board, jumped to 54.9 in May from 40.8 in April. This is the biggest one-month jump since April 2003. Analysts believe that the jump in the index is an indication of “less of bad news.” Lynn Franco, director of The Conference Board’s Consumer Research Center, says, “Consumers are considerably less pessimistic than they were earlier this year.” Less of pessimism doesn’t exactly denote optimism. The consumers covered in the survey for collecting index data offered mixed response with regard to their purchase plans. The proportion of consumers planning to buy a car in the next 6 months rose to 5.5%, the highest in the last one year. But only 2.3% said they intended buy homes.

General Motors inches closer to bankruptcy

The large majority of bondholders of General Motors (GM) have rejected the company’s offer to trade their $27 billion bonds for a 10% stake in the company’s stock. This effectively negates the possibility of GM’s debt restructuring plan, and pushes the company closer to bankruptcy. Some believe that GM’s bondholders are likely to get a worse deal if the company files for bankruptcy. It looks highly likely that the U.S. government will increase its planned stake from 50 to 70% in GM, in order to reduce the company’s debt burden. The bankruptcy, if and when it happens, will be among the largest and the most complex in the history of American industry.

Now on to our real estate investor education tips section …

Is Your Body Language a Barrier to Short Sale Success?

Let’s face it – everyone is prone to the occasional sigh or less than enthusiastic response especially when dealing with complex or challenging people. Unfortunately, short sale investors must learn how to successfully negotiate with sellers, lenders and others in order to put together the best deals – no matter how positive or negative you feeling are – it’s important to keep your body language under control. Learn how to identify – and correct – the most common body language barriers holding back your success:

Off the Top of Your Head…did you realize that most people tend to look upward in a diagonal position when trying to think of an answer? It’s true – and others are able to pick up on that almost immediately. Stay prepared to avoid negotiating by the seat of your pants.

X-Marks the Spot…crossing your arms is often associated with a defensive posture. Rather than attempting to fix it (which is likely to only make you appear even more uptight), simply learn how to calmly communicate what you don’t like about the current conversation. Practice using a relaxed voice and your body language will follow suite naturally.

Ahead of the Crowd…overt enthusiasm and gestures that display a sense of urgency can be a dead give-away. Learn how to demonstrate a calm demeanor even when excessively excited. If you are absolutely unable to curb your enthusiasm, put it into writing instead. Think of it like a poker game – and keep your cards to yourself.

I Can’t Believe my Eyes…rubbing eyes or constantly turning your face away or indicates doubt and disbelief. Stop and allow the information to sink in slowly or ask questions rather than showing serious doubt or disbelief. It keeps the lines of communication open rather than putting the other party on the defensive.

Nervous Habits…biting nails, tugging at the corner of something, fidgeting with a pen and other time consuming habits either indicate boredom (if they are performed slowly) or impatience. Either one sends the wrong message. Keep track of what nervous habits you tend to display and rather than trying to eradicate them – replace them with something positive instead.

Ask a friend or family member to point out your most common body language pitfalls then make a point of developing successful forms of physical communication. For example, a brisk erect walking manner that portrays confidence or an open palm resting in a relaxed manner when speaking (sincerity, openness). Use “steeple fingers” when negotiating (authority) and a tilted head when listening to others (interest). Film yourself and practice until it becomes second nature. …but most of all, learn how to feel comfortable in your own skin.

See you at the top!

Chris McLaughlin

http://www.shortsalesrichesturbocharged.com

PS:

It’s LIVE! The Launch of the Year has begun .. find

out tonight what all the fuss is about at 8:30 PM ET, 5:30

PM PST:

https://www2.gotomeeting.com/register/501676394

*************************************************
Finally, a blog for Real Estate professionals
that want up-to-the-minute news, & how it impacts
us and our market…
http://www.shortsalesriches.com/blog

About the author:

Chris McLaughlin is widely known as America’s top
Real Estate Attorney and Investment Consultant.

* As the top Florida foreclosure and pre-
foreclosure expert, he oversees more than
100 short sale & REO closings each month
* Long-time authority on real estate investing
and rapid reselling of distressed homes. Owns
portfolio of nearly 100 high-value, high-profit
properties
* Owner and Supervising Broker of one of Florida’s
largest Real Estate firms, running 4 different
offices, supporting nearly 450 agents, uniquely
positioning him to help thousands of investors
make money in the biggest market opportunity ever!
* Highly sought-after speaker, consultant, and
seminar leader for current trends and hot topics
in Real Estate Investing, Entrepreneurship, and
Wealth Building
* On twitter: http://twitter.com/mclaughlinchris
* On facebook:
http://www.facebook.com/addfriend.php?id=709199143

Housing Messages Mixed…and The Next Shoe to Drop

Chris McLaughlin — Mon, 27 Apr 2009 15:54:32 +0000

Real Estate News & Commentary by Chris McLaughlin, April 27, 2009
http://www.shortsalesriches.com/welcome.html

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Housing messages mixed

The Obama administration keeps telling us things are looking up, but the real players in both the economy and real estate are all over the map in both results and predictions. The National Association for Realtors has pulled together some of those confusing housing indicators from last week:

- The Federal Housing Finance Agency, which regulates Fannie Mae and Freddie Mac, reported that home prices rose 0.7 percent from January to February 2009.

- The February 2009 RPX Monthly Housing Market Report said home sales increased month over month in 22 of 25 key metropolitan statistical areas and 13 of these areas posted the largest gain in February 2009 since 2006.

- The National of Association of REALTORS® reported that existing home sales dropped in March 2009, and median prices fell 12 percent from a year earlier.

- First American CoreLogic announced that national housing prices declined 12.2 percent in February from a year earlier and have been in decline for 24 straight months. It predicted that home prices would continue to decline through 2010.

Clarification or more mixed messages?

Just to keep up the confusion by trying to explain it, The National Association of Home Builders reported that production of single-family homes is unchanged, despite falling housing starts. “Today’s numbers are right on target with NAHB’s forecast, which anticipates that housing starts will bottom out in the second quarter, after new-home sales have stabilized,” said NAHB Chief Economist David Crowe. “Single-family starts remained virtually unchanged over the past three months, indicating that we are closing in on a bottom. Multifamily starts – which tend to bounce around from month to month — were responsible for the decline in total starts as they readjusted following a substantial gain in February.” But he warned, “A substantial recovery in housing of the kind that’s required to help get the national economy back on its feet will not happen until the logjam in acquisition, development and construction financing has been broken.

Swine Flu hits the market

World stocks tumbled after seven weeks of gains, and both oil and the euro fell on Monday as concerns intensified the spread of swine flu would hit the global economy. Mexico seems to be the center of the outbreak, although cases have spread to countries around the world. As many as 103 deaths in Mexico are thought to have been caused by swine flu, CNN reported. In the United States, the largest number of cases has been reported in New York City. “The swine flu seems to be one of those ‘Black Swan’ events that has caught the market by surprise. This is a concern as to whether it might impact any potential…recovery chances,” said Martin Slaney, head of derivatives at GFT Global Markets. The MSCI world equity index fell 0.7 percent. The U.S. government plans to issue a travel warning later Monday urging Americans to avoid all “nonessential” trips to Mexico because of an outbreak of swine flu, a U.S. official said.

GM slashes jobs, debt, and dealerships

In its latest bid to stay out of bankruptcy, General Motors announced plans to drop Pontiac, cut 23,000 U.S. jobs by 2011, and slash 40% of its dealer network. GM is also offering bondholders 225 shares of its stock for every $1,000 it owes the bondholders in principal. GM’s first plan was turned down by President Obama’s auto industry task force in February, but this restructuring announcement goes much further.

The company had announced many of the job cuts in February, but Monday’s news that GM would have about 38,000 hourly U.S. employees by 2011 represents an additional reduction of 7,000 to 8,000 jobs beyond what GM disclosed in its previous viability plan. The Obama administration’s task force said today that the new plan “reflects the work GM has done since March 30 to chart a new path to financial viability,” but added that it “has made no final decision regarding the treatment of its current loan to GM or with respect to any future investments in the company.” Not exactly a rousing endorsement, is it?

Wall Street Journal explodes at regulators

In perhaps its harshest language yet, the Wall Street Journal takes a crack at mismanagement by Paulson and Ben Bernanke. Here’s how the article opens: “The cavalier use of brute government force has become routine, but the emerging story of how Hank Paulson and Ben Bernanke forced CEO Ken Lewis to blow up Bank of America is still shocking. It’s a case study in the ways that panicky regulators have so often botched the bailout and made the financial crisis worse. In the name of containing “systemic risk,” our regulators spread it. In order to keep Mr. Lewis quiet, they all but ordered him to deceive his own shareholders. And in the name of restoring financial confidence, they have so mistreated Bank of America that bank executives everywhere have concluded that neither Treasury nor the Federal Reserve can be trusted.”

Now on to our real estate investing education section…

Derivatives – The Next Shoe to Drop?

About the time short sale investors have started to grow weary of watching the evening news a new economic threat is beginning to rear its ugly head – derivatives. While most of the media has been content to talk about falling real estate prices (which are beginning to look good in comparison to other investment options), faltering currencies, corporate bankruptcies and bail-outs only the most fearless dare to mention what is on everyone’s mind…the dreaded derivative market.

To get a perspective on the situation consider these startling facts:

The total value of residential real estate in the United States is estimated to be roughly $10 Trillion.

The annual GDP of the USA is roughly $15 Trillion.

The global GDP for the entire world is roughly $50 Trillion.

The total value of all real estate in the entire world is roughly $75 Trillion.

The derivative market is roughly $516 Trillion…excluding private transactions between non-reporting entities.

Obviously the problem is huge which is one reason big banks are eager to settle the real estate related problems as soon as possible in order to position themselves – with cash in hand – for the next stage of the economic playbook. By now there should be one burning question on the minds of every savvy short sale investor; “Which banks are heavily invested in derivatives?”…well, that is a good question and one in which we have an answer. In order of shock and awe are the derivative investments of some of the biggest names in the banking industry as of the end of 2008 as represented by a percentage of their risk based capital is as follows:

Wachovia: Approximately 53 percent

Bank of America: 194 percent

Citibank: 258 percent

JPMorgan Chase: 430 percent

HSBC: 595 percent

Scary isn’t it? This means that for every dollar of capital held by HSBC, they have nearly $6 of exposure to the derivative market however, all of these banks are above the suggested maximum of 25 percent exposure so at what point does it even matter? This type of scenario is what has many economic experts calling for the end of the historic strategy of buying and holding stocks, bonds and even dollar based currency for the foreseeable future as one bubble after another continues to burst.

Remember, the entire global GDP is only $50 trillion….which would not even be enough to “bail-out” Citibank alone should the derivative market collapse. Now ask yourself, where do you intend to park your hard earned money over the coming years? Stocks? Bonds? Currencies backed by governments forced to bail-out one bad investment after another?

How about putting it into the one tangible asset that provides the fundamentals required for a great return, flexible financing, long term tax breaks and a historical precedent unlike all others…real estate. The choice is yours – listen to the same media pundits that lead you down this path and believe the rhetoric about the market moving upward or cash out while you still can and invest in something safe for the long haul. Just remember, when the derivative shoe finally does drop…you heard it here first.

See you at the top!

Chris McLaughlin

http://www.shortsalesriches.com/welcome.html

P.S.

Don’t miss our webinar Tuesday night at 8:30 PM ET, 5:30 PM PST:

https://www2.gotomeeting.com/register/500640410

http://www.shortsalescoach.com
http://www.shortsalesriches.com
http://www.reomillionaireclub.com
http://www.sixfigurebpo.com *************************************************
Finally, a blog for Real Estate professionals
that want up-to-the-minute news, & how it impacts
us and our market…

http://www.shortsalesriches.com/blog

*************************************************

About the author:

Chris McLaughlin is widely known as America’s top
Real Estate Attorney and Investment Consultant.

    * As the top Florida foreclosure and pre-
      foreclosure expert, he oversees more than
      100 short sale & REO closings each month

   * Long-time authority on real estate investing
      and rapid flipping of distressed homes. Owns
      portfolio of nearly 100 high-value, high-profit
     properties

    * Owner and Supervising Broker of one of Florida’s
     largest Real Estate firms, running 4 different
     offices, supporting nearly 450 agents, uniquely
     positioning him to help thousands of investors
     make money in the biggest market opportunity ever!

     * Highly sought-after speaker, consultant, and
      seminar leader for current trends and hot topics
      in Real Estate Investing, Entrepreneurship, and
      Wealth Building

* On twitter: http://twitter.com/mclaughlinchris
* On facebook:

http://www.facebook.com/addfriend.php?id=709199143

—

Fannie Mae Says IndyMac Owes It $1 Billion

Chris McLaughlin — Fri, 02 Jan 2009 18:10:39 +0000

Mid-Day Market News & Commentary by Chris McLaughlin, January 2, 2009
http://www.shortsalesriches.com/welcome.html

——
You really can make a huge six figure income … even a 7 figure income … with no money out of your pocket in the deepest recession our country has ever faced. How? Well, you asked and we listened … some of you said that 9 PM ET webinars were just too darn late for you! So we’re holding one this Saturday … at 4 PM EST:

https://www2.gotomeeting.com/register/703821628

——

In a reminder of how many loans were authorized but didn’t comport with true underwriting guidelines, Fannie Mae estimates that IndyMac owes up to $1 billion in mortgage repurchases. When loans don’t comport to Fannie Mae’s guidelines they are able to be called, thereby forcing the originator to repurchase them. In this case, IndyMac is bankrupt and is controlled by the Federal Deposit Insurance Corp. (FDIC). It remains to be seen how the FDIC will handle this issue.

GMAC won’t get exclusivity with GM anymore. Typically the finance arm of the motor giant provided all of the financing for GM vehicles. But now that it converted to bank status in order to tap into $5 billion of the government’s $700 billion in TARP funds, Uncle Sam has placed new restrictions on the financial giant to enable more competition.

Now on to our real estate investing education section…

Must Have’s for Better Ads

Learn how to create fantastic copy with these “must have’s for better ads”. Whether you are buying or selling your short sale career will never be complete until you understand how to effectively communicate with others. One of the most misunderstood aspects of modern methods of communication is the Internet; you don’t need to spend thousands on Google Adwords or build expensive flash based websites…just give people what they want when it comes to solid information.

1. Photos. They say a picture is worth a thousand words but even more importantly, it attracts attention. Before you can say anything meaningful, it is necessary to grab the attention of others. If you are selling a property then the more the merrier; take as many pictures as possible and don’t scrimp on style. Make sure the property looks its best and lead with something that grabs the attention of others. If you are selling then don’t discount the power or pictures; simply go for one that exemplifies the main message. For example, a fist full of bills might be a powerful message for someone in financial distress. Learn to use pictures to capture attention and tell the story when buying or selling short sale real estate.

2. Descriptions. Provide detailed information without overwhelming the reader. This is not the time or place to try an impress viewers with your superior knowledge or intellect; use the KISS formula (Keep it Simple Stupid) to communicate with buyers and sellers by providing the information they really want to know in a non threatening manner.

3. Contact Info. Make it easy for both buyers and sellers to contact you – right now. People have grown accustomed to instant gratification so make it easy for others to find you instantly. Provide email, phone, instant chat or other methods of contact then follow-up as soon as possible.

4. Examples. Don’t assume your reader fully understands the information provided; instead use working examples to communicate in a meaningful way. Be sure to use a cross section of people and situations that are similar to your target audience. For example, if you plan to target working class family neighborhoods then use an example of a family that would likely live in that area. Ditto for the pictures.

5. Testimonials. Never underestimate the power and influence of peer pressure or word of mouth marketing. Whenever possible, use testimonials especially from neighbors or other easily recognized resources. Studies demonstrate people are much more likely to use the services of someone they trust if the name is associated with a recognized ‘authority’ or provided by a neighbor or family member.

——–

See you at the top!

Chris McLaughlin
http://www.shortsalesriches.com/blog

P.S.:

Are you ready to get 2009 rolling? Then it is time to come to our LIVE “Recession Proof Real Estate Investing” webinar this coming Saturday at 4 PM EST, 1 PM PST:

https://www2.gotomeeting.com/register/703821628

Another Bailout: Bush Gives $17 Billion to Big 3 Auto

Chris McLaughlin — Fri, 19 Dec 2008 16:56:15 +0000

Mid-Day Market News & Commentary by Chris McLaughlin, December 19, 2008
http://www.shortsalesriches.com/welcome.html

——
Have you been missing our amazing Recession Proof Investing webinars because you haven’t found the time? Make time to see the most amazing webinar ever created, the one that people are raving about…because it is giving hope to those affected by this crazy economy. And that hope has turned into real cash for so many. See it all today, there are only 17 spots left:

https://www2.gotomeeting.com/register/371290260

——

President George Bush decided to throw out a lifeline to the automakers, a possible retreat from his “orderly bankruptcy” comments yesterday. Bush noted that with the country in a severe recession, “Allowing the auto companies to collapse is not a responsible course of action.” Bush has approved $17.4 billion in rescue loans, part of which comes from the $700 billion TARP, with the government having an option of becoming a stockholder in the automakers.

Now on to real estate investing education …

Do You Hear What I Hear?

During this most festive of holiday season, the sound of “cha-ching” normally rings just as loudly as that of the carolers and party-goers but this year is different. In fact, instead of singing and the sound of cash registers ringing the average short sale investor is more likely to hear wailing and gnashing of teeth from investors both near and far as the Federal Reserve reports that Americans have lost $2.8 Trillion in Net Worth…since last quarter!

Meanwhile, charge-off and delinquency rates for residential real estate loans have reached 1.45 for all banks and a whopping 1.66 for the 100 largest banks. Delinquency rates for residential real estate have now surpassed 5.08 for Q3 of 2008; the highest rate for residential real estate in over 25 years. With the economic news at home sounding so lackluster, it might lead some to seek returns in the foreign exchange markets. So, should potential short sale investors sink funds into global money market accounts or continue to pursue opportunities here at home in the current “buyers market” for real estate?

If the news domestically is hard to hear then consider the global perspective; entire nations are going bankrupt. Iceland, Hungary, the Ukraine, Pakistan and others are either facing bankruptcy or in the midst of a massive bail-out by the International Monetary Fund (IMF). Lest you think “it can’t happen here” consider this; Argentina went bankrupt as recently as 2001 as did Russia in 1998. Once an economic powerhouse, Germany has gone bankrupt twice in the recent past including 1923 and 1945. With interest rates in excess of 20 percent, Argentina is attempting to inspire investors to take a chance on investing in their nation; to date, there has been an apathetic response at best.

According to Stephen Jen, a currency specialist with Morgan Stanely, a 1 percent drop in growth could reduce the flow of capital to “threshold countries (those in a financially precarious situation) by more than half! Should this transpire, the IMF would not have enough reserves to “bail-out” each individual nation resulting in Argentina style cycle of events including frozen bank accounts, withdrawal caps, hyperinflation and social unrest. Dare to guess which nation “guarantees” the IMF slush fund should it run dry? Yep-the good ole USA. So much for “Plan B”. As these threshold nations face economic disaster, the trading partners and surrounding nations would be exposed to further strain…setting the stage for a global economic meltdown.

Experts such as Nouriel Roubini are already calling for the most severe global crisis since the Great Depression while others like Ron Paul are openly questioning the Federal Reserve about contingency plans in the event of global economic collapse. Plain and simple; fiat currency around the world is risky business even with the prospect of double digit returns. On the other hand, real estate has historically fared well even during dollar devaluation.

Five Favorite Facebook Tips to Build Your Short Sale Empire

Whether you are a novice real estate agent or veteran short sale investor you probably realize the power and influence the Internet holds in building your success. With over 80 percent of buyers beginning their search online, the Internet is a vital tool that few can afford to ignore. However, when it comes to the use of social media applications, far fewer people understand how to put these powerful resources to use for more than just socializing. The fact is, with a little tweaking and adjusting, Facebook and other social media sites have the potential to provide powerful – and free- tools to help with your day to day business or investing needs.

Contrary to popular opinion, Facebook isn’t just fourteens; here are some of the best business applications you can use to build your short sale empire:

1. Demographic Research. This little known Facebook nugget is a fun twist to standard demographic research. Find the Facebook “Insight Corner” to locate advertising information and find out how many people reside in a specific zip code or other identified demographic data.

2. Syndicate Yourself. Set up a Facebook page then import the RSS feed from your blog to the notes application and distribute to all your friends and associates.

3. Send Video Messages. Showcase homes, send out a video blast of recent news or simply make a personalized greeting. It’s a simple, personalized and cost effective way to make a big impression with a small budget.

4. Collaborate. Combine Facebook with Google documents to collaborate in a secure environment. Share everything from text to excel spreadsheets with ease while tracking changes, making comments and sharing information.

5. Picture It! Use the mobile application to upload photographs from your cell phone automatically. It’s a great way to capture information on prospective short sale properties on the spur of the moment or simply share information with others in real time.

See you at the top!

Chris McLaughlin

http://www.shortsalesriches.com/blog

P.S.: Don’t miss our webinar tomorrow, Saturday, at 2 PM EST! We’re holding this Recession Proof Real Estate Investing webinar once again on a weekend to accommodate all those who are unable to join us at night! Click here, there are only 17 spots left:

https://www2.gotomeeting.com/register/371290260

Fed Seeks to Lower Mortgage Rates as Foreclosures Set to Double in 2009

Chris McLaughlin — Tue, 02 Dec 2008 16:29:32 +0000

Fed Seeks to Lower Mortgage Rates

Mid-Day Market News & Commentary by Chris McLaughlin, December 2, 2008
http://www.shortsalesriches.com/welcome.html

——
What if there was someone who would lend you money for 24 hours, regardless of your credit, your income, and whether you just filed bankruptcy? What if you could then re-sell a property in that time and make a fortune? What if is now reality … join us for our amazing webinar tonight! Only 27 spots left:

Recession Proof Investing Webinar (Tuesday, 9 PM EST, 6 PM PST):

http://www.recessionproofinvestingwebinar.com

—–

Listen up folks. You need to start calling your investors …calling those fence sitters that have been sitting too long. The Federal Reserve just said they are going to start buying Treasury notes and bonds. Let’s review some gobbly gook FedSpeak that Fed Chairman Ben Bernanke said yesterday in Austin, Texas:

“The second arrow in the Federal Reserve’s quiver – the provision of liquidity – remains effective,” he said. “The Fed could purchase longer-term Treasury or agency securities on the open market in substantial quantities. This approach might influence the yields on these securities, thus helping to spur aggregate demand.”

Did you catch that? Folks mortgage rates are going EVEN LOWER. Why? Mortgage rate are directly tied to the 10 year treasury. As the Fed comes in and buys them up, that will send the yield on the treasury even lower, therefore reducing the overall rate on the 30 year mortgage.

And there’s more good news. Just last week the Fed announced that it would be buying $100 billion in debt from Fannie and Freddie, and around $500 billion in mortgage backed securities. Now what do markets do? They anticipate action and price it into the equation … so if you’re a Realtor, a loan officer, or a real estate investor, this is our version of a Bailout. Look for the 30 year fixed to stay well below 6%!

If, however, you agree with us that the government is mostly filled with morons that have been botching up this economic recovery after causing it, be sure to catch our recorded webinar on the topic:

www.shortsalesricheswebinar.com

Ok, on to other real estate related news of the day…

Are you ready for this new statistic, reported today by the Wall Street Journal? TransUnion LLC, the Chicago-based credit bureau, predicts that 7.17% of consumers will be at least 60 days past due on their mortgages by the fourth quarter of 2009. That’s nearly double where it is today. “There are a lot more loans that will be resetting throughout 2009 through 2011,” Ezra Becker, principal consultant in TransUnion’s financial-services group, told the Journal. “There may be an ongoing flow of consumers who may now be able to pay their mortgage but may not be able to a year from now.”

If you think that REOs and short sales are slowing you need to get your head on straight! They will EXPLODE in 2009. Loan modifications can only have so much impact …

Bank of America announced today that it would be eliminating at least 10,000 investment banking jobs as it soaks up Merrill Lynch. The combined companies will have about 260,000 employees, with 50,000 representing the investment banking division.

And finally … someone got a brain in the public relations department at the Big 3 Automakers. General Motors announced today that its CEO, Rick Wagoner, would drive to Washington instead of flying. The CEO, who flew by private jet sipping champagne (ok, I through the champagne in for effect…you get the idea!) for his last appearance, will drive a Chevy Malibu hybrid from Detroit to DC. Ford’s CEO, Alan Mullaly will also be driving from Detroit. Now … it would be a public relations bonanza, and it would certainly send the right message, if we could get the two of these guys to share a ride!

Now, on to our real estate investor education section…

All Pain and No Gain? Not so Fast!

While the most recent data released by the Federal Housing Finance Agency FHFA may initially seem to indicate “all pain and no gain” taking time to delve a little deeper into the numbers shows a few clear-cut nuggets in an otherwise pan of silt.

First the pain…

U.S. home prices fell 1.8 percent in Q3 as compared to the previous quarter…the largest in the purchase only index 17 year history.

Over the past year prices have fallen 6.0 percent between Q3 of 2007 and Q3 of 2008 – not adjusted for inflation. Since the price of goods and services increased by 6.7 percent during the same period, the inflation adjusted decline is 12.7 percent.

Four states continue to see double-digit declines including Nevada (-20.9%), California (-20.8%), Florida (-16%) and Arizona (-13.5%).

A Few gains…

Some states actually managed to exhibit price increases even while most of the nation continued to show declining sales figures; North Dakota (4.0%), South Dakota (3.9%), Texas

(3.2%), Alabama (2.8%), and Oklahoma (2.8%).

Several MSA or Metropolitan Statistical Areas also showed price appreciation including Austin-Round Rock, TX (5.6%), Augusta-Richmond County, GA-SC (5.5%) and Rapid City, SD (5.4%).

Extension of higher conforming loan limits into 2009. While the recent increase to $729,750 for high cost areas is due to end by January 1, 2009, revisions due to take effect will increase loan limits to $417,000 for all homes and up to $625,500 in high cost areas.

Quick Tip…

Take time to sign up for automatic notification of the FHFA report as it is released by sending an email to FHFAinfo@FHFA.gov. The next quarterly report covering Q4 of 2008 is scheduled for the end of February 2009 and the next monthly index is due out on December 23, 2008.

Senate Set to Vote on Bailout Plan

Chris McLaughlin — Wed, 01 Oct 2008 21:39:41 +0000

Market News & Commentary by Chris McLaughlin, October 1, 2008
http://www.shortsalesriches.com/welcome.html

The Dow Jones Industrial average traded sideways today, ending the day down 19.59 on the day. The U.S. Senate prepared to vote on a bailout plan tonight as vote getters added on lots of popular provisions to lure new supporters to the package. Chief among the new provisions will increasing FDIC insurance to $250,000 from $100,000; the bill prevents the FDIC from charging its member banks more in order to cover the increase as well and enables the FDIC to borrow directly from the Treasury should it need additoinal capital.

The Oracle of Omaha, Warren Buffett, went on a buying spree again today, buying $3 billion in General Electric with a buy price of $22.25 along with a 10% dividend. The goodwill the Buffett brings will enable General Eletric to sell $12 billion of stock. Buffett said, “GE is the symbol of American business to the world…I am confident that GE will continue to be successful in the years to come.”

Car makers plunged today, as tight credit and gas prices are keeping customers away from showhomes. Ford Motor’s sales plunged 34 percent, and Toyota, the manufacturer of the popular fuel efficient Prius Hybrid, still had sales tank 32%.

Now, on to real estate and investor education …

When it comes time to present an offer on a short sale, learn to recognize these unhealthy home traps then either walk away or use this “Housing Hit List” to further (and often dramatically) reduce the price of the home. Remember, once identified, even “as-is” homes must disclose known defects so taking the time to perform a few inexpensive tests can result in saving thousands or even tens of thousands of dollars from already reduced market rates.

The Unhealthy Home Hit List…

1. Lead. Prior to 1978, most homes used lead based paint. Since lead is known to cause mental retardation and health issues among children, it is federal law that all rental units notify potential occupants of the possible existence of lead in homes built prior to 1978. De-leading can be done but may be expensive especially if the home also used lead pipes. Other potential sources of lead contamination include the soil surrounding the home. If in doubt – test paint, water and soil samples for lead.

2. Radon. This colorless, odorless gas is frequently found in some areas of the country especially in newer homes that tend to be tightly sealed and “weatherized”. Purchase an inexpensive radon test kit to find out if a potential property is impacted.

3. Mold/Mildew. Insurance companies hate it, consumers fear it and most savvy investors realize how easy it can be to remedy. Prior water damage from flooding, roof damage, pipe problems or other humidity control issues can lead to the presence of mold and mildew.

4. Air Quality. The Environmental Protection Agency has recently released studies indicating the air quality in some homes to be worse than the smog of Los Angeles…quite a feat if you think about it especially when you realize the worst culprits are not toxic waste dumps or super fund sites but rather indoor pollutants. In most cases things like air deodorizers, cleaning agents, carpeting and other common materials contribute to degraded air quality issues. Test the air then search for the source. In most situations, air vents, enzymatic treatment and other simple solutions fix the problem.

5. Water Quality. Although not always as simple to fix as air quality, water quality issues aren’t always a deal breaker; iron, sulfur and calcium build-up might be unsightly but presents little real health risk. Homes with private water sources are particularly susceptible – and can often be corrected with the addition of a professional filtration system.

6. Asbestos. Used in everything from roofing tiles to fireproof surrounds, asbestos was a favored building material for years. Unfortunately, it is also a known carcinogen that requires specialized handling and disposal.

7. Meth and Other Drug Lab’s. From flop houses to full blown meth labs, sooner or later most short sale investors will come across a foreclosed home contaminated by drugs. It is important to understand the local, state and federal guidelines required to properly recondition the home prior to making a bid.

More tomorrow…

Chris McLaughlin, J.D., M.B.A.
web: http://www.shortsalesriches.com/welcome.html
e-mail: info@shortsalesriches.com

Phone: (800) 452-7627

P.S.:

So we’re going to do it again this Thursday at 7PM ET. I received lots of e-mails from the East Coast begging for an earlier time, so here you have it! We’re hosting a Webinar (you need a computer and a phone to participate). Last night’s webinar was nearly sold out, so if you’re interested in learning how to make money in this market jump on this now and register while we still have openings:

https://www2.gotomeeting.com/register/779139540

P.P.S.: If you want to have a great laugh, check out this latest YouTube video about some hate mail that Nathan and I received! Here’s the link to our YouTube site:

http://www.youtube.com/shortsalesriches

and if you like what you see in the video, then go here and take action:

http://www.shortsalesriches.com/welcome.html