You Can Afford To Live In Paradise.

Consider this: Recent studies by RealtyTrac and Wells Fargo show that many potential homebuyers believe 20 percent down is required.The two most harmful words in real estate.

But what if we flip those words and say housing affordability? Every homebuyer is looking for a home that’s affordable to them. That’s precisely the job of lenders — ensuring the home loan is affordable to the particular buyer. It makes homeownership sustainable.

My point here is that we should all care about housing affordability. Real estate professionals can be their buyers’ advocate by helping them find resources that make their purchase affordable to them.

Let’s rethink affordability. Instead of the traditional measures of sales price and interest rates, what about the entry cost? The down payment is still the biggest hurdle, and the challenge is growing.

I know. Who identifies themselves as potential beneficiaries of assistance? Our lexicon about affordable housing has made it difficult to have open discussions with buyers about their options.

"Education should not fill the pail but ignite a fire!" -WB Yeats

“Today is life - the only life you are sure of. Make the most of today.” – Dale Carnegie

“What you do with yourself, just the little things you do yourself, these are the things that count.”

“The only transformation that interests me is a total transformation — however minute,” Susan Sontag wrote in her diary. It’s a sentiment both paradoxical and profound — we tend to think of the total and the minute as polarities, and yet any total transformation is the product of a series of minute, purposeful shifts. That, after all, is the transformative power of habit.

No one has articulated the machinery of transformation more succinctly and powerfully than architect, inventor, and philosopher Buckminster Fuller (July 12, 1895–July 1, 1983) — a man of timeless wisdom and prescience so extraordinary that he envisioned online education, TED, and Pandora decades before these ideas became a reality.

If Your Time Is Valuable - Spend It With Me.- Lou Marek

Stay tuned this page will be archived and change every two weeks with more and more important articles.


Mortgage rates matter. Just one-eighth of a point in interest percentage could end up costing you thousands of dollars over time. So, let's look at how mortgage rates work and move.

Conventional mortgage rates are tied to U.S. Treasury bonds, mainly the 10-year bond. Interest rate changes on conventional loans are a result of current yields for 10-year bonds.

It works like this:

If bond yields increase, mortgage rates increase.
If bond yields decrease, mortgage rates decrease.

Adjustable-rate mortgages (ARMs) are different. ARMs are short-term interest loans and are mostly affected by the federal funds rate.

Fluctuations in the economy also affect interest rates. When the stock market is doing poorly and investors are selling, you can expect interest rates to lower. This happens when fearful investors transfer their money into the safety of U.S. Treasuries. With more money pumped into the bond market, the higher the demand and the lower their yield becomes—and the result is that mortgage rates fall.

Stimulus—the Fed buying up bonds—can also cause rates to drop. Stimulus may occur over several years with billions of dollars, but it has to stop at some point. When it stops, interest rates generally rise.

When trying to pin down low interest rates, world and national events and things like inflation all play a part. As a general rule, if the economy is running strong, interest rates will usually rise.

Finally, remember this: It's impossible to predict exactly where the economy will go, so don't get too caught up in trying to nail a perfect rate—it's more realistic to simply aim for a good one.

Office - 909-609-4772.

CALL NOW for my free and popular e-Pamphlet

"How To Save Money on Searching and Buying Property in the San Bernardino Mountains".