The Costs are Outweighing the Benefits

June 29, 2010 · Dean Rizzi · 3 Comments

We’ve stated that the benefits of low interest rates have run their course. We hold to our contrary opinion that low rates are actually hindering more than helping markets these days. Consider the mortgage market: Even though mortgage rates are dwelling in the basement, fewer people are applying for mortgages. The MBA reported that purchase activity declined 1.2 percent to the second-lowest level since 1997 last week, while refinancing activity slid 7.3 percent from its May 2009 highs.

The Federal Reserve’s low-rate policy is hardly inspiring confidence. “Rates must be low because the economy is circling the drain,” so the man-on-the-street rationale goes. It’s the wrong message to send, because promoting risk aversion also means promoting inertia. Risk-averse markets are simply less willing to engage in riskier, but worthwhile, economic activity.

This risk-averse sentiment is readily reflected in the capital markets, where the relatively non-productive assets of gold and Treasury securities continue to be the investments of choice. That’s unfortunate, because we’d all be better off if there were more investment in the very productive (though riskier) assets of home purchases and renovation and mortgage lending.

www.deanrizzi.com

Baseball’s "Field of Dreams" for Sale

June 26, 2010 · Lee Ginsburg · 3 Comments

Yes! The baseball Diamond that Universal Studios built in
Dyersville, Iowa is for sale. Please let me know if you have interest. I would love to represent you in the negotiations. Maybe we can arrange to have it moved to San Bruno or South San Francisco.

Follow the link
http://www.telegraph.co.uk/culture/film/film-news/7721998/Field-of-Dreams-for-sale.html

www.leesellsmore.com

Up, Up, But Not Quite Away

June 15, 2010 · Dean Rizzi · 2 Comments

We were expecting a little more, but at least it’s trending in the right direction. We are speaking of the employment report, which showed payrolls rose by 431,000 last month.

That would be very good news, if not for the fact that 411,000 of the new hires were related to the census. Nevertheless, that still leaves a net positive for the private sector. The increase was enough to push the unemployment rate down to 9.7 percent (though some pundits argue the drop was really due to a lower participation rate).

You never want to read too much into a single month of data, but we remain encouraged: job growth and wages picked up from April to May, while the average workweek lengthened. And although moderate compared to past post-recessions, the recovery is looking more sustainable after consumer spending and business investment rose at a healthy pace in the first quarter.

Overall, we think this latest employment report provides another reason to act now in both the mortgage and housing markets.

www.deanrizzi.com

San Bruno’s 70th Annual Posy Parade

June 2, 2010 · Karin Cunningham · 4 Comments

San Bruno’s 70th Annual Posy Parade is this Sunday, June 6th at 1:00 and it’s going to be a blast this year! The theme is “Green Transportation”. The annual “Festival of Flowers” started in 1941 as a tribute to children. The parade, traditionally for kids 14 and under has acheived both state and national fame for San Bruno.

Each year, the community gathers along San Mateo Ave. and Crystal Springs Rd. to watch marching bands, decorated floats from schools and service clubs, sports teams, dance troops, and the Posy Parade Princess and her court. The mayor passes by on a fire truck and police cars pull up the rear!

At the end of the parade we are entertained by a few baseball games including an all 8th grade game of St. Robert’s and Parkside and an all 10 year old game. We usually have great weather during the parade and it looks like we will be lucky again this Sunday! This is an event you won’t want to miss!

Karin Cunningham
http://www.facebook.com/sanbrunolife

To hire a short sale negotiator or not??

June 1, 2010 · Nicole Machado · 4 Comments

With short sales on the rise is hiring a negotiator worth it? When taking on a short sale listing do you ask yourself if it is money well spent to hire a negotiator? Sure the time you save not having to contact the lenders yourself is money well spent, but how do you truly know if they are contacting them as frequently as they should be and negotiating to the best of their abilities?? The other question that begs to be asked… if you are the one hiring the negotiator to alleviate your work load why in most cases are you asking the buyer to pay for them? If you have decided to take on short sales isn’t part of your job to deal with the lenders and negotiate on behalf of your client? Isn’t that what we do best? I have recently come across a lot of short sale listings on the MLS that are requesting the selling agent to pay 50% of the negotiator fee or the buyer to pay the entire 1%. It seems to be a bit obscure and in most cases makes everyone uncomfortable.

Now don’t get me wrong I agree with the adage time is money, so I am all for Read more