Paul McFadden Mortgage Loan Officer Bellevue Washington Home Loans

Hi all: Good afternoon! I was thinking about blogging this morning. This was after attending a seminar last night on SEO related stuff. The so-called expert recommended that we not write articles that are displayed on other people's websites ( In this case the site was a local one, Biznik, but it could just as easily apply to Active Rain). His point was that we have no control and its much easier to set up our own blog on Wordpress, etc.. I've heard this argument before.

I love being here on Active Rain. To me, it's about more than blogging; it's about building long-term relationships and learning. That being said, I also love to write. I would imagine most of the prolific bloggers here do as well.

So should a person blog or not? I don't think it's for everyone. Personally, if you don't enjoy writing or can't string two sentences together, it might not be worth it. The information you're putting out there in cyberspace needs to be concise and well written in my opinion. If you're going to blog, take the time to not only spellcheck (there's one here) but make sure it's grammatically correct. I know this sounds pretentious but, again, I think it's important that what you put out there reflects your knowledge. Part of that is being aware of correct sentence structure and spelling. Mind you this can be learned.

Again, I think it's important that we embrace new ideas and technology. I've read so many success stories here about Rainers' blogs working. I encourage you to give it a try if you haven't already. After all, you never know who might be reading! Have a fantastic day!

Good morning all! Yesterday I sat through an afternoon session on the new RESPA which will be implemented on January 2, 2010. Not my idea of a fun afternoon!

Here are my thoughts. One, I've noticed a lot of people seem to overreact about the changes in our industry. Case in point: The HVCC laws that were implemented May 1 of this year. Yes, we could no longer choose our favorite appraiser and values are occasionally coming in lower. But I've also seen a majority of reports come in fine and actually much quicker than before.

So what about the new RESPA changes to the Good Faith Estimate? The GFE will now be three pages long and there are a number of tolerance levels that are allowed. The big one that has zero tolerance is the interest rate cannot change from the Good Faith Estimate unless a new GFE is provided (re-disclosed). My company already does this anyway. The other big thing I noticed is that YSP must not only be disclosed (this has been enforced by wholesale lenders for a while now) but the borrower is paid this and then needs to pay the loan officer.

I'm sure there will be complaints about these new guidelines. Personally, I started in the mortgage business 3 1/2 years ago and have seen it all. I know we'll weather this storm as well. For those mortgage brokers out there who rely on YSP and hiding their pay, changing terms, etc., the gig is up. My boss commented that this may mean the end of the broker. I'm not so sure but will say this. As with anything it pays to be upfront. Disclose to your clients how you do business and how you get paid and there shouldn't be a problem. Ultimately, we're in the trust business. Our clients believe what we say. Shame on those who abuse the privilege. Thanks for reading! For more information on the new RESPA changes you are welcome to contact me. Have a wonderful day!

Good morning all! I hope you're well. I decided to work from home today. I've been fortunate since the first of the year because I have such tremendous support from my company. In fact, I haven't worked from home this much in years.

Granted, my drive to Bellevue is 30 miles one way. This can take a minimum of 45 minutes and is often tiring. I also have the luxury of being all by myself most of the time. My wife works and the kids are grown and gone. How does working from home work for you?

I think the key is to minimize distractions. I could see how it might be difficult if you still have kids at home, for example. I also try and break up my day and get out of the house. Today I'll probably work out this morning and then come back and make phone calls, send emails, etc. This evening I'm meeting a couple buddies for a beer in Renton.

How often do you work from home? I keep hearing about the dawn of the virtual office. Personally, I like to have my cake and eat it too! Most of the time I head into out corporate office (probably 4 out of the 5 days a week I work). I find the camaraderie and support to be helpful.

But there are days where I just don't feel like being around the noise and chaos no matter how positive it might be. That's when I opt to work from home. So tell me your story. How productive are you working from home? I think if a person is disciplined enough it can work great. Have a fantastic day!

Hi again: Last night I attended The Vestus Group's presentation on buying real estate at auction or on the courthouse steps. These guys have it together. If you're local, you can attend their free presentation every Tuesday night at 5:30 at the Windermere Real Estate offices at Yarrow Point.

Again, I'm very impressed with how organized this group is. They've been in business since 2002 and have managed to buy and sell thousands of properties for their clients in this span. The key is they do their homework. Last night there were probably thirty people there hearing the story. Most were investors although there were also realtors and builders in the audience. I had two people who came and are interested.

So how does buying at auction work? Whether you do it yourself or hire a firm such as The Vestus Group (you pay them 3% in addition to the other real estate charges), it's important to be prepared and learn if it's right for you.

Some statistics were thrown out last night. Every week over 1,200 homes in the tri-county (King, Snohomish, Pierce) region are slated for auction. Of these 1,200 about 30% are actually auctioned off. The rest are saved by loan modifications, catching up on payments, bankruptcy, or selling the property. Buying at auction can be done often for 65-70 cents on the dollar. This is usually better than buying a short-sale (typically closer to 75 cents) or bank-owned (usually 85 cents) home.

What's the catch with buying at auction? You need to pay cash. Vestus Group has a great program where you can borrow the money short term (if need be) and then refinance into a longer term mortgage down the road. As with anything, there are risks involved. All the more reason to have professionals help you out. Sure, the costs may be higher but will you really care if you get that screaming deal that you can either rent and cash flow positively or flip for a big profit?

I'm planning on heading back to The Vestus Group's Thursday presentation. And I'm bringing a couple realtors with me. I think buying at auction is a tremendous opportunity right now and I want to spread the word! Again, thanks for reading.

Good morning! Today is cloudy, cool, and rainy; typical Pacific Northwest Fall weather. Have you carved your pumpkin yet?

I wanted to give you an update on Southeast King County and what I'm seeing. This is where I live. I actually work in Bellevue but have noticed some encouraging trends in the cities of Maple Valley, Kent, and Auburn.

I've started to see builders finishing their developments. For over a year, there were just vacant lots. Now, I'm seeing houses being finished which is a very good sign. With prices dropping by as much as $100,000 even on affordable homes (think $250,000-300,000 price range now) and the first-time homebuyer tax credit still in play, I'm hearing reports of increased closings.

All this needs to be tempered with the fact that banks are in serious trouble up here (there are several on the FDIC's watch list who can't lend money right now) and there are still over 1,000 homes scheduled for auction every week.

Are we out of the woods yet here in Southeast King County and other parts of Puget Sound. I think its too early to tell but, again, I'm encouraged by the return to commerce of the builders. I'll keep you posted! Have a great day!