Sandy Kishton

Wow, since my last post I've had a lot going on...

• My other real estate closing has been postponed, but I have another under contract scheduled to close next week.
• Over the holidays, I had a lot of my listings shown, but no offers.
• Went to Jacksonville for Christmas
• Had all of the family over in Lake City at some point in time, for multiple night stays, alternating one or two at a time.
• Babysat my niece and nephew on New Year's Eve, made smores by the fire and did fireworks. Fun !!
• I've started Physical Therapy on my knee and am ready to run... well almost. By the end of the month, hopefully. I'm ready to register for a few races, but am waiting till the last minute.
• I have 5 personal training clients right now, haven't seen any new ones (or old ones come back) since the first of the year with New Year's Resolutions and all...
• Been working on my contact list and checking in with some folks who I haven't heard from in a while

Here's the latest stats for my area:

This information was provided to me in an educational session at NAR in Orlando and the figures come from Lawrence Yun, PhD, Chief Economist, NATIONAL ASSOCIATION OF REALTORS

50% of all houses are Prime (Conventional) loans

35% of all homes are owned free and clear

6% of all homes are FHA/VA

9% of all homes are Sub Prime loans

Foreclosures in the United States are 2% of all loans (This is double from what it used to be at 1%).

My thoughts...going from 1-2% is not that bad when you look at the big picture. When the media touts that foreclosures have "doubled", it sounds much worse than maybe it really is. However, I am aware that some areas have been hit "harder" than others. I just wish the media didn't make such blanket statements that put the "fear factor" out there.

I am just returning from NAR's annual convention in Orlando. It was a whirlwind. Scott and I took a few days before the convention and spent them in Miami Beach. It was very relaxing. But we also walked the beach about 4 miles a day and did some bike riding.

The conference was full of information and ideas, that I now need to expand on and work with to improve my business.

As I review my notes and begin to implement some of these changes and ideas, I'll keep you posted.

Fannie Mae and Freddie Mac Rescue and What It Means for You

Over the recent weeks the government has placed both Fannie Mae and Freddie Mac into a conservatorship, taken on full agency responsibility and started addressing the debt and internal management and accounting delinquencies of both companies. The government's backing served as an economic life jacket benefiting not only Fannie Mae and Freddie Mac, but the nation as a whole.

According to the United States Secretary of Treasury Henry Paulson, the three objectives of the government take-over include, market stability, mortgage availability and taxpayer protection. Although the objectives are clear, many consumers are unsure what to expect over the next few months as the Fannie Mae and Freddie Mac conservatorship and financial bailout plan unfold. Below is a brief overview of the impact of the Fannie and Freddie take-over and what it means for you, the consumer.

Fannie and Freddie
Federal National Mortgage Association, better known as Fannie Mae, and the Federal Home Mortgage Corporation, known as Freddie Mac, have been privately owned and operated since 1968 as government sponsored enterprises (GSEs). Both Fannie Mae and Freddie Mac have purchased mortgages from banks, savings and loans and other lenders to generate cash for the mortgage brokers and encourage more home loans. With the implicit support of the Federal Government, Fannie Mae and Freddie Mac have financed most of the home loans being made in America. Now that this government support is widely known and in effect, consumer faith in both agencies has sustained.

Borrower security is of the utmost importance during this time of financial uncertainty. In order to uphold the mortgage and housing industry and provide affordable home loans to consumers, James B. Lockhart, director of the Federal Housing Finance Agency (FHFA), has taken control of Fannie and Freddie which, in turn, will facilitate the following:

• Lower mortgage rates
  Mortgage rates are expected to fall as the United States Treasury purchases mortgage-backed securities (MBS) and bad assets from both Fannie Mae and Freddie Mac. Now that the Treasury will buy the mortgage backed securities, their prices should rise, as demand increases, and MBS yields drop. As yields drop, so do mortgage rates, thus making home ownership attainable and affordable.
  
  Both Fannie Mae and Freddie Mac announced the cancellation of their planned 0.25 percent charge increase to bank's adverse market delivery fees in hopes that lenders would pass along savings to borrowers who have not yet closed on their mortgage loan. Call MCELHANEY'S MORTGAGE SERVICES at 386-984-5217 to learn more about our mortgage programs and competitive interest rates.
  
  
• Potential modification of delinquent mortgage programs
  In order to encourage more affordable lending programs for those borrowers who are delinquent in their mortgage payments, Fannie Mae and Freddie Mac have initiated additional financial incentives for lenders that modify their troubled client's loan programs.
  
  A MCELHANEY'S MORTGAGE SERVICES mortgage specialist will help you assess your current financial situation to determine if you qualify for a new, low fixed rate loan. Call 386-984-5217 today to schedule a meeting.
  
  
• New mortgage rules
  With the presidential elections just around the corner, government officials are holding off on determining any new lender requirements, yet many are speculating that borrower credit score requirements, loan-size-to-home-value ratios and down payment requirements could come up for review.
  

As the nation draws closer to selecting the next president, consumers throughout the nation prepare for economic change, yet the economy's financial situation is not something that can be fixed over night. Working with a reliable mortgage specialist and practicing responsible borrowing is the key to staying on the upside of the economic downturn.

Our local board office held it's Commercial Alliance meeting yesterday where our Chamber of Commerce executive spoke. Some of the statistics he shared I thought particularly interesting.

• Columbia County was 1 of 3 counties with a net job growth. This varies month to month.
• Our unemployment is up to 5.7%
• Historically we have a steady job growth rate of 3%, downside to this is that our income growth is only 2.6% (this is just behind the state level in income growth).
• From 2000 to 2008 Columbia County had a 33% job growth
• There are 32,000 people employed in Columbia County
  • Population is about 65,000
  • 40% leave the county to work elsewhere
  • 40% come into the county from surrounding areas to work here
  • Jobs not reported are with larger companies whose headquarters are not based here, such as all utility employees, employees of VAMC, Lake City Medical Center, Anderson Columbia employees who work out of the area.
  • These numbers all affect median income/salary levels too
• Every fiber optic line in the state of Florida passes through Lake City, Columbia County at US 90 and SR 100. This is a good resourse to tap into for technology advancement.
• Columbia County is a strong base for development due to government offices located here (DOT, State of Florida), 3 hospitals, large financial institute base, large distribution and manufacturing base, National Forest and springs/rivers.We also have access to 2 rail roads, 3 interstates, and an airport.
• There are 240,000 people within a 30 mile radius.