Sonny Kwan

How is our industry handling the economic downturn in the market in 2009?

What changes are we doing in our daily, weekly, monthly activites to make a shift in our business?

How will December 31, 2010 realistically look for us?

Is there a lifestyle change during these times?

This is a question I pondered one weekend that changed everything I did and will do in the future. My Mom always told me to save the money I earned for a rainy day, I really never paid much attention to her advice to me, I knew what I had for a nest egg (an apartment building ) would keep food on the table when I retired and the fact that I would not need to rely on social security or retirement.

My spending habits were like a rock star up until last year, I would easily go out on a weekend and buy a couple pairs of Pradas, custom made shirts, eat lavishly, buy expensive wine, and blow a couple thousand dollars like it was play money knowing I had money coming in every month. I always had hundreds in cash on me to make me feel secure and hardly used credit.

Then it hit me one saturday afternoon, I was lazy, sat at home all day and started to get hungry, I left the kitchen bare and had to go get something to eat. When I got out of the house, I realized that I had only $6.00 dollars in my pocket, when I normally carried no less than four hundred at all times. I panicked, I don't use credit, have no debit card, (don't know how to use it). I asked myself " How am I going to survived the weekend on $6.00 dollars"? I went to the grocery store and learned very quickly what little six bucks gets you. I had to be very cautious to what I bought that day, If it would last me the weekend, I learned an extremly good lesson that day on survival.

Take the $6.00 dollar Challenge!

What are your experiences on money and finance? have you had to go through something like this to survive? tell us your story.

FENG SHUI

For many people, home has become something much more than the place they live-it's a sanctuary that offers an environment that is relaxing, cheerful, uncluttered, and full of comfortable spaces.

As a result, the ancient Chinese study of natural and built environments, known as Feng Shui, has become increasingly popular in Seattle homes and Western culture.

FACTS

Feng Shui can be a very practical solution for creating a harmonious environment.

Here are some interesting facts about Feng Shui:

In literal definition Feng Shui means wind and water. The ancient Chinese practice of Feng Shui is the art of recognizing the energies of the earth; it's an interior design form that has promoted harmony and balance in Chinese culture for over 3,000 years.

Feng Shui experts believe that when the balance of energy is done right, the homeowner will feel happier, kids may learn better, and the home will look and feel better.

The concept of Feng Shui is to create an environment that is harmonious to the homeowner.

One that supports health and good fortune with the placement of objects, use of color, landscaping and the use of the five elements-fire, earth, metal, water, and wood.

In order to avoid spending an excessive amount of money, concentrate on areas in your home that you spend the most time in. Improving your home's Feng Shui can be as simple as the placement of a plant, the adding of a mirror to a wall, or simply rearranging your furniture.

If you would like to discover how to apply the concepts of Feng Shui to your home,

I recommend visiting, www.amazon.com; here you will find a plethora of books, tools, videos, CDs, and DVDs that can get you started on this ancient Chinese tradition. You can also go to the International Feng Shui Guild's Web site to locate a practitioner referral list for Feng Shui consultants in your area, www.fengshuiguild.com. or www.fengshuiseattle.com

With interest rates at approximately 4.875% it is probally the best time to buy real estate in

Seattle in more than 20 years. There is plenty of homes on the market and lots of inventory to

choose from. No matter if you are thinking of investing, buying, selling or even refinancing your existing

home to buy a second home.

Is a second home a good investment?

Over 4.9 million homes sold in the United States in 2008 and of that over 70,000 were sold            

in the Seattle-Metropolitan /Puget sound region.

 

                                                                                                 Power of 1

 

           Loan amount                            $250,000           $325,000          $417,000

           Interest rates      

 

 

                        6%*(P&I)                     $1,498               $1,949             $2,500

                        5%*(P&I)                     $1,342               $1,745             $2,239

 

           P&I monthly difference                $156                  $204                $261

 

      How much more you can buy

         for the same payment                     $29,050              $38,063           $48,704

 

 The banks are working to get loans out, Interest rates are low. Change from a couple of weeks at 6%, rates are now at 5% for a conforming $417,000 loan. The 1% makes a huge difference in buying power.

 

           If you wait until the media tells you "it's a good time to buy" It's already too late.

               

 

 

I have been hearing and watching TV the last couple of months and noticed that the hype of switching to DTV and how important it is that we all do this in one way or another got me to thinking...

Is Big Brother (Government) using this as an avenue to keep an eye on all americans?

They have been pushing this on us like it is so very important that we do this or we will become blacked out from the rest of the world.

-Call centers taking calls to answer questions every monday for two hours.

-Late night infomercials selling us on this idea.

-This Old House episode spent showing people how to hook up a reciever to the TV???

-See how extensive this ad below goes to get the message to us in every language. How much did that cost to translate.?

www.dtv.gov/consumercorner.html

I have never seen the Government spending this much time and effort telling people to get immunized, "Go get a check up from your dentist" or Make sure " Everyone is Healthy" etc...

Here is a thought:

When your cell phone is turned off, signals still ping to cell towers giving the location of that cell phone unless we remove the battery.

Can the Government watch us or monitor our speech inside our private homes when the TV is off?

What do you Techies out there think?

Did you know?

Many credit rating files contain inaccuracies that can affect your credit rating. With the threat of identity theft, the possibility of data sneaking in from a file of someone with a similar name to yours, and creditor reporting errors, it's a good idea to keep an eye on your credit-particularly if you are thinking of making a large purchase, such as a Seattle area home, in the coming year.

Your Credit Report

Most creditors use one of three major credit bureaus: Equifax, Trans Union, and Experian. Because creditors aren't required to report to all three agencies, the only way to get a complete overview of your credit is to request a report from all three, which you can do at www.MyFico.com. Once you receive your reports, check them for clerical inaccuracies, including late or uncredited payments. Review everything very closely and dispute any errors.

Disputes

If you find an error on your report, you can either complete the dispute form provided with your report or write a letter to the credit bureau. Clearly identify the error and explain why it's wrong. Keep a photocopy of the letter and any documentation for your own records. Credit bureaus must investigate errors within thirty days. Any item that is not verified as accurate will be removed and you will be sent a free, updated copy of your report.

What Lenders Look For

When lenders review your credit report, they are looking for a pattern of consistent, on-time payment. Too many open accounts, credit cards with high limits, and maxed out cards can all reflect badly on you. Close any opened but unused accounts, and be sure the creditor notes that the account was "closed at the consumer's request." Otherwise, lenders might think the creditor closed it for other reasons.

Make It a Habit

Understanding how your credit report affects you financial future is essential to smart credit management. It is wise to incorporate a timely review of your credit report into your financial planning, especially when your end goal involves a major purchase, like a home you plan to buy in Seattle.

If you'd like more information on credit and home buying, please feel free to contact me anytime.