Why Has Borrowing Money become so difficult?

Why has borrowing money to buy a home become so difficult?

As a result of the credit crisis that caused the mortgage meltdown, we have seen a huge retraction in mortgage availability in recent years. Many new borrowers are left wondering…is it the borrower? Is it the bank? Is it the mortgage company?

Well, the answer is, it’s the OVERLAYS!

Overlays are the main culprit when it comes to access to mortgage products. If a Realtor, Builder, and buyer can understand how these overlays affect a buyer’s ability to qualify to buy a home, they can cut steps to the process and close more transactions!  An overlay is essentially an additional set of rules or guidelines layered over the standard guideline set by the Federal government. These ‘overlays’ are put in place by the big banks and loan servicers, to raise the bar for qualifying buyers. The big banks are not worried about cutting out the lower tier of qualified buyers; they are mainly just trying to pick the low hanging fruit, and discard those that are left below the overlays.  Bottom line, Overlays make it harder for the ‘average’ buyer to qualify for a home loan!

Federal guidelines do NOT contain overlays.  When a company (Like Guild Mortgage Company) sells their loans direct to Fannie Mae, Freddie Mac, VA, and FHA we do NOT underwrite our loans with all the restrictions the big banks and mortgage companies have with their overlays. Therefore, we are able to include a larger amount of qualified buyers into our pool of borrowers!

One example of an investor overlay is minimum credit score. Most large banks and mortgage companies require a higher credit score for borrowers than Federal guidelines require, therefore excluding many qualified borrowers from qualifying!   Another example of overlays is down payment requirement or reserve requirements. Most banks and large mortgage companies require higher down payment and reserve requirements than the Federal guidelines.  Guild Mortgage Company underwrites to the Federal guidelines, therefore we do not exclude the buyers the big banks exclude from qualifying with their overlays.

Overlays are self imposed restrictions the banks and large mortgage companies place on themselves to lower their risk when it comes to extending credit on mortgages. Even though the Federal agencies set standard guidelines, these large companies impose additional restrictions to reduce the number of approved buyers.  The net result is fewer buyers are approved via these larger outlets.

At Guild Mortgage, we have been closing loans and opening doors for over fifty years!  Three years ago, Guild Mortgage Company opened operations in Boise, Idaho and quickly established itself as the number one lender in Ada County. One reason for our success is our ability to underwrite and close loans to Agency guidelines, with no overlays.  In addition, we operate our offices with on site fulfillment. Guild offers local processing, underwriting and closing.  Guild is also a mortgage servicer, with billions in our servicing portfolio. This means it’s likely your buyer’s loan will close with Guild and stay with Guild! 

So now you know why Guild closes more loans than our competition. You also know why we will close loans other banks and mortgage companies will not touch.  There is no additional risk. It’s not the buyer. It’s not the property values.  It’s not that we are breaking any rules.  It’s our “Make Sense” approach to getting loans closed, efficiently, effectively, on time, every time, and according to Federal Guidelines.

So if you want to get more buyers qualified to buy, close more transactions, on time, and increase your business…..refer your buyers to The Heffner Group at Guild Mortgage, 991 S Allante in Boise, 208-321-0245. You can also visit us online at www.heffnerhomeloans.com.

Here’s to an amazing summer selling season!

Cheers!

Terry Heffner                                                       Amy Johnson                                             Lisa Soito

599-8500                                                                 599-3878                                                                870-4622

Home and Wealth Newsletter From Heffner Group

Heffner Group Terry Heffner and Amy Johnson Manager and Loan Officer 991 S Allante Pl Boise, ID 83709 Phone: (208) 321-0245 Mobile: (208) 599-8500 Fax: (208) 321-0251 my website Don’t lose money to internet scams or your identity to hackers! PLUS…Be safe doing remodels and repairs! Some tips to avoid internet scams that take your money and give nothing in return: 1. Ignore offers of easy money–if a deal sounds too good to be true, it probably is.  2. Don’t send money to get information. 3. Avoid "no risk" offers–in business, there’s always a risk. 4. Regularly check public service sites that monitor internet scams and frauds. Hackers can break into sites and grab your account information and identity. Here’s how to minimize your online data vulnerability: 1. Make all online transactions with credit cards over secure web sites. 2. Get your name removed from pre-approved credit card and junk mail lists. 3. Set your browser’s security tab to clear cache, cookies and history whenever you close it. 4. Clear your smart phone’s browser history and empty the cache and all cookies. 5. Turn off your phone’s GPS tracking and location settings. 6. Do not enter your credit card information on your phone. 7. Install antivirus software, plus anti-spyware and anti-adware to block tracking cookies. 8. Remove your birth date and other personal identity information from your social network profiles. 9. Use unique and difficult passwords to protect email accounts, personal posts, videos and pictures of minors–and don’t give anyone your password–EVER. 10. Avoid free games and apps–companies pay for these by "data mining"–selling your data or using it themselves. WITH HOME FIXES, SAFETY FIRST! More and more people are doing their own home upgrades. Here’s how to be safe: 1. Always wear safety glasses. 2. Wear earplugs if it’s noisy. 3. When spraying paint or herbicides or installing insulation, cover up head to toe and wear a respirator. 4. The 4-to-1 rule with ladders–for every 4′ of height, place ladder bottom 1′ away–and don’t stand above the third rung from the top. 5. Store power tools, other sharp tools and paints and dangerous materials on high shelves or in a locked cabinet, out of a child’s reach. 6. Don’t rush. Be especially careful with power tools: 1. Read the User Manual and manufacturer’s warnings. 2. Check power cord and casing for cracks, missing pieces, exposed wiring–if a tool needs repairs, use a qualified technician or replace it. 3. Remove necklaces and bracelets that can get caught in the tool. 4. Before you plug in the tool, make sure the switch is "off". 5. Use a saw with a blade guard and watch for blade kickback–if a blade starts to bind, stop immediately.  6. Don’t leave a plugged-in power tool unattended–unplug before you leave. 7. Only use heavy duty extension cords. 8. Keep children and pets away from projects with power tools. Follow this advice and you’ll save money safely upgrading your home–and avoid losing money on internet scams. And for savings with home financing or refinancing, please feel free to call or email us with any questions. We’re always glad to talk…. Have a great day! This e-mail is an advertisement that was sent to you because of your relationship with Heffner Group. The material provided is for informational and educational purposes only and should not be construed as investment and/or mortgage advice or a commitment to lend. Although the material is deemed to be accurate and reliable, there is no guarantee of its accuracy. The material contained in the newsletter is the property of Guild Mortgage Company and cannot be reproduced for any use without prior written consent. Guild Mortgage Company is an Equal Housing Lender. This information is subject to change without notice. NMLS Company Identifier #3274; NMLS Branch Identifier #107908; OR ML-176-37; ID-MBL-6911; This branch is licensed to do business in Idaho, Oregon and authorized in Hawaii. Terry Heffner NMLS #95796, Amy Johnson NMLS #97135, We lend in ID, HI This email was sent to theffner@guildmortgage.net. You may unsubscribe from future advertisement e-mails from Heffner Group. Click here to unsubscribe :: please DO NOT change the subject line of the email, send it as it is.

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visit my website     email me now Heffner Group Terry Heffner and Amy Johnson Manager and Loan Officer 991 S Allante Pl Boise, ID 83709 Phone: (208) 321-0245 Mobile: (208) 599-8500 Fax: (208) 321-0251 For the week of July 11, 2011 – Vol. 9, Issue 28 >> Market Update  QUOTE OF THE WEEK…"Don’t judge each day by the harvest you reap but by the seeds that you plant."–Robert Louis Stevenson INFO THAT HITS US WHERE WE LIVE…It finally appears seeds are being planted for a housing recovery. Fannie Mae’s monthly survey reported that Americans expect home prices to drop just 0.5% in the next year. Some reported this as a negative because a 0.7% price gain was expected last month. But other analysts see this as a bottom, and those surveyed agree, as the majority (69%) believe it’s a good time to buy a home. A MacroMarkets LLC study echoed this. More than 50% of the economists, real estate experts and investment strategists polled said they expect a bottom for national home prices this year. Almost two thirds of the respondents felt our residential real estate market is at an historic turning point. The Wall Street Journal also reported this could be a good time to buy. The reasons? Mortgage rates are near 50-year lows; inventories are supporting a buyer’s market; and homes are more affordable than they’ve been in years. Moody’s calculates the ratio of home prices to income is now 20.9% lower than the 15-year average up through 2010. Finally, the Mortgage Bankers Association reported demand for purchase loans was UP 4.8% from the week before and UP 11.7% from a year ago. BUSINESS TIP OF THE WEEK…Develop a business plan. Set down your goals and how you will achieve them. Then measure your performance at the end of the year and refine the plan, building on your successes and adjusting for changes in the marketplace. >> Review of Last Week JOBS DOWN, MARKETS UP…The bulls charged as stocks gained for the first three days of the holiday-shortened week. Then Friday morning the June Employment Report showed jobs down on every front. The markets dipped for the day, but ended up for the week. The downer? A piddling 18,000 nonfarm payrolls were added last month and April and May payrolls were revised lower, while the unemployment rate went to 9.2%. The economy certainly hit a "soft patch" in Q2. There was, however, positive labor news. New unemployment claims fell 14,000 for the week and continuing claims were down 43,000 to 3.681 million, the second lowest level in the recovery. Retailers delivered some solid same-store sales reports, so consumers are indeed spending. The ISM Non-Manufacturing Index declined for the month, but is still above 50, so the service sector continues to expand. For the week, the Dow ended UP 0.6%, to 12657; the S&P 500 was UP 0.3%, to 1344; and the Nasdaq was UP 1.6%, to 2860. Bonds got hammered as investors sold off to join the stock rally. But the disappointing June payrolls report helped prices recover on Friday. The FNMA 4.0% bond we follow ended the week up .94, at $100.19. National average rates on fixed-rate mortgages nudged up a bit, according to Freddie Mac’s weekly survey. They’re still historically low, but some observers feel they could be heading up. DID YOU KNOW?…The Combined Loan To Value (CLTV) Ratio is calculated by dividing the total value of combined mortgages by the value of the property. Lenders look at the CLTV Ratio to determine if they can extend a second mortgage on a home. >> This Week’s Forecast ECONOMY SLOWING, BUT SO IS INFLATION…This week we get a good look at the economy. June Retail Sales are forecast down from May, flat if you take out auto sales. But Industrial Production and factory Capacity Utilization should both inch up, while University of Michigan Consumer Sentiment is expected slightly off. Although the economic recovery is in slow motion, at least inflation isn’t growing much either. This week’s readings on wholesale (PPI) and retail (CPI) prices should both show slight declines for June. Midweek we’ll get the Fed’s feelings on it all, as the FOMC Minutes from their June 22 meeting are released. >> The Week’s Economic Indicator Calendar Weaker than expected economic data tends to send bond prices up and interest rates down, while positive data points to lower bond prices and rising loan rates. Economic Calendar for the Week of July 11 – July 15  Date Time (ET) Release For Consensus Prior Impact Tu Jul 12 08:30 Trade Balance May -$44.0B -$43.7B Moderate W Jul 13 10:30 Crude Inventories 7/9 NA -0.889M Moderate W Jul 13 14:00 FOMC Minutes 6/22 NA NA HIGH Th Jul 14 08:30 Initial Unemployment Claims 7/9 419K 418K Moderate Th Jul 14 08:30 Continuing Unemployment Claims 7/2 3.700M 3.681M Moderate Th Jul 14 11:00 Retail Sales Jun -0.2% -0.2% HIGH Th Jul 14 08:30 Retail Sales ex-auto Jun 0.0% 0.3% HIGH Th Jul 14 08:30 Producer Price Index (PPI) Jun -0.3% 0.2% Moderate Th Jul 14 08:30 Core PPI Jun 0.2% 0.2% Moderate Th Jul 14 08:30 Business Inventories May 0.9% 0.8% Moderate F Jul 15 08:30 Consumer Price Index (CPI) Jun -0.1% 0.2% HIGH F Jul 15 08:30 Core CPI Jun 0.2% 0.3% HIGH F Jul 15 08:30 Empire State Manufacturing Index Jul 0.8 -7.8 Moderate F Jul 15 09:15 Industrial Production Jun 0.2% 0.1% Moderate F Jul 15 09:15 Capacity Utilization Jun 76.8% 76.7% Moderate F Jul 15 09:15 Univ. of Michigan Consumer Sentiment Jul 71.3 71.5 Moderate >> Federal Reserve Watch    Forecasting Federal Reserve policy changes in coming months…Expert opinion still says the Funds Rate will stay at its super low level for a few more Fed meetings at least. Note: In the lower chart, a 1% probability of change is a 99% certainty the rate will stay the same. Current Fed Funds Rate: 0%–0.25% After FOMC meeting on: Consensus Aug 9 0%–0.25% Sep 20 0%–0.25% Nov 2 0%–0.25% Probability of change from current policy: After FOMC meeting on: Consensus Aug 9      <1% Sep 20      <1% Nov 2      <1%   This e-mail is an advertisement for Heffner Group. The material provided is for informational and educational purposes only and should not be construed as investment and/or mortgage advice, or a commitment to lend. Although the material is deemed to be accurate and reliable, there is no guarantee of its accuracy. The material contained in the newsletter is the property of Guild Mortgage Company and cannot be reproduced for any use without prior written consent. It is designed for real estate and other financial professionals only. It is not intended for consumer distribution. The material does not represent the opinion of Guild Mortgage Company. This information is subject to change without notice. NMLS Company Identifier #3274; NMLS Branch Identifier #107908; OR ML-176-37; ID-MBL-6911; This branch is licensed to do business in Idaho, Oregon and authorized in Hawaii. Terry Heffner NMLS #95796, Amy Johnson NMLS #97135, We lend in ID, HI This email was sent to theffner@guildmortgage.net. You may unsubscribe from future advertisement e-mails from Heffner Group. Click here to unsubscribe :: please DO NOT change the subject line of the email, send it as it is.

Market Report 7/5/2011

I hope you had a restful 4^th of July Holiday!

The markets re-open today ending last week with Mortgage bonds down, and rates on the up-tick……It will be interesting to watch the mortgage bonds this week to see if rates will declare a clear direction going forward.

Have a great holiday shortened week!

Cheers!

Terry

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Provided to you Exclusively by Terry Heffner       Terry Heffner Branch Manager Guild Mortgage Office: 208-321-0245 Cell: 208-599-8500 Fax: 208-445-0809 E-Mail: theffner@guildmortgage.net Website: www.heffnerhomeloans.com

For the week of Jul 04, 2011 — Vol. 9, Issue 27

In This Issue…

I hope you and your family enjoyed the Independence Day holiday weekend. And, I sincerely hope you have been enjoying your complimentary subscription to the MORTGAGE MARKET GUIDE WEEKLY. Due to the July 4th holiday, the next full issue will arrive on Monday, July 11. In the meantime, check out the fun facts below about America. And if any of your clients, friends, family members, or associates would benefit from keeping up to date on market and economic trends with my easy-to-read Mortgage Market Guide Weekly newsletter, please let me know and I’ll be more than happy to add them free of charge.

The Mortgage Market Guide View…

As we celebrate the founding of the United States, it’s an ideal time to reflect on some fun facts from the US Census Bureau. America Then and Now The number of people living in the newly created United States back in July 1776 totaled 2.5 Million people. This 4th of July, the number of people living in the US is estimated at 311.7 Million. Flags Unfurled Did you know that $3.2 Million worth of American flags were imported in 2010? Perhaps more surprising is that $486,026 worth of American flags were exported, with Mexico being the leading customer of those flags. Rockets’ Red Glare More than $230 Million worth of fireworks and pyrotechnics are shipped by US manufacturers each year. Lady Liberty More than 31 places have the word "Liberty" in their names; the most populous is Liberty, Missouri with nearly 30,000 people. Patriot-ism Unlike the word "Liberty," the word "Patriot" is rare in town or city names. In fact, according to the Census Bureau, there’s only one place with the word "Patriot" in its name, and that’s Patriot, Indiana, with 209 residents. Best wishes to you on this special time of summer. And please contact me if I can be of any help. Economic Calendar for the Week of July 04 – July 08 Date ET Economic Report For Estimate Actual Prior Impact Wed. July 06 10:00 ISM Services Index Jun 54.0   54.6 Moderate Thu. July 07 08:15 ADP National Employment Report Jun 60K   38K HIGH Thu. July 07 08:30 Jobless Claims (Initial) 7/02 425K   428K Moderate Fri. July 08 08:30 Non-farm Payrolls Jun 80K   54K HIGH Fri. July 08 08:30 Unemployment Rate Jun 9.1%   9.1% HIGH Fri. July 08 08:30 Average Work Week Jun 34.4   34.4 HIGH Fri. July 08 08:30 Hourly Earnings Jun 0.2%   0.3% HIGH

The material contained in this newsletter is provided by a third party to real estate, financial services and other professionals only for their use and the use of their clients. The material provided is for informational and educational purposes only and should not be construed as investment and/or mortgage advice. Although the material is deemed to be accurate and reliable, we do not make any representations as to its accuracy or completeness and as a result, there is no guarantee it is without errors. As your trusted advisor, I am sending you the MMG WEEKLY because I am committed to keeping you updated on the economic events that impact interest rates and how they may affect you. In the unlikely event that you no longer wish to receive these valuable market updates, please USE THIS LINK or email: theffner@guildmortgage.net If you prefer to send your removal request by mail the address is: Terry Heffner 991 S. Allante Place Boise, ID 83709 Mortgage Success Source, LLC is the copyright owner or licensee of the content and/or information in this email, unless otherwise indicated.   Mortgage Success Source, LLC does not grant to you a license to any content, features or materials in this email.   You may not distribute, download, or save a copy of any of the content or screens except as otherwise provided in our Terms and Conditions of Membership, for any purpose.

Inside Lending Newsletter From Heffner Group

visit my website     email me now Heffner Group Terry Heffner and Amy Johnson Manager and Loan Officer 991 S Allante Pl Boise, ID 83709 Phone: (208) 321-0245 Mobile: (208) 599-8500 Fax: (208) 321-0251 For the week of July 4, 2011 – Vol. 9, Issue 27 >> Market Update  QUOTE OF THE WEEK…"Get your facts first, then you can distort them as you please."–Mark Twain INFO THAT HITS US WHERE WE LIVE…Last week’s housing market facts were so good, it was hard for commentators to distort them into the negative picture many like to paint. Wednesday’s Pending Home Sales for May came in 8.2% ahead of April, the biggest monthly gain since November and 13.4% higher than May a year ago! This annual hike was the first in over a year, while the monthly gain points to sales increases come June and July. All regions were up, the Midwest leading with a 17.2% annual bump! April’s Case-Shiller home price index posted its first gain in eight months, UP 0.8% in the top 10 metros and UP 0.7% in the top 20. Data aggregator CoreLogic’s Home Price Index was UP in May for the second month in a row. It was also nice to see consumers aren’t discouraged. In a New York Times/CBS News poll, almost 9 in 10 Americans say homeownership is an important part of the American Dream. And consumers continue to believe that the market will eventually improve and housing will regain its traditional importance. Lastly, the Wall Street Journal reported, "there are growing indications that it is a good time to buy," concluding that "the long-term case for home ownership is looking stronger." BUSINESS TIP OF THE WEEK…Take the initiative. Don’t wait for things to happen, get them started right now. Instigate, experiment, test, learn. Don’t just react to the world, take action yourself! >> Review of Last Week EARLY FIREWORKS…It was an explosive week for stocks, as investors just couldn’t wait for the weekend celebrations. It was one of the biggest weekly market gains in two years. Greece passed unpopular austerity measures and got its bailout. This calmed Wall Streeters worried about US bank exposure to Greek bonds. The week began with inflation still under control. Core PCE Prices were up 0.3% in May and up only 1.2% for the year. And personal income is up 4.2% in the past year. On the jobs front, key to housing, the Bureau of Labor Statistics reported that in May, the unemployment rate fell year-over-year in 74% of the metro areas measured. Investors were also buoyed by an unexpected uptick in manufacturing. The Chicago PMI bolted up to 61.1 in June, showing strength in Midwestern manufacturing. Manufacturing nationwide also grew strongly, as the ISM Manufacturing index jumped to 55.3 for the month. In both cases a drop had been forecast. For the week, the Dow ended UP 5.4%, to 12583; the S&P 500 was UP 5.6%, to 1340; and the Nasdaq was UP 6.1%, to 2816. With stocks surging, bonds headed lower as investor fears dissipated and the Fed ended its QE2 bond buying program. So the FNMA 4.0% bond dropped heavily, ending the week down 1.84, at $99.25. But national average rates on fixed-rate mortgages barely moved, still near yearly lows. National average rates on 5-year adjustable-rate mortgages (ARMs) also hit lows for the year. DID YOU KNOW?…Last week’s Chicago PMI, or Purchasing Managers Index, measures the health of manufacturing in that region. It’s based on a survey of purchasing managers who share data on factors like new orders, production, employment, supplier deliveries and inventory. >> This Week’s Forecast WILL JOBS JUMP IN JUNE?…Happy Independence Day! There are no economic reports today and markets are closed. Everyone’s focus is on Friday’s June Employment Report. Economists do not foresee a big jump in jobs just yet, only a nudge up to around 80,000 new payrolls. This won’t be enough to drop unemployment below the existing 9.1% rate. Wednesday features June ISM Services, forecast basically flat, but still above 50, indicating growth in the non-manufacturing sector. Service businesses provide around 85% of U.S. jobs, so expansion is good. >> The Week’s Economic Indicator Calendar Weaker than expected economic data tends to send bond prices up and interest rates down, while positive data points to lower bond prices and rising loan rates. Economic Calendar for the Week of July 4 – July 8  Date Time (ET) Release For Consensus Prior Impact W Jul 6 10:00 ISM Services Jun 54.0 54.6 Moderate Th Jul 7 08:30 Initial Unemployment Claims 7/2 425K 428K Moderate Th Jul 7 08:30 Continuing Unemployment Claims 6/25 3.700M 3.702M Moderate Th Jul 7 11:00 Crude Inventories 7/2 NA -4.375M Moderate F Jul 8 08:30 Average Workweek Jun 34.4 34.4 HIGH F Jul 8 08:30 Hourly Earnings  Jun 0.2% 0.3% HIGH F Jul 8 08:30 Nonfarm Payrolls Jun 80K 54K HIGH F Jul 8 08:30 Unemployment Rate Jun 9.1% 9.1% HIGH >> Federal Reserve Watch    Forecasting Federal Reserve policy changes in coming months…With the recovery slowing, economists expect Fed Chairman Bernanke to keep the Funds Rate where it is until things get moving again. Note: In the lower chart, a 1% probability of change is a 99% certainty the rate will stay the same. Current Fed Funds Rate: 0%–0.25% After FOMC meeting on: Consensus Aug 9 0%–0.25% Sep 20 0%–0.25% Nov 2 0%–0.25% Probability of change from current policy: After FOMC meeting on: Consensus Aug 9      <1% Sep 20      <1% Nov 2      <1%   This e-mail is an advertisement for Heffner Group. The material provided is for informational and educational purposes only and should not be construed as investment and/or mortgage advice, or a commitment to lend. Although the material is deemed to be accurate and reliable, there is no guarantee of its accuracy. The material contained in the newsletter is the property of Guild Mortgage Company and cannot be reproduced for any use without prior written consent. It is designed for real estate and other financial professionals only. It is not intended for consumer distribution. The material does not represent the opinion of Guild Mortgage Company. This information is subject to change without notice. NMLS Company Identifier #3274; NMLS Branch Identifier #107908; OR ML-176-37; ID-MBL-6911; This branch is licensed to do business in Idaho, Oregon and authorized in Hawaii. Terry Heffner NMLS #95796, Amy Johnson NMLS #97135, We lend in ID, HI This email was sent to theffner@guildmortgage.net. You may unsubscribe from future advertisement e-mails from Heffner Group. Click here to unsubscribe :: please DO NOT change the subject line of the email, send it as it is.

Power Tools Newsletter From Heffner Group

Heffner Group Terry Heffner and Amy Johnson Manager and Loan Officer 991 S Allante Pl Boise, ID 83709 Phone: (208) 321-0245 Mobile: (208) 599-8500 Fax: (208) 321-0251 my website Ways to Cut Costs and Get a Greener Office! These days everyone needs to cut costs. At the same time, most people want to help the environment. Well, you can accomplish both goals in business just by looking at ways to make your office more energy efficient. Greening our offices really does help our planet. The American Council for an Energy-Efficient Economy reports that power for office equipment now represents 7% of the total electricity used in business — that adds up to $1.8 billion worth of electricity per year! Here are seven easy ways you can help drive down that number and keep up our environment… 1. Shut down for the day. Make sure all equipment is completely turned off before the last person leaves the office. When devices are on, they’re still drawing electricity and costing you money. 2. Plug equipment into power strips, not wall sockets. Most office equipment, battery chargers and consumer electronics use something called "phantom energy." Because of this, they keep drawing a trickle of power from an outlet even when they’ve been turned off. The solution is to buy power strips and attach a group of electronics to each one. When you shut down for the day, turning off the power strip turns off everything attached to it and effectively "unplugs" it, all at the same time! 3. Check sleep modes on all electronic devices. Most computers, printers, copiers and fax machines have a "sleep" mode or "power save" setting that switches them into energy-saving mode after being idle for a set number of minutes. This mode usually consumes at least 70% less energy than when the unit is operating at full-power. Check all devices to make sure the power-save mode either kicks in automatically or has been manually set. If you can specify the cycle time, set the power saving mode to kick in after no more than 15 minutes. 4. Standardize on laptop computers. Laptops consume up to 80% less energy than desktop computers. Trade in those desktops for laptops and you’ll see impressive energy savings. For users who absolutely need a large monitor, buy them an LCD computer screen that plugs right into the laptop. There are many of these LCDs on the market for not much money. 5. Look for the Energy Star label on all new purchases. Energy Star is the federal government’s program  for labeling all kinds of energy-saving products for home and business. Electronic office equipment with the Energy Star label uses at least 20% less energy than a standard model. Many Energy Star products also come with automatic power-save modes, so they don’t have to be manually activated. 6. Small and new are best for refrigerators. Sure you can save money buying an old refrigerator for the office, but it can cost hundreds of dollars a year more in electricity compared to newer models. And if your don’t really need a big fridge, you should know that some mini-refrigerators can run on less than a dollar a month of electricity. 7. Get plug-in timers for the water cooler and coffee machine. Water coolers with a hot water tap and all coffee makers can use quite a bit of electricity over the course of a year. Put them on timers that plug into wall and you can program them to be on only when the office is open. These energy saving moves are good for saving money and the environment–and they’re even good for business. Employees and clients are all happier to work with a greener business!… Enjoy a great month! This e-mail is an advertisement for Heffner Group. The material provided is for informational and educational purposes only and should not be construed as investment and/or mortgage advice, or a commitment to lend. Although the material is deemed to be accurate and reliable, there is no guarantee of its accuracy. The material contained in the newsletter is the property of Guild Mortgage Company and cannot be reproduced for any use without prior written consent. It is designed for real estate and other financial professionals only. It is not intended for consumer distribution. The material does not represent the opinion of Guild Mortgage Company. This information is subject to change without notice. NMLS Company Identifier #3274; NMLS Branch Identifier #107908; OR ML-176-37; ID-MBL-6911; This branch is licensed to do business in Idaho, Oregon and authorized in Hawaii. Terry Heffner NMLS #95796, Amy Johnson NMLS #97135, We lend in ID, HI This email was sent to theffner@guildmortgage.net. You may unsubscribe from future advertisement e-mails from Heffner Group. Click here to unsubscribe :: please DO NOT change the subject line of the email, send it as it is.

Market report 6/27/2011

Have a great week!

Terry

If you can’t see the newsletter, or would like to view it online, use this link

If you have received this newsletter indirectly and would like to be added to our weekly distribution list, use this link

Provided to you Exclusively by Terry Heffner       Terry Heffner Branch Manager Guild Mortgage Office: 208-321-0245 Cell: 208-599-8500 Fax: 208-445-0809 E-Mail: theffner@guildmortgage.net Website: www.heffnerhomeloans.com

For the week of Jun 27, 2011 — Vol. 9, Issue 26

In This Issue…

Last Week in Review: Important economic indicators moved up and down. Find out what they mean to Bonds and home loan rates! Forecast for the Week: Multiple high-impact reports will be released this week. Here’s what you need to know! View: Does grad school really pay off in today’s economy? The answer below may surprise you!

Last Week in Review

"WHAT GOES UP… MUST COME DOWN?" Gas prices have dropped at the pump lately, but the markets are more focused on movement in the rest of the economy. Here’s a look at where some important economic indicators are headed… and what they mean to you! Fill ’er up… oil’s down! Late last week, crude oil fell under $90 per barrel after the International Energy Agency (IEA) said it would release 60 Million barrels of oil in the coming months to offset the loss of production in Libya. Lower expectations for economic recovery. The big news last week was the Fed FOMC meeting and the release of the Fed’s Policy Statement. While there weren’t many surprises to come out of the meeting, the Fed did revise its forecast for the 2011 Gross Domestic Product (GDP) lower and acknowledged that the economic recovery is a little slower. Frustratingly high. On Unemployment, the Fed stated that the pace of job growth is "frustratingly slow" and that it believes the Unemployment Rate will average 8.6% to 8.9% in the 4th quarter of 2011…which is actually higher than earlier forecasts of 8.4% to 8.7%. Inflation on the rise? The Fed also raised expectations for Core Inflation, which strips out volatile food and energy costs. This is important because if inflation picks up, Bond prices will move lower – since yields have to move higher to attract buyers to compensate them for the pickup in inflation. And that means home loan rates may move higher as well. Where are Stocks headed? The Fed said the second round of Quantitative Easing (known as QE2) will end as scheduled at the end of June – but there was no mention of a third stimulus package (which would be known as QE3). Their silence on this point was fairly deafening. Many experts have wondered about the possibility of a third round of QE, but it doesn’t look to be in the cards at this point. It’s important to note that the Stock market did not like that there was no mention of QE3, especially since Stocks have only risen the past couple of years when the Fed has been buying – like during both QE1 and QE2. It will be very interesting to see how Stocks behave once the QE2 support is removed. Misery loves company? Here’s an interesting fact for you. Believe it or not, there’s actually a "Misery Index." This Index takes into account both inflation and the Unemployment Rate. Currently, it’s just slightly below the level seen in December 2009, which is when the economy was still in the midst of the credit crisis. To put this in perspective, we haven’t seen the Misery Index this high since 1983. And what is a bit concerning is that the Index has climbed higher each month so far during 2011. With inflation rising higher still and unemployment not ticking down, the upward trend may well continue in the near future. Better than expected… but what’s the catch? Durable Goods were reported better than expected last week. It wasn’t a blockbuster reading, but it was good news in light of concerns that the economic recovery is slowing. That said, there’s a catch to consider if you or someone you know is looking to refinance or purchase a home. The recent slowdown in the economic recovery has actually helped improve Bonds and home loan rates. But if the slowdown proves to be just a minor bump in the road to recovery and if future reports show modest improvements, home loan rates could move higher rather quickly. The good news is that home loan rates are still at historical lows, making this a terrific time if you or someone you know might be thinking about refinancing or purchaing a home. It only takes a few minutes to see if you can benefit from the situation. Call or email to get started.

Forecast for the Week

Another busy week is ahead of us, especially with the release of multiple high-impact economic reports, not to mention Treasury Auctions: We start off right away Monday morning with reports on Personal Spending and Personal Income, as well as the Personal Consumption Expenditures (PCE) Index, which is the Fed’s favorite gauge of inflation. In addition to seeing new data on consumer spending and income, we’ll also see new reads on how consumers feel about the economy. On Tuesday, the Consumer Confidence report will be released, followed by the Consumer Sentiment Index on Friday. Manufacturing will also be in the news this week. On Thursday, we’ll see the Chicago PMI, which surveys more than 200 Chicago purchasing managers about the manufacturing industry and is a good indicator of overall economic activity. Then on Friday, we’ll see the ISM Index, which is considered the king of all manufacturing indices and the single best snapshot of the factory sector. The housing industry will also be highlighted this week, with the release of Pending Home Sales report on Wednesday. Finally, on Thursday the markets will see a new read on the weekly Initial Jobless Claims report. In last week’s report, the number of new Jobless Claims rose significantly to come in higher than expected. Overall, the pain in the job market continues to weigh on the economy and the quandary for the Fed is that further government stimulus or support may be warranted if things slow down further. But with more government stimulus comes further inflation fears – and since inflation is the archenemy of Bonds and home loan rates, this will be an important news story to keep watching. In addition to those reports, the Bonds and home loan rates may also be impacted by the Treasury Auctions this week. The Treasury Department will auction off a total of $99 Billion in 2-, 5- and 7-Year Notes on Monday, Tuesday, and Wednesday. I will watch those auctions closely to see how they’re received and how they impact home loan rates early in the week. Remember: Weak economic news normally causes money to flow out of Stocks and into Bonds, helping Bonds and home loan rates improve, while strong economic news normally has the opposite result. As you can see in the chart below, Bonds and home loan rates benefited from the news last week. I’ll be watching closely to see if the slower economic recovery continues… and how this week’s news impacts home loan rates. Chart: Fannie Mae 4.0% Mortgage Bond (Friday Jun 24, 2011)

The Mortgage Market Guide View…

Does Grad School Pay Off? We look at how much you’ll make – and how much you’ll owe – after earning advanced degrees in five popular fields. By Jane Bennett Clark, Kiplinger.com A few years ago, going to graduate or professional school seemed like a smart way to wait out a miserable economy. Students who picked up an extra degree may now be wondering if it was worth the time and expense. In terms of salary expectations, the answer is yes. The Census Bureau reports that workers with a master’s degree earn an annual $74,217, on average, compared with $58,762 for bachelor’s degree recipients and $32,812 for high-school-only graduates. Grads who earn doctoral degrees can earn salaries in the six-figure territory. Professional degrees bring in an average of $128,578. But the average grad-school debt for students who borrow tops $30,000 for a master’s degree and approaches $90,000 for a professional degree, not including undergraduate loans. If your monthly payment exceeds 10% of your monthly income, you could end up struggling financially for the sake of that degree. Vet the prospects for your profession before spending (or borrowing) to go to graduate school. Law degree New hires of law-firm associates, which plummeted 40% in 2009 from the previous year, are creeping back up. More than 87% of law students who participated in law-firm summer programs were offered jobs in 2010, an 18% bump over 2009, according to the National Association for Law Placement. Still, hiring remains significantly below prerecession levels, and competition for jobs will be fierce as law schools continue to churn out more lawyers than the market can bear. As for salaries, the biggest paydays are at big private firms, where new lawyers earn a median annual salary of $160,000. Public-interest attorneys earn the least, with median starting salaries of $42,000 to $50,000, according to the NALP. Medical degree The medical profession suffered its share of economic heartburn in the aftermath of the recession: In 2010, doctors in eight specialties, including plastic surgery and gastroenterology, saw a drop in pay from the previous year, and most others enjoyed only a modest increase. No worries: Physician incomes are still among the highest in the country, ranging from $175,000 to $600,000, depending on the specialty. And job prospects for physicians will be healthy throughout the decade, owing to an aging population and ongoing demand for high-level care. The most sought-after of the profession (but not the highest-paid): doctors who practice in rural and low-income areas and those who specialize in age-related illnesses. Doctor of Pharmacy Take regular breakthroughs in medicine, a shortage of new pharmacists, and a host of older pharmacists getting ready to retire and you’ve got a prescription for job opportunity. Although some pharmacists saw their hours cut back or their schedules rejiggered during the recession, job growth for pharmacists will approach 20% over the decade ending in 2018, according to the Bureau of Labor Statistics. The average salary for the profession, which currently requires a doctoral degree, is $106,630. If you go into this field, plan on spending less time mixing medications – most are premeasured and delivered ready-to-use by pharmaceutical companies – and more time counseling patients and filling out insurance forms. MBA Employment prospects for MBA grads rebounded after suffering a dip in 2009: Nine in ten members of the class of 2010 were employed after graduation, about the same as prerecession levels, according to the Graduate Management Admission Council. But getting those offers was no walk in the office park: Grads sent out more than 33 applications, on average, and submitted to more than six interviews before getting a bite. Nearly half of the class reported applying for jobs that offered less money than they had hoped for. As for the future, job growth for business management analysts over the decade should be strong, and so should the competition among job seekers. Many firms won’t even look at a candidate who lacks an MBA. Master of Public Health Public-health professionals should find plenty of jobs in the coming years as the health care industry expands, the federal government ramps up disaster-preparedness efforts, and communities seek to improve preventive care. Specialties with the most job potential include health services administration, epidemiology, health education and public-health program management, at first-year salaries (which include all degree levels) ranging from $33,000 to $86,625 for health education and $37,050 to $161,400 for health services administration. The median for health service management runs $80,240. Most public-health management positions require a master’s degree, such as a master of public health or health administration. Reprinted with permission. All Contents ©2011 The Kiplinger Washington Editors. www.kiplinger.com. Economic Calendar for the Week of June 27-July 1, 2011 Remember, as a general rule, weaker than expected economic data is good for rates, while positive data causes rates to rise. Economic Calendar for the Week of June 27 – July 01 Date ET Economic Report For Estimate Actual Prior Impact Mon. June 27 08:30 Personal Income May 0.3%   0.4% Moderate Mon. June 27 08:30 Personal Spending May 0.0%   0.4% Moderate Mon. June 27 08:30 Personal Consumption Expenditures and Core PCE May 0.2%   0.2% HIGH Mon. June 27 08:30 Personal Consumption Expenditures and Core PCE YOY NA   1.0% HIGH Tue. June 28 10:00 Consumer Confidence Jun 60.0   60.8 Moderate Wed. June 29 10:00 Pending Home Sales Apr 0.7%   -11.6% Moderate Thu. June 30 08:30 Jobless Claims (Initial) 6/25 421K   429K Moderate Thu. June 30 09:45 Chicago PMI Jun 53.5   56.6 HIGH Fri. July 01 10:00 Consumer Sentiment Index (UoM)

Inside Lending Newsletter From Heffner Group

visit my website     email me now Heffner Group Terry Heffner and Amy Johnson Manager and Loan Officer 991 S Allante Pl Boise, ID 83709 Phone: (208) 321-0245 Mobile: (208) 599-8500 Fax: (208) 321-0251 For the week of June 27, 2011 – Vol. 9, Issue 26 >> Market Update  QUOTE OF THE WEEK…"For the resolute and determined there is time and opportunity."–Ralph Waldo Emerson INFO THAT HITS US WHERE WE LIVE…It certainly takes plenty of determination to find the opportunities in today’s housing market. Last week the National Association of Realtors (NAR) reported Existing Home Sales down 3.8% in May to an annual rate of 4.81 million units, a six-month low. The median price was up for the month, though down 4.6% from a year ago. Inventories declined, but the months’ supply increased to 9.3 because of the slower sales rate. Nevertheless, the NAR’s economist opined, "…sales activity in the second half of the year is expected to be stronger than the first half, and will be much stronger than the second half of last year."  Thursday’s New Home Sales showed a 2.1% drop for May, to a 319,000 annual rate, but this did beat expectations. The months’ supply fell to 6.2, as inventories dropped to their lowest level on record. Yet the FHFA home price index, which measures prices for homes bought with conforming mortgages, was up 0.8% for March, its largest monthly gain since 2005! The Mortgage Bankers Association (MBA) reported purchase loan demand down a seasonally adjusted 3.9% from the week before, but up 4.4% over a year ago. BUSINESS TIP OF THE WEEK…Diversify. Don’t depend on one customer type, one sales channel, or one product or service. It’s great to specialize, but bring your expertise to new areas. And keep your marketing diversified: don’t let the web replace personal contact time. >> Review of Last Week ONE UP, TWO DOWN…It was a volatile week in stocks, with only the Nasdaq index up, while both the Dow and the S&P 500 were off. The up-and-down stock prices mimicked Wall Street’s responses to the economic situation. The week started on an up note, as Greek debt problems (which could impact U.S. banks) seemed closer to solution. But on this side of the pond, investors found little solace in Fed Chairman Bernanke’s admission that the economic recovery is slower than expected. He thinks food and energy prices will subside, but doesn’t have a clear take on why the slow pace of recovery persists. He also said that the majority of home sales "have much more stable prices than houses sold on a distressed basis," as reported here on June 6.   The next day, the International Energy Agency (IEA) announced it will release 60 million barrels of oil from strategic reserves, with half coming from the U.S., to make up for Libya’s shortfall. This should eventually bring down gas prices and calm inflation fears, both good for the economy. Q1 GDP was revised up to 1.9%, still well below Q4′s 3.1% growth rate. And on the jobs front, key to the housing market, new weekly unemployment claims edged up to 429,000. But corporate profits were up 12.1% annually and May Durable Goods Orders showed encouraging growth. For the week, the Dow ended down 0.6%, at 11,935; the S&P 500 was down 0.2%, to 1,268; but the Nasdaq was UP 1.4% to 2,653. Weaker stock prices and stronger concerns over European sovereign debt sent investors to the safe haven of bonds, whose prices benefited. The FNMA 4.0% bond we watch ended the week up .84, closing at $101.09. In Freddie Mac’s weekly survey, national average rates for conforming mortgages held at levels that are near the lowest for the year. DID YOU KNOW?…Many of the first homes in the American colonies were built with bricks carried as ballast in ships sailing to the New World. Here, the bricks were sold for home building and replaced in the ships’ holds with goods being exported. >> This Week’s Forecast PENDING HOME SALES, INFLATION, CONSUMER CONFIDENCE…It will be interesting to see if Wednesday’s Pending Home Sales give us some positive signs about the state of housing sales a few months out. The expectation is for a small gain. The week begins with the Fed’s favorite inflation reading, Core PCE Prices, forecast to be up a benign 0.2% for May. We’ll all watch for signs of improvement in Thursday’s Initial Unemployment Claims, but the figure should still be above the 400,000 threshold. Nevertheless, consumers aren’t too discouraged, as Tuesday’s Consumer Confidence and Friday’s University of Michigan Consumer Sentiment index are both expected to hold steady for June. >> The Week’s Economic Indicator Calendar Weaker than expected economic data tends to send bond prices up and interest rates down, while positive data points to lower bond prices and rising loan rates. Economic Calendar for the Week of June 27 – July 1  Date Time (ET) Release For Consensus Prior Impact M Jun 27 08:30 Personal Income May 0.3% 0.4% Moderate M Jun 27 08:30 Personal Spending May 0.1% 0.4% HIGH M Jun 27 08:30 PCE Prices – Core May 0.2% 0.2% HIGH Tu Jun 28 10:00 Consumer Confidence Jun 60.3 60.8 Moderate W Jun 29 10:00 Pending Home Sales May 2.0% -11.6% Moderate W Jun 29 10:30 Crude Inventories 6/25 NA -1.711M Moderate Th Jun 30 08:30 Initial Unemployment Claims 6/25 420K 429K Moderate Th Jun 30 08:30 Continuing Unemployment Claims 6/25 3.715M 3.697M Moderate Th Jun 30 09:45 Chicago PMI Jun 53.5 56.6 HIGH F Jul 1 09:55 U. of Michigan Consumer Sentiment – Final Jun 71.8 71.8 Moderate F Jul 1 10:00 ISM Index Jun 51.1 53.5 HIGH >> Federal Reserve Watch    Forecasting Federal Reserve policy changes in coming months…In last week’s presser, Fed Chairman Bernanke explained that keeping the Funds Rate where it is for an "extended period" means at least two or three meetings. Economists are taking him at his word. Note: In the lower chart, a 1% probability of change is a 99% certainty the rate will stay the same. Current Fed Funds Rate: 0%–0.25% After FOMC meeting on: Consensus Aug 9 0%–0.25% Sep 20 0%–0.25% Nov 2 0%–0.25% Probability of change from current policy: After FOMC meeting on: Consensus Aug 9      <1% Sep 20      <1% Nov 2      <1%   This e-mail is an advertisement for Heffner Group. The material provided is for informational and educational purposes only and should not be construed as investment and/or mortgage advice, or a commitment to lend. Although the material is deemed to be accurate and reliable, there is no guarantee of its accuracy. The material contained in the newsletter is the property of Guild Mortgage Company and cannot be reproduced for any use without prior written consent. It is designed for real estate and other financial professionals only. It is not intended for consumer distribution. The material does not represent the opinion of Guild Mortgage Company. This information is subject to change without notice. NMLS Company Identifier #3274; NMLS Branch Identifier #107908; OR ML-176-37; ID-MBL-6911; This branch is licensed to do business in Idaho, Oregon and authorized in Hawaii. Terry Heffner NMLS #95796, Amy Johnson NMLS #97135, We lend in ID, HI This email was sent to theffner@guildmortgage.net. You may unsubscribe from future advertisement e-mails from Heffner Group. Click here to unsubscribe :: please DO NOT change the subject line of the email, send it as it is.

Market Report 6/20/2011

Have a fantastic week!

Terry

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Provided to you Exclusively by Terry Heffner       Terry Heffner Branch Manager Guild Mortgage Office: 208-321-0245 Cell: 208-599-8500 Fax: 208-445-0809 E-Mail: theffner@guildmortgage.net Website: www.heffnerhomeloans.com

For the week of Jun 20, 2011 — Vol. 9, Issue 25

In This Issue…

Last Week in Review: Events in Greece and inflation news made for a volatile week, but how did home loan rates fare? Forecast for the Week: A full week of reports is ahead, which will give us news on housing and the state of the economy. Plus, the Fed meets Tuesday and Wednesday. View: Planning to travel this summer? Check out these tips from Kiplinger.com on ways to save.

Last Week in Review

"Greece is the word." Last week, both renewed problems in Greece and inflation news dominated the headlines and made for some volatile trading. What happened, and what was the impact on home loan rates? Read on for details. In Greece, the riots continued as people protested further pay cuts and tax increases to help close their unsustainable budget deficit. Then on Friday, Greece announced some reshuffling within their Parliament and it also appears as though the country will receive some sort of bailout to meet near-term financing needs. With 20,000+ people rioting in the streets, the government had to do something to calm the markets, but the Greece story is far from over. Shaking up the Parliament won’t fix the long-term debt problems, nor is it likely that a short-term bailout, if it happens, will help Greece avoid some sort of debt restructuring, re-profiling or outright default. One impact of the volatility in Greece is that it has caused some flight to safety buying of US Dollar denominated securities like Treasuries and Mortgage Backed Securities, upon which home loan rates are based. This helped Bonds and home loan rates last week, which was a good thing, since signs of inflation also heated up last week and Bonds and home loan rates would have likely worsened on that inflation news. Remember, inflation is the arch enemy of Bonds and home loan rates, like Kryptonite to Superman, because inflation erodes the value of the fixed return provided by a Bond, which causes home loan rates to rise. And last week, both the Producer Price Index (which measures inflation at the wholesale level) and the Consumer Price Index (CPI) were both reported hotter than expected, with the Core CPI rising by 0.3%, which was the largest monthly increase in three years. While the Fed continues to say that the increase in inflation is transitory (i.e. short in duration, temporary or not persistent), more signs of inflation in the coming weeks and months could hinder Bonds and home loan rates from further improvements. The bottom line is that home loan rates still remain near some of the best levels we’ve seen this year, and it’s important to take advantage of these levels while they remain. If you have been thinking about purchasing or refinancing a home, call or email me to learn more about why now is a great time to benefit from today’s historically low rates. Or forward this newsletter on to someone you know who may benefit.

Forecast for the Week

Another full week of economic reports is ahead. Look for: A double does of housing news with Tuesday’s Existing Home Sales Report and Thursday’s New Home Sales Report. The regularly scheduled Federal Open Market Committee meeting on Tuesday and Wednesday. Given last week’s hotter than expected inflation news, will the Fed still say inflation is transitory? Thursday also brings another weekly Initial and Continuing Jobless Claims Report. Last week’s Initial Jobless claims fell 16,000 to 414,000 and while the decline is good news, this is the tenth straight week that Jobless Claims have remained back above the 400,000 level. Rounding out the week on Friday are two important reports on the state of the economy: Durable Goods Orders, which gives us an update on consumer and business buying behavior on big-ticket items, and Gross Domestic Product, which is the broadest measure of economic activity. Remember: Weak economic news normally causes money to flow out of Stocks and into Bonds, helping Bonds and home loan rates improve, while strong economic news normally has the opposite result. As you can see in the chart below, Bonds and home loan rates traded sideways last week, with inflation news keeping market improvements from the instability in Greece in check. I’ll be watching closely to see how world events and economic reports impact the markets this week. ———————– Chart: Fannie Mae 4.0% Mortgage Bond (Friday Jun 17, 2011)

The Mortgage Market Guide View…

What You Need to Know About Summer Travel Whether you fly or drive, it’s going to cost more to get there. But you can save on lodging, food and entertainment. By Susannah Snider, Kiplinger.com 1. Take a bite of the Big Apple. "People know about beach-house rentals. But renting a place in the city can also pay off," says Alexis de Belloy, of HomeAway.com. You can cook meals at home and use on-site laundry facilities — which means you can downsize your luggage and side-step baggage fees. HomeAway recently listed a two-bedroom, one-bath apartment, which sleeps six, in midtown Manhattan for $275 per night in mid July; the minimum stay is four nights. 2. Rent a cabin in the woods. Accommodations at national and state parks can run the gamut from luxurious lodges, such as the Ahwahnee in Yosemite ($590 for a weeknight in mid July), to cozy cabins in the woods. Recently, a cabin that sleeps six in Letchworth State Park, in upstate New York, went for $344 per week (the minimum stay during the summer). To book a room in a lodge in one of the national parks, go to Xanterra.com; for other options, such as campsites and cabins, go to www.nps.gov. And for lodging close to home, browse your state government Web site. 3. Take a mini vacation. Looking for a quick getaway? Adding a Thursday or Sunday night to a Friday-Saturday stay could slash your overall hotel room rate by as much as 20% to 35% per night, says Bob Diener, of GetARoom.com. Of course, you might save up to 60% off published prices at a name-your-own-price Web site, such as Priceline, as long as you’re prepared to book the room before you know the hotel. 4. Groupon on the road. Using group-discount sites on vacation can trim 50% off your entertainment and food bills, says Anne Banas, of SmarterTravel.com. Register for new accounts, or change your location settings on existing accounts, a few weeks before you take off. Banas also recommends doing a search for "restaurant weeks" plus your destination, visiting Goldstar.com for event tickets, and dropping by the local visitors bureau to scoop up extra discounts. Not visiting a major city? Check out state-sponsored Web sites, such as VisitFlorida.com, for discounts. And if you’re a member of AAA or AARP, don’t leave your membership card at home. 5. There is such a thing as a free breakfast. Rick Ingersoll, of FrugalTravelGuy.com, says that a complimentary breakfast in an expensive overseas location can cut his food bill in half. He eats one big meal late in the day in addition to breakfast, and snacks on store-bought food in-between. Many domestic hotel chains offer free breakfast, too. At Holiday Inns in the U.S. and Canada, kids under 12 eat gratis any time of day, and children under 19 stay free. Plus, summer is a great time for free summer concerts and local foodfests — such as Chicago’s Grant Park Music Festival and the Taste of Chicago — so check local Web sites for schedules. 6. Stretch your money overseas. XE.com has a currency converter that lets you see how the dollar is performing against the local tender. Ingersoll’s top three value destinations are Cambodia, Poland and Thailand. Diener recommends you pay for reservations in advance in U.S. dollars to hedge against currency fluctuations. "The worst thing is when you get there and the hotel bill is $50 more," he says. Reprinted with permission. All Contents ©2011 The Kiplinger Washington Editors. www.kiplinger.com. ————————– Economic Calendar for the Week of June 20-24, 2011 Remember, as a general rule, weaker than expected economic data is good for rates, while positive data causes rates to rise. Economic Calendar for the Week of June 20 – June 24 Date ET Economic Report For Estimate Actual Prior Impact Tue. June 21 10:00 Existing Home Sales May 4.78M   5.05M Moderate Wed. June 22 02:15 FOMC Meeting Jun       HIGH Thu. June 23 08:30 Jobless Claims (Initial) 6/18 418K   414K Moderate Thu. June 23 10:00 New Home Sales May 305K   323K Moderate Fri. June 24 08:30 Gross Domestic Product (GDP) Q1 1.8%   1.8% Moderate Fri. June 24 08:30 GDP Chain Deflator Q1 1.9%   1.9% Moderate Fri. June 24 08:30 Durable Goods Orders May 1.0%   -3.6% Moderate

The material contained in this newsletter is provided by a third party to real estate, financial services and other professionals only for their use and the use of their clients. The material provided is for informational and educational purposes only and should not be construed as investment and/or mortgage advice. Although the material is deemed to be accurate and reliable, we do not make any representations as to its accuracy or completeness and as a result, there is no guarantee it is without errors. As your trusted advisor, I am sending you the MMG WEEKLY because I am committed to keeping you updated on the economic events that impact interest rates and how they may affect you. In the unlikely event that you no longer wish to receive these valuable market updates, please USE THIS LINK or email: theffner@guildmortgage.net If you prefer to send your removal request by mail the address is: Terry Heffner 991 S. Allante Place Boise, ID 83709 Mortgage Success Source, LLC is the copyright owner or licensee of the content and/or information in this email, unless otherwise indicated.   Mortgage Success Source, LLC does not grant to you a license to any content, features or materials in this email.   You may not distribute, download, or save a copy of any of the content or screens except as otherwise provided in our Terms and Conditions of Membership, for any purpose.

Inside Lending Newsletter From Heffner Group

visit my website     email me now Heffner Group Terry Heffner and Amy Johnson Manager and Loan Officer 991 S Allante Pl Boise, ID 83709 Phone: (208) 321-0245 Mobile: (208) 599-8500 Fax: (208) 321-0251 For the week of June 20, 2011 – Vol. 9, Issue 25 >> Market Update  QUOTE OF THE WEEK…"Don’t look back. Something might be gaining on you."–Satchel Paige, Hall of Fame pitcher who last played at age 59 INFO THAT HITS US WHERE WE LIVE… What was gaining on us last week were May Housing Starts, up 3.5% for the month to a higher-than-expected 560,000 unit annual rate. The gain included a 29% increase in multi-family starts, which are now up 17.5% over a year ago. New building permits were also up in May, by 8.7%, to a 612,000 annual rate. Permits indicate the level of starts a short time out, so some economists see the beginning of an upward trend. With the number of homes under construction at the lowest levels on record back to 1970, and as inventories continue to come down, home building will certainly need to grow considerably. Experts are now saying we’ll need to find homes for 150 million more people, the projected growth of the U.S. population in the next 30 to 40 years. This will spur a ramp up in home building and sales once the housing recovery gets going. On our way to that recovery, the Mortgage Bankers Association (MBA) reported purchase loan demand up a seasonally adjusted 4.5% from the week before and up 6.1% over a year ago! But wise buyers should act now, as MBA economists expect 30-year fixed-rate mortgage rates to rise a bit by the end of the year and in 2012. BUSINESS TIP OF THE WEEK…Logic can be your most powerful sales tool. If a cost saving is in your favor, hammer it home. Savings on overall costs, financing rates and energy use make even more logical sense when projected out for several years. >> Review of Last Week BARELY UP… After six down weeks, the Dow and the S&P 500 stock indexes finally showed weekly gains, although the S&P was up a mere half point. The tech-heavy Nasdaq was still off a tick for the week, dragged down by the makers of BlackBerry, whose stock dropped mightily on earnings that fell well short of Street expectations. Economic reports came in mixed. Inflation continues to be a worry to all but the Fed, as the Consumer Price Index (CPI) for May was up 0.2%. In case you think that’s just from higher food and gas prices, the Core CPI, which excludes those, was up 0.3%. We’ll see what the Fed says this week.   May Retail Sales were down a less-than-expected 0.2% but are up 7.7% from a year ago. New weekly jobless claims dropped by 16,000 to 414,000, while continuing claims fell by 21,000, to 3.68 million. These moves are in the right direction, although economists feel they aren’t large enough. On the manufacturing front, both the Philadelphia and New York regions showed a contraction of activity. But some observers put this to supply-chain disruptions from Japan and expect manufacturing to rebound soon. Overall Industrial Production rose in May, though less than expected. For the week, the Dow ended up 0.4%, at 12,004; the S&P 500 was up a half point, to 1,272; and the Nasdaq was down 1.0%, to 2,616. With continued fears about Greek sovereign debt, you’d think bonds would have benefited from a flight to safety. But the FNMA 4.0% bond we watch ended the week up just .01, closing at $100.25. In Freddie Mac’s weekly survey, national average rates for conforming mortgages finally leveled off after dropping eight weeks in a row. Rates are still at or near their lows for the year. DID YOU KNOW?…We spend more time in the bedroom than in any other room in the house, because that’s where we sleep. But most of us say the kitchen is our most important room, since it’s the center of more activities. >> This Week’s Forecast MAY HOME SALES AND THE FED…What more could you want? Tuesday’s Existing Home Sales and Thursday’s New Home Sales will show us if May’s closings pushed the annual sales rate up or down. Unfortunately, down is forecast, although surprises are always possible. Wednesday we get the Fed’s pronouncement on the Funds Rate and the state of the economy. No one expects the rate to budge, since Fed Chairman Bernanke keeps saying it needs to remain at its rock bottom level for an "extended period." But it will be useful to examine the Fed’s policy statement for their take on inflation and the pace of the recovery. >> The Week’s Economic Indicator Calendar Weaker than expected economic data tends to send bond prices up and interest rates down, while positive data points to lower bond prices and rising loan rates. Economic Calendar for the Week of June 20 – June 24  Date Time (ET) Release For Consensus Prior Impact Tu Jun 21 10:00 Existing Home Sales May 4.78M 5.05M Moderate W Jun 22 10:30 Crude Inventories 6/18 NA -3.406M Moderate W Jun 22 14:15 FOMC Rate Decision 6/22 0%-0.25% 0%-0.25% HIGH Th Jun 23 08:30 Initial Unemployment Claims 6/18 418K 414K Moderate Th Jun 23 08:30 Continuing Unemployment Claims 6/11 3.680M 3.675M Moderate Th Jun 23 10:00 New Home Sales May 305K 323K Moderate F Jun 24 08:30 GDP – Third Estimate Q1 1.8% 1.8% Moderate F Jun 24 08:30 GDP Deflator – Third Estimate Q1 1.9% 1.9% Moderate F Jun 24 08:30 Durable Goods Orders May 1.0% -3.6% Moderate >> Federal Reserve Watch    Forecasting Federal Reserve policy changes in coming months… Given Fed Chairman Bernanke’s continued pronouncements, economists do not expect a hike in the Funds Rate any time soon. Note: In the lower chart, a 1% probability of change is a 99% certainty the rate will stay the same. Current Fed Funds Rate: 0%–0.25% After FOMC meeting on: Consensus Jun 22 0%–0.25% Aug 9 0%–0.25% Sep 20 0%–0.25% Probability of change from current policy: After FOMC meeting on: Consensus Jun 22      <1% Aug 9      <1% Sep 20      <1% Dce  This e-mail is an advertisement for Heffner Group. The material provided is for informational and educational purposes only and should not be construed as investment and/or mortgage advice, or a commitment to lend. Although the material is deemed to be accurate and reliable, there is no guarantee of its accuracy. The material contained in the newsletter is the property of Guild Mortgage Company and cannot be reproduced for any use without prior written consent. It is designed for real estate and other financial professionals only. It is not intended for consumer distribution. The material does not represent the opinion of Guild Mortgage Company. This information is subject to change without notice. NMLS Company Identifier #3274; NMLS Branch Identifier #107908; OR ML-176-37; ID-MBL-6911; This branch is licensed to do business in Idaho, Oregon and authorized in Hawaii. Terry Heffner NMLS #95796, Amy Johnson NMLS #97135, We lend in ID, HI This email was sent to theffner@guildmortgage.net. You may unsubscribe from future advertisement e-mails from Heffner Group. Click here to unsubscribe :: please DO NOT change the subject line of the email, send it as it is.