"QE3"

Hello all,

"QE3"

As I always say we need to keep politics or debatable issues out of our business, however when it affects our business we need to know about it and have a talk track. Quantitative Easing is when the Federal Reserve brings liquidity to the market by printing money and buying financial assets from banks. With QE1 & QE2 the Federal Reserve did their thing and brought the money to the market by buying bonds. With QE3 the Federal Reserve plans to buy 40 billion in Mortgage Backed Securities every month until they feel that the economy is stabilized and the unemployment drops to where they are comfortable. Mortgage backed securities are bundles of mortgages that the banks sell in the secondary market to investors. The idea is that if the Federal Reserve buys the securities interest rates will stay low and the banks will have capacity to issue more mortgages. These two points are where QE3 will have an affect on the Real Estate market. One of the biggest problems after the mortgage crisis was that credit was frozen and the banks lost their capacity to lend, people who should have gotten a mortgage were now having a difficult time getting one. So over the next couple of years people who should get a mortgage will receive one and interest rates will remain low courtesy of the Federal Reserve. This may not be a savoir for the Real Estate market but it won't hurt either. Again, not trying to start an argument with anyone on whether or not QE3 should have happened. I just wanted to make sure you could explain it's affects on the Real Estate market with your clients if necessary.

Please remember sales meeting is this Wednesday 11:30 at That's Amore. 

Enjoy the coffee,

Joe

  

INSPIRATION FOR TODAY:

"We need to learn to set our course by the stars, not by the lights of every passing ship."

~ General Omar Bradley 

FEELING LOST?

Do you find yourself drifting on an ocean of indecision, misdirection, unfulfilled aspirations? Feel like you're not getting as far along as your colleagues, or as far along as they say you should? It's probably time to throw out your compass!

While it can be helpful to look to others for inspiration, don't make the mistake of believing that you can or even should try to achieve the same accomplishments. Using a map of your own making, set your individual course according to where you want to go and how quickly you want to get there.

Indeed, you can set your sights much higher than the "landmarks" or "passing ships" of those people around you who tell you what you should do or what you shouldn't do. You'll lose your valuable perspective of the Big Picture if you pay too much attention to the advice or achievements of others.

Whether you are passing them or they are passing you, don't lose sight of what is guiding you and where. Your dreams and ambitions are the unmoving and constant "North Star" in your life. While everything else around you can change so quickly from day to day, it's your own beliefs and convictions that give you the steady course you need to successfully navigate those changes.

You'll never get anywhere by trying to determine the success or even the path of your journey by the "passing ships" around you. Stay focused solely on what you believe and know to be true, and ignore the nay-sayers! They may be gone tomorrow, but your dreams will be the stars in your sky forever.