Illegal aliens and our country's financial mess

I got this email today with the following information and it was just too good to pass up. I looked at most of the links and they are very enlightening.



Subject: What is REALLY bankrupting this nation?

You think the war in Iraq is costing us too much?
Read this:

Boy, am I confused. I have been hammered with the propaganda that it is the Iraq war and the war on terror that is bankrupting us. I now find that to be RIDICULOUS. I hope the following 14 reasons are forwarded over and over again until they are read so many times that the reader gets sick of reading them. I have included the URL's for verification of all the following facts.

1. $11 Billion to $22 billion is spent on welfare to illegal aliens each year by state governments. Verify at: http://tinyurl.com/zob77

2. $2.2 Billion dollars a year is spent on food assistance programs such as food stamps, WIC, and free school lunches for illegal aliens. Verify at: http ://www.cis.org/articles/2004/fiscalexec.html

3. $2.5 Billion dollars a year is spent on Medicaid for illegal aliens. Verify at: http://www.cis.org/articles/2004/fiscalexec.html

4. $12 Billion dollars a year is spent on primary and secondary school education for children here illegally and they cannot speak a word of English! Verify at: http://transcripts..cnn.com/TRANSCRIPTS/0604/01/ldt.0.html

5. $17 Billion dollars a year is spent for education for the American-born children of illegal aliens, known as anchor babies. Verify at http://transcripts.cnn.com/TRANSCRIPTS/0604/01/ldt.01.html

6. $3 Million Dollars a DAY is spent to incarcerate illegal aliens. Verify at: http://transcripts.cnn.com/TRANSCRIPTS/0604/01/ldt.01.html

7. 30% percent of all Federal Prison inmates are illegal aliens. Verify at: http://transcripts.cnn.com/TRANSCRIPTS/0604/01/ldt.01.html

8. $90 Billion Dollars a year is spent on illegal aliens for Welfare & social services by the American taxpayers. Verify at: http://premium.cnn.com/TRANSCIPTS/0610/29/ldt.01.html

9. $200 Billion Dollars a year in suppressed American wages are caused by the illegal aliens. Verify at: http://transcripts.cnn.com/TRANSCRIPTS/0604/01/ldt.01.html

10. The illegal aliens in the United States have a crime rate that's two and a half times that of white non-illegal aliens. In particular, their children, are going to make a huge additional crime problem in the US Verify at: http://transcripts.cnn.com/TRANSCRIPTS/0606/12/ldt.01.html

11. During the year of 2005 there were 4 to 10 MILLION illegal aliens that crossed our Southern Border also, as many as 19,500 illegal aliens from Terrorist Countries. Millions of pounds of drugs, cocaine, meth, heroin and marijuana, crossed into the U. S from the Southern border. Verify at: Homeland Security Report: http://tinyurl.com/t9sht

12. The National Policy Institute, 'estimated that the total cost of mass deportation would be between $206 and $230 billion or an average cost of between $41 and $46 billion annually over a five year period.' Verify at: http://www.nationalpolicyinstitute.org/pdf/deportation.pdf

13. In 2006 illegal aliens sent home $45 BILLION in remittances back to their countries of origin. Verify at: http://www.rense.com/general75/niht.htm

14. 'The Dark Side of Illegal Immigration: Nearly One Million Sex Crimes Committed by Illegal Immigrants In The United States.' Verify at: http://www.drdsk.com/articleshtml

The total cost is a whopping $ 338.3 BILLION DOLLARS A YEAR.

More simply put, in just over 2 years without the illegal alien stanglehold on our economy, the current Wall Street crisis and the proposed $700 billion bailout would be paid for, without a cent of tax of US citizens!

Are we THAT stupid?

Traffic Metering Lights

Today is a soapbox day - I get on the freeway at 1600 North in Orem pretty much every morning and we have a new metering light to deal with. You just have to love the logic of UDOT. They changed what has been 1 lane for years and years into 2 lanes so they could put up 2 lights so you merge back into 1 lane to get on the freeway!! Plus it is an uphill on ramp so what the lights really do is make you stop so you can't even get a decent run and get up to speed to merge into the freeway traffic. I suppose they have all kinds of data and research about how great the metering system works but for those of us in the trenches every day, it just doesn't make any sense. This is actually only one of a long list of things I would love to discuss with UDOT but I think I will give up for now. Hooray for UDOT!!

Some thoughts on the current financial crisis

It looks to me like there was no shortage of warning signs and they have been right in front of us for several years. As far back as 2001 a number of prominent people have been talking about Fannie Mae and Freddie Mac and things that needed to be done. If you want to see some great evidence of this just got to www.youtube.com and type in Fannie Mae. The on camera evidence is compelling to say the least.

I have been saying for a long time that the mortgage companies were digging themselves into a giant hole with 100% financing - no down and no doc loans - and other similar programs. I admit that some people have benefited from these programs but for the most part they have simply enabled those who shouldn't buy a home to be able to do so and now we are seeing the results. My last 3 closings have been short sales/foreclosures and I'm pretty sure that I will have a lot more of them before we get back to a more "normal" market.

I don't know what the future holds for financing and the housing market so if you have a good crystal ball, let me know. I do know that along the Wasatch Front, homes are being bought and sold every day and life goes on, so a lot of people aren't just hanging on waiting to see what happens.

National Public Lands Day

This Saturday (actually tomorrow) September 27th is National Public Lands Day. Many clubs, groups and organizations will be involved in projects all over Utah and the rest of the country to help the Forest Service and other government entities with clean up, fence building and other needed maintenance activities.

I belong to the Lone Peak 4 Wheelers, a 4 wheel drive club and we will be working with the Utah 4 Wheel Drive Club (U4WDA) and other off road clubs working with the Forest Service up American Fork Canyon on a variety of projects. We will be meeting at Tibble Fork Reservoir at 8:30 AM and get to work about 9:00 AM.

In The News/Real Estate

President Bush signed the Housing and Economic Recovery Act of 2008 today, a bill that will assist an estimated 400,000 homeowners facing foreclosure by allowing them to refinance their current mortgages with a Federal Housing Administration-backed loan. The bill also permanently increases the conforming loan limit to as high as $625,500.
“One of the biggest reasons we’ve seen a slowdown in home sales is because buyers are having difficulty obtaining mortgage funds. That’s why this bill is significant: It increases the access to affordable, stable mortgages,” said Chris Sloan, president-elect of the Utah Association of REALTORS®.
The new loan limits for Fannie Mae and Freddie Mac are the greater of either $417,000 or 115 percent of an area’s median home price, up to $625,500. The new FHA loan limit will be the greater of $271,050 or 115 percent of an area’s median home price, up to $625,500. Both new loan limits will be effective at the expiration of the economic stimulus limits on December 31, 2008.
Another part of the bill includes a temporary tax credit for first-time home buyers of up to $7,500 for those who purchase between April 9, 2008, and July 1, 2009. This credit is available to anyone buying their first house or anyone who has not owned in three years. Single taxpayers with incomes up to $75,000 and married couples with incomes up to $150,000 qualify for the full credit. A home is eligible for the credit if it is any residence that will be used as a primary residence (single-family, townhouse, condo, etc.)
For more detailed information about the bill and the tax credit, visit http://www.realtor.org/ or click here. Another Web site, http://www.federalhousingtaxcredit.com/, also provides information about the tax credit.

More News

Breaking Real Estate News..May Home Sales Data…
Posted: 29 Jul 2008 12:36 PM CDT
Home prices in 20 U.S. metropolitan areas fell at a faster pace in May, and consumer confidence stayed this month near the lowest level since 1992, posing a threat to household spending.
The S&P/Case-Shiller home-price index dropped 15.8 percent from a year earlier, the biggest decline since records began in 2001, after falling 15.2 percent in April. The Conference Board’s confidence index rose to 51.9, from 51 in June.
Home prices have fallen every month since January last year, eroding household wealth at a time when consumers are trying to cope with record fuel costs and the credit crunch.
Sales Headwinds
Stricter loan rules, rising mortgage rates and an increase in foreclosures are making it more difficult for prospective buyers to get financing, hurting home sales. The prolonged real- estate slump, along with higher fuel prices and a shrinking job market, is weighing on consumers and the economy.
Home prices decreased 0.9 percent in May from the prior month after declining 1 percent in April, the report showed. The figures aren’t adjusted for seasonal effects so economists prefer to focus on year-over-year changes instead of month to month.
The index was forecast to fall 16 percent from a year earlier, after a previously reported 15.3 percent drop in the 12 months ended in April, according to the median forecast of 25 economists surveyed by Bloomberg News. Estimates ranged from declines of 14.8 percent to 17 percent.
Year-End Forecast
“We’re going to see continued declines in house prices, much more so in problem areas,” said Mickey Levy, chief economist at Bank of America Corp. in an interview with Bloomberg Television in New York. “By year-end, the inventories will be low enough, particularly in new homes, that we’ll begin to see light at the end of the tunnel.”
“Regional patterns stand out,” David Blitzer, chairman of the index committee at S&P, said in a statement. The areas that once boomed, such as Miami and Las Vegas, are now showing the biggest declines, he said. Areas in the Midwest, including Detroit and Cleveland, are showing signs of economic stress, according to Blitzer.
Price Measures
The pickup in the pace of house-price decreases from last year contrasts with other private and government measures that indicated values were declining at a slower pace.
The median price of existing houses fell 6.1 percent in June from the same month last year, compared with an 8.5 percent decrease registered in the 12 months ended in April, according a report from the National Association of Realtors last week.
Prices of new homes, as reported by the Commerce Department, dropped 2 percent last month from June 2007. In the year ended in March, the decrease was 13 percent, the biggest in almost four decades.
Residential construction companies are struggling to stay profitable. Pulte Homes Inc., the third-largest U.S. homebuilder, reported a second-quarter loss of $158.4 million last week.
“We see no immediate signs of this housing downturn relenting,” Pulte Chief Executive Officer Richard Dugas said in a conference call with analysts.

Spring Real Estate Tips

Here is some great info from my buddy Christian Higby with Old Republic Home Warranty:


SPRING MAINTENANCE TIPS:

Outside the House - Up High
Inspect the roof for damaged, loose or blistered shingles. Have damaged shingles replaced if they're on less than 20% of the roof. Reroof if damaged shingles cover more than 20% of the roof.
Examine flashing around chimneys, vents, and roof edges.
Remove debris from gutters and downspouts and patch any holes. Make sure the downspouts direct water at least five feet away from your foundation.
Examine fascia or soffit boards. Replace if they are soft or rotting because they may allow rain into your attic.
Trim branches and shrubs that are touching your home which can provide a pathway for bugs or excess moisture to enter.
Remove dead branches that may fall on your home. Snap!

Outside The House - Down Low
Clean up fallen limbs, branches and other debris around the home to discourage wood-eating insects. Termites = bad.
Clean out basement window wells.
Inspect/replace caulk on windows, doors, and other penetrations, such as dryer vents and cable wire holes. Inspect and repair caulking where two different materials meet, for example where wood siding joins the foundation's wall or at inside corners.
Touch up any exterior surfaces that need paint before they deteriorate further. Inspect bricks and concrete blocks for cracked mortar or loose joints.
Inspect grading around the house to be sure water drains away from the foundation on all sides.
Make sure that your lawn sprinkler heads do not spray the walls of the house. Water = bad.
Check your inside and outside foundation walls and piers for termite tubes and damaged wood.
Information courtesy of PATH. For more information and resources, go to www.pathnet.org
Please share this with your clients and friends. You could make someone's day.

Real Estate News

Check out these bits of real estate news for the Wasatch Front -

Forbes says Salt Lake is practically recession-proof:

The nation may be facing a number of economic challenges, but in cities like Salt Lake things are just fine, says a new article from Forbes magazine. Salt Lake City came in at No. 6 on Forbes’s “10 Recession-Proof Cities” list because the city has one of the lowest unemployment rates in the country (even though the rate has seen a rise) and the state is still creating jobs. Forbes also factored in a report from the U.S. Conference of Mayors that projected that “Salt Lake City would be one of the few large cities in the country not to suffer a decline in gross metropolitan product from the mortgage crisis.”
To calculate the cities with the healthiest economies, Forbes analyzed key measures in the country’s 50 largest metros: unemployment and job growth from the Bureau of Labor Statistics for the year ending February 2008, the most recent home price data from the National Association of REALTORS®, and information on gross metropolitan product growth from the U.S. Conference of Mayors.

Decline in Utah housing sales slows to 11 percent

Home and condo sales in Utah may have been down nearly 11 percent in the first quarter of 2008 compared to the previous quarter, but new statistics from the Utah Association of REALTORS® indicate the state may begin to see some stabilization in its home sales.
The statewide 10.86 percent quarter-to-quarter drop in home sales is the lowest decrease since the second quarter of last year — before stricter lending standards made it more difficult for buyers to obtain home loans. After the credit crunch, home sales in Utah dropped by nearly 25 percent in the third quarter while fourth quarter 2007 figures showed a quarterly sales decrease of about 33 percent.
Home and condo prices in Utah averaged $272,503 in the first quarter of 2008, down about 2.5 percent from the fourth quarter. Without Park City figures, which tend to inflate the numbers, the average price was $243,409, about flat from the previous quarter.
Although prices were up in a number of areas around the state, some of the best news came out of Washington County where home and condo prices saw respectable quarterly increases of about 4 and 5 percent after falling for much of 2007.

Real Estate News

Home sales along the Wasatch Front were up by 6% comparing March to February of this year. We still have interest rates under 6% on 30 year fixed rate loans and all kinds of reports across the country touting the Utah real estate market as among the best in the nation. I heard yesterday from a very good source that the Las Vegas market is making a big comeback and I think that will have a positive effect on our market.

I have a very good starter home in north east Orem with 3 bedrooms and 2 baths and over 2000 square feet for $194,911. This home has a fully finished basement with a large "L" shaped family room with wood burning stove and a secluded yard. Also a 1 car carport with parking on the side. If you know of someone looking, have them call J.B. at 801-319-4141.

Here's another piece of real estate news I found to be very interesting:

Forbes magazine names Salt Lake No. 3 city for home sellers

Salt Lake is the third-best city for selling a house, says a new Forbes analysis. In its “Best Cities for Home Sellers” report, Forbes said that high job growth combined with declining inventory and a sharp drop in new construction — “despite not having an overwhelming inventory glut” — make Salt Lake City a good market for sellers. Other top markets for sellers include San Jose (No. 1) and San Francisco (No. 2). The report’s findings come from a study of the country’s 40 largest metro areas that analyzed unsold vacancy rates, construction starts, job growth and the degree to which the new conforming loan limits would affect financing availability in the city.

Red Ledges - Heber

I had the opportunity to tour the new Red Ledges development in Heber City this week with other agents from my office. It is a spectacular new residential development with a Jack Nicklaus Signature Golf Course as the centerpiece. The community well eventually have about 1200 residences and will incude a Jim McLean Golf School, a Cliff Drysdale Tennis School, a park and a commercial area. The lion's share of the property will be preserved as open space. The views are spectacular and the quality of the work being done there now is incomparable. Building lots start at around $330,000 and go up from there depending on size and location. For more inormation - maps, etc. email me and I will get you the info.

For all of you home owners in Utah, there is something going on right now that you need to be aware of. My good friend Harry Rodas of Century 21 Bushnell in Orem emailed me concerning the warranties contained in the current real estate purchase contract we use in Utah.

Here is what Harry said:

There is a formal recommendation being made to the Utah Division of Real Estate that is a mistake. I am asking for your help in stopping a damaging change to the Utah Real Estate Purchase Contract.

The Short version is the proposal seeks to remove some of the warranties in the purchase contract that protect a buyer of a home in Utah. If the proposal is implemented, buyers would have no assurance that the home as a roof or foundation free of leaks, and no guarantee that the furnace works etc.

Please keep in mind that the option to sell a home in “As-Is” condition without warranties HAS ALWAYS BEEN AN OPTION!

If you want very detailed information on the issue, please read my blog post at the following link: http://hrodas.com/wordpress/?p=472

PLEASE contact the Division of Real estate either by email or a letter (preferably both) and tell them that you want the warranties in section 10.2 of the Utah Real Estate Purchase Contract to remain intact as they now are. Please have an email and/or letter (both is preferred) from every adult member of your household. Please pass this on to other friends, family, REALTORS etc.

Mailing Address:

Utah Division of Real Estate
PO Box 146711
Salt Lake City, UT 84114-6711

Email: realestate@utah.gov

Division of Real Estate Contact info can also be found at http://realestate.utah.gov/

Please take the time to do this!

I thank Harry for helping to keep us in the know and encourage all of you to get involved. Don't be the Silent Majority. Speak up now and help to preserve and protect private property rights.

Real Estate News

In our sales meeting this morning, we had a good article about the market with stats from the Salt Lake County Board of Realtors and the Utah County Association of Realtors.

Utah Business Magazine reports a 19% jump in home and condo sales for February 2008 in Salt Lake County. It bears noting that the 19% jump was up from January of 2008 but those February numbers were still down 35% from February of 2007. There were 744 transactions with a median sales price of $225,000 which is a very good not over-inflated price. Also, that jump follows 3 months of decline.

Utah County has total home and condo sales of 290 transactions for a 4% jump from January with a median sales price of $205,000.

Overall, inventory is climbing slightly as it always does this time of year, but our office inventory is down a bit. We are so good at selling our own inventory that we are having a tough time increasing our inventory. We talked quite a bit about expired listings and for sale by owners being our best ways to increase inventory, especially as we are so good at getting them sold!!

Almost Golf

We attempted to comtinue our planned 2 day golf break, but the weather just wasn't cooperating. It was very windy and cold and although we didn't see the forecasted snow, we opted not to freeze again like we did yesterday, so we spent a few hours playing cards and gave it up.

Most of the day was spent with spring yard work - pruning trees - and transplanting tomato and pepper plants. I ran out of daylight so the trees aren't finished, but I did come in and get the transplanting done.

I also showed my little $129,911 north Orem listing to some kids but I don't think they liked it much. It's really only 2 bedrooms and they have 3 little boys. I was supposed to have some other showings today on that one and my other Orem listing. I actually got a call on my 1/2 acre Mapleton lot - that was a shocker!! That is really a great building lot but it is priced at $199,911 and I haven't had any activity on it at all.

Golf and real estate

Took the day off today and played golf at Thanksgiving Point with some friends of mine. We had a great day and a lot of fun but it was stinking cold. The low temp yesterday was 29 so we got to play 18 holes with a cart for $29 each. It was very windy and that course is really a monster in the wind plus it was the first round of the year for all but one of us.

The real estate market seems to be steadily improving - I've had 4-5 calls today on my 2 Orem listings. I'm suppose to have a total of 5 showings tomorrow. One of them is 2 bedroom 1 bath for $129,911 - it is the only house for sale in Orem for under $130,000. The other one is 3 bedrooms and 2 baths for $194,911. Both of them are being showing tomorrow.

I am writing this entry from my wife's computer but I thought I would try to put some more Jeep Safari pictures on. We will soon see if it works!!

New Agent Interview

Gordon McDonald and I interviewed a new agent prospect today. I had called her almost 6 months ago from the Stringham Real Estate School list and we had exchanged a couple of emails. She finished school and has passed the State test and is in the process of deciding what company to go to work for. It's always fun to explain our one-on-one training program and how effective it is - 92% retention over 15 years - that's dang good when you know the state loses almost 90%. She is anxious to get started and is going to make a decision in the next few days.

Had a flat tire on my Jeep today - changing a tire on a "lifted" vehicle is always a treat. I'm about ready for new tires so I guess the Jeep is telling me it's about time!! I need to put the new springs I have on it first because I am going for a 31 inch tire to a 33 inch tire and I need a little more clearance first. More on that later.

Groundbreaking and health

I

had the opportunity to attend the groundbreaking ceremony for the new Utah County Association of Realtors building on west Center Street in Orem this morning. It was a lot of fun and they had a great turn out. The speakers were Taylor Oldroyd, who is the CEO of the association (and my cousin!), Kenny Parcell who is the president of the association this year, Jerry Washburn (a shirt-tail cousin) and the Mayor of Orem and Gary Herbert who is the lieutenant governor. Gary and I have been friends for over 30 years and he mentioned me by name a couple of times in his talk. They had 10 gold shovels and 10 hard hats and had a couple of different groups of 10 do the digging and get their pictures taken. They also got Kenny and Taylor on a giant Caterpillar Track-Hoe and let them dig a little. A bunch of title companies and other affiliates were there with food, treats, etc. The weather cooperated and a great time was had by all!!

I went to lunch with Rob Wiseman, a long time friend of mine, and his son Teldon. They are in the insurance business in Provo and wanted to talk to me about Jeep Safari and this very Blog!! They are thinking about buying an old Jeep Cherokee like mine and building it up to take to Moab. We also talked about various health issues we have and I told them a little about MonaVie, this great Acai berry drink I have been on for about 4 months - more on that later.

We also talked about racquetball - my favorite form of exercise and bicycling - Rob's choice for exercise.

I added a couple of Jeep pics from Moab - I will practice and learn how to do this a little better but this will do for now!

Real Estate News

In Tuesday morning sales meeting, we got some interesting info on interest rates. We were down close to 5 and 1/2% on 30 yr fixed rate, but bonds were in trouble yesterday and the 30 yr fixed rate jumped up to 6% in about 4 hours. That is still a fantastic interest rate for buyers but not quite as good as yesterday. There are so many different factors that effect rates that it is sometimes hard to keep up!!

In other housing news, both listings and sales are up and our Utah market continues to be quite strong. We still haven't seen our usual spring time jump in inventory but there is adequate stock for current buyers to look at. Interestingly enough, income property inventory is down and there is very good demand for duplexes and 4-plexes.

In other news, we talked about title insurance and different policies that are available. Mainly the conversation and information centered around how to get our clients the very best coverage for the best price. Sometimes title companies don't advertise their best price coverage and you won't know about it if you don't ask.

I am currently working on our April calendar, scheduling classes and training for our agents here at McDonald Group GMAC Real Estate. When we host a CE (Continuing Education) class we do invite other agents as well as title and mortgage people who need CE. We hold a class every day at 9:00 AM except Tuesdays when we have our sales meeting. The classes are primarily for new agent licensees to help them get started with their real estate career. However, the lion's share of their training is done one-on-one with me. We do it this way so they get exactly what they need each day to be successful that day in their new career. We know it works because the State of Utah loses close to 90% of their new licensees and we keep over 92% of our new agents in the business, successful and glad they are selling real estate.

New Beginnings

I just finished listening to a book on CDs by J.A. Jance and the heroine had a blog - then I got my new Realtor magazine and it had a bunch of stuff about blogging and I thought I would give it a try.

I just returned from a trip to Moab for Jeep Safari and we had a blast! We did Strike Ravine trail and Fins and Things trail. We had 10 rigs - all members of the Lone Peak 4 Wheelers from Orem. I have a 1994 Jeep Cherokee that has been modified some with plans for a lot more and I am continually amazed at the places it will go.

The real estate market here is Utah is not as good as it has been the last 4-5 years but it is a lot better than other parts of the country. I see things all the time in national publications that say we have the number one market in the country - we like that! So if you are moving to Utah, or wanting a different home in Utah - let's talk.

Since I am new at this blogging thing, I guess that's enough for now - I'm not going to try to do too much.

Jeeps, real estate or your health - if you want to talk - let me hear from you.