leverage

IndyMac has shut its doors, leaving depositors with a very stressful weekend as they try to find out whether their deposits are secured by the FDIC. And, even if they are, how soon before they can get to their money.

And, in the wake of that, there are rumblings that Freddie Mac and Fannie Mae may be next. If that happens, it will be very very difficult to get a mortgage loan for at least a few months. I talked to Aaron Van Trojen (Morgan Financial) two days ago and he said that there would likely be NO stated income loans available by the end of the month.

There is an area about 45 min east of downtown Phoenix called “Queen’s Creek.” A couple of years ago, developers were going crazy building nice houses out there. My first issue with that is that it’s 45 minutes away when the traffic is moving like it should. When it’s not, add another hour or so of commute time each way.

In my opinion, those subdivisions were doomed just because of that. But, I walk to work, so commute is foreign to me anyway. But this has really gotten a lot of local press as one of the “bad examples” of lender and developer irresponsibility and it got me thinking. Let me ask you, is this really such a bad deal?

Hi this is Diane Kennedy. Today is Day 29 of the 30-day Countdown to the release of my new book, The Maui Millionaires™ that I co-wrote the book with David Finkel. The book is now shipping from Amazon, and is scheduled to be released in bookstores on November 3, 2006. I’ll be checking in every day with a Wealth Tip excerpt from the book, written either by myself or by my co-author, David Finkel.