Today I attended a luncheon for the Independent Broker’s Network (IBN) in Terra Linda at McInnis Park Golf Course. The meeting specializes in networking for independent professionals in the Real Estate and Mortgage Industries. Yet the meeting draws a large number of employees from established companies as well. It is a rather eclectic group representative of Marin County one of the wealthiest counties in the country.
Today’s keynote speaker was Allan Garber. Allen, a loan officer at All California Mortgage in Larkspur, gave his state of the mortgage industry address. Allan sighted rampant fraud and greed as the major factors behind the current collapse in the Sub Prime market.
Included in Allan’s speech was the history behind today’s problems. It began with the shift of money from the Sept 11 collapsing stock market in 2001 to the safe but low yield bond market. Fund managers were compelled to search for ways to increase investor returns. The answer, as we all know now, was to open up underwriting guidelines creating opportunity for fraud, greed, and risk. Once the real estate market slowed down (2006), the problems with default began to arrive in force.
IBN President Frank Soda presented Q1 results for Marin County Real Estate sales. In comparison with 2006 Q1 numbers, Q1 2007 was considered a success. There were only 3 fewer homes sold this year as compared to last year despite the bubble rhetoric adopted by every major news agency. The best news was that median home prices seemed to increase despite the fear created by the media.
Frank also touched on fraud by playing the following video found on the Virginia Board of Realtors web site: http://www.tedtruitt.com/. Great job by Frank Soda.
The following list is made up of my contacts and new networking partners:
Dan Carrico Appraiser; Christy Egan of Manning Mortgage Associates; Stacy Aquilino ReMax of Southern Marin; Dan Frost Wells Fargo Home Mortgage; Lisa Williams Oceanic Realty; and Rosemary O’Connor Fidelity National Title. Thanks to all!