Weekly Market Forecast

Week of: Monday, May 21, 2007

Present Market Conditions
The Dow Jones Industrials ended the week on an all-time high. With investors focusing on blue-chip mergers and acquisitions, the buying fever led to record highs. More good news was reported last week as the Labor Department announced that jobless claims fell for the fifth straight week. The number of new filings fell by 5,000 in the week ended May 12th. This brought claims to their lowest level since January. The four-week average, which is considered the better model of underlying trends, fell 12,000 and was the lowest level since the week ended April 2006.

Expectations
The Consumer Price Index rose a smaller-than-expected 0.4 percent in April. Stephen Stanley, Chief Economist for RBS Greenwich Capital Markets, was quoted by MarketWatch as saying, “The moderation in housing costs ‘is one of the most significant developments on the inflation front in a long while.’ If the good news persists, ‘then core inflation will probably turn out better than we have projected’ and the Fed will have ‘more room to ease in the event that we are wrong ‘about the economy bouncing back.”

Guidance
Existing home sales in the first quarter were up 2.4 percent over the fourth quarter of last year. In addition, the average pace of mortgage applications for home purchases over the first two weeks in May was the strongest since January 2006. Conditions for home purchases are ideal. Capitalize on this exceptional season by seeking the assistance of Georgie.

Authored by Georgie Cook
Traverse Mortgage Corporation
(231) 947-9700
(800) 968-3680
georgie@traversemortgage.com

Euro Buying Opportunities

Euro investors looking for real estate buying opportunities should look at NW Michigan where the turquoise waters remind you of the Islands and prices have slipped to historic lows in all categories of property.

If you are a Euro investor looking for a large commercial project designed to capitalize on the abundance of local recreational opportunities, invest in a vineyard, build a marina, build residential condos or build a commercial office building then NW Michigan and the Grand Traverse area should be on your Euro shopping list.

The Grand Traverse area was recently selected as the number two relocation destination in American. We specialize in dealing with International clients and strongly feel that for Euro buyers looking to capitalize on the exchange rate then this is the time and the place.

Authored by

Brent H. Nichols
Principle Associate Broker/Owner

INVESTMENT PROPERTIES

Real estate that is purchased solely to generate income or to be sold when the value has appreciated.

Using this definition is its truest form you are purchasing this property to make money, that’s it! There are no secret gimmicks, formulas, or even a get rich quick scheme, if it was as easy as the real estate billionaires on the infomercials lead you to believe we would all be doing it. Remember these people are getting rich on programs they are “selling” to you.

I really like this “Buy and sell real estate and let the lender carry the tab with no money out of your pocket” believe that one and I have chunks of coal I want to sell you because in time they will turn into diamonds. “I guarantee it”

Lenders will take the risk with you but we’re not going it alone, we will take you with us. In other words, yes, you will have to spend some of your money too. How much depends on credit risk, the lesser the risk the less you have to put down and the better the rate. Ten to twenty percent is generally what you can expect, then it becomes how crafty you can get with the purchase agreement as to how much the seller is willing to participate.

International Realty Plus are highly trained professionals in real estate, they know how to present the deal to the sellers. The experts in how to buy and sell real estate are great at selling books, DVD’s, tapes, kits, and getting you to attend lectures, are they really that good? “Those that can, DO. Those that can’t TEACH” I know I heard that somewhere.

Authored by Guy Cole
Countrywide Home Loans
(231) 941-5767 ext. 226

Weekly Market Forecast

Week of: Monday, April 30, 2007

Present Market Conditions
The Commerce Department reported Friday that the U.S. Gross Domestic Product slowed to 1.3 percent in the first quarter of the year. Growth was led by consumer spending, state and local government spending and business investments. Rising energy prices and a weak housing market slowed growth. In a separate communication, the Labor Department reported employment costs rose 0.8 percent in the same quarter with wages and salaries increasing 3.6 percent in the year ended March 2007.

Expectations
“From my perspective as a monetary policymaker, I would say that, in these circumstances, with heightened risks to both growth and inflation, the best course for policy is watchful waiting,” said Janet Yellen, the president of the San Francisco Fed. Yellen went on to say that she was sticking with her original forecast made at the beginning of the year that growth would pick up in the second half of the year, although she had reduced her forecast somewhat. The FOMC is due to release its next rate setting statement May 9th.

Guidance
Boosted by warmer weather, new home sales increased by 2.6 percent in March and applications for new mortgages rose last week for the first time in six weeks as mortgage rates dropped. This is the critical spring selling season. With these factors coupled with an abundance of homes on the market, it truly is an ideal time to be in “home buying” mode. Capitalize on this exceptional season by seeking the assistance of a qualified, professional Loan Officer (Georgie).

Authored by Georgie Cook
Traverse Mortgage Corporation
(231) 947-9700
(800) 968-3680
georgie@traversemortgage.com