Welcome to SoundBiteBlog.com. This website focuses mainly on providing Real Estate, Mortgage, and Local Area information for consumers and residents in Western Puget Sound, we also share our passions, expertise, and practical insights on Internet marketing and technology, including social media/networking, SEO, website design, and custom web applications. SoundBiteBlog is an award-winning joint venture between Mark Flanders of Pastik Design and Rich Jacobson of Keller William West Sound.

Within the pages of SoundBite is an eclectic collection of articles covering a wide variety of topics we hope you'll find interesting, engaging, and helpful. Rich is committed to relentlessly representing his client's best interests and empowering them to make informed decisions. Mark finally decided what he wanted to do when he grew up and gets excited when the code he's written solves a customer's problem with blinding efficiency!

Where have all the children gone? Two schools to close in Kitsap County

March 11th, 2007 by Mark Flanders

Empty playground equipmentIn an attempt to reduce costs and maximize available space, Central Kitsap School District voted unanimously, in February, to close the district’s two oldest elementary schools and relocate the students of those schools. Tracyton Elementary and Seabeck Elementary will close permanently at the end to the 2007 school year.

The decision to close the schools is based on many facts. The two most significant are:

  • there are 1800 empty seats in elementary schools district-wide and approximately 800 students in the two schools
  • the closures will save the district approximately $1.4 million dollars

The district now must re-align school boundaries to accomodate the changes and co-ordinate the relocation and transportation of the displaced students. Teachers will also be affected. Some teachers will move to new classrooms, others will have changes in class size. The domino effect of the closures will be felt for some time.

Reactions to the decision are of course, varied. While everyone seems to understand the need for the changes, the day-to-day organizational and emotional impact is being felt. Some students are upset, others are casual about changes, and still others are excited to be moving to schools where they have friends.

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The tax man cometh…

March 10th, 2007 by Mark Flanders

Tax time 2007. You’ll either love it or dread it, just like last year. March is disappearing quickly and April 15th is coming fast. If you purchased real estate in 2006 you have an interest deduction this year that will help trim down your tax liability. Yahoo! Reducing what you owe Uncle Sam is always a good thing. But even if you didn’t purchase property this year, there’s some good news. This year you get to file and pay two days late without getting in trouble!

Yes, it’s true. Maybe you already noticed this; I didn’t until yesterday. Take a look at you calendar and you’ll find what I did. April 15th is a Sunday and April 16th is a holiday. A quick visit to the IRS site confirms it. Two extra days to hang on to my money!

mortgage-compass.jpgIf you purchased or sold a piece of real estate in 2006, you have some additional tax deductions for the year. Check with a tax professional for up-to-date information. Here’s a list of items related to your purchase or sale that you should be able to claim as deductions for the year.  

  • Capital gains exclusion
  • Discount Points
  • Energy tax credits  
  • Home-based business deductions
  • Home improvement loan interest
  • Interest charge on a primary mortgage   
  • Moving costs
  • Mortgage interest tax credit (this is a credit, not a deduction)
  • Property taxes
  • Selling costs and capital improvement

If you are a purchaser, you will be able to find all of the allowable items on you HUD 1 Settlement Statement. You should find this in the big stack of papers you received at your closing. If you cannot find it, contact your Loan Officer for a copy. This is not meant to be a comprehensive list, just a reminder. As always, check with a tax professional you trust.

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“Circle the Wagons! The Lenders are Coming!”

March 8th, 2007 by Rich Jacobson
Friendly Fire is a series of articles with one topic and two viewpoints. Sparky has all the usual hangups of a Realtor® and Buckwheat has all the usual attitudes of a Loan Officer. These two viewpoints are often at odds with each other which tends to create a lively debate. These articles are co-authored by Buckwheat and Sparky.

Sparky Sounds Off

circle-the-wagons.jpgOkay, Buckwheat! Why is it that whenever the market starts to slowdown to any great degree, mortgage lenders literally start crawling out of the woodwork? Seriously, when the market is good and moving briskly, you never see one. They don’t return your phone calls. They have ‘enough’ business, thank you very much. But as soon as the market takes a turn for the worse, Realtors® are suddenly inundated with solicitations, and you’re everyone’s ‘best’ buddy! What gives?


Buckwheat Responds

The short answer? Desperation and Enthusiasm!

When the market is brisk, Loan Officers, much like Realtors® can be found on every street corner. Kitsap County in particular has seen a huge increase in the number of both Loan Officers and Realtors these last five years. Rising property values and aggressive loan programs have made Loan Officers with little experience, overnight heros. In addition, it’s pretty common for new Loan Officers to be told they need to prospect Realtors® if they want to have long term success. You can probably expect to see a resurgance of the old “Dougnuts & Rate Sheets” type visits from Loan Officers.

Old west bank signRight now as you probably know, sub-prime lenders are disappearing at an alarming rate. The pool of Lenders is shrinking while the pool of buyers is increasing. The pool of buyers is increasing because fewer of them qualify for mortgage loans. When home prices rise, fewer buyers can qualify to buy them. Fewer loan closings equal desperation in Loan Officers.

The enthusiasm comes from a situation Lender Account Executives create. Often, Account Execs visit Loan Officers and tell them all about the newest and greatest Loan Program that is available. Younger Loan Officers, believing the hype, get excited about helping buyers into homes. And they want to tell everyone about it. They want to share their excitement. Here’s and example for you. Last week I heard this pitch in the office next to mine: “Your borrower’s credit score is too low to qualify? Don’t worry about it! We have a program that allows you to use the spouse’s credit score instead! Even if the spouse doesn’t work.” Needless to say, that Loan Officer was brimming with enthusiasm and grabbed for the phone as soon as the Account Exec left the office.

Let me ask you a similar question. Why is it that Realtors® treat Loan Officers like the mold on the cheese (something to be pared away when nobody is looking, so you can get to the useful stuff in the middle) when times are easy, and like the Loan Officer’s best friend when times are tough? I’ve had more lunch offers in the last 6 months than I received in the previous 3 years combined. At each lunch, I was eventually presented with a difficult loan scenario and asked if I could help. Realtors® know that some loans are very difficult and others are very easy. Do they really think that offering the promise of a string of tough loans is going to excite a Loan Officer? “Hey Mark, you can’t have any of my clean files because those go to my regular Loan Officer, but how about I send you all of my hard ones from now on?” Don’t they understand that their ‘regular’ Loan Officer isn’t getting the job done? Their ‘regular’ Loan Officer is just cherry picking!

By the way, do you want to be my buddy?


Sparky Fires Back

Boy! Can we just elect to take the ‘short‘ answer please? Sheesh, talk about being a little ‘chatty!’ How many pots of coffee did you drink this morning?

warrior-chief.jpgFirst off, I personally don’t consider any Loan Officer to be ‘mold’ on the cheese (although a few have acutally smelled that way). However, I do place a tremendous value in my lending partners. Like us Realtors®, a good, knowledgeable, ethical, hard-working Loan Officer is worth their weight in gold. Whenever I recommend a Loan Officer, I want someone to whom I can fully entrust the care and service of my clients. I want someone who does business like I do – someone who embraces, with the same fervency, the relentless pursuit of their client’s best interests,  and possesses high ethics and integrity in the marketplace. Great rates and creative programs are secondary. Be honest, straight-foward, communicate well, treat people fairly and ethically, and you’ll never be ‘moldy’ cheese in my book. (Boy, how’s that for being ‘chatty?’)

Back on topic:  I guess my point is, where were all these Loan Officers when things were going so good? Was my business and support not important or wanted or necessary for them then? Why all of sudden have I become their ‘Best’ buddy? Why do I find piles of notepads, pens, and cute little greeting cards littering my inbox? Why are they calling me like some long lost relative who they just can’t wait to see again? At least you’re getting a free lunch!

(I will concede, however slightly, that there are times when Realtors® are faced with a challenging transaction, and desperately need a ‘miracle maker’ to save the deal. Loan Officers who eventually accomplish the impossible and ’make’ it happen should be rewarded with future opportunities, not just the tough loans.)

Define ‘Buddy’


 

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