Social Media Jargon: 15 Terms You Should Know

New words, phrases, and acronyms are constantly popping up across social networks. You can't afford to ignore social media, so here are 15 terms you might find useful to know. 1. Circles. These are the community groups users put together on Google+. 2. Connections. This is the online version of your business network, made up of the people you decide to "connect" with on LinkedIn. When you're a "connection" in someone's LinkedIn network, you can view their "full," profile instead of their "limited," one and send them private messages and updates. 3. Geotagging. This is adding a geographic ID to let others know your location. Found on smart phone apps for social media sites. 4. Hashtag. A hashtag begins with a number sign followed by a word or string of words with no spaces. On Twitter, and now Facebook, this creates a hyperlink that when clicked on, performs a search for that word or phrase on the social network. 5. Meme. Rhymes with "seem." Short for "mimicked theme." A meme is an idea, style, or action that spreads virally, often as mimicry, over the Internet. It may be an image, video, hashtag, or hyperlink. 6. Pinning. This is how you show you like content on Pinterest. Once content is pinned, it appears on your own Pinboard. 7. RSS. Often called Really Simple Syndication, but actually stands for Rich Site Summary. A web standard for content delivery for everything from blog posts and news stories to images and videos. Lets you stay current with information sources without having to browse all their content. 8. Social Graph. A visual that shows all the connections an individual has within a social network. 9. Social Media Optimization (SMO). SMO is the process of checking that all the content you've created or curated is available to share across your key social media and networking sites. Types of media to check include RSS feeds, social news and bookmarking sites, as well as the social networks, video, and blogging sites you use. 10. Tag. A keyword or phrase assigned to a piece of information, such as a blog, bookmark, or digital image. It helps describe the item or topic and enables it to be found again through a browse or search. 11. Tumblr. Another blogging website and social platform. Lets users share content and connect based on their blog entries, as well as "follow" other users' blogs. 12. Tweets, Retweets. Tweets are posts on Twitter, limited to 140 characters. When a user tweets another's tweet, it's called a retweet. Credit still goes to the original user and the tweet appears as RT in the timelines of all the retweeter's followers. 13. Twebinar. This is a live podcast or audio broadcast that uses Twitter as the backchannel for discussion. 14. Viral. This describes anything that is rapidly shared across the Internet through social media, email, and video sharing websites. 15. Widget. This is a mini application that performs a specific function connecting a user to the Internet. Social media's influence now reaches way beyond teenagers glued to their smart phones. Business professionals don't need to spend tons of time on every social network, but it makes sense to stay up to speed. Here's to your continued success, as you keep putting together your best year ever.... Enjoy a great month!

Inside Lending Newsletter - Market Update

Market Update QUOTE OF THE WEEK... "Do not even listen, only wait." --Franz Kafka, novelist and short story writer INFO THAT HITS US WHERE WE LIVE... The early 20th century author of nightmarish tales certainly had the best advice for getting through the scares coming out of Washington last week. Much of the housing "news" consisted of fearful warnings about what might happen to the real estate recovery if the debt limit weren't raised or the partial government shutdown continued. These nightmares proved not worth listening to, as an agreement came, although we had to wait until the very last minute. We'll still have to wait for the reports on September Housing Starts and Building Permits, delayed by the government shutdown. Real housing news, when it appeared, wasn't so bad. The day things went back to normal, Fannie Mae's monthly outlook said the shutdown and debt ceiling debates seem to have had a "minimal effect" on housing. They pointed out rising home prices may actually help cushion any negative economic impacts by raising household net worth. People are clearly still buying, as Ellie Mae reported that purchase mortgages made up 58% of the closed loans in September. Here's a great link to pass on to prospects: To view, click here. BUSINESS TIP OF THE WEEK... To make the day more productive, prioritize your tasks. Ask yourself first thing: "What single accomplishment will let me sleep better tonight?" Review of Last Week THE CAN IS KICKED... A half hour into the day the Treasury said it would hit its borrowing limit, the President signed a bill approved by both houses of Congress that raises the debt ceiling through February 7 and funds the government through January 15. Nothing was resolved beyond those dates, so this is what's known in economic parlance as "kicking the can down the road." Nonetheless, stocks ended the week solidly ahead, with the S&P 500 posting its best weekly gain since mid-July. Were investors celebrating the reopening of some non-essential government functions and the fact that Treasury wouldn't default on the debt? Not exactly. Some observers felt the stock market advance came on the assumption that the Fed would continue its $85 billion a month of bond purchases to keep interest rates low and stimulate the economy. That's because the future remains uncertain: the budget standoff wasn't resolved, it was merely postponed. In any case, the Fed would find it difficult to start tapering bond buying at this month's meeting, since many of the reports it uses to monitor the economy didn't come out during the shutdown. We did have weekly Initial Unemployment Claims dipping to 358,000. The week ended with the Dow up 1.1%, to 15400; the S&P 500 up 2.4%, to 1745; and the Nasdaq up 3.2%, to 3914. Once the possibility of default evaporated, investors flocked to the safe haven of bonds, made even more attractive by the political shenanigans. The FNMA 3.5% bond we watch ended the week up .97, at $102.00. For the week ending October 17, Freddie Mac's Primary Mortgage Market Survey reported national average mortgage rates edging higher as we approached the debt limit deadline. Remember, mortgage rates can be extremely volatile, so check with your mortgage professional for up to the minute information. DID YOU KNOW?... The Wall Street Journal reports that with today's home prices and mortgage rates, homes are more affordable now than at any time between 1989 and late 2008. This Week’s Forecast EXISTING HOMES SALES SLOW, NEW HOMES SALES GROW, SEPTEMBER ADDS JOBS... Analysts predict Existing Home Sales will slow a bit for September, but still stay well above the 5 million unit annual rate. The New Home Sales report for that month may be delayed but is forecast up a tad. The September Employment Report, delayed since October 4, is expected on Tuesday to show jobs inching up, though still below 200,000 added payrolls for the month. This should not be enough to push the Unemployment Rate below 7.3%.

Important FHA Changes

FHA has made changes to how Collections, Charge Offs, Judgments and Disputed Accounts are handled. These changes are effective as of October 15th, 2013. Please see below a summary of the FHA Mortgagee letters 2013-24 and 2013-25 and if you have any questions please contact me. EFFECTIVE DATE • These new rules are applicable for FHA case numbers issued on and after October 15, 2013 COLLECTIONS AND/OR CHARGE OFF ACCOUNTS • Medical collections and/or charge offs are excluded from this guidance. • A letter of explanation from the borrower(s) is: - Not required for loans receiving an approved/eligible from FHA Total Scorecard (DU). - Is required for all manually underwritten loans. In addition to the letter of explanation, the borrower(s) must provide supporting documentation that provides the DE underwriter with evidence that the collection account was not the result of the borrower’s disregard for financial obligation and/or inability to manage debt. • Payment plan - Must be considered if the aggregate balance of all outstanding collections is equal to or greater than $2000. - Considered for both manual underwrites and loans receiving a FHA Total Scorecard (DU) A/E decision. o Medical collections are EXCLUDED from this aggregate. o Unless excluded by State law, the collection accounts of a non-purchasing spouse in a community property State are INCLUDED in this aggregate. - One of the following actions MUST be taken if the aggregate from all borrowers is $2000 or higher. (Note: If borrower A total is $1500 and borrower B total is $600 the sum is over $2000 and therefore the guidance applies.) o Payment in full at or prior to closing (with the source of funds properly verified) o If a payment plan has been made with creditor, include the agreed upon amount in the DTI. o If a payment plan has not been made, 5% of the balance must be included in DTI. JUDGMENTS • Applies to all loans, whether approved by Total Scorecard (DU) or manually underwritten. • All judgments (including medical) must be paid in full at or prior to closing. - An exception may be given if the borrower has entered into an agreement with the creditor. Full documentation of the payment agreement required AND a minimum of 3 months of scheduled payments have been made. Borrowers may NOT prepay the scheduled payments in order to satisfy the 3 month requirement. • Payments must be included in the DTI. • Unless exempt by State law, the judgments of a non-purchasing spouse, in a community property State, included in this guidance. DISPUTED ACCOUNTS - DEROGATORY INFORMATION ON THE REPORT • This category is used to determine if a manual downgrade to a loan is required, if the loan is approved by Total Scorecard (DU) and there are derogatory disputed items on the borrower’s credit report. • Derogatory disputed information is defined as: - Disputed collection accounts - OR - Disputed charge off accounts - OR - Disputed accounts with late payments in the last 24 months • Excluded from the calculation are: - Disputed medical accounts. - Accounts that are the result of identity theft; credit card theft and/or unauthorized use. However, there must be appropriate documentation, such as a police report, to substantiate the theft and/or unauthorized use claim. If proper documentation cannot be obtained, then the accounts are included in the calculation. • Cumulative outstanding balances from all borrowers are $1,000 or higher the file must be downgraded to a “Refer”. (Note: If borrower A total is $500 and borrower B total is $600 the sum is over $1000 and therefore the guidance applies.) - The DE underwriter will then consider this derogatory disputed information in the credit analysis as a manual underwrite. - If the disputed information is isolated and the overall credit profile of the borrower is acceptable, the DE underwriter may leave the file with an open dispute. - If the disputed information is not isolated and/or the overall credit profile of the borrower is not acceptable, the DE underwrite may require that the dispute be satisfactorily resolved before the loan can be closed. • Cumulative outstanding balances from all borrowers are $999 or less, a downgrade is NOT required. DISPUTED ACCOUNTS - NON DEROGATORY INFORMATION ON THE REPORT • Non-Derogatory disputed information is defined as: - Disputed accounts with zero balance - Disputed accounts that are current and paid as agreed - Disputed accounts with late payments aged 24 months or longer • Non-derogatory disputed accounts do NOT require a manual downgrade. • The DE underwriter IS required to consider the disputed accounts and the potential impact to the borrower’s ability to repay the loan, including the impact to the DTI.

6 good reasons now is a very good time to buy a home — PLUS 8 ways to keep teens safe online

If you've been pondering a home purchase, there are some good reasons why now might be a great time to proceed. 1. Home prices have turned the corner. Home price trends vary by market; however, nationally, on average, home prices are rebounding. Although no one can predict the future, homes prices appear to be heading up. 2. Homes are very affordable. Homes are still very affordable relative to household incomes. This means you can buy more house for the money now, than you could in less affordable times. 3. Mortgage rates are near historical lows. Mortgage rates inched up recently, but they're still near historical lows. 4. Buying remains cheaper than renting. A 2012 study found buying a home is 44% cheaper than renting in the 100 largest metros. Even with this year's mortgage rates and home prices, there is still a significant cost advantage to buying versus renting. 5. Fewer house flippers to compete with. As home prices recover, house flippers leave the market. These are investors looking to buy a house at a rock bottom price and then quickly sell, or flip, it. They're tough to compete with because they often offer sellers cash deals. 6. More inventory to choose from. Fewer house flippers can mean there's more inventory to choose from and less pressure to close a deal because of other pending offers. Again, the situation varies from market to market, but you may find there are more homes to see and less pressure to buy in the neighborhoods where you're looking. 8 TIPS TO PROTECT TEENS ONLINE The Internet is a great place for information and communication, but it's also a source of worry for parents with teens. Dangers from predators lurk online. Plus, teens often don't realize that the comments, photos, and videos they post can later create problems. Here are some steps to take: 1. Have a family "tech talk." Tell your kids about online dangers, including cyberbullying, overexposure on social networks, and inappropriate content. Voice your concerns and establish some rules. The basic one, "If you wouldn't say it, do it, or watch it with me in the room, it's not okay." 2. Activate parental controls. Most computers and mobile devices come with parental control settings, plus there are apps you can download and parental control settings on sites like Netflix, YouTube, and iTunes. 3. Friend your kids on Facebook, follow them on Twitter. Let them know you're seeing their posts. Make sure only their friends can see what they've put on Facebook. Remind them that tweets live in cyberspace forever. Relate some of the horror stories that have happened to kids on social media. 4. No sleeping with phones, tablets, or laptops. At night all portable devices belong plugged into a power strip or charging station in a public place, such as the kitchen. 5. Keep desktop computers out in public. Never install a desktop in a child's bedroom. Keep the monitor in plain sight in the family room, living room, den or other well-trafficked part of the house. 6. Know all their passwords. Get your kid's passwords for email, social media accounts, and all other sites they visit. If they balk, explain that when you let them use this technology, they waive any expectation of privacy. This is no different from companies who can monitor all employee activities on the technology they provide. 7. Monitor activities. Check your teen's devices regularly. Monitor social posts, browsing history, emails, and texting. This seems obvious, but many parents don't keep up with what their kids do online, with disastrous results. 8. Be a role model. If you want your kids to use technology wisely, do so yourself. Curtail your own smartphone use. No cell phones or tablets at the dinner table. Institute a weekend family day when all electronic devices are left off. Show kids they can survive just fine without technology. When you're ready to take advantage of today's favorable housing market, we're ready to answer any questions about financing. We can also help with refinancing your existing home or funding home improvements. Please call or email us any time. We're always here for you.... Have a great day! P.S.: In the current recovering housing market, mortgage rates are volatile, but remain at historically attractive levels. If you're thinking about buying or refinancing, it's smart to start the process early. Please call or email us to explore the appealing options available now.

Inside lending newsletter - market update

QUOTE OF THE WEEK... "Life is easy to chronicle, but bewildering to practice." --E.M. Forster, British writer INFO THAT HITS US WHERE WE LIVE... What's easy to chronicle is the continuing gain in home prices. One real estate research firm's index of home prices was up 12.4% year-over-year in August. This index includes distressed sales, which rebounded more, having started at lower levels. But extracting those sales from the measure still puts prices up 11.2% for the year. A second real estate data firm reported national home prices up 10.9% annually in September. An economist from one of the firms predicts, "moderate gains in home prices over the balance of this year." What's bewildering is the federal government shutdown. It hasn't hurt the housing market yet, as mortgage lenders are still taking applications, locking rates, processing, and closing. But home sales could suffer if the shutdown drags on. Bloomberg.com reports that mortgage applications could be held up because lenders won't be able to verify Social Security numbers and access IRS tax transcripts, now common underwriting procedures. They also said the shutdown may delay mortgage-related activities at the Federal Housing Administration (FHA) and the Department of Agriculture. BUSINESS TIP OF THE WEEK... Get to work an hour early. By starting when fewer people are around, you'll avoid distractions and be more efficient. You might even pick up an extra hour for yourself at the end of the day. Review of Last Week SHUTDOWN SENSITIVE... The federal government shut down last Tuesday after politicians were unable to agree on a budget by midnight Monday. This left investors sensitive to the melodrama coming out of Washington, sending stocks up and down. For the week, the Dow and the S&P 500 ended lower, but the Nasdaq posted its fifth straight weekly gain. Things could go on a bit longer, as the budget is being tied to raising the debt ceiling. If that doesn't happen, October 17 is the likely day of a default. Meanwhile, what economic data we got was mixed. The Chicago PMI and the ISM Index showed manufacturing growing a bit stronger than expected. But ISM Services missed its estimate, though still showed expansion. The government shutdown denied us the September Employment Report, but we did get some jobs data. The ADP employment index had a gain of 166,000 private payrolls, which economists say suggests a slight slowing in job growth. Weekly unemployment claims were up by 1,000, but stayed below recession and pre-recession levels and the four-week average fell to 305,000, its lowest level in more than six years. The week ended with the Dow down 1.2%, to 15073; the S&P 500 down 0.1%, to 1691; but the Nasdaq was up 0.7%, to 3808. The government shutdown had mixed impact on bonds, some issues booking modest losses, others posting small gains. The FNMA 3.5% bond we watch ended the week up .01, at $101.25. National average mortgage rates dipped for the third straight week, to their lowest level in more than three months, in Freddie Mac's Primary Mortgage Market Survey for the week ending October 3. Remember, mortgage rates can be extremely volatile, so check with your mortgage professional for up to the minute information. DID YOU KNOW?... A credit bureau reported originations for home purchase loans were up about 30% in the second quarter of this year, indicating a strengthening housing market. >> This Week’s Forecast WHAT THE FED SAID BEFORE LAST MONTH'S SURPRISE... Beyond the Washington distractions, the week's big focus should be Wednesday's release of the FOMC Minutes from the Fed's September 18 meeting. That's when the central bank surprised everyone by announcing they would NOT begin tapering the bond buying they've been doing to support the economy. They simply didn't feel the recovery was strong enough to stop and these Minutes may add some enlightening detail to that decision. This week's economic data should include Retail Sales, predicted to be off for September. Michigan Consumer Sentiment, which took a hit last month, is forecast to be down a bit more in October. However, the Producer Price Index (PPI) is expected to show wholesale price inflation still under control.

Inside Lending Newsletter - Market Update

QUOTE OF THE WEEK... "What is harder than rock, or softer than water? Yet soft water hollows out hard rock. Persevere." --Ovid, Roman poet INFO THAT HITS US WHERE WE LIVE... The Latin bard offers good advice in the wake of last Thursday's Pending Home Sales, down 1.6% for August. Observers said rising interest rates were partially to blame for the dip in this measure of contracts signed but not yet closed on existing homes. But national average mortgage rates have dropped the last two weeks with the Fed's announcement it would continue buying mortgage bonds, which should boost bond prices and keep rates low. Also helping us persevere is the fact Pending Home Sales are still up 5.8% for the year. Further encouragement came from single-family New Home Sales, up 7.9% in August and 12.6% year-over-year. They're now at a 421,000 annual rate, not where they need to be, but rebounding strongly. There were also signs of continued success for home prices. The S&P/Case-Shiller 20-city home price index was up 0.62% in July, its 18th consecutive monthly gain, with all 20 metros ahead. Its 12.39% annual gain was its biggest since early 2006. The FHFA price index of homes financed with conforming loans was up 1% in July, also gaining 18 months in a row, and up 8.8% annually. BUSINESS TIP OF THE WEEK... Understand your customers. When you know their wants and needs top to bottom, you can focus on giving them exactly what they want in a way no one else can. Review of last week: WATCHING THE BUDGET... All week, the budget battle in Washington loomed large over Wall Street. The lack of progress, with the deadline for an agreement just days away, kept investors cautious, sending the Dow and the S&P 500 indexes down for the first time in four weeks, although the tech-heavy Nasdaq showed a miniscule gain. The Senate did pass a bill to avoid government shutdown, but as of Friday, it still needed House approval. The U.S. will also hit its borrowing limit on October 17 unless the debt ceiling is raised. With all this going on, economic data held little sway. That data, as usual, was mixed. Durable Goods Orders were up 0.1% for August, following their drop in July. New Home Sales were up in August but Pending Home Sales were off. The Commerce Department left Q2 GDP, Third Estimate, unchanged, at an underwhelming 2.5% annual growth rate. The Fed's favorite inflation measure, the Core PCE Price index, was up 0.2% in August and well within the Fed's target range, up just 1.2% for the year. But Michigan Consumer Sentiment for September fell to its lowest final reading in five months. The week ended with the Dow down 1.2%, to 15258; the S&P 500 down 1.1%, to 1692; but the Nasdaq was up 0.2%, to 3782. The ongoing Washington budget wrangling drove many investors to the safe haven of bonds and prices continued to rise. The FNMA 3.5% bond we watch ended the week up 1.03, to $101.24. National average mortgage rates fell again in Freddie Mac's Primary Mortgage Market Survey for the week ending September 26. Their chief economist commented, "These low rates should somewhat offset the house price gains... and keep housing affordability elevated." Remember, mortgage rates can be extremely volatile, so check with your mortgage professional for up to the minute information. DID YOU KNOW?... A recent survey by a consumer financial services company reported that the majority of Americans, 55%, are confident that home prices will increase over the next 12 months. This Week’s Forecast MANUFACTURING, JOBS GROPE FORWARD... The continuing story of an economy that's growing but oh so slowly should continue to be told this week. We'll see two key reads on manufacturing in September, the national ISM Index and the Chicago PMI for the Midwest. Both are forecast just over 50, indicating expansion. The ISM Services index is also expected to come in with a growth number, although slightly below August's. The first Friday of the month will feature, as always, the prior month's Employment Report. September Nonfarm Payrolls are predicted to be up a little, although well under 200,000 per month. This should not budge the Unemployment Rate, still above the Fed's 6.5% target.