Page 27 of 78

A Must Read for Pitchers – The ABC’s of Pitching

March 18, 2022 / Tom Bonetto

Harvey Dorfman’s book – The Mental ABCs of Pitching: A Handbook for Performance Enhancement – is a “must read” for pitchers. It’s simply a classic.

Picture of Cover of "The Mental ABC's of Pitching" by H.A. Dorfman

My friend Jordan Zimmerman (ZB Velocity) turned me on to Dorfman’s book, as he said it helped him become a mentally strong pitcher and was crucial to his success as a professional pitcher.

Zimmerman still uses it today in his teaching…he told me he keeps going back to his highlighted and dog-eared copy.

Here’s the Amazon link, and I highly recommend that pitchers pick up a copy!

Harvey Dorfman – a Brief Biography

Dorfman was best known as an mental skills/sports psychology coach who worked in education and psychology as a teacher, counselor, coach, and consultant. Prior to starting a business as a mental skills coach. he also wrote for a local paper, taught English, and coached basketball at Burr and Burton Academy in Vermont.

He earned World Series Championship rings by serving as a mental skills coach for the 1989 Oakland A’s and the 1997 Florida Marlins. In 1999, Dorfman became a full-time consultant teaching the skills of sport psychology and staff development for the Scott Boras Corporation, an agency that represents professional baseball players.

Through his books and his teaching experience, he helped thousands of people get more of what they wanted from life through his tough love and clear insight. Some baseball greats give him credit for their success in life as well as in baseball.

Editorial Reviews

When Harvey left our organization to go work for Florida, we didn’t even try to replace him because, quite frankly, his legacy was already throughout our system. All of the players and coaches and staff he touched over the years… had become imbued with his philosophy and approach to the game. They have become Harvey’s disciples.

-SANDY ANDERSON, former President and General Manager, Oakland Athletics, former Executive Vice President, Office of Major League Baseball, currently General Manager, New York Mets.

When you talk to Harv, you get the truth from him, whether you like it or not. He always says, ‘I don’t care about your feelings. I care about your actions.’

-TIM BELCHER, former Major League Pitcher and Pitching Coach.

He’s truly amazing. It’s clear most people don’t want to hear the truth about themselves, but Harv gets in your face, uses a few choice words to get your attention, and he’s got you.

-AL LEITER, former Major League Pitcher, currently Studio Analyst and Commentator.

Harv is absolutely unique. He’s for real – a straight shooter. He gives it to you right on the line, whether you like it or not. Not many people can – or will – do that.

-WALT WEISS, former Major League All-Star Shortstop, currently manager of the Colorado Rockies.

The Upfront Costs of Buying a Home: What Borrowers Can Expect

February 26, 2022 / Tom Bonetto

It’s important that borrowers understand the upfront costs of buying a home and the fees (known as “closing costs”) that go along with the purchase. In some cases, many home buyers only consider the down payment when they are saving for a house and are surprised by the additional upfront costs.

The actual amounts needed for both the down payment and closing costs can vary by a wide margin. It’s important that would-be buyers meet with their mortgage professional first to get an idea of what they might be.

If buyers understand their options and choose their mortgage wisely, they can minimize upfront costs when buying a home.

I’m linking to an article by Erik Marin at The Mortgage Reports – and he does a great job of going through what borrowers can expect in terms of closing costs. I highly recommend that you read the entire article here…

What are the upfront costs of buying a home?

There are several costs that borrowers must pay prior to the closing of a real estate transaction. Collectively, these are called “cash to close.”

Upfront home buying costs include:

Earnest money – 1% of purchase price or more (paid first but goes toward your down payment)

Down payment – This figure can be anywhere from 0% to 20% plus

Closing costs – 2–4% of home loan amount

Prepaid property taxes and home insurance – 6–12 months’ worth

It’s crucial that borrowers have a good idea of the upfront costs associated with buying a home so they can set their expectations realistically and have enough cash on hand to complete the transaction.

woman with credit card pondering while buying online with laptop

Earnest Money

This is also called a ‘good faith deposit’. Earnest money is a wire transfer or personal check paid to the seller and held by the escrow company shortly after your offer is accepted. This money tells the seller that you’re serious about purchasing the property.

Provided the deal goes through, your earnest money will be applied to your down payment at closing.

You can find out more about earnest money here…

Down Payment

Buyers must also make a down payment that counts toward the home purchase price. This payment is made at the close of escrow.

The amount of the down payment varies by loan type. VA and USDA loans can be done with $0 down payment.

man in blue crew neck long sleeve shirt holding wooden home decoration

FHA loans can be done with as little as 3.5%.

Conventional loans vary from 3% down to 20%+.

If you’re not sure how much down payment you need, talk to your mortgage lender about which types of mortgage loans you qualify for and how much cash is required for each one.

You can find out more regarding down payment options here…

Closing Costs

Your down payment is only one of the parts due at the close of escrow, as closing costs must also be considered. These cover all the fees required to set up your mortgage loan, including the lender’s fees, appraisal, inspection, and other third–party service fees.

Borrower’s can estimate paying 2–4% of your loan amount in closing costs.

A few of the major ones include:

Mortgage application, origination, and underwriting fees
Home inspection
Home appraisal
Discount points
Mobile notary fees
Title search and insurance
Recording fees

Soon after you apply for your home loan, the lender will give you a document known as a Loan Estimate. This standardized, three-page document gives you a lot of important information about your new loan.

Page 1 includes your loan amount, mortgage rate, and estimated monthly payments, as well as an estimate of your total closing costs. Page 2 provides an itemized breakdown of the various costs associated with your loan.

You can find out more regarding the specifics on closing costs here…

Prepaid Taxes and Insurance

Prepaid taxes and insurance are usually lumped into closing costs. But it’s helpful to explain them separately so borrowers can better understand these costs and classify them as unique expenses.

At closing, borrowers are required to pay for a year’s worth of homeowners insurance coverage. Lenders will not lend on uninsured property, hence this requirement.

Prepaid taxes are also collected at the time of closing and are estimated from the date of closing to the next tax due date.

Note that you may not have to pay these costs upfront if you put at least 20% down and decide not to open an escrow account for your taxes and insurance.

Getting Started

Interestingly, all home buyers pay essentially the same set of upfront fees…although the actual cost is quite different from one buyer to the next!

The total upfront home buying costs depend on your loan type, location, mortgage lender, mortgage rate, and a number of other factors.

For this reason, reach out to me before you start looking for a home. I will be able to go through how much you can expect for your down payment and closing costs. It would be my pleasure to help you!

Mortgage Rate Update – February 2022

February 14, 2022 / Tom Bonetto

a gift with red ribbon in between red balloons with percentage symbols on a white background

It’s been a wild ride for mortgage rates so far in 2022.

Since January 3^rd, rates are up nearly a full percentage point.

The most recent reading of 7.5% inflation, coupled with the Federal Reserve’s statements of rate hikes and balance sheet reduction have really impacted the bond markets, including mortgage-backed securities and mortgage rates in general.

When you couple that with the Federal Housing Finance Agency increasing it’s mandatory fees for financed 2^nd home transactions and extremely tight housing inventory here in the west, it’s a bit of tough sledding out there right now for would-be borrowers.

To put this in perspective, mortgage rates are now where they were in May of 2019.

Let’s take a look at the reasons…

Inflation and Mortgage Rates

Inflation in the United States picked up its pace once again, accelerating to an annual 7.5 percent in January, the highest rate in 40 years and above analysts’ expectations, according to data released by the Bureau of Labor Statistics (BLS).

Warning Sign Labelled Inflation with Arrow

January’s acceleration in the Consumer Price Index (CPI), which reflects inflation from the perspective of end consumers, marks the eighth straight month of prices rising faster than 5 percent year-over-year and a faster pace than December’s 7.0 percent pace.

Per Tom Ozimek of the Epoch Times: “Not only is January’s annual pace of CPI inflation the highest since February 1982, when it hit 7.6 percent, it is also far above the Federal Reserve’s target of 2 percent as reflected in a separate but related inflation gauge, pressuring policymakers to tighten loose monetary settings to knock some of the wind out of surging prices.”

When inflation rises, the value of mortgage-backed bonds decreases. This causes these bonds to become a less attractive investment. So, interest rates must rise to keep investors buying. Higher rates on mortgage bonds translate to higher consumer mortgage rates…and that’s what we are seeing today.

The Federal Reserve

Markets are in a state of increased nervousness as the Federal Reserve is changing its focus to a much tighter stance. Fed leaders have failed in their assessment that the inflation we are seeing is “transitory”…and are now in panic mode.

The Fed has also announced an end to quantitative easing—the central bank’s program of buying Treasury securities—and has signaled a rapid pivot to quantitative tightening (QT), the sale of Treasury securities from the Fed’s bloated portfolio.

Brian McCarthy of the Epoch Times states, “Markets are right to be unsettled by the Fed’s shift in interest rate policy, which has been effected with all the deftness of a dozing driver yanking the steering wheel, as he awakens to the expanding headlights of an 18-wheeler bearing down on him on a dark country road.”

Essentially, The Federal Reserve has bungled their management of inflation and now have to make severe changes to offset the damage. This brings market instability and increased mortgage rates.

2^nd Homes and Mortgage Rates

Mortgage interest rates and fee structures are increasing for second home financing, thanks to the Federal Housing Finance Agency (FHFA).

The FHFA has announced targeted escalations to Fannie Mae and Freddie Mac’s upfront fees for second home loans.

Picture of Sandra Thompson — FHFA Acting Director Sandra Thompson

In a statement, FHFA Acting Director Sandra Thompson said the fee increases are to provide better access to mortgages for first-time and low-income borrowers, as well as strengthen Fannie Mae’s and Freddie Mac’s balance sheets.

For mortgages on 2nd homes, they will now look nearly identical to investment properties in terms of rates and fees.

Essentially, this appears to be the FHFA’s attempt at revenue redistribution. They will be charging more for 2nd home financing in order to facilitate increased participation in first-time and low-income borrower programs.

You can find out more on this here…

The New Normal

Mortgage rates hit their highest level since before the pandemic began this week. Rates are up over .75% since the beginning of January and up over 1% since their all-time lows last year.

Clipart of Percentage Signs with One Red Percentage Sign

“The normalization of the economy continues as mortgage rates jumped to the highest level since the emergence of the pandemic,” Sam Khater, Freddie Mac’s chief economist, said in the report. “Rate increases are expected to continue due to a strong labor market and high inflation, which likely will have an adverse impact on home buyer demand.”

Essentially, the rates that were seen last year (2.75% for a 30-year fixed mortgage) just aren’t available today…and borrowers need to be willing to accept that fact.

Some Perspective

With that said, today’s mortgage rates are still extremely low relative to historical norms.

Take a look at this chart, showing average mortgage rates since 1972 (courtesy The Mortgage Reports):

Rates in the 3% to 5% range are very, very low compared to those in recent history.

This means that although rates might not be in the 2% range (as they were at times last year), today’s mortgage rates are clearly are advantageous to borrowers.

Would you like to find out more? Contact me to discuss your current situation and how you might be able to take advantage of today’s market. It would be my pleasure to help you!

Athlete Parenting Tips: Maintain a Strong Relationship With Your Child

February 7, 2022 / Tom Bonetto

Chalkboard with "Dont be the Same. Be Better!" Written on It

I’m linking today to an article by Jack Perconte that’s designed specifically for parents of athletes.

It’s absolutely true that parents have the best intentions for their kids. They look for ways to help their young ones reach their full potential with what they believe to be solid advice for their athletes.

However, without realizing it, parents can sometimes use words and actions that hinder their child’s development.

Jack Perconte

After playing major league baseball, Jack Perconte has taught baseball and softball since 1988 and has offered valuable coaching training. He has helped numerous youth players reach their potential, as well as having helped parents and coaches navigate their way through the challenging world of youth sports. Jack is one of the leading authorities in the areas of youth baseball training and coaching training advice.

The Article

Here’s the link to Jack’s article – and for parents of athletes, I highly recommend that you read the entire piece.

A few key takeaways…

Ensure the physical and emotional health of the child is a top priority

Realize that sports are only games and one aspect of many aspects of a child’s life, and not the most important one

Always remember that it is the player’s, not the parents’ career

After a tough game, say, “Hang in there, we’ll figure it out.” We is a powerful word that will let your child know you are there to help, and they do not have to figure out the lack of success on their own.

Always point out little signs of improvement, even if it is not showing up in game results.

More Athlete parenting tips

Give the player a little time to sulk after the game, but do not allow throwing things, swearing or negative comments about themselves or others. Most players will come around after a short time and a good meal. Try to get the player’s mind off his or her performance as soon as possible, and only return to it later if the player brings it up.

Tell the player you believe in them, and they should believe in themselves. Stay positive with the player and have patience. However, do not overdo the praise. They will recognize false praise and tune it out or get upset.

Young Boys Baseball Players Throwing a Ball to Second Base

Watch for exhausted players. Players who play too many games in a day or week become physically and emotionally drained. Overdoing it is more common these days because of the greater emphasis on travel teams. Give the players a few days away from the game to rest and clear their minds.

In Conclusion

There’s so much more in Jack’s article, so please do read it in it’s entirety.

Key Trends in Today’s Real Estate Market

January 31, 2022 / Tom Bonetto

aerial photography of buildings under blue and white sky during golden hour

As we move into 2022, one thing is clear…today’s real estate market is one for the record books.

The exact mix of conditions we have today creates opportunities for both buyers and sellers.

Home values are appreciating at rates we have not seen since the housing boom nearly 15 years ago.

At the same time, there is a general shortage of homes for sale across the nation. This has led to prevalent bidding wars, as homebuyers struggle to purchase a home before prices go even higher.

Let’s take a look at today’s real estate market and how it will affect you as a home buyer (and seller).

4 Main Developments

Home Price Appreciation

Shortage of Available Homes

Purchase Competition and Bidding Battles

Rise in Home Equity

Let’s take a closer look at these 4 factors…

Home Price Appreciation

Over the past year, we have seen incredible home price appreciation throughout the US. According to the most recent Home Price Index (HPI) from CoreLogic, national home prices have increased over 18% year-over-year!

This creates a great opportunity for current homeowners to tap into that equity via a cash-out refinance to make other investments or pay off more expensive consumer debt.

It is not at all unexpected that rising home values are a big part of why real estate remains one of the top investments. For potential sellers, it also means it is a great time to list your house to maximize the return on your investment.

Shortage of Available Homes

In 2021, the number of homes available for sale fell to an all-time low. In recent months, however, inventory levels gradually began to trend up.

According to the latest Monthly Housing Market Trends Report from Realtor.com, newly listed homes have grown by nearly 5%. This isn’t fantastic news for buyers, but the trend is heading in a positive direction.

However, even though we are experiencing small gains in the number of available homes for sale, inventory remains a challenge in most states.

This would still be considered a “seller’s market”, giving current homeowners a good deal of control if/when they decide to put their house up for sale.

Purchase Competition and Bidding Battles

Today’s low supply combined with high demand creates a market with buyer competition and bidding wars.

Purchasers are being forced to become aggressive to make sure their offer stands out from the crowd by offering over the asking price or waiving some contingencies.

multiethnic businesswomen checking information in documents

The number of offers on the average house for sale broke records last year. As a matter of fact, last year’s Confidence Index from the National Association of Realtors (NAR) stated that the average home for sale received at least five offers!

For buyers, the best way to put a convincing offer together is by working with your local real estate professional. That agent can act as your trusted advisor on what terms are best for you and what is most appealing to the seller.

Rise in Home Equity

The final key trend we see in today’s real estate market is the rise in home values and equity. One key thing to consider:

The equity in a home does not just grow when a homeowner pays their mortgage — it also increases as the home’s value appreciates.

Due to this increase in appreciation, homeowners across the country are seeing record-breaking gains in home equity.

This is clear when looking at CoreLogic’s recent reports that indicate homeowners with mortgages (which account for roughly 62% of all properties) have seen their equity increase by 19.6% year-over-year!

Again, this has produced a great opportunity for current homeowners to tap into their home equity. They can do this with a cash-out refinance to make home improvements, other real estate investments, or pay off higher balance consumer debt.

In Conclusion

If you are considering purchasing a home, conditions are a bit challenging because of low inventory, but the rewards can be substantial, as the housing appreciation is expected to continue into 2022!

Contact me to discuss becoming a homeowner or pulling out some equity in your current home, as it would be my pleasure to help you!

The Lending Coach

Page 27 of 78

A Must Read for Pitchers – The ABC’s of Pitching

Harvey Dorfman – a Brief Biography

Editorial Reviews

The Upfront Costs of Buying a Home: What Borrowers Can Expect

What are the upfront costs of buying a home?

Earnest Money

Down Payment

Closing Costs

Prepaid Taxes and Insurance

Getting Started

Mortgage Rate Update – February 2022

Inflation and Mortgage Rates

The Federal Reserve

2^nd Homes and Mortgage Rates

The New Normal

Some Perspective

Athlete Parenting Tips: Maintain a Strong Relationship With Your Child

Jack Perconte

The Article

A few key takeaways…

More Athlete parenting tips

In Conclusion

Key Trends in Today’s Real Estate Market

4 Main Developments

Home Price Appreciation

Shortage of Available Homes

Purchase Competition and Bidding Battles

Rise in Home Equity

In Conclusion

Apply Now – Online Application

Schedule Appointment With Tom

Starlight Mortgage

Contact Tom

About The Coach

Categories

BLOG ARCHIVES

The Lending Coach

A Must Read for Pitchers – The ABC’s of Pitching

Harvey Dorfman – a Brief Biography

Editorial Reviews

The Upfront Costs of Buying a Home: What Borrowers Can Expect

What are the upfront costs of buying a home?

Earnest Money

Down Payment

Closing Costs

Prepaid Taxes and Insurance

Getting Started

Mortgage Rate Update – February 2022

Inflation and Mortgage Rates

The Federal Reserve

2nd Homes and Mortgage Rates

The New Normal

Some Perspective

Athlete Parenting Tips: Maintain a Strong Relationship With Your Child

Jack Perconte

The Article

A few key takeaways…

More Athlete parenting tips

In Conclusion

Key Trends in Today’s Real Estate Market

4 Main Developments

Home Price Appreciation

Shortage of Available Homes

Purchase Competition and Bidding Battles

Rise in Home Equity

In Conclusion

Apply Now – Online Application

Schedule Appointment With Tom

Starlight Mortgage

Contact Tom

About The Coach

Categories

BLOG ARCHIVES

2^nd Homes and Mortgage Rates