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Dear Friends,

I attended the California Mortgage Brokers Convention last Saturday in Long Beach and there were many lenders and financial institutions represented. This was truly an opportunity to investigate the type of loan products being offered and to gear up for our plans to provide a streamline approach in mortgage financing. (Please see our post on Monday, August 27th)

I also had a wonderful time bumping into old friends and acquintances I've known over the years.

While in my previous posts I discussed the turmoil in the mortgage market and the changing guidelines due to these problems, I came away with a sober and cautious sense of optimism.

Numerous lives have been affected due to the mortgage debacle we are experiencing. From the homeowners losing their properties through numerous foreclosures across the country & to the mortgage industry where jobs and reputations have been lost and difficult to repair, this mess will hopefully be resolved in a manner that is fair, competent and has elements of 'common sense'.

Unfortunately, so far this year, over 125 mortgage bankers and financial insitutions have closed their doors. Many of the 'creative loan' products provided by these companies are no longer viable in the current mortgage marketplace. While the long term effects of the mortgage fallout are being created by the actions of the banking system today, the 'correction' we are experiencing was long overdue.

Due to this 'correction', my cautious optimisim revolves around a direction towards 'common sense' loan products and underwriting guidelines, which will enable borrowers to either Purchase or Refinance without stringent 'Draconian' measures. There has to be a moderate approach in the requirements investors seek in providing financing.

In the next few months we will know the direction this current situation will lead us to.

Thanks Again