Grant's Blog
My blogs tend to be about what I am working on or helping with durring the week.
Insurance topics, Salesmanship Systems to help with your business are just a few topics.
Home Value Warranty Buying Homes In 2009 anb Beyond
07/21/2009 01:36 AM
A little over a year ago I started to write down everything I saw about the current housing market. Every expert, every newspaper, and everything I could find on the internet. Everything says or suggests that now is not the time to buy a new home. That the value of homes will drop, and may drop significantly in the next few months.
As I listened to the experts, I came to a few conclusions I would like to share with you.
- No two experts can agree on anything. Any question you have one answers yes, and the other answers no.
- Their advice concerning buying a home today is 100% correct in the short term.
- No one seems to be able to time stock purchases either. Buy low, sell high. Yet no one can actually tell you when low is or how high is high?
Finally I concluded that trying to time any market just right is like trying to catch a ball as it hits the floor. It is much more likely that you can catch a ball on the way down, or after it had hit the floor and is bouncing up.
Here is the problem with not buying a home you can afford today. I insure housing developers; none of my clients are laying any new foundations to keep building homes right now. So when the ball hits the ground, and takes a bounce it isn't going to be a small hop, it is going to be a big bounce. Think about supply and demand! All of a sudden a home that today would sell for $300,000, and you could get a fixed rate of 6.5% for 30 or 40 years. When everyone thinks its time to buy again that home will jump to $360,000. Of course the government will step in to try and stop inflation by raising the interest rates fast and high again.
You have to ask yourself a few questions.
Can I afford a home today?
- Can I keep a new home for 5 to 10 years?
- Can I afford a home in two years for 20% more than I can buy one today?
- Can I afford a home in two years for 20% more than I can buy one today for, with an interest rate 2% higher than it is today?
If you can afford to make your house payment for 5 to 10 years, with a fixed rate loan then today is absolutely the best time to buy a home.
Yes the home you buy today will likely go down in value next year. But by the 5th year it will also be likely to buy worth at least what you paid for it, if not more.
Yes some one somewhere will catch the ball as it hits the ground. You will see their faces on the news, or some magazine talking about what a savvy home buyer they were. No you wont find that person today telling you when to buy to make the maximum profit.
I have a few more things to share with you.
When stocks are picked, one of the things most investors do is look at the 5 and 10 year history of the stocks value. I note that none of the experts I have seen in the past two weeks have mentioned this fact when considering buying a home today.
Do you know anyone that bought a home 5 to 10 years ago that isn't glad they did? Is it worth more or less than they paid for it? In most cases the answer is of course they are happy, and their net worth has grown.
- For 90% of Americans at 65 years old, their single largest asset is the equity in their home.
- Real Estate has created more wealth than any other investment.
- Buying a new car? Paying $50,000 for a car that in 5 years will be worth $10,000 seems reasonable? It is in fact the worse investment the average person can make. Yet every day how many people that don't own a home buy a car?
I can go on, but I wanted to end with this one note. Today is the day; it is the best time to buy a new home. Don't buy the largest home you can afford. Instead buy a home that you can comfortable afford for the long haul. 5 - 10 years. And enjoy your family, and your life.
Don't be consumed with the idea that someone somewhere can catch the ball as it hits the ground. You have as much of a chance of winning the Lottery. Yes some people do win, but for most of us we work for what we get.
I am a salesman. However I don't sell Real Estate. I sell insurance, Auto, home, life, group health, business, farm, and workers comp. I insure many housing developers, and the sub contractors that build your homes. My interest in housing has recently been sparked as I tried to help my clients, (housing developers) sell their homes using my sales and marketing ideas.
The more I helped my clients the more it has become clear to me that the people I can help the most are those that want to buy a new home (You). By simply providing facts. If you have any questions please call me and I will do what I can to help. Because I make my living selling insurance if I have been any help at all please consider letting my insurance company give you a quote for your insurance.
Thank You for your consideration.
Call your GDI Broker for information on our new insured warranty. Home Buyers Market Value Warranty, insuring 20% of the market value of your new home.
Grant W Davis
President GDI Insurance Agency, Inc.
888-991-2929
Employment Replated Practices Insurance EPLI
07/12/2009 05:46 PM
7 reasons why employers lose in court when sued by employees (current or former). Employers lose the majority of the cases that go to trial.
Here are some of the main reasons why this is the case:
1. The jury pool - Very few jurors have ever held an executive or managerial position. As result, the jury box generally consists of people who will judge your company from the perspective of the employee, not the employer. Like many employees, they have an "all bosses are villains and all employees are victims" mentality.
2. Employers focus on justifying rather than taking responsibility. When we make a mistake we should admit it. (My input? It's funny that this is advice from lawyers!) There is no justifying the fact an employee hired on to bring value to your company is now suing you.
3. Failure to document - As every employment attorney tells their client: document, document, and document. Judges and juries expect to see proof of poor employee performance--in writing.
4. The company has disciplined inconsistently - Whether the company is big or small, the lack of consistent treatment is guaranteed to generate juror mistrust.
5. Somebody gets caught lying - Employers will often ignore, bury, or deny conduct they consider potentially damaging. Disclosure of this conduct by a plaintiff's counsel will prove devastating. Catch someone lying just once and you can instruct a jury that everything they say lacks credibility.
6. They never received or signed the agreement - The employment contract, the confidentiality agreement, the employee handbook, and the mediation and arbitration agreement are nowhere to be found in the employee's file--if they exist at all.
7. An overly aggressive approach - Whether on the leaning toward the plaintiff or defense, jurors dislike an overly aggressive presentation of the case. They are particularly sensitive to an attack on non-party witnesses. The fact is, there are many more ways to lose at trial and employers are doing it all the time. Even if you "win" one of these cases you lose huge amounts of time and defense costs. And when you lose a case, you can lose real big. The best defenses against these claims are strategies and tools designed to prevent the filing of claims in the first place! I hope the list above helps you make the right moves to stay out of court.
Call your GDI broker for help.
Grant W Davis
PS. You can also visit us on our other website. www.gdiinsurance.com
CA Workers Comp Rates Increase 24% 7-1-09
03/27/2009 09:39 PM
CA Workers Compensation Rates Will Increase 25% on 7-1-09! The only thing you can control as an employer is the safety of your business! Fewer smaller claims, will keep you modification factor low! A good loss ratio will help get insurance companies to compete for your business. Formal OSHA safety programs, manuals, and meetings. GDI gives all its clients all the material, and Grant helps put your plan together.