I enter each mortgage scenario as if I have already succeeded. I am completely focused on helping my clients achieve their dream of home ownership.”

As a young boy, Jack remembers seeing a Judo demonstration that was an impressive display of confidence, power and respect. It made a lasting impression.

Today, with 30 years of Judo under his belt, Jack is dedicated to the principals of balance, discipline and respect. Through it all, he has enjoyed friendships, travel, the thrill of competition and teaching others the practice of Judo. This path has led Jack to physical and mental well-being and provides him harmony in all aspects of his life.

A WAY OF LIFE
As a Level 3 Certified Judo instructor, and an Accredited Mortgage Professional (AMP), Jack is focused on helping others achieve the same harmony and success in their lives. He is experienced, trusted and qualified in both fields.

Jack believes people practice Judo for different reasons and need lesson plans that match their individual goals. By the same token, he knows that anyone seeking mortgage financing has his or her own unique personal set of circumstances. Jack identifies his clients’ wants, needs and goals, and offers sound financial advice that puts them on the path towards the right mortgage plan.

THE WAY HOME
Jack brings balance to his clients by utilizing efficiency, leverage and proper industry techniques perfected through years of experience, and intuitively has the poise and self-confidence to cope with any market eventuality.

Jack requires full disclosure of his clients’ financial situations to maximize his efficiency as their mortgage broker. Trust, honesty and integrity are key for client confidentiality. Jack works for his clients and not the lenders.

His unwavering lifelong commitment to judo and coaching parallels his commitment to his clients and their success. Jack draws many comparisons between a judo match and a mortgage transaction - for both, he must be physically and mentally prepared, conditioned and focused to win. Through his competitive spirit and the power of visualization, he enters each scenario as if he has already succeeded.

Securing a mortgage for a new home can be a stressful experience. Jack adopts a positive “can-do” attitude. His experience in grappling with lenders and leveraging credit allows him to adapt the best possible course of action for his clients, align all the moving parts and ultimately bring balance to the deal.

Character
Is the general impression you make on the potential lender. The lender will form a subjective opinion as to whether or not you are sufficiently trustworthy to repay the loan. Your educational background and experience in your field of work will be included. The length of time at your current employment and your current residence will be considered. The longer you have been at both, the higher you will score on the character scale. In 2007 there was little concern that your future might be in jeopardy. In 2009 every source of income is scrutinized as whether it is feasible that it will continue.

Collateral
Is the extra security the lender has to cover the loan. In real estate transactions this generally means the property. If for some reason, you cannot repay the mortgage, the bank wants to know that the real estate the mortgage was taken out for is good and marketable real estate. A current real estate appraisal will determine the value for the property in today's market. Some lenders will limit themselves to the type of property they are going to accept. Rural properties have less interested buyers than urban properties. In the case of a foreclosure the lender doesn’t get the property. They have to apply to the courts to have them placed back on the market for resale to repay the loan. This takes time and money. Lenders will charge for the risk accordingly.

Capital
Is the money you personally have invested in the purchase, otherwise known as your down payment. The more of your own money you invest as a down payment, the more likely that you will do all you can to maintain your payment obligations. This fact was evident during the recession of the 90s where a large number of the power of sale properties, were at one time, purchased with small down payments. Capital is also reflected by your ability and willingness to save money and accumulate assets. The higher your net worth, the more you have as a cushion for repayment in the event you run into a financial set-back. Saved or earned capital is more highly regarded than “gifted”.

Credit
Is the evaluation of your habits in performing credit obligations. The information about your credit history is stored at the "credit bureau" and indicates how well you paid your bills over the last 6 years. All major credit cards, auto loans, leases etc. are reported to the credit bureau. A lender will evaluate your ability to maintain your obligations and try and determine how well you live within your means. Some individuals make the mistake of not paying the minimum monthly obligations on loans and credit cards with the expectation of making a larger payment the following month. These missed payments appear on their credit report branding them as chronic "late-payers" for the next 6 years.

Capacity
To repay the loan is probably the most critical of the five factors. The lender will want to know exactly how you intend to repay the loan. The lender will consider your income as it relates to the loan that you are applying for. Does the monthly carrying costs of the loan represent less than or equal to 32% of your total monthly income? If it is, the probability of you successfully repaying the loan is fairly high. When you include your personal debts, loans, cards, etc., a lender will likely not approve your total debt load of higher than 40% of your total monthly income. Prospective lenders will also want to know about any other sources of income you may have to repay the loan, if your steady income stream is interrupted. What savings can you fall back on? What property do you have that you could sell to cover payments?

The biggest factor that people are having the most difficult time with today is: These principles above change complete depending on what the future economy is predicted to do. For the past six years we have had a rising economy. Increasing property values. Little fear of people losing their jobs. Even if they do, the value of their property has risen so they can sell and get out of trouble. Now we are in the midst of a declining economy. It is expected that in the near future many jobs will be eliminated. House sales will fall along with the value of homes. Anyone who has a home that they purchased recently and lost a job had better have 10 – 20% equity or they won’t be able to sell. Without extra funds to pay the mortgage, foreclosure is probable.

Banks get their money from interest earned on repaid loans. They lose on foreclosures. The income they earn is used to pay investors who deposit their savings in the bank. They can only do that if they earn a profit. Do you having any savings in the bank? Would you keep it there if you thought your bank was losing money?