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Volume 7: Issue 11 | Date: October 16, 2019

COMMERCIAL BROKER NEWSLETTER

You are receiving this letter because you either wrote to us or you are a commercial real estate broker client of either Blackburne & Sons or C-Loans, Inc. Today we’ll discuss why interest rates keep falling. It’s NOT because of the Fed. We also have lots of cute, clean jokes, some funny pics, and a cute video of a dog being a drama queen. Make sure you catch my Final Funny at the very bottom.

 

Joke Du Jour

The psychiatrist was interviewing a first-time patient. "You say you're here," he inquired, "because your family is worried about your taste in socks?” "That's correct," muttered the patient. "I like wool socks.” "But that's perfectly normal," replied the doctor. "Many people prefer wool socks to those made from cotton or acrylic. In fact, I myself like wool socks.” "You DO?" exclaimed the man. "With oil and vinegar or just a squeeze of lemon?”

 

Free Commercial Loan Software

C-Loans has just developed some brand new commercial loan software that is super-easy to use, even for a complete newbie to commercial real estate finance. You just fill in the blanks.  You can then take your professional-looking commercial loan package and submit it to any lender in the country. This new commercial loan software is also 100% free.


 

Communist Joke

Q: Why do communists only write in lower-case letters?

A: Because they hate capitalism.

 

Private Money Commercial Permanent Loans

From $100K to $3.5M Nationwide

Click HERE to Apply Now!

Do you need a commercial lender who will actually lend up to 75% LTV? Blackburne & Sons has decided to compete against banks by offering a higher LTV.

Do you need a lender who will also look at the borrower's global income - income from salaries, other investments, etc.? Do you need a lender who will allow the seller to carry back a second mortgage? Does your client have a balloon payment coming due on his commercial property? Has your bank offered him a discounted pay-off? Does your borrower have less-than-stellar credit? Is your client's company losing money? Is your borrower a foreign national? Do you need a non-recourse loan? Do you need a commercial loan with no prepayment penalty?

Is your client's commercial property partially vacant? Do all of your commercial leases run out in the next 18 months? Do you need a lender who will allow a negative cash flow? Do you need a loan against a portfolio of rental houses?

And don't forget, we will quickly and happily issue you a written Loan Approval Letter - at no charge - that you can use as a fallback and to lure cheaper lenders. After all, everyone wants to lend to you if you already have a commitment. Here is our latest rate sheet.

Have a deal to run by me? Click HERE

George Blackburne, IV

Loan Representative

P: (916) 338-3232 Ext. 314

georgeiv@blackburne.com

NMLS #382122

CA DRE #01873244

 

Pronunciation Joke

Two tourists were driving through Louisiana. As they were approaching Natchitoches, they started arguing about the pronunciation of the town. They argued back and forth until they stopped for lunch. As they stood at the counter, one tourist asked the "blonde" employee: "Before we order, could you please settle an argument for us? Would you please pronounce where we are at... VERY SLOWLY?" The blonde girl leaned over the counter and said... "Burrrrrrrr, Gerrrrrrr, Kiiiiing"

 

Need a NMLS License? Need to Renew Your CE Hours?

This fun instructor makes these hours bearable.

 

Chameleon Joke

Did you hear about the older chameleon who could no longer change color? The poor guy developed reptile dysfunction.

 

How to Earn Huge Referral Fees

Please click here after viewing the video.

video
 

Teeth Joke

Q: What is red and bad for your teeth?

A: A brick

 

Use Cheddar Stacks to Get Commercial Loans

Imagine 19 business men and women, all working in industries centered around real estate. Each has an app on their cell phone that makes it easy to shoot each other leads. Folks, referral leads are worth THIRTY leads from advertising. Click here for more details.

 

Locker Room Joke

Murphy's Law of Lockers - If there are only two people in a locker room, they will have adjacent lockers.

 

- Today's Observation -

Why Interest Rates Keep Falling -

It's NOT the Fed

There are more than $16 trillion in Japanese and European bonds now selling at a negative yield. Can you imagine loaning $1,000,000 to the German Federal government, receiving no interest payments for ten years, and then only getting $970,000 back at the end? It seems unimaginable.

Interest rates in the United States resumed their downward march this week, and I predict that Treasury bond yields will eventually go negative.

You might think that the reason why interest rates are falling is because of the Fed. You're on the right track, but the central bank that is really stirring the pot is the European Central Bank ("ECB"). The population of Europe is old, and it is shrinking. Most countries in Europe are desperate for workers, and Sweden, Germany, and Norway are actively recruiting them.

Because the counties of Europe are withering, at least in terms of reproduction, the ECB must constantly inject fresh Euros into the EU economy; otherwise, the European money supply would contract like a black hole. Without Central Bank intervention, the money supply in Europe could easily shrink by 40% in less than six months. We saw this happen in 2008, at the beginning of the Great Recession.

In order to prevent the entire money supply of Europe from contracting into a black hole (the multiplier effect working in reverse), the ECB has been forced to constantly inject new Euros into the European economy. Many of these Euros end up in the hands of old gomers like me, and we hoard our savings because we are close to retirement.

Now old gomers are not going to keep one million Euros stuffed under their mattresses, so they take their cash down down to the bank and try to deposit it. "No, thank you," says the bank. "We have more than enough deposits right now. We don't have any place to invest them."

In fact, there are so many banks bidding to own German, Danish, Dutch, and Swedish treasury bonds, they have bid up the prices of the bonds so high that the yields are negative - say, a negative yield of 0.15% annually. 

Now back to our desperate old gomers. "You simply must take my cash, Mr. Banker. If bad guys learn that I am keeping one million Euros under my mattress, they will break in and kill me!" So the banker says to the depositor, "Okay, we'll accept your deposits; but we are going to charge you a negative yield of 0.5% per year." In other words, the old gomer is paying the bank one-half percent per year to hold his cash.

Then the banker invests in bonds with a negative yield of just 0.15%, and the bank profits off the 35 basis-point difference. A basis point is 1/100th of one percent.

European investors are going to keep buying U.S. Treasuries because our yields are positive. This will keep driving down U.S. interest rates for the foreseeable future. Sure, we'll have some periods when interest rates will spike back upwards; but the long-term trend for interest rates is still downward.

 

Locker Room Joke

Murphy's Law of Lockers - If there are only two people in a locker room, they will have adjacent lockers.

 

Business Purpose Rental Home Loans in Most States


Click HERE to Apply Now!

Please pay special attention to the following: Unlike other hard money brokers, Blackburne & Sons Realty Capital Corporation makes home loans with a 15-year term (30-year amortization), and there is NO prepayment penalty. Our competitors make just three-year or five-year bridge loans. Our loans are clearly better because you may want to hold the property. These loans are sometimes known as buy-to-rent loans.


Historically, Blackburne & Sons was mostly a commercial lender. This has now changed. We are aggressively aggressively seeking non-owner occupied home loans. We have already closed loans in the following states, and our attorney can quickly research your state to verify that we can lend there. Unfortunately, in a handful of states, an NMLS license is not enough.

We can lend in the following:

  • New Jersey
  • Missouri
  • Maryland
  • Alaska
  • Ohio
  • Florida
  • New York
  • California
  • Washington
  • Arizona
  • Texas
  • Hawaii
  • Virginia
  • Delaware
  • Indiana
  • Louisiana
  • Hawaii
  • North Carolina
  • South Carolina
  • Georgia
  • Pennsylvania
  • Michigan
  • Louisiana
  • Oklahoma
  • Rhode Island
  • Tennessee
  • Wisconsin

Unfortunately the these are out:

  • Nevada
  • Minnesota
  • Idaho
  • Oregon
  • South Dakota
  • Vermont
  • North Dakota
  • Utah

Don't see YOUR state listed above? If you have a real-life deal, we’ll hire our attorney to quickly research its availability.


George Blackburne, IV

Loan Representative

P: (916) 338-3232 Ext. 314

georgeiv@blackburne.com

NMLS #382122

The property has to be non-owner occupied, and the purpose of the loan must be for business. The nice thing about business purpose home loans from Blackburne & Sons is that our loans have a 30-year amortization, a 15-year term and no prepayment penalty.

 

Math Class Joke

If I got 50 cents for every failed math exam, I'd have $6.30 now.

 

Submit Your “A” Quality Commercial Loans Using C-Loans

You old veterans know that commercial lenders are incredibly fickle. One moment a bank loves self storage loans, and the next moment - usually after taking a loss - it wouldn't touch a self storage facility loan with a ten-foot pole. C-Loans.com is a commercial mortgage portal that was designed with commercial lender fickleness in mind.

You fill out one mini-app, and then you can submit your commercial loan application to bank after bank, six at a time, until you find a bank hungry to make a commercial loan today. 

Borrowers and commercial brokers have closed over 1,000 commercial real estate loans totaling over $1 billion, so C-Loans clearly works. And C-Loans.com is FREE!

Apply for a loan now!

 

Hot-To-Trot To Make Fix and Flip Loans

Blackburne & Sons is making a huge push into fix and flip lending. Of course we will still make our private money permanent loans on commercial properties nationwide; but we are now also making fix and flip loans across the country.

Please click here to submit a fix and flip loan or a hard money commercial loan or call me, George IV, at (916) 338-3232.

 

Fire Hydrant Joke

A fire hydrant has H-2-O on the inside and K-9-P on the outside.

 

COMMERCIALMORTGAGE.COM

Even More Commercial Lenders

Every day we add two to five new banks and credit unions to CommercialMortgage.com. With almost 4,000 banks, credit unions, and other commercial lenders, CommercialMortgage.com is by far the largest databank of commercial lenders in the country.

Do you understand that CommercialMortgage.com is absolutely free to use? The lenders listed do NOT jack up their loan fee in order to pay a software licensing fee to C-Loans, Inc. One of the most successful commercial mortgage brokers in the entire country is Les Agisim of Trevor Cole Commercial, and Les uses CommercialMortgage.com all of the time. You would be wise to do what the successful guys do.

 

Ark Joke

Does anyone need an ark? I Noah guy!

 

Free Copy of The Blackburne List

Click here to get a free list of 200 commercial lenders, including at least five for every state.

The Blackburne List is a list of over 2,500 commercial lenders located nationwide. We spent almost $30,000 and three months updating this list, and we just finished updating it in 2019. 

The Blackburne List is available for purchase for just $79.95 at CommercialLenders.com. Is money tight? You can also buy one of our three Regional Lists (750+ lenders) for just $39.95.

You can also search The Blackburne List using CommercialMortgage.com for free.

 

Only Blackburne & Sons Can Do This

Blackburne & Sons has some truly unique and super cool programs:

  • We'll give you a bridge loan on your commercial property for only one point! There is no prepayment penalty.
  • We allow sellers to carry back a second mortgage behind our first mortgage.
  • We will actually lend up to a 75% loan-to-value ration. Banks claim they will lend up to 75% LTV, but in real life they will only go 68% LTV.
  • We offer private money (loose-goosey underwriting) commercial loans with 30-year payments and a 15-year term. Our competitors offer 2 to 3-year bridge loans. We offer 15-year permanent loans with no prepayment penalty. Never again will you have a balloon payment come due during a recession.
  • We buy commercial first mortgages (usually at a discount).
  • Instead of discounting your wonderful commercial first mortgage, consider pledging it as collateral for a smaller loan. This is called a hypothecation. We make loans secured by mortgage notes owned by the borrower.
 

Thesaurus Joke

I own the world's worst thesaurus. Not only is it awful, it's awful.

 

Learn Commercial Real Estate Finance

9 Hour Video Training

It would be a lot easier to close your commercial deals if you actually knew the subject matter. Are you finally ready to learn the financial ratios and the advanced terminology of commercial real estate finance? Just $549.

Now available online!

 

Glaciers Joke

Yellowstone tourist: "Look at all those big rocks! Wherever did they come from?"

Yellowstone guide: "The glaciers brought them down."

Tourist (cluelessly): "But where are the glaciers?"

Guide (wearily): "The glaciers ... have gone back for more rocks."

 

Two Ways To Earn Referral Fees for Commercial Loans

We Once Paid $21,250

This is an absolute no-brainer. You simply put a link to C-Loans.com on your real estate website. We once paid a $21,250 referral fee to a guy who was asleep when the lead came in! Here are the details.

You can also refer commercial loans by hand. Simply insert your referrals here.

 

Stolen Office Joke

To whoever stole my copy of Microsoft Office, I will find you. You have my Word!

 

On a Personal Note

My personal paragraph for this newsletter is going to be more of a rant. In the past two weeks, I personally have witnessed 4-5 instances of shoplifting. What has shocked me was the brazen manner in which these events occurred. We are not talking about some angsty teenagers pocketing a candy bar and walking out. No, we are talking about grown adults, with children in tow, walking into stores, filling their carts with $200-$300 worth of stuff and walking out. Completely without fear.  

This has happened at multiple different stores. In each instance, I alerted the staff but they all gave the same response. There is nothing they can do, and in fact if they try and stop the shoplifters they would be fired. It wasn’t just one store or chain that told me this, but multiple.  What in the world? 

I spoke with the manager at one of the stores, and he basically said that due to California’s Prop 47 (which downgraded multiple different felonies down to misdemeanors) the police do not enforce shop lifting unless the amount stolen is over $950 worth of goods. If the staff try and stop them, it opens the company up for liability in multiple different ways, and so to avoid liability the company policy is now to let it happen. He secretly told me that since Prop 47 passed, the rate of shoplifting at his store has almost tripled and is now to the point where this location might not be able to stay open. It is incredibly sad to think that our local grocery store might be done in because of these thieves. 

George Blackburne, IV

Loan Representative

P: (916) 338-3232 Ext. 314

GeorgeIV@Blackburne.com

NMLS #382122

CA DRE #01873244

Have a deal to run by me? Click HERE

 

Video - A Drama Queen (Make sure your volume is on)

video
 

FREE Commercial Loan Brokerage Training

From an Industry Veteran And Attorney

The C-Loans Blog: info.c-loans.com

Every week we publish one or two new blog articles that train commercial brokers in commercial real estate finance. We try to have fun with it, including lots of funny pics. If you want access to this FREE training, subscribe to George's blog by clicking the button below.

 

Final Funny (PG-13)

Two guys grow up together, but after college, one moves to Michigan and the other to Florida.  They agree to meet every ten years in Vero Beach to play golf. At age 30, they finish their round of golf and go to lunch. "Where you wanna go?” "Hooters.” "Why?” "Well, you know, they got the broads, with the big racks, and the tight shorts, and the legs …" "OK."

Ten years later, at age 40, they meet and play again. "Where you wanna go?” “Hooters.”  "Why?” "Well, you know, they got cold beer and the big screen TVs and everybody has a little action on the games.” "OK." 

Ten years later, at age 50, they meet and play again. "Where you wanna go?” "Hooters.”  "Why?” "The food is pretty good, and there is plenty of parking.” "OK."

At age 60, they meet and play again. "Where you wanna go?” "Hooters.” "Why?” "Wings are half price.” "OK"

At age 70, they meet and play again. "Where you wanna go?” "Hooters.” "Why?” "They have six handicapped spaces right by the door.” "OK."

At age 80, they meet and play again. "Where you wanna go?” "Hooters.” "Why?” "We've never been there before."


TwitterFacebookLinkedInBlackburne & Sons Website

Members of the Blackburne Family of Companies

CA DRE #829677

NMLS #103430

 

P: (916) 338-3232

F: (916) 338-2328

4811 Chippendale Dr, Ste. 101

Sacramento, CA 95841

 

CA DRE #1330173

NMLS #167100