Finance Issues

         I have been researching and am interested in real estate, finances, and brokerage so I researched current events that are influencing and impacting these markets and professions. The real estate market has undergone significant ups and downs throughout the past decade and are continuing to have an impact on the market. In 2007 Congress passed the Mortgage Forgiveness Debt Relief Act that saved failed mortages of homeowners a huge tax break that would otherwise force them to pay thousands to the IRS (CNN).  At the end of this year this Act will expire and if Congress does not issue an extension this shall have major consequences for homeowners and the real estate market as a whole. Only recently the real estate market has improved and there has been stability in both maintaining ownership. If this does not get re-passed then this could mean another collapse of the real estate market resulting in foreclosures and the loss of homes (CNN). This could be potentially devastating. The only positive news is that not everyone would be affected and a lot of real estate owners are protected.  Currently the market in San Francisco is stable and is pretty evenly a buyer and sellers market.  The price trend is holding steady and there is lower inflation of prices than in previous years (RealityTimes).

            Financial markets have taken a slight hit after the reelection of President Obama. Wall street has seen losses in the stock trade and all of the major stocks, DOW, S&P 500,  and Nasdaq have all been down (BUZZ). This is a normal trend after presidential elections and nothing to lose sleep over. The market also has taken a hit due to Hurricane Sandy and the financial costs and aid that is being sent to New Jersey (BUZZ). Hurricanes and natural disasters can have a huge impact on local economies which in turn can have an impact on the nations’ economy if not taken care of in ample time. It is important to help rebuild infrastructure and the community devastated by the natural disasters so that the economy is not put on a hold, jobs can be created instead of lost, and the community can return stronger than it did before. Investments have slowed down yet again due to companies’ uncertainty of the outcome of the presidential election, so the companies withheld, and the market closed for two days for the hurricane. This led to investors pulling 1.8 billion dollars from the market (BUZZ). Only a small blip but one that was significant enough to be noticed. In other investment news 401k’s have hit record high numbers as Americans are pouring more into their savings than ever. This is a great sign and important for a healthy economy (Money). It’s a great way to plan ahead and avoids in a influx of loans should people face financial hardship. They will have something stashed away. Companies are also contributing highly into 401k’s as well.

            In the mortgage market things are proving to be steady and things are on the rise. Fannie Mae and Freddie Mac have both been increasing revenue with a recent profit of 2.9 billion in the 3^rd quarter (MortgageNews). This was nothing impressive, however they did not have to borrow more money from the Treasury. The biggest thing happening in the market right now is the push to get rid of excess inventory or properties in the market. This includes vacant homes and foreclosures.  Things are expected to continue to improve over the next couple of years (MortgageNews). This also helps get rid of weak investors and realtors that were having negative impacts on the market with high foreclosures and low return rates. This will help to ensure that the right investments are made and the people borrowing are able to maintain their payments. Other exciting news included Freddie Mac’s reduction of the refinance rate by 1.7% was the highest in history. Great news for homeowners to reduce what they owe and get better rates on loans (MortgageNews).

The Job Hunt

      For any student just receiving their degree in Finance, finding a job can seem like a struggle. In the current state of our economy employers are looking for candidates with experience and knowledge of the field outside of the classroom. That is why it's very important to make sure and intern at a company in the field you'd like to work in as a professional. By working as an intern you will learn more about the field and what this career will take to become successful. It will also help clear the fog on what you actually may want to do in the field as well. Interning will broaden your horizon of knowledge in the way you need to communicate with others, this is very important in the finance field because if a client thinks that you are saying something negatively or rub them the wrong way it can lead straight to a dead deal.
      Its also very important to have a fresh and up to date resume. Your resume should be professional and ascetically pleasing. Make sure to read over and edit your resume to steer clear of any typos or mistakes. Something else I learned is that your resume shouldn't be longer than one page. I know this because a was talking to a recruiter about how resumes and she told me when she is sorting through potentials, anyone who has a resume longer than one page she immediately tosses. Also stick to the main points do not over explain anything, just keep it short and sweet. Since I am a student I do not have an experience yet in the field. Therefor, instead of a work experience field I can create a related course work field. In this area I can explain any relevant course work I have taken in college to establish myself as a knowledgeable candidate. Another cool tip the recruiter gave me was to use key words that they are looking for in their potential employees. So if the employer is looking for a punctual  employee, you can go to Thesaurus.com type in punctual in the search box and it will come up with a number of similar words. I usually choose the word that stands out and relates to myself so I could use the word "prompt" in my resume. another way to make the resume ascetically pleasing is using a good template. The template should be clutter free, easy to read and have a good flow of information. A good place my teacher told me to find cool templates is on Pinterest.com. Its supper simple to make an account and after you do so just type "resume" in the search bar and it shall give you an abundance of templates to look through and use.
      Checking out the school employment center, ad's on Craigslist.com and making a profile on Linkedin.com are all great places to look for potential jobs. A recent article I read said Linkedin.com has over 160 million members worldwide! They are also have said to be growing at a rate of 2 per second, which makes it one of the fastest growing online place to meet people. The great thing about Linkedin is that it basically gives you an idea of the person before you even meet them and it can connect you to professionals worldwide. It is also very simple to use as well, all you need to do is create an account and then upload your resume. Super simple! And you are connected to tons of other professionals worldwide who can view your profile and maybe even offer you a job!
       Who you know is a significant factor in the job search as well. Think about who you know that can help you professionally. "Sixty to 90 percent of jobs are found informally- mainly through friends, relatives, and direct contacts. The U.S. Deparment of Labor reports that 63.4 percent of all workers use informal job finding methods," (CareerPlaybook). Networking is very important in the hunt for your dream job as well. "Current employees are among the best sources of referrals. Many firms reported 40 to 50 percent of their openings are filled by candidates referred to by staff members," (CareerPlaybook).  So think really hard you can help you get further in your career and start your networking there.