Pay your bills on time, or pay more for a mortgage loan. That's it in a nutshell.  This is good news in respect to reducing the number of risky loans that contributed to the rash of foreclosures these days. Bad news for buyers with less than stellar credit.

Priority Mortgage Corporation, one of First Weber Group's in house mortgage brokers, announced this major industry-wide change to conventional financing today:

"Effective on all new registration for Owner Occupied Single Family, Condominiums and Second homes the following rate adjustments will apply"

(Example below based on Dec 18, 2007 rates. Each credit tier increases by approximately .25%  Interest rates vary each day and will include this .25 increase dependant on borrower credit score)

30 Year fixed          6.25%      Credit score of 680 or higher

                           6.50%      Credit score of 660-670

                           6.75%      Credit score of 640-659

                           7.00%      Credit score of 620-639

                           7.125       Credit score below 620 or no credit score

NO rate adjustments on credit scores of 680 and over

NO rate adjustment with 30% down regardless of credit score

All loans subject to automated underwriting approval. Additional rates adjustments may apply"

This may really curb some buyer's ability to buy affordable housing which is unfortunate, especially for first time home buyers trying to get their foot in the door of homeownership. On the other hand, it is kind of like the "Good driver discount" you get when you buy car insurance.  Good drivers get better rates.  Good credit get better rates.  There is some "reward" for using credit responsibly.

What do you think?  Do you know what your credit score is?  I do not but I am going to find out!

Did you know Milwaukee, Wisconsin ranks as number 14 in a Bizjournals.com survey about America's Fun Cities?  That's an honor.  You know, you get used to what is in your own backyard. Think of Summerfest for example.  The largest music festival around.  Yet, so many of us take it for granted and complain about the prices and the crowds. So we don't go. Others drive for hours to attend.  While Summerfest was not specifically mentioned, you know it must have played a role.

Milwaukee ranked overal as number 14.

In the category of Shopping, Milwaukee, Wisconsin ranked 40 (Boston was number 1, Pittsburg number 2.)

In the category of Food and Drink, Milwaukee, Wisconsin ranked 10! We do have great restaurants and drink - and well, we have more than our share of pubs and bars. (New York City was number 1, San Francisco is number 2)

In the category of Culture, Milwaukee, Wisconsin again ranked high at number 14.  I am not aware of any other city that has all the ethnic festivals we do. (New York number 1, San Francisco number 2)

As for popular entertainment, Milwaukee, Wisconsin ranked 43. (Los Angeles was number 1, New York City, number 2)

Gambling... Of course, Las Vagas was number 1.  New Orleans was number 2.  Milwaukee, Wisconsin came in at 32 which is a little surprising.  Buffalo (29), Portland (17), Baltimore (15), Pittsburg (21 and Miami (19) all ranked higher for gambling.

Next category is Low Impact sports such as golf, bowling alleys etc.  Milwaukee ranked 14 beating out Los Angeles (31), San Francisco (28), Las Vegas (48) and Denver (45)..  Boston was number 1.

In High Impact sports which includes skiing and fitness centers, Milwaukee again ranked high at 10 beating Denver (25) and Portland (12). Boston was number 1.

Not bad, Milwaukee Wisconsin!

2007 will be the first full year of operation for the First Weber Foundation.  The Foundation is a non-profit, public, charitable foundation to which anyone can participate.  We are pleased to be one of just a few real estate foundations in the country and so pleased to say that through the contributions of First Weber agents, employees and owners, the First Weber Group Foundation distributed more than $200,000 since it's inception.

The list of the Giving Program recipients is long and includes:

ALS Association

Easter Seals Wisconsin

Keep Wisconsin Warm Fund

Habitat for Humanity

Sunshine Place Inc

Nuestro Mundo Inc and many more.

The list of "Matching Gifts" in which the Foundation matched the gift given by employee or agent, is even longer and includes:

American Heart Association

Big Brothers and Big Sisters

Clean Wisconsin Inc.

Gathering Waters Conservancy

Muscular Dystrophy Association

Salvation Army

Shriners Hospitals for children and many more.

Part of the 2007 Foundation program was to build a habitat house for the Wells family.  Agent Rose Freidel said "Working on the Habitat home was a lot of fun. I got to know my co-workers outside the office and felt I was really accomplishing something."

We'll do more good in 2008!