The Jon Sanchez Show
08/01- Understanding your listing agreement
If you’re thinking about selling your home, finding a real estate agent you trust is a major first step. Once you’re comfortable and ready to move forward, you’ll need to sign a listing agreement. This is the legal contract that outlines the engagement between you and your real estate agent. It also explains each party’s rights and responsibilities regarding selling your home
- Duration:
- 36m
- Broadcast on:
- 02 Aug 2024
- Audio Format:
- mp3
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Thank you so much. Appreciate it. Dwight Millard, Gil Murgage, how you doing, my band? Yeah, better than you, I assume. [LAUGHTER] I like your both smiling, you know. I did, too. I was going to say, I'm crying in my own coffee tonight. I don't have my buddy Dwight to cry with me. You know, it's just, yeah, success in your world and failure in my world. Yeah, you know, it's kind of like golf, right? You have your long games, great, your puddings off. You know, if you ever put together, you know. But you can never get it. Because I think people are going to like what we have to say about the rates when we get to it. Oh, yes, they will. I took a sneak peek. They are definitely going to like what they have to hear on that one. Absolutely. All righty, boys. Well, so great to be with you. And let me tell you what we have on the docket tonight. We're, of course, going to discuss what the heck happened today in this market sell off. Give you the reasons behind it, what we need to be doing, thinking about, et cetera, with your money. Then we're going to move into our real estate topic of the evening. Now, listen closely, folks. If you are thinking about selling your home, first thing you need to do, of course, is find a real estate agent, a professional such as Mr. Edge. Somebody that you can trust. That is your first step in the real estate transaction. Once you are comfortable and you are ready to move forward, you're going to need to do the next major thing. And that is sign a listing agreement with Mr. Edge. Now, this, of course, if you're not familiar, if you've never done a real estate transaction, but plan on doing one, the show is going to be perfect for you. Because what is a listing agent or a listing agreement? Well, most importantly, as Corey and Dwight will explain, it is a legal binding contract, very important. It outlines the engagement between you and your real estate professional. But it also explains each party's rights and responsibilities regarding selling your home. Now, Corey, we have never discussed this topic tonight. We're going to discuss the key components, of course, that our listeners need to know. But my goodness, besides, I would think, besides the actual sales contract itself, would you say this is slightly less important, as important, more important than the actual sales contract itself? I mean, I guess, to me, in the hierarchy of documents, this is a little less important for the transaction. It only affects one side. You've got an exclusive right to sell, which means, typically, you're going to be working on the listing side of it, engaging with the owner of a property. And it is an important document to your point. When you get to the purchase agreement, you get a lot more kind of moving parts. You're trying to get a lot more parties to come together. But this is the one that you're going to go out there and interview and pick and choose and do whatever. But once you sign on the dotted line, I don't want to say you're stuck with the person you chose, but certain things have to happen for that relationship to end. Right, right, exactly. Whether it's a end-of-a-time period or failure to perform as the saying goes when we talk about contract law, et cetera, correct? Sure, yeah, failure to perform end-of-a-time period. I mean, and these things all have-- these are-- we have our standard forms within the board of realtors that we use, but there's also some statutes, not a statute that lay out what needs to be an exclusive or not exclusive, but a listing agreement. And then there's this common contract law that kind of dictates what needs to be in there. So if you sign a listing agreement, it's on an app pin, and it doesn't have a few provisions, there's a good chance you can get out of it. But if you have one that was created by the board of realtors, then you need to read it carefully. Exactly, exactly. And those are the things, among many others, that we're going to go through for you tonight, again, before you sign that listing agreement. So you have an excellent, excellent understanding of what you are signing, like anything. Gotta know what you are signing. So we will get to Mr. Edge and Mr. Mallard momentarily. First, let me grab the horn here and tell you what the heck happened today. Dwight Chime in, Corey Chime in, because there was a lot of cross-currents today. I'm going to take you back to this morning, because I think that's really one of the most important things to understand is where we were early this morning and how things changed by the time the closing bell rang at 1 p.m. So my first stock update this morning, Dow futures were up 123. NASDAQ's were up about 113. S&P's up 27. Looked like it was going to be a decent day. Market was going to be happy. Investors were going to be happy. In regards to the Fed's comments yesterday, the market had almost 100% probability that after Mr. Powell's comments yesterday, we were going to get an interest rate cut in September, the first of maybe one more for the rest of the year, maybe two more, who knows? Yesterday, we rallied 451 points on the Dow, NASDAQ up 99, S&P gained 86. So we had great momentum going. Everything was going fine. Like I caution all of you, this market is very, very fragile right now. It's very fragile for good news, and it's very fragile for bad news. Well, unfortunately, the fragility occurred on the bad news side of things, and it happened on a report that normally the street, I mean, it pays attention to it, but it doesn't put a significant amount of credence into it, because it's, once again, just one of many reports. And the report I'm talking about, guys, is what is called the ISM Manufacturing Report. Now, you've heard me talk about this a million times on my stock updates. Let me just kind of tell you what it is. So this is a report that Wall Street gets once a month, it's called the ISM Manufacturing. We get the ISM service in a couple days. So this is the manufacturing side of things. Very confusing report, but all it basically does is it's taking the barometer, taking the temperature of what's going on in the manufacturing activity of our country. And the only thing you need to understand about this report is if you get a reading of 50 or above, it shows expansion in the industrial manufacturing sector of our economy, anything below 50, it shows contraction in the manufacturing side of the economy, okay? Now, before I get to that report, 'cause it came out at seven o'clock, let me go back to the first reports of the day, which were the initial claims and continuing claims. As we have said numerous times on this program over the last few weeks, we are starting to see signs of the labor market weakening. And Mr. Powell yesterday in his news conference had many comments about that. Today, we got more data showing that the labor market is weakening. We had the initial claims. Again, usually this number has just been so boring to talk about, usually we don't pay a lot of attention to it, but we did today, showed an increase of 14,000 individuals filing for the state unemployment benefit, bringing the number to 249,000. Now, 249,000 historically is not really all that bad of a number, all right? When we get up in 300,000 plus, that's when we start to worry a little bit. But it's been edging up. And matter of fact, I went back and I looked, this is the highest number. There's 249,000 filings for the state unemployment benefit for the first time. This is the highest number that we have received since August of 2023. Continuing claims, these are people that continue to receive the state unemployment benefit. That number came in at 1,877,000. That was revised from 1,800, excuse me, that was an increase from 1,844,000 the previous week. So both of these, the initial benefit and of course the continuing claim, both of those numbers showing that more people are filing for unemployment benefit. All right, the bright side of the day, we got the preliminary review. So we'll get the final numbers in a couple weeks. Productivity was up 2.3%. Estimates were 1.18%. So we got a beat there. Labor cost rising 9/10 of a percent. That beat the estimate of 1.7%. So we look pretty good there. But Corey, we got over to your world. We got the construction spending down 3/10 of a percent for the month of June. You know, again, I don't know how much Wall Street really paid attention to that. The prior report for May was revised to down 4/10 of a percent. So, you know, we got two months in a row there where, you know, we're down 7/10 of a percent. Construction spending soft across both the private and the public sectors with the report showed, showed weaker demand patterns that are part of the softening economy. And there's the two key words I want to focus on, the softening economy. So I just gave you the labor data, showing softening economy. Just gave you the construction spending, showing the softening economy. But then we get to the report that completely reversed this market. The ISM manufacturing number, once again, came in below 50, reading came in at 46.8 for the month of July. So significantly, again, below the 50. But more importantly, this was also a nice decrease from the month of June, reading then, 48.5. So we went from 48.5 in June down to 46.8 in June. Now, Dwight, I'm gonna throw it over to you. I don't know about you, but, you know, in your contacts, the bond market side of things, et cetera. But today was the first day that I heard a lot of chatter about the R word that we are either in or going to be in a recession. A number of people were commenting about this on CNBC and so on and so forth. Again, Corey, I think you nailed it right on the head a few weeks ago when we were talking about a recession. We never know that we're in it until we're basically, we're out of it. Months and months after we're in it is when the economists finally come out and officially say, hey, guess what? We're in a recession six months ago. Okay, geez, thanks guys. But now this talk is starting to happen. Now, whether a recession is imminent, whether we are in one right now, recessions scare everybody. They're not really all that big of a deal. But remember, a recession, one of the ways that we measure if we are in a recession is that we have two consecutive quarters of GDP decline. And so I'm trying to dig up my GDP number here. I'll dig that when Dwight's given us in his comments first. But then there's another big mathematical calculation that will tell us, again, if we are in a recession. But once again, it's always something that is late. Dwight, did you hear similar type of comments? Absolutely. John, what we've been talking about is what is the likely outcome of a recession that's lower interest rates, right? I mean, I think you're starting to kind of see historically or traditionally what goes on. And, but no, we've been talking about, but you know, John, to your point, if you go all the way back to '08, '09, if I remember right, you know, they officially told us we were out of the recession sometime in '09. And, you know, Reno itself, remember didn't, in a real estate, didn't hit bottom until January of '12. So, you know, we had a long way to dig out of that when we were officially out of the recession. So, I mean, I think the feds are finally, to your point, getting what they've been after for so long, you know, is that just cooling that job market and boy, it may be really cool. So, I mean, but yeah, but I'm hearing the same thing, John. You're still in different commentary. Well, Corey, the real quick before we go to break, the comments, of course, about recession, very prominent today, no doubt about that. But also, you know, taking a look at the recession side of things, I dug up the GDP number. So, here's again what to look at. Again, as I said, one of the definitions of that we're in a recession, two consecutive quarters of GDP growth. So, let me go back a year from now. GDP for the second quarter of 2023, up 2.1%. Third quarter of last year, it jumps up to 4.9. Fourth quarter of last year, it falls to 3.4. First quarter of this year, it falls to 1.4. So, theoretically, by definition, Q4 of last year, Q1 of this year, puts us into a recession. Q2 that we just had jumped up from 1.4 to 2.8. So, we've got the seesaw action that's going on. Actually, Corey, hold your comment if you were my friend. When we get back, let's get your opinion on this recessionary side of things, and then that construction spending report. Let's turn it over to Kristen Snow, who's in the right now, traffic center, hey, Kristen? Welcome back to the John Sanchez Showing News Talk 780KOH, with Corey Edge of Edge Realty, Dwight Mallard of Guild Mortgage. All right, let's get the damage out of the way, folks. A 495 point loss on the Dow, percentage-wise, 1.21%, with a Dow closing of 40,347. Nasdaq down 405, 2.3%, closing at 17,194, and the S&P 500 giving up 75 points, 1.37%, finishing down a 54, 40, or two a level of 54, 46. Once again, small caps down a little over 3% on the Russell 2000, so it was a tough one all the way across the board. Russell, like I said, right at the 3% decline mark. Okay, once again, everything kind of changed at about seven o'clock this morning when we received, as I indicated, the ISM manufacturing report showing weakening in the industrial sector of the economy. If you doubt me, look at the performers of the Dow today, we had significant pressure and caterpillar, Boeing, so on, so forth, again, directly into the industrial sector side of things. Now, Corey, let's throw this ball into your court here for a second. As we said, construction's spinning down 3/10 of a percent. I mean, the economists are saying there's a lot of weakening going on underneath the surface as you've alluded to many times yourself, and then the recession question. Take it from there. - You know, I have your priority, you know, my answer. But to me, if we go into a recession where we've already had one, whether it's long or short, and though it's inevitable, in my opinion, just because of what we've gone through, as far as all the money flowing into the economy, the natural kind of slowdown that comes with that, these long and variable lags, what the Fed did, I'm not saying they were wrong in doing it, but what they did to bring these interest rates up to their current level, you have to have some kind of slowdown. That's what they were hoping to engineer. And it takes time for it to come through, and so now I think you're kind of starting to see that slowdown happen, and now they're gonna change course, and hopefully, you know, redirect the ship or bring it in for that software. I mean, which is still a possibility. They may get more aggressive. I'm sure you heard him talk about it today. More aggressive. Everybody's assuming a quarter point in September, but you may see a half a point. It just depends what kind of data comes in between now and then, but I think they're really-- - Well, let's go in between, Corey. Yeah, let's remind everybody, you all three of us know this. We've been around this game long enough. The Fed can come out and raise or lower rates anytime. They don't have to wait for a meeting. They're today very heavily criticized by many on Wall Street that they have waited too long. And I think this is, once again, Wall Street and its temper tantrums, or in this case, taper tantrums, very upset that we did not get the cut yesterday. Many wanted the Fed to give the quarter percent cut yesterday. Now the argument is, why the hell are you waiting all the way to September? Look at the data. The inflationary data has come down. You got a weak labor market on and on. Guys, I'm telling you this is starting to feel to me, and it's way too soon to make a solid prediction. So I'm just gonna use the word feel, which I hate doing. But this feels to me, again, that term taper tantrum that we have experienced many times in our careers, where Wall Street starts to wag the tail on the dog saying, look it, Powell, you better do something. We can't wait. And that meeting is later in September, or towards the end of September, I think it's 18th or something like that of September. So we got the entire month of August and half of September. So that's a long ways away. I'm gonna tell you one other quick thing, Corey, then I'll come back to your point. This is a global situation now. I'm watching the overseas markets. And right now, so forgive me when I give you this quote, but the headline that just came across CNBC right before we went to break, Japan's Nikkei plunges 4% with Asian markets broadly lower after Wall Street selloff. I'm looking at it now. I can't get an actual live quote. My quote is as of 507. It was down 3.69%. A 1,406 point loss on the Nikkei. Now keep this in mind, guys. Our Dow is at 40,347. Their Nikkei is at 36,737. So think about that, almost a 1,400 point loss. And the market's just open. So this is what I'm saying. This one, it seems to be a little bit different at this point on top of as we'll discuss in a moment. The really lousy numbers that we got out of Amazon and Intel, so on and so forth. And I'll just tell you right now, the future is here at home. Not in the best of moves. We have the Dow futures down 135, NASDAQ's down 118, S&P's are down 22. Sorry, Corey, back to you. Sorry to interrupt you. - Well, I know I was gonna say to you, and correct me if I'm wrong, but I know Intel kind of missed their numbers a little bit, but I thought I heard, are they laying off 15% of their workforce as well? - Yes, they are. That's exactly right. That's exactly right. - And so you're gonna, you know, who knows? You may still see those headlines, but those are all the kind of things and you're exactly right. The fact you come out at any point, if you remember going through the pandemic, you'd wake up one day and the market was way up because they announced you to cut rates. And then, you know, the next day is way down because they didn't think they cut them enough. And it's a, it's a taper tantrum, temper tantrum, baby tantrum, who knows, but the market definitely is way out of the dollar. - You know, it's interesting, Corey, about what you just said about the cutting rates. And I've cautioned everybody about this. When we saw the ECB cut interest rates, remember the European markets actually sold off at that point and I've cautioned everybody, don't get your hopes up there. We're gonna see a big market rally if, you know, when we get that first rate cut. And lo and behold, today we had the Bank of England cut rates by a quarter percent. And listen to, you know, back to the Eurozone numbers, German DAX was down 425 points today, or yeah, today I can still, 2.3%, London down 1.01%, France down 2.14%. So Bank of England, you know, cutting, market don't even react to it. And that's one of the things that we have to be very cognizant about here at home. If and when we get our first rate cut, that it's not gonna, it's no guarantee, folks, that we're gonna see this market rally on that news, because once again, the street already has a priced in. And now I think what we're gonna happen to Corey's point, it's gonna be the taper tantrum, Dwight, where investors are gonna be going. Once again, you were too late to raise rates. Now you're too late to cut rates. And we're gonna call the shots from here by stomping our feet and selling this market off. That's the possibility right now. - Yeah, John and I, I'm with you. I think they're, this is my opinion. I think there's a 60, 40 probability they're gonna cut it before September. I think, I think if they really believe they're going to cut it, I believe they're gonna see some data coming out. I think you're right, when we've seen this over the years, they, you know, when they do it, you know, they raise them and lower them at different times. I think it's, if it's baked in the cake and all that, I mean, okay, let's just, you know, but I think you got to, I don't even think it's a 50/50. I think they're gonna pull the trip. I mean, you still got 45, six, seven days. - Yeah, there's a lot of damage. - I just don't think the market. Yes, absolutely. And you start to see, like you said, these other foreign bankings cutting their rates. They're gonna have to step up. - That's right, that's right. Let's wrap it up on Intel real quick. earnings came in at two cents a share estimates for 10 cents, Rev 12.83 billion, expected 12.94 billion. Corey once again hit it right on the head, laying off 15% of their workforce, trying to see what that equates to as far as the, the number of people, but I don't see it directly. Oh, 15,000 employees, there you go. So they got 100,000 employees. They're laying off 15,000 employees. Mainly we'll take place this year. They said, largest of any single job cut listed on layoffs.fyi, an industry tracker. That's been operating since March of 2020. Think about that, guys. Let me repeat that real quick before we go to news. This is the largest layoff of any single company since this company started tracking layoffs in 2020. It's gonna take place this year. There we go, stock down a Buck 69 normal, 5.5% lost, 29.05 right now in the after hours, down another $5.49, 18.9%, 23.56. All right, we'll come back with that. We gotta hit Amazon and Apple's numbers, the other two major reports after the close. Let's turn it over to Jack Saban for news traffic and weather. Hey, Jack. Welcome back to the John Sanchez show on his talk, 780K awaits with Dwight Millard of Guild Mortgage, Corey Hedge of Ed Drility. Once again, we lost 495 on the dial. The NASDAQ gave up 405 S&P, lower by 75. All right, hopefully we're gonna get to our topic tonight. The listing agreement that there's so much news that has happened after hours, if not guys, we will do it on Tuesday. And again, as a reminder, as you just heard on the promo, our show will be moving to three o'clock starting next week. So we're really looking forward to that. All right, let's get to these earnings numbers very quickly, guys. I know everyone's anxious to hear about these. We'll start with Amazon. Let me tell you what the stock is doing. Regular session lost $2.91 to $1.84.07. Right now in the after hours, it is down an additional $12.67, 6.88% lost to $1.71.40. They made $1.26 estimates for $1.03. Revenue was a miss, $147.98 billion versus estimates of $148.56 billion. And the CEO on the call, of course, Andy Jassy, basically indicating that the consumers distracted. He said the consumers are distracted by the world events like the Olympics and the election, which make it tough to forecast the third quarter. So then they gave their revenue guidance, which was kind of midstream, blaming news events that consumers can't shop and watch the news at the same time. So don't know if I believe that one there. Okay, so there's Amazon. Now let's go to Apple. A little bit of a savior lost $3.72 in the regular session. Finished at $2.1836 right now up at $1.24 to $2.19.60. Earnies came in, slight beats here. $1.40 is share estimates for $1.35. Revenue, $85.78 billion estimates, $84.53 billion. So not moving much, like I said, up $1.24. So it would not surprise me to see that kind of get sucked into the little whirlpool that we're seeing with these tech stocks going down right now in the after hours. Japan's Nikkei, by the way, now down 5%. Dwight, let's get to the bond market very quickly. 13 basis point decline today. You broke 4%, 3.98%. Let's give the audience some good news 'cause the Lord knows I've been the deliverer of bad news for the last half hour. Here we go on the historic, right? I mean, this is mortgage rates are the lowest level this year. So I mean, this is fantastic news on top of, you know, what you're having to deliver. But the 30 year fixed rate, according to mortgage news daily, is 6.62%. So you're right in the mid fixes right now, John. And, you know, and again, I keep saying this is, you know, the top of the top borrower and all that. But I mean, I think all borrowers now pretty much are inside a seven for the most part, you know? So that's a welcome relief. So you're in the sixes. People are, you know, exercising as we've talked about concessions or, you know, the seller concessions to buy down the rate. But the one that I really love is FHA VA, John 6.13. I was gonna bring that up, yep. Yeah, so for a point, you know, you're in the fives. You know, you want to pay a point or point and a half or whatever it is, you know, I mean, you clearly now can drop into the fives. And I think we're getting close. I don't know what that number is gonna be. I've had this conversation several times. What number is it gonna be where you're gonna see people feel like they can get out of there three percent, three and a quarter to move around? In the five range. In the five range. I think it's what I hear from the fives. Yeah, I think five and a quarter, five and a quarter, maybe five and a half. I don't even know if it has to be that low, do I? I think, Corey, you had an opinion on this the other day. I think they can say, I don't care if it's five and three quarters, five and an eight, whatever it is. I think if they can just say, I'm in the fives, I'm at three, two percent differential economic advisory finance. Let's move on. What do you think, Corey? Let's get your opinion from the real estate set. I agree, it's a hard to pinpoint. I think somewhere in the fives, I've somewhere in there. But the other thing, too, is if people start here in the word recession, especially if you put it on the mood, then that's gonna, there's gonna be a title with, 'cause everybody is basing it on their Zilla value in their amount of equity. And the minute they think that equity might be going down just a little bit, they're gonna try to cash out. You just took the words out of my mouth. You just took the words out of my mouth. Okay, guys. Now, let's stay on this topic. So, most likely we're not gonna get to our topic tonight, guys. So, this is much more important right now. All right, let's put this into perspective. Why did you were going through that? I brought up your chart. And 30-year fixed, go back to October 16th of last year. You were at 7.94%. 7.94. So, remember we were joking about that? We were just spitting distance away from 8%. Here we are at 6.62, down eight basis points for the day. But to your point on the 30-year FHA, it was down 16 basis points today, to the 6.13 on the FHA in the 30-year VA 6.15. Okay, now, let's bring up this point, Corey, 'cause again, you beat me to the punch, 'cause you're so freaking smart. Word recession, Intel layin' off 15,000 people, largest one company layoff in years. What happens, Dwight, let's start with you. What happens in your industry, the lending industry, when the R-word starts to be throwin' around, what do people do? - Well, I think what you're gonna see is you're gonna see, to Corey's point, they're gonna try to get their equity out as quickly as they can. But I also think you're gonna start to see people that have been off the fence, start goin', "Okay, wait a minute, now I'm gonna start comin' on. "I'm gonna start shoppin' around. "I'm gonna start playin' this game again, "and I think you're gonna start to see some activity go on, "especially if this keeps goin' to John." I wanna mention that the mortgage-backed securities have broken away from the treasury, and they're really aggressive right now. I mean, if this keeps goin', I wouldn't be surprised if you're not low sixes by early next week. - Yeah. - You know what I mean? - I mean. - It's that. - Especially if we get a bad report tomorrow. - Won't that. Yeah, it's movin' that fast. So, I mean, that, but I just think the activity, people who've been sittin' around are gonna start, you know, so, yeah, it's hard to predict, but yeah. - So, let's bring Corey into this. So, Corey, let's do a little hypothetical to Dwight's point. Let's say this thing continues to fall meaning the 30-year mortgage rate, okay? So, it continues to fall. Let's just hypothetically say, I don't know, it's 6.62 today. Let's say we get down to 6.25%. But, that's one side of the teeter totter. We go to the other side, to your point. They start here in recession. Maybe we start gettin' some layoffs here locally. Whatever the case is, we all know. All three of us, I think, can confidently say, the consumer, throw away the recession word, et cetera. As you've always said, Corey, as long as they have a job, they're gonna go out there and they're gonna buy. But, if they start hearing recession, hearing layoffs around the country, that has to plant a seed in their mindset. You know what? I'm not callin' Corey this month or next month. I wanna see if my job's gonna be safe. Am I correct on that or am I off? - No, you're absolutely right. They're gonna stick around. - Three percent works if you have a job to pay for it. So imagine 15,000 people theoretically just lost their debt. So, let's say, 50 percent-- - High-pane jobs, high-pane jobs. - No, 50 percent of 'em own houses or condos or whatever they own. That's 7,000 units that are gonna be hitting them. Again, people are gonna hit the market, John, because people are panicked, or they will become panicked. And I think, usually what happens in these things, just, you know, from what I see is the average everyday worker, you need to write the rest of us, or the last ones to maybe, I don't wanna say see it, but react to it. So buyers will keep buying, to Dwight's point, they're gonna say, "Wow, that house was 600, now it's by 50. That's the best I've ever seen, I'm gonna buy it." But as soon as they start seeing Zillow go down every day, if that starts happening instead of going out, then you gotta watch out, because it's one of those things that breeds on itself. Maybe the market's perfectly fine, but it will breed on itself, some kind of fear, even if there's no fear that needs to be added. - Mm-hmm, mm-hmm. Dwight? - Yeah, well, I think perception's everything. We saw that. - That's a good point. - And, you know, John, when you were talking earlier, I started thinking to myself, "Oh, no, quantitative easing, you know, that they've gone so, you know." But you look at the feds have not done anything, and look where we're at. So I mean, it's happening without even them even doing anything. But, yeah, I think Corey's point, it just, you start hearing it, the news cycle starts showing it, it will generate what we saw, you know. - I'm starting to interrupt you guys. The Nikkei now down 4.91%, again, I gotta back up. Our dial closed at 40,347, okay? Think, you know, wasn't that long ago, we were in the 36 range. Nikkei's at 36,249, right now, as we speak, it is down to 1,888 points. Think about that for a second, almost a 2,000 point loss, and they've only been open for 48 minutes. - Wow. - Puts it in perspective, doesn't it? That's how powerful this whole global economy is. And when they, you know, when other countries start seeing us as slowing down, yeah, buckle your seat belts on that. Holy moly, let me give you a real quick check of the future as I turn my head against them. Yeah, Nasdaq's about the same down, about 122. Dow futures now down 186. So, it's not forget we have nonform payroll numbers tomorrow. If that number comes in, that a number of Wall Street doesn't like, yeah, accelerate, accelerate, accelerate under the downside. All right, we're gonna continue this discussion for at first, let's wrap it up with the wonderful and very understanding this evening. Kristen Snow. - Welcome back to the John Sanchez Show on News Talk 780, KOH, well, if you missed any of our shows this week or maybe you're driving and got distracted of tonight's show, not distracted driving, but just maybe took a phone call or something, don't forget, pick up our podcast at your favorite podcast distributor, iTunes, Spotify, et cetera, John Sanchez Show is there. You can't get away from us. Tell all your friends about it too. All right, Mr. Edge, your phone number, sir. - 673-6700. - Mr. Ralard. 240-2022. - Beautiful. All right, once again, we will discuss our topic that we were gonna do tonight, choosing the right listing agreement, et cetera, and learn, teach all about it. We'll do that on Tuesday afternoon, 'cause again, we're gonna be at three o'clock next week going forward, but to get a lot of market new, moving news, obviously happening tonight that we definitely had to discuss. Dwight, I've got a question for you, and I'm gonna put you on the spot, and so don't feel bad if you, I don't know, 'cause I haven't given you a chance to prep for this question, but here's something that came to mind during the break. - When, what year or years was the last cash out boom? Do you recall? - Well, yeah, I mean, it was '05-05-06, '05-07. - '05-07. - Okay. - Well, remember, John, we came up to 125% cash out, right? You know, that was the, we're in the crazy world, but yeah, that was the biggest, that was cash out. - Do you remember, again, I don't expect you to remember this, but maybe you do, you never cease to amaze me. - Where were rates around that time period? - Probably seven. - Seven, okay. - You know, yeah. - So, okay. So the reason I'm asking that, so, you know, to both of your points, that if these rates continue to drop, if the economy falters, and we see this boom, and, Corey, I love your point, I think, you know, kudos to you again, you know, people start seeing their Zillow values drop, they're gonna, uh-oh, I don't care where rates are right now, I don't care if they're six, seven, 20, whatever it is, I wanna preserve my equity and put it in my pocket, and not see it deteriorate. Because, Corey, that hurts, right? There's a lot of scars out there, people who did not do that the last time around, correct? - Absolutely. - When real estate values drop. - Yeah. - Yeah, and I don't think we're in, I don't think that's what we're heading for, but everybody remembers that, 'cause that's the last thing that happened, so there's gonna be a little bit of fear. If that's what happened, you know, John, this whole thing may just work itself out, we have a self-wanding, and everybody's happy, but we gotta look at both sides of it. - Yeah, well, definitely look at both sides, and as we always talk about on the stock market side, and we can use the exact same analogy on the real estate side. Have a defensive plan, figure out what you're gonna do. We're giving you the data on this show, we're telling you what we all see in our respective industries, and it's up to you, of course, and you and your team of professionals to formulate the best plan for you, because again, we can't tell you what to do on this show, not knowing you, but these two gentlemen, of course, are the best in the business. I think we do a pretty dynamic, good job. Sanchez wealth management, so between all three of us, and we'll throw in number four, Jason, of course, we're here to protect you and help you, and work with you on your specific plans and needs, et cetera, because things are feeling a little strange, folks, they're feeling a little bit strange, so let's see what tomorrow brings. Don't forget, we're gonna have the non-farm payroll numbers tomorrow. Again, this is a very important report, because again, we were talking about the labor side of things. Bogey right now, looking for about 160,000 jobs created. Last report, we're at 206, so unemployment's supposed to edge up to 4.2 for 4.1. Great, great job tonight, guys. We'll do it again tomorrow night. God bless everybody. (buzzer sounds) - This program was intended as general information only, and should not be taken as specific investment tax or legal advice. None of the information on this broadcast was intended to be a solicitation for the purchase or sale of any security. Further information is available by contacting john@santresswealthmanagement.com, or 775-800-1801. John Sanchez offers securities and advisory services through Independent Financial Group LLC, a registered broker, dealer, and investment advisor. Member FINRA SIPC. Securities only offered in states, John Sanchez is registered in. Sanchez Wealth Management LLC and Independent Financial Group LLC are unaffiliated entities. Dwight Mallard is not associated with Sanchez Wealth Management LLC or Independent Financial Group LLC. Dwight Mallard, co-host, NMLS number 241259. Guild mortgage company equal housing opportunity. NMLS number 3274. Dwight Mallard, NMLS number 241259. Envy mortgage company number 1141. Pranch address 5370 Kitsky Lane Suite 101 and 103 Reno, Nevada 89511. Phone number 9723812410. The information provided today is for educational purposes only. The position strategies or opinions of the show do not necessarily represent the position strategies or opinions of Guild mortgage company or its affiliates. All information loan programs, interest rates, terms, and conditions are subject to change without notice. Guild mortgage offers home loan financing only. Guild mortgage company is not affiliated with the John Sanchez show. Any speakers, companies, or institutions featured. This is a paid advertisement. - Hey guys, it is Ryan. I'm not sure if you know this about me, but I'm a bit of a fun fanatic when I can. I like to work, but I like fun too. And now I can tell you about my favorite place to have fun. Shumbah Casino. 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