California in Peril Again as Heavy Rain Triggers State of Emergency
The usually golden state of California is in peril once again as it gets dangerously drenched with heavy rain. President Biden has declared a state of emergency after yet another atmospheric river hit the state. The National Weather Service has warned that even areas that don't normally experience flash flooding will be affected by this "burst of heavy precipitation" last weekend.
California is still reeling from the devastating effects of the deadly storm in January and the blizzard last month. But now, it's facing yet another challenge as it struggles to recover from the floods. It's time to stand with California and help each other through this difficult time. Let's pray for the safety of our people and hope that they can recover soon.
US Labor Market Sizzles with Job Growth Despite Inflation Fears
The US labor market continues to sizzle with the addition of 311,000 jobs last month, as reported by the Bureau of Labor Statistics. This job growth was more than expected, defying months of interest rate hikes aimed at curbing inflation and signaling a robust labor market. However, the job growth rate was lower than that seen in January, and there was a slight slowdown in wage growth, leaving the Federal Reserve's next move uncertain. Despite these uncertainties, the US labor market remains strong, and job opportunities abound. Let's hope for continued growth and prosperity for all.
Silicon Valley Bank Failure Puts Low-Income Housing at Risk
The collapse of Silicon Valley Bank has put affordable housing projects in San Francisco at risk. The bank, which manages assets for many low-income housing developers in the region, was shut down by federal regulators, freezing more than $200 billion in assets. At least two affordable housing projects are expected to be impacted, including The Kesley, a 112-home project near the Civic Center. One pro-development nonprofit has estimated that up to 20 affordable housing projects in San Francisco could be impacted, but a wholesale catastrophe is less likely than minor delays in funding and project timelines. The federal government is working to ensure that affordable housing nonprofits are made whole.
Uncertainty Looms as Silicon Valley Bank Failure Hits Startups
Startups are concerned about paying their employees following the collapse of Silicon Valley Bank. Payroll provider Rippling notified customers that payroll processing had stalled as SVB helped process its payments. Startups may not be able to make payroll next week, leading to mass layoffs. More than half of tech companies keep most of their cash at SVB, meaning many people may not get paid. One startup had planned to do layoffs but was unable to due to the SVB situation. Others were considering layoffs or furloughing, as it is illegal to have employees without paying them. Startups are discussing their options with lawyers. SVB's collapse is causing panic among startup founders who are uncertain of the impact it will have on their businesses.
Silicon Valley Bank failure leads to largest bond rally in 4 months
Silicon Valley Bank's recent failure has become the highest profile bank failure since the Great Financial Crisis, with news of the event overshadowing today's jobs report. Despite higher headline job creation, lower wage growth, and higher unemployment, traders seemed willing to take this in stride, with the net effect being one of the largest bond rallies in four months and one of the five biggest rallies of the past decade for Treasuries. This development is expected to be good for bonds, as evidenced by the significant rally. Despite the news, the jobs report was not completely ignored, but it did not significantly impact trading activity. Overall, the failure of Silicon Valley Bank has captured the attention of the financial industry, and its effects are being closely monitored.
Is the Bay Area housing market crashing or slowing down?
The Bay Area housing market has experienced a significant slowdown in home sales, with a 36.9% decline in sales in January 2023 compared to the same month the previous year. This is due to an increase in mortgage rates, making it less attractive for potential buyers, and a sign that the Bay Area housing market is slowing down from the intense competition and rapid pace of the past two years. However, despite the recent decline in home sales, it is not necessarily an indication that the market is crashing. The median sale price for a Bay Area home in February 2023 was $1M, which is still high, and the market shift presents new opportunities for potential buyers who may have missed out on the competitive market of the past two years.
The Ultimate Real Estate Investing Advice
From renting to owning: How millennials can build wealth in real estate
Millennials, invest in real estate now to build long-term wealth. Despite the high cost of purchasing property, investing early can leverage time to your advantage. The Bay Area offers an attractive investment option due to its strong job market and high demand for housing, with historically low-interest rates and appreciating property values.
Owning property provides a stable source of passive income and tax benefits. By renting out property, millennials can generate additional income while building equity in their investment. Investing in real estate can be intimidating, but it's an excellent option for building long-term wealth.
Don't wait any longer to start investing in your financial future.
Foreclosure and Federal Tax Liens: What You Should Know
If a taxpayer owes a tax debt to the Federal government, the IRS will file a federal tax lien in the county records of their address. This lien attaches to all their real property interests in that county and attaches in the same chronological order as any other monetary lien.
To remove the lien, the seller can pay the debt, and the IRS will record a Certificate of Discharge within thirty days. If sale proceeds are insufficient, the seller can apply for a Discharge of Property to release only the subject property from the lien.
In bankruptcy, it may be possible to sell the property free and clear of the federal tax lien with a proper order from the U.S. Bankruptcy Court, but the obligation remains.
Federal tax liens survive foreclosure, as the IRS has a 120-day redemption period following a trustee's sale, provided the lien was recorded more than 30 days prior.