Vera. There is not lot of inventory but not a lot of buyers they can take their. Time no multiple offers or bidding wars. It is you and the offer and the seller may entertain that. Brady dots in the summer if it is not in the range. People selling this time of year want to get out and are willing toe do it to. Re they could be desperate because the other sellers have taken their homes off the market thosean who are in the game are motivated and they have to do it now. A the buyers are motivated because they have good job transfer of lot of companies relocate in january. Serious sellers and seriouselle buyers. Gerri now look at Mortgage Rates. An they are still pretty attractive. Fourpoint 3 fixedrate 5 jumbo arm is 2. 9 . value appreciation they were ridiculous overpriced those that become more affordable because of that combination of these factors. N. So people on the sidelines m think maybe it is a good time to get in. Y you still have to research the cost but plunders may be willing to move up profits along more quickly because vol they do not have the volume. Check the ratings reduced if you play a right you could find a home that he would like. Gerri the first of the yearsons is the real reason to startmov thinking. If the plan is to move insp six months you may speed that up because there are rul new rules coming out with the jumbo loan. Your cost will rise if you i dont get on board quickly. Tighter lending standardsn stricter verification in the d debt to income cannot be above 43 so luxury buyers are jumping in now because they dont know what happened in 2014 and it did not have the conventional income like said 95 workers they buy now. Dv gerri in the last word of a vice . Note the market do your homework not six months ago but right now it is a very r slow period if the seller isnd ready to move if they are on the market, make an offer. It does not have to be ridiculous. Gerri there could be the negotiation where a lot of people are standing in line it was a different market. Vi and jump on it. Gerri good news for homeowners. Many faults with hybrid adjustablerate mortgages of likely to see us fighthly despite the threat of Rising Interest Rates we have kathy , as the ceo of realal worth network. H how is this happening . He there were big worries thatse these adjustablerateta mortgages may see a problem. We have to remember times have changed since 2006 when most homeowners got thoseho loans. Interest rates were 6. 5 or 7. 5 so today is great news because Interest Rates are much lower. T we talk about them going upp. But they are historically low and it is a fantastic t time to get along. For these people it is not an issue. Gerri is the money saver to l get lower rates but of course, it is adjustable over time you get someat breathing room for a littleittl while. Hat do you recommend people continue to buy the adjustablerate mortgage . They are not always the safe bet. I i dont like them. Ate we live in a country forre some reason we can get 30 year fixedrate mortgages it not doesnt happen anywhere else where else can you block y what can a pavement 30 years . P so many people are stuck printing afraid to buy or they can qualify but your renta will not stay the same 30 years by a fixedrate mortgage will. Definitely get the fixed if you cant. Thes gerri they are not thee h lowest Interest Rates on the record but they are close. This is one reason to buy real estate now because presumably rates will go higher. What is the expectation about the future of Mortgage Rates . The fed has made it clear i they want Interest Rates low to keep the recovery happening and they say they will not keep stopping intel of employment is at 6. 5. That when is that . Awhi it will be a while. , but when they go up, they built with a vengeance. I agree lockean the rate today. Ound gerri you can give us rea background people dont realize how quicklyqu they can go up what could we see for an increase if we have the eco big economic turnaround . How fast could they move . Very quickly because it is artificial. Theyve really should bed higher. N t in the 80s it was double digits people were buying holmes said 18 wn f interestrate. But is still made sense so if that makes sense we have to see but today for both investors and homeowners is to buy if you can. Qualify get as many as you can and and investors can get up to 10 loans. Gerri do what you cant afford. Do your analysis. Thank you for coming on. It is a great conversation. People are wondering. Thank you for the words of wisdom. Coming up next, lower rates have been great for stocks but it terrible force savers how long will the Federal Reserve keep their rates this low . Not only your Financial Health used a book that but how to properly prepare mentally. 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Energy lives here gerri more and more likely than next head of the Federal Reserve will be janet yellen she already faced the firing squad against easy money policy. Joining me now david, andum the chairman of cumberland advisers and jason with prestige economics. David, janet yellen will keep her foot on the pedal for as long as it takes. Are you a fan and . Id like janet yellen. N, the economy is not Strong Enough see employment issues we have talked about before. They continue. We do not have a robust recovery we dont have rising in, cover the real inc income change of this latest change is in years zero at half a point. Instead has no choice until they can reach a place to access. It is great to be on with nic jason i have not seen him in a while. Gerri i will plays somesh audial because she will be the next fed chairman. C it is important not toot remove support especially when the recovery is fragile and the tools available for Monetary Policy should the economy falter given with the shortterm interester rates are at zero. Gerri Goodness Gracious ity could be making a bubble somewhere with a free andre easy money floating around . , the first thing is theom median price of a home is pretty close at 300,000. There is 400,000 built perg year and the fed buys that much with Mortgage Backed securities every three months. D when you buy four yearsf worth of paul sinkhole home yea in the country it isou c creating a bubble you can see that in the home prices. Jun back in june you saw that with the hint of tapering. We dont have the a bubble yet. We could get one there iske not a bubble in the stock market but we could get one. We we dont have a bubble in the art market although there is sort record prices. But the new incoming fed chair, she has said, she has to reach a point where she gets to neutral but it is too soon. Gerri too soon . Should it stop now . It is funny i had a a discussion this morningul about this. Peri should the tapering p e is slowly are all at once . There are risks althoughro there are broad based bubbles appear is with the a housing bust on the east are coast and the southwest those areas are at risk. The next tapering decision s if you get a strong joba number for november there is a slight risk they could do something especially if it is big. I think things are elevated. Gerri david . Eric is another piece. E he has expertise in energy and oil. If you look at the build out of the Energy Sector you didil make the case for Falling Oil Prices also Agricultural Prices but then they start the tapering who will catch a falling knife in the mortgagebacked securitiesba are on the market and the rates will start to rise will the institutionalet investors go to mortgagebacked securities to let their rates go up . If they do then you run the real risk. Will there ever be a timeou that is good cheer taper . Gerri do you agree david . If you have Falling Energy pricesou utah fallingla energy rates if the rate is out one headed lower than the Interest Rate long term paper is for then the return s is good why do they have to shoot up . Were not creating the the federal paper at the rate we used to spin if they have to go fall higher because when Mortgage Backed g securities rent will go up because if you see those of mortgages that another hundred basis points higher rents is onethird of thel b core cpi. You could have the Energy Prices that are lower but if the event starts to go upge that isrr the significant upside risk. E we have janet yellen who has set out the course we may see the first tapering in march. It will be gradual and designed not to introduce shock. He is worried about that andpl so am i. Gerri janet yellen and people like her talk about how little inflation is a b good thing but i would sayant it is like a little bit pregnant. Ay it does not work that way. Thank you for coming on tonight. We appreciate your time. It is a pleasure. Gerri taking care of your e emotional as well as financial portfolio. How do you do that . Buy or lease a new car . Important factors to consider. Dont go away. The most Free Research reports, customizable charts, powerful screening tools, and guaranteed 1sond trades. And at the center of it all is a surprisingly low price just 7. 95. In fact, fidelity gives you lower trade commissions than schwab, td ameritrade, and etrade. Im monica santiago of fidity instments, and low fees and commissions are anher reason serious investors are choosing fidelity. Now get 200 free trades when you open an account. Yep. Got all the cozies. [ grandma ] with n fedex one rate, i could ll a box and ship it r one flat rate. So i kn untilt was full. Youd be crazy not to. Is tt nana . [ male announcer ] fedex one rate. Simple, flat rate shipping with the reliability of fedex. [ male announcer ] fedex one rate. Stick with innovation. Stick with power. Stick with technology. Get the flexcare platinum. New from philips sonicare. Retirement is not all about the money. How to be mentally prepared. Gerri you heard about saving for retirement but what about mental preparation . Death this stage comes with big changes the and you be might have to be just as prepared rehab our for psychologist, thank you for coming back. I find over and over men have a hard time with retirement. They dont know what to do with themselves. They go through different stages with different careers and different points as the mother or a wife. The whole thing itransition in. Gerri news say psychologically when you get close you have changes . On lot of hesitation or feeling you are out of a the workforce and put out to pasture as though as an adventure. But there is the whole gambit that people really f look forward to this. Ey h they have a hobby or a passion. Gerri that this is your portfolios so emotionallp things that you can invest in one of them being work . Absolutely freud said work a and love keep you going. It it can transform itself aed and to a different kind of work to something you havene b never done before. Volunteer work, help people. Gerri relationships with a significant other and family . Her . Get to know your family and grandchildren which is a joint and a pleasure. People say they should have grandchildren before children but it changes your relationship with your significant other because you have to respect the fact you are in a new phase of life. Plan on doing things together. Gerri this is important and interesting. Couples miss each other and want more time together but this much . You have to plan to have to get their time and notvidu together time for your individuals with differentave interests but make sure you do continue to do something together even if it is taking a walk. It is a different phase of life in you have to respectay that. Yo gerri also growth . Int intellectual and physical growth is very important. Keep on working your mind. Doing scrabble, takingscra classis, going to museums. Gerri cooking and gardening and playing golf. I could be busy. Hip talk about social relationships because you have the network is set around what you do for a pe living and people will drop out. A great opportunity to maket new connections younect havent had before. You can join universities ortie new groups extension class is, use it as an opportunitygs as an adventure of physical and intellectual. Gerri people are mentally prepared to so many areally caught up in the Emotional Trauma around to savings and the financial portfolio does that consume a lot of energy . I think it always has to the disadvantage not putting stock in what you were doing. But more important in retirement because you have more time to invest in your emotional self. Gerri most people these days dont think they will retire. Thinking about that for many of us is a pipe dream. Dr. Katherine thank you for coming. Coming up, buy or the say new car is simple but it depends. We will explain for a traveling by air . We have ways to snag the last minute best deals. We will be right back. Get paid to do something you really love, what would you do . [ woman ] id be a writer. [ man ] id be a baker. [ woman ] i wanna be a pie maker. [ man ] i wanna be a pilot. [ woman ] id be an architect. What if i told you someone could pay you and what if that person were you . When you think about it, isnt that what retirement should be, paying ourselves to do what we love . [ engine revs ] [ male announcer ] the mercedesbenz winter event is back, with the perfect vehicle thats just right r you, no matter which list youren. [ santa ] , ho, ho, ho [ male announcer ] get the allnew 2014 cla250 starting at just 29,900. In th r gerri in the market for a new car . More asking not what they should get but how to buy or lease we have thought carrheth coach. Here great to have you. You it seems more people or leasing the up popular thing is it the right choice to make . There are record sales going on right now and to with limited expenses and the budget is tight and they make the payments a little more palatable with a 39ng, month lease is not necessarily a benefit 72 months is a long time to make a payment and that is too long in my book. Gerri i agree. To get a luxury car the guys at the dealership will tell you this is a great deal what you want to do but how did you figure out if it is the right thing . Start with the basic math though length of the warranty if you lookrs at a highend data of a 100,000mile warranty but if you look at ford or gm or chrysler three years or 36,000 miles if youre outside the warranty somebody will pay when at the car needs work it is simple math that means you dont rent more than 36 months you go 10 or 15,000 miles if you drive less then 10,000 then forget the of these it will never we could be enough if you drive more than 15,004 get the lease on the car becauseon just maintain its. Th but of though window between 10,000 or 15,000 miles lookare at at the incentives there are great deals but dont be tricked into buying the 39bu month lease for those three months if there is a problem is audio. S, gerri lets talk aboutlet electric cars it is a goodle idea . If you consider the hybrid or electric vehiclebri only 20 percent of the United States ison eligible for those discounts youmu might be making too much money so check with ank accountant you know how to figure that out but take that information to look at those municipalities takers those a discounts then makehat your decision. With a date with the least at the end of the three Years Technology is constantly evolving everyy year uc longer distances in intercooler items they do walk away. Gerri it is every car with all the technology. I am shocked i have been in the market it is like a five hour instruction session to understand how to turn on the car. Talk to me about how bush wriggle room to these dealers have . To they negotiate or is it a deal is it a deal is that a . Deal . Yo we need to go carsho shopping together. If he were leasing there is movement but there is movement maybe there is of larger buyouts may be more money down read the smallat. Print i say this what the big print gives you thesma small print takes away so take your time bridal care if bad guy says he only have so much time you have as much time as you need even if you take, a copy because they can make the numbers suggest any way they want with great credit they will work with you. If you are back to the same brand there is discounting there is atto least 2,000 maximum available adjustment of then there is the same amount of money to not beco but on the table. Gerri a great job as always. The a newly released reporto say booster seats are getting safer. La how to go through thosehing options . We have our Senior Researcher at the senior at the institute for highway safetygh. What are the basics for the right if it . D o but gave up four it goes across the upper thigh not across the tummy in the shoulder belt is at the center of the shoulder not up on the neckot. Gerri what were you looking for . You came up with some great information what did you look for . Look we evaluate the seeds to make sure the of brewsterse guides up lap belts the best way to protect in a crash. Not writing up and the shoulder belt sits squarely. Gerri i never would have known that that is how iummy where the seat belt in thehav car but it is good bet your best bet talk to us about those. We evaluate 31 we have the top rating and what that means for parents as they could feel comfortable saidab booster seats will work to know why a variety of vehicles coming from sedanriet to the sec to be confident it will have a good fit every timeth. We encourage kids to keep fou kids toward phasing in a restraint as lo