Mortgage Blog

There were ebay biddings for the lunches with Warren Buffett every year. And according to the two Chinese who had lunch with him, they did not talk about how to invest. Instead, they talked about the wisdom of life. According to the first guy, Warren Buffett shared with him about the wisdom of life, about  what we should no do. 1)Do not do/invest what we do not know 2)Never ever short stocks(stocks can go low very high, and the loss could be huge) 3)Do not use margin. He is very conservative, right?

For the second guy, Buffett shared about ow to balance the life. He said: Never become rich twice. It is good when you become rich, then fail and lose everything and become rich again. But a lot of people will suffer badly for the life in-between. Often they will lose the family, friends etc. If you are a wise person, do not risk your life so you can avoid "becoming rich twice".

And coincidently, I saw this on yahoo today: Money does not make people rich. Knowledge does. Do not you agree?

And somebody told me the difference about rich and wealthy. He just gave one example: Kobe Bryant is a rich guy, but the guy who wrote the check to him is wealthy.

The interest rate went up a lot for the past 2 weeks. And today is the first day to see the rate going down a little bit. It might be the first day of the reversal signal. For the Jumbo loan, if you think 30 yr fixed rate is high, then 10/1 ARM is not bad either. Today's rate is 3.75% for no closing cost for most loan programs.