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        <title>Real Estate Blog</title>
        <link>http://www.youragentgreg.com/blog/</link>
        <item>
            <guid>http://www.youragentgreg.com/blog/how-to-successfully-get-a-mortgage-in-2012.html</guid>
            <link>http://www.youragentgreg.com/blog/how-to-successfully-get-a-mortgage-in-2012.html</link>
            <author>tleocadio@sbcglobal.net (Tony Leocadio)</author>
            <title>How to Successfully Get a Mortgage in 2012</title>
            <description> <![CDATA[ 
Getting a mortgage in 2012 is a little more complicated than it has been in the past due to thechallenging economy and increased government regulation of the mortgage industry. In fact, it'slike a giant hurricane has swept through the housing and mortgage markets, leaving chunks ofdebris and danger in its wake. But never fear; that's why I am here! As your Certified MortgagePlanning Specialist, my role is to walk by your side, be your personal guide, and set you up forsuccess every step of the way. Here are a few of the challenges that we will tackle together as wenavigate the danger zone known as the 2012 mortgage process!New Good Faith EstimateThe US government has created a new version of the disclosure form known as the Good Faith Estimate (GFE). Theold GFE itemized all your closing costs and illustrated your "cash-to-close" - the amount of cash you would need tobring to the closing if you are buying a home, or the net proceeds you would receive at the closing from a cash-outrefinance. The new GFE lumps in your closing costs under certain categories instead of itemizing them, and does notillustrate your cash-to-close. Also, if the seller is paying closing costs or points on your behalf, this is not reflected onthe new GFE. In other words, it will look as though you are paying these fees even though the seller is paying them.As your Certified Mortgage Planning Specialist, I go above and beyond the government's minimum requirements for myclients. In fact, I have created special systems and easy-to-understand forms to help illustrate the total costs associatedwith the loan options available to you. Please contact me for more details.New Appraisal GuidelinesMost mortgage loans these days are either insured by the Federal Housing Administration (FHA) or sold to Fannie Maeor Freddie Mac. This means that mortgage banks and brokers need to follow the rules set by Fannie, Freddie, and theFHA. In 2009, Fannie and Freddie adopted new rules surrounding the home appraisal process. In 2012, the FHAfollowed suit and implemented many of the same guidelines. What this means for you is that the appraisal process isgoing to be more stringent and inflexible, costly, and time consuming than it has been in the past.Standardizing the mortgage planning process through participation with the CMPS community of experts.How to Successfully Get a Mortgage in 2012In fact, many appraisals now go through multiple layers of screening and are handled by Appraisal ManagementCompanies, resulting in higher costs and fees. Also, loan originators are prohibited in most cases from orderingappraisals or communicating directly with appraisers. Even so, it is important to keep in mind that an appraisal is simplysomebody's opinion of what your home would sell for in today's market. Appraisers are required to consider the sellingprices of short sales and foreclosures in the local market when determining the current market value of your home. Thismay result in a value estimate that may not agree with your own opinion of what your home may be worth. You and Iare entitled to disagree with the appraiser and have a different opinion, but the lending guidelines that we need to followrequire us to use the appraiser's opinion when calculating your loan amount and strategy.As your Certified Mortgage Planning Specialist, my commitment to you is that I will help you understand the appraisalreport once it is completed. If there are any errors, I will do what I can to get them corrected. Most importantly, I willwork hand in hand with you to adjust the mortgage strategy as necessary if the appraiser's opinion of value comes inbelow what you or I think your home may be worth.New Disclosure RulesThe US Congress has enacted some new laws, and the Federal Reserve Board has issued some new guidelines thatcould delay the loan process. For example, if the APR on your loan changes by more than 0.125% before the closing,the lender needs to issue new disclosure forms and give you time to review the new forms.Here are just a few examples of what could cause the APR to change:You decide to lock in your interest rate or get a rate lock extensionYou decide to reduce your loan amountYou are getting an adjustable rate mortgage and the index value changesYour credit score changes before closing, resulting in a higher rate or higher feesYou decide to pay more or less points than what you initially requestedAs your Certified Mortgage Planning Specialist, my commitment to you is that I will help you avoid costly delays to thebest of my ability by planning with you ahead of time and setting you up for success. While I can't control everythingthat happens during the loan process, I do have the experience to know what pitfalls to look out for and help you planaccordingly.Standardizing the mortgage planning process through participation with the CMPS community of experts.How to
 ]]> </description>
            <pubDate>Fri, 03 Feb 2012 14:32:03 -0600</pubDate>
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            <guid>http://www.youragentgreg.com/blog/the-year-of-the-dragon-real-estate-prosperity.html</guid>
            <link>http://www.youragentgreg.com/blog/the-year-of-the-dragon-real-estate-prosperity.html</link>
            <author>tleocadio@sbcglobal.net (Tony Leocadio)</author>
            <title>THE YEAR OF THE DRAGON, REAL ESTATE PROSPERITY!</title>
            <description> <![CDATA[ 



If  past history is any guide, the new lunar year could be when the housing recovery really gets under way.






Prices

U.S.

Calif.

O.C.




1976


+7.9%


+16.9%


na




1988


+4.3%


+18.4%


+24.9%




2000


+4.3%


+11.0%


+12.6%




Sales













1976


+23.7%


+23.0%


na




1988


+2.2%


+10.0%


+7.9%




2000


-1.0%


-0.4%


+2.2%






The Year of the Dragon officially begins today.


Not only is this slice of the zodiac associated with prosperity, it’s also associated with rising home prices and, more often than not, increased home sales — at least the last three times it came around.


Just look at the statistics from state and national Realtor associations.


Home prices were up considerably the last three Years of the Dragon — 1976, 1988 and 2000. And sales were up on a state and national basis in two of those three years.


To wit:




In 1976, the median price of a single-family U.S. home was up almost 8%, while in California, it jumped nearly 17%.


Sales that year were up at least by 23% both statewide and nationally.


In 1988, prices were up a more modest 4.3% nationally, while California’s price shot up 18%. It’s also the first year that the California Association of Realtors had figures for Orange County. How were prices locally that year? Up 25%!


Sales likewise was booming on the state and local level in 1988, rising 10% statewide and up 8% in O.C.


In 2000, prices were up on national, state and local levels, with California and O.C. home prices up 11% and nearly 13%, respectively.


Sales that year were down in the U.S. and in California. But in Orange County, home sales increased 2.2%.
























































Courtesy of the OC REGISTER





 ]]> </description>
            <pubDate>Wed, 25 Jan 2012 19:10:20 -0600</pubDate>
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        <item>
            <guid>http://www.youragentgreg.com/blog/orange-county-rents-on-the-rise.html</guid>
            <link>http://www.youragentgreg.com/blog/orange-county-rents-on-the-rise.html</link>
            <author>tleocadio@sbcglobal.net (Tony Leocadio)</author>
            <title>Orange County Rents on the rise!!!</title>
            <description> <![CDATA[ 
Rents in the OC are on the rise as less people are out of work. Orange County Register reports Irvine, Calif. as the highest increase in rents with a meteoric 8.9% equating to a $155 monthly increase to $1,897. The irony is the 30-year mortgage as fallen to a record low and home prices have not been appreciating. One reason rents are rising is occupancy has gone up and many people still don’t qualify for homes because banks are requiring pristine credit. Politically speaking the Federal Reserve’s monetary easing of rates only benefits the 1% while the 99% are taxed in other obscure ways, in this case, rising rents. Now that banks don’t have an insatiable appetite to push loans through so they can package and repackage them in investments that fueled bottom line growth they are all of a sudden overly prudent.


Overall, in the OC rents rose 5.8% in late 2011 from last year; the average rent rate is now $1,561. Newport Beach has the highest rent in the county with a rate of $2,012 per month. At that rate once banks start passing through mortgage applications many people who are renting will be able to afford a home.


 


 


 


 


 


 


Courtesy Orange County Register
 ]]> </description>
            <pubDate>Wed, 25 Jan 2012 18:56:50 -0600</pubDate>
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            <guid>http://www.youragentgreg.com/blog/fullerton-homes.html</guid>
            <link>http://www.youragentgreg.com/blog/fullerton-homes.html</link>
            <author>tparise@sbcglobal.net (Tony Parise)</author>
            <title>Fullerton Homes</title>
            <description> <![CDATA[ 
http://www.youtube.com/watch?v=MMpXhcIpYYg&amp;feature=related
 ]]> </description>
            <pubDate>Wed, 18 Jan 2012 11:55:34 -0600</pubDate>
                    </item>
        <item>
            <guid>http://www.youragentgreg.com/blog/top-5-reasons-to-buy-a-home-in-20121.html</guid>
            <link>http://www.youragentgreg.com/blog/top-5-reasons-to-buy-a-home-in-20121.html</link>
            <author>tleocadio@sbcglobal.net (Tony Leocadio)</author>
            <title>Top 5 Reasons to Buy a Home in 2012</title>
            <description> <![CDATA[ 
The American dream of homeownership is a very feasible aspiration for 2012.


There are many benefits of owning a home.  Yet some first-time buyers
 are skeptical of purchasing with the uncertainty surrounding the 
housing market.


The uncertainty many reference when speaking about the housing market
 involves a specific date when home values will increase. Since no one 
can pinpoint this date, the word uncertainty (when paired with the 
housing market) often reveals a negative connotation.


There are some factors we can be certain about in this housing market
 such as home values rebounding.  This is true; the housing market often
 moves in cycles.


It’s safe to assume that many Americans harbored the same uncertainty
 during the George H. W. Bush administration in the early 1990s when the
 national homeownership rate fell from its previous historic high of 
64.4 percent in 1980 to a low of 64.1 percent in 1991.


In the 1960s Lyndon Johnson illustrated a correlation between 
homeownership and accountability by stating “owning a home can increase 
responsibility and stake out a man’s place in his community…The man who 
owns a home has something to be proud of and reason to protect and 
preserve it.”


This statement is still true more than 50 years later.  There are many reasons to take pride in homeownership such as:




Appreciation – Buying a home now (at the current rates) can almost ensure your home’s appreciation in the future.  Mortgage rates
 are near historic lows and home prices in many parts of the country are
 down.  This is the perfect recipe for home appreciation.  Additionally,
 many foreclosed homes are available for a fraction of the original 
cost.  This can translate to a higher profit if you decide to sell once 
the market rebounds.






Property Tax Deductions – For income tax purposes, real estate property taxes for a vacation home and first home are fully deductible.  The IRS (Publication 530)
 provides detailed tax information for first-time buyers that may answer
 many questions about what deductions homeowners are eligible for.






Preferential Tax Treatment – If you own your home 
for more than a year and receive more profit than the allowable 
exclusion after the sale of your home, the profit will be considered a capital asset.  Capital assets are given preferential tax treatment.






Equity Building – Many factors such as credit qualification, loan flexibility, and annual percentage rate (APR) contribute to the final decision of what type of mortgage loan
 best fits your goals.  Yet, a new trend being used by some homeowners 
is to actually add money to their monthly payment to decrease the 
principal balance of their loans at a much faster pace.  This trend is 
called equity building.  Equity builders usually select a home loan with
 a lower interest rate (and a shorter term loan such as a 15-year fixed)
 to help build equity faster.  This rapid payment process allows 
borrowers to:






Pay off the principal balance faster


Lock in near-record-low interest rates


Shorten the length of their home loan


Own their home faster


Pay substantially less mortgage interest




Equity building is a beneficial trend that’s becoming more and more 
popular with fiscally responsible homeowners.  Also, home equity is the 
largest single source of household wealth for most Americans.




Pride – Homeownership offers many benefits to many 
different types of people.  For some homeowners, playing your music as 
loud as you want and painting the walls the color of your choice is a 
perk.  For me, homeownership will permit me to build an NBA regulation 
size basketball court on my own property.  For my coworker Joel Jarvi, 
home ownership may allow him to build the indoor slide of his dreams.  No matter who you are, homeownership is a purchase, commitment, and journey that’s sure to bring you pride.




Furthermore, when the uncertainty surrounding the housing market 
fades and the market rebounds, homeownership may in fact transform that 
pride to profit through a home sale.
 ]]> </description>
            <pubDate>Sat, 14 Jan 2012 18:36:28 -0600</pubDate>
                    </item>
        <item>
            <guid>http://www.youragentgreg.com/blog/top-5-reasons-to-buy-a-home-in-2012.html</guid>
            <link>http://www.youragentgreg.com/blog/top-5-reasons-to-buy-a-home-in-2012.html</link>
            <author>tleocadio@sbcglobal.net (Tony Leocadio)</author>
            <title>Top 5 Reasons to Buy a Home in 2012</title>
            <description> <![CDATA[ 
The American dream of homeownership is a very feasible aspiration for 2012.


There are many benefits of owning a home.  Yet some first-time buyers
 are skeptical of purchasing with the uncertainty surrounding the 
housing market.


The uncertainty many reference when speaking about the housing market
 involves a specific date when home values will increase. Since no one 
can pinpoint this date, the word uncertainty (when paired with the 
housing market) often reveals a negative connotation.


There are some factors we can be certain about in this housing market
 such as home values rebounding.  This is true; the housing market often
 moves in cycles.


It’s safe to assume that many Americans harbored the same uncertainty
 during the George H. W. Bush administration in the early 1990s when the
 national homeownership rate fell from its previous historic high of 
64.4 percent in 1980 to a low of 64.1 percent in 1991.


In the 1960s Lyndon Johnson illustrated a correlation between 
homeownership and accountability by stating “owning a home can increase 
responsibility and stake out a man’s place in his community…The man who 
owns a home has something to be proud of and reason to protect and 
preserve it.”


This statement is still true more than 50 years later.  There are many reasons to take pride in homeownership such as:




Appreciation – Buying a home now (at the current rates) can almost ensure your home’s appreciation in the future.  Mortgage rates
 are near historic lows and home prices in many parts of the country are
 down.  This is the perfect recipe for home appreciation.  Additionally,
 many foreclosed homes are available for a fraction of the original 
cost.  This can translate to a higher profit if you decide to sell once 
the market rebounds.






Property Tax Deductions – For income tax purposes, real estate property taxes for a vacation home and first home are fully deductible.  The IRS (Publication 530)
 provides detailed tax information for first-time buyers that may answer
 many questions about what deductions homeowners are eligible for.






Preferential Tax Treatment – If you own your home 
for more than a year and receive more profit than the allowable 
exclusion after the sale of your home, the profit will be considered a capital asset.  Capital assets are given preferential tax treatment.






Equity Building – Many factors such as credit qualification, loan flexibility, and annual percentage rate (APR) contribute to the final decision of what type of mortgage loan
 best fits your goals.  Yet, a new trend being used by some homeowners 
is to actually add money to their monthly payment to decrease the 
principal balance of their loans at a much faster pace.  This trend is 
called equity building.  Equity builders usually select a home loan with
 a lower interest rate (and a shorter term loan such as a 15-year fixed)
 to help build equity faster.  This rapid payment process allows 
borrowers to:






Pay off the principal balance faster


Lock in near-record-low interest rates


Shorten the length of their home loan


Own their home faster


Pay substantially less mortgage interest




Equity building is a beneficial trend that’s becoming more and more 
popular with fiscally responsible homeowners.  Also, home equity is the 
largest single source of household wealth for most Americans.




Pride – Homeownership offers many benefits to many 
different types of people.  For some homeowners, playing your music as 
loud as you want and painting the walls the color of your choice is a 
perk.  For me, homeownership will permit me to build an NBA regulation 
size basketball court on my own property.  For my coworker Joel Jarvi, 
home ownership may allow him to build the indoor slide of his dreams.  No matter who you are, homeownership is a purchase, commitment, and journey that’s sure to bring you pride.




Furthermore, when the uncertainty surrounding the housing market 
fades and the market rebounds, homeownership may in fact transform that 
pride to profit through a home sale.
 ]]> </description>
            <pubDate>Sat, 14 Jan 2012 18:36:18 -0600</pubDate>
                    </item>
        <item>
            <guid>http://www.youragentgreg.com/blog/ex-doomsayer-its-a-great-time-to-buy-a-home.html</guid>
            <link>http://www.youragentgreg.com/blog/ex-doomsayer-its-a-great-time-to-buy-a-home.html</link>
            <author>tleocadio@sbcglobal.net (Tony Leocadio)</author>
            <title>Ex-Doomsayer: ‘It’s a great time to buy a home’</title>
            <description> <![CDATA[ 
IT'S A GREAT TIME TO BUY A HOME!


 


A former housing market skeptic has become a housing market booster, telling a gathering of real estate insiders Thursday that now is “a great time to buy a home.”


Chris Thornberg, a former UCLA economist and a founding principal of Beacon Economics, once derided the NationalAssociation of Realtors and other housing industry bulls for saying that same thing back when the economy was overheated.


Thornberg told the Orange County Register that buying a home was folly in 2007, soon after the Realtor association launched an ad campaign telling Americans back then it was a good time to buy or sell a home.


“What’s the point of buying today when you can buy it for 10 percent less in a year?” Thornberg said at the time. “For the life of me, I can’t figure out that logic.”


Most who did buy back then lost their shirt.


Fast forward four years, and you hear Thornberg saying this at the Voit Real Estate Services’ commercial real estate forecast in Newport Beach: “If you’ve been thinking about buying a condo in Vegas or buying a condo in Miami, buy now.”


But don’t expect prices to bounce back next year, he warned. Or the year after that.


“It is definitely a long-term hold,” he said.


It’s a dramatic turnaround for the man who began using the B word years before the housing industry and even former Federal Reserve Chairman Alan Greenspan acknowledged the existence of a housing bubble.


Thornberg’s forecasts have been increasingly optimistic over the past two years ago.


But Thursday, Thornberg said, “I’m probably the most optimistic than I’ve been about the economy in the last eight years.”


 




Economic indicators (click photos to enlarge)








Retail: Up 10% in 2 years








 




Exports: Up 30% in 1 year.








 




Industrial: Up 12% in 2 years.










Thornberg cited a host of indicators pointing to improvement. Durable goods orders, industrial production, imports, exports, rail car loadings and hotel occupancy rates all are up. Home and consumer delinquency rates are down.


Commercial real estate vacancies have peaked and are starting to come down, he said.


 




Click for 2011's top-viewed "Really's"




Personal income in California is up 6.5 percent. Business inventories declined just as consumer demand took off, which will spur production. Hiring, a lagging indicator, is starting to heat up, and “that’s going to continue,” he said.


The threat from the Euro debt crisis is overblown, he maintained. At worst, it will cause a mild recession in Europe, which won’t be enough to bring down the world economy.


Inflation? There’s “no sign of inflation at this point in time,” he said.


Thornberg cautioned that the economy isn’t out of the woods. Consumers still are overspending. A solution is needed to the federal deficit. A financial panic could derail the recovery.


The U.S., he said, still is far from full recovery.


But “this is going to be a good year,” he concluded. “You’re going to see pops in all sectors. Yes, there are some bumps out there. … But this is as optimistic as I’ve been in a long time.”


 


Courtesy of the OC Register


.
 ]]> </description>
            <pubDate>Fri, 13 Jan 2012 12:46:53 -0600</pubDate>
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            <guid>http://www.youragentgreg.com/blog/people-are-buying-homes-and-getting-mortgages.html</guid>
            <link>http://www.youragentgreg.com/blog/people-are-buying-homes-and-getting-mortgages.html</link>
            <author>tleocadio@sbcglobal.net (Tony Leocadio)</author>
            <title>People Are Buying Homes AND GETTING MORTGAGES!</title>
            <description> <![CDATA[ 
Many believe that very few houses are selling and that almost no one can get a mortgage. 


We want to let everyone know that neither of these assumptions is true. Recently, the National Association of Realtors (NAR) released their Existing Homes Sales Report. According to the report there are, on average, 12,109 homes selling in the United States EACH and EVERY DAY! That means that approximately 12,000 houses sold yesterday, approximately 12,000 will sell today and approximately 12,000 will sell tomorrow. 


So the thinking that homes aren’t selling just isn’t true.Another interesting fact in the report was that 72% of these transactions were accompanied by a mortgage. That means that approximately 8,719 people qualify for a mortgage on a daily basis in this country.


There are over 12,000 homes sold and over 8,000 mortgages granted every day. The real estate market is doing better than many believe.


 


courtesy of The KCM Blog
 ]]> </description>
            <pubDate>Wed, 11 Jan 2012 08:17:41 -0600</pubDate>
                    </item>
        <item>
            <guid>http://www.youragentgreg.com/blog/those-fools-the-housing-bust-is-over.html</guid>
            <link>http://www.youragentgreg.com/blog/those-fools-the-housing-bust-is-over.html</link>
            <author>tleocadio@sbcglobal.net (Tony Leocadio)</author>
            <title>Those Fools… The Housing Bust is OVER</title>
            <description> <![CDATA[ 
"The bursting of the global housing bubble is only halfway through," The Economist magazine wrote recently.I disagree…Here in the U.S. at least, the housing bubble is completely over.


It drives me nuts when I hear commentators say, "We're halfway through," and, "We have more pain to come."Here's the FACT: Right now, houses in America are the best value they've been in many generations.It's not hard to understand…The Economistshowed
 a chart of home prices relative to incomes in that article. Instead of 
showing that home prices are expensive, the chart shows that U.S. houses are the best deal in history (going back four decades), relative to U.S. incomes.Now, how can The Economisthave
 an article about the continuing global housing bust… and then show a 
chart showing U.S. homes are the cheapest in four decades?To attempt to explain this, The Economist
 says, "Prices [in America] may have reached a floor, but this is no 
guarantee of an imminent bounce." Yes, that's correct. We can't know the
 future. We can't know if another 5% dip is in the cards. But c'mon…We
 CAN know that extraordinary value exists right now in U.S. housing. You
 have the chance to buy fantastic properties at possibly 
once-in-a-lifetime prices.So what if there's "no guarantee of an imminent bounce"? When do you get a guarantee like that in investing anyway?Another gripe I have is that the housing price-to-income ratio – The Economist's
 measure of value – is actually understating the opportunity. People 
don't buy homes based on the price of the house relative to their 
income. People buy homes based on the mortgage payment of that house, 
relative to their incomes.And right now, mortgage rates are off-the-charts low…In
 1980, mortgage rates were 15%. In 1990, they were 10%. In 2000, they 
were 8%. Today, they are BELOW 4%. It is the greatest deal in U.S. 
history.Anyone who's ever bought a house knows that a 15% 
interest rate in 1980 is dramatically different than today's rates below
 4%. Any measure of housing affordability over time that doesn't 
consider the mortgage payment is simply not that useful.Housing prices are the best value in history, according to The Economist's
 own chart… And if you include mortgage payments in your calculation 
instead of house prices, U.S. houses are actually a dramatically better 
deal.In short, now is the time to buy a house in America.Look, I get it… Times are tough. Most people either can't or won't take my advice to buy a house. But it is the right advice…I
 am trying to follow it myself… My right-hand man Brett Eversole has 
been forced to step away from his computers over and over again to go 
look at local properties with me.And Porter Stansberry (the founder of Stansberry &amp; Associates and the publisher of DailyWealth) is doing the same thing I am… investing in beaten-down real estate.The reasons to buy now are incredibly simple: 




U.S.     home prices are more affordable than ever – by far. (Here 
in my home state     of Florida, prices in many cases are down by half.)


Mortgage     rates are down to record-low levels, below 4%.


You     can often pay below-market prices (as banks try to unload properties, for     example).





Of course, as The Economist says, there is "no guarantee of an imminent bounce."But
 with prices this low and with very few other great places to put your 
money in our zero-percent world… if you can swing it, you need to 
consider buying a house.If you can buy right, and hang on for a couple years, it could be the lowest-risk, highest-reward investment you ever make…In America, the bursting of the housing bubble isn't halfway over. It's COMPLETELY over.Stop procrastinating. If you can do it, get on it, 



 ]]> </description>
            <pubDate>Tue, 03 Jan 2012 15:28:56 -0600</pubDate>
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            <guid>http://www.youragentgreg.com/blog/brea-homes-for-sale1.html</guid>
            <link>http://www.youragentgreg.com/blog/brea-homes-for-sale1.html</link>
            <author>tparise@sbcglobal.net (Tony Parise)</author>
            <title>Brea Homes For Sale</title>
            <description> <![CDATA[ 

 ]]> </description>
            <pubDate>Sat, 24 Dec 2011 09:54:39 -0600</pubDate>
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