Hello again everyone;

I wanted to let each of you know that I have many investors available to fund local loans, throughout Sonoma County and the contiguous counties.

It’s been a really busy month for hard money loans and I know with the current real estate market it isn’t going to quiet down, which is fine with me.

I like being able to work with many of you, helping your clients get their deal closed!

Below are recent hard money loans funded through my office.  I hope it gives you a better idea of how I can service you and/or your clients with hard money loans. 

Best,

Broker

RECENT HARD MONEY LOANS

Martinez, California – Refinance

Hard Money Loan of $280,000 for 60 months @ 8.5% interest only!  Borrower has owned this rental property for 12 years.  It’s a 4/2 and 1,430 sq. ft. with a 7,000 sq. ft. lot. Based on comps has a loan to value of 53.8%.

Healdsburg, California – RUSH loan for owner occupied purchase

Hard Money Loan of $220,000 for 85 months @ 9.25% interest only!  Loan to value is 36.67%.  The home is 3 bed/2 bath and 1,900 sq. ft. on a 19,119 sq. ft. lot (.44 acre) that was just completed.  Good looking home.

Mountain House, California – Owner occupied purchase

Hard Money Loan of $150,000 for 85 months @ 10% interest only.  Loan to value based recent appraisal is 40.5%.  The home is 4 bedroom, 2.5 bath of 2,791 sq. ft. on a 6,098 sq. ft. lot.  Very nice home.  Good loan to value.

Oakley, California – Owner occupied purchase

Hard Money Loan of $245,000 for 85 months @ 10.25% interest only!  Loan to value is 70%.  The home is 4 bed/3 bath and 3,486 sq. ft. on an 8,838 sq. ft. lot that was built in 2007.  Nice looking home.

Oakland, California – RUSH loan for non-owner purchase

Hard Money Loan of $93,750 for 24 months @ 12% interest only.  Purchase price is $125,000.   Loan to value is 75%.  This is a duplex.  Units are each 2 bed/2 bath of 788 sq. ft. on 4,791 sq. ft. lot built in 1946.  Buyer is a busy realtor. This is my 5^th loan to her.

Santa Rosa, California – Owner occupied purchase

Hard Money Loan of $80,000 for 85 months (@ 12.0% interest only.  Loan to value of 70%.  The unit is a 2/1 at 816 sq. ft. built in 1959.

Brokerville, California –  Refinance

Hard Money Loan of $50,000 for 85 months @ 8.0% interest only!  This is a cash-out refinance for a property that was purchased all cash in March 2012 for $140,000.  Loan is 35.72%.  The home is 2 bed/1 bath and 908 sq. ft. on a 6,534 sq. ft. lot built in 1950.

Borrower stated they did spend $45,000 to $50,000 remodeling the home.

Stockton, California – Non-owner purchase

Hard Money Loan of $53,000 for 36 months @ 13.0% interest only.  Loan to value is 70%.  This is a short sale that is finally happening.  This is a 4 plex.  Rents will be from $750 to $900.  Buyer has been a real estate agent for almost 4 years.  This will be the 4^th loan I have done for her.  She has decent credit and great income.

Our loan approval is based on just 2 criteria:

1. Good Down Payment

2. Ability to Repay

• Owner Occupied and Investor financing
• FAST private money purchase financing Sonoma County and contiguous Counties
• FICO is not a factor
• Up to 75% loan-to-value – Case by case basis
• Lower rates with Good Compensating Factors– Case by case basis
• Loan amounts from $40,000 – $2 million
• Fast refinancing.

SPECIAL NOTE: WE CAN DO A LOAN FOR SOMEONE FRESH OUT OF FORECLOSURE, BANKRUPTCY OR SHORT SALE!

CALL FOREST – The Guy in the White Hat – at (707) 523-2099;

Or email him through the website at: www.sunpacmortgage.com

The below article (reprinted with permission) is an exact description of the relevance and importance of Private Money Lenders here in Sonoma County, in the USA and probably planet wide.

If we left it to the bailed out banks, zero money would have been lent during the years of the most recent real estate debacle.

The dust is finally settling on who remains standing in the real estate lending arena.  It really boils down to the “A” lenders who do the 30 year fixed loans and the Private Money Lenders.  There are no more “B” and “C” lenders.  There is no subprime lending.

There is no World Savings with their Quick Qualifiers and stated income programs.

After you take your shot with the “A” lender(s) and they say “NO”, you go straight to Private Money.  These Lenders stand ready and willing to fuel the future of real estate in America today.

Article: TheNicheReport “PRIVATE MONEY LENDERS HAVE FUELED THE REAL ESTATE RECOVERY“  by Corey Curwick Dutton, a private money consultant for Private Money Utah. www.PrivateMoneyUtah.com
 

Best,

Owner

Owner/Broker – The Guy in the White Hat

Below are recently funded loans through my office. I have been extremely busy with the many loans coming into our office, but don’t think this will put your loan on a back burner.  Oh no, we give fast and friendly service to every single person!

Please take a look at these loans, to see if you have similar scenarios that I could possibly be of service to you.  If you or someone you know has been turned down elsewhere for a real estate loan, don’t hesitate to contact me if there is any equity involved or some cash for the down payment.

No matter where you are in Northern California, when you think of Hard Money – big or small loans – think of The Guy in The White Hat at Sun Pacific Mortgage and Real Estate to fund that loan!

Best,
   Broker

                               Funny and Informative Video: http://youtu.be/k5wcwytcWes

FUNDED RECENT HARD MONEY LOANS

Owner Occupied Purchase Loan: Lincoln, CA – $130,000 for 85 months @ 8.0% interest only.  Purchase Price is $280,000.  Loan to value is 46.4%.  Home is a 2 bed/2 bath at 3,086 sq. ft. built in 1938 on almost 1/3 acre lot.  This home sold for $630,000 on 8/2/2006!

Investment Property Loan: Earle Street, Santa Rosa –$140,250 for 85 months @ 11.5% interest only.  Purchase Price is $187,000.  Loan to value is 75%.   The home is a 3 bed/1 bath at 1,037 sq. ft. on a 4,356 sq. ft. lot.  Buyer has 15 years in the same line of work and she can easily afford the home.

Commercial Loan: Foothill Blvd, Calistoga –$400,000 at 12% interest only for 60 months.  Appraised value as of 12/10/2012 is $930,000.  Loan to value is 43%. Borrower has owned the property since 1991 and her parents owned it before that.  2 of the 3 units on the property are rented for a total of $8,000 monthly.  She is currently under negotiations for a tenant for the 3^rd unit.  The longest term tenant is an auto repair shop.

Owner Occupied Purchase Loan: Crockett, CA – $128,175 for 85 months @ 12.0% interest only.  Purchase Price is $170,900.  Property is 2 bed/1 bath at 1,309 sq. ft. The lot is 5,670 sq. ft.  The Buyers have FICO scores in the 680+ range, very little debt, the husband has been on the same job for over 7 years and has great verifiable income.

Our loan approval is based on just 2 criteria:

1. Good Down Payment

2. Ability to Repay

• Owner Occupied and Investor financing
• FAST private money purchase financing Sonoma County and contiguous Counties
• FICO is not a factor
• Up to 75% loan-to-value – Case by case basis
• Lower rates with Good Compensating Factors– Case by case basis
• Loan amounts from $40,000 – $2 million
• Fast refinancing.

SPECIAL NOTE: WE CAN DO A LOAN FOR SOMEONE FRESH OUT OF FORECLOSURE, BANKRUPTCY OR SHORT SALE!

CALL FOREST – The Guy in the White Hat – at (707) 523-2099;

Or email him through the website at: www.sunpacmortgage.com

LENDER’S VIEWPOINT
by Broker, Owner

New Year – New Regulations Loan Structure in My Office

I want this article to be nothing but positive, because that is my attitude going in to this new year in the face of new regulations.  A lot of new regulations.  Tons of new regulations.  More friggin’ regulations than you can shake a stick at.  But I digress.

I just read that the new laws regarding loan originator compensation are 541 pages!  Sorry, digressing again.

I only do Hard Money loans.  They break out into 2 rough categories – Owner Occupied Principal Residence and Investor loans.  Investor loans is the broader category because an investor is someone who is buying or refinancing something other than an owner occupied principal residence, be it land, commercial or mixed use property.

My strength is in loan amounts around $400,000 or less.  I do larger loans on what I deem a case by case basis.  I have gotten many, many loans over $400,000 done, but the real sweet spot with my investors is $400,000 and under.

Rates in my office for both owner occupied and investor loans vary according to the loan to value.  The higher the loan to value the higher the rate.  I will lend as high as 75% loan to value but more normally I lend to 70% loan to value.  So the higher rates in my office will be at those LTVs or loan to values.

Credit can affect the rate a Buyer or Borrower gets. If it’s really bad and fresh stuff – like a recent short Sale, foreclosure or bankruptcy, it can affect the rate.  Not always, but sometimes.

Income is now something the Feds have compelled us to look at for hard money, especially the owner occupied loans.  Debt ratios need to be under about 50% or there needs to be enough disposable income after paying all monthly debts.

That’s pretty much the structure in my office.  The complete line-up of available loan programs across the USA is a much shorter list than in years past.  There are A paper loans for borrowers who have good credit scores and good verifiable income.   And then there is Hard Money.  There used to be a lot of in-between programs like subprime loans, B and C paper, etc.  The in-betweens have virtually all gone away.

I can Pre-Approve someone in about 5 minutes and can write a Pre-Approved Letter right after doing the loan application. You can always call me and run your loan scenario by me.  I pick up the phone and I am really great with emails.

Owner- the Guy in the White Hat – is a CA DRE Broker with 25 years of experience in real estate and lending throughout Northern California. His phone number is (707) 523-2099. See regularly updated website @ www.sunpacmortgage.com.

The real theme of this article should be all the change- and it has been an avalanche – wrought by the government in recent years to handle something that simple attrition has fixed. The problematic players in the real estate debacle, both the banks and the unscrupulous loan agents have, in the main, fallen out of the business. I assure you that the ones who remain in business are more likely the true professionals who figured out the current lending environment and are still making a living within the ever tightening market.

The purpose of this article is twofold:

1. To encourage Buyers/Borrowers to find a loan agent that will competently represent them in getting the loan necessary to purchase a home or refinance and

2. To be prepared to dump any loan agent that demonstrates anything but number

1. Actually the main purpose for this article is to get the Buyers active in the market –IN SPITE OF ALL THE NEW REGULATION. As of January 2011, the main problem facing Buyers and those looking to refinance, are the too strict lending guidelines brought about by the governments legislative response to the real estate debacle of the last 5 years. I read a great article the other day written by a loan processor who worked for a busy lender. She said the new rules are restrictive and a horror but they are the current dictates. Quit griping about them and learn what they are so you can get the purchase or refinance done for that borrower. Griping about it solves nothing. Along that same vein, as a borrower, the new regulations are here to stay and you will have to deal with them to be a borrower, whether you are buying or refinancing. Do not be chilled by the fact of tighter regulations. Get out there and find out what you can do. Then do it or get a plan for doing it. “The only thing to fear is fear itself.” (Franklin D. Roosevelt 1933)

So I mention the current strict guidelines as the main problem, but it filters down to the banks that actually are on the streets with the loan programs that must meet those guidelines and the loan officers who still have to sell those programs, however restrictive (oops! I forgot I’m going to stop griping). To keep it really simple, you will really not know if the loan officer you have chosen to do your purchase or refinance is worth a darn until you get into the transaction. As soon as you get the feeling that they are stopping your transaction from going smoothly or outright putting problem after problem in your path, grab your file and try again elsewhere.

You are hitting up against a problem with the loan officer not knowing what is going on with the current underwriting guidelines, the guidelines from the bank being overly restrictive for what the regulations actually call for, the way they have to deal with appraisals is killing your deal, etc. Whatever it may be, you will know if it feels uncontrollable. This is the time to at least start looking around to see if the problem you are encountering with that lender/loan officer can be solved by a competing lender. You know, years ago I would never have suggested that you look elsewhere once in process on a loan. But the current lending environment is completely wacko right now and it should compel a buyer/borrower to operate differently to get the job done competently.