For over 34+ years in the lending business, we have always viewed our Investors as our biggest asset. Without you there would be no Sun Pacific Mortgage! You provide the revenue that allows Borrowers to become homeowners. We have always strived to be as transparent as possible to support the confidence and trust you place in us.
With this in mind, we thought this might be a suitable time to review just what happens behind the scenes here at our office, before we even present a loan to you.
There are a number of qualifications we put a Borrower through, starting with the loan to value, loan amount, location, and property. Provided the property is lendable, the loan amount & loan-to-value are reasonable, and the location is within California, we will take the next steps to qualify the loan.
This next step is to obtain the necessary information & verification about the Borrower, including a loan app, credit report, preliminary title report, something supporting the income & assets of the Borrower, and property valuation (we require documentation to support the valuation such as MLS Comps, a BPO, online valuation methods, or we will get an appraisal if the loan is over 65% LTV, a Commercial property, or if value isn’t apparent).
We work to get something to show what the Borrower’s stated income is; such as bank statements, CPA letter, employment letter, paystub, 1099, 1040s, W-2, etc. It is also important to let you know we always speak directly to any Borrower 65 years or older, to ascertain that they fully understand the loan, fees, are coherent, etc.
As a note, many other Private Money companies do not obtain anything showing income or assets; they lend solely on the equity in the property. That type of lending is true Hard Money – lending on the equity of the property. We do hold this opinion too but like to see that the Borrower can afford the payments and we are not setting up a valued Investor with a foreclosure.
After ascertaining what appears to be a legitimate Borrower with a lendable property, we work with Title & Escrow to obtain all needed payoff demands and Title clearances. We do this to ensure that you as the Lender are provided a clean and clear Title report with the best possible Title insurance that we can obtain.
We get about 60 requests a week for new loans! You see only about 25% of what comes across our desk. We have a tight vetting process and underwriting procedure. Only after this is all done will we submit the Trust Deed Offerings to you for review & approval.
If you have interest in a particular Offering, simply respond to the offering email with your interest. You are not approving the loan but instead, we can send you our due-diligence package that we have compiled through our vetting process for your review.
Once approved, our in-house Processors prepare Private Money Loan Docs and any other required forms for Title.
In addition to having one of the top private money attorneys on retainer, we attend the quarterly CMA (California Mortgage Association) conventions to ensure we are up to date on all Private Money lending regulations. Yearly we keep up on our training with an 8-hour Mortgage Licensing Continuing Education Course through the National Mortgage Licensing Board, and every 4 years we do a 20-hour Continuing Education Course through the Department of Real Estate.
So, there you have it, a glimpse into what we are doing behind the scenes to assist in bringing you qualified Borrowers & properties to lend against, for stronger returns.