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The Six C’s of Private Money Lending

private lenderPrivate money, also known as “hard money,” has become a popular alternative to conventional loans, especially during these stressful sellers’ market days which we have been experiencing for the past several years.

Why is that? Because FAST is the name of the game in this dog-eat-dog market and private money can be available in as little as a week through some hard money lenders, such as Sun Pacific Mortgage. Unlike conventional lenders where the loan process can take months to get approved, Sun Pacific Mortgage has much less red tape and requirements for these private money loan programs.  Our 33+ years in business has allowed us the experience to become truly expert in the loan approval process, solving any bumps that come up along the way. Service all of California Home Buyers, Borrowers, Realtors, Conventional Lenders, Mortgage Brokers and Investors alike; Anyone who need a quick close or who has been turned down for a conventional loan.

Let’s examine six factors that influence a private money lender before entering a contract with a borrower:

  1. Collateral:  Lenders are in the equity business, not the real estate business. They will consider all aspects of the property (physical condition, its marketability, and its profit potential), but the loan-to-value (LTV) is of primary importance.
  2. Conditions:  To minimize risk, Lenders look at other property inventory and at the resale or rental value of the given home/land.
  3. Capacity:  Lenders must consider the ability of the Borrower to carry out the terms of the loan and their existing obligations.
  4. Capital:  Lenders expect the Borrower to have significant “skin-in-the-game” at the closing table.
  5. Character:  Many Lenders look at the character of the potential Borrower. They look for liens and judgments which could affect the property under consideration.
  6. Credit:  With asset-based hard money lending, credit isn’t the most principal factor, but it may affect the interest rate the borrower pays.

Using a reliable, experienced company like Sun Pacific Mortgage to either invest or borrow money through, has been a wise choice for thousands over the past 3 decades. Give us a call at 707-523-2099 to see what we can do for you. You can also find us at www.SunPacificMortgage.com.

Home Has Never Been More Important

Home Has Never Been More Important

If this year proved anything, it is the importance of our home. Never before have Californians spent so much time living and working in it. All the good, the bad, and the ugly was revealed to us as we spent our lives at home these past couple of years.

While most homeowners in both Northern California and Southern California may have understood the financial benefits of homeownership, they now understand that a home also brings feelings of gratitude, security, pride, and comfort. While the world around us has changed almost overnight, our homes were redefined.

A study from Unison reports that:

  • 91% of homeowners say they feel secure, stable, or successful owning a home.
  • 64% of Americans say living through the pandemic has made their home more important to them than ever.
  • 83% of homeowners say their home has kept them safe during the Covid-19 pandemic.
  • 70% of homeowners feel more attached to their homes than before the pandemic.

As one CEO stated:

“Aside from the financial factors, there are several social benefits of homeownership and stable housing to consider. It has long been thought that buying a home contributes to a sense of accomplishment. Still, most individuals fail to realize that homeownership can benefit your mental health and the community around you.”

If you have been contemplating jumping into the real estate market but have concerns that you will not qualify for a conventional loan, give Sun Pacific Mortgage a call at 707-523-2099 or visit our website at www.sunpacificmortgage.com and find out what a Private Money loan could do to make your dream home come true. We have been in business for over 33 years helping folks just like you fulfill their desire for homeownership with our alternative programs.

Wine Country Real Estate Trends

HERO SA real estate Courtesy Pam Golding Properties 1920x1280

Looking back over the 2021 real estate market is mind boggling. From mid-March when we were told to “shelter-in-place” to the rapid acceleration of the market in May and continuing throughout the remainder of the year we experienced a ride we never saw coming.

Frantic Buyers looked for properties in areas where they never dreamed of living before because of the transition to virtuality. With working from home becoming the norm, new possibilities opened, and Buyers rushed to snatch up more rural or country homes. The Wine Country was a first choice for many residents of Silicon Valley, San Francisco, the East Bay, and the Peninsula.

Predictions nationally see real estate prices appreciating only 5.7% in 2022 as opposed to the 15% appreciation of this past year, but the Wine Country could well be an exception. The lack of inventory and the lure of the country keeps calling, making North Bay prices continue to look inviting and worth the prospective battle to win.

If you didn’t find your new escape in 2021, it is not too late. Mortgage financing problems? Check out our website for all that we offer at www.Sunpacificmortgage.com or Call Sun Pacific Mortgage at 707-523-2099 to examine the private money loan programs available for hard-to-fund properties or Borrowers. With 34 years of experience behind us, we have seen it all and have found ways of helping thousands of our clients find the mortgage program that works for them.

Lately, one of our more requested loans is for a Bridge Loan, allowing the Seller/Buyer to purchase the new property before selling their present home. In the tight market we face today, contingency offers are less likely to be considered by Sellers. This is a short-term solution for Buyers.

2022 Housing Market Forecast for Single-Family Homes

2022 Housing Market Forecast for Single Family Homes

Good news and bad news were recently posted by the California Association of Realtors (C.A.R.) regarding the economic outlook on housing. The bad news: supply constraints and higher prices will bring California home sales down slightly in 2022. The good news: transactions will still post their second highest level in the past five years.

C.A.R. sees a decline in existing single-family home sales of 5.2% next year (416,800 units) down from the projected 2021 sales figure of 439,800.

The median home price is forecasted to rise 5.2% to $834,400 following a 2021 projected increase to $793,100 (20.3%).

According to C.A.R. President Dave Walsh:

“A slight decline next year from the torrid sales pace of the past year-and-a-half will be a welcome relief to potential homebuyers who have been pushed out of the market due to high market competition and an extremely low level of homes available for sale.”

Economists look for the cyclical effects from the latest economic downturn will wane, and a strong recovery will follow. Demand for homes will continue to outstrip available supply as the economy improves, resulting in higher home prices and slightly lower sales in 2022.

If you are thinking about refinancing or buying a home in 2022, but do not qualify for a conventional mortgage, give Sun Pacific Mortgage a call at 707-523-2099 to discuss our available privately funded loans. Or visit our website at www.sunpacificmortgage.com. We offer owner-occupied and investment property loans for purchase, refinance, and bridge loan.

SoCal Real Estate Cools Down—But Only a Bit

SoCal Real Estate Cools Down—But Only a Bit

In recent months Southern California has seen a slight cooling of the cutthroat housing market. Perhaps it is due to home shoppers tired of losing bidding wars and who, subsequently, put their search on hold temporarily.

As one Realtor put it: “What we are seeing is just a minor slowdown. Buyers can just expect slightly less pain.”  Where once you might see 20 offers on a property, now you see 4. Better, but still not easy.

In October, home prices in the 6 counties of Southern California rose 14% from a year ago reaching an all-time median high of $690,000. Sales declined 6.6%, the first drop since June 2020.

Up until now, home prices were rising faster than they had for years for a variety of reasons:  low inventory, record-low mortgage rates and an influx of millennials into the market. The pandemic also drove more people to seek out more space, and first-time home Buyers left pricey city rentals for a home of their own.

Most economist don’t see these price increases continue at the pace we have been seeing over the past couple of years, yet most homes still sell above their list price.

Here is a snapshot of what we have seen in the market over the past year:

  • In LA County, the median home price rose 10.5% to $790,000, while sales fell 0.9%.
  • In Orange County, the median home price rose 15.7% to $920,000, while sales fell 13.6%
  • In Riverside County, the median home price rose 20.2% to $535,000, while sales fell 6%.
  • In San Bernadino County, the median home price rose 16.3%, while sales fell 5.3%.
  • In San Diego County, the median home price rose 13.8% to $740,000, while sales fell 12.4%.
  • In Ventura County, the median home price rose 10.7% to $725,000, while sales fell 6.5%.

If you are thinking of wading into the market this coming year, now that the frenzy has waned slightly, but have been turned down for a conventional loan, give Sun Pacific Mortgage a call at 707-523-2099 or visit our website www.sunpacificmortgage.com. We have helped thousands of Borrowers just like you achieve their dreams with a private loan from one of our many Investors.

Real Estate Market for SFO October 2021

California Trust Deed Investing

Another stellar month for San Francisco real estate in October. Despite all the naysayers’ predictions that the market was on its way down, all markers indicate a continued upward trend. Here are the results for last month’s single-family residence in San Francisco:

  • Average List Price:  $2,093,971
  • Average Sales Price:  $2,358,448 ($2,131,959 in Sept.)
  • Average Sq. Ft. Price:  $1,093.37
  • Average D.O.M: 19
  • All Sold Properties:  709 (575 in Sept.)
  • SFR Sold:  303
    • 36 below price
    • 11 for listing price
    • 256 above listing price
  • One SFR sold for $1,506,248 OVER listing price

With the holidays approaching, we usually don’t expect many homes coming up for sale, but since it appears that we are constantly in new territory when it comes to the real estate market lately, we could see a significant reversal of the norm.

If you are looking to sell/buy anywhere in California, give Sun Pacific Mortgage a call at 707-523-2099 to discuss the many lending programs we offer for purchasing, refinancing, and bridging on owner-occupied and investment properties. Or visit our website www.sunpacificmortgage.com to learn more!

Want Passive Income? Join Our Team of Investors


Sun Pacific Mortgage has been in business for almost 34 years now, providing private mortgage loans to thousands of Californians. We continue to be there for those in need, due to the loyal and experienced Private Investors who trust us to perform our due diligence and provide them with sound investment opportunities.

Before we offer any loan to our Investors, we have carefully vetted the loan and the Borrower to reasonably ensure we endorse only those that have the legs to successfully carry it through to the end of the term.

Of all the loans entrusted to us, only 1 in 5 are presented to our Investors, thus proffering only those who fit the 2 main qualifications for getting a private loan through us:

  1. The principal factor considered for any Trust Deed that we offer is the ability of the Borrower to repay the loan and secondly, that there is enough equity/good down payment to give an Investor a reasonable sense of security in his/her risk.

We currently have thousands of partner-investors that receive new Trust Deed offerings each day, twice a day. When they see a potential opportunity for some passive income, they respond and receive further details regarding the property and the Borrower.

We are able to close most loans anywhere from one week to a month. In the past three months, we have averaged 30 new available Notes each month, for loan sizes between $150,000 and $1,800,000. Larger loans are generally fractionized, meaning more than one Investor is engaged in supporting the loan.

If you have considered or are ready to start increasing your wealth, give us a call at 707-523-2099 to discuss what it takes to join our family of trusted Investors. You can also check out our Investor website page here https://www.sunpacificmortgage.com/invest-in-trust-deeds/ and send in a form for further data.

Sonoma County Real Estate Sales

Sonoma County Coming Out on Top in Move North

Sales Comparison March 2020 – August 2021

On September 26th, an article in the Press Democrat quoted statistics sourced by Compass Real Estate Brokerage for single-family home sales over past six months of 2021.  These were compared to those same numbers for 2020.  They reveal what we all knew: real estate has been booming in our neck of the woods lately!  Here are the facts to support this well-known belief:

MONTH                          NUMBER OF HOMES SOLD     MEDIAN PRICE

March 2020                       301                                              $678,910

March 2021                       421                                              $767,000

April 2020                          249                                              $659,000

April 2021                          580                                              $775,000

May 2020                           206                                              $674,495

May 2021                           546                                              $780,000

June 2020                          457                                              $710,000

June 2021                          613                                              $825,000

July 2020                            606                                              $720,000

July 2021                            663                                              $761,000

August 2020                       556                                              $701,000

August 2021                       596                                              $770,000

While the momentum may have somewhat slowed in the past month, it is still on a robust course to smash past records.  The only thing putting the brakes on sales lately is the pervasive lack of inventory.  Some of this hesitancy on the part of Sellers may be because they are concerned that they will not be able to find a replacement home fast enough after selling their present home.

Sun Pacific Mortgage has a solution: a fast, short-term, private money bridge loan!  By accessing the equity in your home before you sell, you can afford a down payment on your future home.   You can also use existing equity in your current home and merge it with the equity in the new home you want to buy – also a Bridge loan that is short term and can help you accomplish a stronger purchase offer!  With homes selling quickly and with multiple offers over asking prices, this strategy will give you the edge you need in this economy.  Call Us at 707-523-2099 to see what we can do for you !

Real Estate Statistics for September 2021 San Francisco Peninsula

San Francisco Real Estate Statistics for September 2021

Markets typically move in cycles characterized by pervasive economic optimism, uncertainty, or pessimism. Today, optimism is the prevailing motivation especially behind the real estate market. We have only to examine the results of September’s sales data recorded for the cities on the San Francisco Peninsula to see that exemplified.

Menlo Park

  • Days On Market: 23
  • Average Sales Price:  $3,539,340
  • Average Sales Price was 6% above asking

Foster City

  • Days On Market:  9
  • Average Sales Price:  $2,2253,961
  • Average Sales Price was 12% above asking


  • Days On Market: 12
  • Average Sales Price:  $2,267,777
  • Average Sales Price was 11% above asking

San Carlos

  • Days On Market: 12
  • Average Sales Price:  $2,488,548
  • Average Sales Price was 6% above asking

San Mateo

  • Days On Market: 17
  • Average Sales Price:  $1,921,305
  • Average Sales Price was 7% above asking


  • Days On Market: 13
  • Average Sales Price:  $2,991,900
  • Average Sales Price was 11% above asking

If you are considering a purchase or refinance, whether it is for an owner-occupied or an investment property, give Sun Pacific Mortgage a call at 707-523-2099 to discuss a privately financed mortgage. Armed with a pre-approval letter, will be a huge asset when presenting your offer to a Seller in today’s economy. We are known for our fast closings friendly, informative service throughout the buying process.

How Is the Autumn Real Estate in Sonoma County?

How Is the Autumn Real Estate in Sonoma County

There has been incredible movement upward in the real estate world of Sonoma County this past year. To realize just how robust the market was this year, we have only to examine the increased price per square foot in each city or region. A quick recap follows:

  • Sonoma County: Ave. price per sq.ft.= $528 (up 10%)
  • Sonoma Coast:  Ave. price per sq.ft.= $817 (up 61%)
  • Russian River region: Ave. price per sq.ft.= $578 (up 53%)
  • Windsor:  Ave. price per sq.ft.= $476 (up 27%)
  • Healdsburg:  Ave. price per sq.ft.= $830 (up 22%)
  • Petaluma Westside:  Ave. price per sq.ft.= $628 (up 21%)
  • Petaluma Eastside: Ave. price per sq.ft.= $477 (up 10%)
  • Northeast Santa Rosa: Ave. price per sq.ft.= $469 (up 13%)
  • Northwest Santa Rosa:  Ave. price per sq.ft.= $451. (up 13%)
  • Southwest Santa Rosa:  Ave. price per sq.ft.=$431 (up 4%)
  • Cloverdale:  Ave. price per sq.ft.= $450 (up 13%)
  • Cotati and Rohnert Park:  Ave. price per sq.ft.= $429 (up 6%)
  • Sebastopol:  Ave. price per sq.ft.= $578 (up 2%)
  • Oakmont:   Ave. price per sq.ft.= (up 2%)
  • Kenwood and Glen Ellen:  Ave. price per sq.ft.= $746 (down 6%)

It becomes obvious that the North Bay real estate market has seen an incredible value increase over this past year!  Will it continue for the remainder of the year? That depends on how many Sellers come to the table between now and December 31.

If you have been frustrated in the bidding wars you have encountered lately, give family owned and operated Sun Pacific Mortgage a call now, at 707-523-2099. We can quickly get you pre-approved so you can present yourself as a serious Buyer when you make your offer to that Seller!  We have been a private mortgage lending company, servicing all of California for the past 33+ years – and are here to help get you that home you want.

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