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The Six C’s of Private Money Lending

Private Lender Private 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.Private 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.

Feeling The Need For Speed – Private Financing!

Feeling The Need For Speed – Private Financing!Feel The Need? The Need for Speed!

Us again – dropping into your inbox with FAST mortgage solutions.  If you or someone you know are in the need for speed financing – or you’ve been turned down elsewhere for a refinance or purchase loan – give us a call so we can help you, like we did before.

Here’s some recent Borrowers we helped with our Private Money programs:

Recently Funded

Screen Shot 2022 02 07 At 11.01.51 Am Us Again – Dropping Into Your Inbox With Fast Mortgage Solutions.  If You Or Someone You Know Are In The Need For Speed Financing – Or You’ve Been Turned Down Elsewhere For A Refinance Or Purchase Loan - Give Us A Call So We Can Help You, Like We Did Before.

At Sun Pacific Mortgage we are FAST in getting home loans approved and funded with our Private Money programs.   Call today at 707-523-2099 or visit our website www.sunpacificmortgage.com to see how we can help you, or someone you know, get that needed loan done with FAST SPEED!

Fast Direct Loans – Trusted Over 34 Years

Trusted 10000 Promo Edit Are You Running Into Stops Or Difficulties With Loan Approval? You Won’t Have These Stops With Us!

Need A FAST Home Loan?

Are you running into stops or difficulties with loan approval? You won’t have these stops with us!

At our family owned and operated company, we have helped well over 10,000 Borrowers/Buyers with our FAST Private Money Programs – just like below:

Loan of the Week

A Buyer was sent to us by his Agent after being turned down for conventional financing due to debt-to-income ratio being too high.  This Buyer/Borrower was in contract to purchase an investment property in Sonoma County but wanted to access equity from his primary residence in Monterey for the down payment.

Escrow was set to close in 12 days and this client needed a loan of $720,000.  We got right to it and the result was a relieved Agent, a very happy Borrower/Buyer and a joyous Seller because the Escrow successfully closed in such short order!

Call Us at 707-523-2099 or visit our website at www.sunpacificmortgage.com to see how we can help you, a friend or family member.

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.

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.

Can We Make Your New Year Sparkle Brighter?

Happynewyear

May Your New Year Sparkle Brighter with Private Money!

Avoid any loan slows or disapprovals by coming to us for a FAST Private Money mortgages that’ll make your New Year sparkle brighter!

Loan of the Week

Program: Investment Property Refinance
Loan Size: 1.07 million
Loan to value: 69%
Location: Santa Clara County
Why Came To Us:  Borrower was sent to us by their Agent as their conventional lender backed out at the last minute, credit not reaching desired level.  They were in Escrow already, to pull cash out of an investment property as the down payment on a new primary residence. They were about to lose out on a new home if this refinance wouldn’t go through.  We didn’t want to let this happen!

Our specialty is speed and those turned down elsewhere.  If you, a family member or friend falls short of qualifying for a conventional loan call us at 707-523-2099 or visit our website at www.sunpacificmortgage.com.  We’ll let you know how we can help to start your New Year off with a sparkle!

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.

How Affordable is Housing in the North Bay Counties?

How Affordable Is Housing In The North Bay Counties

In a recent study, California’s Association of Realtors (C.A.R.) measured the percentage of households that can afford to purchase a median-priced, single-family home in California. This index is considered the most fundamental measure of housing well-being for home Buyers in the state.  Here are their findings for the North Bay Counties as of Q3/2021:

NAPA

  • Median Home Price:  $930,000
  • Monthly Payment incl. taxes & insurance:  $4,230
  • Minimum Qualifying Income:  $169,200

SONOMA

  • Median Home Price:  $765,000
  • Monthly Payment incl. taxes & insurance:  $3,480
  • Minimum Qualifying Income:  $139,200

LAKE

  • Median Home Price:  $352,000
  • Monthly Payment incl. taxes & insurance:  $1,600
  • Minimum Qualifying Income:  $64,000

MENDOCINO

  • Median Home Price:  $554,000
  • Monthly Payment incl. taxes & insurance:  $2,520
  • Minimum Qualifying Income:  $100,000

If you’re in need of a mortgage loan, but do not qualify for a conventional loan from a bank or financial institution, consider a privately funded loan from the Investors at Sun Pacific Mortgage.  Call us at 707-523-2099 to discuss your options or visit our website at www.sunpacificmortgage.com.

Don’t Be Left Out In The Cold!

Broker Loan Originator Money Christmas Crop

Feeling Left Out In The Cold? Don’t Be!

We have a solution for you, a friend or family member who has been left out in the cold as they can’t get the home financing they need: Fast Private Money! Below is just one of the many ways we can help make Holiday merrier:

Loan of the Week

Program: Owner-Occupied Rush Purchase
Loan Size: 1.3 million
Loan to value: 63%
Days to fund: Just 13 days!
Why Came To Us:  Broker from Contra Costa County referred his client to us after being turned down with conventional Lender, due to self-employment.  Buyer had a high FICO and good down payment so it wasn’t difficult to get his loan quickly financed by one our Investors!

With needs for faster refinancing or a desire to create stronger purchase offers, Private Money can give you the edge they need in this competitive market.  Our Private Money mortgages can get you, a friend or family member into a warm Home for the Holidays!

Email your scenario by visiting our contact us page here or Call Us at 707-523-2099 to see how we can help.

Make Your Season Merrier – Loan of the Week!

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Financing To Make Your Season Merrier!

Are you in need of a mortgage for a home purchase?  How about a fast Bridge loan?  Private Money Loans can provide FAST Cash!

Let us make your holiday season merrier by helping you get more Buyers into homes – like we did below:

Recently Financed Buyers:

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We can be reached at 707-523-2099 or by visiting our website here, for any of your questions or scenarios.  We’ll quickly let you know what we can do to help make the holiday season merrier for you!

Private Money Mortgage Lending

Do You Know Your Loan Purpose Could Make Or Break Loan Approval

With the Real Estate boom we have experienced over the past couple of years, there is an increasing demand for real estate investments financing. One type of financing for investment properties may come from a private lender, and just like with a traditional lender, the Borrower agrees on a set interest rate and timeframe that they will pay the loan back. With Private Lenders, rates are generally higher and the loan period is shorter. These loans are secured by the property’s equity and if the Borrower fails to make payments on time, just as with a traditional loan, the property can be foreclosed on, and the Lender takes possession.

In most cases, a Private Money Lender will focus more on the value of the property and its potential for returns, rather than the Borrower’s income and/or net worth.

Here are some aspects of borrowing Private Money, also known as Hard Money:

  • Hard Money loans are meant to be short-term, temporary financing. This may be necessary because the Borrower needs a fast close, has difficulty proving income, or has a less than desirable FICO score.
  • The interest rates vary depending on several factors:  Loan To Value primarily then a bit relating to property condition, location, or risk.
  • Percentage points (fees to access funding) will vary but they are never up-front costs.  These are how the Broker is paid.
  • Additional fees include:  Escrow costs, appraisals, wire fees and other miscellaneous administrative fees.

When you are in need of a real estate loan, the following information will be required of you:

  • The Loan Application, also known as a 1003
  • Any signed Purchase Agreement or Copy of Mortgage statement
  • Property Insurance Quote/Insurer’s information
  • Something showing income (bank statement, W2, tax return, CPA letter, etc.)

Sun Pacific Mortgage has been in the business of Private Money lending for 33+ years in California and has the expertise, plus knowledge needed to make your Borrowing experience less stressful. Give us a call at 707-523-2099 or visit our loan programs page to see what we can do for you.

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