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Our Changes For Your Benefit

Hope you had a relaxing Memorial Day weekend.

To benefit you and your clients, we have just updated our rate sheet to easily show the alternative finance programs we offer taking into account the numerous changes, due to recent regulations handed down by the Feds.

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Please let us know if you have any questions. And for sure let us know if you need our assistance for yourself, friend or any of your clients!

Best,
Broker & Broker – The Guys In The White Hats

Fk

Can Fixing & Flipping Be More Beneficial Or Harmful For You?

We all want to make money… it pays our bills, allows us to buy things we want and helps us more comfortably survive. So of course, when someone sees how “easy” it is to buy and flip a home for profit on TV, they want to try a slice of that cake to say they have tasted it’s sweet victory.

Pablo (2)Most people don’t like trying and then failing. But what happens when you try “doing what everyone else is doing” and don’t get the results expected? You could throw up your white flag and be done with it, or, you can isolate what the problem was in the first place and try again.  

Here are some aspects to have in place before you get started on any rehab type project, covered in more detail by this INVESTOPEDIA article, Top 5 Must-Haves For Flipping Houses: http://www.investopedia.com/articles/pf/07/flippers.asp

  • A Group of Experts
  • A Handyman or Knack for Home Improvement
  • A Good Lay of the Land
  • A Good Estimator
  • A Dose of Patience


With the correct value give to these points above, you success and profits could be greatly affected.

In the end, is it more beneficial or harmful for you to fix & flip a home?  That depends on if you like taking risks to accomplish your goals. As I’ve heard before, “Successful people take big risks knowing they might fall hard. But they might succeed more than they ever dreamed.”

Are you looking to invest in a rehab project but still need financing? If your favorite bank has turned you down, give Broker of Sun Pacific Mortgage & Real Estate a call! (707) 523-2099

 

Private Lending Filling the Mortgage Gap

With Real Estate prices rebounding in California, it’s surprising to see banks still being cautious and lean only toward wealthier, lower-risk borrowers. This has left a widening gap in the mortgage industry between Lenders and potential Borrowers with less than perfect qualifications.  Mortgages in the U.S. last year totaled about 1.6 trillion, according to the Mortgage Bankers Association. On a scale like that, Private Lending trails closely behind, with demand growing every year.

Middleman (1)These days, Borrowers typically only need one or more flaws in their qualifications to be denied traditional lending. This can be a huge disappointment to Borrowers who otherwise have fantastic qualifications and are in great need of help.

A perfect example can be found in a recent Wall Street Journal article posted here: http://www.wsj.com/articles/private-lenders-remodel-the-mortgage-market-1462984898

“Ms. Lewis is an executive director of Los Angeles County’s Mental Health Commission. She has over 22 years of equity in her home with an estimate worth of $600,000. A recent divorce and subsequent bankruptcy has ruined her credit and caused loan rejections from every bank she approached.”

As an experienced, longtime Private Money Broker operating in Sonoma County California, Sun Pacific Mortgage & Real Estate could approve her loan based strictly on her job status, steady income, and available equity. Her recent bankruptcy would not affect her qualification in this scenario.

Have you been turned down for a loan due to less than perfect qualifications? Call Sun Pacific Mortgage & Real Estate today! (707) 523-2099

Recently Funded – Providing More Options

Hard Money Provides …

  • A Quick Close

  • Multiple Options

  • Shorter term loan

  • Makes an impossible deal possible

“The entire family and staff at Sun Pacific Mortgage are the best hands down.  They are honest, direct, professional, quick, efficient and realistic.  It was like when everyone else seemed to be against us, Sun Pacific found a way to make things happen.  We cannot thank them enough! “ LW

See below for some of our recently funded loans, to get a better idea of our various real estate finance programs.

Let us help you, your clients, your family and friends! Call Us today at (707) 523-2099.

Best,

Broker and Broker, The Guys in the White Hats
Jpeg “The Entire Family And Staff At Sun Pacific Mortgage Are The Best Hands Down.  They Are Honest, Direct, Professional, Quick, Efficient And Realistic.  It Was Like When Everyone Else Seemed To Be Against Us, Sun Pacific Found A Way To Make Things Happen.  We Cannot Thank Them Enough! “ Lw
P.S. We love referrals!

Recently Funded:

Get our financing despite credit score, self employed-difficult to prove income, need fast financing, property a fixer, etc!

We finance Jumbo loans, Bridge and short term loans, Primary Residence or Owner Occupied purchases and refinances, non-owner purchases for single and multiple units, some commercial and land.

 

Windsor, CA (Sonoma County)
Loan Type: Owner Occupied 2nd
Amount:$440,000
Days to fund: 15 days
Reason for Hard Money: Credit was poor

Modesto, CA (Stanislaus County)
Loan Type: Investment Property Cash-out Refinance
Amount:$220,000
Days to fund: 29 days
Reason for Hard Money: Property needed fixing

Sebastopol, CA (Sonoma County)
Loan Type: Owner Occupied Purchase Bridge Loan
Amount:$562,000
Days to fund: 10 days
Reason for Hard Money: Needed fast cash to buy new home while selling old house.

Lakewood, CA (Los Angeles County)
Loan Type: Owner Occupied Purchase Temporary Loan
Amount:$420,000
Days to fund: 16 days
Reason for Hard Money: Property a fixer

Mill Valley, CA (Marin County)
Loan Type: Non-Owner Refinance
Amount:$240,000
Days to fund: 8 days
Reason for Hard Money: Recent Bankruptcy

San Diego, CA (San Diego County)
Loan Type: Owner Occupied Business Purpose
Amount:$200,000
Days to fund: 18 days
Reason for Hard Money: Self Employed, difficult to prove income

Sonoma, CA (Sonoma County)
Loan Type: Owner Occupied Business Purpose
Amount:$200,000
Days to fund: 9 days
Reason for Hard Money: Divorce circumstances adversely affected credit score

What Is An Owner Occupied Hard Money Loan?


Most Hard Money Lenders these days do not offer Owner Occupied financing programs, also known as a Principal Residence Loans, due to the amount of federal and state regulations that apply to them.

Here at Sun Pacific Mortgage, we will always have this loan program available because of the important niche it fills for so many Borrowers.  We continuously work to stay on top of the regulations that apply so that people have somewhere to go when they have have tarnished credit, difficult to prove income or are dealing with a problem property.

This type of program does have a higher interest rate but it allows a quick close, makes an impossible deal possible, offers various options and is generally a shorter term loan.

Typically, this type of loan will get paid off with a refinance into a 30 year fixed rate loan once the Home Owner is more able to qualify.

Some instances of when one might use an Owner Occupied/Principal Residence Loan are:

  • Buying a first or a 2nd
  • Refinancing a loan that has come due.
  • Pulling some cash out from the equity in one’s home, to do needed repairs or remodeling.
  • Getting some cash out for debt consolidation.
  • Getting some cash out for a business purpose.

You can find out about our rates and fees by checking out the Rate Sheet: https://www.sunpacificmortgage.com/SPM_Programs_Rate_Sheet.pdf

Also feel free to call in to our office and within just a few minutes, we can let you know exactly what we can do for you: 707-523-2099.

What Makes a Hard Money Loan a Good Loan?

Hard Money loans are fantastic for short-term usage while investing in real estate. Depending on how it’s structured, a Hard Money loan can be available for as short as 3 months to as long as 5 years or longer. Traditional mortgage lending is often available for 10 years to up to 30 years. The real catch is when attempting to obtain a traditional mortgage on a distressed or vacant property.  It is extremely difficult to qualify and you will have a hard time finding a bank who will loan in this situation. Enter Hard Money.

Sold House PicHere’s a good example:

  • An investor finds a home they’d like to purchase for rental purposes
  • The home is distressed and in need of major repairs
  • A bank won’t lend on a property with significant problems affecting it’s value
  • This investor has two options:

  1. Get the loan from a family member or friend.
  2. Use a Hard Money loan to buy the property. The Hard Money loan can also be structured to cover the cost of the repair needed.
    • After the property has been fixed up and prepared for rental, the  investor can obtain a traditional mortgage at conventional rates to repay the Hard Money loan.

This is a great example of a short-term Hard Money loan used to purchase a rental property that otherwise would require an all cash offer.

If you have any other questions or are interested in getting a Hard Money loan in Santa Rosa, Sonoma County, North Bay or really anywhere in California, call our office 707-523-2099!

It Is That Time of Year in Real Estate To Have Alternative Financing Readily Available

“Gave us an excellent rate on our hard money loan and we got our money 5 days after we applied! I highly recommend Sun Pacific Mortgage!” LW

“I can’t say enough good things about this company! The best experience I have ever had! Helpful & fast from the start! I highly recommend Sun Pacific Mortgage!! Thanks so much to the whole Sun Pacific Family!” PD

Spring has sprung and Buyer demand is increasing. Agents, Lenders and Buyers need their best foot forward when submitting offers.

Our Hard Money programs can help sweeten a deal as well as quickly fund if needed, despite poor credit, bankruptcy, short sale, difficult to prove income, etc.

See below for some of our recently funded loans so you can get a better idea how we are here to help you!

Call Us today (707) 523-2099.

Best,
Broker and Broker, The Guys in the White Hats

P.S. We love referrals!

Fk

 

Recently Funded:

We finance Jumbo loans, Bridge and short term loans, Primary Residence or Owner Occupied purchases and refinances, non-owner purchases for single and multiple units, some commercial and land. Get our financing despite credit score, self employed-difficult to prove income, need fast financing, property a fixer, etc!

San Rosa, CA (Sonoma County)
Loan Type: Owner Occupied Bridge Loan
Amount: $330,000
Days to fund: 15 days
Not Qualified Elsewhere: Wanted to buy new home before selling current house.

Calistoga, CA (Napa County)
Loan Type: Investment Property Refinance
Amount: $333,000
Days to fund: 13 days
Not Qualified Elsewhere: Owns multiple properties and credit issues

San Francisco, CA (San Mateo County)
Loan Type: Owner Occupied Refinance, Business Purpose
Amount: $700,000
Days to fund: 35 days
Not Qualified Elsewhere: Bankruptcy in recent years

Willits, CA (Mendocino County)
Loan Type: Non-Owner Occupied Purchase
Amount: $2880,000
Days to fund: 17 days
Not Qualified Elsewhere: Property a fixer

Petaluma, CA (Sonoma County)
Loan Type: Primary Residence with Business Purpose
Amount: $275,000
Days to fund: 121days
Not Qualified Elsewhere: Self Employed, and credit issues

San Marcos, CA (San Diego County)
Loan Type: Owner Occupied Refinance
Amount: $316,000
Days to fund: 21 days
Not Qualified Elsewhere: Self Employed, difficult to prove income

Santa Rosa, CA (Sonoma County)
Loan Type: Refinance of Commercial Property
Amount: $350,000
Days to fund: 26 days
Not Qualified Elsewhere: Divorce circumstances adversely affected credit score

Hard Money Loan of the Month – March

Rush Santa Rosa home loan rescued after being stalled by another Lender

This past month’s “Loan of the Month” is highlighted for a few reasons, the primary reason being the speed in which it arrived to my hard money office in Santa Rosa, and got approved to fund: 1 day!

HomeThis principal residence home loan was a referral from a busy Sonoma County Realtor.  The Home Buyer had been pre-approved by another Lender but after 6 weeks, and still no loan approval, they had to do something else!

The principal Home Buyer was a recently widowed father of 2 children.  He had really good income as proven by his 2015 Fed taxes and a 5% down payment.  His Dad brought in additional collateral from his own house in Oregon for around another $100,000.   This collateralized property had average comps valued at $250,000 so brought in a loan to value of about 40%. That made it about 75% loan to value on a completely remodeled property in Santa Rosa, CA – which our Private Investors definitely can finance!

The Buyers Agent jumped through about a million hoops to make sure all items needed to process the loan came through in timely fashion.  She also made the Buyers perfectly comfortable with the Hard Money financing for their Santa Rosa purchase.

We sent out this First Deed of Trust for $470,000 for 12 months.  The purchase price was $495,000 for this home loan.  Combined loan to value was 95%.  We received this hard money loan request on January 26, 2016 and had full loan approval on the 27th!  The loan recorded on February 3rd.

End result was a very happy father, a happy family and relieved & happy Agents.

Recently Funded – We Can Do Big Deals

Not every Lender or Broker can fund Jumbo Loans nor can they rescue those troubled deals that just can’t seem to get loan approval.

Give us a shot and see how good we can be!

FkWe have seen an increase in larger size loans, also known as Jumbo Loans (greater than $417,000), and in speaking with other Brokers and Realtors, as well as Home Buyers, we have discovered a need for financing of such larger loans.

We can finance jumbo size loans, throughout Sonoma County, the Peninsula, all North Bay areas actually, central California, southern California and, honestly, anywhere in California! We have been a deal-saver more times than you may realize.

The following funded deals through our office hopefully give you an idea as to how we can help.

Recently Funded Transactions:

We finance Jumbo loans, Bridge and short term loans, Primary Residence or Owner Occupied purchases and refinances, non-owner purchases for single and multiple units, some commercial and land. Get our financing despite credit score, self employed-difficult to prove income, need fast financing, property a fixer, etc!

Petaluma, CA (Sonoma County)
Loan Type: Bridge Loan for Primary Residence
Amount: $420,000
Days to fund: 24 days
Not Qualified Elsewhere: Needed fast loan to buy new home as still selling current
House

Monte Sereno, CA (Santa Clara County)
Loan Type: Refinance/Trust/Owner Occupied
Amount: $1,023,000
Days to fund: 29 days
Not Qualified Elsewhere: Self Employed, difficult to prove income

Santa Rosa, CA (Sonoma County)
Loan Type: Investment Property Refinance
Amount: $350,000
Days to fund: 16 days
Not Qualified Elsewhere: Owns multiple properties and credit issues

Cupertino, CA (Santa Clara County)
Loan Type: Refinance/Trust/Non-Owner Occupied
Amount: $700,000
Days to fund: 30 days
Not Qualified Elsewhere: Bankruptcy in recent years

Apple Valley, CA (San Bernardino County)
Loan Type: Primary Residence Purchase Temporary
Amount: $441,600
Days to fund: 19 days
Not Qualified Elsewhere: Self Employed, and credit issues

San Jose, CA (Santa Clara County)
Loan Type: Owner Occupied Business Purpose 2nd
Amount: $300,000
Days to fund: 22 days
Not Qualified Elsewhere: Condition of property, working to upgrade it

Nipomo, CA (San Luis Obispo County)
Loan Type: Refinance of Commercial Property
Amount: $400,000
Days to fund: 25 days
Not Qualified Elsewhere: Divorce circumstances adversely affected credit score

Click this link for our rate sheet, showing the programs we offer

Do You Prefer Experience Over Caring Service?

Honest and caring Brokers and Agents are important for any Buyer and Seller – for real estate and financial services.

A Group Of People Holding Up Question Marks In Front Of Their Faces.

The below noted KCM article reminded me of a first time Home Buyer I worked with, who was from out of town, and they told me that they had decided to go with our company because we were local and seemed personal.

What You Don’t Need To Hear From Your Listing Agent

By The KCM Crew February 9th, 2016

http://www.keepingcurrentmatters.com/2016/02/09/what-you-dont-need-to-hear-from-your-listing-agent/?utm_source=feedburner&utm_medium=email&utm_campaign=Blog_Promo

I of course thanked them for the compliment and mentioned that we were definitely experienced enough to help as we had just celebrated our 28th anniversary in business.  This particular home buyer was quite frank and said, “Well that’s nice, but to me I honestly picked your company foremost because of how it seems to care for it’s customers, based on all the testimonials I read. The experience is secondary, though also appreciated.”

I must admit that our customer service, being honest and just straight with each Home Buyer, Seller, Investor or other Agent has always been an important part of our family business.  However, it was more a “given” than it was a policy.  I realized after this particular client’s remarks that “caring” should not just be a “given” but a requirement for everyone, including the other affiliates, Brokers, Lenders and Agents we work with, in delivering service to all customers.

To some this might be normal but to many others, I’ve got to say that caring is not the top priority.  Well…it’s time to put the right “hat” on.

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