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The Real Estate Market and the Rest of 2020

The Real Estate Market And The Rest Of 2020

The question on everyone’s mind is: “What is going to happen to the housing market in the second half of this year?”  After examining unemployment, real estate, and the economic climate, the experts are taking a second look at their previous forecasts.

Joel Kan, Associate Vice President of Economic and Industry Forecasting, Mortgage Bankers Association

“The recovery in housing is happening faster than expected.  We anticipated a drop off in Q3.  But, we don’t think that’s the case anymore.  We revised our Q3 numbers higher.  We predicted a 2% decline in purchase originations in 2020, now we think there will be a 2% growth this year.”

Lawrence Yun, Chief Economist, National Association of Realtors

“Sales completed in May reflect contract signings in March and April-during the strictest times of the pandemic lock down and hence the cyclical low point…Home sales will surely rise in the upcoming months with the economy reopening, and could even surpass one-year-ago figures in the second half of the year.”

George Ratiu, Senior Economist, realtor.com

“We can project that the next few months will see a slow-yet-steady improvement in new inventory…we projected a stepped improvement for the May through August months, followed by a return to historical trend for the September through December time frame.”

In summary, the economists and real estate experts are optimistic about the second half of the year.  And this applies to California!  So, if you were hesitant about pursuing your real estate plans earlier this Spring, you might want to start the ball rolling now that the California real estate market is showing signs of renewed life.  Counties like Sonoma, Marin, San Francisco, Los Angeles and even Santa Barbara are increasing their mortgage requests – showing that Home buyers are moving out in bigger quantities.

If you need help with securing a home loan and have been turned down by other mortgage agencies, give Sun Pacific Mortgage a call at 707-523-2099 to discover what solutions exist for your specific qualifying problem.  We have been in the hard money lending business for over 32 years with a great track record for helping our clients obtain alternative financing for their real estate investments, both owner-occupied and non-owner-occupied.

We Make Loans Simpler – See How Here!

Trust Honest No Covid

We Make Loan Approvals SIMPLE

Are you looking for a faster, smoother and less-regulated loan approval process?

With our Hard Money programs, we can help those turned down elsewhere, those just looking to speed up a refinance or even just get a fast mortgage.

Call us at 707-523-2099 or reply here with any questions. We hope to be able to help, as we did for the Broker and his client below.

Loan of the Week

A Mortgage Broker from Southern California referred his client to us who wanted to invest in a San Diego business but was having issues proving he made enough income.

The client and his wife just wanted to access the equity in their primary residence to pull out some cash for their business.  They needed 488K which would still present a decent 63% loan to value.  Within 20 days we were able to provide them with this financing they needed, and they couldn’t have been happier!

Sun Pacific Mortgage is known for our fast loans and integrity in dealing with our brokers and clients, which is a reason we have been in this lending industry for over 32 years.

We are available to help at 707-523-2099 or with an email reply.

Tapping Your Equity for Businesses Purpose Reasons

Tapping Your Equity For Businesses Purpose Reasons

Before beginning to explain how to use your equity, let’s define the meaning of equity.  In short, equity is the difference between the current value of your home and how much you owe on it.  For example, if your home is worth $800,000 and you owe $300,000, your equity is $500,000.

The great thing about this hidden treasure is that you can borrow against it to fund life’s big purchases, such as buying an investment property, remodeling your home, or starting a business.

Lenders will typically lend you upwards of 75-80% of the value of your home less the debt you still owe against it.  These percentages may have changed since the latest economic disruption, because there is concern that values may fluctuate a little.  But still it can be a strong investment and a smart move.

When buying investment property, there is a simple rule of thumb that is recommended: “Multiply your useable equity by four to arrive at the maximum purchase price for your investment property.”  Remember that besides the purchase price, you need to budget for purchase costs such as realtor’s fees and escrow fees among other expenses.

Even if you have plenty of equity, conventional lending companies will consider other factors such as income, credit score, property condition and additional debts.  However, a Hard Money Lender such as ours, Sun Pacific Mortgage, will make it considerably easier to qualify if you find it difficult to prove your income, have less than perfect credit scores, or are buying distressed property.

Ultimately, using equity to obtain business capital can be a smart move.  If you are seriously thinking about pursuing extra cash for home fix-ups, to buy an investment property or need business capital, give us a call at 707-523-2099 to discuss our various programs available to you.  We have helped, and even through the recent pandemic, are continuing to help hundreds of Californians just like you become wealthier through real estate.

Family Company – Here To Help You Get A Loan

Family Business Alterantive Financing

Turned Down Elsewhere For A Mortgage?

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

Our Hard Money loan programs have 2 main qualifications:

  1. Good equity or a decent down payment and 2. An ability to repay the loan.

Call us at 707-523-2099 with any questions.  We are happy to quickly let you know how we can help – as we were able to do for the Borrower below.

Loan of the Week

A Southern California Mortgage Broker referred his client to us who wanted to invest in a San Diego business but needed to access the equity in his primary residence to get this done.

The needed loan was in the amount of $488,000 which made it 64% LTV.  In just over 2 weeks we were able to get this loan to them!  They could not have more pleased when the escrow closed in such short order.

Tired of Being Turned Down? Loan Help Here.

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Sick of being turned away for home loan assistance? Let us help with our alternative financing programs.

Our Hard Money mortgages are backed by real estate equity.  If you have good existing equity OR have a decent down payment then we can help you with a home purchase, maybe do a refinance for debt consolidation, get you additional cash for upgrades or that needed business capital, etc.

Call Today 707-523-2099 with any questions. We will quickly let you know what help we can provide you, a friend or family member!

Others Recently Helped by Us

Loan Type:  Primary Property Refinance
Loan Size:  $560,000
Location:  Concord, Contra Costa County
Days to Fund:  15
Why Needed Us: To pay off medical expenses and other debts.

Loan Type:  Primary Residence Refinance
Loan Size:  $320,000
Location:  South Gate, Los Angeles County
Days to Fund:  20
Why Needed Us:  Debt Consolidation.

Loan Type:  Investment Property Refinance
Loan Size:  $276,800
Location:  Seaside, Monterey County
Days to Fund:  21
Why Needed Us: Condition of property wasn’t good enough, looking to flip.

Loan Program:  Investment Property Refinance
Loan Size:  $750,000
Location:  Los Angeles, Los Angeles County
Days to Fund:  9
Why Needed Us:  Wanted fast capital for a business investment.

Turned Down Elsewhere For A Mortgage?

Hard Money New Beginning

If you’re getting turned down elsewhere for a mortgage, give us a chance to help using our Hard Money loans. Despite increased lending regulations elsewhere, we have the same rates, same LTVs and same “faster than conventional funding” speed, as we did before!

Let us be your new beginning to purchase a home, a new investment or even to refinance for additional cash out to get you caught up after these recent tough times – like we were able to do for a past borrower, below.

Loan of the Week

One of our past borrowers reached out to us from Truckee, California requesting a loan for $560,000 so he could purchase an investment property.

He was looking to refinance his primary residence to invest in this venture but was being turned down by his conventional lender due to a difficulty to prove his income.

He had more than 50% existing equity in his primary residence and had really good credit, so we had no issue with getting him a mortgage!  In less than 3 weeks he had the funds he needed to purchase that property.

If you or someone you know is looking to use their existing equity to make debt consolidations, upgrade their home or purchase additional property – and is being turned down elsewhere – give us a call at 707-523-2099. We’ll let you know quickly how we can help!

Recently Funded – CovidBusters Are Us

Covid 19

No Mortgage Covid-19 Regulations Here!

We want to let you know that our loan programs are not affected by any of the new regulations implemented for traditional and conventional mortgage programs.

No need to stress if you have a lack of resources for your financial needs.  Let us be your “covidbusters” and use our Hard Money programs to help!

Call Today 707-523-2099 with any questions or specific scenarios. We can quickly let you know what we can do for you, a friend or even your client.

Scenarios Recently Financed By Us

Location:  Brokertfield, Marin County
Finance Program:  Primary Residence Refinance
Loan Size:  $860,000
Days to Close:  13
Reason Came To Us:  To settle a balloon payment that was coming due.

Location:  Escondido, San Diego County
Finance Program:  Investment Property Refinance
Loan Size:  $500,000
Days to Close:  23
Reason Came To Us:  Wanted to pay for property upgrades.

Location:  SFO, San Francisco County
Finance Program:  Commercial Property Purchase
Loan Size:  $702,000
Days to Close:  30
Reason Came To Us: Investment purchase

Location:  Camarillo, Ventura County
Finance Program:  Primary Residence Refinance
Loan Size:  $360,000
Days to Close:  24
Reason Came To Us: Debt consolidation to then improve credit.

Who Predicted This Affect on California Real Estate?

Who Predicted This Affect On California Real Estate

One of the burning questions facing all Californians today is: with Californians self-distancing and “hunkering down” for the immediate future, what will the impact be on our real estate market and investments?  While this pandemic is causing various economic downturns, it hasn’t yet affected home values and most economist are still optimistic with regards to the real estate market in general.

Real estate sales, rentals and leasing are a $445 billion industry in California and has been a major driver in personal wealth for property owners over the past decade.

Seeing the effect of the covid19 pandemic on the world economy naturally raises questions regarding other markets, like real estate.  Experts have made clear that an economic slowdown does not equal a housing crisis, nor does it mean a repeat of the 2008 debacle.  There were other economic issues at work during that recession that have been resolved by laws that were enacted since.

What we may be seeing is a longer wait for homes to sell once they hit the market and there may be some lowering of prices, but no major crash is predicted by the experts.  Nor has there been any major dip in California values or home sale ranges despite this ongoing pandemic.

California housing demand remains strong and technology makes it easier to perform real estate shopping and buying online.  Some adjustments we might be seeing are that viewing houses and inspections may be done more by appointment, more attention on extra sanitizing for in-person viewings and virtual showings but it will not be impossible.

While we are home-bound, this time would be good time for potential buyers  to get their paperwork together for mortgage pre-approval, and for sellers to get their disclosures completed and begin the decluttering process.  Sellers can also line-up the pre-sale inspections and necessary photographs so this time at home is not wasted.

Because we are a family-owned and operated real estate financial business, Sun Pacific Mortgage is still working, getting loans funded with our usual efficiency.  We could be the answer to solving your real estate funding problems when other lending institutions are short- handed.  We specialize in fast, short-term mortgages that can be refinanced in as little as six months.  Give us a call at 707-523-2099.  We can handle all the necessary paperwork via phone call and email, so reach out!

Recently Funded – Helping Where Needed

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Let Us Be Of Help When Needed.

These are trying times for many.  Wouldn’t it be beneficial to discover a possible home loan program that could relieve some of the stress?  This is where we hope to be of help!

The Hard Money mortgage programs we offer are backed by real estate equity –helpful for purchases, refinances for debt consolidation, to pull out additional cash for upgrades or for business capital, etc.

We also have a unique Alt-A Hard Money program great for anyone who is fully qualified for conventional financing but wants a faster loan OR someone who just missed qualifying and still wants help.
Call Today 707-523-2099 with any questions or specific scenarios. We will quickly let you know what help we can provide to you, a friend or even your clients.

Others Recently Helped by Us

Location:  Cazadero, Sonoma County
Finance Program:  Primary Residence Refinance
Loan Size:  $380,000
Days to Close:  28
Reason Came To Us: Didn’t qualify as poor condition of property but needed business capital.

Location:  North Hollywood, Los Angeles County
Finance Program:  Investment Property Purchase
Loan Size:  $397,000
Days to Close:  14
Reason Came To Us:  Didn’t want to lose out on another investment opportunity.

Location:  Penngrove, Sonoma County
Finance Program:  Investment Property Refinance
Loan Size:  $325,000
Days to Close:  20
Reason Came To Us:  Credit was poor but needed to refi out of a loan that had come due.

Location:  Goleta, Santa Barbara County
Finance Program: Refinance of Primary Residence
Loan Size:  $450,000
Days to Close:  13
Reason Came To Us: Needed to quickly pay of the existing reverse mortgage of a relative who recently passed away, otherwise property would be foreclosed on.

Location:  Sacramento, Sacramento County
Finance Program:  Primary Residence Refinance for Business Purpose
Loan Size:  $235,000
Days to Close:  11
Reason Came To Us: Had too many bills and wanted to do debt consolidation to improve credit standings.

Home Equity to the Rescue

Home Equity To The Rescue

Despite the staggering number of unemployment claims being filed, there are many reasons we will not be seeing a significant number of foreclosures like we did during the crash of the last decade.  The major reason is that the amount of equity homeowners have today, positions them to be in a much better place than they were in 2008.

Here in California, we understand the significant equity existing in our real estate, painting a picture that brightens significantly.

The last recession was painful, and when prices dipped, many found themselves owing more on their mortgage than what their homes were worth.  The average equity that mortgaged homes have today is a significant amount of money which homeowners will not be walking away from, even in today’s economy.

Californian’s can see strength in our current market through homeowner equity that was not there in the past.  In fact, this equity may become the cushion some people need to get over the present hump.  By accessing their built-up equity, they can ease some of the pressure they may be experiencing.

But what if you need this money fast, or your credit has suffered in the past and you do not qualify for a conventional loan?  This is where Sun Pacific Mortgage can step up and help.  With a healthy amount of equity, we can provide a cash-out option to sustain you in the short term.  We are one of the few hard money lenders who have continued to offer owner-occupied loans.  Using your equity to get you these difficult times may provide you with fewer sleepless nights.

Give us a call at 707-523-2099 to see if we can provide you with a softer landing during these difficult times.

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