With home prices at record highs and properties, especially in California, flying off the market in just hours, it’s no wonder that the Google search for “when is the housing market going to crash” has spiked dramatically in recent weeks.

Although this present housing mania may remind us of the mid-2000 bubble, experts say there’s no reason to prepare for a crash-landing like in 2008 and 2009.  This time the reason is simply a result of supply-and-demand.  There are just not enough homes to satisfy all the prospective Buyers out there.

According to Ali Wolf, chief economist at building consultancy Zonda:

“Today’s prices feel unsustainable, today’s frenzy feels unsustainable.  But that doesn’t mean there’s going to be a crash.  That’s bad news for a lot of shoppers who are hoping for prices to come down.”

He continues with the prediction that over the next year or two, prices will continue to rise, but at a much slower pace.  Bidding wars will taper off, and the astronomical offers over asking price will eventually come down, because there is no way the double-digit price growth can continue long term.

We are all aware that today there are far more Buyers than homes for sale.  That is another sharp reversal from the late 2000s.  Back then, overbuilding yielded far more properties than there were Buyers.  Now there isn’t enough new construction to meet the demand.

Probably, the most important factor in the last collapse were the bad mortgages.  Thankfully, these have largely disappeared from the market.  Today’s Buyers may be paying top dollar, but they have been carefully vetted to ensure they can afford their mortgages.

If you want to get into a new home before prices escalate even more, how about presenting a stronger offer with faster close by taking advantage of a private home loan?  Or, if you find you don’t quite qualify for the more rigorous conditions required in a conventional mortgage today, give Sun Pacific Mortgage a call at 707-523-2099 or visit our website at www.sunpacificmortgage.com.

We have helped thousands of Buyers over the past 33 years with our private money real estate loans in California.  We even offer owner-occupied home loans.

Why would a real estate Buyer get a mortgage from a private lending company rather than an individual investor or conventional source?  There are numerous reasons, but to list a few:

1. You can be self employed with difficult to prove income and still get a loan.
2. You can better arrange the terms that work best for your circumstances.
3. You don’t have to do the work to build individual relationships with investors – they’ll be made for you.
4. You work with experts who are knowledgeable and quick to perform.
5. You can present a faster 10-day offer close on your purchase offer!
6. You can work with virtually all cash and not have loan contingency.
7. You can stay in your current house while buying your new dream home with a Private Money Bridge Loan.
8. There are less qualifications – making it easier to get the home loan you need, while still ensuring you can afford the monthly mortgage payments.

Many Borrowers believe that these benefits far outweigh the higher interest rates and associated fees.  Often Borrowers can get a quick loan even after being rejected by a conventional lender.  In many cases loans can be funded in days rather than the typical weeks or months from a bank.

If you have been looking to buy in this highly competitive market, give Sun Pacific Mortgage a call at 707-523-2099.  We are a direct private money lending company for more than 33 years now and capable of simple, fast approval processes allowing you to get “a leg up” in this demanding seller’s market.

Whether to invest in real estate or stocks is a personal choice that depends on your financial situation, risk tolerance, goals, and investment style.

When you buy stocks, you buy a tiny piece of that company.  In general, you can make money two ways with stocks:  value appreciation as the company’s stock increases and dividends.

When you buy real estate, you acquire physical land or property.  Most real estate investors make money by collecting rent or mortgage payments, as is the case with private investors at Sun Pacific Mortgage.  These private investors are provided a steady income stream and through appreciation, as the property value goes up, a hedge against a bad borrower.

For many prospective investors, real estate is appealing because it is a tangible asset that can be controlled, with the added benefit of diversification.

Comparing the returns of real estate and the stock market is an apples-to-oranges comparison because the factors that affect prices, values, and returns are very distinct.  But, bottom line, both present risks and rewards.  Smart investors opt for a variety of asset classes to reduce their risk.

Investing in real estate is an ideal way to diversify your investment portfolio, reduce risks, and maximize returns.  If you like the idea of investing in real estate, but don’t want to own and manage properties, become a private investor with Sun Pacific Mortgage.  We have hundreds of private investors who choose to fund our trust deeds and maximize their investments with returns up to 13%.

Call Sun Pacific Mortgage at 523-2099 or check us out at www.sunpacmortgage.com and discover a better way to increase your family’s wealth.