Want More Loan Options?

Want More Loan Options

Continuing the legacy of 33 years; We offer FAST private money financing for your real estate needs:

  • FAST Loans
  • More forgiving qualifications
  • We Can Help Despite Being Turned Down Elsewhere!

Loan of the Week

A Broker from Santa Clara called us, requesting fast help with a Borrower she had.  This particular Homeowner was looking for a fast refinance and cash-out of their primary residence, so they could purchase an investment property for 560K.

They were in Escrow and his loan had just fallen through, due to some trouble with proof of income.  He was about to lose out on a great investment purchase, so his Broker made the smart move and brought him to us for fast financing.

With an LTV of just 48%, in 9 days we had his refinance approved, through Escrow and his new investment property keys in hand!

Get trusted and friendly service from our family owned & operated company, in business over 33 years.

Call today 707-523-2099 with your scenario.

Listing Prices Have Become a New Starting Point

Listing Prices Have Become a New Starting Point

Gone are the days, at least for the immediate present, when the listing price was the point where the buyer started from and worked downward in the negotiating process.  Today, in the Peninsula and Northern Bay Areas, with the record-low supply of homes for sale coupled with very strong buyer demand, the list price is the beginning of a bidding war on many homes.

According to the Home Buyers and Sellers Generational Trends report just released by the National Association of Realtors, 45% of buyers paid full price or more.

With this market you just can’t shop for a home with the old-school mentality of refusing to pay full price or more for a house.  When navigating the housing markets in areas of San Francisco, San Mateo, Contra Costa and the others, think of the list price as the minimum the seller will accept in many cases.  The list price has become the floor of the negotiation, not the ceiling.  Know that if you really love a home in the Bay Area, be prepared to offer above asking, while still staying within your budget.  That’s a tall order in today’s real estate market!

As in all tricky financial situations, consult a professional and listen to their advice.  And, if you are looking to make a stronger offer with shorter closing time or virtually all-cash offer, consider Private Money loans for your mortgage!  Call Sun Pacific Mortgage at 707-523-2099 to discuss your situation and get experienced advice and support from a reputable family-owned and operated lending company, not just for Solano, Santa Clara and other Northern CA areas but for all California real estate.

Get Your Loan Funded This Month!

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Continuing the legacy of over 3 decades:

  • We offer FAST Loans.
  • Credit Problems Okay.
  • Primary Residence & Investment Properties Financed. 
  • We have the Investors with the money.

Recently Financed by Us:

Call today 707-523-2099 with your scenario!

What Does Proposition 19 Mean for California Sellers?

What Does Proposition 19 Mean for California Sellers

Passing Prop 19 in November 2020 will have significant consequences for homeowners selling in one county and buying in another.  We witnessed much of this movement in the past few months as families in the bigger cities – such as San Francisco – wanting more space and bigger homes, moved to the suburbs.  As a result of Prop.19 there will be consequences going forward that may benefit sellers who moved between counties rather than within a county.

Up until February 15, 2021 a seller could only transfer their tax base within certain counties.  With this new law enactment, eligible homeowners may now transfer their tax basis anywhere within the State.

Additionally, Prop.19 increases the number of times that certain people may transfer their tax assessments.  If a person is 55 years or older, has severe disabilities, or lost a home in a natural disaster (such as a fire), the person may transfer their tax assessment up to three times (formerly only once.).

Unfortunately, many people will experience a negative impact from Prop.19 since it considerably limits the parent-child exclusion for purposes of real estate tax assessments.  Formerly, parents could transfer a primary residence to children without any new fair-market reassessment regardless of how they might use the property, thus allowing them to enjoy the same property tax basis as their parents.

In the past, if a child chooses to keep the home and to use as a primary residence, a $1 million of reassessed value will be excluded from the new property tax basis.  If, however, the child decides to keep it as a rental property or anything other than the primary residence, there is no $1 million exclusion, and the child will face a significant increase in property taxes.

It would seem that this Proposition will have as much of an impact on California real estate as Prop.13.

We Can Help – Like We Did These Borrowers!

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  • FAST Loans!
  • 34th Year In Business
  • Turned Down Elsewhere – We Can Help!
  • Trusted By Over 10,000 Borrowers

We continue to carry on the legacy of our late Broker and Co-Owner Forest, after 3+ decades of Private Money Lending.  Still here to help!

Funded By Us

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Call Us now at 707-523-2099 with any questions or scenarios.  We will quickly let you know how we can help your Borrowers.

 

Where Are the “Spillover Markets” in California?

Where Are the Spillover Markets in California

It is clear going into 2021 that the last year reshaped house-hunting patterns while driving a whole lot of buying activity.  The notable take-away when examining the areas of greater activity is that much of the action is taking place in locations close to larger metro regions, but with lower prices.  These have been dubbed, “Spillover Markets”, and have changed the looks of the status-quo.

According to realtor.com, several cities in California have made the “hot list” of smaller markets recording remarkable growth this past year:

METRO           MEDIAN DAYS ON MARKET      MEDIAN LISTING PRICE

Stockton                                 37                                                              $480,000

Vallejo                                     27                                                              $525,000

Sacramento                            36                                                              $599,000

Yuba City                                 53                                                              $445,000

Modesto                                  43                                                              $459,000

Fresno                                      38                                                              $365,000

 

This trend has created a dearth of homes for sale because of the buyers flooding in from the Bay Area armed with extra cash.  One expert estimated that at least 60% of the buyers are out-of-towners.  Not surprising when you look at the median listing prices above and compare them with San Francisco’s of around $1million.

If you need to move fast on your purchase in one of these “spillover markets” or anywhere else in California, give Sun Pacific Mortgage a call at 707-523-2099 to see how we can get you out of your metro home and into a quieter more peaceful home in the suburbs.  Our private money loan programs can be quite beneficial to making this happen.

Need A Better Lending Option?

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Carrying on the legacy of 33+ years of private money lending:

  • Credit Problems Okay!
  • FAST Financing!
  • Jumbo Loans Provided!
  • Trusted By Over 10,000 Borrowers!

Loan of the Week

A Home Buyer was referred to us by his Realtor and conventional Lender in San Mateo County.  There was a credit problem that required a few more months of handling before this particular Buyer could qualify for a conventional loan.

So, they came to us for a short-term jumbo loan of 802,000.  Despite the size of loan, with a lower loan to value of 61%, we were able to quickly get the loan approved, funded and money to Escrow within just 7 days!

Call Us Today at 707-523-2099 or reply back here.  You’ll quickly hear back with a proposal as to what we can do for you.

 

 

 

Tax Benefits of Home Ownership

 

tax benefits of homeownership

What are the tax benefits of owning a home?  Plenty of California homeowners are asking themselves this question right about now as they prepare to file their taxes.  Let’s look at some of them:

  • Mortgage interest:  This deduction is itemized, so for this to work in your favor, all your itemized deductions need to be greater than the new standard deduction, which the Tax Cuts and Jobs Act nearly doubled ($12,400 for individuals and $24, 800 for married).  There are additional deductions for those aged 65 and older and head of household.  If your mortgage went into effect before Dec.15, 2017 you can deduct interest on loans up to $1milliion.  If acquired after this date, you can only deduct the interest on the first $750,000.
  • Property Tax:  This deduction is capped at $10,000 for those filing jointly, no matter how high the taxes are.  Remember that for some your property taxes may be included in your monthly mortgage payment.
  • Private mortgage insurance:  At the moment, this tax is deductible, but Congress needs to approve an extension for 2021.
  • Energy efficient upgrades:  Credits for solar electric and solar water-heating equipment are available through Dec.31, 2021.  The SECURE Act also retroactively reinstated a $500 deduction for certain qualified energy-efficient upgrades such as exterior windows, doors, and insulation.  This is a credit, so no worrying about itemizing.  However, the percentage of the credit depends on the expenditure.
  • A home office:  Unfortunately, if you are a W-2 employee, you’re not eligible for the home office deduction under the CARES Act even if you spent most of 2020 in your home office.
  • Home improvements to age in place:  These improvements need to exceed 7.5% of your adjusted gross income.  You will need a letter from our doctor to prove these changes were medically necessary.
  • Interest on a home equity line of credit:  You can deduct only up to the $750,000 cap, and this is for the amount you pay in interest on your equity line and mortgage combined.

The real benefit of homeownership here in California is in the wealth accrual v, but these tax benefits add up to savings that contribute to your overall wealth total.

If you are looking for some tax benefits and wealth accrual in your future, but do not qualify for a conventional loan, call Sun Pacific Mortgage at 523-2099 to discuss the possibility of private funding.  We have a 33-year history of helping thousands of folks just like you achieve their dream of homeownership.

Note: For exact deductions for 2021 you want to consult with your licensed CPA or tax representative.

Need Fast Loan Rescuing?

3 deccades of lending new

Carrying on the 3 decade legacy of our family owned and operated Private Money Lending Company.

  • Get FAST Loans
  • Family Owned and Operated
  • Credit Problems OK
  • Jumbo Loans Provided

Recently Funded:

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Call Us now at 707-523-2099 or email back any questions or scenarios.  We will quickly let you know how we can help!

Best, Ken – The Guys in the White Hats

Where Are All the Houses for Sale?

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In today’s market it is harder than ever to find a home to buy.  Even before the health crisis there was a shortage of homes on the market, but when the stay-at-home order was imposed, many prospective sellers decided to wait which resulted in making a bad situation even worse.  Experts agree that this is the biggest challenge facing an otherwise hot market.  Danielle Hale, Chief Economist at realtor.com explains it this way:

“With buyers active in the market and seller participation lagging, homes are selling quickly and the total number available for sale at any point in time continues to drop lower.  In January as a whole, the number of for sale homes dropped below 600,000 [total US].”

While this may be the “state of the union”, it is only amplified in California.  In fact, many homes are simply selling faster than they’re being counted as current inventory.  It is somewhat reminiscent of last spring when toilet paper was flying off the shelves faster than it could be restocked.

Hale goes on to say:

“Time on the market was 10 days faster than last year meaning that buyers still have to make decisions quickly in order to be successful.”

While some California home sellers will feel comfortable listing their homes in the first half of 2021, others may want to wait until the vaccine is more widely distributed.  With this mindset, if you want your home to shine, you may want to get it on the market earlier rather than later in the year.

Sellers want to sell as quickly as possible, for the best price, and with little to no hassle.  If this describes your hoped-for selling experience, today’s market is the right time.  When demand is high, and inventory is low, you have the optimal climate for a successful sale.

If you are needing a fast bridge loan to make your real estate dream a reality anywhere in California, consider calling Sun Pacific Mortgage at 707-523-2099.  We offer a program that solves the problem and can be solved in record time, sometimes in less than 5 days!  This could make the difference between competing in today’s market or sitting on the sidelines.

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