“WHAT ARE THE RATES?”

One of the first questions clients or real estate agents, who never worked with a lender or a mortgage broker, ask “What are your rates?” This is a wrong question.

First of all, interest rates based on the variations of the 10-year T-Bill are in constant fluctuation. And then it is impossible to quote the rate before we know the client’s particular condition which include the credit score.

Then there is source of income and the source of the down payments if it is a purchase. Then the question is which lender can finance this transaction. All of this can make the difference. Since rates are only available upon the lock, we have to write after the quote (subject to change).

However, situations can be even more complicated, as you may learn from the recent presentation in our office made by Robin Kozelka from Acra Lending.

Need assistance? Don’t hesitate to contact me – call (415) 225-7920.

Manny Kagan,
President,
Pacific Bay Financial Corporation
Your professional mortgage broker since 1983

NMLS #205637
DRE #00874630

WHAT COMES FIRST –
THE BUNNY OR THE EGG?

How is it possible that Easter, a holiday celebrating Jesus’s resurrection, has so many pagan nuances despite being a cornerstone of the Christian tradition? Take the Easter Bunny, for instance. This rabbit, or “Easter Hare,” brings Easter eggs in a basket. But where did this tradition come from?

The Easter Bunny was first mentioned in Georg Franck Von Franckenau’s 1662 book “About Easter Eggs.” In pre-Christian pagan traditions, rabbits symbolized fertility and new life, representing the rebirth of spring associated with the Goddess Eostre. This is believed to be the origin of the word “Easter.” Seeing a rabbit was also considered a good omen.

What about the eggs? Online explanations often cite eggs as symbols of new life, rebirth, and Jesus’s resurrection. I also discovered that coloring eggs for Easter stems from a blend of pagan and Christian traditions.

 

Another Easter tradition involves decorating homes and churches with White Easter Lilies, which represent purity and evoke the idea of trumpets sounding the message of Christ’s resurrection. Instead, I was tempted to share with you these three images of calla lilies, which I find more elegant.

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Happy Easter!

 

LISTING, LENDING, BUYING AND TAPPING

After sharing my story about co-ops last week, I received an email from a real estate agent I’d never worked with before. She had an upcoming listing in a co-op building with deferred maintenance and asked if my co-op lender could handle the loan. I reached out to the lender to see if they’d worked with this building before and requested a deferred maintenance report from the agent.

Shortly after, I received another inquiry from a different listing agent. This time, it was about a condo with technical issues that had been resolved, but the work hadn’t started yet. I sent the condo information to seven lenders, and only one agreed to lend on the project.

The takeaway is simple: if you’re listing or buying a condo or co-op, send me the details ahead of time to explore financing options.

Check out this link for the video where I talk about the above topics and touch upon the art of tapping. You may also want to learn how to attract more clients using Client Magnet Tapping Technique by Brad Yates.

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Manny Kagan,
President,
Pacific Bay Financial Corporation
Your professional mortgage broker since 1983

NMLS #205637
DRE #00874630

 

HOW TO TELL A STORY

Some time ago, I started writing a novel. And then, other projects interrupted that project. Since I just finished another book, “Reflections”, I am considering returning to my other writing project. Meanwhile, I am listening and watching YouTube videos about how to write a good story. Besides the plot and the players, there must be challenging circumstances.

Of course, the best way to learn is to read other stories. And this opportunity presents itself on the evening of Saturday, April 12^th, which is the first night of Passover. This is the time when Jews and their friends gather around the festive Seder table and read the Passover Haggadah, which recounts the Jews’ Exodus from Egypt. This tradition goes back to 170 CE. Not only is this an old story; but it also fits all the criteria of a good narrative, in that it reflects events which took place in the 13^th century BCE.

In addition, outside of Israel, Passover and reading of the Haggadah happens over two nights in a row, providing the opportunity to celebrate and to hear the story twice. Passover is celebrated over eight days, and this year its culmination is on April 20^th, which is the date for the Christian holiday – Easter. I will share with you an interesting history of Easter next week.

Passover (as well as Easter) is a celebration of spring, i.e. rejuvenation, awakening from the slumber, to which the three beautiful images can attest.

Happy Passover!

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CONDO LOAN APPROVAL:
THE IMPORTANCE OF
ENGINEERING REPORT

During the last few weeks I have shared with you three major pitfalls lenders might have with lending on the condominiums. They are: engineering report SB 326, availability on the Fannie Mae and Freddie Mae lists, and insurance coverage.

I think it is important to hear directly from Sierra Pacific Mortgage about how the lender handles these issues. We have recently had a zoom meeting with the bank’s representative Milo Wishart. A seven-minute piece of his presentation is available at this link.

I was about to send the above message to you when an email from a lender hit my inbox, and it really made my day. Here’s what it said: “Hi Manny! I have some good news. We have an improvement to our guidelines around SB 326. We can now approve the loan based on the work having been completed on the subject property. Even if there is still outstanding work to be done on balconies for other units, we can do it.  We would just need to include the plans for the remaining work and approve all details in Prequal stage.  But at least SB 326 is not a hard stop for us any longer!”

IT IS ALL ABOUT CARING AND SHARING!

Best wishes,

Manny Kagan,
President,
Pacific Bay Financial Corporation
Your professional mortgage broker since 1983

NMLS #205637
DRE #00874630

WHAT DO YOU THINK ABOUT?

Many years ago, my motivational guru Earl Nightingale stated that “You become what you think about most of the time.”

My question is, “What motivates our thinking? How and why do people form and motivate their views and beliefs?” I decided to write about this subject after reading an article in the Wall Street Journal, “The Last Decision by the World’s Leading Thinker on Decisions” written by Jason Zweig. Apparently, Daniel Kahneman, a psychologist, winner of the Nobel Prize in economics and author of the international blockbuster “Thinking, Fast and Slow” (Read it!), spent his career studying what makes people make decisions, and ended his life (at the age of 90) a year ago, through a doctor’s assisted suicide.

He made a comment to Mr. Zweig that “people are neither rational nor irrational, they are simply human.” Mr. Kahneman is gone, he made his choice, but what about us who are still living? The answer might be in the moral compass each of us possesses. I would like to finish this essay with the words of the Jewish sage Hillel the Elder, who lived in Jerusalem about two thousand years ago.

“If I am not for myself, who will be for me?
If I am only for myself, what am I?
And if not now, when?”

This is why every Monday you will be able to join me on my new blog, “Manny Kagan’s Retirement Solutions”, to which you can subscribe. Please send me your comments.

These three images of water, which, like our thoughts, are in perpetual movement and colored by outside sources.

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WHAT ARE CO-OPS?

In San Francisco, unlike other cities, majority of high-rise buildings are condominiums. Nevertheless, there are1700 people residing in co-ops or cooperative apartments. In these buildings, proprietors are the shareholders of an organization that owns the buildings; thus, a coop structure is similar to that of a corporation.

Each owner is a shareholder with shares allocated based on the market value of their unit. Like any corporation, a housing cooperative has a board of directors, however, every shareholder has an influence on how the Co-op is run. The value of their shares – and thus the sales price of their unit – can fluctuate. I’ve compiled a list of co-ops currently on the market, with prices ranging from $525,000 to $25,000,000. However, financing options for co-ops can be limited and challenging.

Recently, a listing agent reached out to me, seeking my expertise as a problem solver. The agent had a listing for a co-op unit at 1200 California Street, Unit 8B, priced at $2,087,000. Typically, co-ops require 30% down payments and are funded by specific banks. But I was able to find a lender willing to accept a 20% down payment – a difference of $209,000 in this case. This lender even offers loans up to $1,200,000 with as little as 5% down.

For those interested in learning more about co-ops, I’ve attached a video that provides an in-depth look.

Need assistance? Feel free to call me: (415)225-7920, or email: [email protected]

Best wishes,

Manny Kagan,
President,
Pacific Bay Financial Corporation
Your professional mortgage broker since 1983

NMLS #205637
DRE #00874630

SPRINGTIME IS HERE

March 20th marked the vernal equinox, the first day of spring, when day and night stand equal in length.

San Francisco, with its vibrant cultural scene, is buzzing with excitement. I’m scouring the city’s event calendar, and I just can’t wait to share some of the highlights with you. If you’re looking for a kickoff to the season, you can still catch the Renegade Craft Fair Market at Fort Mason on March 29-30. The quirky, eclectic vibe of the fair is the perfect way to shake off winter’s monotony.

April Fool’s Day, or as the locals call it, St. Stupid’s Day, is just around the corner, and the city is erupting in a colorful parade on April 1st.

For chocolate lovers, The Original and Premier Artisan Chocolate Festival on the West Coast is a must-visit, taking place at the San Francisco Chocolate Salon on April 6th. I have my eyes on this one, and I’m determined to indulge in the rich flavors and aromas.

The cherry blossoms, those delicate pink blooms, are taking center stage at the Northern California Cherry Blossom Festival and Grand Parade, running from April 12-20.

And, for those who dare to be different, the World Naked Bike Ride Through San Francisco is pedaling its way through the city on Earth Day, April 19th.

As the season unfolds, the city is hosting a multitude of celebrations, each one more enticing than the last. With three months to soak up the sunshine and fun, the possibilities seem endless. You can find more events and festivals on the San Francisco Festivals and Events calendar.

As spring arrives, so do the holidays. Passover is beginning at sundown on April 12th, and Easter is following on Sunday, April 20th.

The city is coming alive with the vibrant colors of blooming flowers, and I’m sharing a few of my favorite snapshots with you. So, come and join the fun! Spring is here, and it’s time to Care and Share the joy of the season!

THE GOOD NEWS IS I CAN HELP YOU!

I’ve been highlighting the challenges in financing condominiums over the past few weeks. Yesterday’s article in the San Francisco Chronicle (March 24th, 2025) confirms these issues, stating that over 700 California condominium complexes are flagged as ‘unavailable’ in Fannie Mae’s database.

In my experience, this merely indicates which lenders can finance specific projects. So far, we’ve found solutions for all projects brought to us by real estate agents.

To assist you, I’ve created and posted a short video on my YouTube Channel explaining this point. If you need help with a specific project, please provide the address and project name to me. It may take a few days to receive feedback from various lenders.

Meanwhile, here are sample responses I have recently got from lenders:

2999 California Street, #302
2999 California Street Homeowners Association
– YES, THIS HOA IS FNMA APPROVED, EXPIRES 5/10/2026.
ONLY HOA INSURANCE IS REQUIRED.

153 N. San Mateo Drive, #106
Villa del Sol – San Mateo
– NO RECORD FOR THIS HOA, SO REGULAR CONDO REVIEW APPLIES. 

740 Promontory Point Ln, #3102
Promontory Point – Foster City
– NO RECORD FOR THIS HOA, SO REGULAR CONDO REVIEW APPLIES.

***

Feel free to call me: (415)225-7920, or email: [email protected]

Best wishes,

Manny Kagan,
President,
Pacific Bay Financial Corporation
Your professional mortgage broker since 1983

NMLS #205637
DRE #00874630

Retirement Solutions for Smart People

Three recent events, which I had been part of, sparked the idea to create a Telegram channel based on my book, “Retirement Solutions for Smart People™: How to Accomplish Financial Comfort.” This book outlines my approach to helping people retire comfortably.

Event 1: Reverse Mortgage Inquiry

A caller asked me about obtaining a reverse mortgage for his uncle, who has Alzheimer’s, to cover the $14,000 monthly cost of assisted living. The uncle’s doctor estimated he could live for another five years, totaling at least $840,000. That’s exactly the case where reverse mortgage could help. However, reverse mortgage borrowers must reside in the property, creating a challenge.

Event 2: Low Mortgage Interest Rate

Another client consulted me about their low mortgage interest rate, which may increase in five years. After our meeting, I recommended them saving more money each month before retiring in ten years.

Event 3: Rightsizing for Retirees

Last, but not least, one of my recent recent website posts discussed how retirees can “rightsize” by selling their home, buying a condo with a reverse mortgage, and saving for emergencies.

The Need for Better Understanding

Those three events highlighted the need for retirees to better understand the issues they face and how to address them. I’ll cover a wide range of available solutions in my weekly postings on Telegram.

Weekly Updates

Every Monday, I’ll share ways to prepare for and enjoy retirement. In the meantime, you can look at three images from the book, available for order on Amazon.

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