RATES ARE DOWN -BUT
WILL IT LAST?

On Sunday, the San Francisco Chronicle real estate section reported that, for the first time since 2022, long-term mortgage rates have dipped below 6%. Another article asked: “Are mortgage rates finally declining?” The information is correct — rates have improved.

Will this trend continue? No one can predict. We are hopeful, but markets don’t move based on wishes. One colleague told me his client paused a refinance, saying he’ll wait for President Donald Trump to lower rates. The truth is, no single person fully controls mortgage rates.

Meanwhile, I am helping 12 clients refinance right now.

People refinance for many reasons:

• Lower monthly payments
• Divorce settlements
• Reverse mortgages
• Debt consolidation

For one client, I reduced the rate from 7.875% to 6.375%, saving $1,600 per month. For another, after consolidating debts including car payments, the total monthly savings were close to $3,000.

Every situation is different. I can help you determine whether refinancing makes sense for you. Just give me a call…

…and click this link to watch my weekly video posted on YouTube.

THE HISTORY LESSON 

July 4, 2026 will mark 250 years since the founding of the United States. When we think about 250 years, it feels like a long time — yet in the scope of history, it is just a moment. How about 2,500 years ago, when the mighty Babylonian Empire destroyed the First Temple in Jerusalem and exiled the Israelites to Babylon?

From that exile comes the story of Purim. In the Persian Empire, a royal adviser named Haman plotted to destroy the Jewish people because of his hatred toward Mordechai. The story, told in the Book of Esther, describes how that decree was overturned and the Jewish people survived. The holiday of Purim, which this year starts on the evening of Monday, March 3rd, celebrated that reversal — when a plan for destruction turned into deliverance.

Two thousand years ago, the Roman Empire destroyed Jerusalem and the second temple in the year 70 CE. Later, the Ottoman Empire ruled much of the Middle East, including the Land of Israel, for 500 years. To be followed by the British Empire once governed vast territories around the globe.

Empires rise. Empires fall.

Yet the Jewish people, though small in number, endured through Babylon, Persia, Rome, the Ottomans, and beyond. Today, the modern State of Israel exists as a sovereign nation — something that would have seemed unimaginable during many periods of exile.

So, what is the lesson?

History teaches humility. Power is temporary. Hatred destroys the hater more than the hated. And attempts to eliminate a people have never erased them from history — but they have erased the empires that tried. Purim is not only a Jewish story; it is a reminder that cruelty and domination are never lasting foundations for greatness. Endurance, identity, faith, and moral courage — those are what survive time.

As America celebrates 250 years, perhaps the deeper question is not only how powerful a nation becomes, but what values it chooses to stand for — because history always renders its verdict.

Holidays are usually decorated with the bouquets of flowers. Please accept my contribution.

Happy Purim!

HOW TO USE THE EQUITY
IN YOUR HOME

Many homeowners have very low interest rates and don’t want to refinance — even when they need money. I understand. But having equity and not using it when you’re carrying high-interest debt is like owning a valuable ring while you can’t afford groceries. Equity is your asset — and sometimes it should work for you.

There are several options:

• Cash-out refinance
• Home Equity Line of Credit (HELOC)
• Special programs for homeowners 62+
• Reverse mortgage second (no required monthly payments)
• Reverse mortgage ( easier to qualify)

Every situation is different. If you need funds or want to reduce high-interest debt, let’s review your options. So, do not hesitate to call me at (415) 225-7920, or email me at mannykagan@comcast.net. And I promise to help!

For a short video on the subject, click this link to my YouTube Channel.

Best wishes,

WALKING IN THE RAIN

Presidents’ Day, Monday, turned out to be a wonderful opportunity to take a break. Because of the nature of my work, I spend long hours in the office. Even on weekends, when I walk with my wife and our dog Max, it’s family time — meaningful, but not always quiet personal time. So, almost on the spur of the moment, after dropping Max at his dog sitter, I decided to take a stroll through the San Francisco Botanical Garden.

I’ve been there before. It’s familiar. But this time was different — it was raining. With my special boots, an umbrella, and of course my phone for taking pictures, I spent about an hour and a half simply walking. Because of the drizzling rain, only a few people were there — some visitors from out of town, and surprisingly, a few mothers with young children, happily exploring despite the weather.

I noticed different trees beginning to bloom. And of course, the majestic magnolias. Magnolia flowers come early — a quiet precursor to spring. There is something noble and timeless about them. Their beauty feels both delicate and strong.

That short time in the rain gave me strength and a deep sense of relaxation. I returned to the office refreshed, able to focus on my work — yet still carrying the calm and the images of those beautiful magnolias with me. Sometimes, an hour in the rain is all it takes to reset.

If you have any questions about mortgages — or about life — you can always call me at (415) 225-7820.

SERVING THOSE WHO SERVED

September 12, 1983 was an ordinary day for most people. For me, it was the beginning of a 42-year journey in mortgage lending. That day, I joined Colwell Financial and began training in government-backed loans, including programs through the Federal Housing Administration and VA financing designed to support homeownership.

Over the decades, I’ve had the privilege of helping thousands of families achieve the dream of owning a home. Yet, surprisingly, only a small portion of those clients were veterans.

Recently, after attending a presentation by our lending partner, The Village Capital, focused specifically on veteran programs, I was reminded of how powerful these benefits truly are.

VA loans offer meaningful advantages:

• No down payment in many cases
• No private mortgage insurance
• Competitive interest rates
• Flexible qualification guidelines
• Streamline refinancing

These programs exist to honor the service and sacrifice of our veterans — and I believe more veterans should know about them.

As part of my ongoing commitment to serving the community, I am dedicating focused effort to making sure veterans understand the opportunities available to them.

As part of my ongoing commitment to serving the community, I am dedicating focused effort to making sure veterans understand the opportunities available to them.

If you are a veteran — or know someone who is — and have questions about buying or refinancing a home, I would be honored to help. Meanwhile, a brief video addressing my viewers and listeners is available at this link.

Manny Kagan

Thank you for your service. It would be my privilege to serve you.

THE COST OF LIVING —
AND THE COST OF PASSING

Benjamin Franklin who passed away in 1790 at the age of 84, when the average age was 35, said, “Nothing is certain except death and taxes.” Taxes are predictable. Death is inevitable. The real question is not whether we will die — but how we prepare while we are alive.

Today I visited the Jewish Home in San Francisco to see the husband of a dear friend. He has exhausted his savings paying for his partner’s care. Their home has plenty of equity, but without proper planning, accessing it is complicated. We were arranging the documents necessary to refinance and to use that equity to continue his care.

I’ve seen this before. A 99-year-old client was able to stay in care for two more years because we secured a Reverse Mortgage in time. The cost of dying can be overwhelming. Planning ahead — with a trust, proper powers of attorney, and financial strategy — can protect your family and avoid crisis. Think ahead. Not about death — but about peace of mind.

If you have questions about planning or mortgage options, call me directly at (415) 225-7920 or message me at mannykagan@comcast.net

I just finished working on my new book “How to enjoy comfortable aging.” It is going to be ready in about a month.

Meanwhile, enjoy and share three images from the book…

DOCTORS’ SPECIAL

Specialized mortgage programs are nothing new. Over the years, lenders have introduced tailored options for specific professions such as teachers and firefighters. This time, it’s doctors.

While some major banks have offered physician loan programs in the past, the program we can now offer goes a step further. It provides opportunities and flexibility that many standard loan programs simply don’t.

If you are a doctor—or know a doctor—who is considering buying a property, please feel free to reach out or share my information. I’d be happy to help and guide them through the process.

Meanwhile, check this link for a short video on my YouTube channel.

Thank you,

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

TU BISHVAT, THE NEW YEAR
OF THE TREES

Tu BiShvat, the New Year of the Trees arrived on February 2. It is one of the most unusual New Years on the Jewish calendar.

Jewish tradition speaks of four New Years — moments that mark creation, kingship, animals, and growth. Tu BiShvat stands apart. It comes in winter, when trees appear bare and lifeless, especially here in Los Angeles. The branches are quiet. The earth is cool.

And yet — beneath the surface — the roots are awake. The sap is rising. Preparation is already underway.

The trees are waiting for warmth, for rain, for time to do its work. Soon they will bloom again, leaves unfolding, fruit returning. But before that comes this pause — this hidden beginning.

So it is with us. There are seasons when nothing seems to move, when progress is invisible. Tu BiShvat teaches us that these moments are not empty. They are necessary. Growth is happening where we cannot yet see it.

Sometimes, all we are asked to do is wait, trust the process, and allow nature — within and around us — to take its course.

Enjoy and Share!

RETHINKING THE REVERSE MORTGAGE

Powerful home-purchase solution

I first discovered the real value of a reverse mortgage about twelve years ago, when a couple came to my office after being evicted from their home. Their income was limited, but they had managed to save some money. Using a reverse mortgage, we helped them purchase a $350,000 home in Pittsburgh. That experience reshaped my thinking. I realized that a reverse mortgage can be a powerful home-purchase solution, not just a retirement tool.

Right-sizing and financial security

More recently, an article in the San Francisco Chronicle described homeowners who wanted to “right-size”—selling larger homes and buying smaller, more manageable ones. By using a reverse mortgage for the purchase, these clients were able to reduce their monthly obligations while still keeping cash in the bank.

Reverse mortgages can also play an important role in long-term financial security. Unlike conventional lines of credit, a reverse mortgage line of credit remains available for life. It can be used—or repaid—at any time, and it does not depend on employment status or future income.

Reverse mortgage is worth considering

Just last week, we had a presentation from Pete Kulis of Mutual of Omaha, a company that specializes in reverse mortgages. A portion of Pete’s presentation is available on my YouTube Channel at the link below.

https://www.youtube.com/watch?v=NFc91y0-BPI

Whether you are right-sizing, purchasing a new home, or creating a long-term financial safety net, a reverse mortgage may be worth considering.

For more information, call Manny Kagan at 415-225-7920