“You’re Only as Good as Your New Collection”

The San Francisco Chronicle recently reported that legendary filmmaker Francis Ford Coppola—the man behind The Godfather—faced bankruptcy after the box-office failure of his latest film, Megalopolis. Coppola, who was born in 1939 and is now 85 years old, invested millions of his own money into the project, even borrowing funds to make his vision a reality. When the film didn’t succeed commercially, he was forced to sell personal assets—including his private watch collection, an island in Belize, and other holdings—to pay off his debts.

It reminded me of two principles I learned many years ago, before I entered the mortgage industry in 1983. Back then, I was vice president of a women’s high-fashion company, and there were two major rules everyone in the business understood:

1. If you want to make a million dollars, you have to invest two.
2. You are only as good as your new collection.

Those principles apply far beyond the fashion world. Take Sylvester Stallone, for example. After years of fame and success, he went through nearly a decade without major work. But in his 60s, he found new roles and a new chapter in his career. He, too, proved that you’re only as good as your next project—your next “collection.”

The same truth applies to our own industry. In the mortgage business, the last few years have been dry. Many of us have survived only by investing our own resources and staying the course. Now, finally, the market is beginning to open up again, and there’s light at the end of the tunnel.

As we advance in age and experience, it’s natural to ask questions—about investments, about the future, about what tomorrow will bring. But I’ve learned to hold on to one simple rule in life: Enjoy today. Be grateful for what is given.

As I like to say: “You’re as good as you are, because this is who you are. Enjoy it—and if you’d like to talk more, give me a call: (415) 225-7920.

Sometime heavy clouds are above our heads as you can see in the three images above. However, strong winds always blow them away!

 

PRESENTING NO-INCOME
COMMUNITY LOAN

Some homebuyers may not qualify for a conventional mortgage due to limited or unverifiable income—for example, those who are self-employed or recently started a new business. To help these borrowers, one of our lending partners offers a No-Income Community Loan.

KEY FEATURES:

• No income verification required
• Qualification is based on:
  • Credit score
  • Loan-to-value (LTV) ratio
  • Available reserves (savings)

Can be used for:

• • Primary residence purchases
  • Refinances
  • Second homes

• Loan amounts:Up to $2.5 million
• Maximum LTV:Up to 80%
• Minimum credit score:620
• Reserves required:
  • 9 months of reserves for most borrowers
  • 2 months if you’re a first-time homebuyer
• Interest rates: 8.75% – 9.25%
• Fees: 2.25 points (potentially tax-deductible)

This is considered a specialty or non-QM (non-qualified mortgage) loan. The higher interest rate and fees reflect the added risk to the lender. It’s intended for buyers with strong credit and savings but who lack traditional income documentation.

If you have any questions, don’t hesitate to reach out. I also invite you to check out my short YouTube video on the topic, posted earlier today.

NMLS #205637
DRE #00874630

 

 

TAKING TIME OFF

Working full-time means I’m in the office every day with my two assistants. By the end of the day, I can really feel the fatigue setting in. Don’t get me wrong — my work with people is rewarding, both financially and emotionally — but it can also start to feel like a routine.

I’ve been thinking for a while about how to step away from that rhythm, even just for a little while. I’m not talking about a full vacation, but more about finding a way to relax and not think about work during the day. Of course, weekends are usually spent with my wife and our little labradoodle Max, which I love, but that’s a different kind of busy.

Then the opportunity came along on Columbus Day, which fell on a Monday. My assistants had the day off, and after I dropped Max off at the dog sitter, I decided to do something just for myself. I went to the Botanical Garden in Golden Gate Park.

It turned out to be exactly what I needed. The hour I spent there felt like one long, peaceful breath. I wandered along quiet, hidden pathways, sat under a huge tree, watched a small lake covered in green algae, and took photos of unusual flowers. It was simple, but somehow deeply refreshing.

Time went by so quickly, and by the end I felt completely recharged. I’m already looking forward to the next holiday, when I can do something like that again. In the meantime, I’ll keep the memory — and the photos — as a reminder that sometimes an hour of peace is all it takes to feel human again.

Enjoy and Share!

ATTENTION FIRST-TIME HOMEBUYERS!

As interest rates begin to slide down, more and more people are exploring the dream of homeownership. If you haven’t owned a home in the past three years, you may qualify as a first-time homebuyer — and there are great programs available to help you get started.

Many first-time buyers, including young professionals in the high-tech industry or dual-income couples, face one major challenge: coming up with the down payment. The good news is that there are several down payment assistance programs available.

One such program is CalHFA (California Housing Finance Agency), which offers a first mortgage, plus a second loan and even a third loan to help cover closing costs.

Key highlights:

• Income limits apply— for example, in San Francisco, the limit is around $325,000.
• Some programs have 1% deferred interest, while others may offer forgivable loans.
• The goal is to make homeownership more accessible — but remember, the more you borrow, the higher your monthly payments may be.

If you’d like to explore which option best fits your needs and financial situation, I’d be happy to help.

I also invite you to click this link to watch my weekly video and share it with your colleagues, partners and friends who can benefit from my professional mortgage solutions.

Best wishes,

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

NMLS #205637
DRE #00874630

 

THE PUMPKIN STORY

The holiday we know as Halloween began over 2,000 years ago with the ancient Celtic festival of Samhain. You can find more fascinating information about it online. In the 1800s, Irish and Scottish immigrants brought their Halloween traditions to America. Today, Halloween combines ancient customs, folklore, and modern fun.

Have you ever wondered why the pumpkin is such a big part of Halloween? It all started in Ireland, where people once carved turnips into lanterns to scare away evil spirits. These were called Jack-o’-lanterns, inspired by the legend of Stingy Jack, a man doomed to wander the Earth with only a glowing coal inside a hollowed-out turnip.

When Irish immigrants came to America, they discovered that pumpkins were bigger, brighter, and easier to carve. The tradition quickly took root, and the pumpkin became the new face of Halloween.

Today, carving pumpkins is less about superstition and more about creativity and family fun, celebrating the beauty of the season—just like the pumpkins my camera picked up!

Enjoy and share!

The mortgage business is full of twists and turns — you never really know what can happen tomorrow. The industry changes constantly, and lenders who aren’t tightly bound to Fannie Mae or Freddie Mac underwriting guidelines often introduce new programs or creative updates to existing ones. These innovations help us find flexible mortgage solutions for our clients.

We learn about these opportunities not only through lenders’ emails but also during presentations from company representatives. Every week, a lender hosts a Zoom training for our team, and once a month we hold an in-person session that brings everyone together.

Last week, Roobina Ovanessian from LendingPros visited our office to share several new strategies and program “twists” that we can now offer to our clients. Click this link to watch a piece of Roobina’s presentation posted today on my YouTube channel.

Best wishes,

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

NMLS #205637
DRE #00874630

 

THINGS HAPPEN

Have you ever been at a tire shop at 7:15 in the morning? Well, I am here now.

Yesterday, a panel in my car showed that my rear left tire needed attention. I drove to the gas station to fill it with air, but I knew I’d have to visit my favorite tire shop, Rolling Stone, first thing in the morning. Online, I found out they open at 7:00, so I arrived 15 minutes early — only to find eight vehicles already ahead of me. I was told I’d have to wait at least an hour.

Fortunately, I brought my writing pad, so I could make good use of the time.

On my way there, I was listening on YouTube to a talk titled Things to Tell Yourself Every Morning. The second affirmation really struck me: “No matter what happens, do not get upset.” A good reminder — especially this morning.

Once my tire was fixed, I continued listening to the rest of the affirmations, which I’ll share with you later. Meanwhile, I kept writing notes for my upcoming book, How to Enjoy Comfortable Aging, where I explore various aspects of life we encounter as we advance in age. Many of these topics I also discuss every Monday on my channel on Telegram under the title Comfortable Aging with Manny Kagan.

Stay tuned to my weekly posts— and, for now, enjoy the three photos from the tire shop, which are quite self-explanatory.

 

… EVEN WITH UNCONVENTIONAL INCOME

Calculating income to qualify for a mortgage can be challenging since lenders typically rely on reported income — which isn’t always straightforward. Many clients have unconventional ways of being paid, and that income isn’t always reported to the IRS.

For example, some lenders can use 12 to 24 months of bank statements, significant account balances, or a profit and loss statement prepared by a tax professional for self-employed borrowers.

Recently, we learned about another innovative way to show income from Jas Pardiwalla, a representative of the lender NMSI. We’ve just closed two mortgages with them using their TVE Qualifying Program, and it’s proving to be an excellent option for many borrowers.

Please take a moment to watch the short video (by clicking this link) that explains how this program works.

If you have any questions, feel free to call me anytime: (415) 225-7920

Best wishes,

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

NMLS #205637
DRE #00874630

Into the Void — Discovering Ma
in Everyday Life

Recently, I received a thoughtful gift from a friend — a magazine titled Breathe: The Power of Less – A Guide to Letting Go, Embrace the Stillness, Find What Matters. One of the stories inside, “Into the Void: Exploring the Benefits and Beauty of Empty Space,” explored the meaning of the Japanese word Ma.

Ma conveys the concept of empty space — the pause between things — and its deep relationship to all aspects of life. Reading it brought to mind the words of Dr. Deepak Chopra, who once said that “the only reason we can read is because there is space between the letters.”

The next day, I was in my office on a very full and demanding day — working on three purchases and one refinance — when I began receiving calls from a new client looking for properties to buy. Around one o’clock, I felt the need to take a break. That’s when I remembered the concept of Ma.

I decided to step away. I drove to Pacifica, about fifteen minutes south, to my favorite café, Soul Grind. I ordered my favorite Bali Salad, and while eating, I found myself in a light conversation with a stranger. Afterwards, I went to the nearby beach — a favorite spot for surfers — and filled my lungs with the fresh ocean air.

When I returned to my car, I felt renewed, calm, and ready to get back to work. On the drive back to the office, a client called to get preapproved for a mortgage. With interest rates coming down, I expect we’ll soon be busier with refinancing — but I will always remember and practice the value of Ma: the empty space that gives meaning, rhythm, and peace to everything around it.

The three images you can see inside my story capture moments from this experience.

Care and Share!

REJOICING OF THE TORAH

The holiday of Simchat Torah (Rejoicing of the Torah) celebrates the start of a new year of scripture readings.

Jewish study of the scriptures, or Torah, is structured as a yearly cycle. This holiday marks the end of the past year´s cycle of Torah readings and the start of a new one. In general, Simchat Torah is considered a part of the Shemini Atzeret holiday, which follows Sukkot.

Simchat Torah is celebrated on the twenty-third day of the month of Tishrei in the Hebrew calendar, which usually falls between late September and early October in the Gregorian calendar.

During Simchat Torah services, the ark containing the holy scriptures is opened and the Torah scrolls are taken out to be carried around the sanctuary seven times in circuits known as hakafot. The worshipers dance and sing in celebration as the scrolls are borne around the synagogue.

While Simchat Torah is not a public holiday in the United States, many Jewish-run organizations are closed on this date.

Please click this link to watch and listen to my brief Simchat Torah Greetings addressing my friends, clients and partners.

Chag Sameach!