Jul 292020
 

Blogger’s Note – it has been put to me that www.Redstate.com and www.townhall.com are being targeted by Google and “throttled back” in an orchestrated and coordinated attack by social media companies to impose their will on the election. Megalomania is Typical for maladjusted nerds. The unfortunate part for them is the genie is out of the bottle, they and the democrats they whore themselves for can no longer lie (such as calling riots a hoax) with inpuginity. The loss of control for the left must be devastating.

In a real world of ethical people this redstate.com story would be national news. Gavin Newsom is straight out corrupt. Take a look at the latest:

We reported over the weekend that California Gov. Gavin Newsom obtained a $2.7 million cashout refi mortgage on his Fair Oaks estate just 90 days after it was deeded to him by an LLC formed by his cousin, Jeremy Scherer. This photo of the Newsoms, tweeted Sunday by Mr. Newsom, was taken in the backyard of that estate.

Now, it looks like that loan and a similar cashout refi the Newsoms obtained on their Marin County mansion in November 2017 are “sweetheart” deals that aren’t available to even the most qualified buyers. Between the two deals – which haven’t been reported on the Governor’s financial disclosure forms – the Newsoms were provided with $3.8 million in tax-free cash.

(Yes, commenters, they still owe that money to the bank, so it’s not like there are no strings attached.)

Two long-time mortgage professionals who spoke to RedState and who specialize in mortgages and refinancing in this price range were “stunned” that the Newsoms were able to obtain these loans and shared dozens of anecdotes where their own customers or associates weren’t able to.

As we reported, on January 27, 2020, approximately three months after receiving the deed to the Fair Oaks home, the Newsoms obtained a cashout refinance for $2,695,000. That’s approximately 80 percent of the home’s appraised value of $3,700,000. There are some circumstances under which borrowers can receive up to 100 percent of the home’s value in a cashout refinance, but “jumbo” loans (loans over approximately $700,000 in Sacramento County) are customarily restricted to no more than 80 percent of the home’s value. Still, obtaining a jumbo cashout refi is complicated and nearly impossible in 2020. Mortgage professional Thomas Zabel, who’s worked in all facets of the industry since 2005, told RedState:

“Banks tightened up the guidelines on cashout refi’s in 2019, including decreasing the loan-to-value (LTV) percentage and some requiring that the borrowers have $1,000,000 plus in liquid assets available. Even then, a cashout of nearly $2.7 million on a $3.7 million home in January 2020 simply wasn’t available to any qualified borrower that I know of.”

In addition, the Newsoms would need to have the deed for much longer than 90 days before being considered for a cashout refi. An Orange County real estate agent/former mortgage brokerage owner told RedState:

“Borrowers have to have the deed for at least six months to get a cashout refi. Period. Even my highly qualified borrowers with millions in liquid assets are held to that standard. Obviously a bank can make whatever loan they want to make, but there’s no way you or I can walk into a bank and get that kind of deal. It doesn’t exist.”

That wasn’t the first time the Newsoms’ “lucked” into a deal that no one else could get – and both of the refinances were done with the same bank, Union Bank. Prior to their move to Sacramento, the Newsoms lived in a ritzy hilltop home in Marin County with views of the San Francisco Bay. They moved to that home in 2011 from San Francisco, taking out a $1,760,000 mortgage on the $2,225,000 purchase price. They refinanced in 2013 for $2,175,000, and then again in October 2017 for $3,225,000 – netting at least $1 million in cash.

NEW: Gavin Newsom's Undisclosed "Sweetheart" Bank Deals Gave Him $3.8 Million

NEW: Gavin Newsom's Undisclosed "Sweetheart" Bank Deals Gave Him $3.8 Million

Gavin Newsom 2017 Mortgage, Page 3

The home was worth $3.5 million at the time, according to Zillow.

NEW: Gavin Newsom's Undisclosed "Sweetheart" Bank Deals Gave Him $3.8 Million

Assuming that Zillow “zestimate” is correct, that means that the Newsoms obtained a cashout refi for more than 90 percent of the home’s value, which is way outside the norm for jumbo loans. Again, both of the mortgage experts RedState consulted with said there is no way a regular borrower would be offered this loan, even with a sterling credit score, abundant income, and cash reserves.

And, according to a Union Bank rate sheet obtained by RedState, although the bank offers cashout refinancing for primary homes up to 80 percent loan to value (LTV), the maximum a borrower can receive is $750,000.

NEW: Gavin Newsom's Undisclosed "Sweetheart" Bank Deals Gave Him $3.8 Million

Union Bank Loan to Value Guidelines

According to the Wholesale Rate Sheet for Jumbo products, even with a stellar credit score a borrower cannot obtain more than $2,500,000 for a purchase, Rate/Term refinance, or Cash Out refinance, and at that amount, the maximum LTV is 70 percent. The Newsoms’ loans were at 92 and 80 percent, respectively.

NEW: Gavin Newsom's Undisclosed "Sweetheart" Bank Deals Gave Him $3.8 Million

Union Bank Wholesale Rate Sheet, 2020

While this rate sheet is for 2020, the linked underwriting guidelines and required reserves linked are from December 2019, when the Newsoms would have been applying for the Cash Out on their Fair Oaks Home.

The Newsoms still own the Marin County home, though they publicly announced on January 29, 2019, that they were listing it for sale for $5.9 million. The home was taken off the market in June 2019, and they listed it as real property on their 2019 Form 700 (Statement of Economic Interest) and claimed more than $100,000 in rental income.

Because of the potential conflict of interest “sweetheart” loans present, elected officials in California are required to report them on their Form 700. Schedule B, “Interests in Real Property,” states:

“Personal loans and loans received not in a lender’s regular course of business must be disclosed as follows.”

The Marin County refinancing is notably absent from the Newsoms’ 2019 Form 700.

NEW: Gavin Newsom's Undisclosed "Sweetheart" Bank Deals Gave Him $3.8 Million

Between the two homes, the Newsoms have approximately $6 million in mortgage debt.

Californians deserve to know what’s behind these deals. Where did the $3.7 million to purchase the Fair Oaks property originate? Why was Newsom given these deals? If he is such a successful, wealthy businessman, why does he need these cash-outs? Why isn’t the 2017 cash-out reported on his 2017, 2018, or 2019 Form 700’s? Will he report the 2020 cash-out on his 2020 Form 700? Are Newsom’s personal finances as much of a shell game as the State of California’s? What, if anything, does Union Bank expect from Newsom in return for these deals?

Jennifer Van Laar

Jennifer Van Laar is Deputy Managing Editor at RedState and founded Save California PAC. Follow her work on Facebook and Twitter. Story tips: [email protected]

 

Jul 262020
 

Got it? Winery? Open. Kid’s 25,000 a week private school? Open. Moving to a County magically not on the “Watch List”? Yup, got that too.

Then there is this bombshell uncovered by Jennifer Van Laar at Redstate:

  • Gavin Newsom’s $3.7 million, 12,000 square foot mansion, on 8+ acres along the American River in Sacramento, was the area’s most expensive home sale in 2018
  • The gated estate consists of a 6 bedroom/10 bath home, a guest house, a pool, a tennis court, and a wine cave
  • An LLC registered to Newsom’s cousin, long-time business partner, and Co-President of PlumpJack, Jeremy Scherer, paid cash for the estate in December 2018
  • Newsom’s spox, though, claimed in Jan 2019 that it was Newsom who’d paid cash for the home – puzzling, since Newsom still carried a $3.2 million mortgage on his prior home
  • In Oct 2019 the LLC gifted the home to the Newsoms free and clear, claiming Newsom was a member of the LLC to avoid a $4,000 Transfer Tax
  • In January 2020 the Newsoms received $2.7 million tax-free when they obtained a cash-out refinance
  • Newsom’s financial disclosure forms don’t mention the LLC or the gifts, which far exceed the $500 limit
  • In 2003, Newsom was cited for failing to disclose $11 million in real estate and business loans

Read the rest of this explosive expose’ here at www.redstate.com.

With that knowledge, the Grant Deed giving the Newsoms title to the Fair Oaks property is evaluated in an entirely different light – it’s now a gift, according to corporate law attorneys RedState spoke to about the transaction. It’s not illegal for an LLC to gift property to a person who’s not a member, but the attorneys said they’ve never taken part in such a transaction nor would they ever allow a client to. Such a transaction raises major red flags for tax and regulatory agencies, they said, since it may indicate attempted tax fraud, money laundering, or a payoff/bribe.

Gavin Newsom has been an elected official in California for 23 years, so he’s been obligated to file annual financial disclosure reports under California’s Political Reform Act for 23 years, and is well aware of his legal obligations to report companies he owns a stake in and allowable/reportable gifts.

Yikes. Given that Gavin Newsom’s popularity is tanking, and that internal party leaders are not as enamored with him as they once were… you have to wonder when they will pull the ripcord on this guy.

Jul 172020
 

Western El Dorado County has similar demographics to South Placer and Northeast Sacramento County.

As you know from reading the Right on Daily Blog – Gavin Newsom’s children’s school costs 25K a month per kid and was still open as of his edict this morning 7-17-2020.

It is well known in the capitol that Gavin Newsom is selling his residence in Fair Oaks / Carmichael – also a mansion with a 7-Figure pricetag, a gate and guards and moving to the “Serrano” area of El Dorado Hills. I believe it is no coincidence that El Dorado County despite its’ proximity to Sacramento is NOT on any COVID Watchlist. This is alleged to be the location Gavin is buying. I am not sure this is exactly it, but this is consistent with the McMansions in the Serrano area.

We also know that Gavin’s winery was magically on the right side of a line on the map and allowed to stay open until public scrutiny caused it to shut down.

You read on Right on Daily about Gavin’s Children’s Private School still being open. What Newsom did with his edict today was left the door open for all private schools in “watchlist” counties to get waivers in order to re-open. Watch as the exclusive private schools the state legislators send their children to all get waivers. (I’ve been told for example that the school where Lorena Gonzalez sends her children is also open)

This deception in Gavin’s order was done so he could claim even his kid’s school was affected by his order – while ignoring the gigantic trap door. What self respecting school administrator is not going to apply for a waiver coupled with the presence of the children of the powerful?

To be continued…

Jul 162020
 

Gavin Newsom is expected to announce tomorrow morning 7-17-2020 that he is shutting California Schools Down for the rest of the year. Why? Orange County is styaing open for School and LA County is not.

Newsom already made several draconian moves to cover for his protege Eric Garcetti whose management of LA has been atrocious (over half the new COVID cases are from LA). Now, Newsom is being forced to double-down to cover for Los Angeles County.

Country Day is the $25,000 a year private School Gavin Newsom’s kids attend:

Isn’t that special – so Gavin’s Winery staying open while most others closed was no accident.

From an anonymous School Board member in Orange County – bottom line Gavin Newsom’s thugs in state government have threatened the funding of SoCal School Districts to compel them to shut down. This is in line with the 1-800-RATT-OUT-YOUR-NEIGHBOR hotlines he has set up. Communist police state tactics.

This is California, meantime the CAGOP continues its’ feckless watered down messaging – and the Minority Leader in the Assembly for the GOP celebrates 18,000 felons being released from Prison by the end of August.

Got it? Gavin Newsom – release felons, make it impossible to protect yourself, shut Churches and School down completely.

Thanks to SCOTUS Chief Justice John Roberts who tried to split the baby refusing to assert the rights of Churches to operate – his cowardice is enabling people like Gavin Newsom to run amok. The other four Liberals we expected to rule against religious and academic freedom.

Meantime? Gavin’s kids get to go to school.

Nov 072019
 

Blogger’s Note: My source data for this blog are several Sacramento Bee Articles, plus interviews with capitol people and of course my own personal opinion of Gavin Newsom.

On Halloween, Gavin Newsom was talking about passing out candy. In a self-promoting press conference, Newsom told attendees that AT&T had announced it would credit consumers whose cell service was impacted by the blackouts. The implication was that he had made it happen. “AT&T, to their credit, sent out a notification yesterday about crediting people, along the lines of what PG&E did as well, to at least acknowledge as a base minimum the disruption of their data plans and their cell service. That’s novel. I would like to say it’s not, but it is, for a telecommunication company to actually even acknowledge that. It’s a step in the right direction. Baby step in the right direction, but we have an enormous amount of work to do in that space as well.”

Gavin Newsom is running for President in 2024. He is not interested in dealing with extreme environmental laws, nuiscance lawsuits, “Inverse Condemnation” (where public utilities are held liable for acts of God) or the extreme cost of doing business.

It is all about feel-good soundbytes, like his absurd “Global Warming” (now called climate change because people are now predicting an Ice Age again) speech with regard to wildfires.

PG&E, the corporate cowards that they are, have never once fought back against the regulations that have made maintenance near impossible on their aging equipment. Instead, they poured money in to people like Gavin Newsom. True to form, now that PG&E are a swear word in California, Newsom is piling on:

California Gov. Gavin Newsom wants PG&E to give $100 to each of the hundreds of thousands of customers who experienced blackouts last week when the company shut off power to swaths of Northern California. “‘Californians should not pay the price for decades of PG&E’s greed and neglect,’ Newsom announced on Monday. ‘PG&E’s mismanagement of the power shutoffs experienced last week was unacceptable. We will continue to hold PG&E accountable to make radical changes – prioritizing the safety of Californians and modernizing its equipment.’” Somehow, Gavin Newsom picked numbers out of his tail, saying that PG&E should give each residential customer affected by the outage a $100 credit or rebate. Gavin Newsom urged the company to provide $250 to affected small businesses.

He said this on 10-14-2019

So did Gavin Newsom shake down PG&E?

After Newsom 10-29-2019 inaccurately claiming that PG&E had agreed to rebates/credits as he suggested, it appears that the weak-kneed leadership of PG&E acquiesced.

“The one-time rebate will only apply to the roughly 738,000 customers who lost power in the Oct. 9 shutoffs. There are no current plans for similar rebates for the three shutoffs that have followed since then, said PG&E spokesperson Tamar Sarkissian, but the utility is ‘open to having a policy discussion with state regulators and others.’

Gavin Newsom will use this in his upcoming Re-Election and for his Presidential Campaign. The timing of things happening makes it clear to this blogger that Gavin Newsom shook down the company from whom he took $209,000 in campaign cash. What did he threaten to do to PG&E?

Then a couple days later, AT&T announces free stuff. Did Gavin Newsom shake them down too?

Watch the pattern, folks – Gavin Newsom wants to break up or even better yet turn PG&E in to a government-run utility. If successful, this would be another centerpiece for his campaign.

AT&T and PG&E are fools for trying to deal with the rabid left. It won’t end well and they will become campaign fodder… to be continued…