Item 8.01:  Other Events

September 10, 2008 – Vestin Realty Mortgage II, Inc. (the “Company”) announced on September 9, 2008 that it continues to experience an increase in problem loans.  As of August 31, 2008, the Company has 39 loans outstanding with an aggregate principal amount of approximately $264 million, of which, 20 loans with an aggregate principal amount of approximately $166 million were not current in making interest payments and are therefore classified as delinquent or non-performing.  A copy of the press release regarding this announcement is furnished as Exhibit 99.1 to this report.


Item 9.01 Financial Statements and Exhibits.

(d) Exhibits.

Exhibit No.
  
Description
 


 
 
 

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.


   
VESTIN REALTY MORTGAGE II, INC.
     
 
By
Vestin Mortgage, Inc., its sole manager
     
     
Date:  September 10, 2008
By
/s/ Rocio Revollo
   
Rocio Revollo
   
Chief Financial Officer