The Davidson Group has a new logo! We're growing and adapting to make sure our image reflects the professionalism of our service. Thanks to everyone that has helped us help many clients achieve their dream of home ownership. We look forward to growing with you more in the future!

Meet Your Team!

Meet Your Team!!



· Linda Davidson is the Loan Officer and Team Manager. She handles referring partners and clients daily questions as well as pre-qualifications, applications and reviewing the strategy of the loan structure. Linda is also an FHA underwriter and is passionate about training, learning and being the best every day!



· J ennifer Aleman assists Linda upfront in pre-qualifications, applications and reviewing the strategy of the loan structure and is also the specialist in the team for First Time Home Buyer programs. She loves working with buyers and referral partners, is an SMU graduate and holds her FHA underwriting designation .



· Candy Moye sets up all files (i.e., ordering appraisal, title work, verifications, etc, etc) and manages the flow to make certain we are on track so that each and every deadline is met (this cuts down the stress level for sure and keeps us on task). Candy also has her FHA underwriting designation.



· Paola (pronounced Paula) Niglio is our team’s processor and is committed to our goal of Never Closing Late or Ugly (she also works magic behind the scenes!). Paola holds her FHA underwriting designation and is excellent in what she does.





· Amanda Campbell is our Team Assistant and is the friendly voice that you hear when you call in. She helps with scheduling prequalifications and loan applications with Jennifer and Linda as well as assists Linda in marketing duties.





· David White runs our Reverse Mortgage Division. He is also Linda’s father and we love having him part of the team!

Foreclosure Freeze

More updates on the Foreclosure Freeze (Source: Rob Chrisman)

Aren't you glad that you don't head up the servicing division of a large bank who has not published a moratorium? How many times do you think they're asked by the CEO, "Are you sure everything's fine?" The latest news comes from Washington DC, where President Barack Obama vetoed a foreclosure-related bill, thus making it make it more difficult for banks to complete paperwork and speed the foreclosure process, and could give homeowners more time to rework loans. And news broke last Friday that Bank of America would immediately halt foreclosure sales in all 50 states, a development that for the first time impacts California (CA has a nonjudicial foreclosure process). Other large servicers have frozen foreclosures "only" in the 23 states that have a "judicial foreclosure'' process, citing concerns about how legal documents were processed. And in Houston, Litton Loan Servicing, owned by Goldman Sachs, halted some foreclosures and evictions so it can review its process for handling foreclosures.

One reader wrote, "The borrowers were either making their payments or they weren't. What difference does a form, or a signature, make?" (One could answer that it makes a difference whether or not the bank actually owns the mortgage!) What if there was a nationwide freeze on foreclosure sales and new evictions by all servicers? Most believe that this only delays the inevitable sale of these foreclosed properties, giving the press and the markets something to talk about in the mean time. Whether the servicers clear this up in a few weeks, or a few months, ultimately these foreclosed properties will hit the market some six to twelve months from now and further add to the inventory of unsold homes.

640 is the NEW 620

Breaking News



As you know, I am committed to bring you the most- updated, must-know information on mortgage and industry changes. I have hesitated in sending the following news as it is not “set in stone” yet. However, in having conversations with many of our referring partners I think that we need to let you know the latest:

There are five major servicers in the Industry (along with a number of minor players). Typically in our market and the time we are in, the five major players set the rules and the rest follow suite. In the past few months two of the major servicers have increased the minimum FHA credit score from 620 to 640. As of Monday, Bank of America (obviously one of the five) announced that they, too, will increase to a minimum of 640 effective 10/4/2010. We have two of the major servicers still holding at 620 but our sources are telling us that they could go to 640 within the next few weeks.

What does it mean to you? Right now we are still at 620, but there is a very good possibility that 640 will become the new 620 in the weeks to come (and probably sooner than later) for FHA. So this is a Call To Action - Your current buyers that have lower credit scores (between 620-639) need to look at purchasing NOW. This change could take them out of the market in the near future to be able to purchase a home unless they can increase their credit scores to 640.

Get the word out, send this to your clients, call everyone you know- this IS Breaking News and we owe it to our buyers to let them know. With historically low interest rates, 620+ credit scores allowed, and great inventory- NOW is the time to purchase!

As always, we would love to hear from you this week and are never too busy for your calls and questions! Simply contact us at 972-278-3400 or email us at ldavidson@servicefirstmtg.com . Have a blessed rest of week! Remember that we are open on Saturdays from 10:00 AM -4:00 PM for your prequals.



Don’t forget to call us this week so we can obtain the FHA case number by Friday 10/1 at 5 PM for any FHA contracts!

The Davidson Group has placed #1 in Reader's Choice

Exciting News - We received word that The Davidson Group has placed #1 in Reader's Choice for Mesquite AND Rowlett AND Plano AND Frisco Newspapers. Wow... what an honor to be chosen by the newspaper readers in each of these areas! Our McKinney office (Go CJ!) also placed #1 for McKinney. Go Team and let's keep making Raving Fans!

A Did You Know for FHA….

One of the questions that we are asked over and over again is when can a buyer have two FHA mortgages at the same time. In our quest to always be THE source of mortgage information for you… here is the answer:



A buyer cannot have two FHA loans at the same time unless:

1) The second FHA loan is for a primary residence and the old home which has the current FHA financing is not in a "reasonable driving distance to the first one" from the new one. An example would be: First home with FHA financing is in New Mexico and they are being transferred here with their company. Since the first home with FHA financing is not in a "reasonable driving distance" from the next home, the buyer can obtain another FHA loan. Note that they would have to qualify for both payments or a properly executed lease agreement (i.e., a lease signed by the homebuyer and the lessee) of at least one year’s duration after the loan is closed is required. FHA recommends that underwriters also obtain evidence of the security deposit and/or evidence the first month’s rent was paid to the homeowner.



2 ) The second exception of when a buyer can have a second FHA mortgage has two parts (and both parts must be satisfied): A) Current home with FHA must have 25% equity into the home (as per an appraisal) AND (not OR) B) must be able to prove increase of family size (i.e., births of additional children) so that the current home does not now adequately fit the family needs. Note that they would have to qualify for both payments or a properly executed lease agreement (i.e., a lease signed by the homebuyer and the lessee) of at least one year’s duration after the loan is closed is required. FHA recommends that underwriters also obtain evidence of the security deposit and/or evidence the first month’s rent was paid to the homeowner.



3 ) And third exception of when a buyer can have a second FHA mortgage at the same time is if they are non-occupying co-signing for someone. If the non-occupying co-signer already had an FHA loan on their current property and they are Non-Occupying co-signing, that is OK.



4 ) The forth exception would be if a husband and wife are on an FHA mortgage and they get a divorce. The divorce decree specifically awards the home to one spouse. This would release the other spouse (the one not awarded the original home) to obtain their own FHA financing on another home. Note that both parties are responsible to make certain that the payments were made on time up to the time of the legal separation or legal divorce is final.



Obviously in any situation, if a buyer has FHA financing on their current home and it is sold, then that would release them to obtain an FHA loan again.

My Mortgage Guru, Linda Davidson: Easy Pay Program!!

My Mortgage Guru, Linda Davidson: Easy Pay Program!!: "How many times have you heard (or said)…. Nothing is easy right now in our industry? We are soooo excited to introduce our exclusive Easy ..."