Mortgage Bankers Association of Florida 

Winter 2011
Keeping You Informed
In This Issue
Board of Directors
Local Chapters
Thank You New 2011 Sponsors
Eastern Secondary Market Conference
58th Annual Convention Announcement
President's Message
Local Chapter Highlights
Legislative Update
Spotlight on Leadership
CMB Breakfast Meeting Reminder
Welcome New Members
Online Portal Reminder
Mortgage Action Alliance
Top 5 Reasons to Believe in Lending Again
Help Avoid Repurchase
What is a CMB?
2010-2011 Board of Directors

John Chludzenski
Mortgage Support Services

President Elect
 Mike Culbertson
Chase Home Lending

Vice President
 Daniel Harrison

 Alex Castellanos

2nd Vice President
Jay Ralstin
Premier Bank

Immediate Past President

Howard Nelson


Directors - 2-year term
Elaine Woods, SunTrust Mortgage
Nathaniel Bittman, SunTrust Mortgage
Pat Gaver, BB&T
Carmen Fenn Drake, Wells Fargo Home Funding
Directors - 1-year term remaining
Ken Jones, EverBank
Greg Peele, Embrace HomeLoans
Sandy Robertson, Bank of America
Deanna Crawford, InHouse Solutions

Director Emeritus -
Lifetime Term
(elected 2010) Georges Lussier, M&I Bank
 (elected 2005) Margie Fletcher, BB&T
(elected 2006) Chuck Ivy, EverBank
List of Local Chapters
and 2010/2011 Local Chapter President's Information

Please visit our chapters. You can click the chapter name to access their web site. There is also a link to send an email
Kevin W. Strickland

SunTrust Mortgage Inc.



Bob Ward

Prospect Mortgage



Alison R. Shoemaker, CMB, CMS

Lender Processing Services, Inc.



Claudine Claus

Home Financing Center




Erica Lolli

Stock Financial, LLC



Scott Levy

Full Sail Mortgage



Carrie Hess

Premier Bank



Tonya Mills

Terrace Mortgage

2011 Sponsors

We are proud to announce

our sponsors so far this year!



Certified Credit Reporting


Wells Fargo Bank, N.A.


Lenders One Mortgage Cooperative 






Kroll Factual Data


United Guaranty


For more information on sponsorship contact

February 9-11, 2011

Grand Hyatt Tampa Bay


2011 Eastern Secondary Market Conference 

Going Strong


Registrations at this time are as many as our final counts last year. We still have some space left to register, however the hotel is sold out of rooms on 2/9. 


Click Here to Access Registration, Exhibit and Sponsorship Forms


If you have any questions please contact Brenda at the state office at 407-290-9404 or email
Thank you on behalf of the conference committee!

The program is almost completed for the

58th Annual Convention

More Info Coming!   

June 22-23, 2011

Renaissance Vinoy Resort

St. Petersburg, Florida


Awesome Rate of $109!
Join Our Mailing List

This is your Winter 2011 news from the MBA of Florida.

Presidents Message


John Chludzenski 

John Chludzenski
Mortgage Bankers Association of Florida




Uncertainty. I wrote about it briefly in the last Newsletter in relation to legislative dormancy. The air of uncertainty has not changed, but it is going to change very soon. Provisions of the Dodd-Frank Wall Street Reform and Consumer Protection Act are coming to a theatre near you. Looming large on the docket is loan originator compensation and lender risk- retention. Regulators want to cap the originators compensation and you can say goodbye to YSP. The lender risk-retention involves requirements that lenders maintain some "skin" in the game on the loans they originate by holding 5% of the risk rather than pooling the loans and selling them entirely. There are exceptions if the loan qualifies as a QRM "Qualified Residential Mortgage". The definition of a QRM is still unspecified and clearly will be a hotly debated issue.


Fannie announced that it has decided to impose a new schedule of higher add-on fees, similar to what Freddie Mac did just before Thanksgiving. Their new fees are scheduled to start this spring. Potential homebuyers who have high credit scores and hefty down payments may be targeted for higher "risk-based" pricing fees. A recent article in the St Petersburg Times illustrated this quite well.


"Consider these examples of how Fannie's revised list of loan add-ons will affect borrowers. Say you want to buy a house that requires a $300,000 first mortgage. You have impressive FICO scores - above 800 - and cash for a down payment just under 25 percent.

Purely on the basis of your credit score and loan-to-value (LTV) ratio, Fannie now plans to charge an extra quarter of a percentage point of the loan amount - $750 - to do the deal. During 2010, by contrast, your substantial down payment combined with your FICO score - signifying virtually no risk of default - would have cost you zero.

Now take the same loan amount, but substitute a lower score and smaller down payment. Say your FICO score is 679, and you have down payment money just under 20 percent, Fannie will soon begin hitting you for 2 3/4 percent in add-on fees - a staggering $8,250 extra solely attributable to your FICO and LTV. That's $1,500 more than what you would have been charged in 2010.

But these fees are just the start of the multilayered, cumulative risk-based pricing system that Fannie and Freddie employ. Every perceived risk factor in a loan transaction receives its own separate add-on fee, all of which get totaled up for your final loan charges. Some fees are keyed to the type of real estate you want to finance. Condos, for example, are charged higher fees than stand-alone houses - a flat three-quarters of 1 percent by Fannie when the down payment is less than 25 percent. Rental investment properties, manufactured homes and loans with interest-only payment features all get separate fees that can mean significantly higher costs.

That's not all. Both Fannie and Freddie also tack on what they call adverse-market fees of one-quarter of 1 percent to all loans - the equivalent of cover charges at a nightclub - just to get you seated at the table. In the $300,000 example above, that's a standard admission ticket of $750 - not what you would consider chump change. All the fees can either be paid by you up front as part of the transaction costs or financed with a higher interest rate on the mortgage itself".

As an originator, if you haven't become an expert in FHA origination, I suggest you do so. It appears everyone in the game is attempting to share the risk in some fashion or another. Dodd-Frank wants to share the risk with the lender while the GSE's want to share the risk with the consumer. Let's face reality though. Lenders will find ways for the consumer to somehow absorb the cost of the risk. A great many consumers will not be able to afford to purchase a home due to their incapacity to share the regulator and governmentally imposed risk based fee assessments. Even the very best borrower/collateral risk profiles will have difficulty qualifying if you add these costs along with a combination of higher rates, tighter underwriting guidelines and additional sweeping government regulations.


To compound these issues the securitization of loans is being highly questioned. Many proposals for the secondary mortgage market involve a hybrid approach with a combination of private for-profit or nonprofit entities and federal guarantees on qualifying MBSs. These hybrids would be a combination of the characteristics in a Ginnie Mae security with explicit federal backing and the characteristics of privately issued MBSs. It is argued hybrid proposals would give the government more ongoing influence over the secondary market and an explicit liability in the case of large mortgage losses that would be reflected in the budget. That arrangement might have the advantage of leading to a more orderly handling of crisis situations.


If these new hybrids are developed and backed by the Federal government which is ultimately backed by the taxpayer - you and I. Why then do we have to pay twice for the risk? Would risk-retention and risk-based fees still be needed if the taxpayer is already assuming the inherent risk of the securities? It will be interesting to see how all of the upcoming legislation and regulation pans out and its affect on the way we currently do business.


I am very happy to say that there is one thing I am certain of - The upcoming annual MBAF Eastern Secondary Conference is shaping into the must attend event of the year! The conference is being held at the Grand Hyatt Tampa Bay. Past President and Chairman of the event, Howard Nelson, along with Executive Director Brenda Thomas and their Conference Committee have done an outstanding job of putting together a can't miss event due to its outstanding venue with a bevy of prolific speakers and trade booth exhibitors. It is also a perfect extended stay vacation opportunity for the attendees to thoroughly enjoy all that the Tampa Bay area has to offer.



I look forward to seeing all of you there.


John D.Chludzenski


MBA of Florida

Local Chapter Highlights 


MBA of Tampa Bay raised $15K for their annual charity auction this past November to benefit the Children's Home of Tampa Bay.


January speaker luncheon on LO Compensation drew over 100 attendees and helped them add quite a few new memberships. The Tampa Bay Chapter is going strong with membership at 138 total members (16 corporate memberships (5 members each) and 58 individual members.)


Upcoming events: February 3rd, Mortgage Fraud Panel- Free to all MBA members, Annual Golf Classic in April, Membership Appreciation Social in May. For complete information on any of these event please contact Tonya Mills at



Legislative Update
by Eric Prutsman, Esq., MBAF Legislative Representative 

The political landscape in Tallahassee has changed dramatically since last year.  A new Governor, a new Senate President, a new Speaker of the House, and veto-proof majorities in both the House and Senate - and each are expected to usher in the most business-friendly agenda Tallahassee has ever seen.  The Governor wasted no time in issuing a proclamation that froze all proposed agency regulations until each could be reviewed for its impact on the private sector.  Dozens of repealer bills, legislation drafted to repeal existing statutes, have been filed in the House and Senate.  The Governor, and legislative leadership are promising job creation, tort reform, lower taxes - and they have the votes to make it happen.

The 2011 legislative session will be challenging as there is currently a $3.6 billion deficit anticipated for the 2011-2012 fiscal year and legislators will spend much of their time finding ways to cut spending without raising additional revenue.  Additionally, reforming the Florida Medicaid program and passing legislation to address teacher quality and tenure in the K-12 public schools is a priority.

The Senate Banking & Insurance Committee will continue to be led by Senator Garrett Richter, a banker, for the next two years. The House Banking & Insurance Committee will be led by Rep. Bryan Nelson, an insurance agent.  The Senate committee has already heard testimony this month on mortgage foreclosures. It is not clear yet what specific legislation may be filed related to mortgage banking, however, we are working with legislators and the Office of Financial Regulation to address concerns raised regarding the most recent licensure process that created an ample of amount of frustration among licensees.  Representative Ritch Workman of Melbourne, who was instrumental in working with us to reverse the OFR's position on licensure of loan underwriters, is also committed to resolving issues related to the licensure of loan processors.

We will keep you updated as the Legislature continues preparation for the start of Session in March. 

Spotlight on Leadership: How Individuals Improve Themselves
by Kristina Holmen-Mohr, CMB, LTG, AMP

Wells Fargo Home Mortgage


It is a new year, and also the half-way mark of the terms of our current MBA of Florida leadership team.  Before we know it, a nominating committee will be formed.  If you have been considering your personal and professional goals lately, please consider stepping forward in your Association, too.  It really does all begin with YOU!


In their book "The Extraordinary Leader", John H. Zenger and Joseph Folkman make a great point about ways in which we can improve our personal leadership results.


One of their suggestions for such improvement is to develop and display high personal character.  They go further to say that the first step is to be willing to take on the role of a leader.  That means more than just calling a meeting to order and following an agenda until adjournment!  It means being willing to take charge.  Sometimes taking charge can cause resentments from others.


Here is their advice:  "...the counsel to all leaders is to maintain an attitude of humility.  Be willing to laugh at yourself.  Do not flaunt the authority you have.  Humility will make you approachable.  It opens the door to building relationships.  The leader needs to find some mirror from which can be learned the way others perceive your character.  That mirror may be a good internal mentor.  It could be a trusted colleague or subordinate. It could be an effective 360-degree feedback process.  Whatever it is, leaders need to have some sense about how people perceive their character.  They need to know if they are trusted.....Also, be cautious about the commitments you make, and then always deliver.  Be careful not to overstate or overpromise......The place to begin is behavior."

CMB Breakfast and Meeting Reminder

By Tim Allen, CMB


The CMB Committee is hosting a CMB Breakfast and Meeting to be held during the Eastern Secondary Conference on Thursday February 10th 2010 from 7:30 am to 9:00 am at the Grand Hyatt Tampa Bay.


Who is invited to attend?

All CMB's, especially if you or your company does business in Florida. Also, any CMB candidate and anyone interested in learning more about the CMB designation should attend.


What is the cost?

Nothing if you are registered for the entire Eastern Secondary Conference. If you are only attending this CMB Breakfast and Meeting the cost will be $30. Space is limited so you must RSVP to Brenda Thomas, MBAF's Executive Director at 


During this CMB Breakfast and Meeting at the Eastern Secondary Conference all CMB's present will decide if they want to launch a CMB Society of the MBAF. If the CMBs in attendance decide to start the CMB Society of the MBAF at the Eastern Secondary Conference this meeting will become the CMB Society of the MBAF's inaugural meeting!


A little history:

Pat Mansell, CMB called me after attending the CMB Society Meeting at the MBAs Annual Conference and Expo in Atlanta and said he hoped we could have a Florida CMB meeting at the Eastern Secondary Conference - I agreed this would be a good idea if we had something of interest to bring Florida CMB to such a meeting. Pat and I began to formulate some agenda items to make this meeting be of value to our Florida CMBs and here is what Pat and I we came up with: Purpose to have a MBAF CMB committee meeting at the Eastern Secondary Conference to network with fellow CMB and CMB candidates and anyone interested in becoming a CMB and discuss the possible creation of a CMB Society of the MBAF and we will to begin to draft mission statement for the CMB Society of the MBAF and discuss the possible structure of the society.


Many of the reasons for having a the CMB Society of the MBAF are the same as the we now have for the MBAF CMB Committee but the CMB Society of the MBAF will expanded membership and expanded opportunities with a goal to increase the number of CMBs in Florida and positively impact the direction of Florida in matters regarding mortgage lending.


If the CMB Society of the MBAF is created at this meeting I propose that the CMB Society of the MBAF meet twice during the year, one meeting at the Eastern Secondary Conference and the other at the MBAF State Convention. 


Some but certainly not all of the reasons for creating a CMB Society of the MBAF are listed below: 


·Networking opportunity for CMB


·Create awareness of the purpose of the CMB designation and promote membership in the CMB society.


·Opportunity for perspective CMBs to lean what it means to be a CMB.


·To address specific areas of concern related to mortgage banking in Florida.


Tim D. Allen, CMB

VP, Retail Sales Manager, Southeast US at AmeriCU Mortgage

Chairman MBAF CMB Committee 

Phone:   239-571-5440           Fax:   877-628-6558     Tim Allen, CMB LinkedIn 


Welcome New Members




Alarion Bank

Ocala, FL

Carrie Cribb

Dwight Hart

Donna Peavy



Jacksonville, FL

DJ Cox

Deborah Hobbs

Luke Sutter


Solidifi Inc.

Chicago, IL 

Loren Cooke

Please visit your fellow members!

Click the link above to access the log in page, as shown below. This is where you can access and connect to all members. It really is very easy to use.


Log In Portal 

The Mortgage Action Alliance (MAA), Inc. ® is a voluntary, non-partisan and free nationwide grassroots lobbying network of real estate finance industry professionals, affiliated with the Mortgage Bankers Association. MAA is dedicated to strengthening the industry's voice and lobbying power in Washington, DC and state capitals across America. Get involved with MAA to play an active role in how laws and regulations that affect the industry and consumers are created and carried out by lobbying and building relationships with policymakers. It only takes a moment to get started, and you do not have to be a member of MBA to enroll.  

This article was contributed by Ted Jeschke of Kroll Factual Data. He can be reached at 800-320-3465 ext.7698 or


Top 5 Reasons to Believe in Lending Again


Leaders can capitalize on signs of a bright future.


Is the recession over? The real estate market has reasons for guarded optimism, normally an indication that a recovery is underway; but when will the next industry leaders emerge? Those who seize the opportunity can gain a lasting strategic advantage over the competition.


After several challenging years in residential and commercial real estate, optimism is starting to shine. We can't exactly say the worst is over, but some are finding ways to succeed. While you can't change the direction of the wind, you can adjust your sails. Acting strategically is key.


As the ingredients for renewed profitability are falling into place, market turbulence could be the mother of innovation. The last part of the puzzle is job creation. Economists predict unemployment may have peaked, and new jobs will inspire greater consumer confidence and help end the downturn.


More importantly, after identifying the reasons for the meltdown, we can work to correct them. Just as investigators study fires to avoid repeating a disaster, mortgage regulators will play a role; but we can't rely on regulation to prevent future problems. We can act on what we've learned about how products perform in bull and bear markets, and move toward a healthier outlook, as indicated by these five reasons to believe in lending again.


[1]          If you're reading this, you likely survived the worst.

Real estate might not be completely out of the woods, and no one knows exactly when things will improve for good, but upbeat trends are appearing.


Fiserv, Inc. noted that in Q2 and Q3 of 2009, U.S. home prices increased two percent each quarter. Robert Shiller, Yale University economist, called the home-price rebound during the second half of 2009 "the most dramatic turnaround" since he began charting home prices in 1987.


National homebuilders are starting to see a return to profits, indicating tempered hope for the industry's rebound. Ian McCarthy, chairman and CEO of Beazer Homes USA, Inc. told the Wall Street Journal in February 2010, "While it is premature to signal the beginning of a sustainable recovery in the housing market, we are seeing indications that historically high levels of home affordability, home price stability, low mortgage interest rates, and home buyer tax credits may be beginning to balance out prospective home buyers' concerns about falling home prices, foreclosures and risk of job loss in most of our markets."


The ultimate winners will be those who discover ways to capitalize on the new demands of the future.


[2]          We know what to do to fix things.

Good, old-fashioned underwriting is again the best approach. With an end to talk of completely automated decision making, the industry is focused on finding the fastest, lowest-cost approaches to verifying an applicant's ability to repay the loan. The era of easy money is over. You'll have to put 20 percent down, and only buy what you need.


A proven approach to underwriting can help simplify and expedite the loan process and protect lenders from the threat of buybacks or fraud. Tomorrow's market leaders have begun retooling their processes to support this move back to basics.


[3]          Societal pressure is supporting the industry's recovery.

At every step of the lending process, there is serious thrust behind loosening lending gridlock.


In late 2009, income restrictions on home buyer tax credits were increased through the Worker, Homeownership and Business Assistance Act, and the deadline was extended, enabling eligible families to purchase new homes by July 1, 2010 and still qualify for up to a $6,500 tax credit. Some remain cautious this program's impact, but it's clear that aggressive social pressure is providing an important psychological boost and economic incentives.


Lastly, the market's return to affordability - driven by home prices that now have a more realistic price-to-income ratio - will encourage investors to jump into the market and spur the next upward turn.


[4]          New processes offset new regulatory pressures.

Tighter credit policies and stricter verification structures are here to stay. Lenders and investors can avoid the higher costs, slower closings and increased risk that the industry expects. Most would agree that there's been room for improvement within mortgage lending for quite some time. But why would anyone bother changing processes during the peak?


The time for improving processes is now, starting with the most costly and time consuming, such as the loan fulfillment process. No one wants to return to the days when it took days or weeks to verify all the borrower information. A proven, streamlined approach to verification can bring benefits throughout your entire lending operation.


A streamlined approach to verification will put you ahead of competitors, avoid higher loan processing costs, and freeing your staff for more critical tasks. Independent loan verification by a trusted expert increases investor confidence and provides transparency, more consistent turnaround times, reduced costs and enhanced productivity.


[5]          Independent verification protects against fraud and buybacks.

Criminal schemes and "white lies" from borrowers have made life more difficult. Strict new policies adopted by investors and insurers mean lenders are more susceptible to severe repercussions and sanctions stemming from the most devastating risk to loan security: an innocent error made by an insider.


By trusting a reliable third-party verification expert, you can be sure of your information. Representations and warranties protect you from errors that cut into profitability. Combined with the trust and transparency gained by adopting an independent verification process, it becomes clear that independent verification is a proven approach for ensuring safe, secure, reliable loans.


It's time to take advantage of this uncertainty.


Real estate is cyclical. Even historically turbulent times eventually end. Retooling your processes to improve mortgage performance helps maximize your profits to gain a competitive advantage now and when volumes climb again.


Getting everyone on the path to recovery will take a tremendous effort from everyone in the industry. The power of belief will inspire some to see opportunity in every challenge and reward those who position themselves well for this new era.

Contributed by Theresa M McCoy, CIC Mortgage Credit, Inc.


Fannie Mae has been instituting new guidelines, which will affect the loan origination process. According to policies set forth in the Fannie Mae Loan Quality Initiative (LQI), Lenders are responsible for identifying and disclosing any new debts borrowers may have incurred just before closing, checking related parties against exclusionary lists, and validating Social Security numbers (SSN) throughout the origination process.


"Lenders must determine that all debts of the borrower incurred or closed up to and concurrent with the closing of the subject mortgage are disclosed on the final loan application and included in the qualification for the subject mortgage loan..."


"...Fannie Mae's updated policy requires that lenders determine that the borrower has not established additional debt on or prior to the closing date. If additional liabilities are discovered, lenders must consider any such additional debts of the borrower in the qualification."


Lender that discover new information that could impact the performance of the loan may have to resubmit the loan.


"Examples of situations in which loan case files should be resubmitted... if new derogatory information is detected and/or the credit score has materially changed."


Additionally, going forward, loans found by Fannie Mae to be in noncompliance are subject to repurchase by the lenders.


"if Fannie Mae determines that any debts were not adequately disclosed on the application nor included in the debt-to-income ratio such that the loan would not have met Fannie Mae eligibility requirements, the mortgage loan will be subject to repurchase by the lender."


Essentially, this means lenders are responsible for identifying and disclosing credit activity that has occurred between the time the loan is approved to the time it closes. Fannie Mae recommends a few key steps to help ensure compliance with its LQI.


·         Refresh credit reports just before closing to identify any new inquiries or debt obligations

·         Investigate new inquiries to determine whether the borrower does in fact have any additional debt to repay

·         Validate SSN with solutions such as ID Risk Review, Level One authentication, or SSA89 verifications

·         Credit Comparison report to quickly identify differences from initial report and refreshed report


Help Avoid repurchase with a refreshed CIC credit report


Identify new activity and debt obligations your borrowers may have incurred prior to, or concurrent with, the closing of their mortgage.


·         Credit Inquires

·         New derogatory and material score changes (score optional)

·         SSN and fraud alert validations (optional)

·         OFAC name screen

·         Public Records


With a refreshed credit report from CIC, you'll get updates on the critical information Fannie Mae expects you to disclose. Plus, you have the option of initiating a hard or soft inquiry, so there doesn't have to be an additional impact to borrowers.

and What is a Certified Mortgage Banker?

CMB Logo 
The CMB Society has a group page on LinkedIn. If you have an account with LinkedIn, and are a Certified Mortgage Banker, please take a minute to request membership status in this group:

What is a Certified Mortgage Banker?
The Certified Mortgage Banker (CMB) designation is the industry standard of professional success. It symbolizes respect, credibility, ethics, and achievement within real estate finance. Earning a CMB instantly places you at the top of our dynamic industry and makes you a part of the elite group that has achieved the highest level of professional success.

In these tough times, holding a CMB designation can put you at the top of the list for career opportunities.

You can choose to earn a Commercial or Residential CMB. Complete both programs to earn your Master CMB. Achievement of these designations represents the epitome of dedication and expertise in the real estate finance industry.

Since its inception in 1973, the CMB has been the highest professional designation for the real estate finance industry. The CMB community is made up of outstanding industry professionals and leaders. With such a great community, the designation  continues to define excellence within the industry.

Currently there are over 1000 CMBs nationwide.

Whether obtaining the designation as a personal achievement in their career, or as a testament to the industry, CMB designees exhibit the dedication that inspires other professionals to strive for excellence. In fact, more than 89% of CMB designees hold the title of vice president or higher, reflecting the level of leadership and commitment designees maintain.

The Tools to Succeed
We have all the right tools to help you succeed. CampusMBA offers award-winning training to help you meet the requirements and prepare for the exam. And you can track your progress with your online transcript.

If you are an individual who would like to demonstrate your commitment to professional excellence and distinguish yourself as a leader within the industry-the CMB designation is the program for you.

When the program was initially developed, professionals who wished to earn the designation were required to learn both commercial and residential finance disciplines before they could earn the CMB. At that time, most lenders had commercial shops within their organization, so it was expected that professionals could, and would learn both parts of the industry.

The growth of the industry necessitated the division of companies to focus on more specialized operations and many new companies appeared on the playing field as a result. Now many successful professionals are experts within their field and may never have the opportunity or need to learn the other side of the business.
MBA has introduced a new Executive CMB program for those individuals with industry experience but do not have the time to attend the School of Mortgage Banking.
Since 1952, the Mortgage Bankers Association of Florida (MBAF) has integrated the state's diverse real estate finance industry into a unified service organization.  The MBAF is committed to promoting sound and ethical business practices in the mortgage banking industry; providing a powerful and responsible presence in Florida's legislative arena; educating its members in the most up-to-date practices and methods, so members can grow and mature in their careers; serving as a forum for communication and social interaction among peers; and adapting to change in a mercurial business environment, in order to help mortgage bankers succeed in that environment.

Not a Member? You can join today!
Click to Access Membership Application

Please contact Brenda Thomas at the state office with any questions at or 407-290-9404