Saxon Capital Group Inc. · OTC:SCGX

Saxon Capital — Conference Presentation (November 2005)

24 slides from Saxon Capital's conference presentation, Nov 2, 2005

  1. Slide 1: Saxon Capital, Inc.

    Saxon Capital, Inc.

  2. Slide 2: Forward Looking Statements

    FORWARD LOOKING STATEMENTS Certain information contained herein, reflecting our future plans and strategies, may constitute “forward-looking statements” that are based on current expectations and assumptions. These expectations and assumptions are subject to risks and uncertainty, which could affect

  3. Slide 3: Information & Where to Find It

    INFORMATION & WHERE TO FIND IT • Corporate presentations, company financials, corporate SEC filings and other useful links can be found at www.saxoncapitalinc.com ( click on Corporate and then the Investor Relations section). • Underwriting guidelines, matrices and product profiles can be found at w

  4. Slide 4: Saxon Companies

    SAXON COMPANIES A nationally recognized wholesale and correspondent mortgage lending company A retail origination platform leveraging a national mortgage lending branch network and online lending alliances A premier mortgage servicing company

  5. Slide 5: Condensed Consolidated Balance Sheet

    CONDENSED CONSOLIDATED BALANCE SHEET Data as of 6/30/05

  6. Slide 6: Saxon Strategy

    SAXON STRATEGY • Saxon is building a high-quality non-conforming mortgage loan portfolio – Portfolio accounting – Holder of the first loss/residual risk (below BBB – credit risk) – Proactively manage the credit risk through our “Life of the Loan Credit Risk Management” philosophy – Nine years of per

  7. Slide 7: Owned Portfolio Growth

    OWNED PORTFOLIO GROWTH $4,297 = 70% $1,808 = 30% Data as of 6/30/05

  8. Slide 8: Proven Track Record

    PROVEN TRACK RECORD Data as of 6/30/05

  9. Slide 9: Volume & Channel Mix

    VOLUME & CHANNEL MIX Data as of 6/30/05

  10. Slide 10: Servicing Portfolio

    SERVICING PORTFOLIO $18.6 billion = 75% $6.1 billion = 25% Data as of 6/30/05

  11. Slide 11: Underwriting

    UNDERWRITING

  12. Slide 12: Locations

    LOCATIONS • Wholesale and Retail Underwriting – Eastern Region Operations Center – Glen Allen, Virginia – Central Region Operations Center – Fort Worth, Texas – Western Region Operations Center – Foothill Ranch, California • Correspondent Underwriting – Eastern Region Operations Center – Glen Allen,

  13. Slide 13: Program Production

    2001 Funded Amount 2002 Funded Amount 2003 Funded Amount 2004 Funded Amount 2005 Funded Amount Traditional* Score Plus Manufactured Housing ** Second Mortgage Piggyback 2nd Mortgage Score Direct Other Programs PROGRAM PRODUCTION 74.65% 53.98% 39.82% 30.26% 2.33% 20.79% 43.25% 54.72% 56.58% 87.66% 1.

  14. Slide 14: Quality Control

    QUALITY CONTROL

  15. Slide 15: Managed at Three Levels

    MANAGED AT THREE LEVELS • Underwriting – Appintell on every file – Borrower and Co-borrower social security numbers – Employment company address and phone numbers – Address and ownership verification – Property acquisition dates and cost – OFAC screening • Quality Control: Prefunding and Post Fundin

  16. Slide 16: Managed at Three Levels (continued)

    MANAGED AT THREE LEVELS (continued) • Investigation Unit – Performs pre-funding investigations of loans referred by underwriting – Performs 100-150 investigations a month on average – Reviews 100% of Early Payment Default loans (loans which are 60 days delinquent within the first 90 days) for materi

  17. Slide 17: Credit & Servicing Statistics

    CREDIT & SERVICING STATISTICS

  18. Slide 18: Quarterly Production Statistics

    QUARTERLY PRODUCTION STATISTICS Data as of 6/30/05

  19. Slide 19: State Concentration

    STATE CONCENTRATION Data as of 6/30/05

  20. Slide 20: Credit Score Migration

    CREDIT SCORE MIGRATION Data as of 6/30/05

  21. Slide 21: Loss Severity

    LOSS SEVERITY Divestiture from Dominion Data as of 6/30/05

  22. Slide 22: Static Pool Delinquency

    STATIC POOL DELINQUENCEY Data as of 6/30/05

  23. Slide 23: Static Pool Losses by Funded Year

    STATIC POOL LOSSES BY FUNDED YEAR Data as of 6/30/05

  24. Slide 24: Summary

    Strong Management Existing Portfolio Servicing Platform Discipline SUMMARY • SAX has a culture of discipline in growth, credit, and servicing. • Creating assets for our balance sheet and managing a REIT require similar discipline. • SAX has a servicing platform that is highly rated and scalable. • S

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