Smart Guide to Refinancing

The Smart Guide to Refinancing Talk to the experts.

We are here to guide you through the process.

The Smart Guide to Refinancing is provided to you as a tool to clarify the loan process. Use this easy-to-follow guidebook to write down your goals, understand your options and keep track of your progress. When you choose Residential Finance Corporation for your refinancing, you gain a team of mortgage professionals dedicated to finding the right mortgage loan with the best rate and terms to meet your financial objectives.

Bill Filling Sales Manager

This guide is brought to you by:

RESIDENTIAL FINANCE CORPORATION

NMLS# 893027 717.757.5322 Direct 877-495-2603 Fax Bill.Filling@myrfc.com www.residentialďŹ nance.com

Table of Contents Introduction To Mortgage Refinancing ....................................................................... Page 4 Quick Guide To Refinancing Options .................................................................... Page 5 Facts About Refinancing You May Not Know .............................................................Page 6 Frequently Asked Questions About Refinancing ....................................................... Page 7 Customer Feedback: In Their Own Words ................................................................. Page 8 Benefits Example: Monthly Savings ....................................................................... Page 9 Resource: Debt Worksheet .................................................................................. Page 10 Resource: My New Loan Worksheet ........................................................................ Page 11 Resource: Documents Worksheet ...................................................................... Page 12 Resource: My Goals Worksheet ............................................................................ Page 13 Smart Chart: The Loan Process ........................................................................ Page 14-15 Step 1: Applying for your loan ............................................................................ Page 16 Step 2: Disclosures ............................................................................................. Page 17 Step 3: Requesting An Appraisal ........................................................................... Page 18 Step 4: Review & Rate Lock .............................................................................. Page 19 Step 5: Underwriting Conditions ............................................................................ Page 20 Step 6: Quality Assurance .................................................................................. Page 21 Step 7: Closing .................................................................................................... Page 22 What Happens Next? ........................................................................................... Page 23

THE SMART GUIDE TO REFINANCING - RESIDENTIAL FINANCE CORPORATION

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ABOUT Residential Finance ABOUT YOUR PARTNER - RESIDENTIAL FINANCE CORPORATION Residential Finance Corporation makes your transaction as firm as a handshake. You get the advantages of a big lender with the personal attention and sound advice of a personal banker. Our dedicated mortgage professionals offer guidance about the options that best suit your financial goals with a diverse range of loan options that include: • •

FHA VA

• • • •

USDA Conforming Jumbo Reverse mortgages

•

And more

With customers in more than 37 states across the country. The team at Residential Finance Corporation is there where you need us. Delivering the highest level of customer service, we have the knowledge and expertise to guide you along the way . . . answer your questions promptly . . . get your loan approved at the most competitive rates and terms.

THE SMART GUIDE TO REFINANCING - RESIDENTIAL FINANCE CORPORATION

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INTRODUCTION TO Mortgage Refinancing Whether you took on a 15- or 30-year mortgage, with interest rates at all-time lows, you don’t have to keep your existing loan. Take a look at today’s loan rates and another look at your financial goals and discover how refinancing your existing mortgage saves you money.

Here are six reasons refinancing may be the perfect option for you: Reduce your monthly payments. You work hard. With today’s lower interest rates, keep more of those hard-earned dollars in your pocket. Start saving money again..

Get extra cash for any reason. Take advantage of your home’s equity to access cash for home improvements such as a bathroom remodel or that garage you’ve been wanting.

Pay off your mortgage sooner than you expected. Shorten the term of your loan and get that mortgage paid off while building up your home equity.

Live a debt-free life. Whether you’re paying off credit cards, personal loans or other debt, they all have interest. The only debt that is tax deductible is your home mortgage. Therefore, consolidate your debt by rolling all of your monthly bills into one convenient payment and focus on getting your home paid off quicker.

Take advantage of a loan that fits your current situation. Perhaps your financial situation has improved since you obtained your current loan. Get into the right loan program that best meets your needs today.

Plan for life-changing events. Have a child who is applying for college or getting married?

Refinancing can help you with the finances you need for life events – from braces for your kids to making room for a new baby!

THE SMART GUIDE TO REFINANCING - RESIDENTIAL FINANCE CORPORATION

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QUICK GUIDE TO Refinancing Options There are many different options when it comes to refinancing. The best way to determine which loan program works best for you is to talk with me about your goals. I’m here to help you understand your choices and make your financial transaction easier.

Here is a brief overview of the loan programs available to you: LOAN PRODUCT

EASY QUALIFICATION

LOAN FLEXIBILITY

RATE SECURITY

LOWER MONEY DOWN

30 YEAR FIXED

15 YEAR FIXED

FHA LOAN

VA LOAN

JUMBO LOAN

REVERSE LOAN

ADJUSTABLE RATE LOAN

Helpful Tip: Did you know that millions of homeowners qualify for VA, FHA and USDA programs, but not all lenders offer them? Many times these loans provide better terms and conditions then what is offered at your local bank. Ask me about your options.

THE SMART GUIDE TO REFINANCING - RESIDENTIAL FINANCE CORPORATION

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7 FACTS ABOUT REFINANCING

You May Not Know

1)

Lowering your interest rate isn’t the only way to save money. Even if you

refinance at the same rate as your first mortgage, it’s possible for you to lower your monthly payment. Let’s discuss how that can work in your favor.

2)

You can get a mortgage customized to your needs. When you think

about refinancing you probably think about a 15-year or 30-year loan. However, Residential Finance Corporation can customize a loan to match the years that are left on your existing loan.

3)

Access a better interest rate by improving your debt-to-income ratio. If

you pay down debt, even if it’s just months before you apply for a refinance, you may qualify for a better interest rate & save more money over time.

4)

There is a difference between a mortgage broker and a direct lender. A

mortgage broker may represent several different lenders and serves as the liaison between you and the lender. Working with a direct lender simplifies the loan process while eliminating some of the additional fees associated with a broker.

5)

The lowest rate may not be the best option! Rate is only one component

to consider. You should also look at the advantages of lowering your monthly payments, cashing out, increasing your tax benefits or decreasing the term of your mortgage.

6) 7)

Some of the costs associated with refinancing are tax-deductible. Ask your financial advisor or tax professional for more details.

If you’re a veteran, you won’t need down payment money. Unlike FHA

loans, VA loans typically do not require a down payment or private mortgage insurance (PMI). They do require owner occupancy and of course, VA eligibility.

THE SMART GUIDE TO REFINANCING - RESIDENTIAL FINANCE CORPORATION

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7 FREQUENTLY ASKED QUESTIONS

About Refinancing If you have a question, feel free to pick up the phone and call me. I’m here to make sure you understand the process and clarify any concerns you may have. However, here are some answers to frequently asked questions that you may be thinking about: How long does it take for you to process my loan request?

The time it takes between submitting your loan application to sitting at the closing table usually averages 2-3 weeks.

What do I need to qualify for a refinance?

Guidelines vary from one loan to another, but to qualify you must have equity in your home, have a stable income and meet the minimum credit requirements.

What will it cost to refinance my loan?

The total cost for refinancing your first mortgage depends on your interest rate, the number of points and other costs required to obtain the loan. I’ll review this with you when we go over your financial goals so you’ll have a clear idea of what to expect.

How do I decide if a 15-year mortgage is better for me than a 30-year?

I’ll sit down with you and review your financial goals and objectives. Then, we’ll “crunch the numbers” to see which option best suits your needs and comfortably works within your budget.

Why should I consider an adjustable rate mortgage (ARM)?

In some cases, ARMs have lower interest rates. According to the chief economist for the Mortgage Bankers Association of America, the average life of a mortgage is just 3-5 years. Yet, 83% of borrowers get loans that guarantee a fixed rate for 15 years or more. Let’s talk about your plans and assess whether or not an ARM is right for you.

How does an appraiser determine what my home is worth?

An appraiser looks at your home and compares it to other homes that have sold in your area recently. Factors that are taken into consideration include the structure of your home, its location and proximity to neighborhood amenities, and its overall appeal inside and out.

I’m ready to apply. What should I expect?

From personal to financial information, you’ll need to gather several documents before getting started. It’s best to have the necessary paperwork gathered together before you sit down to meet with me. This way, everything you need will be in front of you and easy to access. There’s a handy document checklist on Page 12 to help you along the way.

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CUSTOMER FEEDBACK In Their Own Words

"The benefit that Residential Finance Corp was able to Provide to our family when we needed it was exceptional."

CASSIDY M., GREELEY, CO

"I recommend Residential Finance Corporation because they kept their promise and treated me with respect."

MICHAEL G., LONG BEACH, CA

"I want to take the opportunity to say thank you very much for the prompt, personalized and special attention provided to me during my refinancing."

MARTIN M., HUNTSVILLE, AL

"Residential Finance Corporation is truly an American company who cares about their product, employees, and customers."

MATT H., PAYSON, AZ

THE SMART GUIDE TO REFINANCING - RESIDENTIAL FINANCE CORPORATION

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BENEFITS EXAMPLE Monthly Savings HOW DOES REFINANCING SAVE ME MONEY? Whether you’re changing the terms of your existing loan or lowering your interest rate, refinancing can save you hundreds of dollars a month – that’s thousands of dollars per year.

Take a look at the example below and discover what a difference refinancing can make to your financial future.

DEBT TYPE

CURRENT

REFINANCED

Mortgage

$1,265.00

$1,525.00

Car Loan

$488.00

$0

Credit Card

$159.00

$0

Credit Card

$128.00

$0

Credit Card

$95.00

$0

Total Monthly Debt

$2,135.00

1,525.00

Monthly Savings

0

$610.00

Annual Savings

0

$7,320.00 Sample information only.

Helpful Tip: Every cent counts! Did you know that by paying as little as an extra $90 per month on a $200,000 loan (at 4.5%), you can reduce your term by 4.5+ years (that’s 25.49 years instead of 30)?

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RESOURCE Debt Worksheet ORGANIZE YOUR DEBT Here is a helpful worksheet designed to assist you in outlining your current debt(s) and what you’d like to pay off. Have a question? Don’t hesitate to call me and we can review this together.

Creditor

Total Owed

Monthly Payment

Pay Off

ple Card _____________ Sam

$_________ 2563.00

$_________ 152.00

 Yes X

 No

_____________

$_________

$_________

 Yes

 No

_____________

$_________

$_________

 Yes

 No

_____________

$_________

$_________

 Yes

 No

_____________

$_________

$_________

 Yes

 No

_____________

$_________

$_________

 Yes

 No

_____________

$_________

$_________

 Yes

 No

_____________

$_________

$_________

 Yes

 No

TOTAL: $_________

$_________

THE SMART GUIDE TO REFINANCING - RESIDENTIAL FINANCE CORPORATION

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RESOURCE My New Loan Worksheet WHICH OPTION IS BEST FOR ME? Here’s a simple worksheet we can review together. Fill in the blanks below. Then, once you see how much you’ll save with each option, you’ll be better equipped to select the loan program that’s best suited for you.

Debt

Current

New

$_________

$_________

$_________

$_________

$_________

$_________

$_________

$_________

$_________

$_________

$_________

$_________

$_________

$_________

$_________

$_________

$_________

$_________

Option 1:

_________

$ ________

Option 2:

_________

$ ________

Option 3:

_________

$ ________

THE SMART GUIDE TO REFINANCING - RESIDENTIAL FINANCE CORPORATION

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RESOURCE Documents Worksheet ORGANIZE YOUR DOCUMENTATION There are a variety of documents – personal & financial – that you’ll need to compile. To help you prepare and ensure that the process flows smoothly, here’s a check list of the items you’ll need:

KEY DOCUMENTS:

ADDITIONAL DOCUMENTS:

 W2s:

 ________________________________

(Required for every application)

(Required for Some Situations Only)

For each job you’ve held over the last 2 years

 1099s: For the last 2 years (Social Security, pension, etc.)

 Personal and Business Tax Returns: For the last 2 years (All pages & schedules. Be sure to sign page 2 of the form 1040.)

 Award Letter:

 ________________________________  ________________________________  ________________________________

Most recent (Social security, pension, etc.)

 Pay Stubs:

 ________________________________

For the last 30 days

 Bank Statements:

 ________________________________

For the last 2 months (all pages)

 Brokerage Statements:

 ________________________________

Most recent (All Pages)

 Drivers License: An enlarged copy for borrower and co-borrower

 Mortgage Statements: For all loans

 Declarations page of your homeowner’s insurance

THE SMART GUIDE TO REFINANCING - RESIDENTIAL FINANCE CORPORATION

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RESOURCE My Goals Worksheet WHAT AM I DREAMING ABOUT? Once you’ve refinanced your loan, you’ll be saving money. So, what would you like to do with those savings? Are you ready to take that long-awaited vacation . . . remodel your kitchen . . . send your kids to college? Write down your goals below.

___________________________________ ___________________________________ ___________________________________ ___________________________________

Travel

Home

___________________________________ ___________________________________ ___________________________________ ___________________________________

ile

mob o t u A

___________________________________ ___________________________________ ___________________________________ ___________________________________

ion

at Educ

___________________________________ ___________________________________ ___________________________________ ___________________________________

THE SMART GUIDE TO REFINANCING - RESIDENTIAL FINANCE CORPORATION

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SMART CHART The Loan Process

1 Application

7 EASY STEPS

You can do this over the phone, online or in person with me. I’ll ask questions that help me pre-qualify you and determine how much you may borrow.

Start to Finish Refinancing your home doesn’t

have

to

be

stressful and confusing.

To help you understand the process and feel comfortable

with

the

2 Disclosure Disclose everything at the beginning.

Being up front from the start ensures that your loan gets processed quickly and as smoothly as possible.

decision you make, here’s a list of the 7 steps to make your experience hassle-free:

3 Appraisal A professional appraiser will visit your home, compare it to other sales in your area and determine its market value.

Every loan is different.

Your Loan Officer can help you fill in your expected time line.

This step can be done in as little as _____ day(s).

THE SMART GUIDE TO REFINANCING - RESIDENTIAL FINANCE CORPORATION

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SMART CHART The Loan Process

4 Review & Rate Lock All your documents should be submitted by now so when the appraisal comes in we can review everything, lock in your loan rate and submit a complete package to the underwriter.

5 Underwriting An underwriter is the person responsible for comparing your documents with the guidelines of the loan you’re applying for and determining that all conditions are being met favorably.

6 Quality Assurance After reviewing your loan package, the underwriter may ask for additional or updated documents such as pay stubs or re-verification of employment.

7 Closing Once the paperwork is complete and your loan is approved, I’ll communicate with the closing agent to ensure the documents are recorded and funds are disbursed properly.

THE SMART GUIDE TO REFINANCING - RESIDENTIAL FINANCE CORPORATION

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Step 1

I started this step on: ________________ I completed this step on: _____________

Applying for your loan You can do this over the phone, online or in person with me. First, we’ll review your financial goals and objectives. Then, to help pre-qualify you, I’ll ask for information about employment, earnings, savings, etc. You’ll be asked to provide documentation such as W-2s, recent pay stubs, income tax returns. And, I’ll check your credit report. All your information is kept confidential.

I’ll use this information to see if you qualify for a mortgage and determine which loan options best suit your financial objectives.

Be sure your paperwork is correct, complete and legible. Missing or incorrect information may delay the loan process.

This step can be done in as little as _____ day(s).

Your Tasks:  Apply: Give us a clear picture of all financial goals you would like accomplished.  Get Prepared: W-2's, pay stubs, phone numbers for your human resources, contact info for insurance agent, your property tax bill. More information is always better than less.  Questions: Ask any and all questions you would like answered, if we don't know the answer right away we will find it.

Our Tasks:

Do's and Don'ts Don’t open or close any new credit accounts in the months prior to applying for your refinance, this can effect your credit rating.

Do tell me, or ask me, about anything that may affect your loan.

 Listen: We want to know all about your goals and objectives and how it will change your life for the better once accomplished.  The Details: We must take time to cover your full application and ensure we have the most up to date and accurate information for your situation  Review Credit: We will be taking a look at your credit and covering it with you. Let's take time to review it to ensure the credit bureau has accurate info.  Timeline: During this step we will go over all the steps in this process and estimating exactly when it will be complete.

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Step 2

I started this step on: ________________ I completed this step on: _____________

Disclosure (Signing) This step can be done in as little as _____ day(s).

Disclose everything at the beginning. Being up front from the start ensures that your loan gets processed quickly and as smoothly as possible.

You’ll receive a Truth-in-Lending Disclosure statement that outlines the total cost of your loan. This is an opportunity for you to ask questions to ensure you understand how much you’re going to pay for the loan program you wish to obtain.

The initial paperwork is not the finalization of your loan. It is used for compliance purposes as required by the government. If anything on the application is incorrect such as the year your home was built or work phone number, just let us know and we will get it fixed prior to the final closing.

Your Tasks:  Phone Appointment: Ask any questions you may have.

We want you to have a clear understanding of all the paperwork your signing so let's cover everything.  Return Documents: The documents we covered in step one should be returned with your loan application papers.  Appraisal: Let us know of a good time and day for the inspection of your property.

Our Tasks:

Do's and Don'ts Don’t spend the Money in the Bank - Many mortgages are approved on the condition of having a certain amount of "reserves" after closing.

Don't

take on new debt - This can be tempting as

your new loan will be giving you tremendous financial benefits, just wait till it's closed and funded.

Don’t change jobs - Try not to make a career change till after the loan has closed if possible.

THE SMART GUIDE TO REFINANCING - RESIDENTIAL FINANCE CORPORATION

 Be Available: Our most important duty in this step is to be ready and available to cover all paperwork with you and provide answers to any questions you may have.  Setup Appraisal: Our mortgage team will be coordinating with the appraisal company to set up your appraisal inspection.  Double Check: Once your income documents are received we will be reviewing and updating all information to ensure your application is approvable.  Timeline: We will go into more detail on the full process, timelines and what we need from you.

PAGE 17

Step 3

I started this step on: ________________ I completed this step on: _____________

Requesting An Appraisal This step can be done in as little as _____ day(s).

Residential Finance Corporation retains the services of a professional appraiser. The appraiser is hired to visit your home and determine its value (known as the fair market value).

This figure is calculated by reviewing such factors as: • How your home compares to other local home sales.

• The condition of your home – inside and out.

Your Tasks:  Be Ready: The appraisal will be around 45 minutes to an hour. Please make sure you have set enough time in your schedule for the appraiser to do their full analysis.

• The size of your home.

 Speak Up: Let the appraiser know of any new additions or upgrades you've made since your last inspection. If you

• The location of your home.

know of any recent or pending sales in the neighborhood be sure to mention it to the appraiser.

• Your home’s proximity to neighborhood amenities.

Do's and Don'ts Don’t

renovate- if you're planning to fix up a room or remodel the bathroom be sure to wait till the loan is complete to do so. This can effect your qualification.

Do provide your past appraisal - Have a copy of your

last appraisal? If so, this may assist with your inspection.

Provide a copy to your appraiser.

Our Tasks:  Finishing Touches: We will be communicating with your tax assessor, insurance company and the credit bureaus to fine tune your application and prepare it for processing.  Follow Up: The appraisal management company and the loan officer will be discussing the expected timeline to receive your appraisal back. (Typically 3-4 days in most areas)  Branch Manager: The Branch Manager will be much more involved in reviewing the application for any additional items that may be needed.  Wait: There is a down period in the process as we await the final estimate, but we are prepped and ready to move forward once we get it back.

THE SMART GUIDE TO REFINANCING - RESIDENTIAL FINANCE CORPORATION

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Step 4

I started this step on: ________________ I completed this step on: _____________

Review & Rate Lock This step can be done in as little as _____ day(s).

All your documents should be submitted by now so, once the appraisal comes in, we can review everything, lock in your loan rate and submit a complete package to the underwriter.

Your Tasks:  Lock: Locking can be completed at any stage after application but If you have chosen to wait at this point we must firmly lock in the rate at this time.  Discussion & Finalization: Now that the appraisal is complete we want to finalize any additional wants or needs that you would like accomplished.  Choose: Do a final review of all options and make the most advisable financial decision with my help.

Do's and Don'ts Don’t panic- even if the appraisal comes in less then

your estimate we have many programs that may still be able to help you out.

Do relax - You've done your part, allow us to take over from here and complete the loan process.

Our Tasks:  Be Available: We want to know all your questions, concerns, anything else we should be aware of.  Forward Process: We do our best to outline the finalization of the processing of your file and give full transparency on how a mortgage application is completed.  Review Credit: We will be taking a look at your credit and covering it with you. Let's take time to review it to ensure the credit bureau has accurate info.  Copy of the Appraisal : During this time we will send you a copy of your appraisal report for your records and review.

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Step 5

I started this step on: ________________ I completed this step on: _____________

Underwriting Conditions This step can be done in as little as _____ day(s).

An underwriter is the person responsible for comparing your documents with the guidelines of the loan you’re applying for. He/she determines whether or not you’re meeting all the conditions favorably.

After the loan processor has compiled all your paperwork, it is handed over to the underwriter. It’s the underwriter’s job to double check the processor’s work and compare your file to the guidelines of the loan program to ensure that everything is in order.

If some cases, the underwriter may approve your loan, but make it conditional upon you meeting additional criteria.

Your Tasks:  Be Patient: During this step both the loan originator and the borrower are eagerly awaiting the underwriting decision.

It does take some time, but as long as the underwriter has all the information they need, it will go smoothly.  Make any and all payments: It's common for borrower's to think it's ok to stop making payments while in the final stages of the process.

Our Tasks:

Do's and Don'ts Don’t stop making your payments. Continue to make your mortgage payments until told otherwise.

Do continue to collect pertinent information. Most recent

pay stubs may be needed, so keep updated information at the ready.

 Working with the Processor: We will meet with processor at time of underwriting submission to get guidance as to what my needed moving forward.  Title Work: At this point we will be obtaining a copy of your title report, we will review and ensure that is accurate.  Mortgage Payoffs & Credit Bureau Updates: We will be obtaining a payoff statement on your mortgage and also work with the credit bureau's to ensure your credit report is fully updated and accurate.  Income Verification: At this time our processing staff will be reaching out to your employer, C.P.A., or government to verify your employment and income.

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Step 6

I started this step on: ________________ I completed this step on: _____________

Quality Assurance This step can be done in as little as _____ day(s).

Updating Documents, if needed. If, after reviewing your loan package, the underwriter asks for updated documents you’ll need to submit them at this time.

For instance, you may be asked to provide additional pay stubs or re-verification of employment. We’ll go over the conditions so you know exactly what is expected of you.

Your Tasks:  Final Disclosure: At this point there will be a final set of loan disclosures for your review and signatures, we will need these items returned for compliance purposes.  Prepare for Settlement: We typically close the loan at your home but we have alternative options available. Just let us know when and where to be.

Our Tasks:

Do's and Don'ts Don’t incur more debt, yet! Please remember to hold

off on that new car, boat or credit card. Any new debts could result in additional delays to the loan process.

Do

ask questions. We are available to go over everything in detail and answer any and all questions you may have.

 Double-check the final documents: We will review all the final documents for thorough accuracy and review with you.  Communicate to closing dept. & title company: We will ensure that the notary for your closing is prepared and prompt to your final closing.  Await the final "Clear to Close": You've now passed underwriting with flying colors, we are simply awaiting verification that all documents are compliant.  Scheduling the closing: Once we have the "Clear to Close", we will call you and celebrate the great news. We now will verify the best time and location for settlement.

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Step 7

I started this step on: ________________ I completed this step on: _____________

Closing This step can be done in as little as _____ day(s).

The conditions of the loan have been met. Your loan is approved by the underwriter and it proceeds to the closing table.

You’ll be asked to sign closing documents, which may be done at your home, our office, or at a location chosen by a notary or attorney in your area.

Once complete, I’ll communicate with the closing agent to ensure your documents are recorded and funds are disbursed properly. Approximately four days after the loan funds, you’ll receive a check(s) via overnight mail carrier.

Your Tasks:  Settlement: We will send a notary to your location and obtain final official signatures on your loan paperwork. Simply provide a copy of your driver's license to the notary, sign the final documents and the process is done.  Performance Review: After your loan has closed, you will receive a survey in the mail. Feedback is essential to us becoming the best bank possible and we really care what you think. Please take a few minutes to let us know how we did.

Do's and Don'ts Do

celebrate! Your loan is now closed, it's time to celebrate and enjoy the benefits of your refinance.

Do refer me to friends and family. Our business is built

on providing high quality service and satisfaction. If we did an excellent job for you, we would be happy to assist any friends or family that may benefit from our loan products.

Our Tasks:  Funding Questions: On a purchase transaction, your loan will fund the same day as signing. On a refinance funding is typically 4 business days after settlement due to federal compliance.  Closing questions: If you're at settlement or just finished up signing, we are ready and available to answer and questions you may have.  Copies of any documents: If you submitted any original documents, rest assured we will return these documents to you now that the loan is complete.

THE SMART GUIDE TO REFINANCING - RESIDENTIAL FINANCE CORPORATION

PAGE 22

MY LOAN IS CLOSED What Happens Next?

YOUR LOAN HAS CLOSED, BUT WE ARE STILL HERE FOR YOU...

We want to be your banker now and in the future. If you want a new analysis down the road in six months, one year, or five years from now we will be here and ready to assist in every way possible. You will receive a letter from our Customer Service Manager in a few days, it will cover frequently asked questions along with specifics on your payment amount and where to send your new mortgage payments.

FREQUENTLY ASKED QUESTIONS...

Welco me!

“WHEN IS My PAyMENT dUE?” Your first mortgage payment of $[VAR] is due on [VAR ].

“WHAT IS My PAyMENT?” Your monthly mortgage payment is $[VAR].

[First N am

Welco

“Who is my loan servicer?”

At Residential Finance Corporation we originate, underwrite, and fund our own loans, however, we are not a loan servicer. We work with the nation’s leading loan servicers. Yours will be in touch within 30 to 45 days of your loan closing. once they are in contact with you, you will be able to set up automatic bill pay or discuss other types of loan payment arrangements.

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401 N Front Street, Suite 300 Columbus, OH 43215 al?

We’re ho tions, co nored you ch o n se ta ct to “How can I obtain a copy of my appraisal?” me dir ectly at work with u so any tim PS: So on, you e – by n your new Mail a request including your name, property address, and loan number, to: ho phone, When w you rece ill receive a email, me loan. If Custom mail o ive it, p Residential Finance Corporation, ATTN: Customer Service r fax. I’m you have an er lease ta y ques401 N Front Street, Suite 300 Columbus, Ohio 43215 ke a m Satisfaction Sincere here fo oment Survey ly, r you! to resp in th e ond – w mail a nd, po e truly ssib value yo ur feed ly, via email. back!

“What happens to the escrow account? And, who pays my “Where do I send my first mortgage payment?”

taxes and insurance?”

Joan If your new mortgage includes homeowners insurance na Mac and property taxes, your Kenz Custom escrow will be transferred to your new loan servicer ie Ro they will er Seand ss handle payrvice M ment of your taxes and insurance. an ager

When should I expect to receive the refund of the balance left in my previous mortgage escrow account?

For information about your previous escrow account, contact your previous lender.

HELPFUL TIP! provide a copy of your the HUd-1 or Settlement Statement from your loan closing package to your accountant when you file personal tax returns.

RFC: 401 AZ, Mo N Front St

SIden HELPFULRe TIP! tIAl FI 401 n nAnCe Fr Co m ont Street, Su CoRpoRAtI bus, olender to canContact yourlu on previous hio 43 ite 300 215 if cel future payment transactions, 61 482 your prior mortgage 7-1347 had automated 87 d ire 7-251ct payment arrangement Custom 2874 direct to erServ ice@m ll Free yrfc.com

Mortga rtgage Banke Columbus, OH ge Len Originato der No r BK-0905843; 43215. Borro ML1652; r CO. Licens. 12900; DE, CA, Finance wer is subjec Chp 22 t to und Lender e HIMI,

1st & by the 165 erw s Lic . Dept. 2nd Mortgage2; IL, Resident ensed LenderLaw License Noriting guideline “Will my loan terms Mortga N.J ial Mortga No. 011 Broker . 603972 s. Co gechange?”

Len of Banki

rp ng & Ins & Broker der Lic urance, Lender FL4201ge Licensee 831; DC, Distric6; CO, MortgaNMLS, #1652; WA, Co MB-0508408; ense No. L-1398 No. MB NJ Corre http://w t of Colum ge Broker nsume TN, Mo ww.nm 000 45; spo & SR 001 Lic

n Comp rtgage LicensOH, Mortgagendent Mortga0569; MN, Re 5562; IN, DF bia Mortgage ense No. 100 lsconsumera no. transfer of loan servicingr Loa does I First Lie not affect any CL ge Ba 029775 terms cce Brokerof the ethe entialsigned note you No. 409 atn LenDudinal Authority Lic nker sid -1652 WA Mo Act Check ss.org; VA, license Lender ens g Lic Master 3; TX, SML MoCert of Reg & Secondary rtgage Originato closing.

ID#259 MB.80266 Mortga Business rtgage r No. ense #16242e #NMLS1652 status of 554 ge License

MN-MO Banke Loa 000 2.0 ; FL, Mo your loan ; originator 0; AL, Mortga #60240 r Registrat 00; OR, Mortgan Licensee No -02049502LA, Residential rtgage ion 3652; WI Len ; MS ge at , Mortga No. 45235, Twge Lending Lic9945825; NM , Mortgage Mortgage Len der MLD167; www.dora.sta Broker MB 210 , Mo din Lender ge Banke ens te.c GA, Mo o Ga 25; AR, #4434/ g License #16 rtgage o.us/real-esta Mortga r No. 219 lleria Tower e ML-5063; PArtgage Loan Co 2009 Lic Lender 52; ge Ba at 13455 te/i , Lic 06BA mp Noel Rd ensed by the any No. 036 ensed by theMD, Mortgage Licensee Nondex.htm; CT, nker #10106 2; Correspo MS Dept , Ste. 100 Len . 193 PA Dept. 91; NY, Lic of Ba der No. 111 99; HI, nde ens 0, Dallas of TX 752 Banking PA Moed Mortgage nking & Consu 43; MA, MoMortgage Loant 40; VA, Banker-N n rtgage rtgage mer Fin Licensed Len Len YS anc by the VAder License NoBanking De e; NJ, Licensder pt. B5 ed . 221 State Co rporation 35; SC, Mo 00784; NC, Commiss rtgage Loa n ion MC 3003;

Helpful Tip: Keep this letter in a safe and accessible place, it will be a great

reference tool and also has contact information for our Customer Service Manager. She would be happy to answer any concerns you may have.

THE SMART GUIDE TO REFINANCING - RESIDENTIAL FINANCE CORPORATION

PAGE 23

IMPORTANT Phone Numbers USE THIS WORKSHEET FOR QUICK REFERENCE:

PROCESSOR: _____________________________________________ TITLE COMPANY:

____________________________________________

CLOSING AGENT: _____________________________________________ HOUSE INSPECTOR: _____________________________________________ OTHER:

____________________________________________

OTHER:

____________________________________________

OTHER: _____________________________________________ OTHER: _____________________________________________ OTHER:

____________________________________________

OTHER: _____________________________________________ OTHER: _____________________________________________

THE SMART GUIDE TO REFINANCING - RESIDENTIAL FINANCE CORPORATION

PAGE 24

Brought to you by RESIDENTIAL FINANCE CORPORATION

Have more questions?

Not to worry. We are here to help.

Residential Finance Corp (RFC) 401 N Front St Columbus OH 43215. Not affiliated with Residential Funding Corp.

Conducts business as RFC Mortgage i/l/t/n Residential Finance Corporation in NY. Not an offer of credit or commitment to make a loan; not available in all areas; subject to underwriting guidelines. NMLS #1652; VA Lender ID #2595540000; AK #AK1652; AL #21483; AR #101062; AZ #BK-0905843; CA Finance Lenders Law License #6039726; CO Mortgage Broker License #100029775 Check license status at www.dora.state.co.us/realestate/index.htm; CT #12900; DE Chp 22 Licensed Lender #011831; DC #NMLS1652; FL #MLD167; GA #19399; HI #HI-1652; IL #MB 0005562; IN DFI #16242; KY #MC82945; LA #1652; MD #11143; MA Mortgage Lender #ML1652; MI 1st & 2nd FL4201 & SR 0010569; MN #MN-MO-02049502; MS #4434/2009 Licensed by the MS Dept of Banking & Consumer Finance; NJ Licensed by NJ Dept of Banking & Insurance NJ Correspondent Mortgage Banker & Secondary Mortgage Loan Licensee #9945825; NM #03691; NY Licensed Mortgage Banker-NYS Banking Dept #B500784; NC #L-139845; OH #MB802662.000; OR #ML-5063; PA Licensed by the PA Dept of Banking PA Mortgage Lender License #22135; SC#MB-0508408; TN #4093; TX SML #45235 (2 Galleria Tower 13455 Noel Rd Ste 1000 Dallas TX 75240); VA Licensed by VA State Corp Commission MC 3003; UT DRE Mtg Entity #8404312, WA Consumer Loan Company CL-1652 WA Master Business License #602403652; WI #21906BA.

RESIDENTIAL FINANCE CORPORATION 3413 R Concord Road York, PA 17402

CALL ME TODAY!

717.757.5322 Direct