Offered through FIRST MORTGAGE CORPORATION

1. <logo> Offered through FIRST MORTGAGE CORPORATION CHFACCESS Training Desktop Underwriter is a registered trademark of Fannie Mae. Loan Prospector is a registered trademark of Freddie Mac. This presentation is a summary and is not complete. This information is for mortgage professionals only and should not be distributed to or used by consumers or other third-parties. Information is accurate as of the date shown below and is subject to change without notice. 6/12/2013

2. Agenda • Introduction • CHF Access Programs • Program Highlights • Income Calculation • Eligibility Guidelines • Underwriting Guidelines • Access Fees • What’s New? Upcoming changes… • Marketing & Support Since 1975, First Mortgage Corporation has been opening doors to the American Dream. It’s all we do and we do it well. Discover today why First Mortgage Corporation is your First Time Home Buyer and Down Payment Assistance Headquarters! Don’t wait! Call us today!

3. First Mortgage Corporation Who is CHF? State Restrictions Market Challenges & Access Solution Introduction

4. Introduction to First Mortgage Corporation • First Mortgage Corporation is an independent residential Mortgage Banking firm with branch offices located throughout the west. • Founded in 1975, FMC is a direct-lending mortgage banker approved as a lender and/or loan servicer by the Federal Housing Administration (FHA); the Veterans Administration (VA); the Federal National Mortgage Association (Fannie Mae); the Government National Mortgage Association (Ginnie Mae); the National Homebuyers Fund (NHF);and many other major secondary market institutions. First Mortgage Corporation is currently rated the #5 FHA Lender in CA! • Having funded in excess of $20 billion in residential real estate loans, FMC has assisted thousands of families with their mortgage needs.  FMC enables families to enjoy the American Dream of Homeownership…“it’s the only thing we do.” • FMC has a longstanding tradition of providing unparalleled customer service and a reputation built on adding value to the home loan process.  That’s why FMC should be considered…“YOUR FIRST LENDING RESOURCE”.

5. Introduction to CHF • Who they are… • In 1993, a group called the “Regional Council of Rural Counties or RCRC” (made up of 30 rural counties in CA) formed the California Rural Home Mortgage Finance Authority (CRHMFA) aka as Cal Rural to help increase homeownership opportunities. • In 2002, CRHMFA sponsored the Homebuyers Fund, Inc., now known as CHF. • Who they serve… • Families and individuals who can afford a mortgage loan but do not have the resources for the down payment and closing costs • What they provide… • CHF offers financing up to 99.50% designed to increase homeownership opportunities to low-to-moderate income individuals and families in CA.,

6. SPONSOR: CHF (CRHMFA Homebuyers Fund) PARTICIPANT LENDER & SERVICER: FMC (First Mortgage Corporation) ADMINISTRATOR: NHF (National Homebuyer’s Fund) (NHF is strictly providing administrative services; i.e. marketing, training, support, etc.)

7. CHF Programs • CHF “Affordable Housing” Programs: • CHF “ACCESS”(Available exclusively through FMC only) • CHF “Platinum” (Available through FMC) • Mortgage Credit Certificate (Tax Credit available through FMC) • CHF “ACCESS” State Restriction: • FHA Loans: Available throughout CA ONLY! • Available exclusively through First Mortgage ONLY!

8. Today’s Challenges • Seller paid DAPs discontinued (Nehemiah, etc.) • More restrictive guidelines/products • Slow market • Struggling Economy • Maxed out sellers • Higher cost of living = Less money to save Over $7.2 Billion in 1st & 2nd loan financing since 1993 (53,000 properties)

9. What “CHF ACCESS” offers

10. Overview

11. Eligible 1st Mortgage Program Down Payment & Closing Cost Assistance Sample Calculations Income Limit Calculation CHF ACCESS PROGRAMS

12. CHF ACCESS Program

13. CHF ACCESS 2nd Program

14. Sample Scenario: (Purchase Price: $325,000)

15. Sample Scenario: (Purchase Price: $325,000)

16. Program Income Limits Income Limit Calculation Qualifying Borrower Income INCOME LIMITS / CALCULATIONS

17. Program Income Limits

18. 2013 CHF ACCESS Income Limits

19. Borrower Qualifying

20. Sample Qualifying Income

21. ADDITIONAL GUIDELINES Eligibility Guidelines General Underwriting Guidelines Pricing, Costs and Fees

22. Eligibility Guidelines

23. Underwriting Guidelines

24. UW Guidelines cont’d…

25. FMC - FHA Overlays (Applies to all FMC products – not specific to ACCESS)

26. FMC - FHA Overlays (Applies to all FMC products – not specific to ACCESS)

27. ACCESS Interest Rates ACCESS Allowable Fees ACCESS RATES & FEES

28. ACCESS Interest Rates

29. ACCESS Fees & Charges

30. MISCELLANEOUS What’s New? Upcoming Changes… Marketing Materials – English and Spanish Selling Features FMC Support

31. Funding Process

32. Funding Process cont’d…

33. Funding Process cont’d…

34. New ACCESS States…

35. Marketing Materials

36. FIRST MORTGAGE • NOT Limited to First Time Home Buyers • NO “Recapture Tax” if home is sold later • NO Sales Price Limits • No additional “Compliance Review” required • Financing available for Down Payment and Closing Costs • CLTV’s up to 99.50% = little to no money down & no out of pocket closing costs • No Minimum Borrower Contribution Required • Ratios stretched up to 48.9% DTI • 2 Units allowed with minimum 640 fico score • Buyer or Seller Discount Fees allowed Selling Features

37. FIRST MORTGAGE FAQ’s • Frequently Asked Questions is available on the First Mortgage website. Hot Question! • Can you refinance the ACCESS program for a lower rate? Is the 2nd re-subordinated or will it need to be paid off with the new refinanced 1st mortgage? F A Q ‘ S

38. FMC Support • TRAININGS • First Mortgage offers FREE Weekly ONLINE Trainings • See June Training Schedule for upcoming Trainings… • Trainings for June, 2013: • 6/6 – FMC Product Overview • 6/12 – CHF ACCESS • 6/14 – HARP DU Refi Plus Training • 6/18 – HARP DU Refi Plus Repeat Training • ??? NHF ACCESS for AZ, NV, TX coming up… • WEB SITE • Go to our FMC websites for: • RATE SHEETS • TRAINING MATERIALS • GUIDELINES • FORMS • CALCULATORS • TOOLS • MARKETING • SUPPORT • Retail: Loan Help • Wholesale: Your FMC Account Executive • For help with your: • Scenarios • Pricing / Fees • Guidelines • Loan Submissions • Trainings

39. On behalf of First Mortgage, thank you for joining today’s training and we hope the information provided will help you build your business! The main purpose of First Mortgage Corporation’s (FMC) training documents is to assist real estate and mortgage professionals in developing entry-level competence with loan programs. While FMC staff, employees, contractors and contributors take care to ensure the accuracy of the content of training documents, FMC makes no warranties as to the accuracy of the information contained within these materials. Furthermore, every user of this material uses it understanding that he or she must still conduct his or her own original legal research, analysis and drafting. In addition, every user must refer to the relevant legislation, case law, administrative guidelines, rules and other primary sources. FMC specifically disclaims any liability for any loss or damage any user may suffer as a result of information contained within this training material. While the information contained in FMC’s training material addresses guidelines and issues surrounding mortgage programs, these materials do not constitute legal advice. All non-legal professionals are urged to seek legal advice from a lawyer.