INTEREST SMART

InterestSmartSM 6-Month LIBOR ARM Program
Full Documentation Purchase and Rate & Term Cash-Out Refinance
Occupancy Units Reserves Score LTV L/A CLTV Score LTV L/A CLTV Max C/B
O/O 1 Unit 2 Months 620 95% 300K 95% - - - - -
O/O 1 Unit 2 Months 620 95% 400K - - - - - -
O/O 1 Unit 2 Months 620 90% 500K 90% - - - - -
O/O 1 Unit 2 Months 620 80% 650K 90% 700 80% 650K 80% 325K
O/O 1 Unit 2 Months 620 75% 1 Million 90% 620 75% 1 Million 80% 325K
O/O 2 Units 2 Months 640 90% 350K 90% - - - - -
O/O 2-4 Units 2 Months 660* 75% 500K 90% 660* 75% 350K 75% 325K
Home 1 Unit 6 Months 620 90% 500K 90% - - - - -
Home 1 Unit 6 Months 620 80% 650K 90% - - - - -
Home 1 Unit 6 Months 620 75% 1 Million 90% - - - - -
Home 1 Unit 6 Months 620 65% 1 Million 90% 620 65% 650K 70% 325K
Home 1 Unit 6 Months 620 60% 1 Million 90% 620 60% 1 Million 70% 325K
Investor 1 Unit 6 Months 620 70% 350K - - - - - -
Investor 2-4 Units 6 Months 660* 65% 500K - - - - - -
Stated Income Documentation Purchase and Rate & Term Cash-Out Refinance**
Occupancy Units Reserves Score LTV L/A CLTV Score LTV L/A CLTV Max C/B
O/O 1 Unit 6 Months 680 90% 300K - - - - - -
O/O 1 Unit 6 Months 660 80% 500K 80% - - - - -
O/O 1 Unit 4 Months 660 75% 650K 80% 660 75% 500K 75% 325K
O/O 1 Unit 4 Months 660 70% 750K 80% 660 70% 650K 75% 325K
O/O 1 Unit 4 Months 660 65% 1 Million 80% 660 65% 650K 75% 325K
O/O 1 Unit 2 Months 660 60% 1 Million 80% 660 60% 1 Million 75% 325K
Home 1 Unit 6 Months 680 90% 300K - - - - - -
Home 1 Unit 6 Months 660 80% 500K 80% - - - - -
Home 1 Unit 4 Months 660 75% 650K 75% - - - - -
Home 1 Unit 4 Months 660 70% 750K 75% 660 70% 500K 70% 325K
Home 1 Unit 4 Months 660 65% 1 Million 75% 660 65% 650K 70% 325K
Home 1 Unit 2 Months 660 55% 1 Million 75% 660 55% 1 Million 70% 325K
Investor 1 Unit 4 Months 660 65% 300K - - - - - -
Stated Income/Stated Asset

Documentation

Purchase Only Cash-Out Not Allowed
Occupancy Units Reserves Score LTV L/A CLTV Score*** LTV L/A CLTV Max C/B
O/O 1 Unit 6 Months 680 90% 300K - - - - - -
O/O 1 Unit 6 Months 680 80% 400K - - - - - -
O/O 1 Unit 6 Months 680 75% 500K - - - - - -
O/O 1 Unit 6 Months 680 70% 650K - - - - - -
O/O 1 Unit 6 Months 680 65% 1 Million - - - - - -
Home 1 Unit 6 Months 680 90% 300K - - - - - -
Home 1 Unit 6 Months 680 80% 400K - - - - - -
Home 1 Unit 6 Months 680 70% 650K
Home 1 Unit 6 Months 680 65% 1 Million
Title Vesting

Individual

Joint

Revocable Family Trust

Product Type

6-Month LIBOR Indexed ARM

Qualification Rate

2% over the note start rate or 6%, whichever is higher.

Amortization Term

30 Years

Ratios

O/O Full Doc > 80% LTV 28/36%

All others 33/38%

Property Types

Single Family Detached

2-4 Unit Multi Family

PUD Attached & Detached

FNMA A & FHLMC III

*Full doc 2 Unit properties require a minimum credit score of 640.

**Cash-out refinance on Stated Documentation requires 6 months reserve.

The borrower is required to make interest only payments during the first five (5) years of the loan term. At the end of the fifth (5th) year, the loan will enter a repayment period that will fully amortize the loan over the remaining twenty-five (25) years.

This program must be manually underwritten. LTV’s > 80% must comply with MI company criteria.