Homecomings Financial Originates Record $3.8 Billion in Third-Quarter 2002

Business Wire, Nov 12, 2002

Business Editors

MINNEAPOLIS--(BUSINESS WIRE)--Nov. 12, 2002

Company Attributes Service Quality and

Internet-based Productivity Tools

Homecomings Financial(SM), a wholly owned subsidiary of Residential Funding Corporation (GMAC-RFC), announced today that its wholesale channel originated a record $3.8 billion in mortgages during the third quarter of 2002, with year-to-date volume nearing $10 billion, also a record.

Third-quarter volume marks growth of more than 91 percent from the same quarter in 2001 and 40 percent from second-quarter 2002. Year-to-date volume has seen growth of 101 percent from the same period in 2001.

"Our broker partners consistently tell us that our technology and service enable them to better serve their customers," said Lee Jacobsohn, executive vice president and managing director of the wholesale business for Homecomings Financial. "In the midst of a record refinancing boom, we have maintained our service levels to brokers, providing faster decisioning to borrowers. We view our success as a direct result of our broker partner success."

Jacobsohn attributes much of Homecomings Financial's service-level management and volume growth to the company's Internet-based productivity tools, including Assetwise Direct(SM). Assetwise Direct, an Internet-based automated underwriting tool, streamlines the mortgage application process and helps to identify the best products for borrowers. More than 90 percent of Homecomings Financial's funded loans have been originated online this year through Assetwise Direct. Homecomings Financials' exclusive Internet-based productivity tools also give its broker partners the ability to lock loans online with minimal data inputs, transmit loan applications electronically, check loan status and manage their pipeline.

"Our technology allows us to materially increase the speed of our loan reviews during periods of peak volume," Jacobsohn said. "Tools like Assetwise Direct enable our partners to be more efficient and to make the home-buying experience easier for consumers. Our clients have embraced our technology, which allows us to deliver better service in return."

According to industry sources,(a) Homecomings Financial ranked the 13th largest wholesale originator through the second quarter of 2002.

Homecomings Financial Network Inc. (Homecomings Financial), a wholly owned subsidiary of Residential Funding Corporation (GMAC-RFC), is a leading wholesale lender and mortgage servicer. GMAC-RFC, a wholly owned subsidiary of General Motors Acceptance Corporation (GMAC), is a leading private issuer of mortgage-backed securities and home equity loan asset-backed securities and the No. 1 warehouse lender. The company leverages its strengths in securitization, lending and investment to offer a broad portfolio of innovative capital solutions to businesses in a variety of markets. The company is headquartered in Minneapolis and operates in the United States, Europe and Latin America. www.gmacrfc.com

(a) Thomson Financial Publications and Inside Mortgage Finance Publications