Radian Guaranty:

Ensuring the American Dream with MI MJ Watkins

September 2015

Objective

Position Mortgage Insurance (MI)

as a resource by helping you

understand how to leverage MI to:

Expand homeownership to

MORE families

Save your homebuyers MORE

money

Increase the purchasing power

of your homebuyers

Help homebuyers achieve

homeownership quicker with

lower down payments

Did You Know? Years to Save a Down Payment

Source: USMI

Did You Know? Need for Private Mortgage Insurance

Source: USMI

Did You Know? MI Makes Homeownership a Reality

5

Source: USMI

Did You Know? Private MIs Paid > $45 Billion in Claims

Source: USMI

FHA and Mortgage Insurance Share of the Purchase

Origination Market

Facts about Conventional Loans with MI

MI is available for use on a wide variety of loan products

Ask your Lender Partners about conventional loans with Radian MI

You owe it to your Home Buyers

Trivia Question

MORTGAGE INSURANCE (MI) HELPS

A. Facilitate low down-payment lending

B. Makes loans less risky

C. Reduce taxpayers’ exposure

D. A & B only

E. All of the above

Smart Alternative to FHA

Providing lower monthly payments

Saving thousands ($$$$) over the life of the loan

Affording “more home” for the same monthly

payment

Providing more purchasing power for their future

home.

Providing option of cancelling MI once 80% LTV is

achieved

Either private mortgage insurance (MI) or an FHA-insured loan can help your clients

buy a home for less than 20% down. Comparing the cost of private MI and FHA, MI

can be a better option for your clients by…

11

3% downpayments back again + affordable property values + historically

low rates = the perfect market conditions to attract first-time homebuyers!

Plus – under One Underwrite®, loans are eligible for Radian MI with DU

Approval/Eligible or LP Accept/Eligible* and a minimum 620 FICO.

*Available upon Freddie Mac release.

Return of 97% Financing

12

MortgageAssure™ Program

Smart Alternative to FHA – Lower Monthly Payments

FHA MI Monthly

Sale Price $250,000.00

Base Loan $237,500.00

Upfront Premium Rate 1.75% -----

Upfront Payment $4,156 -----

Gross Loan $241,656 $237,500.00

Note Rate 3.75% 4.00%

P&I Payment $1,120 $1,134

MI Rate .80% .62%

MI Payment $158 $123

Total Monthly Payment $1277 $1257

Monthly savings of $20 & yearly savings of $240!

Assumes: 30 year amortization, 1 unit, 720 FICO, Purchase

Reflects FHA Rates Effective January 2015 and Radian MI Pricing as of July 2014

Radian’s MI Monthly vs. FHA on 95% LTV

Smart Alternative to FHA – Lower Monthly Payments

FHA MI Monthly

Sale Price $250,000.00

Base Loan $237,500.00

Upfront Premium Rate 1.75% -----

Upfront Payment $4,156 -----

Gross Loan $241,656 $237,500.00

Note Rate 3.75% 4.00%

P&I Payment $1,120 $1,134

MI Rate .80% .40%

MI Payment $158 $79

Total Monthly Payment $1,277 $1,213

Monthly savings of $64 & yearly savings of $768!

Assumes: 30 year amortization, 1 unit, 720 FICO, Purchase

Reflects FHA Rates Effective January 2015 and Radian MI Pricing as of July 2014

Radian’s MI Monthly, Split Edge ®vs. FHA on a 95% LTV

Smart Alternative to FHA – More House for the Money

FHA BPMI Monthly

Sale Price $245,992.00 $250,000.00

Base Loan $233,692.00 $237,500.00

Upfront Premium Rate 1.75% -----

Upfront Payment $4,090.00 -----

Gross Loan $237,782.00 $237,500.00

Note Rate 3.75% 4.00%

P&I Payment $1,102.00 $1,134.00

MI Rate .80% .62%

MI Payment $155.00 $123.00

Total Monthly Payment $1257.00 $1257.00

More home for the same monthly payment - $4,008 more home!

Assumes: 30 year amortization, 1 unit, 720 FICO, Purchase

Reflects FHA Rates Effective January 2015 and Radian MI Pricing as of July 2014

Radian’s MI Monthly vs. FHA on 95% LTV

How Can you Calculate the Best Choice?

By using Radian’s online MI tools.

Rate Finder

Calculates MI Rates

Loan Amount Estimator

Radian Decision®

Calculates payment comparisons

Self Employed Income Analysis Calculator

It is important to know what MI product will work best for your buyers.

www.radian.biz

Radian Resources – Website, Calculators & Tools

App users can simply input loan criteria and the app automatically calculates the MI rate for a

variety of Radian products. Backed by the company’s published rates and guidelines, Radian

Rates was designed for users to check eligibility and compare options to find the product that

best fits their needs.

Radian Rates is a mobile version of the company’s existing online rate finder and

offers on-the-go access for a quick and reliable Radian MI rate.

1st in the Industry!

Radian Resources – MI Rate App

Trivia Question

FINANCING WITH MORTGAGE INSURANCE (MI)

CAN OFFER

A. Lower monthly payments

B. Greater purchasing power

C. More options for your clients

D. All of the above

E. None of the above

Call to Action

Discuss the benefits of mortgage insurance compared

to FHA with your clients

Ensure your lending partners review all financing

scenarios with your clients

Ask your lending partners specifically for private MI

from Radian

Connect with MJ Watkins or your local Radian Rep

for any questions regarding mortgage insurance (MI)

Remember…The more we learn, the more we earn!

Download the Radian MI Rate App and get

comfortable with the tool

Like us on Facebook at www.facebook.com/radianguaranty

&

Follow us on Twitter - @RadianMI

Radian Partner Contact Information

MJ Watkins

Multicultural Business Manager

African-American & Asian Segments

mj.watkins@radian.biz

980.213.9974 cell

215.231.1730 office