A New Affordable Mortgage Can Turn Home Shoppers into Home Owners

NEW YORK -- Owning a home is one of the best ways for working families and individuals to build wealth and achieve financial security. Unfortunately, many hardworking people, who have the income to pay monthly mortgage bills, can't buy a house because they lack enough money to cover the upfront expenses. From a mortgage application fee and a 10% to 20% down payment, to mortgage insurance and closing costs, it can cost thousands of dollars before homebuyers get the keys to their new homes.

But now there's good news for eligible low-to-moderate-income (LMI) homebuyers. Ridgewood Savings Bank ("Ridgewood") has introduced Good Move Plus, which helps remove some of the hurdles of home ownership. Not only does Good Move Plus offer a low down payment of 3% and customer-friendly qualification criteria, it also provides $2,000 in financial assistance to cover closing costs and $5,000 to help pay for mortgage insurance.

Good Move Plus is designed to help eligible borrowers qualify for loans. For example, Ridgewood will take into consideration the income of an immediate family member for qualification purposes, even if the relative will not be living in the residence. What's more, Good Move Plus isn't limited to just first-time homebuyers, which many affordable loans are. It is also available to former homeowners who meet eligibility requirements, such as a single parent who previously owned a house with a former spouse and now wants to purchase a house after divorce, or someone who experienced a financial setback and has rebuilt credit.

Good Move Plus is also available to current eligible homeowners who want to refinance their mortgages to a lower interest rate and reduce or eliminate monthly mortgage insurance payments. They also can turn some of their home's equity into cash to cover educational or unexpected expenses.

To be eligible to apply for Good Move Plus, your household income has to be no more than 80% of the median income in your area as determined by federal regulations. If your household income is higher, Ridgewood offers additional affordable mortgages that could be right for you.

Good Move Plus can help eligible LMI homebuyers purchase a home by offering:

• A down payment as low as 3%;
• A Ridgewood grant of $2,000 towards closing costs and $5,000 towards mortgage insurance;
• A reduced interest rate;
• Consideration of an immediate relative's income to qualify for the loan;
• The debt-to-income ratio as high as 48%;
• A shorter term on mortgage insurance so it is not required for the life of the loan;
• Up to 108% financing if the buyer has obtained other grants and/or a second mortgage;
• Consideration of a FICO score as low as 620.

Good Move Plus helps eligible homeowners to refinance their current mortgage by offering:

• Rates and terms up to a 95% LTV (loan to value);
• Cash out equity up to an 85% LTV;
• The debt-to-income ratio can be as high as 48%;
• A reduced interest rate;
• Consideration of a FICO score as low as 620;
• Existing mortgage insurance is not required for the life of the loan.

Good Move Plus can be used toward purchasing or refinancing a single-family up to a four-family home, condominium, or co-op.

Additional Affordable Mortgage Options

As a true community bank that is celebrating its 100th anniversary this year, Ridgewood Savings Bank has successfully made homeownership possible for thousands of families. It offers a range of attractive mortgage options and competitive interest rates, and does not charge a mortgage application fee.

For complete information on Ridgewood Savings Bank's homebuying resources and mortgage options available to low- and middle-income individuals, please contact a Ridgewood Savings Bank mortgage consultant or call 866-RSB-4111 (866-772-4111). To learn more about Ridgewood Savings Bank, or to review applicable terms and conditions of products noted in this press release, please visit www.ridgewoodbank.com.

Loans subject to credit approval. Products and terms subject to change without notice. Equal Housing Lender.