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GMAC-RFC Introduces Abbreviated Title Search Product to Streamline Mortgage Refinance Process |
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GMAC-RFC Introduces Abbreviated Title Search Product to Streamline Mortgage Refinance Process |
Pilot Has Saved Refinance Borrowers an Average $350 in Closing Costs
MINNEAPOLIS, MN -- (August 21, 2001) -- Residential Funding Corporation (GMAC-RFC) today announced it is piloting an exclusive new title insurance program that cuts costs for borrowers by streamlining the refinance process. The abbreviated title search product is being rolled out through GMAC-RFC subsidiary Homecomings Financial(SM).
The new title program saves time and cost because of the policy's streamlined form and the e-commerce technology employed, reducing title insurance costs by an average of one-third. Total savings are based on the loan amount and the policy age. The title policy ensures the validity and priority of the mortgage as well as ensuring compliance with the guidelines of Fannie Mae and Freddie Mac in existence at the time of origination.
"This program is an innovative resource that allows our business partners to bring added value to homebuyers," said Mark Nieberlein, managing director, Homecomings Financial. "We are committed to offering products and services that transform the mortgage market and as a result make buying a house or refinancing easier and more rewarding for consumers." The abbreviated title search program, implemented at Homecomings Financial in February 2001, is currently available in 24 states. The company anticipates that the program will be expanded to include GMAC-RFC's subsidiary Residential Money Centers(SM) (RMC) in third quarter, 2001. "GMAC-RFC is striving to cut time and expense out of the mortgage process," said Nieberlein. "We are first to the market with a program that fulfills these goals."
GMAC-RFC, a wholly owned subsidiary of GMAC Financial Services, is America's largest non-agency issuer of mortgage-backed securities (MBS) and home equity loan (HEL) asset-backed securities (ABS), and number one warehouse lender. The company is active in lending, securitization, and investment to offer a broad portfolio of capital solutions. The company is headquartered in Minneapolis and operates in the United States, Europe and Latin America.
Homecomings Financial provides a portfolio of wholesale lending products to mortgage brokers, and originates and services mortgage loans. Homecomings Financial operates three loan servicing centers located in Dallas, San Diego and Blue Bell, Pa. Residential Money Centers originates home loans directly with consumers via the Internet and telesales. Homecomings Financial and Residential Money Centers are units of GMAC-RFC.