Preliminary Term Sheet for $375,000,000 Home Loan-Backed Notes, Series 2002-HI3 (Bear Stearns, Residential Funding Mortgage Securities II, Inc., Home Loan Trust 2002-HI3)

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Summary

This document is a preliminary term sheet for the issuance of $375 million in home loan-backed notes by Home Loan Trust 2002-HI3. Residential Funding Mortgage Securities II, Inc. acts as the depositor, with Residential Funding Corporation as the seller and master servicer. Bear, Stearns & Co. Inc. is the lead underwriter, and Ambac Assurance Corporation provides credit enhancement. The term sheet outlines the structure, parties, and key assumptions for the securities, emphasizing that the information is illustrative and subject to change. Investors are advised to review the official offering documents before making investment decisions.

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EX-10.1 4 hi3cm-bear.txt COMPUTATIONAL MATERIAL BEAR STEARNS BEAR, STEARNS & CO. INC. ATLANTA o BOSTON o CHICAGO ASSET-BACKED SECURITIES GROUP DALLAS o LOS ANGELES o NEW YORK o SAN FRANCISCO 383 Madison Avenue FRANKFORT o GENEVA o HONG KONG New York, N.Y. 10179 LONDON o PARIS o TOKYO ###-###-####; (212) 272-7294 fax - -------------------------------------------------------------------------------- NEW ISSUE COMPUTATIONAL MATERIALS $375,000,000 HOME LOAN-BACKED NOTES, SERIES 2002-HI3 RESIDENTIAL FUNDING MORTGAGE SECURITIES II, INC. Depositor HOME LOAN TRUST 2002-HI3 Issuer RESIDENTIAL FUNDING CORPORATION Seller and Master Servicer JUNE 4, 2002 - -------------------------------------------------------------------------------- BEAR STEARNS This information should be considered only after reading Bear Stearns' Statement Regarding Assumptions as to Securities, Pricing Estimates and Other Information (the "Statement"), which should be attached. Do not use or rely on this information if you have not received and reviewed this Statement. You may obtain a copy of the Statement from your sales representative. BEAR STEARNS BEAR, STEARNS & CO. INC. ATLANTA o BOSTON o CHICAGO ASSET-BACKED SECURITIES GROUP DALLAS o LOS ANGELES o NEW YORK o SAN FRANCISCO 383 Madison Avenue FRANKFORT o GENEVA o HONG KONG New York, N.Y. 10179 LONDON o PARIS o TOKYO ###-###-####; (212) 272-7294 fax - ------------------------------------------------------------------------------- STATEMENT REGARDING ASSUMPTIONS AS TO SECURITIES, PRICING ESTIMATES, AND OTHER INFORMATION The information contained in the attached materials (the "Information") may include various forms of performance analysis, security characteristics and securities pricing estimates for the securities addressed. Please read and understand this entire statement before utilizing the Information. Should you receive Information that refers to the "Statement Regarding Assumptions and Other Information," please refer to this statement instead. The Information is illustrative and is not intended to predict actual results which may differ substantially from those reflected in the Information. Performance analysis is based on certain assumptions with respect to significant factors that may prove not to be as assumed. You should understand the assumptions and evaluate whether they are appropriate for your purposes. Performance results are based on mathematical models that use inputs to calculate results. As with all models, results may vary significantly depending upon the value of the inputs given. Inputs to these models include but are not limited to: prepayment expectations (economic prepayment models, single expected lifetime prepayments or a vector of periodic prepayments), interest rate assumptions (parallel and nonparallel changes for different maturity instruments), collateral assumptions (actual pool level data, aggregated pool level data, reported factors or imputed factors), volatility assumptions (historically observed or implied current) and reported information (paydown factors, rate resets, and trustee statements). Models used in any analysis may be proprietary making the results difficult for any third party to reproduce. Contact your registered representative for detailed explanations of any modeling techniques employed in the Information. The Information addresses only certain aspects of the applicable security's characteristics and thus does not provide a complete assessment. As such, the Information may not reflect the impact of all structural characteristics of the security, including call events and cash flow priorities at all prepayment speeds and/or interest rates. You should consider whether the behavior of these securities should be tested as assumptions different from those included in the Information. The assumptions underlying the Information, including structure and collateral, may be modified from time to time to reflect changed circumstances. Any investment decision should be based only on the data in the prospectus and the prospectus supplement or private placement memorandum (Offering Documents) and the then current version of the Information. Offering Documents contain data that is current as of their publication dates and after publication may no longer be complete or current. Contact your registered representative for Offering Documents, current Information or additional materials, including other models for performance analysis, which are likely to produce different results, and any further explanation regarding the Information. Any pricing estimates Bear Stearns has supplied at your request (a) represent our view, at the time determined, of the investment value of the securities between the estimated bid and offer levels, the spread between which may be significant due to market volatility or illiquidity, (b) do not constitute a bid by any person for any security, (c) may not constitute prices at which the securities could have been purchased or sold in any market, (d) have not been confirmed by actual trades, may vary from the value Bear Stearns assigns any such security while in its inventory, and may not take into account the size of a position you have in the security, and (e) may have been derived from matrix pricing that uses data relating to other securities whose prices are more readily ascertainable to produce a hypothetical price based on the estimated yield spread relationship between the securities. General Information: The data underlying the Information has been obtained from sources that we believe are reliable, but we do not guarantee the accuracy of the underlying data or computations based thereon. Bear Stearns. and/or individuals thereof may have positions in these securities while the Information is circulating or during such period may engage in transactions with the issuer or its affiliates. We act as principal in transactions with you, and accordingly, you must determine the appropriateness for you of such transactions and address any legal, tax, or accounting considerations applicable to you. Bear Stearns shall not be a fiduciary or advisor unless we have agreed in writing to receive compensation specifically to act in such capacities. If you are subject to ERISA, the Information is being furnished on the condition that it will not form a primary basis for any investment decision. The Information is not a solicitation of any transaction in securities which may be made only by prospectus when required by law, in which event you may obtain such prospectus from Bear Stearns. - -------------------------------------------------------------------------------- BEAR STEARNS This information should be considered only after reading Bear Stearns' Statement Regarding Assumptions as to Securities, Pricing Estimates and Other Information (the "Statement"), which should be attached. Do not use or rely on this information if you have not received and reviewed this Statement. You may obtain a copy of the Statement from your sales representative. RESIDENTIAL FUNDING MORTGAGE SECURITIES II, INC. HOME LOAN TRUST 2002-HI3 Computational Materials: Preliminary Term Sheet (Page 1 of 5) - -------------------------------------------------------------------------------- $375,000,000 ISSUER: Home Loan Trust 2002-HI3 DEPOSITOR: Residential Funding Mortgage Securities II, Inc. SELLER: Residential Funding Corporation CREDIT ENHANCER: Ambac Assurance Corporation ("Ambac") UNDERWRITER: Lead Manager: Bear, Stearns & Co. Inc. Co-Manager: Residential Funding Securities Corporation MASTER SERVICER: Residential Funding Corporation (the "Master Servicer" or "RFC"). INITIAL SUBSERVICER: HomeComings Financial Network, Inc. ("HomeComings"), an affiliate of the Depositor. INDENTURE TRUSTEE: JPMorgan Chase Bank OWNER TRUSTEE: Wilmington Trust Company THE NOTES: Home Loan Trust 2002-HI3 will issue 8 classes of Home Loan-Backed Notes (namely, the Class A-1, Class A-2, Class A-3, Class A-4, Class A-5, Class A-6, Class A-7 and Class A-IO Notes (the "Notes")). CHARACTERISTICS OF THE NOTES (A), (B), (C), (D) *** RFC WILL ALSO ACCEPT INDICATIONS ON CLASS A-1 AS A FIXED-RATE CERTIFICATE ***
- ------------ ------------ ----------- -------- -------- --------- ---------- -------------- ORIGINAL AVG PRINCIPALPRINCIPAL FINAL OFFERED PRINCIPAL LIFE LOCKOUT WINDOW SCH. RATINGS NOTES BALANCE COUPON TO CALL (MONTHS) (MONTHS) MATURITY (MOODY'S/S&P) (YEARS) DATE - ------------ ------------ ----------- -------- -------- --------- ---------- -------------- Class A-1 $79,919,000 Floating 0.90 0 19 3/25/09 Aaa / AAA (i) Class A-2 49,800,000 Fixed 2.00 18 11 7/25/11 Aaa / AAA Class A-3 57,551,000 Fixed 3.00 28 15 11/25/13 Aaa / AAA Class A-4 30,982,000 Fixed 4.00 42 11 12/25/14 Aaa / AAA Class A-5 38,721,000 Fixed 5.00 52 16 2/25/16 Aaa / AAA Class A-6 63,225,000 Fixed 7.00 67 37 8/25/19 Aaa / AAA Class A-7 54,802,000 Fixed (e) 9.88 103 19 6/25/32 Aaa / AAA Class A-IO (f) (g) 1.15 29 1 12/25/04 Aaa / AAA (h) - ------------ ------------ ----------- -------- -------- --------- ---------- --------------
NOTES: (A) 100% Prepayment Assumption: 2.0% CPR in month 1 of the Home Loans, and an additional 0.789474% per annum in each month thereafter until month 20. On and after month 20, 17.0% CPR. (B) Transaction priced to a 10% clean-up call. (C) 100% P&I guaranty by Ambac (See section entitled "Credit Enhancement" herein.) (D) The principal balance of each Class of Notes is subject to a 5% variance. (E) If the 10% clean-up call is not exercised, the Note Rate applicable to the Class A-7 Notes will increase by 0.50% on the second payment date after the first possible call date. (F) Class A-IO notional amount: $37,500,000 (G) For payment dates 1 to 12, 11.00% per annum; for payment dates 13 to 24, 10.00% per annum; for payment dates 25 to 30, 7.00% per annum. Thereafter, 0.00%. (H) Duration. (I) The lesser of (a) 1-month LIBOR + 0.__% per annum and (b) 8.00% per annum. - -------------------------------------------------------------------------------- BEAR STEARNS This information should be considered only after reading Bear Stearns' Statement Regarding Assumptions as to Securities, Pricing Estimates and Other Information (the "Statement"), which should be attached. Do not use or rely on this information if you have not received and reviewed this Statement. You may obtain a copy of the Statement from your sales representative. RESIDENTIAL FUNDING MORTGAGE SECURITIES II, INC. HOME LOAN TRUST 2002-HI3 Computational Materials: Preliminary Term Sheet (Page 2 of 5) - -------------------------------------------------------------------------------- THE ASSETS OF THE TRUST: The assets of the Trust will include a pool of conventional, closed-end, second-lien, fixed-rate home loans (the "Home Loans"), the proceeds of which will be used primarily for debt consolidation and/or home improvements. The Home Loans will be secured by mortgages, deeds of trust or other similar security instruments. Most of the Home Loans will have a combined loan-to-value ratio in excess of 100%. STATISTICAL CUT-OFF DATE: As of June 1, 2002. CUT-OFF DATE: As of June 1, 2002. CLOSING DATE: On or about June 26, 2002. PAYMENT DATE: The 25th of each month (or the next business day), commencing on July 25, 2002. DELAYDAYS: The Notes, other than the Class A-1 Notes, will have a payment delay of 24 days. With respect to the Class A-1 Notes, 0 days. NOTE RATE: Interest will accrue on all of the Notes, other than the Class A-1 Notes, at a fixed rate during the month prior to the month of the related Payment Date on a 30/360-day basis. The coupon on the Class A-1 Notes will be equal to the lesser of (a) 1-month LIBOR + 0.__% per annum and (b) 8.00% per annum, payable monthly. With respect to any Payment Date, the Class A-1 Notes will be entitled to interest accrued from and including the preceding Payment Date (or from and including the Closing Date in the case of the first Payment Date) to and including the day prior to the then current Payment Date (the "Class A-1 Accrual Period") at the Class A-1 Note Rate on the aggregate principal balance of the Class A-1 Notes on an actual/360-day basis. The Note Rate applicable to the Class A-7 Notes will increase by 0.50% on the second Payment Date after the first possible Call Date. - -------------------------------------------------------------------------------- BEAR STEARNS This information should be considered only after reading Bear Stearns' Statement Regarding Assumptions as to Securities, Pricing Estimates and Other Information (the "Statement"), which should be attached. Do not use or rely on this information if you have not received and reviewed this Statement. You may obtain a copy of the Statement from your sales representative. RESIDENTIAL FUNDING MORTGAGE SECURITIES II, INC. HOME LOAN TRUST 2002-HI3 Computational Materials: Preliminary Term Sheet (Page 3 of 5) - -------------------------------------------------------------------------------- PRINCIPAL: All payments of principal allocable to the Notes shall be paid to the Class A-1 Notes, the Class A-2 Notes, the Class A-3 Notes, the Class A-4 Notes, the Class A-5 Notes, the Class A-6 Notes and the Class A-7 Notes, in that order, in each case, until the outstanding note balance of each of these notes has been reduced to zero. The Class A-IO Notes are not entitled to payments of principal. PRIORITY OF PAYMENTS: On each Payment Date, principal and interest collections will be allocated from the payment account in the following order of priority: (1) To pay accrued interest due on the Notes; (2) To pay as principal on the Notes (other than the Class A-IO Notes), an amount equal to the principal collection distribution amount for such Payment Date; (3) To pay as principal on the Notes (other than the Class A-IO Notes), an amount equal to the liquidation loss distribution amount for such Payment Date; (4) To pay the Credit Enhancer the premium for the Policy, any previously unpaid premiums for the Policy with interest and any payments in connection with the limited reimbursement agreement; (5) To reimburse the Credit Enhancer for certain prior draws made on the Policy, with interest; (6) To pay as additional principal on the Notes (other than the Class A-IO Notes), an amount (if any) necessary to bring the amount of overcollateralization up to the required overcollateralization amount for such Payment Date; (7) To pay the Credit Enhancer any other amounts owed under the insurance agreement; and (8) To pay any remaining amounts to the holders of the Certificates. - -------------------------------------------------------------------------------- BEAR STEARNS This information should be considered only after reading Bear Stearns' Statement Regarding Assumptions as to Securities, Pricing Estimates and Other Information (the "Statement"), which should be attached. Do not use or rely on this information if you have not received and reviewed this Statement. You may obtain a copy of the Statement from your sales representative. RESIDENTIAL FUNDING MORTGAGE SECURITIES II, INC. HOME LOAN TRUST 2002-HI3 Computational Materials: Preliminary Term Sheet (Page 4 of 5) - -------------------------------------------------------------------------------- CREDIT ENHANCEMENT: Credit enhancement with respect to the Notes will be provided by (1) Excess Spread, (2) Overcollateralization and (3) the Ambac Insurance Policy. Excess Spread: Because the mortgagors are expected to pay more interest on the home loans than is necessary to pay interest on the notes, along with fees and expenses of the trust each month, there may be excess interest. On each payment date, this excess interest may be used to protect the notes against most types of losses by making an additional payment of principal up to the amount of the losses. Overcollateralization: On the Closing Date, the initial overcollateralization amount will be equal to 0.00% of the aggregate cut-off date pool balance. Commencing with the October 2002 Payment Date, excess spread will be applied, to the extent not needed to cover current period losses, to make accelerated payments of principal to the securities then entitled to receive payments of principal, until the aggregate pool balance exceeds the aggregate note balance by a specified amount. This excess represents overcollateralization. Prior to the Stepdown Date, the "Required Overcollateralization Amount" will be equal to 2.00% of the aggregate cut-off date pool balance. On or after the Stepdown Date, the Required Overcollateralization Amount will be permitted, subject to certain performance triggers being satisfied, to decrease to 4.00% of aggregate pool balance of the Home Loans, subject to a floor of 0.50% of the aggregate cut-off date pool balance. Ambac Insurance Policy: Ambac Assurance Corporation (the "Credit Enhancer") will unconditionally and irrevocably guarantee: (a) interest on the notes at the note rate, (b) the amount of any losses not covered by excess spread or overcollateralization, and (c) the payment of principal on the Notes by no later than the June 2032 Payment Date. The Insurance Policy is not revocable for any reason. STEPDOWN DATE: The Stepdown Date is the Payment Date occurring on the later of: (1) the Payment Date in July 2005 (i.e., on the 37th Payment Date); and (2) the first Payment Date on which the aggregate pool balance is less than 50% of the aggregate cut-off date pool balance. - -------------------------------------------------------------------------------- BEAR STEARNS This information should be considered only after reading Bear Stearns' Statement Regarding Assumptions as to Securities, Pricing Estimates and Other Information (the "Statement"), which should be attached. Do not use or rely on this information if you have not received and reviewed this Statement. You may obtain a copy of the Statement from your sales representative. RESIDENTIAL FUNDING MORTGAGE SECURITIES II, INC. HOME LOAN TRUST 2002-HI3 Computational Materials: Preliminary Term Sheet (Page 5 of 5) - -------------------------------------------------------------------------------- MASTER SERVICING FEE: 0.08% per annum, payable monthly. The fees of the Trustees will be paid from the Master Servicing Fee. SUBSERVICING FEE: 0.50% per annum, payable monthly. ADVANCING: There is no required advancing of delinquent scheduled monthly payments of principal or interest on the Home Loans by the Master Servicer, the Subservicer, the Trustees, the Credit Enhancer or any other entity. OPTIONAL REDEMPTION: The Master Servicer may, at its option, effect an early redemption or termination of the Notes on the first Payment Date on which the aggregate pool balance declines to less than 10% of the aggregate cut-off date pool balance (the "Call Date"). FORM OF REGISTRATION: Book-Entry form, same day funds through DTC, Clearstream and Euroclear. TAX STATUS: For federal income tax purposes, the Notes will be characterized as indebtedness of the Issuer. ERISAELIGIBILITY: The Notes may be eligible for purchase by employee benefit plans that are subject to ERISA. SMMEATREATMENT: The Notes will not constitute "mortgage related securities" for purposes of SMMEA. - -------------------------------------------------------------------------------- BEAR STEARNS This information should be considered only after reading Bear Stearns' Statement Regarding Assumptions as to Securities, Pricing Estimates and Other Information (the "Statement"), which should be attached. Do not use or rely on this information if you have not received and reviewed this Statement. You may obtain a copy of the Statement from your sales representative. RESIDENTIAL FUNDING MORTGAGE SECURITIES II, INC. HOME LOAN TRUST 2002-HI3 Computational Materials: Information Relating to the Notes (Page 1 of 3) - --------------------------------------------------------------------------------
CLASS A-1 (TO CALL / TO MATURITY) - ------------------------------------------------------------------------------------------------- % OF PREPAYMENT ASSUMPTION 0% 50% 75% 100% 125% 150% RAMP TO 0.00% 8.50% 12.75% 17.00% 21.25% 25.50% - ------------------------------------------------------------------------------------------------- AVERAGE LIFE (YEARS) 3.27 1.27 1.04 0.90 0.80 0.73 MODIFIED DURATION (YEARS) 3.10 1.24 1.02 0.88 0.79 0.71 FIRST PRINCIPAL PAYMENT 7/25/02 7/25/02 7/25/02 7/25/02 7/25/02 7/25/02 LAST PRINCIPAL PAYMENT 9/25/08 11/25/04 5/25/04 1/25/04 11/25/03 9/25/03 PRINCIPAL LOCKOUT (MONTHS) 0 0 0 0 0 0 PRINCIPAL WINDOW (MONTHS) 75 29 23 19 17 15 ILLUSTRATIVE YIELD @ PAR (30/360) 2.04% 2.04% 2.04% 2.04% 2.04% 2.04% - ------------------------------------------------------------------------------------------------- CLASS A-2 (TO CALL / TO MATURITY) - ------------------------------------------------------------------------------------------------- % OF PREPAYMENT ASSUMPTION 0% 50% 75% 100% 125% 150% RAMP TO 0.00% 8.50% 12.75% 17.00% 21.25% 25.50% - ------------------------------------------------------------------------------------------------- AVERAGE LIFE (YEARS) 7.60 3.11 2.41 2.00 1.74 1.55 MODIFIED DURATION (YEARS) 6.39 2.86 2.25 1.88 1.64 1.48 FIRST PRINCIPAL PAYMENT 9/25/08 11/25/04 5/25/04 1/25/04 11/25/03 9/25/03 LAST PRINCIPAL PAYMENT 4/25/11 4/25/06 6/25/05 11/25/04 7/25/04 4/25/04 PRINCIPAL LOCKOUT (MONTHS) 74 28 22 18 16 14 PRINCIPAL WINDOW (MONTHS) 32 18 14 11 9 8 ILLUSTRATIVE YIELD @ PAR (30/360) 4.14% 4.09% 4.06% 4.04% 4.02% 4.00% - ------------------------------------------------------------------------------------------------- CLASS A-3 (TO CALL / TO MATURITY) - ------------------------------------------------------------------------------------------------- % OF PREPAYMENT ASSUMPTION 0% 50% 75% 100% 125% 150% RAMP TO 0.00% 8.50% 12.75% 17.00% 21.25% 25.50% - ------------------------------------------------------------------------------------------------ AVERAGE LIFE (YEARS) 10.01 4.82 3.69 3.00 2.54 2.22 MODIFIED DURATION (YEARS) 7.81 4.21 3.31 2.74 2.35 2.07 FIRST PRINCIPAL PAYMENT 4/25/11 4/25/06 6/25/05 11/25/04 7/25/04 4/25/04 LAST PRINCIPAL PAYMENT 8/25/13 4/25/08 12/25/06 1/25/06 7/25/05 2/25/05 PRINCIPAL LOCKOUT (MONTHS) 105 45 35 28 24 21 PRINCIPAL WINDOW (MONTHS) 29 25 19 15 13 11 ILLUSTRATIVE YIELD @ PAR (30/360) 4.73% 4.69% 4.67% 4.65% 4.63% 4.61% - ------------------------------------------------------------------------------------------------- CLASS A-4 (TO CALL / TO MATURITY) - ------------------------------------------------------------------------------------------------- % OF PREPAYMENT ASSUMPTION 0% 50% 75% 100% 125% 150% RAMP TO 0.00% 8.50% 12.75% 17.00% 21.25% 25.50% - ------------------------------------------------------------------------------------------------- AVERAGE LIFE (YEARS) 11.74 6.42 4.94 4.00 3.36 2.90 MODIFIED DURATION (YEARS) 8.63 5.34 4.27 3.53 3.02 2.64 FIRST PRINCIPAL PAYMENT 8/25/13 4/25/08 12/25/06 1/25/06 7/25/05 2/25/05 LAST PRINCIPAL PAYMENT 9/25/14 7/25/09 11/25/07 11/25/06 2/25/06 8/25/05 PRINCIPAL LOCKOUT (MONTHS) 133 69 53 42 36 31 PRINCIPAL WINDOW (MONTHS) 14 16 12 11 8 7 ILLUSTRATIVE YIELD @ PAR (30/360) 5.14% 5.11% 5.10% 5.08% 5.06% 5.05% - ------------------------------------------------------------------------------------------------- - -------------------------------------------------------------------------------- BEAR STEARNS This information should be considered only after reading Bear Stearns' Statement Regarding Assumptions as to Securities, Pricing Estimates and Other Information (the "Statement"), which should be attached. Do not use or rely on this information if you have not received and reviewed this Statement. You may obtain a copy of the Statement from your sales representative. RESIDENTIAL FUNDING MORTGAGE SECURITIES II, INC. HOME LOAN TRUST 2002-HI3 Computational Materials: Information Relating to the Notes (Page 2 of 3) - ---------------------------------------------------------------------------------------------- CLASS A-5 (TO CALL / TO MATURITY) - ------------------------------------------------------------------------------------------------- % OF PREPAYMENT ASSUMPTION 0% 50% 75% 100% 125% 150% RAMP TO 0.00% 8.50% 12.75% 17.00% 21.25% 25.50% - ------------------------------------------------------------------------------------------------- AVERAGE LIFE (YEARS) 12.90 7.88 6.17 5.00 4.19 3.60 MODIFIED DURATION (YEARS) 9.08 6.27 5.12 4.28 3.66 3.19 FIRST PRINCIPAL PAYMENT 9/25/14 7/25/09 11/25/07 11/25/06 2/25/06 8/25/05 LAST PRINCIPAL PAYMENT 12/25/15 3/25/11 5/25/09 2/25/08 3/25/07 7/25/06 PRINCIPAL LOCKOUT (MONTHS) 146 84 64 52 43 37 PRINCIPAL WINDOW (MONTHS) 16 21 19 16 14 12 ILLUSTRATIVE YIELD @ PAR (30/360) 5.42% 5.40% 5.39% 5.38% 5.36% 5.35% - ------------------------------------------------------------------------------------------------- CLASS A-6 (TO CALL / TO MATURITY) - ------------------------------------------------------------------------------------------------- % OF PREPAYMENT ASSUMPTION 0% 50% 75% 100% 125% 150% RAMP TO 0.00% 8.50% 12.75% 17.00% 21.25% 25.50% - ------------------------------------------------------------------------------------------------- AVERAGE LIFE (YEARS) 14.47 10.45 8.49 7.00 5.88 5.04 MODIFIED DURATION (YEARS) 9.46 7.57 6.48 5.57 4.83 4.24 FIRST PRINCIPAL PAYMENT 12/25/15 3/25/11 5/25/09 2/25/08 3/25/07 7/25/06 LAST PRINCIPAL PAYMENT 4/25/19 10/25/14 10/25/12 2/25/11 10/25/09 10/25/08 PRINCIPAL LOCKOUT (MONTHS) 161 104 82 67 56 48 PRINCIPAL WINDOW (MONTHS) 41 44 42 37 32 28 ILLUSTRATIVE YIELD @ PAR (30/360) 5.97% 5.96% 5.95% 5.94% 5.93% 5.92% - ------------------------------------------------------------------------------------------------- CLASS A-7 (TO CALL) - ------------------------------------------------------------------------------------------------- % OF PREPAYMENT ASSUMPTION 0% 50% 75% 100% 125% 150% RAMP TO 0.00% 8.50% 12.75% 17.00% 21.25% 25.50% - ------------------------------------------------------------------------------------------------- AVERAGE LIFE (YEARS) 19.07 13.36 11.63 9.88 8.42 7.27 MODIFIED DURATION (YEARS) 10.72 8.74 7.98 7.12 6.33 5.65 FIRST PRINCIPAL PAYMENT 4/25/19 10/25/14 10/25/12 2/25/11 10/25/09 10/25/08 LAST PRINCIPAL PAYMENT 12/25/21 1/25/16 5/25/14 8/25/12 2/25/11 12/25/09 PRINCIPAL LOCKOUT (MONTHS) 201 147 123 103 87 75 PRINCIPAL WINDOW (MONTHS) 33 16 20 19 17 15 ILLUSTRATIVE YIELD @ PAR (30/360) 6.45% 6.44% 6.43% 6.43% 6.42% 6.41% - ------------------------------------------------------------------------------------------------- CLASS A-7 (TO MATURITY) - ------------------------------------------------------------------------------------------------- ------------ % OF PREPAYMENT ASSUMPTION 0% 50% 75% 100% 125% 150% RAMP TO 0.00% 8.50% 12.75% 17.00% 21.25% 25.50% - ------------------------------------------------------------------------------------------------- AVERAGE LIFE (YEARS) 11.37 20.84 15.05 13.09 9.89 8.64 MODIFIED DURATION (YEARS) 11.18 9.34 8.57 7.80 7.07 6.40 FIRST PRINCIPAL PAYMENT 4/25/19 10/25/14 10/25/12 2/25/11 10/25/09 10/25/08 LAST PRINCIPAL PAYMENT 12/25/26 7/25/25 4/25/23 7/25/20 11/25/17 7/25/16 PRINCIPAL LOCKOUT (MONTHS) 201 147 123 103 87 75 PRINCIPAL WINDOW (MONTHS) 93 130 127 114 98 94 ILLUSTRATIVE YIELD @ PAR (30/360) 6.47% 6.47% 6.47% 6.47% 6.48% 6.48% - ------------------------------------------------------------------------------------------------- - -------------------------------------------------------------------------------- BEAR STEARNS This information should be considered only after reading Bear Stearns' Statement Regarding Assumptions as to Securities, Pricing Estimates and Other Information (the "Statement"), which should be attached. Do not use or rely on this information if you have not received and reviewed this Statement. You may obtain a copy of the Statement from your sales representative. RESIDENTIAL FUNDING MORTGAGE SECURITIES II, INC. HOME LOAN TRUST 2002-HI3 Computational Materials: Information Relating to the Notes (Page 3 of 3) - ---------------------------------------------------------------------------------------------- CLASS A-IO (TO CALL) - --------------------------------------------------------------------------------------------------- - --------------------------------------------------------------------------------------------------- CPR 50% 60% 70% 80% 90% 100% - --------------------------------------------------------------------------------------------------- - --------------------------------------------------------------------------------------------------- AVERAGE LIFE (YEARS) 2.50 2.50 2.50 2.50 2.50 2.50 MODIFIED DURATION (YEARS) 1.15 1.15 1.15 1.15 1.15 1.15 FIRST PRINCIPAL PAYMENT 12/25/04 12/25/04 12/25/04 12/25/04 12/25/04 12/25/04 LAST PRINCIPAL PAYMENT 12/25/04 12/25/04 12/25/04 12/25/04 12/25/04 12/25/04 PRINCIPAL LOCKOUT (MONTHS) 29 29 29 29 29 29 PRINCIPAL WINDOW (MONTHS) 1 1 1 1 1 1 ILLUSTRATIVE YIELD @ 22.40969% (30/360) 4.75% 4.75% 4.75% 4.75% 4.75% 4.75% - ---------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------- BEAR STEARNS This information should be considered only after reading Bear Stearns' Statement Regarding Assumptions as to Securities, Pricing Estimates and Other Information (the "Statement"), which should be attached. Do not use or rely on this information if you have not received and reviewed this Statement. You may obtain a copy of the Statement from your sales representative. RESIDENTIAL FUNDING MORTGAGE SECURITIES II, INC. HOME LOAN TRUST 2002-HI3 Computational Materials: Information Relating to the Collateral (Page 1 of 4) - -------------------------------------------------------------------------------- THE INFORMATION CONTAINED HEREIN WILL BE SUPERSEDED BY THE DESCRIPTION OF THE COLLATERAL CONTAINED IN THE PROSPECTUS SUPPLEMENT. - -------------------------------------------------------------- Current Principal Balance (as of 6/1/02) $365,563,420 Loan Count 8,943 Average Current Principal Balance $40,877 Average Original Principal Balance $41,122 Range of Original Principal Balance $10,000 to $100,000 Up to $25,000.00 6.26% $25,000.01 to $50,000.00 61.46% $50,000.01 to $75,000.00 31.25% $75,000.01 to $100,000.00 1.03% - -------------------------------------------------------------- LOAN RATE Weighted Average 12.785% Range of Loan Rates 6.000% to 19.080% 6.000% 0.01% 8.001% to 9.000% 0.24% 9.001% to 10.000% 1.78% 10.001% to 11.000% 6.79% 11.001% to 12.000% 23.04% 12.001% to 13.000% 32.17% 13.001% to 14.000% 20.26% 14.001% to 15.000% 9.71% 15.001% to 16.000% 3.81% 16.001% to 17.000% 1.43% 17.001% to 18.000% 0.67% 18.001% to 19.000% 0.09% 19.001% to 20.000% 0.01% - -------------------------------------------------------------- WA Original Term to Stated Maturity 204 (months) WA Remaining Term to Stated Maturity 201 (months) Up to 60 months 0.35% 61 to 120 months 4.79% 121 to 180 months 68.86% 181 to 240 months 7.09% 241 to 300 months 18.87% 301 to 360 months 0.04% - -------------------------------------------------------------- - -------------------------------------------------------------- Balloon / Fully Amortizing 0.38% / 99.62% First Lien / Second Lien 0.06% / 99.94% - -------------------------------------------------------------- - -------------------------------------------------------------------------------- BEAR STEARNS This information should be considered only after reading Bear Stearns' Statement Regarding Assumptions as to Securities, Pricing Estimates and Other Information (the "Statement"), which should be attached. Do not use or rely on this information if you have not received and reviewed this Statement. You may obtain a copy of the Statement from your sales representative. RESIDENTIAL FUNDING MORTGAGE SECURITIES II, INC. HOME LOAN TRUST 2002-HI3 Computational Materials: Information Relating to the Collateral (Page 2 of 4) - -------------------------------------------------------------------------------- THE INFORMATION CONTAINED HEREIN WILL BE SUPERSEDED BY THE DESCRIPTION OF THE COLLATERAL CONTAINED IN THE PROSPECTUS SUPPLEMENT. - -------------------------------------------------------------- CREDIT SCORE Weighted Average 696 Range of Credit Scores 620 to 810 620 to 639 0.22% 640 to 659 7.30% 660 to 679 22.75% 680 to 699 26.18% 700 to 719 23.14% 720 to 739 12.68% 740 to 759 5.22% 760 to 779 2.01% 780 to 799 0.47% Greater than or equal to 800 0.03% - -------------------------------------------------------------- - -------------------------------------------------------------- ORIGINAL CLTV Weighted Average 117.73% Up to 40.00% 0.09% 40.01% to 50.00% 0.06% 50.01% to 60.00% 0.02% 60.01% to 70.00% 0.01% 70.01% to 80.00% 0.24% 80.01% to 90.00% 0.27% 90.01% to 100.00% 2.09% 100.01% to 105.00% 4.51% 105.01% to 110.00% 9.64% 110.01% to 115.00% 15.36% 115.01% to 120.00% 20.90% 120.01% to 125.00% 46.70% 125.01% to 130.00% 0.11% - -------------------------------------------------------------- DEBT-TO-INCOME RATIO Weighted Average 39.97% Up to 5.000% 0.03% 5.001% to 10.000% 0.01% 10.001% to 15.000% 0.06% 15.001% to 20.000% 0.46% 20.001% to 25.000% 2.52% 25.001% to 30.000% 7.33% 30.001% to 35.000% 14.84% 35.001% to 40.000% 22.03% 40.001% to 45.000% 31.17% 45.001% to 50.000% 21.53% 50.001% to 55.000% 0.01% - -------------------------------------------------------------- - -------------------------------------------------------------------------------- BEAR STEARNS This information should be considered only after reading Bear Stearns' Statement Regarding Assumptions as to Securities, Pricing Estimates and Other Information (the "Statement"), which should be attached. Do not use or rely on this information if you have not received and reviewed this Statement. You may obtain a copy of the Statement from your sales representative. RESIDENTIAL FUNDING MORTGAGE SECURITIES II, INC. HOME LOAN TRUST 2002-HI3 Computational Materials: Information Relating to the Collateral (Page 3 of 4) - ------------------------------------------------------------------------------- THE INFORMATION CONTAINED HEREIN WILL BE SUPERSEDED BY THE DESCRIPTION OF THE COLLATERAL CONTAINED IN THE PROSPECTUS SUPPLEMENT. - -------------------------------------------------------------- JUNIOR RATIO Weighted Average 28.11% Up to 5.000% 0.01% 5.001% to 10.000% 0.24% 10.001% to 15.000% 3.72% 15.001% to 20.000% 15.59% 20.001% to 25.000% 23.55% 25.001% to 30.000% 21.11% 30.001% to 35.000% 14.96% 35.001% to 40.000% 10.46% 40.001% to 45.000% 5.16% 45.001% to 50.000% 2.84% 50.001% to 55.000% 1.29% 55.001% to 60.000% 0.38% 60.001% to 65.000% 0.19% 65.001% to 70.000% 0.26% 70.001% to 75.000% 0.12% Greater than or equal to 75.001% 0.11% - -------------------------------------------------------------- RESIDUAL INCOME Weighted Average $3,744 $1,000.00 to $1,999.99 5.05% $2,000.00 to $2,999.99 26.34% $3,000.00 to $3,999.99 35.18% $4,000.00 to $4,999.99 18.01% $5,000.00 to $5,999.99 8.09% Greater than or equal to $6,000.00 7.32% - -------------------------------------------------------------- PROPERTY TYPE Single Family Residence 88.82% PUD Detached 6.66% Condominium 1.98% PUD Attached 1.13% Townhouse 0.97% Multifamily (2 to 4 units) 0.40% Manufactured Housing 0.03% - -------------------------------------------------------------- - -------------------------------------------------------------- OCCUPANCY STATUS Owner Occupied 100.00% - -------------------------------------------------------------- - -------------------------------------------------------------------------------- BEAR STEARNS This information should be considered only after reading Bear Stearns' Statement Regarding Assumptions as to Securities, Pricing Estimates and Other Information (the "Statement"), which should be attached. Do not use or rely on this information if you have not received and reviewed this Statement. You may obtain a copy of the Statement from your sales representative. RESIDENTIAL FUNDING MORTGAGE SECURITIES II, INC. HOME LOAN TRUST 2002-HI3 Computational Materials: Information Relating to the Collateral (Page 4 of 4) - -------------------------------------------------------------------------------- THE INFORMATION CONTAINED HEREIN WILL BE SUPERSEDED BY THE DESCRIPTION OF THE COLLATERAL CONTAINED IN THE PROSPECTUS SUPPLEMENT. - -------------------------------------------------------------- DOCUMENTATION Full Documentation 99.65% Reduced 0.35% - -------------------------------------------------------------- - -------------------------------------------------------------- LOAN PURPOSE Debt Consolidation 84.75% Cash Out 7.70% Rate/Term Refinance 3.80% Convenience 2.20% Home Improvement / Debt Consolidation 1.00% Home Improvement 0.22% Education 0.06% Asset Acquisition 0.11% Other 0.17% - -------------------------------------------------------------- PREPAYMENT PENALTY TERMS None 52.17% 12 months 0.68% 24 months 0.06% 36 months 46.32% 60 months 0.46% Other (not more than 60 months) 0.31% - -------------------------------------------------------------- GEOGRAPHIC CONCENTRATION (> 5%) CA (7.54%) ------------------------------- FL (6.68%) PA (5.92%) OH (5.41%) VA (5.25%) MD (5.17%) - -------------------------------------------------------------- - -------------------------------------------------------------- - -------------------------------------------------------------------------------- BEAR STEARNS This information should be considered only after reading Bear Stearns' Statement Regarding Assumptions as to Securities, Pricing Estimates and Other Information (the "Statement"), which should be attached. Do not use or rely on this information if you have not received and reviewed this Statement. You may obtain a copy of the Statement from your sales representative.