October November Newsletter 2019

NW REGIONAL NEWSLETTER HIGHLIGHTS FOR THE MONTHS OF OCT & NOV October seems so long ago, because it really is now that we are chasing Christmas. We did set a unit record at 307 in October, volume was off a bit from the record number in September based on lower loan averages. November brought us back to reality and seasonal volume with only 255 closed units. Looking at October last year we closed 196 units and in November 186 so we are still trending with a 25% increase over 2018. Those posting personal records in October were Jason Oswald, Tera Davis, John Spiker, Maureen Miller, Jamie Nettles, and team Bob Beisly and Nichole Thueson. Branch records were set by Legacy Meridian, Walla Walla, and Tri Cites. Shout out to Ryan Shelby for his personal record in November. Congratulations to all of you and the branch teams that supported historic record numbers! We will be able to follow Tera Davis through the current Leadership Academy along with Leon Baker who was chosen to represent the region in James Mac Person’s Chairman’s Council. I appreciate you both taking time out of your already busy schedules to make Academy better. We will recognize early in January all of our managers and loan officers who qualified for President’s Club and Executive Club, we have a few folks that need to finish strong to make the trips! Our operations team was still slammed in October and most of November, with applications falling since mid-November we are seeing a little bit of a reprieve. Hopefully we can catch a breath during the holidays and get the ball rolling in the New Year. We can’t afford to see the drop off like last year in January and February, it’s too hard to climb out of the hole. I do appreciate all the efforts from our operations team, they are a major reason for our record year! The mortgage guru’s say that refi’s will be off next year with purchases up slightly, that the overall industry forecast will be down 5% from 2019. Academy is looking for a 12% increase in 2020. Start working on your plan. If you want to increase your builder business and don’t know about Novi then please reach out to me, we have producers all over the country increasing their volume with Novi participating builders. “Setting a goal is not the main thing. It is deciding how you will go about achieving it, and staying with that plan.” Tom Landry -Dave Schile

EVELYN COX Did you know? USPS is not needed on every file? It’s only needed when Fraud guard cannot validate the property address. When doing an FHA Streamline refinance, either credit qualifying or non-credit qualifying; no appraisal is needed. What red flags are on credit reports? Numerous inquiries in recent months; tradelines opened at the same time or just recently; Credit depth does not correlate with borrower age/profile; Fraud Alert or Hawk Alerts. What occupancy red flags are: Borrower is downsizing to a smaller/less expensive home but retaining current home as rental; buying an investment property/second home, but does not own a current residence; significant, unrealistic commute from subject property to employer (owner-occupied transaction); Borrower is purchasing a home down the street; borrower is receiving significant from family member. Redwood and AIG Jumbo investors require 3 years of personal tax returns when analyzing Capital Gains/Losses. When running LP on IHFA products – Freddiemac screens need to be completed including the offering identifier for HFA programs. Quotes: “Life is never completely without its challenges.” – Stan Lee “If everything seems under control, you’re not going fast enough.” – Mario Andretti “Go as far as you can see; when you get there, you’ll be able to see further.” – Thomas Carlyle “Your talent determines what you can do. Your motivation determines how much you are willing to do. Your attitude determines how well you do it.” – Lou Holtz “Light tomorrow with today” – Elizabeth Barrett Browning “I would rather die of passion than of boredom.” – Emile Zola

CHOOSE YOUR ATTITUDE: Laugh

I would like to “shout out” for Ellie Traeger: Ellie has worked for Academy for 5 years. In that time, she has helped my team and I grow to Presidents level performance. Until last month, she has been our sole branch Loan Processor. Since April 2018, Ellie has seen our loan production more than double with the addition of three new loan officers. Throughout this period, Ellie has worked diligently to develop deep and trusting relationships with our growing team. Change is never easy, but Ellie has done a great job applying her knowledge, skills and abilities to help our team grow and prosper. Thank You, Ellie, for All You Do! ~Leon McKean I want to take a minute and give “Special Thanks” to: Jennifer Bender, Laura LaHorgue, Casja Weatherbie and Jeanne Armstrong for taking care of my files, clients an agents, so that I could spend time with my daughter in Seattle while she recovered from surgery. ~Bonnie Maxwell I would like to give a SHOUT OUT to Kris Link for her efforts to gather and give hygiene supplies to our local Rescue Mission! She was energized by her recent trip to Ecuador, and has been gather items from local offices and hotels. Great Idea, and Nice Work, Kris! Also, SHOUT OUT to the Wonderful Ladies I get to work with every day! Sandi Smutny, Dena Perkes, Kris Link, Tanya Eagans, and of course Carol Martin! You’re each amazing, and I’m so blessed to be on the SHpaOthUoTf lOifeUwTitThOyoDu!AVE SCHILE FOR CLEARING OAFNFDE…VsEpRecYiaOl tNhaEn’kSsCtoAKRSelDlyURBIeNeGbAeSoNurOIWncrDedAibYle Manager, Evelyn Cox for always giving me at least “1 Yes” to an underwriting question each week ☺ and to Dave Schile for leading our group so well. Grateful for each of you! God Bless You, ~Leon Baker

I wanted to give a HUGE shout out to Jonathan Michalski for stepping up hand helping the closing team get through a very busy time. He is always there to stand up and help out, always with a smile and great sense of humor. Thank you, Jono! ~Fran Larsh Jeanne Armstrong – I meant to say something sooner, but thank you for being my go-to on all things USDA! It’s been so nice to talk to you and pick your brain on processing things. I greatly value your willingness to help a fellow processor. YOU ARE SO KIND! Melanie Baldwin – Thank you for being tough on me and making me a better pro- cessor. Without your feedback, I would still be doing things wrong and not even knowing it. I am in awe of your ability to see the tiniest of details and your knowledge of different programs. Thank you for sharing your wisdom with me! ~Manesseh Castro This shout out is for the entire Legacy Branch… I could not ask for a better place to call ‘Work Home’ and for better people to be around every day. The kindness and love in this office is overwhelming on even the worst days. Everyone has one another’s best interest at heart and it comes from every angle of the house. Thank you all for being there to support our team, be cheerleaders and encouragers and desire to lock arms with us to help us maintain focus and not lose our bearings during difficult times and challenges we may face. You guys all are the best and words could not express the gratitude I have in my heart to be a part of you! Sincerely, ~Mardee Rosenkrance A huge shout out to Mardee Rosenkrance, Carole Bateman and Terri Smith for the fantastic job they do every day. Our customers and I are blessed to work with such caring, compassionate and hard-working individuals. You guys are the best!!! ~John Spiker

CHARITY, COMMUNITY SERVICE, VOLUNTEER Houston: Tera Davis was able to participate in an Academy work day recently in Houston Texas as part of the Leadership Academy. The Academy team was put to work at two different job locations both of which had been affected by the recent flooding in the area. They were tasked with removing personal be- longings in the home and physically removing rotted decay in the home. It was a long emotional day for all as the owners of the home reflected on memories and parted with personal items riddle with mold, while workers worked quickly to get the home in shape for the next steps, which was to be a contractor coming in to start to bring the home back to a livable condition.

CHARITY, COMMUNITY SERVICE, VOLUNTEER JAMIE NETTLES AND OFFICE IN KENNEWICK, WA Sarah Weekes volunteering at the Boise Holiday Parade donated 30 pairs of gloves and 10 winter sets to children in need in the community ☺ Jamie Nettles and office along with Women Of Influence sponsored a tree for the United Way Festival Of Trees. We raised $5000 worth of gifts and the tree sold for $2000. Total raised for United Way that evening was $85000

CHARITY, COMMUNITY SERVICE, VOLUNTEER This year the Legacy Branch in Meridian, ID was given the opportunity to donate and decorate a tree to The Saint Alphonsus Festival of Trees. Every year, proceeds from the Festival of Trees help Saint Alphonsus deliver the best kind of healthcare to our community. This year funds raised are support- ing the women's mobile outreach program which will bring the latest advancements in screening tools to our rural communities in order to detect cancer in its earliest stages when it is most treatable. The Festival is a Treasure Valley Tradition attracting guests from across the state of Idaho. Darla Austin did a FABULOUS job designing our Legacy Group of Academy Mortgage tree and it sold the night of the Gala! Thank you Darla helping to inspire hope and prosperity in our amazing community! Whittney Curran’s Team (Meridian, Idaho) and others Donated a lot of personal items (socks, soap, shampoo, toothpaste, etc.) to the community school at Frank Church Highschool The Meridian, Idaho Branch Donated the items for two Christmas Families in need that included Turkey Meals for both, Toys, household items, and gift cards in the amount of $500.00 ($250.00 each). Sydney Alexander—Laura Alexander’s Daughter (Meridian, Idaho) Raised over $1200.00 going door-to-door to collect donations for “Kicking-for-a-cure” and ended up winning an Apple Watch worth $500.00!!! Kris Link, at the Idaho Center Branch in Nampa, Idaho Put together a drive for the Rescue Mission

Branch Halloween Costumes Trunk or Treat: Tera Davis and the Walla Walla office participated in the local Coldwell Banker’s Trunk or Treat. They decorated their courtesy moving trailer and had some fun spooking the kids. Coldwell puts this event on annually and gives out small trinkets in place of candy for kids who have dietary restrictions.

Reward Celebrations for Record Month (Legacy and Meridian)

MEET OUR NEWEST EMPLOYEES JIM TACKETT LOAN OFFICER FOR WALLA WALLA, WA I have worked in the lending/banking industry for 16 years and in customer service for most of my life. I’ve been married to my beautiful wife Cindy for 34 years. We have two adult sons, a daughter in law and 10 month old granddaughter who we fell in love with the day she was born. I enjoy spending time with family, RVing, traveling, home projects, racquetball, softball, water & snow skiing and spending time enjoying God’s beautiful creations. I am thrilled to be a part of the Academy Mortgage family and am looking forward to many years of getting to know my new co-workers. ABI SABIN ADMINISTRATIVE ASSISTANT LEGACY—MERIDIAN, IDAHO I am a recent graduate from Boise State. I obtained my bachelor's in History with an emphasis in human perspective and interaction during wartime. I am now going to grad school to get my Master of Library Information and Management in Archives. So you could say I am a little nerdy. I have been married to my husband for a little over a year now. We have two dogs and one cat. In my free time, I like to binge-watch tv, read books and do crafts. During the summer we spend a lot of time mountain biking and during the winter we love to go snowboarding. I am excited about this new position and to be a part of the Academy Family! The picture is of my husband and I with our two dogs, Jax and Zeus. Instead of smiling for the camera, the dogs were more interested in our cat walking by, haha

MEET OUR NEWEST EMPLOYEE RHESA TORGUSON PROCESSOR I FOR WALLA WALLA II, WA I was born and grew up in Southern California with 4 brothers. Moved to Washington 8 years ago with my husband of sixteen years to be closer to his family. We have 5 children between us, and have 5 grandchildren, 4 live in California and 1 in Kansas. I have been in the banking field for 35+ years. During that time I was in the mortgage loan office for 3 years, processing and closing loans, then became a loan agent. The last years with the bank, I was a branch Manager in Richland Area. Special interests and hobbies: Reading, Puzzles, Boating and Wakeboarding. I started with Academy on 12/3 as Processor 1 in Kennewick Washington, I love how this company treats there employees and helps the community that they serve. So excited to be here and getting to meet everyone. Leon McKean and Team had their Annual Sales and Operations Meeting Wasilla, AK

Journey to Achieve Your Potential By Kevin Haycock, EVP, Sales Leadership Team Can you believe that we are already at the end of 2019? It’s time to finish the year strong! In November, we closed 2,895 units for $766,160,600 in total production volume—another month in the books as we continue in our individual and collective efforts to achieve our Potential. How far did you progress on your journey to achieve your Potential this year? Any progress forward--whether you think your growth substantial or minimal—is a step that much closer to reaching your goals. If one of your goals is qualifying for Academy’s President’s Club or Executive Club, it’s crunch time! Please let your Branch Manager or Regional Sales Leader know how they can support you in your final push to qualify. Have you started thinking about your goals for 2020? While good practice throughout the year, December is a great time to reflect on what you accomplished, set new goals, and make an action plan for achieving them. Again, your Branch Manager or Regional Sales Leader is a great resource for putting a plan in place to increase your production. You can also reach out to your fellow Loan Officers on Workplace for advice, answers to questions, and their tips and tricks of the trade. The following top producers are likely to be a wealth of knowledge, having closed $3 million or more in volume, 15 loans or more, or accomplished both milestones in November:

OCTOBER TOP FIVE BRANCHES IN THE NORTHWEST REGION LEGACY MERIDIAN 26,969,291 MERIDIAN 16,138,153 WALLA WALLA II 5,396,389 COEUR D’ALENE 5,396,041 NAMPA—IDAHO CENTER 5,387,268 TOP TEN IN VOLUME TOP TEN IN PURCHASE VOLUME Jason Oswald $11,327,207 Jason Oswald 7,363,351 David Perry 7,699,467 Tera Davis 4,962,089 Tera Davis 5,396,389 Leon Baker 3,864,518 Leon Baker 5,387,268 David Perry 3,862,304 John Spiker 4,845,370 Whittney Curran 3,583,717 Scott Petersen 4,230,372 Maureen Miller 2,731,195 Whittney Curran 4,014,417 John Spiker 2,564,104 Maureen Miller 3,508,945 Ryan Shelby 2,548,074 Jamie Nettles 3,149,687 Leon McKean 2,016,058 Ryan Shelby 2,700,074 Scott Petersen 2,004,680 “A Hero is an ordinary individual who finds the strength to persevere and endure in spite of overwhelming obstacles” ~Christopher Reeve Records for October: Branch: Legacy, Walla Walla, Tri Cities LO records: Jason, Tera, John Spiker, Maureen, Jamie, team Bob and Nicole.

NORTHWEST LOAN OFFICERS OCTOBER 1. Jason Oswald $11,327,207 18. Terry Anderson $1,183,750 2. David Perry $7,699,467 19. 3. Tera Davis $5,396,389 20. Teresa Dean $1,121,122 4. Leon Baker $5,387,268 21. 5. John Spiker $4,845,370 22. Alicia Chaves $1,114,359 6. Scott Petersen $4,230,372 23. 7. Whittney Curran $4,014,417 24. Tina Ellis $1,036,925 8. Maureen Miller $3,508,945 25. 9. Jamie Nettles $3,149,687 26. Cheryl Lipp $1,027,458 10. Ryan Shelby $2,700,074 27. 11. Jennifer Bender $2,381,499 28. Austyn Shuman $1,024,548 12. Leon McKean $2,177,558 29. 13. Lipinski Team $2,150,731 30. Marty Fortier $944,857 14. Nichole Thueson $1,827,805 32. 15. Monica Barton $1,578,745 33. Lynn Hergenreder $868,616 16. Vicki Leavitt $1,492,549 34. 17. Brenda Heller $1,240,435 35. Craig Ballhagen $856,919 Jonathan Michalski $826,886 Michael Julius $807,610 Mike McLean $672,000 Charles Stevenson $597,442 Ramon Menchaca $444,250 Carolyn Summerton $227,178 Anne Erickson $220,812 TOTAL $78,083,250

NOVEMBER TOP FIVE BRANCHES IN THE NORTHWEST REGION LEGACY MERIDIAN 22,153,684 MERIDIAN 14,915,061 COEUR D’ALENE 4,219,873 WALLA WALLA II 4,089,550 ALASKA 3,715,069 TOP TEN IN VOLUME TOP TEN IN PURCHASE VOLUME Jason Oswald 8,348,194 Jason Oswald 6,026,602 David Perry 8,016,329 David Perry 3,852,307 Tera Davis 4,089,550 Tera Davis 3,133,700 Ryan Shelby 3,707,458 Leon Baker 2,775,576 Scott Petersen 3,518,919 Ryan Shelby 2,642,498 Leon McKean 3,300,363 Leon McKean 2,622,363 Leon Baker 3,287,805 Monica Barton 2,422,649 John Spiker 3,047,713 Scott Petersen 2,419,919 Jennifer Bender 2,523,463 Jennifer Bender 2,062,787 Whittney Curran 2,479,171 Whittney Curran 1,577,170 As Buddha said… “There are only two mistakes one can make along the road to truth; not going all the way, and not starting.” “You never know how strong you are, until being strong is your only choice” ~Bob Marley November record : Ryan Shelby—Loan Officer, Meridian Idaho

NORTHWEST LOAN OFFICERS NOVEMBER 1. Jason Oswald $8,348,194 17. Mike McLean $1,435,745 2. David Perry Lynn Hergenreder $1,179,561 3. Tera Davis 18. Teresa Dean $1,079,682 4. Ryan Shelby $8,016,329 Alicia Chaves $1,023,830 5 Scott Petersen Michael Julius $993,383 6. Leon McKean $4,089,550 19. Cheryl Lipp $818,859 7. Leon Baker $3,707,458 20. Charles Stevenson $793,892 8. John Spiker $3,518,919 21. Team Mike Lipinski $751,870 9. Jennifer Bender 22. 10. Whittney Curran 11. Monica Barton $3,300,363 23. 12. Maureen Miller 13. Austyn Shuman $3,287,805 24. 14. Terry Anderson 15. Vicki Leavitt $3,047,713 25. Anne Erickson $700,954 16. Jamie Nettles $2,523,463 26. Tina Ellis $629,318 Alice Thomas $531,665 $2,479,171 27. Craig Ballhagen $464,111 Teresa Thomas $414,706 $2,422,649 28. Brenda Heller $333,600 $2,359,855 29. Nichole Thueson $248,000 $1,806,820 30. Garrit McGuire $239,400 31. Carolyn Summerton $223,706 $1,752,185 32. $1,611,389 33. $1,598,706 34. TOTAL $65,732,851

* NOTE: LENDSURE IS AN APPROVED BROKER SOURCE WITH ACADEMY