Mortgage: Rates and APRs

Fixed

Term	Rate (Conforming)	APR	Rate (Non-Conforming)	APR
15 Year	6.125%	6.144%	6.625%	6.645%
20 Year	6.500%	6.512%	7.000%	7.012%
30 Year	6.500%	6.512%	7.000%	7.012%

APRs are based on $100,000 loan amount and 20% down payment. Rates are subject to change without notice. Please ask for details. Lock in Fee of $500.00 is to be collected at application if customer desires to lock in rate. Biweekly loans must be set up on auto-pay (no construction or escrow funds). Minimum down payment on construction loans - 10% (as of 9/28/06). Construction loans use conforming rate. PMI required on all new construction loans with less than 20% into project. Loans over the conforming limits for qualified applicants are done at 0.125% over conforming rates using the following: $359,650 (1 fam), $460,400 (2 fam), $556,500 (3 fam), $691,600 (4 fam). Must be owner-occupied for conforming rate. All APRs and Rates are accurate as of June 30, 2008 and are subject to change without notice.

No Closing Costs Mortgages

No Closing Costs Mortgages are offered at 0.50% over the conforming rates as listed above. Costs must be repaid if loan is terminated within first 4 years. Loans must be set up on autopay from a LS checking account. If loan does not meet guidelines for sale as a conforming loan, an additional 0.50% is added to the rate for nonconforming.

Rural Development Guaranteed Loan

30 Year (only) Rural Development Guaranteed Loans are offered at 0.50% over the 90 day Fannie Mae Rate. 100% financing - 2% guarantee fee. Restrictions apply.

80/10/10

For purchase of 1-4 family owner-occupied mortgages only. First mortgage LTV maximum 80% of purchase price or appraised value, whichever is less, using regular mortgage products and rates. Maximum term 30 years. Second mortgage 10% of purchase price or appraised value, whichever is less, using fixed rate home equity rates (see consumer loan rate sheet). Maximum term on second mortgage 15 years. No PMI required.

5/1 Adjustable Rate Mortgage (ARM)

Term	Rate	APR
30 Year	5.750%	5.219%

Rate is fixed for first 5 years, then adjusts annually thereafter based on weekly average yield on US Treasury securities to a constant of one year as made available by the Federal Reserve Board. 2% interest rate cap at each interest rate adjustment period. Life of loan cap +/-6%, Floor 4.5%, Minimum down payment required for purchases is 5%. PMI insurance required if LTV>80%. Title insurance required. Escrow required on LTV >80%. Margin used 2.25%. Rate is subject to increase over the life of the loan. Refer to product disclosure for additional information. All APRs and Rates are accurate as of June 30, 2008 and are subject to change without notice.

7/1 Adjustable Rate Mortgage (ARM)

Term	Rate	APR
30 Year	5.875%	5.514%

Rate is fixed for first 7 years, then adjusts annually thereafter based on weekly average yield on US Treasury securities to a constant of one year as made available by the Federal Reserve Board. After the 7th year converts to annually thereafter. 5% interest rate cap at first interest rate adjustment and 2% thereafter. Life of loan cap +/-6%, Floor 4.5%, Minimum down payment required for purchases is 5%. PMI insurance required if LTV >80%. Title insurance required. Escrow required on LTV >80%. Margin used 2.50%. Rate is subject to increase over the life of the loan. Refer to product disclosure for additional information. All APRs and Rates are accurate as of June 30, 2008 and are subject to change without notice.

7/23 Two-Step

Term	Rate	APR
30 Year	6.000%	6.375%

Rate is fixed for first 7 years, then is adjusted one time to a rate based on weekly average yield on US Treasury securities adjusted to a constant maturity of ten years as made available by the Federal Reserve Board. Given rate is then fixed for remainder of term. Life of loan cap +/-5.00%, Floor 4.5%, Minimum down payment required for purchases is 5%. PMI insurance required if LTV >80%. Title insurance required. Escrow required on LTV >80%. Margin used 2.50%. Refer to product disclosure for additional information. All APRs and Rates are accurate as of June 30, 2008 and are subject to change without notice.

One Year Adjustable/Convertible

Term	Rate	APR
30 Year	5.500%	4.941%

Rate adjusts annually based on weekly average yield on US Treasury securities adjusted to a constant maturity of one year as made available by the Federal Reserve Board. 2% interest cap at each interest rate adjustment period. Life of loan Cap +/-6%, Floor 4.50%, Margin 2.25%. The conversion option is available between the 12th and 60th months. Fixed rate on conversion is based on Fannie Mae 60 day required net yield as of 45 days prior to the effective date of the conversion plus 5/8 of 1 percentage point or .625% rounded to the nearest 1/8 of 1 percentage point or .0125%. If this index is not available, a comparable index will be used. Rate is subject to increase over the life of the loan. All APRs and Rates are accurate as of June 30, 2008 and are subject to change without notice.

SONYMA

Term	Rate	APR	Points	Rate with CCAL	APR	Points
30 Year	5.750%	5.750%	1	6.250%	6.250%	1
40 Year	5.875%	5.875%	1	6.375%	6.375%	1

APR is based on $100,000 loan amount, 20% down payment and $100 Application Fee. APRs and Rates are accurate as of June 30, 2008 and are subject to change without notice. Minimum down payment 3%. If 3% down payment, then must have 2 months Principal Interest Tax Insurance (PITI) reserve and 3% of own funds. Closing costs assisted loans (CCAL) available. Please ask for details.

Investment Property - Non Owner Occupied

Term	Rate	APR
20 Year (1 Year Adjustable)	Prime* + 1.5%	6.500%
15 Year	Rates based on type of property and customer relationship. Check with Management on rate offered.

Down payment - 20% CASH (minimum) for purchases. For refinance - Maximum LTV of 80% no cash out (after paying off existing liens and closing costs, the customer receives more than $1000.00 in cash.) Floor 4.5%. Ceiling 15%. All APRs and Rates are accurate as of May 27, 2008 and are subject to change without notice.

*Prime rate is 5.00%, effective April 30, 2008.

Modifications (fixed rate to fixed rate only)

Fixed rate modification to lower rate based on ORIGINAL loan term. Rate is set at 25 basis points above the current 30 year rate. (Rate is 0.25% above conforming rate for applicable term.) Fees for modifications are as follows:

Fee is $750 for loans up to and including $100,000 balance.

Fee is 1.0% of balance for loans in excess of $100,000.