CONGRESSMAN JAMES WALSH JOINS FREDDIE MAC, HSBC BANK USA, N.A, HSBC MORTGAGE CORPORATION (USA), HOME HEADQUARTERS AND THE GREATER SYRACUSE ASSOCIATION OF REALTORS® TO EXPAND AFFORDABLE HOMEOWNERSHIP OPPORTUNITY IN SYRACUSE

Syracuse, NY – Rep. James T. Walsh (R-N.Y.) joined Freddie Mac (NYSE:FRE), HSBC Bank USA, N.A., HSBC Mortgage Corporation (USA), and Home HeadQuarters today to renew their commitment to SHOP Syracuse, a successful multi-pronged housing initiative that has brought more than $4.6 million of new mortgage money to the city and helped nearly 100 families become first-time home owners.

SHOP Syracuse is a public-private-non-profit collaborative effort launched two years ago that uses financial counseling, affordable, low-down payment mortgage products and grass-roots outreach to enable more Syracuse families to achieve the dream of home ownership. Today's announcement reinforces the commitment of the participants and adds a new counseling tool – Freddie Mac's award winning CreditSmart® curriculum, to the initiative.

"I congratulate and thank Freddie Mac and all of the partners for their investment in SHOP Syracuse," said Congressman Jim Walsh. "The program's success is all around us, seen in neighborhoods all around Syracuse. Freddie Mac's participation and involvement in offering affordable homeownership opportunities to city families is an important component of the overall effort to stabilize, energize, and revitalize our neighborhoods. CreditSmart will be another tool in our arsenal."

By adding CreditSmart, a classroom based financial literacy program, to the SHOP homeownership initiative, more families will have the tools for successful homeownership. Along with lack of funds for a down payment, poor credit is a significant obstacle to homeownership. CreditSmart helps potential homebuyers understand the role that credit plays in obtaining a mortgage. CreditSmart will help more families prepare for homeownership and be able to take advantage of the low down payment and flexible mortgage credit products offered by HSBC Bank U.S.A., NA and HSBC Mortgage Corporation (USA).

"Freddie Mac is excited about our continuing partnership with Home HeadQuarters and HSBC to help more families become homeowners," said Barbara Fox, director of Government Relations at Freddie Mac. "Representative Walsh's leadership and commitment to Syracuse has emboldened all of us to increase our efforts and do all that we can to help more families break down barriers and realize their housing dreams."

The on-going SHOP initiative is expected to add hundreds of new Syracuse homeowners through its unique blend of cutting edge homeownership programs and services. SHOP includes flexible mortgage financing that lets borrowers put down as little as $500 from their own funds for a down payment when using a number of Freddie Mac mortgage products, including its Home PossibleSM suite of loans. In addition, HSBC Bank USA, N.A., and HSBC Mortgage Corporation (USA) offer their CommunityWorks mortgage, another low-down payment, flexible credit product, within the SHOP initiative.

The availability of closing cost assistance from HSBC is a key component of SHOP Syracuse. Moreover, under the initiative, a special home equity protection product is available that reduces the risk of families losing home equity as a result of community home price changes.

"As an organization committed to making homeownership affordable in Central New York and
the Syracuse Region, HSBC Bank USA, N.A.& HSBC Mortgage Corporation (USA) are
pleased to continue their support of this valuable program which we feel meets the need of so many of our neighbors," said Kenneth Bell, Executive Vice President, and Regional President of the HSBC's Central & Rochester Region.

Reaching out to Syracuse Families

Home Headquarters, a private, not-for-profit housing and revitalization organization has lead responsibility for implementing the SHOP. Home HeadQuarters is a "one-stop" shop committed to improving the quality of housing and neighborhoods in and around Syracuse, mainly by providing sustainable homeownership opportunities.

Local Realtors are vital to the success of the SHOP Syracuse initiative.

"Homeownership is a symbol of prosperity that is achieved by more and more Americans each year in part due to programs brought to us by Freddie Mac, Congressman Walsh, Home HeadQuarters and HSBC. REALTORS continue to work with housing finance innovators, consumer education organizations and government officials to advance affordable homeownership in our community, said Lynnore Fetyko, chief executive officer, Greater Syracuse Association of REALTORS."

Syracuse residents who want to learn more about SHOP should call Home HeadQuarters at 315-474-1939 or HSBC at 315 424 2011.

Since 2000, Freddie Mac has invested more than $1.8 billion in mortgages for Syracuse residents, helping more than 20,000 Syracuse area families to become homeowners.

Freddie Mac is a stockholder-owned corporation chartered by Congress in 1970 to create a continuous flow of funds to mortgage lenders. By supplying lenders with the money to make mortgages and packaging the mortgages into marketable securities, Freddie Mac sustains a stable mortgage credit system and reduces the mortgage rates paid by homebuyers. Over the years, Freddie Mac has opened the doors for one in six homebuyers in America and two million renters.

HSBC Mortgage Corporation (USA), a wholly owned subsidiary of HSBC Bank USA N.A., is a member of the HSBC Group plc, which is one of the largest banking and financial service organizations in the world. It has more than 5,000 brokers and correspondents funding loans in the continental U.S. The organization is the 20th largest originator in the nation, servicing over 450,000 first and second mortgages worth approximately $70 billion. It also conducts brick and mortar retail lending in 8 states and telephone sales in 48 states and the District of Columbia. HSBC Mortgage Corporation (USA), an equal housing lender, is a Fannie Mae/Freddie Mac fixed rate and hybrid ARM lender that also offers a wide range of Alt A products. It is also one of six national members of the Freddie Mac "Hall of Fame" and has received numerous awards from Freddie Mac and Fannie Mae for excellence in servicing and investor reporting.

Home HeadQuarters, a private, not-for-profit housing and neighborhood revitalization organization, has lead responsibility for implementing the SHOP. Home HeadQuarters is a "one-stop" shop committed to improving the quality of housing and neighborhoods in and around Syracuse, mainly by providing sustainable homeownership opportunities.

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