RESIDENTIAL FUNDING MORTGAGE SECURITIES I INC
424B5, 1998-10-06
ASSET-BACKED SECURITIES
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                RESIDENTIAL FUNDING MORTGAGE SECURITIES I, INC.
                                    Company

                        RESIDENTIAL FUNDING CORPORATION
                                Master Servicer

                       Mortgage Pass-Through Certificates
                                Series 1998-S20


                       Supplement dated October 5, 1998
                                      to
                Prospectus Supplement dated September 24, 1998
                                       and
                        Prospectus dated July 23, 1998


Capitalized terms used herein and not otherwise defined herein have the meanings
assigned in the Prospectus  Supplement dated September 24, 1998 (the "Prospectus
Supplement").


      The  initial  Fraud Loss Amount in the first  paragraph  under the caption
entitled  "Summary--Allocation  of  Losses;  Subordination"  on page  S-9 of the
Prospectus  Supplement and in the eleventh  paragraph under the caption entitled
"Description of the  Certificates--Allocation of Losses;  Subordination" on page
S-41 of the  Prospectus  Supplement  shall be  replaced  by an  amount  equal to
$10,169,379.

THIS SUPPLEMENT MUST BE DELIVERED TOGETHER WITH THE PROSPECTUS
AND PROSPECTUS SUPPLEMENT REFERRED TO ABOVE, AND SHOULD BE READ
IN CONJUNCTION THEREWITH.

UNTIL  JANUARY  4, 1999,  ALL  DEALERS  EFFECTING  TRANSACTIONS  IN THE  OFFERED
CERTIFICATES, WHETHER OR NOT PARTICIPATING IN THIS DISTRIBUTION, MAY BE REQUIRED
TO  DELIVER  A  PROSPECTUS   (INCLUDING  THE  PROSPECTUS   SUPPLEMENT  AND  THIS
SUPPLEMENT).  THIS  DELIVERY  REQUIREMENT  IS IN ADDITION TO THE  OBLIGATION  OF
DEALERS TO DELIVER A PROSPECTUS  (INCLUDING THE  PROSPECTUS  SUPPLEMENT AND THIS
SUPPLEMENT)  WHEN  ACTING  AS  UNDERWRITERS  AND WITH  RESPECT  TO THEIR  UNSOLD
ALLOTMENTS OR SUBSCRIPTIONS.






Salomon Smith Barney          Lehman Brothers




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