RESIDENTIAL ASSET SECURITIES CORPORATION
Company
RESIDENTIAL FUNDING CORPORATION
Master Servicer
Mortgage Pass-Through Certificates
Series 1997-KS3
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Supplement dated August 26, 1997
to
Prospectus Supplement dated August 22, 1997
and
Prospectus dated August 22, 1997
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The calculation of the "Maximum Class A-I-1 Rate" appearing on pages
S-6 and S-47 of the Prospectus Supplement should be disregarded and replaced
with the following:
a per annum rate (the "Maximum Class A-I-1 Rate") equal to (x)(1)
one-twelfth of the aggregate Stated Principal Balance of the Group I
Loans multiplied by the weighted average of the Net Mortgage Rates on
such Mortgage Loans as of the Due Date immediately preceding the
related Due Period, divided by (2) the Certificate Principal Balance
of the Group I Certificates multiplied by (y) 360 divided by the
actual number of days in the related Interest Accrual Period.
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THIS SUPPLEMENT MUST BE DELIVERED TOGETHER WITH THE PROSPECTUS AND
PROSPECTUS SUPPLEMENT REFERRED TO ABOVE, AND SHOULD BE READ IN CONJUNCTION
THEREWITH.
UNTIL NINETY DAYS AFTER THE DATE OF THIS SUPPLEMENT, 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 WHEN ACTING AS
UNDERWRITERS AND WITH RESPECT TO THEIR UNSOLD ALLOTMENTS OR SUBSCRIPTIONS.
Prudential Securities Incorporated Residential Funding Securities Corporation
The date of this Supplement is August 26, 1997.
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