FREELAND LENDING does Not have a hard limit of how many loans someone may have: FREELAND LENDING will fund up to 100% of the Purchase Price

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1 Asset Based Lending FREELAND LENDING does Not require: o W-2's o Bank Statements o Pay Stubs o Tax returns o Job references o Personal financial statements FREELAND LENDING does Not have a hard limit of how many loans someone may have: o Fannie Mae will only do 10 loans max o Freddie Mac will only do 4 loans max Down Payments FREELAND LENDING will fund up to 100% of the Purchase Price o You decide how much you want to put down on the purchase price o You can put down as much or as little as you wish Even zero down payments o Down Payments determine profit splits Earnest Money Deposits Profit Splits Borrowers are required to pay for their own earnest money deposits FREELAND LENDING does not issue Earnest Money Deposits Depends on how much the Borrower puts down o 0% down 70/30 profit splits o 10% down 80/20 profit splits o 20% down 90/10 profit splits Page 1 of 5

2 Profit splits are determined After All Costs o Including Appraisal FREELAND LENDING approval team Rehab Costs Monthly interest only payments Closing Costs Property Taxes Realtor Commissions Other Applicable Costs Up Front Out Of Pocket Loan Expenses Borrower must pay for their own appraisal o Approx. $375 Borrower must pay for FREELAND LENDING Approval Team walk thru / pictures and Videos o Approx. $200 Ownership Credit Disclosure The Buyer (student) is the owner of the property: buyer and borrowers FREELAND LENDING is the lender and will hold a mortgage against the property that is assigned to the funding partner Property is titled to the Investor's Company (Corp or LLC) with a personal and corporate guarantee FREELAND LENDING pulls credit and background on every borrower FREELAND LENDING uses CREDIT as an indicator of CHARACTER Credit tells FREELAND LENDING if a borrower had a LIFE EVENT (such as illness, divorce or death) which created bad credit situation OR if a BORROWER is just HABITUALY VOLUNTARILY not paying their bills or paying their bills late Credit and credit scores are secondary to the asset and the "deal" FREELAND LENDING reserves the right to not lend to anyone at any time for any reason Page 2 of 5

3 Lien Position FREELAND LENDING requires 1st lien position Rate o In most cases FREELAND LENDING will not allow a 2nd / 3rd / junior lien position 40k Flips and Freedom Funding Borrowers o 6 pts origination fees o Plus additional Closing Costs o Are wrapped into the loan amount o EXAMPLE: 100,000 purchase 30,000 rehab 10,000 closing costs and points $140,000 = total loan amount All Closing Costs Wrapped into Loan Amount Only Costs NOT wrapped into Loan Amount if the Appraisal and FREELAND LENDING Approval Team Interest Only Monthly Payments 40k Flips and Freedom Funding Borrowers are required to make monthly 16% interest only payments due 1st of each month Typical Loan Time Frame 6 months 6 month extension available o 6 month extension is available upon application and 3pt extension fee paid Standard Lending Guidelines Prohibit FREELAND LENDING from making these loans o Recent Felony Conviction o Ongoing Felony Prosecution o Ongoing Divorce Proceedings o Ongoing Bankruptcy Proceedings o Not currently lending in Alaska o Lending in Hawaii but only thru an affiliate lender o No Foreign National o US Citizens Only Page 3 of 5

4 Funding Funding for real estate loans from FREELAND LENDING come from "THE PRIVATE EQUITY FUNDS" Freeland Fund and Freeland Accelerated Fund and also "ONE OFF ON DEMAND" investors who invest in loans that have been originated by FREELAND LENDING Phases of Underwriting Phase 1: Deal Genie Inquiry o Potential borrower inquires through the website as to whether the transaction they are contemplating can be financed by FREELAND LENDING. Complete the Deal Genie located on our website ( Phase 2: Loan App Request o Underwriting Pre-Approves the loan and requests a formal application from the Certified Borrower. Funding the transaction is then anticipated to be formally approved. Phase 3: Application o Loan Application is submitted, property is under an accepted contract. Approval is expected. Phase 4: Closing o The Application is approved. The Approval Team works with the Borrower, Seller and related parties to complete (or "close") the transaction as quickly as possible. Phase 5: Servicing o The Sale or refinance is closed, loan is originated. We now consider this an "Open Loan," which is being serviced by Freeland Servicing. Phase 6: Payoff / Closing o The investment has been sold or refinanced and the borrower is paying off their loan / investment. Phase 7: Affiliate Lender Referral o For one (or more) of many reasons, the Loan Application has been declined. The file is then referred to one of our select affiliate lenders for immediate consideration. Phase 8: Terminated Transaction o For one (or more) of many reasons, the transaction was not completed; the file is now closed. Phase 1 Page 4 of 5

5 Proof of Funds Letters Each "$40k Flips Member" and "Freedom Funding Member" gets a $500,000 Verifiable Proof of Funds Letter FREELAND LENDING will verify the $500,000 Proof of Funds to any seller, realtor or bank who is interested in knowing if you are REALLY PRE-APPROVED Page 5 of 5