LOAN CLOSING PACKAGE HARRY JAMES POTTER

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1 ***IMPORTANT*** DOCUMENT FORMATTING This package MAY contain both legal & letter size documents. Each document must be printed on the appropriate sized paper per the recording requirements for the property state. Use of inappropriate paper size or mechanical reduction or enlargement of margins or font sizes is unacceptable. Loan Number: Borrower: LOAN CLOSING PACKAGE HARRY JAMES POTTER File Number: Date: FL AUGUST 15, 2017 JCOVER (10/16)

2 CLOSING INSTRUCTIONS SPECIFIC Lender: DIANES COMPANY 1 MAIN STREET, MCKINNEY, TX Closer: HERMIONE GRANGER Funder: HERMIONE GRANGER AUGUST 15, :21:29 Closing/Settlement Agent: HOGWARTS TITLE COMPANY 9 PLATFORM EXPRESS LONDON, FLORIDA MINERVA MCGONAGALL MMCGONAGALL@HOGWARTS.COM Loan Number: Case Number: MIN: Borrower(s) and Property: HARRY JAMES POTTER, A SINGLE PERSON Escrow Number: Title Number: PRIVET DRIVE, SURREY, FLORIDA County: LITTLE WHINGING Closing/Signing Date: AUGUST 21, 2017 Rescission Expiration Date: Disbursement/Funding Date: AUGUST 21, 2017 Lock Expiration Date: SEPTEMBER 28, 2017 Maturity Date: SEPTEMBER 01, 2032 Term of Loan in Month(s): First Payment Date: Interest Rate: Loan-to-Value Ratio: Loan Type: Loan Program: Loan Purpose: Lien Position: Occupancy: CONVENTIONAL FIXED PURCHASE FIRST LIEN OWNER-OCCUPIED 180 Loan Amount: $ 166, OCTOBER 01, 2017 Purchase Price: $ 187, % Appr/Est Value: $ 187, % P&I Payment: $ 1, DO NOT DISBURSE THIS TRANSACTION UNTIL AUTHORIZED BY LENDER'S FUNDER. SHOULD THIS LOAN FAIL TO CLOSE AND FUND ON THE DATES INDICATED ABOVE, FUNDS MUST BE RETURNED IMMEDIATELY - CONTACT LENDER FOR FURTHER INSTRUCTIONS. RETURN CLOSED LOAN PACKAGE - Original executed closed loan documents and Closing Disclosure/Settlement Statement must be returned via overnight delivery with tracking number no later than 24 hours after DISBURSEMENT to: DIANES COMPANY 1 MAIN STREET MCKINNEY, TX RETURN FINAL/TRAILING DOCUMENTS - Recorded documents, including original executed Security Instrument, and Loan Policy of Title Insurance must be returned via overnight delivery with tracking number to: DIANES COMPANY 1 MAIN STREET MCKINNEY, TX ATTN: CLOSING/SETTLEMENT AGENT - DO NOT DEVIATE FROM THESE WRITTEN INSTRUCTIONS. YOUR AGREEMENT TO THE TERMS HEREIN WILL BE EVIDENCED BY YOUR ACCEPTANCE AND DISBURSEMENT OF LOAN PROCEEDS. FAILURE TO COMPLY WITH INSTRUCTIONS OR BE RESPONSIVE WITH FOLLOW-UP MAY RESULT IN COSTS, CLAIMS AND/OR TERMINATION OF RESPONSIBILITY OF CLOSING LOANS FOR LENDER. JCLOSINGINSTR1 (4/16) Page 1

3 CLOSING INSTRUCTIONS SPECIFIC CLOSING DISCLOSURE REQUIREMENTS AUGUST 15, :21:29 This loan is subject to TILA-RESPA INTEGRATED DISCLOSURE requirements. The Closing Disclosure must be delivered and received by all Borrower(s) no later than 3 business days prior to Closing Date on Page 1. Note: Loan Purpose, Product and Terminology used on the Closing Disclosure may differ from the Closing Instructions. Closing Disclosure follows CFPB requirements and Closing Instructions uses standard industry terminology for ease of reference. X CLOSING DISCLOSURE: The Borrower's Closing Disclosure will be prepared by LENDER and is incorporated by reference as part of these Closing Instructions. Settlement Agent's cooperation is needed to complete this form. The TILA figures and totals may change once all fees and information have been finalized by Lender and Settlement Agent. If required by Lender, Settlement Agent may be responsible for preparing the Seller's Closing Disclosure. X PAGE 1, 4 & 5: Lender will provide the amounts, figures, information, and selections for the following sections:. Closing, Transaction, Loan Information. Loan Disclosures. Loan Calculations. Loan Terms. Adjustable Payment Table. Other Disclosures. Projected Payments. Adjustable Interest Rate Table. Lender/Broker Contact Info X PAGE 2 - Lender's Fees: Lender will provide the amounts to be collected at closing or paid outside of closing related to Loan Costs payable to Lender, Broker and/or Lender's Third Party Service Providers for the following sections:. Loan Costs - Section A, B & C. Other Costs - Section F & G. Lender Credits - Section J X PAGE 2 - Title/Settlement Fees: Settlement Agent must provide the amounts to be collected at closing or paid outside of closing related to Title or Settlement Costs payable to Settlement Agent, Title Company and/or Settlement Agent/Title Company's Third Party Service Providers for the following sections:. Loan Costs - Section B & C. Other Costs - Section E & H X PAGE 2 & 3 - Other Transaction Fees: Settlement Agent must provide the amounts to be collected at closing or paid outside of closing related to all other fees, including but not limited to, Real Estate Agent commissions and fees, HOA dues and fees, Contract or Seller fees, Pro-ration of Taxes, HOA dues or other assessments, Payoffs for any existing liens and debts related to property or transaction:. Loan Costs - Section B & C. Other Costs - Section E & H. Summaries of Transactions - Section K, L, M & N X PAGE 5 - Contact Information: Settlement Agent must provide all of the contact information, including any license id information, for the following:. Real Estate Broker - Borrower. Real Estate Broker - Seller. Settlement Agent X APPROVAL OF FINAL CLOSING DISCLOSURE: Lender and Settlement Agent must review and approve the final Closing Disclosure. This approval does not negate Settlement Agent's responsibility to follow the Closing Instructions or constitute Lender's written approval to deviate from Closing Instructions. Upon approval, no further changes are allowed and Lender will provide Borrower(s) with final Closing Disclosure unless otherwise required by Lender. Settlement Agent will be responsible for delivering final Closing Disclosure to Seller. A final and complete Closing Disclosure for Borrower and Seller, if applicable, must be returned in the Closed Loan Package. JCLOSINGINSTR2CD (10/15) Page 2

4 CLOSING INSTRUCTIONS SPECIFIC TITLE INSURANCE REQUIREMENTS INSURED CLOSING LETTER: Insured Closing Letter, Closing Protection Letter or the state-specific equivalent is required prior to closing and must be specific to the transaction and Lender referenced herein and issued under the same Title Insurer that issued the Title Commitment to Lender. ALTA - Closing Protection Letter - Single Transaction. New York - Agent Authorization Letter as to title insurer's liability as Principal for the acts of its Agent is required. Texas - Insured Closing Service (T-50) LOAN POLICY TYPE: Loan Policy, at a minimum, must be written on one of the following forms American Land Title Association (ALTA) standard form with Extended Coverage or the state-specific equivalent [Texas - Texas Land Title Association (TLTA) standard form]. X Short Form Residential Loan Policy is allowed, if it provides coverage equivalent to the 2006 ALTA standard form with Extended Coverage and does not materially impair protection to Lender. In states in which standard ALTA forms of coverage are, by law or regulation, not used, the state-promulgated standard or short form, which provides same coverage as the equivalent 2006 ALTA policy are acceptable, provided the form does not materially impair protection to Lender. IOWA: Title Guaranty Certificate with Attorney's Opinion from Iowa Attorney may be issued in place of ALTA Loan Policy. Must conform to standards of Iowa Title Guaranty Division of Iowa Finance Authority. Opinion must be returned in closed loan package and original certificate to follow upon issuance. Loan Policy must be issued:. Within 30 days after closing, unless otherwise required by state statute or regulation From same Title Insurer specified in Title Commitment and Insured Closing Letter AUGUST 15, :21:29 LOAN POLICY SCHEDULE A: Effective Date of Coverage:. Loan Closing Date - if written on 2006 ALTA policy or the state-specific equivalent that provides protection from time between loan closing and recordation of security instrument, or. Later of the Date of Final Disbursement of Loan Proceeds or Date of Security Instrument Recordation - if written on forms that do not provide gap coverage included in 2006 ALTA policy. Gap Coverage is required - if available between the Effective Date of Title Commitment and recording of interest of Insured Amount of Coverage: Insured: $ 166, DIANES COMPANY ITS SUCCESSORS AND/OR ASSIGNS WHO ARE THE LAWFUL OWNER OR OWNERS OF THE EVIDENCE OF DEBT IDENTIFIED HEREIN AND ANY SUBSEQUENT OWNER OR OWNERS THEREOF Estate Type: FEE SIMPLE JCLOSINGINSTR3 (10/15) Page 3

5 CLOSING INSTRUCTIONS SPECIFIC TITLE INSURANCE REQUIREMENTS LOAN POLICY - ADDITIONAL REQUIREMENTS AND TITLE COMMITMENT CORRECTIONS See "Title Insurance" section on General Closing Instructions for additional title requirements. Update effective date; Schedule A to reflect correct proposed insured, borrower(s) and amount.. Any and all liens, assessments, judgments or encumbrances must be satisfied and released. No exceptions or deletions to the coverage provided by endorsements issued with Loan Policy. REMOVE/SATISFY ALL SCHEDULE B-I REQUIREMENTS. AUGUST 15, :21:29 References are to ALTA 2006 form of endorsement or TLTA form of endorsement, but state forms may be used in states in which standard ALTA forms of coverage are, by law or regulation, not used, provided that those endorsements do not materially impair protection to Lender. As an alternative to endorsements, the requisite protections may be incorporated into the Loan Policy. Endorsement numbers are provided only as a reference, Settlement Agent and/or Title Company is responsible for issuing the appropriate endorsements and required coverage. LOAN POLICY ENDORSEMENTS: All endorsements must be issued in their original form with no alterations, deletions, exceptions or modifications to the coverage. The unaltered Title Endorsement Forms listed below (ALTA form or equivalent state form that provides the required coverage) must be issued with Loan Policy unless otherwise covered in Policy: Adjustable Rate Mortgage (ALTA 6-06/TLTA T-33) Balloon (TLTA T-39) only if conditional right to refinance or modify is included Condominium (ALTA 4-06/TLTA T-28) X Environmental Protection Lien (ALTA / TLTA T-36) Foundation (CLTA 102.5) Leasehold (ALTA /TLTA T-5) Lien Free (CLTA 101 & 101.6) Location (ALTA 22-06/CLTA 116) Manufactured Housing (ALTA /TLTA T-31 & T-31.1) Negative Amortization ARM (ALTA /TLTA T-33.1) - Insured amount must be % of loan amount X Planned Unit Development (ALTA 5-06/TLTA T-17) X Restrictions, Encroachments & Minerals or Comprehensive (ALTA 9-06/TLTA T-19) Texas Tax Amendment/Deletion and Not Yet Due and Payable (Texas - P-20 Rule & TLTA T-30) Texas Equity Loan Mortgage (TLTA T-42 with paragraph 2(f) & T-42.1) Texas Minerals and Surface Damage Endorsement (TLTA T-19.2 or T-19.3) X NAVIGATIONAL SERVITUDE ENDORSEMENT, IF APPLICABLE, DELETION OF ARBITRATION DELETE ARBITRATION PROVISION COLORADO: Development of Minerals (CLTA ) only if mining or mineral exceptions on title TEXAS: Schedule B Item 2 must be amended to read "Shortages in area" (P-2) Schedule B Item 5 must reflect current year, tax amendment/deletion and not yet due and payable (P-20). Express Insurance Coverage for any exception for possible defect or claim that the insured lien is invalid because the loan amount includes funds advanced by Lender for closing costs and/or reserves or impounds for taxes and insurance (P-39) ATTENTION: Refer to Closing/Funding Conditions in Specific Closing Instructions, Closing Instruction Addenda and Title Insurance section in General Closing Instructions for additional requirements in regard to issuance of the Loan Policy, Endorsements and any required Title Commitment amendments or updates. JCLOSINGINSTR3 (10/15) Page 4

6 CLOSING INSTRUCTIONS SPECIFIC CONDITIONS AND REQUIREMENTS AUGUST 15, :21:29 Loan Closing and Disbursement are subject to the following conditions and requirements: X SIGNING DATE: Documents must not be signed by any party to transaction earlier than AUGUST 21, X DOCUMENTS/SIGNATURES: All documents must be dated and notarized, as required, and executed by Borrower(s) exactly as name appears under signature lines (with usual & customary signature as reflected on identification). X PAYOFF OF OUTSTANDING DEBTS TO: (any amounts reflected are estimates only) CLEAR ALL EXISTING LIENS/JUDGEMENTS. X 1003: Final typed 1003 Loan Application and addenda, if applicable, must be signed and dated by Borrower(s) and returned in closed loan package. (Note: 1003 may be delivered in separate or package from lender.) X PURCHASE/SALES CONTRACT: Purchase/Sales Contract and addenda, if applicable, must reflect correct sales price and loan terms reflected herein. Any and all corrections must be initialed by all parties. Earnest money in the amount of $ 1, must be receipted. Certified copy to be returned in closed loan package. X LOSS PAYEE CLAUSE: Each property insurance policy must include the following payee clause - U.S. BANK N.A. C/O U.S. BANK HOME MORTGAGE ITS SUCCESSORS AND/OR ASSIGNS POST OFFICE BOX 7298 SPRINGFIELD, OH X SUBSEQUENT TRANSACTIONS: No "back to back" closings allowed without express written authorization from Lender. Settlement Agent must notify Lender's Closer immediately if Settlement Agent has knowledge of any subsequent or concurrent transactions or transfers of title. X CLOSING INSTRUCTIONS: General Closing Instructions are incorporated in their entirety by reference. Any Closing Instruction Addendum listed below or on enclosed Loan Documents List is incorporated into and shall be deemed to amend and supplement these Closing Instructions. X CLOSING CONDITIONS PROGRAM MARYLAND SETTLEMENT FUNDING LEASEHOLD NEW YORK CEMA LENDER SPECIFIC MANUFACTURED HOME TEXAS HOME EQUITY X DISBURSEMENT: All of the conditions and requirements contained in the Closing Instructions must be satisfied at disbursement of loan proceeds. Do not disburse until you have contacted Lender's Funder, Funding Authorization Number may be required. X NOTICE TO SETTLEMENT AGENT: This loan transaction must be closed and disbursed according to these written Closing Instructions; if information is obtained which is contrary to these instructions, do NOT proceed with closing until Lender's Closer has been contacted. Settlement Agent shall be responsible for any additional costs/penalties incurred and any losses sustained by Lender in secondary market associated with failure to (i) close and disburse this transaction in accordance with the Closing Instructions, (ii) provide final loan policy of title insurance within 30 days of disbursing this transaction or (iii) forward original closed loan package, including final executed Closing Disclosure/Settlement, within 24 hours after DISBURSEMENT to the RETURN CLOSED LOAN PACKAGE address indicated at the bottom of Page 1 of these Specific Closing Instructions. JCLOSINGINSTR4 (09/16) Page 5

7 CLOSING CONDITIONS ADDENDUM This CLOSING CONDITIONS ADDENDUM is incorporated into and shall be deemed to amend and supplement the Specific and General Closing Instructions. Loan Closing and Disbursement are subject to the following conditions and requirements: 1. CLOSING AGENT TO SECURE/PREPARE WARRANTY DEED. 2. FORM(S) 4506(T) TO BE COMPLETED, INCLUDING BORROWER'S PHONE NUMBER AND EXECUTED AT CLOSING. 3. DOCUMENT PREPARATION FEE OF $ TO SCHWARTZ & ASSOCIATES MUST BE REMITTED IN SEPARATE CHECK AND SENT DIRECTLY TO SCHWARTZ & ASSOCIATES. 4. SETTLEMENT STATEMENTS/DISBURSEMENT SHEETS - IF SETTLEMENT AGENT UTILIZES AND PREPARES ANY ADDITIONAL FORMS (I.E. - ALTA MODEL SETTLEMENT STATEMENT OR TLTA TEXAS DISCLOSURE), INFORMATION MUST RECONCILE AND ALIGN WITH FINAL CLOSING DISCLOSURE AND BE PROVIDED TO LENDER IN CLOSED LOAN PACKAGE. 5. IF APPLICABLE, COPY OF EXECUTED ALTA SETTLEMENT STATEMENT USED TO SUPPLEMENT THE CLOSING DISCLOSURE MUST MATCH UP AND RECONCILE WITH THE CLOSING DISCLOSURE AND BE RETURNED TO LENDER IN CLOSED LOAN PACKAGE BUSINESS DAY WAITING PERIOD PRIOR TO CLOSING - CLOSING DISCLOSURE MUST HAVE BEEN RECEIVED BY BORROWER ON OR BEFORE 08/17/2017 IN ORDER TO CLOSE ON AUGUST 21, BORROWER'S FINAL CLOSING DISCLOSURE (CD) - TO BE EXECUTED AT CLOSING HAS BEEN PROVIDED BY LENDER IN THE CLOSING PACKAGE. DO NOT USE ANY PREVIOUSLY PREPARED CLOSING DISCLOSURE AND DO NOT USE OR PRESENT ANY CD PREPARED BY SETTLEMENT AGENT TO BORROWER. ONLY THE FINAL CD IN THIS CLOSING PACKAGE MAY BE EXECUTED BY BORROWER. DO NOT DEVIATE FROM THESE INSTRUCTIONS OR SETTLEMENT AGENT WILL BE FULLY LIABLE FOR ANY LOSSES SUSTAINED BY LENDER. 8. SELLER'S FINAL CLOSING DISCLOSURE (CD) - TO BE EXECUTED AT CLOSING MUST BE PROVIDED BY SETTLEMENT AGENT. A SELLER'S CD IS REQUIRED IN ALL TRANSACTIONS. 9. SUPPLEMENTAL SETTLEMENT STATEMENTS - ALTA SETTLEMENT STATEMENTS OR T-64 TEXAS DISCLOSURE OR OTHER FORMS DO NOT REPLACE THE REQUIRED CLOSING DISCLOSURE UNDER TRID. BOTH BORROWER AND SELLER CLOSING DISCLOSURES MUST BE EXECUTED AT CLOSING. BORROWER CD IS PROVIDED BY LENDER AND SELLER CD IS PROVIDED BY SETTLEMENT AGENT. 10. TAX RETURNS FOR 2015 AND 2016 MUST BE SIGNED AND DATED AT CLOSING. 11. BORROWER(S) CASH USED FOR CLOSING CANNOT EXCEED: $120, AUGUST 15, :21:29 JCLOSADD (10/15) Page 1

8 CLOSING INSTRUCTIONS SPECIFIC LOAN DOCUMENTS LIST The following closing documents for loan transaction described herein are provided by Lender to Settlement Agent. Additional documents, including 1003 loan application, may be sent separately. Documents must be executed by appropriate parties and notarized as applicable. Settlement Agent must record applicable documents in the property records. JCOVER COVER LETTER JCLOSINGINSTR1 CLOSING INSTRUCTIONS JCLOSINGINSTR2CD CLOSING DISCLOSURE REQUIREMENTS JCLOSINGINSTR3 TITLE INSURANCE REQUIREMENTS JCLOSINGINSTR4 CONDITIONS AND REQUIREMENTS JCLOSADD CLOSING CONDITIONS ADDENDUM JDOC CLOSING INSTRUCTIONS (Loan Documents List) JCLOSINGINSTRG1 GENERAL CLOSING INSTRUCTIONS CLOSINGDISCLOSURE CLOSING DISCLOSURE JSETTLEMENTADD SETTLEMENT STATEMENT ADDENDUM (Borrower) JSETTLEMENTADDSELL SETTLEMENT STATEMENT ADDENDUM (Seller) 1005NFL FNMA FLORIDA FIXED RATE NOTE FL FNMA FLORIDA MORTGAGE FL FL FL FL FL FL FL FL FL FL FL FL FL FL FL 1007R FNMA MULTISTATE PLANNED UNIT DEVELOPMENT RIDER 2995WAFL_0 ASSIGNMENT - ORIGINATOR TO INVESTOR1 1553C_0 NOTICE OF ASSIGNMENT - ORIGINATOR TO INVESTOR1 AMORT AMORTIZATION SCHEDULE 2976 NOTICE CONCERNING PRIVATE MORTGAGE INSURANCE (FIXED RATE) JNAMEAFF NAME & SIGNATURE AFFIDAVIT FOR BORROWER R INITIAL ESCROW ACCOUNT DISCLOSURE STATEMENT (Servicer) J1STPAYLTR FIRST PAYMENT LETTER AND TEMPORARY STATEMENTS JHHACCEPTANCE HOLD HARMLESS ACCEPTANCE 1050 BORROWER'S CERTIFICATION & AUTHORIZATION 4506T REQUEST FOR TRANSCRIPT OF TAX RETURN FOR BORROWER 1 W9 W9 FOR BORROWER 1 JFLOOD NOTICE OF FLOOD HAZARD & AVAILABILITY OF FEDERAL DISASTER RELIEF JDOC (09/16)

9 CLOSING INSTRUCTIONS SPECIFIC LOAN DOCUMENTS LIST The following closing documents for loan transaction described herein are provided by Lender to Settlement Agent. Additional documents, including 1003 loan application, may be sent separately. Documents must be executed by appropriate parties and notarized as applicable. Settlement Agent must record applicable documents in the property records. 1014FL COMPLIANCE AGREEMENT (FLORIDA) 1089 AUTHORIZATION TO RELEASE SOCIAL SECURITY NUMBER VERIFICATION 11032FL NOTICE TO PURCHASER - MORTGAGOR 1136 NOTICE REGARDING FURNISHING OF NEGATIVE INFORMATION 1554 FBI MORTGAGE FRAUD WARNING NOTICE 1851 OCCUPANCY AFFIDAVIT AND FINANCIAL STATUS JADDRESS ADDRESS CERTIFICATION JRADONFL FLORIDA RADON GAS DISCLOSURE JLAST END OF PACKAGE NOTIFICATION JDOC (09/16)

10 CLOSING INSTRUCTIONS GENERAL Lender: General Agreements and Requirements The Closing Instructions, including Specific, General and any Attachments/Addenda ("Instructions"), apply to the closing of a closed-end loan transaction involving a residential (1-4 family) property. The Instructions are an agreement between Lender and Closing Agent/Settlement Agent ("Settlement Agent") whereby Settlement Agent agrees to perform loan closing, including execution of Loan Documents, disbursement of loan proceeds, recording of security instrument and other settlement services for Lender and Lender agrees to provide information and loan proceeds to Settlement Agent, as specified herein. Any instruction contained in the General Closing Instructions may be overridden by provision in Specific Closing Instructions or Attachments/Addenda. Lender may sell the loan in the secondary market and all of Lender's rights, privileges and obligations under the Instructions inure to the benefit of Lender's successors and/or assigns. Settlement Agent is required to close the loan described in the Specific Closing Instructions in the same manner in which it was underwritten and approved by Lender and in strict accordance with the Instructions contained herein. Settlement Agent may not change, modify or waive any provision of the Lender's Instructions, Loan Documents, disclosures or other materials without Lender's prior written consent. Settlement Agent is prohibited from taking instruction from any person other than Lender's Closer identified on Specific Closing Instructions. Lender reserves the right to cancel or amend the terms of this loan and/or Instructions at any time prior to recordation of the Security Instrument. If Settlement Agent uses a signing agent, Settlement Agent is responsible for selecting and directing signing agent and is responsible for actions of any signing agent utilized in transaction. Lender, any real estate agent or broker involved in transaction or Mortgage Broker or any of their employees shall not be designated as a signing agent. Settlement Agent and signing agent must comply with all unauthorized practice of law rulings and statutes of the jurisdictions where property is located and where Loan Documents are signed. Settlement Agent and signing agent are required to follow applicable federal and state privacy protection laws and regulations and shall have policies and procedures in place to meet these requirements. Use of a signing agent does not relieve Settlement Agent from its obligations to ensure compliance with these Instructions.. DIANES COMPANY By accepting the documents and funds, conducting the closing and disbursing loan proceeds, Settlement Agent affirms that Settlement Agent has read, understands, accepts and agrees to strictly comply with and satisfy all conditions, requirements and obligations of the Instructions. To extent permitted under applicable law, Settlement Agent agrees to protect, defend, indemnify and hold Lender harmless from and against any and all claims, suits, liabilities, damages, losses, costs, diminutions in value, resulting from Settlement Agent or signing agent failure to follow Instructions or breach of any of its obligations hereunder. Such indemnification shall include, but not be limited to, fees, fines, penalties, costs of corrections, expenses, reasonable attorneys' fees, court costs, secondary marketing losses/costs or other amounts incurred by Lender. Failure to be responsive may also result in Settlement Agent being removed from Lender's approved Settlement Agent list. Fraud Prevention and Disclosure of Suspicious Activities Settlement Agent shall report any suspicious activities, material fact, or misrepresentation of any party to the transaction which in the reasonable opinion of Settlement Agent may indicate that a potential or actual fraud scheme related to the transaction has been or may be committed. Settlement Agent must notify Lender if title to the Property has changed ownership within the past 180 days or if Settlement Agent has any knowledge of previous, concurrent or subsequent transactions involving Borrower(s) or the Property. A suspicious activity or material fact may include, but is not limited to, any significant information on changes in value or title to Property, financial condition of Borrower, changes in marital status or legal status of Borrower, changes to purchase/sales contract, changes to financing, undisclosed lien, bankruptcy of Borrower or Seller, enforcement of creditor's rights against Borrower or Seller, simultaneous real estate transaction not approved by Lender, inconsistency in signatures or documentation, adverse changes to condition of Property, property transfers, flip sale, equity skimming, double escrow, coercion, undue influence, unauthorized third party funds, material misstatements or commitment of falsehood by or conflict of interests of persons with an interest in Property or transaction. JCLOSINGINSTRG1 (03/17) Page 1 of 9

11 CLOSING INSTRUCTIONS GENERAL Loan Documents Loan Documents identified in the Specific Closing Instructions and additional materials have been provided by Lender to Settlement Agent for the closing of the transaction. Some documentation may require the parties to the transaction to complete certain information or select certain options. Settlement Agent should review each document to insure it has been fully completed, properly initialed, executed, dated and acknowledged and has not been altered in any way not approved by Lender. No substitutions or removal of any document provided by Lender is allowed without prior written consent from Lender's Closer. Settlement Agent shall take possession of the Note and all Loan Documents related to the loan transaction in trust for the sole and exclusive benefit of, and as Bailee for, Lender until the original Note and all Loan Documents are physically delivered and returned to the Lender. Loan Documents must be returned as indicated on Page 1 of Specific Closing Instructions via overnight delivery with tracking number.. Changes/Corrections/Amendments of Documentation Any changes, alterations, amendments or deletions must be approved by Lender. If permitted to by Lender, a correction should be made by marking one line through the language in error and must be initialed by parties signing that document. Settlement Agent agrees to work with Lender using their best efforts to obtain the missing or corrected condition or document within a timely manner. Follow-up documentation may also be required. Failure to be responsive to Lender's requests may result in claims, penalties and/or removal from Lender's approved Settlement Agent list.. Dates Loan Documents have been prepared to reflect the scheduled closing/document/signing date ("Closing Date") shown on the Specific Closing Instructions. The Closing Date is the date of the documents, in most cases the scheduled signing date; and for the purposes of these Instructions will be considered the consummation date of the transaction. No parties to the transaction may execute any document prior to this Closing Date. Disbursement/Funding Date is day in which the loan transaction is considered settled and finalized and Settlement Agent will distribute loan proceeds. Loan cannot disburse until after the Rescission Expiration Date, if applicable. Settlement Agent must contact Lender immediately if, for any reason, closing or disbursement cannot occur as scheduled as this may affect certain documents, provisions, dates, calculations, fees or other terms in the Loan Documents.. Verification of Identity All persons signing Note and Security Instrument must present unexpired government issued photo identification to Settlement Agent or their signing agent.. Execution and Acknowledgment Borrower(s) must sign name exactly as it appears on the Loan Documents provided by Lender. Any person that is not a Borrower on the transaction who may claim ownership or spousal, community property, or other interests to Property must execute appropriate documents and waive their interest according to any applicable federal or state law. All acknowledgments should be dated on the date of execution. All notarized documents must bear the seal, expiration date and printed name of the notary and be signed by the notary. Notary must complete all blanks in the acknowledgment or jurat. Backdating is not allowed.. Purchase/Warranty Deed Seller(s) on the purchase/sales contract ("Contract") must match vesting on the Title Commitment. All applicable terms and conditions of the Contract must be followed. Settlement Agent must contact Lender immediately if any of the Contract provisions, earnest money, contributions or costs conflict with these Closing Instructions. If Warranty Deed ("Deed") is not provided in Loan Documents, then Settlement Agent must obtain or prepare a Deed for the transaction to be executed by Seller(s) transferring the Property to the Borrower(s). Do not close if Deed does not contain warranties. Deed and any other documents required to vest title in the Borrower(s) must be recorded in the records of the County of the Property and prior to the Security Instrument; and copies returned in Closed Loan Package to Lender. JCLOSINGINSTRG1 (03/17) Page 2 of 9

12 CLOSING INSTRUCTIONS GENERAL. Note/Security Instrument All person(s) who are on the Loan Application whose credit and assets have been used to qualify for the loan must execute the Note as Borrower(s). The name(s) of the Borrower(s) reflected on Page 1 of the Security Instrument should match vesting. Legal Description contained within or attached to the document must match the Property described in the Title Commitment, or Settlement Agent must attach an exhibit to be recorded if the Legal Description has not been included. All person(s) who have ownership or other interest in the Property must execute the Security Instrument. Settlement Agent is instructed to record the original Security Instrument in order to create a valid lien payable to the Lender against the Property. Any applicable and required riders, exhibits or attachments must be attached to and recorded with the Security Instrument. Recording must occur no later than the first business day following the date of disbursement. Security Instrument must be recorded after the Warranty Deed in a purchase transaction. After recording, Settlement Agent must return original executed Security Instrument to Lender as instructed in the Specific Closing Instructions. Original Note and certified copy of Security Instrument must be returned in Closed Loan Package to Lender.. Closing Disclosure/Settlement Statement An accurate statement of all receipts and disbursements in the transaction is required. Depending on the transaction, this statement will either be a Closing Disclosure or HUD-1 Settlement Statement. A Closing Disclosure/Settlement Statement must be prepared in accordance with these Instructions and applicable federal rule and be approved by Lender and Settlement Agent. Any sample or preliminary Closing Disclosure/Settlement Statement or separate fee list provided by Lender shall be considered a part of the Instructions. Approval of Closing Disclosure/Settlement Statement does not constitute release of Settlement Agent from responsibility of completing the closing according to the Instructions. The final Closing Disclosure/Settlement Statement must be provided to Borrower(s) for review prior to closing. No changes, corrections and/or alterations are allowed to the Closing Disclosure/Settlement Statement once it has been provided to Borrower(s) and/or Seller(s) without Lender's written approval. The final and complete Closing Disclosure/Settlement Statement must be executed by all appropriate parties at closing and returned in Closed Loan Package. In most transactions, the Closing Disclosure will be the required form used for settlement and it is governed by the Consumer Financial Protection Bureau (CFPB) rules and regulations under Regulation Z at 12 CFR Part A Closing Disclosure must be electronically produced and provided to Borrower(s) at least three (3) business days prior to Closing Date. Borrower(s) cannot execute the Loan Documents until this waiting period has expired. Lender will advise Settlement Agent if Lender will prepare the Closing Disclosure or if they require Settlement Agent to produce the form. Once the final Closing Disclosure has been approved, delivered to Borrower(s), evidence of receipt by Borrower has been obtained and the waiting period has expired, Lender will advise when closing/signing can be commenced. If any items change or any information on the final Closing Disclosure is no longer accurate the Settlement Agent must not proceed with closing and contact Lender immediately to determine how those changes impact the Closing Disclosure. All fees, escrows, insurance, credits, financing, contributions, payoffs, taxes, premiums, pro-rations and any other monies must be properly reflected on the Closing Disclosure/Settlement Statement, collected at closing and paid in full/current upon disbursement. In general, fees should reflect the fee description, name of payee, amount, party paying the fee and if fee was paid outside of closing. Any credits or contributions from real estate agents, brokers, sellers, Lender or any other party are not allowed unless specifically authorized in the Specific Closing Instructions. Settlement Agent must contact Lender if Instructions and Contract do not agree. Settlement Agent is fully responsible for collection and disbursement of all fees including, but not limited to, taxes, settlement fees, pro-ration between parties, Real Estate Commissions, HOA dues, assessments and accurate payoff figures for any liens, debts or accounts to be paid at closing. Escrow for repairs and cash back to Borrower(s) are not allowed unless authorized in writing by Lender. (Texas Owner-Occupied Homestead Property - cash back is never allowed unless transaction is a bona-fide Texas Home Equity Refinance subject to Section 50(a)(6) rules and requirements.) Any fees, figures or dates that change may require the Closing Disclosure/Settlement Statement to be amended and re-disclosed and provided to Borrower. Lender will advise Settlement Agent if an additional waiting period is required and if Closing/Document Date must be changed. JCLOSINGINSTRG1 (03/17) Page 3 of 9

13 CLOSING INSTRUCTIONS GENERAL. Refinance/Notice of Right to Cancel Borrower(s) in a refinance transaction must match vesting on the Title Commitment. For principal residence transactions, Borrower(s) or any person who has an ownership or other interest in the Property has a three (3) day right to cancel or rescind the transaction under federal law. The Rescission Expiration Date is displayed on Page 1 of the Specific Closing Instruction and reflected on the Notice of Right to Cancel form. The loan proceeds cannot be disbursed prior to the expiration of the required 3-day rescission period and scheduled Disbursement/Funding Date. Lender does not allow this right to be waived. Each person who has a right to cancel must receive and execute 2 copies of the Notice of Right to Cancel form and 1 copy of the Closing Disclosure (or Truth-in-Lending Disclosure, if Closing Disclosure is not applicable). The rescission period does not begin until the Borrower(s) execute the Note, Security Instrument, Closing Disclosure (or Truth-in-Lending Disclosure, if Closing Disclosure is not applicable) and Notice of Right to Cancel, whichever occurs last. If the Borrower did not execute on the scheduled Closing Date or if the Rescission Expiration Date is left blank on the Notice of Right to Cancel form, Settlement Agent must contact Lender after the all of the above referenced documents are executed to obtain the appropriate date to enter on the rescission document or obtain a revised Notice of Right to Cancel form. The 3-day rescission period does not include Sundays or federal legal holidays. No changes to any documents are allowed once the rescission period has begun. If a confirmation for Borrower's election not to rescind has been provided, it cannot be signed until after the rescission period has expired. If any person, who has the right to rescind, indicates a desire to cancel the transaction or executes the "I WISH TO CANCEL" section of the document or refuses to execute the Notice of Right to Cancel at closing, do NOT fund the loan under any circumstances and contact the Lender immediately. Closing/Funding Conditions All applicable conditions referenced in Specific and General Closing Instructions must be satisfied by, at, or following closing as required. Settlement Agent must contact Lender prior to closing if they do not understand or cannot comply with all of the required conditions. If conditions referenced in Specific Instructions require payoff of credit card or collection accounts, Settlement Agent must obtain from Borrower the most recent statement from the appropriate creditor with the proper payment address and account number. Settlement Agent must receive from Borrower cash or other good funds sufficient to pay all amounts due from Borrower as shown on the Closing Disclosure/Settlement Statement. Types of trade equity (real estate swaps, tax exchanges) or any other source of noncash funds to close must be authorized in writing by Lender prior to closing. Settlement Agent is responsible for satisfaction of any prior liens or encumbrances and Lender assumes no liability or risk related thereto. If a condition cannot be obtained, met or confirmed, then closing must be delayed until condition can be satisfied.. Property Insurance Each Borrower has the right to select their own insurance carrier to provide property insurance for the Property, provided the insurance policy and coverage meet the Lender's requirements. Proof of appropriate property insurance coverage must be obtained from Borrower with inception date on or before Closing Date. If insurance policies presented at closing by Borrower differ from premiums or insurance agent/company indicated on Closing Disclosure/Settlement Statement approved by Lender, Settlement Agent must contact Lender immediately. Settlement Agent is responsible for collection of premiums and any fees at closing and disbursement to insurance agent/company or evidence of payment in full outside of closing is required for funding. Loss Payee or Mortgagee Clause should read as reflected on Specific Instructions on all insurance policies. Condominiums and/or PUDs may be insured under a master blanket policy identifying the individual unit and additionally covered with an HO-6 "walls in" policy. If investment, rent-loss insurance may be applicable. Copies of all policies must be included in the Closed Loan Package delivered to Lender. Any property that has a residential building, dwelling, structure or improvement situated in a Special Flood Hazard Area (SFHA) that has federally mandated flood insurance purchase requirements, or is located in the Coastal Barrier Resources System or otherwise protected area, is required to have a flood insurance policy in place. All flood zones beginning with the letter "A" or "V" are considered SFHAs. JCLOSINGINSTRG1 (03/17) Page 4 of 9

14 CLOSING INSTRUCTIONS GENERAL. Survey A survey may be required by the Settlement Agent or Title Insurer in order to provide the required title coverages under the Loan Policy requested by Lender or due to loan program guidelines. The survey must conform to title insurance standards and any applicable legal standard relating to surveys. A copy of the survey must be provided to Lender with the Closed Loan Package and any original surveys obtained should be provided to Borrower(s). Generally, a survey must be dated, show a directional arrow and include the seal and signature of surveyor, property address and legal description of the Property, including any plat references or records. The legal description should agree with the Title Commitment and Security Instrument. Additionally, the survey must contain all improvements or other items of real or personal property which may affect the marketability or value of the Property. Dimensions of the improvements, any encroachments or violations must be reflected. The survey and Title Commitment should contain the same easements and building set-back lines of record and any deviations must be cleared prior to closing. The survey may contain flood zone information; however, the flood determination certificate obtained by Lender will take precedence over the survey on flood matters.. Subordination No subordinate existing or other liens are allowed unless indicated on Specific Closing Instructions provided by Lender. If Specific Instructions do not provide for a subordinate lien and/or Settlement Agent is aware of any subordinate existing lien, superior liens or other non-subordinate liens, including but not limited to HOA dues, Settlement Agent must contact Lender prior to closing the transaction. If a subordinate lien is allowed and notated on Special Closing Instructions, an acceptable subordination agreement executed by subordinate lienholder must be obtained by Settlement Agent and approved by Lender prior to closing. To be acceptable, the subordination agreement must simply subordinate the lien and not place any duties or responsibilities of notice or otherwise upon the Lender. Lender, its agents, successors and/or assigns, will not enter into or execute any subordination agreement. Settlement Agent must record subordination agreement immediately after the Security Instrument.. Power of Attorney Power of Attorney ("POA") can only be used when prior written approval has been obtained from Lender prior to closing. A POA should only be used in rare circumstances and must be specific to the Property and transaction. It must be properly executed, dated and notarized. POA format and use must be in compliance with any state or local laws and must not adversely affect the title coverage required by Lender. [Federal law exempts Military POAs from any requirements of form, substance, formality or recording.] If POA contains an expiration date, loan must close, disburse and record prior to expiration date. Settlement Agent must verify that there is no revocation of POA of record and POA is still valid. Verification by Settlement Agent that Principal is alive and well the day of closing prior to execution of any Loan Documents or disbursement of loan proceeds is required. Settlement Agent must obtain Title Insurer's approval of POA for use in the transaction and ensure that Loan Policy will be issued without exception for use of POA. Any private information such as social security or driver's license number must be redacted/removed from POA prior to recording. Original POA must be recorded prior to any applicable Warranty Deed and Security Instrument in the same county where the Property is located. Settlement Agent must collect a recording fee as needed. All Loan Documents must reflect the proper POA signature line verbiage. If POA was approved and Loan Documents have been received without signature lines reflecting POA agent/attorney-in-fact, Settlement Agent must contact Lender's Closer immediately to have the Loan Documents corrected. Do NOT attempt to fix manually. Agent/Attorney-in-Fact must sign all Loan Documents on behalf of Principal and execute exactly as POA verbiage appears under signature lines in their own handwriting. Any departure from this manner of signing will require resigning. Sample signature for POA: JCLOSINGINSTRG1 (03/17) Page 5 of 9

15 CLOSING INSTRUCTIONS GENERAL. Trust Agreement Borrower(s) may only close in the name of a Trust or vest the Property into a Trust when prior written approval has been obtained from Lender and only if it does not adversely affect the title coverage required by Lender. Only a living or inter vivos revocable trust is acceptable and at least one of the Borrower(s) whose income and/or assets that were used to qualify for the loan must be an original and current Settlor/Grantor/Trustor ("Settlor") and Trustee of the Trust. Settlement Agent must verify that there is no revocation of Trust of record and Trust is still valid. Verification that Settlor is alive and well the day of closing prior to execution of any Loan Documents or disbursement of loan proceeds is required. Settlement Agent must obtain Title Insurer's approval of Trust Agreement for use in the transaction and ensure that Loan Policy will be issued without exception for Trust or Trust ownership. Title must be vested in the Trustee(s) of the Trust, jointly in the Trustee(s) of the Trust and in the name of the individual Borrower(s) or in a manner as may be customary in that jurisdiction. All Loan Documents must reflect the proper Trust signature line verbiage. If Trust was approved and Loan Documents have been received without signature lines reflecting Individually/Trustee, Settlement Agent must contact Lender's Closer immediately to have the Loan Documents corrected. Do NOT attempt to fix manually. Borrower who is a Trustee must execute all Loan Documents as Individual and Trustee. A Trustee that is not a Borrower must sign as Trustee only on certain documents, including the Note and Security Instrument. In order to perfect the lien in community property or homestead states, any Trustee that is not a Borrower but is living in the Property or is married to the Borrower must also sign as Individual/Trustee on the Security Instrument. Settlor(s) must sign Settlor Acknowledgment attached to Security Instrument. All persons signing on behalf of Trust should sign name only on signature line and should not sign any of the verbiage under the signature line. This is opposite of how signatures for POA are executed. Any departure from this manner of signing automatically invalidates the Loan Documents and will require resigning. Sample signature for Trust: Disbursement/Post-Disbursement Prior to disbursement of loan proceeds, you must contact Lender to receive funding authorization. All conditions and requirements in the Instruction must be met prior to funding. Lender may require evidence that conditions and requirements have been satisfied and/or review of Loan Documents in order to provide authorization to disburse. Funding authorization may be in the form of a funding number. All invoices provided to Settlement Agent for third party services must be disbursed by Settlement Agent directly to the appropriate third party service provider. Settlement Agent hereby indemnifies Lender from any claims or liens for its failure to properly disburse settlement funds to third party vendors.. Wire/Disbursement Settlement Agent is responsible for ensuring compliance with any state rules and regulations related to disbursement of loan proceeds, including but not limited to California Civil Code Section regarding Borrower's payment of interest. Loan proceeds may be delivered by Lender to Settlement Agent by wire. Fees, escrows and/or interest due Lender may be net funded. If these amounts are not net funded, they should be disbursed to Lender in a form of check and returned to Lender with Loan Documents. If loan proceeds provided by Lender exceed the amount needed to settle the transaction, Settlement Agent must return the excess amount to Lender by wire or check. Loan proceeds must be disbursed to appropriate parties in strict compliance with these Instructions and the Closing Disclosure/Settlement Statement. Any check issued must contain the loan number and other identifying information. Copies of all checks, wires and disbursement ledgers/reports associated with disbursement of loan should be provided to Lender and returned with Loan Documents. If for any reason this loan does not close within 24 hours of receipt of funds, contact Lender's Closer to obtain wire instructions for immediate return of funds. JCLOSINGINSTRG1 (03/17) Page 6 of 9

16 CLOSING INSTRUCTIONS GENERAL. Shipping Requirements/Return of Documentation Closed Loan Package with all original documents executed by Borrower, including any checks payable to Lender, and Final/Trailing Documents must be returned by Settlement Agent in the timeframe and to the locations indicated on Page 1 of Specific Closing Instructions. All documents must be returned via overnight delivery with tracking number. Any certified copies must contain an original "wet ink" signature of the person certifying the copy as true and accurate. Settlement Agent shall provide copies of all Loan Documents, including Warranty Deed, Note, Security Instrument, Borrower and Seller Closing Disclosure/Settlement Statement, Notice of Right to Cancel and any other documentation applicable to transaction to Borrower for their individual records. If transaction does not close as scheduled and agreed to herein or if transaction is canceled, Settlement Agent must notify Lender's Closer, return documents and loan proceeds immediately.. Recording Settlement Agent is responsible for timely recording of any documents required to be filed in the county records where the Property is located to insure proper transfer of title and secure a valid lien on behalf of the Lender. Settlement Agent must payoff and obtain release, discharge or reconveyance of all existing liens. To the extent applicable, documents presented for recording should generally be in the following order: Power of Attorney, Warranty Deed, Security Instrument, Subordination Agreement and Assignment. Title Insurance Title Commitment and Loan Policy must be written by Title Insurer legally able to do business in the jurisdiction where the Property is located and must meet Lender's secondary market title insurance coverage requirements. Settlement Agent must comply with the Title Requirements and any Closing/Funding Conditions referred to in the Specific Closing Instructions.. Rating Requirements A title insurer is acceptable if it has a rating from at least one independent rating agency that meets the following standards:. RATING AGENCY Demotech, Inc. Duff & Phelps Credit Rating Company Fitch, Inc. Kroll Bond Rating Agency, Inc. Moody's Investors Service Standard and Poor's, Inc. RATING REQUIREMENTS Financial Stability Rating of "S" (Substantial) or better or a Statutory Accounting Rating of "C" (Average) or better "BBB" or better "BBB" or better "C" or better "C" or better "BBB" or better Title Commitment Loan Documents have been prepared based on the Title Commitment previously furnished to Lender by Settlement Agent. If Title Commitment does not comply with the requirements in the Instructions, Settlement Agent must either amend it, provide a new commitment or agree to provide Lender a subsequent Loan Policy of Title Insurance in accordance with the requirements contained in the Instructions. All items, liens, judgments and/or encumbrances on ALTA Schedule B-I or TLTA Schedule C must be disposed of and no additional exceptions to be reflected on Loan Policy. Title Commitment may not be dated more than ninety (90) days before the Closing Date referenced in the Specific Instructions, reflect the correct Proposed Insured, Borrowers and Coverage Amount and must contain an authorized counter signature. If not previously provided, an original signed Title Commitment/Binder with jacket is required to be returned in Closed Loan Package, if Loan Policy will not be issued at settlement. JCLOSINGINSTRG1 (03/17) Page 7 of 9