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Hard Money 2nd 80% - 70% Behind Neg Am

How This Product Works: It is a 6 Month Interest Only Balloon Loan. It is a HELCO paying off all consumer debt, we never touch the 1^st. During the 6 months, in order to avoid a missed payment, we set-up an Escrow account paying the mortgage on their 1st and any car payments for 6 months (all installment loans) – providing a huge financial break. During the 6 months all revolving debt, liens, judgments etc...are paid off completely, credit is cleaned, potentially increasing their FICO, on average by 80-100 points.

This program goes up to 80% CLTV, however, with that being said, the 80% would need to include all pay-offs for revolving credit, 6 months of mortgage, 6 months car payment, plus fees. The Lender does require that all revolving debt be paid-off, not just a few credit cards - must include all.

1. 1st mortgage x 6 months

2. Car payment x 6 months (if applicable)

3. Existing 2nd or 3^rd mortgage(s) paid off (if applicable)

4. Total of pay-off amounts for each credit card (not just the monthly payment - total amount)

5. Pay off any title liens, charge offs, delinquent taxes, collection accounts, consumer debt. Add all this together, plus factor in 10 pts (this is a variable and will flex with each loan based on risk factors) in fees for the hard money – which is ONLY applied to the amount of the HELCO, we never touch the 1^st lien. Now see what your CLTV is (with Cash-Out if requested 70% max on cash-out). If it is <= 80% CLTV we can take a look at doing this loan. If the 1st is a Neg Am we can only go up to <=70% CLTV. Interest rates range between 13%-16% - only on the 2^nd.

Benefit to the Borrower: saved from possible financial crisis; FICO can potentially increase to an A or Alt A status, so you qualify for a better loan. All revolving debt is paid off, all collections and liens are paid off. Credit is cleaned up. For 6 months you do not have a car, mortgage payment or revolving debt payments, it’s like cash-out.

80% CLTV - O/O and NOO refinance

70% CLTV – cash-out and behind a Neg. Am

65% CLTV – NOD and sub-500 FICO’s

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reference #4062908475

all loan products are subject to change at any time