In accordance with your request, I have appraised the above referenced property. The report of that appraisal is attached.

Transcription

1 Davis Appraisal Service P.O Box 22278, TN 37933, TN Re: Property: : File No.:, TN In accordance with your request, I have appraised the above referenced property. The report of that appraisal is attached. The purpose of this appraisal is to estimate the market value of the property described in this appraisal report, as improved, in unencumbered fee simple title of ownership. This report is based on a physical analysis of the site and improvements, a locational analysis of the neighborhood and city, and an economic analysis of the market for properties such as the subject. The appraisal was developed and the report was prepared in accordance with the Uniform Standards of Professional Appraisal Practice. The value conclusions reported are as of the effective date stated in the body of the report and contingent upon the certification and limiting conditions attached. It has been a pleasure to assist you. Please do not hesitate to contact me or any of my staff if we can be of additional service to you. Sincerely, Donnie R Davis Certified Residential Real Estate Appraiser

2 RESIDENTIAL APPRAISAL REPORT Property Location: Lot 10, Stone Henge S/D, TN : Client:, TN Effective Date: 09/08/2017 Prepared By: Donnie R Davis Certified Residential Real Estate Appraiser P.O. Box 22278, TN (Office) donnie@davisappraisal.net Form GA7 - "TOTAL" appraisal software by a la mode, inc ALAMODE Davis Appraisal Service (865)

3 Davis Appraisal Service (865) Uniform Residential Appraisal Report SUBJECT File # The purpose of this summary appraisal report is to provide the lender/client with an accurate, and adequately supported, opinion of the market value of the subject property. Owner of Public Record Joseph & Yvonne Obrien Trust Legal Description Lot 10, Stone Henge S/D Assessor's Parcel # 169EA010 Tax Year 2016 R.E. Taxes 5, Neighborhood Name Choto Map Reference 169EA010 Census Tract Occupant Owner Tenant Vacant Special Assessments 0.00 PUD HOA 100 per year per month Property Rights Appraised Fee Simple Leasehold Other (describe) Assignment Type Purchase Transaction Refinance Transaction Other (describe) Market Value Appraisal Address,, TN Is the subject property currently offered for sale or has it been offered for sale in the twelve months prior to the effective date of this appraisal? No Report data source(s) used, offering price(s), and date(s). CONTRACT I did performed. did not analyze the contract for sale for the subject purchase transaction. Explain the results of the analysis of the contract for sale or why the analysis was not Contract Price Date of Contract Is the property seller the owner of public record? No Data Source(s) Is there any financial assistance (loan charges, sale concessions, gift or downpayment assistance, etc.) to be paid by any party on behalf of the borrower? If, report the total dollar amount and describe the items to be paid. IMPROVEMENTS SITE NEIGHBORHOOD Note: Race and the racial composition of the neighborhood are not appraisal factors. One-Unit Housing Trends Neighborhood Characteristics One-Unit Housing No Present Land Use % One-Unit 60 % 2-4 Unit 0% Multi-Family 100k Low 1 0% The neighborhood boundaries are Northshore Drive (North), Fort Loudon Lake 3.0m High 60+ Commercial 1% Other Pred. (South & East), and Loudon County boundary (West). 500k % Neighborhood Description Choto is a neighborhood within the greater market of Farragut and Concord. The market contains excellent venues for schools, shopping, entertainment and restaurants, and within close proximity to major business districts. The subject S/D contains primarily excellent quality homes that project good market appeal. Positive influences are Fort Loudon Lake and Turkey Creek Multi-Plex. Market Conditions (including support for the above conclusions) Regression analysis indicates increasing property values at a rate of 13% annually and/or 1.08% monthly based on a 12 month analysis. Housing supplies are stable at 10 months supply w/ absorption rates at 9.67 sales per month. The neighborhood is demonstrating rapid growth and development. Market conditions favor the seller. Dimensions x x IRR Area 2.16 ac Shape Irregular View Residential Specific Zoning Classification A Zoning Description Agricultural Zone Zoning Compliance Legal Legal Nonconforming (Grandfathered Use) No Zoning Illegal (describe) A-zoning is typical in the county. Is the highest and best use of subject property as improved (or as proposed per plans and specifications) the present use? No If No, describe Highest/best use is single-family residential based on highest/best use analysis and supported by demographics, conformance and HOA restrictions. Off-site Improvements - Type Public Private Utilities Public Other (describe) Public Other (describe) Street Water Electricity Public Utility Public & Well Asphalt Paved Alley Gas Sanitary Sewer Public Utility Public Utility FEMA Special Flood Hazard Area No FEMA Flood Zone X FEMA Map # 47093C0360F FEMA Map Date 5/2/2007 Are the utilities and off-site improvements typical for the market area? No If No, describe Are there any adverse site conditions or external factors (easements, encroachments, environmental conditions, land uses, etc.)? No If, describe Location Urban Built-Up Over 75% Growth Rapid Neighborhood Boundaries Suburban 25-75% Rural Under 25% Slow Property Values Demand/Supply Marketing Time Shortage Under 3 mths In Balance 3-6 mths Over Supply Over 6 mths PRICE (000) AGE (yrs) The subject site is typical for the neighborhood in terms of size. Topography is gently rolling and the site offers substantial privacy as a byproduct of professional landscaping. The site offers a well-water-supplied irrigation system. No adverse easements, encroachments, environmental conditions, or land uses were observed. General Description Foundation Exterior Description materials/condition Interior materials/condition Units One One with Accessory Unit Concrete Slab Crawl Space Foundation Walls Floors Poured Conc./VG Hwd/Marble/Tile/VG # of Stories Full Basement Partial Basement Exterior Walls Walls 2 Brick Facade/VG 10'-20' Drywall/VG Type Det. Att. S-Det./End Unit Basement Area Trim/Finish 4,388 sq.ft. Roof Surface Dim. Shingle/VG Crown/Bsbd/VG Existing Proposed Under Const. Basement Finish % Gutters & Downspouts 5" Aluminum/VG Bath Floor 19.5 Marble/Tile/VG Design (Style) Outside Entry/Exit Sump Pump Window Type 2-Story w/bsmt Casmt. w/transoms/vg Bath Wainscot Marble/Tile/VG Year Built Evidence of Infestation Storm Sash/Insulated Thermal Insulated/VG Car Storage None 2004 Effective Age (Yrs) 7 Dampness Settlement Screens Driveway # of Cars 8-10 Attic None Heating FWA HWBB Radiant Amenities Woodstove(s) # 0 Driveway Surface Concrete Drop Stair Stairs Other Heat Pump Fuel Geothermal Fireplace(s) # 2 Fence None Garage # of Cars 3 Floor Scuttle Cooling Central Air Conditioning Patio/Deck 2/0 Porch Covered Carport # of Cars 0 Finished Heated Individual Other Pool None Other Koi Pond Att. Det. Built-in Appliances Refrigerator Range/Oven Dishwasher Disposal Microwave Washer/Dryer Other (describe) Double Oven Finished area above grade contains: 10 Rooms 4 Bedrooms 4.1 Bath(s) 6,339 Square Feet of Gross Living Area Above Grade Additional features (special energy efficient items, etc.). Poured concrete foundation, geothermal HVAC system and well-water irrigation system. Remaining features are standard for subject quality classification. Describe the condition of the property (including needed repairs, deterioration, renovations, remodeling, etc.). Physical depreciation is relatively minor due to the low age of improvements. Some minor deferred maintenance such as exterior facade, trim and facia was observed, of which is deemed to be minor cosmetic in nature, and typical for a 13 year old home. The subject dwelling is excellent quality of construction, in overall very good condition. The functional utility is good with large-sized rooms, expansive closet space and functional floor plan. No external obsolescence was observed. Are there any physical deficiencies or adverse conditions that affect the livability, soundness, or structural integrity of the property? No If, describe Does the property generally conform to the neighborhood (functional utility, style, condition, use, construction, etc.)? Freddie Mac Form 70 March 2005 Page 1 of 6 Form "TOTAL" appraisal software by a la mode, inc ALAMODE No If No, describe Fannie Mae Form 1004 March 2005

4 Uniform Residential Appraisal Report File # comparable properties currently offered for sale in the subject neighborhood ranging in price from 600,000 to 1,995, comparable sales in the subject neighborhood within the past twelve months ranging in sale price from 600,000 to 1,800, FEATURE SUBJECT COMPARABLE SALE # 1 COMPARABLE SALE # 2 COMPARABLE SALE # 3 Address 2231 Henge Point Ln 818 Hammock Ln Mallard Bay Dr, TN 37922, TN 37922, TN 37934, TN Proximity to Subject 0.13 miles NW 3.05 miles NW 1.88 miles NW Sale Price 860, ,500 1,585,000 Sale Price/Gross Liv. Area sq.ft sq.ft sq.ft sq.ft. Data Source(s) KAARMLS # KAARMLS # KAARMLS # Verification Source(s) VALUE ADJUSTMENTS DESCRIPTION DESCRIPTION +(-) Adjustment DESCRIPTION +(-) Adjustment DESCRIPTION +(-) Adjustment Sales or Financing Conventional Conventional Conventional Concessions None Noted None Noted None Noted Date of Sale/Time 8/28/ ,065 7/6/ ,358 2/10/ ,826 Location Suburban Suburban Suburban Lakefront -263,000 Leasehold/Fee Simple Fee Simple Fee Simple Fee Simple Fee Simple Site 2.16 ac 2.16 ac 0.71 ac +37, ac 0 View Residential Residential Residential Lake View 0 Design (Style) 2-Story w/bsmt 2-Story w/bsmt 2-Story w/bsmt 2-Story w/bsmt Quality of Construction Actual Age , , ,000 Condition Very Good Very Good Very Good Very Good Above Grade Total Bdrms. Baths Total Bdrms. Baths Total Bdrms. Baths Total Bdrms. Baths Room Count , ,500 Gross Living Area 6,339 sq.ft. 4,196 sq.ft. +214,300 4,470 sq.ft. +186,900 5,454 sq.ft. +88,500 Basement & Finished Fin-955/U-3,433 Fin-0/Unf-2, ,825 Fin-2,466/Unf-0-41,220 Fin-2549/Unf-0-61,310 Rooms Below Grade Semi-Finished Unfinished Full Finished Full Finished Functional Utility Good Good Good Good Heating/Cooling Multiple HVAC Multiple HVAC Multiple HVAC Multiple HVAC Energy Efficient Items Upgraded Upgraded Upgraded Upgraded Garage/Carport 3 Car Garage 3 Car Garage 3 Car Garage 3 Car Garage Porch/Patio/Deck Porch/Patios Pch/Dck/Patio 0 Pch/Dck/Patio 0 Pch/Dck/Patio 0 Additional Features 2 Fireplaces Fireplace +2,500 3 Fireplaces -2,500 4 Fireplaces -5,000 Additional Features Lawn Irrigation Lawn Irrigation Lawn Irrigation Lawn Irrigation Additional Features None None None IG Pool/Boat Hse. -125,000 Net Adjustment (Total) , , ,484 Adjusted Sale Price Net Adj. Net Adj. Net Adj % 18.4 % 16.3 % of Comparables Gross Adj % 1,085,190 Gross Adj % 1,115,538 Gross Adj % 1,326,516 I did did not research the sale or transfer history of the subject property and comparable sales. If not, explain SALES COMPARISON APPROACH There are There are My research did did not reveal any prior sales or transfers of the subject property for the three years prior to the effective date of this appraisal. Data Source(s) My research did did not reveal any prior sales or transfers of the comparable sales for the year prior to the date of sale of the comparable sale. Data Source(s) Report the results of the research and analysis of the prior sale or transfer history of the subject property and comparable sales (report additional prior sales on page 3). ITEM SUBJECT COMPARABLE SALE #1 COMPARABLE SALE #2 COMPARABLE SALE #3 Date of Prior Sale/Transfer Price of Prior Sale/Transfer Data Source(s) Effective Date of Data Source(s) 09/18/ /18/ /18/ /18/2017 Analysis of prior sale or transfer history of the subject property and comparable sales The subject has no prior transfers within a 3 year period. The comparable sales have no prior transfers within a 1 year period. Summary of Sales Comparison Approach See addenda for additional market data and reconciliation of market data. RECONCILIATION Indicated Value by Sales Comparison Approach 1,208,000 Indicated Value by: Sales Comparison Approach Cost Approach (if developed) Income Approach (if developed) 1,208,000 1,348,490 The sales comparison approach is considered to be the best indicator of value. The cost approach is completed to extract depreciation and aid in applying depreciated cost analysis in market approach, but is not deemed a reliable value approach due to age of the dwelling. The income approach is not applicable for this appraisal assignment due to lack of rental data. This appraisal is made "as is", subject to completion per plans and specifications on the basis of a hypothetical condition that the improvements have been completed, subject to the following repairs or alterations on the basis of a hypothetical condition that the repairs or alterations have been completed, or subject to the following required inspection based on the extraordinary assumption that the condition or deficiency does not require alteration or repair: Based on a complete visual inspection of the interior and exterior areas of the subject property, defined scope of work, statement of assumptions and limiting conditions, and appraiser s certification, my (our) opinion of the market value, as defined, of the real property that is the subject of this report is 1,208,000, as of, which is the date of inspection and the effective date of this appraisal. 09/08/2017 Freddie Mac Form 70 March 2005 Page 2 of 6 Form "TOTAL" appraisal software by a la mode, inc ALAMODE Fannie Mae Form 1004 March 2005

5 Uniform Residential Appraisal Report File # INTENDED USER: The intended users of this report are Joseph & Yvonne Obrien (Trustees), Doug Obrien and Deborah Obrien. No other intended users are identified. INTENDED USE: The intended use of this report is to determine the market value of the subject property for personal reasons. This appraisal is not authorized to be used for any other purpose, or for federally related transactions. HIGHEST AND BEST USE: The highest and best use for the subject property is single-family residential. Neighborhood demographics and conformance demand single-family use. Highest and best use analysis is based on the following criterea; 1) Legal Permissibility, 2) Physical Possibility, 3) Financial Feasibility, and 4) Maximum Productivity. ADDITIONAL COMMENTS SCOPE OF WORK: The scope of work is displayed throughout the report and encompasses; 1) Personal inspection of the subject property and premises. 2) Research, analyze and verify available data sources for the subject property and comparable properties. 3) Visual observation of the subject neighborhood, as well as economic analysis of the subject market. 4) Develop and report a market value appraisal of the subject property in conformance with USPAP. PURPOSE OF APPRAISAL: The purpose of this appraisal is to estimate the market value of the property described in this appraisal report, as improved, in unencumbered fee simple title of ownership. COST APPROACH TO VALUE (not required by Fannie Mae) Provide adequate information for the lender/client to replicate the below cost figures and calculations. Support for the opinion of site value (summary of comparable land sales or other methods for estimating site value) INCOME COST APPROACH Seven recent land sales were analyzed to extract the median price-point of the collective land sales. Market derived price-point is 86,673 per acre. Subject site 2.16 ac. x 86, ,213. Data sources; MLS #996334, #992466, #994237, #977308, #956955, #946155, # OPINION OF SITE VALUE DWELLING ESTIMATED REPRODUCTION OR REPLACEMENT COST NEW Source of cost data Marshall Swift/Local Cost Data Quality rating from cost service Exc. Effective date of cost data 6/2017 Comments on Cost Approach (gross living area calculations, depreciation, etc.) 6,339 4, The cost calculations were derived from the Marshall & Swift Residential Garage/Carport 773 Total Estimate of Cost-New Cost Manual, local cost data and construction contracts retained in my Less Physical Functional files. Physical depreciation is calculated using the economic age/life Depreciation method based on my estimation of physical longevity. The land-value 79,881 Depreciated Cost of Improvements ratio is typical for properties of the subject type in the market. "As-is" Value of Site Improvements Site improvements include driveway, landscaping, irrigation, well, porches/patios, etc. and estimates "As Is" value. Estimated Remaining Economic Life (HUD and VA only) 93 Years INDICATED VALUE BY COST APPROACH INCOME APPROACH TO VALUE (not required by Fannie Mae) Estimated Monthly Market Rent X Gross Rent Multiplier Summary of Income Approach (including support for market rent and GRM) Income approach not applicable Basement 34,267 1,141,158 ( 79,881) 1,061, ,000 1,348, , , ,522 External Indicated Value by Income Approach PUD INFORMATION PROJECT INFORMATION FOR PUDs (if applicable) Is the developer/builder in control of the Homeowners Association (HOA)? No Unit type(s) Detached Attached Provide the following information for PUDs ONLY if the developer/builder is in control of the HOA and the subject property is an attached dwelling unit. Legal Name of Project Total number of phases Total number of units Total number of units sold Total number of units rented Total number of units for sale Data source(s) Was the project created by the conversion of existing building(s) into a PUD? No If, date of conversion. Does the project contain any multi-dwelling units? No Data Source Are the units, common elements, and recreation facilities complete? No If No, describe the status of completion. Are the common elements leased to or by the Homeowners Association? Describe common elements and recreational facilities. Freddie Mac Form 70 March 2005 No If, describe the rental terms and options. Page 3 of 6 Form "TOTAL" appraisal software by a la mode, inc ALAMODE Fannie Mae Form 1004 March 2005

6 Uniform Residential Appraisal Report File # The lender/client may disclose or distribute this appraisal report to: the borrower; another lender at the request of the borrower; the mortgagee or its successors and assigns; mortgage insurers; government sponsored enterprises; other secondary market participants; data collection or reporting services; professional appraisal organizations; any department, agency, or instrumentality of the United States; and any state, the District of Columbia, or other jurisdictions; without having to obtain the appraiser s or supervisory appraiser s (if applicable) consent. Such consent must be obtained before this appraisal report may be disclosed or distributed to any other party (including, but not limited to, the public through advertising, public relations, news, sales, or other media). 22. I am aware that any disclosure or distribution of this appraisal report by me or the lender/client may be subject to certain laws and regulations. Further, I am also subject to the provisions of the Uniform Standards of Professional Appraisal Practice that pertain to disclosure or distribution by me. 23. The borrower, another lender at the request of the borrower, the mortgagee or its successors and assigns, mortgage insurers, government sponsored enterprises, and other secondary market participants may rely on this appraisal report as part of any mortgage finance transaction that involves any one or more of these parties. 24. If this appraisal report was transmitted as an electronic record containing my "electronic signature," as those terms are defined in applicable federal and/or state laws (excluding audio and video recordings), or a facsimile transmission of this appraisal report containing a copy or representation of my signature, the appraisal report shall be as effective, enforceable and valid as if a paper version of this appraisal report were delivered containing my original hand written signature. 25. Any intentional or negligent misrepresentation(s) contained in this appraisal report may result in civil liability and/or criminal penalties including, but not limited to, fine or imprisonment or both under the provisions of Title 18, United States Code, Section 1001, et seq., or similar state laws. SUPERVISORY APPRAISER S CERTIFICATION: The Supervisory Appraiser certifies and agrees that: 1. I directly supervised the appraiser for this appraisal assignment, have read the appraisal report, and agree with the appraiser s analysis, opinions, statements, conclusions, and the appraiser s certification. 2. I accept full responsibility for the contents of this appraisal report including, but not limited to, the appraiser s analysis, opinions, statements, conclusions, and the appraiser s certification. 3. The appraiser identified in this appraisal report is either a sub-contractor or an employee of the supervisory appraiser (or the appraisal firm), is qualified to perform this appraisal, and is acceptable to perform this appraisal under the applicable state law. 4. This appraisal report complies with the Uniform Standards of Professional Appraisal Practice that were adopted and promulgated by the Appraisal Standards Board of The Appraisal Foundation and that were in place at the time this appraisal report was prepared. 5. If this appraisal report was transmitted as an "electronic record" defined in applicable federal and/or state laws (excluding audio and appraisal report containing a copy or representation of my signature, valid as if a paper version of this appraisal report were delivered containing my "electronic signature," as those terms are video recordings), or a facsimile transmission of this the appraisal report shall be as effective, enforceable and containing my original hand written signature. APPRAISER SUPERVISORY APPRAISER (ONLY IF REQUIRED) Signature Name Donnie R Davis Company Name Davis Appraisal Service Company Address P.O. Box 22278,, TN Signature Name Company Name Company Address Telephone Number (865) Address davisappraisal@davisappraisal.net Date of Signature and Report 09/20/2017 Effective Date of Appraisal 09/08/2017 State Certification # 2493 or State License # or Other (describe) State # Expiration Date of Certification or License 06/30/2019 Telephone Number Address Date of Signature State Certification # or State License # State Expiration Date of Certification or License ADDRESS OF PROPERTY APPRAISED, TN APPRAISED VALUE OF SUBJECT PROPERTY SUBJECT PROPERTY Did not inspect subject property Did inspect exterior of subject property from street Date of Inspection Did inspect interior and exterior of subject property Date of Inspection 1,208,000 LENDER/CLIENT Name Company Name Company Address,, TN COMPARABLE SALES Did not inspect exterior of comparable sales from street Did inspect exterior of comparable sales from street Date of Inspection Address Freddie Mac Form 70 March 2005 Page 6 of 6 Form "TOTAL" appraisal software by a la mode, inc ALAMODE Fannie Mae Form 1004 March 2005

7 Uniform Residential Appraisal Report FEATURE SALE HISTORY SALES COMPARISON APPROACH Address SUBJECT COMPARABLE SALE # Channel Point Dr, TN miles SE 1,275,000 sq.ft sq.ft. COMPARABLE SALE # Barnsley Rd, TN miles NW 1,199, sq.ft. File # COMPARABLE SALE # Barnsley Rd, TN 37922, TN Proximity to Subject 3.08 miles NW Sale Price 1,269,000 Sale Price/Gross Liv. Area sq.ft. Data Source(s) MLS # MLS # MLS # Verification Source(s) VALUE ADJUSTMENTS DESCRIPTION DESCRIPTION +(-) Adjustment DESCRIPTION +(-) Adjustment DESCRIPTION +(-) Adjustment Sales or Financing Conventional Conventional Conventional Concessions None Noted None Disclosed None Noted Date of Sale/Time 4/14/ ,850 3/30/ ,745 7/12/ ,410 Location Suburban Lakefront -163,000 Suburban Suburban Leasehold/Fee Simple Fee Simple Fee Simple Fee Simple Fee Simple Site 2.16 ac 3.15 ac ac +62, ac +62,000 View Residential Lake View 0 Residential Residential Design (Style) 2-Story w/bsmt 2-Story w/bsmt 2-Story 2-Story Quality of Construction Actual Age , , ,500 Condition Very Good Very Good Very Good Very Good Above Grade Total Bdrms. Baths Total Bdrms. Baths Total Bdrms. Baths Total Bdrms. Baths Room Count , , Gross Living Area 6,339 sq.ft. 7,054 sq.ft. -71,500 6,643 sq.ft. -30,400 5,774 sq.ft. +56,500 Basement & Finished Fin-955/U-3,433 Fin-561/Unf-0 +44,180 Crawlspace +62,980 Crawlspace +62,980 Rooms Below Grade Semi-Finished Semi-Finished Functional Utility Good Good Good Good Heating/Cooling Multiple HVAC Multiple HVAC Multiple HVAC Multiple HVAC Energy Efficient Items Upgraded Upgraded Upgraded Upgraded Garage/Carport 3 Car Garage 3 Car Garage 3 Car Garage 3 Car Garage Porch/Patio/Deck Porch/Patios Porch/Decks 0 Pch/Dck/Patio 0 Pch/Dck/Patio 0 Additional Features 2 Fireplaces 3 Fireplaces -2,500 2 Fireplaces 2 Fireplaces Additional Features Lawn Irrigation None +30,000 Lawn Irrigation Lawn Irrigation Additional Features None IG Pool/Boat Dck. -60,000 IG Pool -50,000 Bad-Ass Pool -150,000 Net Adjustment (Total) ,470 76,825 51,390 Adjusted Sale Price Net Adj. Net Adj. Net Adj % 6.4 % 4.0 % of Comparables Gross Adj % 1,138,530 Gross Adj % 1,275,825 Gross Adj % 1,320,390 Report the results of the research and analysis of the prior sale or transfer history of the subject property and comparable sales (report additional prior sales on page 3). ITEM SUBJECT COMPARABLE SALE # 4 COMPARABLE SALE # 5 COMPARABLE SALE # 6 Date of Prior Sale/Transfer 8/24/2016 Price of Prior Sale/Transfer 1,190,000 Data Source(s) Effective Date of Data Source(s) 09/18/ /18/ /18/ /18/2017 Analysis of prior sale or transfer history of the subject property and comparable sales Comp 5 exhibited a prior arms-length market transfer demonstrating slight price appreciation over a 7 month period. However, seller motivation appeared to be distressed. Analysis/Comments The market data-set provided reflects the most competitive sales available from the subject market and within the prior year. The adjustments applied in the market grid reconcile physical differences between the subject and comparable properties as derived from the market data. These adjustments effectively reflect contributory value or what the market will pay indifference as depreciated. The adjustments were extracted from the data-set using several methodologies such as paired-data analysis, depreciated cost analysis and allocation method. Regression analysis was used to support market price appreciation adjustments. ANALYSIS / COMMENTS Each comp required adjustments for their respective sale date. This was necessary to reconcile an increasing market as supported by regression analysis. Sale date adjustments were applied at a rate of 1.08% per month. Comps 3 and 4 as lakefront properties required adjustment for their superior site value and lakefront access. Their value related differences were reported in the location field, which negates the need to apply adjustments for site acreage and view amenity. Gross living area (sq.ft.) adjustments are separated from the basement level and valued separately. The square footage adjustments reconcile what the market will pay indifference (prorated) for each level of living area. Main level contributes more value than 2nd level, and 2nd level contributes a different value factor than basement-level space, both finished and unfinished space. These adjustments were extracted using depreciated cost analysis and allocation, because paired-data analysis can be skewed by how realtors report square footage. Amenities such as boat houses, docks, pools, etc. are adjusted based on individual comp components and the quality thereof. Again, these adjustments reflect what the market will pay indifference from a contributory value perspective, not replacement cost. Mean Comp Value 1,210,331. Median Comp Value 1,207,177. Cost Approach Value 1,348,490. My Opinion of Market Value 1,208,000 ***Note: Cost approach value was not weighted in the valuation analysis due to accrued depreciation. Freddie Mac Form 70 March 2005 Fannie Mae Form 1004 March 2005 Form 1004.(AC) - "TOTAL" appraisal software by a la mode, inc ALAMODE

8 MARKET RESEARCH & ANALYSIS Market Conditions Addendum to the Appraisal Report File No The purpose of this addendum is to provide the lender/client with a clear and accurate understanding of the market trends and conditions prevalent in the subject neighborhood. This is a required addendum for all appraisal reports with an effective date on or after April 1, ZIP Code Instructions: The appraiser must use the information required on this form as the basis for his/her conclusions, and must provide support for those conclusions, regarding housing trends and overall market conditions as reported in the Neighborhood section of the appraisal report form. The appraiser must fill in all the information to the extent it is available and reliable and must provide analysis as indicated below. If any required data is unavailable or is considered unreliable, the appraiser must provide an explanation. It is recognized that not all data sources will be able to provide data for the shaded areas below; if it is available, however, the appraiser must include the data in the analysis. If data sources provide the required information as an average instead of the median, the appraiser should report the available figure and identify it as an average. Sales and listings must be properties that compete with the subject property, determined by applying the criteria that would be used by a prospective buyer of the subject property. The appraiser must explain any anomalies in the data, such as seasonal markets, new construction, foreclosures, etc. Inventory Analysis Prior 7 12 Months Prior 4 6 Months Current 3 Months Overall Trend Total # of Comparable Sales (Settled) Absorption Rate (Total Sales/Months) Total # of Comparable Active Listings Months of Housing Supply (Total Listings/Ab.Rate) Median Sale & List Price, DOM, Sale/List % Overall Trend Prior 7 12 Months Prior 4 6 Months Current 3 Months Median Comparable Sale Price 654, , ,000 Median Comparable Sales Days on Market Median Comparable List Price 775, , ,000 Median Comparable Listings Days on Market Median Sale Price as % of List Price 98.43% 98.05% 97.55% Seller-(developer, builder, etc.)paid financial assistance prevalent? No Explain in detail the seller concessions trends for the past 12 months (e.g., seller contributions increased from 3% to 5%, increasing use of buydowns, closing costs, condo fees, options, etc.). Seller concessions of 1% to 6% are typical in the local market. Are foreclosure sales (REO sales) a factor in the market? No If yes, explain (including the trends in listings and sales of foreclosed properties). Foreclosures do exist in the subject market. However, they represent a minimal percentage of the total transfers of properties and have no detrimental impacts on the local market. Cite data sources for above information. The Market Conditions Addenda was completed with data from Area Association of REALTORS MLS with an effective date of 09/08/2017. Summarize the above information as support for your conclusions in the Neighborhood section of the appraisal report form. If you used any additional information, such as an analysis of pending sales and/or expired and withdrawn listings, to formulate your conclusions, provide both an explanation and support for your conclusions. This analysis trends market performance of the Farragut and Concord markets within the prior 12 month period. The data captured in this analysis were properties of competitive design, quality and price range from 500,000 to 2,000,000. This data-set captures the high-value market exceeding the 500,000 price-point. APPRAISER CONDO/CO-OP PROJECTS Analytics indicates increasing property values at a rate of 13% annually and/or 1.08% monthly. Housing supplies declined from the 1st half of the year and stabilized. Absorption rates have increased 445% which is a key statistic for a vibrant market. If the subject is a unit in a condominium or cooperative project, complete the following: Project Name: Subject Project Data Prior 7 12 Months Prior 4 6 Months Current 3 Months Overall Trend Total # of Comparable Sales (Settled) Absorption Rate (Total Sales/Months) Total # of Active Comparable Listings Months of Unit Supply (Total Listings/Ab.Rate) Are foreclosure sales (REO sales) a factor in the project? No If yes, indicate the number of REO listings and explain the trends in listings and sales of foreclosed properties. Summarize the above trends and address the impact on the subject unit and project. Signature Appraiser Name Donnie R Davis Company Name Davis Appraisal Service Company Address P.O. Box 22278,, TN State License/Certification # Address Signature Supervisory Appraiser Name Company Name Company Address State License/Certification # Address davisappraisal@davisappraisal.net Freddie Mac Form 71 March 2009 State Page 1 of 1 Fannie Mae Form 1004MC March 2009 Form 1004MC2 - "TOTAL" appraisal software by a la mode, inc ALAMODE

9 Analytics Addendum This analysis of prices in the subject market from to yields a price range of 600,000 to 1,800,000 for properties in the subject market. This analysis of listing prices in the subject market from to shows a range of 600,000 to 1,995,000. For each month from to this chart shows the median price for both sales and listings in the subject market. Form PIC3TACHARTW - "TOTAL" appraisal software by a la mode, inc ALAMODE

10 Plat Map Form MAP.PLAT - "TOTAL" appraisal software by a la mode, inc ALAMODE

11 Building Sketch (Page - 1) 8.5' 5.5' Breakfast Area 5.5' 5.5' ' ' Paver Patio ' ' 8.5' 49' 2' Main Level Half Bath Office 33' Great Room 45' Master Suite Kitchen Laundry 21.5' 14' Dining Den Foyer Master Bath 3.5' Att. 3 Car Garage 2' 10' Covered Porch 10' 44' 20.5' 23' 23' TOTAL Sketch by a la mode, inc. Form SKT.BLDSKI - "TOTAL" appraisal software by a la mode, inc ALAMODE 34.5' 1.5'

12 Building Sketch (Page - 2) 12' 16' Bedroom 20' 16' Second Level 12' Bath 20' 2' 28.5' 12' Bath Bath 11.5' 3' Bedroom 14' Open Foyer 17' TOTAL Sketch by a la mode, inc. Form SKT.BLDSKI - "TOTAL" appraisal software by a la mode, inc ALAMODE 31' Closet 16' 20' Bedroom 20' 16'

13 Building Sketch (Page - 3) 24.5' 5.5' 5.5' 45' 4' 2' ' ' 8.5' ' ' 8.5' 23' Basement Level Unfinished Semi-finished Basement 19' Unfinished Half Bath 11.5' Unfinshed Basement 14' 1.5' 3.5' 44' 10' 2' 10' 23' TOTAL Sketch by a la mode, inc. Form SKT.BLDSKI - "TOTAL" appraisal software by a la mode, inc ALAMODE 10' 10' 45' Workshop

14 Building Sketch (Page - 4) TOTAL Sketch by a la mode, inc. Living Area First Floor Second Level Total Living Area (Rounded): Non-living Area Covered Porch Att. 3 Car Garage Semi-finished Basement Unfinished Basement Finished Basement Area Calculations Summary 4388 Sq ft 1951 Sq ft 6339 Sq ft 352 Sq ft Sq ft 855 Sq ft 3433 Sq ft 100 Sq ft Form SKT.BLDSKI - "TOTAL" appraisal software by a la mode, inc ALAMODE

15 Building Sketch (Page - 5) TOTAL Sketch by a la mode, inc. Area Calculations Summary Living Area First Floor 4388 Sq ft Second Level 1951 Sq ft Total Living Area (Rounded): Non-living Area Covered Porch 6339 Sq ft 352 Sq ft Att. 3 Car Garage Sq ft Semi-finished Basement 855 Sq ft Unfinished Basement Finished Basement Calculation Details 3433 Sq ft 100 Sq ft Form SKT.BLDSKI - "TOTAL" appraisal software by a la mode, inc ALAMODE 100

16 Aerial Map Form MAP.Flood - "TOTAL" appraisal software by a la mode, inc ALAMODE

17 Subject Photo Page Subject Front Sales Price Gross Living Area 6,339 Total Rooms 10 Total Bedrooms 4 Total Bathrooms 4.1 Location Suburban View Residential Site 2.16 ac Quality Age 13 Subject Rear Subject Street Form PIC3x5.SR - "TOTAL" appraisal software by a la mode, inc ALAMODE

18 Subject Photos Left Side Right Side Kitchen Breakfast Area Dining Great Room Great Room Great Room Laundry Den Foyer Half Bath Office Master Bath Master Bath Form PIC15 - "TOTAL" appraisal software by a la mode, inc ALAMODE

19 Subject Photos Master Suite Bedroom Bath Bedroom Bath Bedroom Bath Basement Half Bath Basement Workshop Unf. Basement Unf. Basement Unf. Basement Attic/Storage Koi Pond Koi Pond Form PIC15 - "TOTAL" appraisal software by a la mode, inc ALAMODE

20 Comparable Photo Page Comparable Henge Point Ln Prox. to Subject 0.13 miles NW Sales Price 860,000 Gross Living Area 4,196 Total Rooms 12 Total Bedrooms 4 Total Bathrooms 4.1 Location Suburban View Residential Site 2.16 ac Quality Age 2 Comparable Hammock Ln Prox. to Subject 3.05 miles NW Sales Price 942,500 Gross Living Area 4,470 Total Rooms 10 Total Bedrooms 5 Total Bathrooms 5.1 Location Suburban View Residential Site 0.71 ac Quality Age 5 Comparable Mallard Bay Dr Prox. to Subject 1.88 miles NW Sales Price 1,585,000 Gross Living Area 5,454 Total Rooms 18 Total Bedrooms 6 Total Bathrooms 5.1 Location Lakefront View Lake View Site 1.93 ac Quality Age 11 Form PIC3x5.CR - "TOTAL" appraisal software by a la mode, inc ALAMODE

21 Comparable Photo Page Comparable Channel Point Dr Prox. to Subject 0.97 miles SE Sale Price 1,275,000 Gross Living Area 7,054 Total Rooms 12 Total Bedrooms 4 Total Bathrooms 5.1 Location Lakefront View Lake View Site 3.15 ac Quality Age 23 Comparable Barnsley Rd Prox. to Subject 3.09 miles NW Sale Price 1,199,000 Gross Living Area 6,643 Total Rooms 12 Total Bedrooms 5 Total Bathrooms 5.2 Location Suburban View Residential Site 0.66 ac Quality Age 5 Comparable Barnsley Rd Prox. to Subject 3.08 miles NW Sale Price 1,269,000 Gross Living Area 5,774 Total Rooms 12 Total Bedrooms 4 Total Bathrooms 4.1 Location Suburban View Residential Site 0.47 ac Quality Age 10 Form PIC3X5.CR - "TOTAL" appraisal software by a la mode, inc ALAMODE

22 Location Map Form MAP.LOC - "TOTAL" appraisal software by a la mode, inc ALAMODE

23 File No APPRAISAL AND REPORT IDENTIFICATION This Report is one of the following types: Appraisal Report (A written report prepared under Standards Rule 2-2(a), pursuant to the Scope of Work, as disclosed elsewhere in this report.) Restricted Appraisal Report (A written report prepared under Standards Rule 2-2(b), pursuant to the Scope of Work, as disclosed elsewhere in this report, restricted to the stated intended use by the specified client or intended user.) Comments on Standards Rule 2-3 I certify that, to the best of my knowledge and belief: - The statements of fact contained in this report are true and correct. - The reported analyses, opinions, and conclusions are limited only by the reported assumptions and limiting conditions and are my personal, impartial, and unbiased professional analyses, opinions, and conclusions. - I have no present or prospective interest in the property that is the subject of this report and no personal interest with respect to the parties involved. - I have performed no services, as an appraiser or in any other capacity, regarding the property that is the subject of this report within the three-year period immediately preceding acceptance of this assignment. - I have no bias with respect to the property that is the subject of this report or the parties involved with this assignment. - My engagement in this assignment was not contingent upon developing or reporting predetermined results. - My compensation for completing this assignment is not contingent upon the development or reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value opinion, the attainment of a stipulated result, or the occurrence of a subsequent event directly related to the intended use of this appraisal. - My analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the Uniform Standards of Professional Appraisal Practice that were in effect at the time this report was prepared. - I have made a personal inspection of the property that is the subject of this report. - No one provided significant real property appraisal assistance to the person(s) signing this certification (if there are exceptions, the name of each individual providing significant real property appraisal assistance is stated elsewhere in this report). Reasonable Exposure Time (USPAP defines Exposure Time as the estimated length of time that the property interest being appraised would have been offered on the market prior to the hypothetical consummation of a sale at market value on the effective date of the appraisal.) My Opinion of Reasonable Exposure Time for the subject property at the market value stated in this report is: 0-3 Months. Comments on Appraisal and Report Identification Note any USPAP-related issues requiring disclosure and any state mandated requirements: This restricted-use appraisal report is written on appraisal forms designed by FNMA and FHLMC for mortgage related purposes. Some of the forms certifications and statements of limiting conditions have been removed, and the remaining certifications on URAR page 6 of 6 numbered from 21-25, and supervisory appraiser certification numbered 1-5 DO NOT APPLY to this assignment. The intended use of this appraisal report is to determine the market value of the subject property for personal reasons. This appraisal is not authorized to be used for any other purpose, or for federally related transactions. The intended users of this report are Joseph & Yvonne Obrien (Trustees), Doug Obrien and Deborah Obrien. No other intended users are identified. USPAP does not govern, restrict, or mandate any type of forms to be used in reporting an appraisal of real property. This type of appraisal format is used because it is the most user-friendly type of report to read and comprehend for personal client use. APPRAISER: SUPERVISORY or CO-APPRAISER (if applicable): Signature: Name: Donnie R Davis Signature: Name: State Certification #: 2493 or State License #: State: TN Expiration Date of Certification or License: 06/30/2019 Date of Signature and Report: 09/20/2017 Effective Date of Appraisal: 09/08/2017 Inspection of Subject: None Interior and Exterior Exterior-Only Date of Inspection (if applicable): 09/08/2017 State Certification #: or State License #: State: Expiration Date of Certification or License: Date of Signature: Inspection of Subject: None Date of Inspection (if applicable): Form ID14E - "TOTAL" appraisal software by a la mode, inc ALAMODE Interior and Exterior Exterior-Only

24 Appraiser License Form SCNLGL - "TOTAL" appraisal software by a la mode, inc ALAMODE