APPRAISAL OF REAL PROPERTY LOCATED AT: FOR: AS OF: BY:

Transcription

1 Main File No Page #1 of 24 APPRAISAL OF REAL PROPERTY LOCATED AT: 2495 Ross Rd LL 46; Dist. 6; Lot 21; Saddle Ridge Farms Snellville, GA FOR: 2495 Ross Road Snellville, GA AS OF: 12/22/2011 BY: Michael Townsend S.C.R.R.P.A. #259563; FHA #GACR Direct Appraisal Group PO Box 464 Suwanee, GA Form GA1_LTR "WinTOTAL" appraisal software by a la mode, inc ALAMODE

2 Direct Appraisal Group (770) Main File No Page #3 of 24 Appraisal Report 2495 Ross Rd Snellville, GA Direct Appraisal Group (770) Appraised Value as of: $ 655,000 12/22/2011 FEATURES Style/Design: Living Area (Sq.Ft.): Total Bedrooms: Year Built: Condition: 1+StyTrad/Good Lot Size: 3,955 Neighborhood: Saddle Ridge Farms 5 Total Baths: Acres 1998 Effective Age: 5 Years Good Date of Report: 12/26/2011 PREPARED FOR Client: Address: City: 2495 Ross Road Snellville : GA Zip: Phone: Fax: dbfrazier@mindspring.com Name: Michael Townsend PREPARED BY Appraiser's Signature Designation: Certified Residential Certification or License #: SCRRPA #259563; F Expiration Date: 5/31/2012 ST: GA directappraisal@charter.net FILING Client File #: Frazier Appraiser File #: The value opinion expressed above is only valid in conjunction with the attached appraisal report. This value opinion may be subject to Hypothetical Conditions and/or Extraordinary Assumptions as indicated in the body of the report. A true and complete copy of this Summary Appraisal Report contains 10+ pages. Copyright 2007 by a la mode, inc. This form may be reproduced unmodified without written permission, however, a la mode, inc. must be acknowledged and credited. Form GPCSF_LT "WinTOTAL" appraisal software by a la mode, inc ALAMODE 10/2007

3 RESIDENTIAL APPRAISAL SUMMARY REPORT SUBJECT PROPERTY IDENTIFICATION : 2495 Ross Rd City: Snellville : GA Zip Code: County: Gwinnett Main File No Page #4 of 24 Legal Description of Real Property: LL 46; Dist. 6; Lot 21; Saddle Ridge Farms Tax Assessor's Parcel #: R.E. Taxes: $ 7,415 Tax Year: 2010 Special Assessments: $ Current Owner of Record: Occupancy: Owner Tenant Vacant Current Occupant (if occupied): Project Type (if applicable): Planned Unit Development Condominium Cooperative Home Owners' Association Membership Fees (if applicable): $ per year per month Market Area Name: Saddle Ridge Farms Map Reference: Census Tract: ASSIGNMENT The purpose of this appraisal is to develop a Current opinion of Market Value (as defined elsewhere in this report). Property Rights Appraised: Fee Simple Leasehold Leased Fee Other (describe) Intended Use: The intended use of this report is to determine the most appropriate overall market value of the Subject. Intended User(s) (by name or type): Requesting Realtor and Homeowner. Client: Address: 2495 Ross Road, Snellville, GA Appraiser: Michael Townsend Address: PO Box 464, Suwanee, GA MARKET AREA DESCRIPTION Location: Urban Suburban Rural Built Up: Over 75% 25-75% Under 25% Growth Rate: Rapid Stable Slow Property Values: Increasing Stable Declining Demand/Supply: Shortage In Balance Over Supply Marketing Time: Under 3 Mos. 3-6 Mos. Over 6 Mos. Typical One-Unit Housing Ranges: Price: ($) Low 350,000 High 1,200,000 Predominant 650,000 Age: (yrs.) Low New+ High 15 Predominant 10 Present Land Use: One-Unit: 85 % 2-4 Unit: 5 % Multi-Unit: % Comm'l: 10 % % Change in Land Use: Not Likely Likely * Is Changing * * To: Market Area Comments: See 1004MC (Market Conditions). SALE / TRANSFER / LISTING HISTORY OF SUBJECT PROPERTY 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): Date of Prior Sale / Transfer: Price of Prior Sale / Transfer: Source(s) of Prior Sale / Transfer Data: FMLS Tax Records; County Tax Records 1st Prior Sale / Transfer 2nd Prior Sale / Transfer 3nd Prior Sale / Transfer 06/14/ ,000 FMLS Tax Records FMLS Tax Records Analysis of sale / transfer history, any current agreements of sale or listing, and listing history (if relevent): Appraiser researched available tax records for a minimum 36 month sale or transfer history of the subject property and comparable sales. Client: Client File No.: Frazier Appraiser File No.: Copyright 2007 by a la mode, inc. This form may be reproduced unmodified without written permission, however, a la mode, inc. must be acknowledged and credited. Form GPCSF_LT "WinTOTAL" appraisal software by a la mode, inc ALAMODE 10/2007

4 RESIDENTIAL APPRAISAL SUMMARY REPORT SITE DESCRIPTION Main File No Page #5 of 24 Dimensions: See attached Plat Site Area: 5.0 Acres Zoning Classification: Aa047 Residential Zoning Description: Residential Lot with Improvements Zoning Compliance: Legal Legal Non-Conforming (Grandfathered) Illegal No Zoning Regulations Deed Restrictions: Are Covenants, Conditions, & Restrictions (CC&Rs) applicable? Yes No Unknown Have the documents been reviewed? Yes No Ground Rent (if applicable) $ / Comments: Highest & Best Use, as improved, is the: Present use, or Other use (explain) Characteristics: Topography: Above Street Grade/Sloping Size: Shape: Rectangular Drainage: View: Typical S/D,Wooded Landscaping: 5.0 Acres Appears Adequate Typical Landscaping Other features: Inside Lot Corner Lot Cul de Sac Underground Utilities Utilities: Public Other Provider/Description Electricity: Gas: Water: Sanitary Sewer: Public Public Public Septic Tank-Typical Off-site Improvements: Type Public Private Street: Curb/Gutter: Sidewalk: Alley: Asphalt Concrete None Noted None Noted Is the property or the improvements located in a FEMA Special Flood Hazard Area? Yes No FEMA Flood Zone: X FEMA Map # 13135C0136F FEMA Map Date: 09/29/2006 Site Comments: Subject resides on an atypically sized large lot for its immediate area with a relatively common at or above street level position. Subject site is considered desirable and resides in a favorable marketable area. Subject's small subdivision along Shiloh Ridge Trail does consist of large tract lots but the majority of the subdivisions in the area are typical sized lots less than an acre. DESCRIPTION OF THE IMPROVEMENTS General Description: # of Units: 1 + Accessory Unit # of Stories: 2 Design (Style): 1+StyTrad/Good Type: Detached Attached Status: Existing Proposed Under Construction Actual Age (years): 13 Years Effective Age (years): 5 Years Year Built: 1998 Exterior Description: Foundation: Roof Surface: Window Type(s): Poured Concrete/Good FG Shingle/Good DH Alum/Good Exterior Walls: Gutters & Downspouts: Storm / Screens: Stucco/Good Alum/Good Yes/Yes Heating System: FWA Cooling System: Yes Car Storage: None Garage Carport Driveway (Surface: Concrete ) Total # of Cars: 3 Livable area above grade contains: 10 Rooms, 5 Bedrooms, 3.1 Bath(s), and 3,955 Sq.Ft. of GLA Describe Additional Features and Improvements: The subject is in good physical condition with no functional or economic obsolescence noted unless specifically addressed in other comments or addenda. Client: Client File No.: Frazier Appraiser File No.: Copyright 2007 by a la mode, inc. This form may be reproduced unmodified without written permission, however, a la mode, inc. must be acknowledged and credited. Form GPCSF_LT "WinTOTAL" appraisal software by a la mode, inc ALAMODE 10/2007

5 RESIDENTIAL APPRAISAL SUMMARY REPORT SALES COMPARISON APPROACH TO VALUE Main File No Page #6 of 24 For the Sales Comparison Approach, the appraiser selects comparable sales that they consider the best matches to the subject in terms of physical characteristics, physical proximity, and time of sale. The appraiser then makes adjustments to the known sale price of each comparable sale to account for differences that are recognized by the market. For example, if the subject has a single bathroom but a comparable has 2, the comparable s sale price would be reduced by the attributable value given to the extra bathroom based on the market s reaction. Likewise, if a comparable sale has a smaller square footage than the subject, its sale price would be adjusted upward in the same manner. By weighting and reconciling these adjusted sales prices together, an opinion of value for the subject can be determined. FEATURE SUBJECT COMPARABLE SALE # 1 COMPARABLE SALE # 2 COMPARABLE SALE # 3 Address 2495 Ross Rd 1535 Hood Rd 2739 Tribble Mill Rd 4606 Chimney Rock Dr SW Snellville, GA Lawrenceville, GA Lawrenceville, GA Lilburn, GA Proximity to Subject miles NE miles NE 3.47 miles NW Sale Price $ $ 625,000 $ 630,000 $ 685,000 Sale Price / GLA $ /Sq.Ft.$ /Sq.Ft. $ /Sq.Ft. $ /Sq.Ft. Data Source(s) MLS/FMLS/Owner MLS/FMLS/Tax Records/Redlink MLS/FMLS/Tax Records/Redlink MLS/FMLS/Tax Records/Redlink ADJUSTMENT ITEMS DESCRIPTION DESCRIPTION +( ) $ Adjust. DESCRIPTION +( ) $ Adjust. DESCRIPTION +( ) $ Adjust. Sales or Financing Concessions Date of Sale / Time Rights Appraised Location Fee Simple Suburban/AvGd Conv/DOM 55 Seller:$15,143 07/11/2011 Fee Simple Suburban/AvGd Cash/DOM 67 Seller:$ /29/2011 Fee Simple Suburban/AvGd Cash/DOM 464 Seller:$0 03/29/2011 Fee Simple Suburban/AvGd Site 5.0 Acres 6.1 Acres -5, Acres 3.5 Acres +8,000 View Typical S/D,Wooded S/D,Wooded S/D,Wooded S/D,Wooded Design (Style) 1+StyTrad/Good 2StyTrad/Good 1+StyTrad/Good 2StyTrad/Good Quality of Construction Stucco/Good Stucco/Good Frame/Stone/AvGd +10,000 Brick/Good Age Condition Above Grade 13 Years Good Total Bdrms Baths 14 Years Good Total Bdrms Baths 3 Years Good Total Bdrms Baths 12 Years Good Total Bdrms Baths Room Count , Gross Living Area 3,955 Sq.Ft. 7,273 Sq.Ft. -82,950 4,406 Sq.Ft. -11,275 3,754 Sq.Ft. +5,025 Basement Total Area 2219 Sq.Ft. Slab +22, Sq.Ft. -5, Sq. Ft. -3,000 Basement Finish Area 100% Finished +22,200 75% Finished +1,600 52% Finished +9,100 Functional Utility Heating / Cooling Energy Efficient Items Garage / Carport Porch / Patio / Deck Average FWA/Central Standard 3Gar Att Porch,Dks,Patios Average FWA/Central Standard 3Gar Att Porch,Dks,Patios Average FWA/Central Standard 3Gar Att Porch,Dks,Patios Average FWA/Central Standard 4Gar Att Porch,Dks,Patios -2,500 Extras 3 Fireplaces 2 Fireplaces +2,000 2 Fireplaces +2,000 1 Fireplace +4,000 Extras I/G Pool,Spa I/G Pool,Spa I/G Pool +3,500 I/G Pool,Pool Hse -3,500 Extras Fence Fence None +3,500 Fence Net Adjustment (Total) + $ -49,550 + $ 4,125 + $ 17,125 Adjusted Sale Price Net 7.9 % Net 0.7 % Net 2.5 % of Comparables Gross 22.8 % $ 575,450 Gross 5.9 % $ 634,125 Gross 5.1 % $ 702,125 Comments on the Sales Comparison Approach: See Attached Addenda. Appraiser's Indicated Value by the Sales Comparison Approach: $ 655,000 Client: Client File No.: Frazier Appraiser File No.: Copyright 2007 by a la mode, inc. This form may be reproduced unmodified without written permission, however, a la mode, inc. must be acknowledged and credited. Form GPCSF_LT "WinTOTAL" appraisal software by a la mode, inc ALAMODE 10/2007

6 RESIDENTIAL APPRAISAL SUMMARY REPORT RECONCILIATION Main File No Page #7 of 24 Final Reconciliation of the Approaches to Value: The market comparison approach is considered the best value indicator, it represents the action of actual sellers and purchasers in an open market. Homes in the neighborhood are typically purchased as owner occupied properties, not for income. Thus, the Income Approach is not considered appropriate in this case. 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; subject to the following required inspection(s) based on the Extraordinary Assumption that the following condition or deficiency does not require alteration or repair: This appraisal is conducted for Subject property on an "as-is" basis as of the date of inspection. This report is also subject to other Hypothetical Conditions or Extraordinary Assumptions as specified elsewhere in this report. ATTACHMENTS A true and complete copy of this report contains 10+ pages, including all exhibits which are considered an integral part of the report. This appraisal report may not be properly understood without reference to the information contained in the complete report. Attached Exhibits: Scope of Work Limiting Conditions Certifications Narrative Addendum Sketch Addendum Map Addenda Additional Sales Cost Addendum Flood Addendum Manuf. House Addendum Hypothetical Conditions Extraordinary Assumptions Extraordinary Assumptions OPINION OF VALUE This Opinion of Value may be subject to other Hypothetical Conditions and / or Extraordinary Assumptions, if so indicated above. Based on the degree of inspection of the subject property as indicated below; the defined Scope of Work for this appraisal assignment; the attached ment of Assumptions and Limiting Conditions; and the attached Appraiser s Certifications, my (our) Current Opinion of the Market Value (or value range), as defined elsewhere in this report, of the real property that is the subject of this report is: $ 655,000, as of: 12/22/2011, which is both the Inspection Date and the Effective Date of this appraisal. SIGNATURES APPRAISER SUPERVISORY APPRAISER (if required) or CO-APPRAISER (if applicable) Appraiser Name: Michael Townsend Company: Direct Appraisal Group Phone: (770) Fax: (770) directappraisal@charter.net Date of Report (Signature): License or Certification #: 12/26/2011 SCRRPA #259563; FHA #GACR : GA Designation: Certified Residential Expiration Date of License or Certification: 5/31/2012 Inspection of Subject: Interior & Exterior Exterior Only None Date of Inspection: 12/22/2011 Supervisory or Co-Appraiser Name: Company: Phone: Fax: Date of Report (Signature): License or Certification #: : Designation: Expiration Date of License or Certification: Inspection of Subject: Interior & Exterior Exterior Only None Date of Inspection: Client: Client File No.: Frazier Appraiser File No.: Copyright 2007 by a la mode, inc. This form may be reproduced unmodified without written permission, however, a la mode, inc. must be acknowledged and credited. Form GPCSF_LT "WinTOTAL" appraisal software by a la mode, inc ALAMODE 10/2007

7 Subject Photo Page Main File No Page #8 of 24 Borrower/Client City 2495 Ross Rd Snellville County Gwinnett GA Zip Code Lender 2495 Ross Rd Sales Price Gross Living Area Total Rooms Total Bedrooms Total Bathrooms Location View Site Quality Age Subject Front 3, Suburban/AvGd Typical S/D,Wooded 5.0 Acres Stucco/Good 13 Years Subject Rear Subject Street Form PICPIX.SR "WinTOTAL" appraisal software by a la mode, inc ALAMODE

8 Photograph Addendum Main File No Page #9 of 24 Borrower/Client City 2495 Ross Rd Snellville County Gwinnett GA Zip Code Lender Side View Pool/Spa Rear Deck Driveway from Shiloh Ridge Trail Family Room Dining Room Form PICSIX2 "WinTOTAL" appraisal software by a la mode, inc ALAMODE

9 Photograph Addendum Main File No Page #10 of 24 Borrower/Client City 2495 Ross Rd Snellville County Gwinnett GA Zip Code Lender Kitchen 3 Car Garage 1/2 Bathroom Master Bedroom Master Bathroom Family Room View from Walkway Form PICSIX2 "WinTOTAL" appraisal software by a la mode, inc ALAMODE

10 Photograph Addendum Main File No Page #11 of 24 Borrower/Client City 2495 Ross Rd Snellville County Gwinnett GA Zip Code Lender Bedroom Bathroom Basement Basement Basement Basement Form PICSIX2 "WinTOTAL" appraisal software by a la mode, inc ALAMODE

11 Comparable Photo Page Main File No Page #12 of 24 Borrower/Client City 2495 Ross Rd Snellville County Gwinnett GA Zip Code Lender 1535 Hood Rd Prox. to Subject Sales Price Gross Living Area Total Rooms Total Bedrooms Total Bathrooms Location View Site Quality Age Comparable miles NE 625,000 7, Suburban/AvGd S/D,Wooded 6.1 Acres Stucco/Good 14 Years Comparable Tribble Mill Rd Prox. to Subject miles NE Sales Price 630,000 Gross Living Area 4,406 Total Rooms 9 Total Bedrooms 4 Total Bathrooms 3.1 Location Suburban/AvGd View S/D,Wooded Site 5.0 Acres Quality Frame/Stone/AvGd Age 3 Years Comparable Chimney Rock Dr SW Prox. to Subject 3.47 miles NW Sales Price 685,000 Gross Living Area 3,754 Total Rooms 10 Total Bedrooms 5 Total Bathrooms 3.1 Location Suburban/AvGd View S/D,Wooded Site 3.5 Acres Quality Brick/Good Age 12 Years Form PICPIX.CR "WinTOTAL" appraisal software by a la mode, inc ALAMODE

12 Main File No Page #13 of 24 Supplemental Addendum File No. Borrower/Client City 2495 Ross Rd Snellville County Gwinnett GA Zip Code Lender USPAP/ASB Comments This Appraisal Report is a Summary Report as defined by the Appraisal Standards Board of the Appraisal Foundation and is in compliance with USPAP guidelines. All supporting documentation and data used to support or form the conclusions in this report is contained within the original files of the appraiser. This summary appraisal report is intended for use by the client and/or their assigns for a Estate Purposes Only only and NOT a mortgage finance transaction. This report is not intended for any other use. I have no current or prospective interest in the subject property or the parties involved; and no services were performed by the appraiser within the 3 year period immediately preceding acceptance of this assignment, as an appraiser or in any capacity. Digital Photos The Electronic Photos/Digital Images contained in this appraisal have not been modified or altered in any way. They are accurate representations of the properties on the date of inspection. The Digital Signatures The Electronic/Digital Signatures contained in this appraisal are Password protected and conform to FNMA/FHLMC/FHA Guidelines. URAR: Sales Comparison Analysis - Summary of Sales Comparison Approach The comparable sales are recent and taken from the same general market area as the subject. They are considered similar in design, appeal, functional utility and marketability to the subject. Each comparable was given equal consideration in the market comparison approach to value. The Subject Property consists of a 13 year old, 3,955 square foot estate home that is situated upon a 5.0 acre lot within the Saddle Ridge Farms S/D in Gwinnett county, Georgia. Subject is considered to be in good overall condition and resides in a favorable market area. Subject is situated atop a beautiful and serence 5 acre tract just east of the Stone Mountain Park. Subject property is an estate style home with amenities consisting of large acreage, long winding driveway with 2 entry points, 3 car attached garage, in-ground pool and spa, fencing and multiple decks, patios and fireplaces. One item of note however, with regard to the overall Gross Living Area (GLA) of the home: Subject property is listed in the Gwinnett County Tax Records as having 5,954 sq. ft. of GLA. This is an amount of square footage for the home that most likely includes the finished lower terrace level. This practice of including a home's finished terrace level as part of the GLA is becoming more common among various county tax assessors but it should be noted that this is absolutely an inaccurate identification of a home's proper living square footage amount for which it should be taxed. A home's GLA plays an integral part of a tax assessment's value and ultimately resulting in the payable tax assessment amount for the homeowner. It should be noted that the 5,954 sf cited in the Gwinnett County tax records for Subject property is incorrect and is likely causing a higher than needed tax assessment of this property. The enclosed sketch of the Subject property is a much better GLA size indicator of this home than the tax records and is used as such with regard to the comparison purposes of the comparable sales. Signature Name Michael Townsend Date Signed 12/26/2011 Certification # SCRRPA #259563; FHA #GACR Or License # GA Signature Name Date Signed Certification # Or License # Form TADD2 "WinTOTAL" appraisal software by a la mode, inc ALAMODE

13 Main File No Page #14 of 24 Supplemental Addendum File No. Borrower/Client City 2495 Ross Rd Snellville County Gwinnett GA Zip Code Lender The Comparables provided are considered to be the most proximate, recent and physically similar obtainable through the available data sources. They are also considered to be located within the same Market Area as the Subject. More than six months have passed since the sale of one or more Comparables. However, due to the proximity and physical similarity to the Subject, the Comparables with sales over 6 months are considered to be good indicators of the Subject's Estimated Market Value. Comparables are located more than one mile away. It was necessary to exceed the typically deemed acceptable one mile guideline in order to bracket the Subjects GLA, inground pool and large acreage tract. Following appropriate adjustments, it is the Appraiser's opinion that they are good value indicators for the Subject. The Effective Ages of the Comparable properties were determined through the review of FMLS realtor descriptions of the condition of their improvements and/or visual inspection of their exteriors. URAR : Neighborhood - Description There are no apparent adverse factors which would affect the marketability of properties in the subject neighborhood. The subject is located within relatively close proximity from the CBD of Atlanta. Schools, shopping, recreational and public service facilities are conveniently located. The economic base of the the area is strong overall and is influenced by Atlanta's positive growth. Access to major attractions and facilities is available via most major interstates. Signature Name Michael Townsend Date Signed 12/26/2011 Certification # SCRRPA #259563; FHA #GACR Or License # GA Signature Name Date Signed Certification # Or License # Form TADD2 "WinTOTAL" appraisal software by a la mode, inc ALAMODE

14 MARKET RESEARCH & ANALYSIS Frazier 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, Ross Rd City Snellville GA ZIP Code Borrower 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) Increasing Stable Declining Absorption Rate (Total Sales/Months) Increasing Stable Declining Total # of Comparable Active Listings Declining Stable Increasing Months of Housing Supply (Total Listings/Ab.Rate) Declining Stable Increasing Median Sale & List Price, DOM, Sale/List % Prior 7 12 Months Prior 4 6 Months Current 3 Months Overall Trend Median Comparable Sale Price 549, , ,000 Increasing Stable Declining Median Comparable Sales Days on Market Declining Stable Increasing Median Comparable List Price 799, , ,750 Increasing Stable Declining Median Comparable Listings Days on Market Declining Stable Increasing Median Sale Price as % of List Price 84.55% 96.62% % Increasing Stable Declining Seller-(developer, builder, etc.)paid financial assistance prevalent? Yes No Declining Stable Increasing 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.). See Attached Addenda. Are foreclosure sales (REO sales) a factor in the market? Yes No If yes, explain (including the trends in listings and sales of foreclosed properties). See Attached Addenda. Main File No Page #15 of 24 Cite data sources for above information. See Attached Addenda. 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. See Attached Addenda. CONDO/CO-OP PROJECTS 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) Increasing Stable Declining Absorption Rate (Total Sales/Months) Increasing Stable Declining Total # of Active Comparable Listings Declining Stable Increasing Months of Unit Supply (Total Listings/Ab.Rate) Declining Stable Increasing Are foreclosure sales (REO sales) a factor in the project? Yes 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. APPRAISER Signature Appraiser Name Michael Townsend Company Name Direct Appraisal Group Company Address PO Box 464, Suwanee, GA License/Certification # SCRRPA #259563; FHA #G Address directappraisal@charter.net GA Signature Supervisory Appraiser Name Company Name Company Address License/Certification # Address Freddie Mac Form 71 March 2009 Page 1 of 1 Fannie Mae Form 1004MC March 2009 Form 1004MC2 "WinTOTAL" appraisal software by a la mode, inc ALAMODE

15 Main File No Page #16 of 24 Supplemental Addendum File No. Borrower/Client City 2495 Ross Rd Snellville County Gwinnett GA Zip Code Lender Addendum for Fannie Mae Form 1004MC The purpose of this form is to provide supplemental explanation for the entries made on the Fannie Mae Market Conditions Form 1004MC. Data Sources - Access to listing information for prior periods is not accessible from available data sources and therefore was not included in the form. listing information shown includes current listings only. Local data sources use the mean average and not the median - therefore, the averages shown are the mean average. While no single data source contains transaction information on each and every sale, the data sources used are considered generally reliable sources and do contain a sufficient enough share of the total number of real estate transactions to permit analysis of market conditions. Although generally reliable, the data sources are not considered to be reliable when estimating "days on market" or "seller paid costs." The reason is that agents have the means to obscure the actual days on market by manipulating the listing process; and often do not report seller paid costs. Summary - The analysis of market data includes only reasonable and limited review of comparable real estate transactions from the subject's immediate area in an attempt to reveal market trends. The analysis is an overview of market activity and should be considered neither detailed nor exhaustive. Review of market activity did not include comprehensive analysis of every sale/listing or every relevant transaction. Reported on the top of page 2 of this appraisal report are current comparable listings and comparable sales from the previous 12 months. It should be noted that those listings and sales are drawn from a narrow segment of the market, often from within the subject's S/D. For purpose of completing this Market Conditions form, data was analyzed from a broader geographic area (more closely resembling the neighborhood as defined on page 1) and includes properties which may not be considered comparable alternatives. This was necessary to obtain a sample size that permitted meaningful analysis. Failure to take into account the broader market would permit transactions at the extremes to disproportionately influence analysis because of insufficient sample size. In addition, it would result in the subjective elimination of transactions which likely would be helpful indicators of market conditions for the market within which the subject is located -even though they may not be direct substitutes for the,subject property. Therefore, in completing the above "Inventory Analysis" and "Median Sale & List Price " sections, an attempt was made to broaden the area of analysis to include a sufficient number of properties that would likely result in more reliable conclusions regarding relevant market conditions. Market Analysis: Seller Concessions Comments Typical financing in this market required sellers participation of 5% of the mortgage amount (5 points) or less. These seller concessions are generally comprise of discount points and /or closing costs which have demonstrates little to no measurable impact on price. The frequency with which seller concessions are required in transactions tends to decrease as transaction price increases with the majority of sales under $350,000 involved some seller participation in transaction costs. A review of seller concessions for the previous 12 months continues to show that sellers concessions appear in transactions randomly and sporadically - failing to provide any conclusive evidence of change or trends for the past 12 months. Signature Name Michael Townsend Date Signed 12/26/2011 Certification # SCRRPA #259563; FHA #GACR Or License # GA Signature Name Date Signed Certification # Or License # Form TADD2 "WinTOTAL" appraisal software by a la mode, inc ALAMODE

16 Main File No Page #17 of 24 Supplemental Addendum File No. Borrower/Client City 2495 Ross Rd Snellville County Gwinnett GA Zip Code Lender Market Analysis: Foreclosure Sales (REO Sales) Comments County records show foreclosure activity has been increasing over recent months which has contributed to increasing inventories, erosion of support for market prices and extended marketing periods. While foreclosure activity is a factor in the market, it is but one factor. Overall economic conditions which have lead to the high number of foreclosures is also contributing to the market's instability. It is unlikely that market conditions will improve until employment and mortgage lending has stabilized and the federal government allows market forces to adjust to changing levels of price and economic activity. Market Analysis: Data Source(s) No single source provides complete data for the above analysis. The most useful source used was First Multiple Listing service FMLS and Georgia MLS. Although the FMLS / MLS do not include information on ALL real estate transactions, it reports enough transactions to draw meaningful conclusions and is generally considered as a reliable source. Also, county and tax records reported by Realist and/or RedLink may have been used. See Addendum. Signature Name Michael Townsend Date Signed 12/26/2011 Certification # SCRRPA #259563; FHA #GACR Or License # GA Signature Name Date Signed Certification # Or License # Form TADD2 "WinTOTAL" appraisal software by a la mode, inc ALAMODE

17 Building Sketch Main File No Page #18 of 24 Borrower/Client City 2495 Ross Rd Snellville County Gwinnett GA Zip Code Lender 15.0' 22.0' 13.0' 11.0' Bedroom 14.0' 2nd Floor 19.0' 18.0' Bedroom Clos. 28.0' Clos. Walkway Bath 24.0' Bath Bedroom Bedroom 13.0' 5.0' Clos. 11.0' 9.0' 4.0' 18.0' 14.0' 11.0' 8.0' Deck 4.0' 7.0' 4.0' Deck Patio 15.0' Patio 30.0' 4.0' 4.0' 15.0' 30.0' 4.0' 4.0' 15.0' Master Bath 22.0' 23.0' Brkfst Kitchen Family Room 1/2 Bath Clos. Master Bedroom 34.0' Finished 33.0' 3 Car Garage 7.0' 2.0' Laundry Dining Room Foyer 41.0' 41.0' 4.0' Living Room 22.0' 7.0' 18.0' 14.0' 1st Floor 13.0' 7.0' 4.0' 3.0' 4.0' 18.0' 14.0' Basement 13.0' 7.0' 15.0' Sketch by Apex IV Comments: AREA CALCULATIONS SUMMARY Code Description Net Size Net Totals GLA1 First Floor GLA2 Second Floor BSMT Basement GAR Garage LIVING AREA BREAKDOWN Breakdown Subtotals First Floor 1.0 x x x x 2.0 x x 2.0 x x x x x x x Second Floor 15.0 x x x x x x x x Net LIVABLE Area (Rounded) Items (Rounded) 3955 Form SKT_LT.BldSkI "WinTOTAL" appraisal software by a la mode, inc ALAMODE

18 Location Map Main File No Page #19 of 24 Borrower/Client City 2495 Ross Rd Snellville County Gwinnett GA Zip Code Lender Form MAP_LT.LOC "WinTOTAL" appraisal software by a la mode, inc ALAMODE

19 Location Map Main File No Page #20 of 24 Borrower/Client City 2495 Ross Rd Snellville County Gwinnett GA Zip Code Lender Form MAP_LT.LOC "WinTOTAL" appraisal software by a la mode, inc ALAMODE

20 Location Map Main File No Page #21 of 24 Borrower/Client City 2495 Ross Rd Snellville County Gwinnett GA Zip Code Lender Form MAP_LT.LOC "WinTOTAL" appraisal software by a la mode, inc ALAMODE

21 Location Map Main File No Page #22 of 24 Borrower/Client City 2495 Ross Rd Snellville County Gwinnett GA Zip Code Lender Form MAP_LT.LOC "WinTOTAL" appraisal software by a la mode, inc ALAMODE

22 Plat Main File No Page #23 of 24 Borrower/Client City 2495 Ross Rd Snellville County Gwinnett GA Zip Code Lender Form MAP_LT.LOC "WinTOTAL" appraisal software by a la mode, inc ALAMODE

23 Appraiser License Main File No Page #24 of 24 Form SCNLTR "WinTOTAL" appraisal software by a la mode, inc ALAMODE