APPRAISAL OF REAL PROPERTY

Transcription

1 APPRAISAL OF REAL PROPERTY LOCATED AT San Bernardino, CA HOME BUILDERS MONTE VISTA TRACT LOT 10 AND PTN ALLEY VAC ON N FOR 388 Market Street, 13th Floor San Francisco, CA OPINION OF VALUE 220,000 AS OF 08/09/2017 BY Matthew Jones A+ Appraisal 616 Olive Ave San Bernardino, CA MJones@APlusApp.com Form GA1V_LT - "TOTAL" appraisal software by a la mode, inc ALAMODE

2 Appraiser Independence Certification I do hereby certify, I have followed the appraiser independence safeguards in compliance with Appraisal Independence and any applicable state laws I may be required to comply with. This includes but is not limited to the following: I am currently licensed and/or certified by the state in which the property to be appraised is located My license is the appropriate license for the appraisal assignment(s) and is reflected on the appraisal report. I certify that there have been no sanctions against me for any reason that would impair my ability to perform appraisals pursuant to the required guidelines., I assert that no employee, director, officer, or agent of or any other third party acting as joint venture partner, independent contractor, appraisal management company, or partner on behalf of, influenced, or attempted to influence the development, reporting, result, or review of my appraisal through coercion, extortion, collusion, compensation, inducement, intimidation, bribery, or in any other manner. I further assert that following prohibited behavior in our business relationship: has never participated in any of the 1) Withholding or threatening to withhold timely payment or partial payment for an appraisal report; 2) Withholding or threatening to withhold future business with me, or demoting or terminating or threatening to demote or terminate me; 3) Expressly or impliedly promising future business, promotions, or increased compensation for myself; 4) Conditioning the ordering of my appraisal report or the payment of my appraisal fee or salary or bonus on the opinion, conclusion, or valuation to be reached, or on a preliminary value estimate requested from me; ) Requesting that I provide an estimated, predetermined, or desired valuation in an appraisal report prior to the completion of the appraisal report, or requesting that I provide estimated values or comparable sales at any time prior to my completion of an appraisal report; 6) Provided me an anticipated, estimated, encouraged, or desired value for a subject property or a proposed or target amount to be loaned to the borrower, except that a copy of the sales contract for purchase transactions may be provided; 7) Provided to me, or my appraisal company, or any entity or person related to me as appraiser, appraisal company, stock or other financial or non-financial benefits; 8) Any other act or practice that impairs or attempts to impair my independence, objectivity, or impartiality or violates law or regulation, including, but not limited to, the Truth in Lending Act (TILA) and Regulation Z, or the USPAP. 08/09/2017 Signature Date Matthew Jones AL Appraiser's Name State License or Certification # Residential Real Estate Appraiser 03/17/2019 State Title or Designation Expiration Date of License or Certification CA State, San Bernardino, CA Address of Property Appraised 0/13 Form APPRIND2 - "TOTAL" appraisal software by a la mode, inc ALAMODE

3 Assumptions, Limiting Conditions & Scope of Work Property Address: Client: Appraiser: Matthew Jones City: San Bernardino File No.: 10TH State: CA Zip Code: Address: 388 Market Street, 13th Floor, San Francisco, CA Address: 616 Olive Ave, San Bernardino, CA STATEMENT OF ASSUMPTIONS & LIMITING CONDITIONS - The appraiser will not be responsible for matters of a legal nature that affect either the property being appraised or the title to it. The appraiser assumes that the title is good and marketable and, therefore, will not render any opinions about the title. The property is appraised on the basis of it being under responsible ownership. - The appraiser may have provided a sketch in the appraisal report to show approximate dimensions of the improvements, and any such sketch is included only to assist the reader of the report in visualizing the property and understanding the appraiser's determination of its size. Unless otherwise indicated, a Land Survey was not performed. - If so indicated, the appraiser has examined the available flood maps that are provided by the Federal Emergency Management Agency (or other data sources) and has noted in the appraisal report whether the subject site is located in an identified Special Flood Hazard Area. Because the appraiser is not a surveyor, he or she makes no guarantees, express or implied, regarding this determination. - The appraiser will not give testimony or appear in court because he or she made an appraisal of the property in question, unless specific arrangements to do so have been made beforehand. - If the cost approach is included in this appraisal, the appraiser has estimated the value of the land in the cost approach at its highest and best use, and the improvements at their contributory value. These separate valuations of the land and improvements must not be used in conjunction with any other appraisal and are invalid if they are so used. Unless otherwise specifically indicated, the cost approach value is not an insurance value, and should not be used as such. - The appraiser has noted in the appraisal report any adverse conditions (including, but not limited to, needed repairs, depreciation, the presence of hazardous wastes, toxic substances, etc.) observed during the inspection of the subject property, or that he or she became aware of during the normal research involved in performing the appraisal. Unless otherwise stated in the appraisal report, the appraiser has no knowledge of any hidden or unapparent conditions of the property, or adverse environmental conditions (including, but not limited to, the presence of hazardous wastes, toxic substances, etc.) that would make the property more or less valuable, and has assumed that there are no such conditions and makes no guarantees or warranties, express or implied, regarding the condition of the property. The appraiser will not be responsible for any such conditions that do exist or for any engineering or testing that might be required to discover whether such conditions exist. Because the appraiser is not an expert in the field of environmental hazards, the appraisal report must not be considered as an environmental assessment of the property. - The appraiser obtained the information, estimates, and opinions that were expressed in the appraisal report from sources that he or she considers to be reliable and believes them to be true and correct. The appraiser does not assume responsibility for the accuracy of such items that were furnished by other parties. - The appraiser will not disclose the contents of the appraisal report except as provided for in the Uniform Standards of Professional Appraisal Practice, and any applicable federal, state or local laws. - If this appraisal is indicated as subject to satisfactory completion, repairs, or alterations, the appraiser has based his or her appraisal report and valuation conclusion on the assumption that completion of the improvements will be performed in a workmanlike manner. - An appraiser's client is the party (or parties) who engage an appraiser in a specific assignment. Any other party acquiring this report from the client does not become a party to the appraiser-client relationship. Any persons receiving this appraisal report because of disclosure requirements applicable to the appraiser's client do not become intended users of this report unless specifically identified by the client at the time of the assignment. - The appraiser's written consent and approval must be obtained before this appraisal report can be conveyed by anyone to the public, through advertising, public relations, news, sales, or by means of any other media, or by its inclusion in a private or public database. - An appraisal of real property is not a 'home inspection' and should not be construed as such. As part of the valuation process, the appraiser performs a non-invasive visual inventory that is not intended to reveal defects or detrimental conditions that are not readily apparent. The presence of such conditions or defects could adversely affect the appraiser's opinion of value. Clients with concerns about such potential negative factors are encouraged to engage the appropriate type of expert to investigate. The Scope of Work is the type and extent of research and analyses performed in an appraisal assignment that is required to produce credible assignment results, given the nature of the appraisal problem, the specific requirements of the intended user(s) and the intended use of the appraisal report. Reliance upon this report, regardless of how acquired, by any party or for any use, other than those specified in this report by the Appraiser, is prohibited. The Opinion of Value that is the conclusion of this report is credible only within the context of the Scope of Work, Effective Date, the Date of Report, the Intended User(s), the Intended Use, the stated Assumptions and Limiting Conditions, any Hypothetical Conditions and/or Extraordinary Assumptions, and the Type of Value, as defined herein. The appraiser, appraisal firm, and related parties assume no obligation, liability, or accountability, and will not be responsible for any unauthorized use of this report or its conclusions. Additional Comments (Scope of Work, Extraordinary Assumptions, Hypothetical Conditions, etc.): Appraisal not for Federally regulated mortgage lending purposes. The report may not be used for any purpose by any person other than the party to whom it is addressed without the written consent of the appraiser and the appraiser specifically disclaims any liability to such unauthorized third parties. 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 GPRES2AD - "TOTAL" appraisal software by a la mode, inc ALAMODE 3/2007

4 Certifications Property Address: Client: Appraiser: Matthew Jones City: San Bernardino File No.: 10TH State: CA Zip Code: Address: 388 Market Street, 13th Floor, San Francisco, CA Address: 616 Olive Ave, San Bernardino, CA APPRAISER'S CERTIFICATION I certify that, to the best of my knowledge and belief: - The statements of fact contained in this report are true and correct. - The credibility of this report, for the stated use by the stated user(s), of 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. - Unless otherwise indicated, 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 to 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 did not base, either partially or completely, my analysis and/or the opinion of value in the appraisal report on the race, color, religion, sex, handicap, familial status, or national origin of either the prospective owners or occupants of the subject property, or of the present owners or occupants of the properties in the vicinity of the subject property. - Unless otherwise indicated, I have made a personal inspection of the property that is the subject of this report. - Unless otherwise indicated, no one provided significant real property appraisal assistance to the person(s) signing this certification. Additional Certifications: DEFINITION OF MARKET VALUE *: Market value means the most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller each acting prudently and knowledgeably, and assuming the price is not affected by undue stimulus. Implicit in this definition is the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby: 1. Buyer and seller are typically motivated; 2. Both parties are well informed or well advised and acting in what they consider their own best interests; 3. A reasonable time is allowed for exposure in the open market; 4. Payment is made in terms of cash in U.S. dollars or in terms of financial arrangements comparable thereto; and. The price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions granted by anyone associated with the sale. * This definition is from regulations published by federal regulatory agencies pursuant to Title XI of the Financial Institutions Reform, Recovery, and Enforcement Act (FIRREA) of 1989 between July, 1990, and August 24, 1990, by the Federal Reserve System (FRS), National Credit Union Administration (NCUA), Federal Deposit Insurance Corporation (FDIC), the Office of Thrift Supervision (OTS), and the Office of Comptroller of the Currency (OCC). This definition is also referenced in regulations jointly published by the OCC, OTS, FRS, and FDIC on June 7, 1994, and in the Interagency Appraisal and Evaluation Guidelines, dated October 27, Client Contact: Manny Fernandez manny@dreamfunded.com Client Name: Address: 388 Market Street, 13th Floor, San Francisco, CA SIGNATURES APPRAISER SUPERVISORY APPRAISER (if required) or CO-APPRAISER (if applicable) Appraiser Name: Matthew Jones Company: A+ Appraisal Phone: Fax: MJones@APlusApp.com Date Report Signed: 08/09/2017 License or Certification #: State: CA AL Designation: Residential Real Estate Appraiser Expiration Date of License or Certification: 03/17/2019 Inspection of Subject: Interior & Exterior Exterior Only None Date of Inspection: 08/09/2017 Supervisory or Co-Appraiser Name: Company: Phone: Fax: Date Report Signed: License or Certification #: Designation: Expiration Date of License or Certification: Inspection of Subject: Interior & Exterior Date of Inspection: State: Exterior Only None 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 GPRES2AD - "TOTAL" appraisal software by a la mode, inc ALAMODE 3/2007

5 A+ Appraisal MARKET AREA DESCRIPTION ASSIGNMENT SUBJECT APPRAISAL REPORT Property Address: County: SAN BERNARDINO Legal Description: HOME BUILDERS MONTE VISTA TRACT LOT 10 AND PTN ALLEY VAC ON N Assessor's Parcel #: Tax Year: 2016 R.E. Taxes: 1,749 Special Assessments: 0 Borrower (if applicable): Manufactured Housing Current Owner of Record: Occupant: Owner Tenant Vacant SUPERIOR HOMES LLC Project Type: PUD Condominium Cooperative Other (describe) HOA: 0 per year per month Market Area Name: Map Reference: UNKNOWN Census Tract: 6.00 SAN BERNARDINO The purpose of this appraisal is to develop an opinion of: Market Value (as defined), or other type of value (describe) This report reflects the following value (if not Current, see comments): Current (the Inspection Date is the Effective Date) Retrospective Prospective Approaches developed for this appraisal: Sales Comparison Approach Cost Approach Income Approach (See Reconciliation Comments and Scope of Work) Property Rights Appraised: Fee Simple Leasehold Leased Fee Other (describe) Intended Use: THE INTENDED USE OF THIS APPRAISAL REPORT IS FOR THE CLIENT TO EVALUATE THE PROPERTY, AS IF THE PLANNED RENOVATION HAS BEEN COMPLETED PER PLANS AND SPECS. Intended User(s) (by name or type): Client: Address: 388 Market Street, 13th Floor, San Francisco, CA Appraiser: Address: 616 Olive Ave, San Bernardino, CA Matthew Jones Location: Urban Suburban Rural Predominant One-Unit Housing Present Land Use Change in Land Use Occupancy Built up: Over 7% 2-7% Under 2% PRICE AGE One-Unit Not Likely 90 % (000) (yrs) Growth rate: Rapid Stable Slow Owner 2-4 Unit Likely * In Process * 7 % Property values: Increasing Stable Declining Tenant 2 Low Multi-Unit % * To: Demand/supply: Shortage In Balance Over Supply Vacant (0-%) High 113 Comm'l 349 2% Marketing time: Under 3 Mos. 3-6 Mos. Over 6 Mos. Vacant (>%) Pred % Market Area Boundaries, Description, and Market Conditions (including support for the above characteristics and trends): PLEASE SEE ATTACHED TEXT ADDENDA FOR ADDITIONAL COMMENTS REGARDING THE SUBJECT'S MARKET CONDITIONS. Are CC&Rs applicable? Yes Highest & Best Use as improved: SITE DESCRIPTION MARKET BOUNDARIES: HIGHLAND AVENUE TO THE NORTH, THE #21 FREEWAY TO THE WEST, THE #10 FREEWAY TO THE SOUTH AND WATERMAN AVENUE TO THE EAST. Dimensions: SEE THE INCLUDED PLAT MAP Zoning Classification: SFR DESCRIPTION OF THE IMPROVEMENTS File No.: 10TH State: CA Zip Code: City: San Bernardino Actual Use as of Effective Date: Summary of Highest & Best Use: No Unknown Present use, or Zoning Compliance: Legal Have the documents been reviewed? Other use (explain) SINGLE FAMILY Site Area: 7,20 Description: SINGLE FAMILY Legal nonconforming (grandfathered) Illegal Yes No Ground Rent (if applicable) Use as appraised in this report: No zoning / SINGLE FAMILY Based on current market conditions, the existing structure as a single family residence is its financially feasible and maximally productive use. The highest and best use, as if vacant, would be to construct a single family residence. Type Public Private Public Other Provider/Description Off-site Improvements Electricity Street PUBLIC ASPHALT Gas Curb/Gutter CONCRETE PUBLIC Water Sidewalk PUBLIC CONCRETE Sanitary Sewer Street Lights ELECTRIC - CITY PUBLIC Storm Sewer Alley PUBLIC NONE Other site elements: Inside Lot Corner Lot Cul de Sac Underground Utilities Other (describe) FEMA Spec'l Flood Hazard Area Yes No FEMA Flood Zone X FEMA Map # 06071C867H Site Comments: NO ADVERSE SITE CONDITIONS. Utilities General Description # of Units Acc.Unit 1 # of Stories 1 Type Det. Att. Design (Style) Bungalow Existing Proposed Und.Cons. Actual Age (Yrs.) 97 Effective Age (Yrs.) Interior Description Floors TILE/CARPET Walls DRYWALL Trim/Finish WOOD Bath Floor TILE Bath Wainscot TILE Doors HOLLOW CORE Finished area above grade contains: Additional features: NONE. Exterior Description Foundation Exterior Walls Roof Surface Gutters & Dwnspts. Window Type Storm/Screens Appliances Refrigerator Range/Oven Disposal Dishwasher Fan/Hood Microwave Washer/Dryer Rooms Topography Size Shape Drainage View LEVEL 720 sf RECTANGULAR ADEQUATE FEMA Map Date 08/28/2008 Foundation Basement Heating YES None Slab Area Sq. Ft. Type NONE FWA Crawl Space % Finished Fuel STUCCO CRAWL SPACE GAS Basement Ceiling COMP NONE Cooling YES Sump Pump Walls NONE Dampness Floor Central CAC DUAL PANE Settlement NONE Outside Entry Other SCREENS Infestation NONE Attic Car Storage None Amenities None Stairs Fireplace(s) # NONE Woodstove(s) # Garage # of cars ( 2 Tot.) Drop Stair Patio Attach. CONCRETE Scuttle Deck Detach. NONE 1 Doorway Porch COVERED Blt.-In Floor Fence CHAIN/IRON/BLOCK Carport Heated Pool Driveway NONE 1 Finished Surface CONCRETE 3 Bedrooms 2.0 Bath(s) 1,037 Square Feet of Gross Living Area Above Grade CONCRETE Describe the condition of the property (including physical, functional and external obsolescence): SUBJECT IS A RECENTLY REHABBED 3 BEDROOM, 2 BATH CALIFORNIA BUNGALOW OF CONFORMING QUALITY AND CONDITION. NO NOTED PHYSICAL, FUNCTIONAL OR EXTERNAL OBSOLESCENCE. 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 GPRES2 - "TOTAL" appraisal software by a la mode, inc ALAMODE 3/2007

6 TRANSFER HISTORY APPRAISAL REPORT File No.: 10TH 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): REALIST, MLS 1st Prior Subject Sale/Transfer Analysis of sale/transfer history and/or any current agreement of sale/listing: THE SUBJECT WAS RECENTLY PURCHASED Date: 06/29/2017 BY THE CURRENT OWNER IN A NON-ARMS LENGTH TRANSACTION WITH A TRUSTEE'S DEED AND HAS NOT Price: 161,00 TRUSTEE'S DEED OTHERWISE SOLD OR TRANSFERRED. Source(s): REALIST 2nd Prior Subject Sale/Transfer Date: Price: Source(s): The Sales Comparison Approach was not developed for this appraisal. SALES COMPARISON APPROACH TO VALUE (if developed) FEATURE SUBJECT COMPARABLE SALE # 1 COMPARABLE SALE # 2 COMPARABLE SALE # 3 Address 76 W 16th St 1312 Wall Ave 664 W 16th St SALES COMPARISON APPROACH San Bernardino, CA Proximity to Subject Sale Price Sale Price/GLA Data Source(s) Verification Source(s) VALUE ADJUSTMENTS Sales or Financing Concessions Date of Sale/Time Rights Appraised Location Site View Design (Style) Quality of Construction Age Condition Above Grade Room Count Gross Living Area Basement & Finished Rooms Below Grade Functional Utility Heating/Cooling Energy Efficient Items Garage/Carport Porch/Patio/Deck San Bernardino, CA 9240 San Bernardino, CA miles NW 0.66 miles NE N/A /sq.ft miles NW 219, /sq.ft. San Bernardino, CA , /sq.ft. 22, /sq.ft. REALIST/CRMLS CRMLS# DOM:16 CRMLS#DW DOM:16 CRMLS#SR DOM:14 INSPECTION DOC# DOC# DOC#91700 DESCRIPTION DESCRIPTION 0 +(-) Adjust. DESCRIPTION ArmLth ArmLth +(-) Adjust. DESCRIPTION FHA;0 FHA;3000 N/A 06/14/2017 0/12/ /08/2017 Fee Simple Fee Simple Fee Simple Fee Simple 7,20 SF 6,240 sf Bungalow Bungalow Bungalow Bungalow GOOD GOOD Total Bdrms Baths 3-3,000 Conv;0 0 7,900 sf 0 6,00 sf 0 94 GOOD Baths 3 1,037 sq.ft. +1, sq.ft. 0 GOOD Total Bdrms Total Bdrms 2.0 Baths 3 Total Bdrms 2.0 1,026 sq.ft sf Baths +3, , ,038 sq.ft. 0 0sf 0sf FWA/CAC FWA/CAC FWA/CAC WALL/NONE Standard Items Standard Items Standard Items Standard Items 1 CAR GARAGE 1 CAR GARAGE 1 CAR GARAGE 2 CAR GARAGE PORCH/PATIO PORCH/PATIO PORCH/PATIO PORCH/PATIO Net Adjustment (Total) Adjusted Sale Price of Comparables Summary of Sales Comparison Approach + - 1, ,000 +(-) Adjust. ArmLth 0 0 0sf , , ,000-12, , ,000 ALL APPLIED ADJUSTMENTS WERE BASED ON THE "MATCHED PAIRS" THEORY WHEN POSSIBLE. IT IS NOTED THAT IN CERTAIN CIRCUMSTANCES, IT IS NOT POSSIBLE TO ADHERE TO THIS BASIC THEORY. IN SUCH CASES, THE EXPERT OPINION BASED ON EXPERIENCE OF THE APPRAISER MUST BE UTILIZED AND RELIED ON. THE EFFECTIVE AGE IS THE AGE OF AN IMPROVEMENT DETERMINED BY ITS CURRENT MARKET CONDITIONS AND UTILITY BASED ON DESIGN, LOCATION AND CURRENT COMPETITIVE MARKET CONDITIONS, THE EFFECTIVE AGE MAY AT TIMES BE HIGHER, LOWER OR THE SAME AS THE ACTUAL CONSTRUCTION DATE OF THE IMPROVEMENT. THE APPRAISER'S ESTIMATE OF THE EFFECTIVE AGE TAKES INTO ACCOUNT THE EXISTING IMPROVEMENTS, EXTERIOR AND INTERIOR APPEARANCE AND IF THE SUBJECT IS TYPICAL TO OTHER COMPARABLE DWELLINGS IN THE SUBJECTS IMMEDIATE AREA. AFTER A SEARCH OF THE CALIFORNIA REGIONAL MLS FOR SALES CLOSED WITH-IN THE PRIOR 6 MONTHS, WITH-IN THE NEIGHBORHOOD BOUNDARIES OUTLINED IN THIS REPORT, WITH GLA'S FROM SQUARE FEET. ALL SALES WERE CONSIDERED IN FINAL VALUATION WITH THE MOST WEIGHT GIVEN TO SALE 1 AS IT HAD THE LEAST AMOUNT OF GROSS ADJUSTMENT APPLIED. C1 AGENT DESCRIPTION: "NEW, NEW, NEW! BRING YOUR PICKIEST BUYER! FHA APPROVED HOME! FULLY REMODELED HOME WITH NEWLY INSTALLED CENTRAL AIR/HEAT FOR THOSE HOT SUMMER DAYS! FAMILY FRIENDLY OPEN FLOOR PLAN WHERE LIVING ROOM AND KITCHEN FLOWING SEAMLESSLY TOWARDS ONE-ANOTHER. NEW DUAL PANE WINDOWS THROUGHOUT. FRESH NEW THICK CARPET IN LIVING ROOM, HALLWAYS, AND BEDROOMS. NEW CUSTOM PORCELAIN TILE FLOORING IN KITCHEN, LAUNDRY, AND BATHROOM FLOORS. THE KITCHEN IS BRAND NEW. NEW KITCHEN CABINETS, NEW GRANITE COUNTERS, NEW GARBAGE DISPOSAL, NEW PULL-OUT FAUCET. ONE FULL BATHROOM AND ONE HALF BATHROOM. NEW TILE SHOWER WALLS, NEW MOSAIC DESIGN, NEW CUSTOM VANITIES, NEW PLUMBING FIXTURES, NEW TOILETS. REPAIRED PLUMBING AND ELECTRICAL. NEW RECESSED LIGHTING. NEW LIGHT FIXTURES. LAUNDRY INSIDE HOUSE. HOUSE HAS BEEN FRESHLY PAINTED IN AND OUT WITH BEAUTIFUL COLOR SCHEMES. NEW GARAGE DOOR. FHA/VA/CALHAFA/DOWN-PAYMENT ASSISTANCE- OK!" C2 AGENT DESCRIPTION: "STANDARD SALE! FHA READY! THIS HOME FEATURES MANY NEW UPGRADES! NEW WINDOWS! NEW EXTERIOR STUCCO! NEW INTERIOR AND EXTERIOR PAINT! NEW TILE FLOORING! NEW CARPET! NEW ENTRY DOOR! NEW WINDOWS! NEW KITCHEN CABINETS AND GRANITE COUNTER TOPS! NEW GARAGE DOOR AND OPENER! NEW LIGHT FIXTURES! AND MUCH MORE!" C3 AGENT DESCRIPTION: "TURN KEY 3bedroom 2bath HOME! FHA APPROVED. Open floor plan, living room adjacent to the kitchen. New dark wood laminate flooring through out the house. NEW Tile in both bathrooms and kitchen. New Ceiling fans and NEW Pane windows throughout the house. Kitchen has new cabinets, sink, recess lighting, countertops & stove. Both bathrooms have been remodeled with vanity, tile floors, and tile shower walls. Laundry is located in a remodeled garage with new ROOF! Possible RV ACCESS or you can park up to 4 cars in the drive way. Alley access. New roof in the main house as well. New paint interior and exterior both house and garage. New doors within the house and garage. New plumbing and electrical. New Garage door & dining area has new French doors. FHA/VA are welcome. Must see!" Indicated Value by Sales Comparison Approach 220,000 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 GPRES2 - "TOTAL" appraisal software by a la mode, inc ALAMODE 3/2007

7 APPRAISAL REPORT File No.: 10TH The Cost Approach was not developed for this appraisal. Provide adequate information for replication of the following cost figures and calculations. Support for the opinion of site value (summary of comparable land sales or other methods for estimating site value): COST APPROACH TO VALUE (if developed) THE COST APPROACH WAS NOT DEEMED A COST APPROACH RELIABLE INDICATOR DUE TO THE LACK OF DATA. THE SCOPE OF WORK OF THIS APPRAISAL ASSIGNMENT DOES NOT INCLUDE ANALYZING THE REPRODUCTION OR REPLACEMENT COST OF THE SUBJECT INCOME APPROACH IMPROVEMENTS. Garage/Carport Total Estimate of Cost-New Less Physical Functional Depreciation Depreciated Cost of Improvements ''As-is'' Value of Site Improvements External Years INDICATED VALUE BY COST APPROACH The Income Approach was not developed for this appraisal. Estimated Remaining Economic Life (if required): INCOME APPROACH TO VALUE (if developed) ( ) Indicated Value by Income Approach Estimated Monthly Market Rent X Gross Rent Multiplier Summary of Income Approach (including support for market rent and GRM): THE INCOME APPROACH WAS NOT DEEMED A RELIABLE INDICATOR DUE TO THE LACK OF DATA The Subject is part of a Planned Unit Development. PROJECT INFORMATION FOR PUDs (if applicable) PUD OPINION OF SITE VALUE DWELLING ESTIMATED REPRODUCTION OR REPLACEMENT COST NEW Source of cost data: Quality rating from cost service: Effective date of cost data: Comments on Cost Approach (gross living area calculations, depreciation, etc.): Legal Name of Project: Describe common elements and recreational facilities: Indicated Value by: Sales Comparison Approach Final Reconciliation 220,000 Cost Approach (if developed) Income Approach (if developed) MARKET APPROACH IS WEIGHTED HEAVIEST AS IT BEST REFLECTS THE ACTIONS OF TYPICAL BUYERS AND SELLERS IN THE CURRENT MARKET. COST AND INCOME APPROACHES WERE NOT DEEMED RELIABLE DUE TO LACK OF DATA. ALL SALES WERE CONSIDERED IN FINAL VALUATION WITH THE MOST WEIGHT GIVEN TO SALE 1 AS RECONCILIATION IT HAD THE LEAST AMOUNT OF GROSS ADJUSTMENT APPLIED. 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 based on the Extraordinary Assumption that the condition or deficiency does not require alteration or repair: APPRAISAL COMPLETED PER USPAP STANDARD AND GUIDELINES. APPRAISAL COMPLETED BASED ON THE HYPOTHETICAL CONDITION THAT IT WILL BE REMODELED TO A CONDITION AND QUALITY CONFORMING TO THE COMPARABLES UTILIZED IN THIS APPRAISAL REPORT. This report is also subject to other Hypothetical Conditions and/or Extraordinary Assumptions as specified in the attached addenda. ATTACHMENTS Based on the degree of inspection of the subject property, as indicated below, defined Scope of Work, Statement of Assumptions and Limiting Conditions, and Appraiser s Certifications, my (our) Opinion of the Market Value (or other specified value type), as defined herein, of the real property that is the subject of this report is:, as of:, which is the effective date of this appraisal. 220,000 08/09/2017 If indicated above, this Opinion of Value is subject to Hypothetical Conditions and/or Extraordinary Assumptions included in this report. See attached addenda. A true and complete copy of this report contains 1 pages, including 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 Map Addenda Hypothetical Conditions Client Contact: manny@dreamfunded.com Limiting Cond./Certifications Additional Sales Extraordinary Assumptions Narrative Addendum Cost Addendum Extraordinary Assumptions Sketch Addendum Manuf. House Addendum Zoning Map Client Name: Address: 388 Market Street, 13th Floor, San Francisco, CA APPRAISER SIGNATURES Photograph Addenda Flood Addendum Plat Map SUPERVISORY APPRAISER (if required) or CO-APPRAISER (if applicable) Appraiser Name: Matthew Jones Company: A+ Appraisal Phone: Fax: MJones@APlusApp.com Date of Report (Signature): 08/09/2017 License or Certification #: State: CA AL Designation: Residential Real Estate Appraiser Expiration Date of License or Certification: 03/17/2019 Inspection of Subject: Interior & Exterior Exterior Only None Date of Inspection: 08/09/2017 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 Date of Inspection: State: Exterior Only None 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 GPRES2 - "TOTAL" appraisal software by a la mode, inc ALAMODE 3/2007

8 USPAP ADDENDUM Borrower Property Address City Lender File No. 10TH County SAN BERNARDINO San Bernardino State CA Zip Code This report was prepared under the following USPAP reporting option: Appraisal Report This report was prepared in accordance with USPAP Standards Rule 2-2(a). Restricted Appraisal Report This report was prepared in accordance with USPAP Standards Rule 2-2(b). Reasonable Exposure Time My opinion of a reasonable exposure time for the subject property at the market value stated in this report is: 7-90 DAYS A REASONABLE EXPOSURE TIME FOR THE SUBJECT PROPERTY IS 7-90 DAYS. Additional Certifications I certify that, to the best of my knowledge and belief: I have NOT performed 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 performed services, as an appraiser or in another capacity, regarding the property that is the subject of this report within the three-year period immediately preceding acceptance of this assignment. Those services are described in the comments below. - 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. - Unless otherwise indicated, 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 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. - Unless otherwise indicated, I have made a personal inspection of the property that is the subject of this report. - Unless otherwise indicated, 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). Additional Comments The report may not be used for any purpose by any person other than the party to whom it is addressed without the written consent of the appraiser and the appraiser specifically disclaims any liability to such unauthorized third parties. APPRAISER: SUPERVISORY APPRAISER: (only if required) Signature: Name: Matthew Jones Date Signed: 08/09/2017 State Certification #: or State License #: AL State: CA Expiration Date of Certification or License: Effective Date of Appraisal: 08/09/2017 Signature: Name: Date Signed: State Certification #: or State License #: State: Expiration Date of Certification or License: Supervisory Appraiser Inspection of Subject Property: Did Not Exterior-only from Street 03/17/2019 Form ID14AP - "TOTAL" appraisal software by a la mode, inc ALAMODE Interior and Exterior

9 Supplemental Addendum Borrower Property Address City San Bernardino County SAN BERNARDINO File No. 10TH State CA Zip Code Lender/Client NEIGHBORHOOD DESCRIPTION: THE SUBJECT IS LOCATED IN AN ESTABLISHED AREA IN THE CITY OF SAN BERNARDINO. THE SUBJECT'S MARKET CONSISTS PRIMARILY OF SPEC/SITE BUILT, CALIFORNIA BUNGALOW AND RANCH STYLE SFR'S BUILT FROM THE EARLY 1900'S THROUGH 1960'S, RANGE FROM 600' SF OF LIVING AREA UP TO 1700' SF, WITH 2 TO 3 BEDROOMS, 1 TO 2 BATHS AND LOTS FROM 3,000 SF UP TO 1,000 SF. CAL STATE SAN BERNARDINO IS APPROXIMATELY 10 MILES TO THE NORTH, GLEN HELEN REGIONAL PARK AND AMPHITHEATER IS APPROXIMATELY 1 MILES NORTH-WEST. CITY SERVICES, RETAIL CENTERS, PUBLIC SCHOOLS AND EMPLOYMENT OPPORTUNITY ARE AVAILABLE IN THE IMMEDIATE AREA AND ARE READILY ACCESSIBLE. ACCESS TO THE AREA IS VIA THE #10 AND #21 FREEWAYS. MARKET CONDITIONS: CORE LOGIC DATA REPORTS, "SOUTHERN CALIFORNIA HOME SALES HIGHEST FOR A JUNE IN 11 YEARS; MEDIAN SALE PRICE EDGES TO WITHIN 1 PERCENT OF 2007 PEAK" CORELOGIC DATA SHOWS A TOTAL OF 2,1 NEW AND EXISTING HOUSES AND CONDOS SOLD IN JUNE 2017 IN LOS ANGELES, RIVERSIDE, SAN DIEGO, VENTURA, SAN BERNARDINO AND ORANGE COUNTIES, UP 8.% MONTH OVER MONTH FROM SALES IN MAY 2017 AND UP 4.3% YEAR OVER YEAR FROM 24,469 SALES IN JUNE JUNE 2017 SALES WERE THE HIGHEST FOR THE MONTH OF JUNE SINCE 2006 WHEN 31,602 HOMES SOLD. THE MEDIAN PRICE PAID FOR ALL SOUTHERN CALIFORNIA HOMES SOLD IN JUNE 2017 WAS 00,000 WHICH IS UP 1.4% MONTH OVER MONTH FROM 48,000 IN APRIL 2017 AND UP 7.1% YEAR OVER YEAR FROM 49,00 IN MAY THE MAY 2017 MEDIAN SALE PRICE WAS UP 1.6% MONTH TO MONTH FROM 492,000 IN MAY 2017 AND UP 7.% YEAR OVER YEAR FROM 46,000 IN JUNE WHEN THE MEDIAN SALE PRICE HISTORY IS ADJUSTED FOR INFLATION, THE JUNE 2017 MEDIAN REMAINED 13.1% BELOW THE PEAK. THE CORELOGIC "SOUTHERN CALIFORNIA HOME RESALE ACTIVITY" CHARTS REPORT THAT THE ZIP CODE WAS UP 8.9% IN JUNE OF 2017 AS COMPARED TO JUNE OF (BASED ON 33 SALES OF SINGLE FAMILY HOMES). PLEASE SEE THE 1004MC FOR MORE MICRO-MARKET SPECIFIC DATA AND COMMENTARY REGARDING THE SUBJECT'S SPECIFIC MARKET. Form TADD - "TOTAL" appraisal software by a la mode, inc ALAMODE

10 Subject Photo Page Borrower Property Address City San Bernardino County SAN BERNARDINO State CA Zip Code Lender/Client Subject Front Sales Price Gross Living Area Total Rooms Total Bedrooms Total Bathrooms Location View Site Quality Age N/A 1, ,20 SF 97 Subject Street Form PIC3X.SR - "TOTAL" appraisal software by a la mode, inc ALAMODE

11 Comparable Photo Page Borrower Property Address City San Bernardino County SAN BERNARDINO State CA Zip Code Lender/Client Comparable 1 76 W 16th St Prox. to Subject Sale Price Gross Living Area Total Rooms Total Bedrooms Total Bathrooms Location View Site Quality Age 0.91 miles NW 219, ,240 sf 68 Comparable Wall Ave Prox. to Subject Sale Price Gross Living Area Total Rooms Total Bedrooms Total Bathrooms Location View Site Quality Age 0.66 miles NE 21,000 1, ,900 sf 89 Comparable W 16th St Prox. to Subject Sale Price Gross Living Area Total Rooms Total Bedrooms Total Bathrooms Location View Site Quality Age Form PIC3X.CR - "TOTAL" appraisal software by a la mode, inc ALAMODE 0.84 miles NW 22,000 1, ,00 sf 94

12 Building Sketch Borrower Property Address City County SAN BERNARDINO San Bernardino State CA Zip Code Lender/Client 18ft 26ft 1 Car Detached Kitchen Bedroom 11ft Bedroom 28ft 37.ft Bath Living Room 20ft Bath Bedroom 28ft TOTAL Sketch by a la mode, inc. Living Area First Floor Total Living Area (Rounded): Non-living Area 1 Car Detached Area Calculations Summary Calculation Details 1037 Sq ft = = = Sq ft 468 Sq ft Form SKT.BLDSKI - "TOTAL" appraisal software by a la mode, inc ALAMODE = 468

13 Location Map Borrower Property Address City San Bernardino County SAN BERNARDINO State CA Lender/Client Form MAP.LOC - "TOTAL" appraisal software by a la mode, inc ALAMODE Zip Code 92410

14 Plat Map Borrower Property Address City San Bernardino County SAN BERNARDINO State CA Lender/Client Form MAP.PLAT - "TOTAL" appraisal software by a la mode, inc ALAMODE Zip Code 92410

15 LICENSE Form SCNLGL - "TOTAL" appraisal software by a la mode, inc ALAMODE