Index – 1 year LIBOR

The average of the interbank offered rates for 1-year U.S. dollar denominated deposits in the London Market, as published in the Wall Street Journal. The index figure is the most recent index figure from the Wall Street Journal that is available on the day that is 45 days before the interest rate change date.

Margin

2.25%

2.25%

2.25%

Initial Fixed Period

5 years

7 years

10 years

Qualifying Rate

Start Rate + 2% (i.e. First Adj.  Cap)

Start Rate

Start Rate

Qualifying Ratio (back-end)

43%

43%

43%

First Adjustment Cap - The first adjustment may change the previous interest rate by no more than this amount up or down.

2.00%

2.00%

2.00%

Periodic Cap – After the initial adjustment, each subsequent adjustment may change the interest rate by no more than this amount up or down.

2.00%

2.00%

2.00%

Lifetime Cap – The interest rate may not move up by more than this amount over the life of the loan. There is no downward cap, except for the margin.

5.00%

5.00%

5.00%

Prepayment Penalty

Yes, as allowed by law. See Prepay Matrix below.

Assumptions

Not Allowed during fixed rate period

Loan Term

360 months

360 months

360 months

Loan Size Limits

The maximum Loan size is the $3,000,000.

First Interest Rate Change Date

59 months from the 1^st payment due date

83 months from the 1^st payment due date.

119 months from the 1^st payment due date.

Subsequent Interest Rate Change Dates

Once every 12 months after the first interest rate change date.

Conversion to Fixed Rate

Not Allowed

Not Allowed

Not Allowed

Interest Only

Not Avail.

Not Avail.

Not Avail.

Feature

15 Year Fixed

30 Year Fixed

Loan Term

180 months

360 months

Loan Size Limits

The maximum Loan size is the $3,000,000.

Qualifying Ratio (back end)

43%

43%

Interest Only

Not Available

Not Available

Assumptions

Not Allowed

Not Allowed

Prepayment Penalty

Yes, as allowed by law. See Prepay Matrix below.

AZ

Not permitted

1-3 yr. = Lesser of 1% or 6 mos int/80% prepaid

CA

Not permitted

1-3 yr. = Lesser of 1% or 6 mos int/80% prepaid

CO

Not permitted

1-3 yr. = Lesser of 1% or 6 mos int/80% prepaid

CT

Not permitted

1-3 yr. = Lesser of 1% or 6 mos int/80% prepaid

DC

Not permitted

1-3 yr. =Lesser of 1% or 2 mos interest/67% prepaid

DE

Not permitted

1-3 yr. = Lesser of 1% or 6 mos int/80% prepaid

FL

Not permitted

1-3 yr. = Lesser of 1% or 6 mos int/80% prepaid

GA

Not permitted

1-3 yr. = Lesser of 1% or 6 mos int/80% prepaid

ID

Not permitted

1-3 yr. = Lesser of 1% or 6 mos int/80% prepaid

IL

Not permitted

1-3 yr. = 1% (allows a 3-2-1 but CFPB doesn’t) - soft

IN

Not permitted

1-2 yr. = Lesser of 1% or 6 mos int/80% prepaid

MA

Not permitted

IN PROCESS. 1-3 yr. = Lesser of 1% or lesser of 3 mos interest or the balance of 1^st year’s interest (all) + 3 add’l mos interest if refi’d with another lender (3 mos interest charge on refis runs for 3 yrs.)

MD

Not permitted

N

MI

Not permitted

1-3 yr. = 1%

MN

Not permitted

1-3 yr. = Lesser of 1% or the lesser of 2% of unpaid principal or 60 days interest on unpaid principal—soft - not permitted for payoff due to sale of property.

MO

Not permitted

ON HOLD. 1-3 yr = Lesser of 1% or 2% on 6 mos avg bal prior to prepay

NC

Not permitted

1-3 yr. = Lesser of 1% or 6 mos int/80% prepaid, for loans >$150k

NH

Not permitted

1-3 yr. = Lesser of 1% or 6 mos int/80% prepaid

NJ

Not permitted

N

NM

Not permitted

N

NV

Not permitted

ON HOLD: AmMAC can’t meet licensing req. 1-3 yr. = Lesser of 1% or 6 mos int/80% prepaid

NY

Not permitted

IN PROCESS. 1yr. = Lesser of 1% or 6 mos int/80% prepaid  – soft if enforced as part of due on sale clause

OH

Not permitted

ON HOLD. 1-3 yr. = 1%

OR

Not permitted

1-3 yr. = Lesser of 1% or 6 mos int/80% prepaid

PA

Not permitted

1-3 yr. = Lesser of 1% or 6 mos int/80% prepaid (not permitted below $234,692— amount adjusted annually)

RI

Not permitted

1 yr. = lesser of 1% of original principal bal or 2% of bal at time of payoff.

SC

Not permitted

1-3 yr. = Lesser of 1% or 6 mos int/80% prepaid (not permitted <= $150,000)

TN

Not permitted

1-3 yr. = Lesser of 1% or 6 mos int/80% prepaid

TX

Not permitted

1-3 yr. = Lesser of 1% or 6 mos int/80% prepaid

UT

Not permitted

ON HOLD: AmMAC can’t meet licensing req. 1-3 yr. = Lesser of 1% or 6 mos int/80% prepaid

VA

Not permitted

1-3 yr. = 1% (law is 2% >= $75,000; 1% < $75,000) – soft if borrower asks for new buyer to assume and lender denies or fails to respond in 15 days.

WA

Not permitted

1-3 yr. = Lesser of 1% or 6 mos int/80% prepaid