Where are you now? versus Where you want to be?

1. Where are you now? versus Where you want to be? Current Situation Future Ideal

2. Foreclosure Process Notice of Default Comes anytime after you are 30 days delinquent. Notice of Trustee Sale NOD+30 Days establishes the Trustee Sale Date Auction Date is set for 90 Days after Notice of Trustee Sale Borrower has up to 11 days before the Sale Date to bring loan current. Auction Date – initial bid set at 2/3 of appraised value No buyer? House becomes Bank Owned. Bank hires a Real Estate Broker to sell it. Sheriff Evicts. Investor buys the property for Cash at Auction

3. Foreclosure Avoidance Activities Select which Freedom Team Members will help you avoid Foreclosure Notice of Default Notice of Trustee Sale NOD+30 Days establishes the Trustee Sale Date Immediate Offer – Attorney Foreclosure Consultation / SS Negotiation Mediate to Modify or Negotiate – 60 Day Delay Foreclosure Defense 6-10 months or 1+ Year Delay Bankruptcy – temporary delay. Avoid BK + Foreclosure Cure arrears Short Sale Approval and Closing – Chapter Closed, begin Credit Repair Auction Eviction Eviction

4. 9 Options in Foreclosure • Do Nothing • Pay Arrears • Bankruptcy • Deed in Lieu • Refinance • Loan Modification / Repayment Plan • Sell with a Real Estate Agent • Sell on your own • Customize your Freedom Plan and Team

5. Freedom Obstacles • Bank Forecloses before Short Sale is Approved • Buyers walk away because Banks are slow or unrealistic in approval price • Deficiency Judgment • Pursuit of remaining loan balance after Foreclosure or Short Sale • Tax Consequences • Debt Forgiveness = Income • Credit Consequences • What will my employer / insurance carrier think? • What will my future landlord think? • Foreclosure / Deed in Lieu of foreclosure vs. Short Sale • Other Credit Obstacles • Are there other debts that need to be addressed prior to judgment? • Should I Modify my Loan or Legally Challenge the Foreclosure? • Value today vs. Loan Amount • Can I just buy some more time to save some money?

6. The Freedom Team • Foreclosure Avoidance • Immediate Offer to begin negotiation process • Patient buyer pays cash, stays with the process regardless of length • Can make payments to Junior Liens and Repairs as needed to successfully close • Deficiency Judgment • Attorney negotiation & interpretation of the approval letter. • Tax Consequences • Certified Public Accountant to review your tax consequences • Credit Consequences • Credit “police” to verify debt, challenge and remove • Other Credit Obstacles • Bankruptcy Consultation – Avoid the credit double “whammy” • Mediate / Modify or Litigate • Additional time in the home without payment • Use Mediation Statute to evaluate Modification

7. Traditional Short Sale Agent Market for Buyer 60-90 Days Buyer #1 Negotiate 60-90 Days List Home for Sale Buyer #1 Terminates Due to slow response Buyer #2 (Lower offer) Negotiate 60-90 Days Buyer #2 Terminates Due to slow response Buyer # 3 60-90 Days Too Late….. Foreclosure Timeline

8. Immediate Offer Short SaleDual Paths (if needed) to Freedom Bank is forced to identify 1) Price they will accept 2) Approval Letter Language must be acceptable to you. Attorney reviews approval with you • Investment Company • Increases offer as necessary to obtain acceptable approval with full release and waiver of deficiency • Pays additional funds as necessary 2nd lenders to obtain full release and waiver of deficiency • No repairs, smooth and orderly transition to new chapter of life. Successful Close Offer Accepted and Submitted • The 2 items a Buyer wants to know: • Price • When they can move in. Agent Market for Buyer Secure Buyer Successful Close At “Bank Approved Price” Foreclosure Timeline

9. Design your Freedom Team

10. Design your Freedom Team * Referral to firms that specialize in these efforts. They will meet at no cost or obligation to see if they can help you.

11. Next Steps • Gather Documentation • Download FREEDOM.Zip file and forward the appropriate docs to your client to complete. • Then, complete the web form and upload the required documents. • Schedule an appointment for File Review • Files are only accepted if the team feels confident in odds for a successful outcome • You can come to the office or the NMS Representative can bring the file in for review • Real Estate Professional Takes Photos • Prepare to market the property immediately • Prepare for Showings and make the home available for prospective Buyers • Average Timeline is 4-6 Months • We have had approvals in 3 weeks (close in 60 days) and 1 year • It depends on your lender(s)