Exhibit 99.8

NARRATIVE

SAN 2025-NQM3

By Canopy Financial Technology Partners LLC on June 3, 2025

Canopy Financial Technology Partners LLC

chweeler@canopytpr.com | 801-792-2995 | www.canopytpr.com

Address: 1 Research Court, Suite 450, Rockville, MD 20850

Description of Services

Canopy Financial Technology Partners, LLC (“Canopy”) performed certain due diligence services (the “Review) described below on Non-Agency Eligible Mortgage Loans (“Loans”) backed by residential properties originated or acquired by Santander Bank, N.A. (the “Client”) or its affiliated company. The Review was conducted from June to July 2024 via files imaged and provided by the Client for review.

The Review consisted of a population of seven (7) Loans with an aggregate principal balance of $2,686,411.

Loan Sampling

The Client defined the sample size and the random sampling of the Loans to be included in the Review.

The Review was conducted consistent with the criteria for the specific Nationally Recognized Statistical Rating Organizations (NRSROs); S&P Global Ratings.

Data Integrity

Canopy performed a data comparison review of the data fields provided by the Client on the loan tape to the data found in the actual Loan File as captured by Canopy. This comparison, when specific data was available, included the following data fields and tolerance levels noted below.

Field Label	Logic Applied
All Borrower Total Income	Apply 2.5% Tolerance If AUS = Yes and DTI > 0 or if AUS = No and DTI between 0 and 43, Do not Apply Tolerance if DTI >= 43 and AUS = No
Amortized Term	No tolerance
Application Date	No tolerance
Borrower 1 Citizen	No tolerance
Borrower 1 Self Employed Flag	No tolerance
Borrower 2 Citizen	No tolerance
Borrower 2 Self-Employment Flag	No tolerance
Business Purpose Flag	No tolerance
Cash Disbursement Date	No tolerance
Combined LTV	Apply 1% Tolerance if < 80%
DSCR	.25% tolerance
Escrow Flag	No tolerance
Final Reviewed QM Status	No tolerance
First Interest Rate Change Date	No tolerance
First Payment Date	No tolerance
Higher Priced Mortgage Loan (HPML) Flag	No tolerance
Index	No tolerance

Initial Monthly P&I Or IO Payment

No tolerance

Lien Position	No tolerance
Loan Program	No tolerance
Loan Purpose	No tolerance
Margin (ARM Loan)	No tolerance
Mortgage Origination Channel	No tolerance
Note Interest Only Term	No tolerance
Note Date	No tolerance
Occupancy Type	No tolerance
Original Appraised Value	No tolerance
Original Balance	No tolerance
Original LTV	Apply 1% Tolerance if < 80%
Origination BK Flag	No tolerance
Originator QM Status	No tolerance
Origination Date	No tolerance
Origination Foreclosure Flag	No tolerance
Prepayment Penalty Term	No tolerance
Property Type	No tolerance
Property Zip Code	No tolerance
Qualifying FICO	No tolerance
Qualifying Total Debt Income Ratio	Apply 2.5% Tolerance If AUS = Yes and DTI > 0 or if AUS = No and DTI between 0 and 43, Do not Apply Tolerance if DTI >= 43 and AUS = No
Sales Price	No tolerance
Underwriting Guideline Product Name	No tolerance

Credit Underwriting

Canopy reviewed each Loan File to determine the adherence to defined underwriting or credit extension guidelines, standards, criteria or other requirements provided by the Client, including, as applicable, Ability to Repay (ATR) and Qualified Mortgage (QM) requirements. The Credit Qualification review consisted of the following:

Loan Attributes. To determine borrower program eligibility, Canopy verified the following loan attributes and, where applicable, re-calculated based on the information provided.

Assets and Reserves;

DTI;

DSCR;

Gross Income;

Housing history;

Lien Position;

	·	Loan Purpose;
	·	LTV/CLTV;

Monthly debt service;

Occupancy;

Property Type;

Qualifying PITI; and

Residual Income.

Credit Application: For the Credit Application (1003), Canopy verified whether

All known borrower-owned properties are disclosed on the REO Section;

Borrower(s) employment history ;

Citizenship and eligibility;

First time home buyer status ;

The application was signed by all borrowers; and

The application was substantially completed.

Credit History: Canopy verified:

A credit report or alternative credit history as applicable to loan type is present for each borrower;

Bankruptcy and foreclosure seasoning;

Capture the monthly consumer debt payments for use in the applicable DTI calculation;

Installment and revolving payment history;

Mortgage/rental payment history;

Note and research the Real Estate Owned, OFAC, and Fraud alerts;

Number of tradelines; and

Representative Credit Score and Methodology.

Employment and Income: Canopy determined whether all applicable supporting documentation as required by Seller’s Guidelines and Ability to Repay (“ATR”) when applicable per above were in the file. The documentation was used to verify whether the income used to qualify the loan was calculated in accordance with Seller’s Guidelines. Documentation verifying employment and income were deemed acceptable if it was a third-party document as required by the Seller’s Guidelines and ATR when applicable per above and may include:

Verbal or Written VOE’s;

Paystubs;

W-2 forms;

Tax returns;

Financial statements;

Award letters;

IRS Tax Transcripts (compared to Tax Returns provided by Borrower(s)).

Fraud Review: For all Loans, the Client provided the results from a third-party anti-fraud tool to Vendor. In accordance with the type of fraud report provided, Canopy utilized the results provided by the Client along with information in the Loan File, to identify and address any potential misrepresentations including:

Borrower identity:

Social Security inconsistencies

Borrower name variations

Employment:

Licensing – reviewed NMLS data for:

Mortgage lender/originator

Loan officer

Occupancy:

Borrower address history

Subject property ownership history

OFAC.

Asset Review: Canopy assessed whether the asset documentation required by the Seller’s Guidelines and ATR, when applicable, was present in the Loan File. Canopy also conducted a review of the reserve calculation, if used to determine ATR or required by the Seller’s Guidelines, including a review of any large deposits. Canopy re-calculated gross, net, and liquid asset balances. The Asset Review also consisted of verifying the down payment, closing costs, prepaid items and reserves. Documentation used to verify assets for down payment, closing costs, prepaid items and reserves may have included:

Depository account statements;

Gift funds;

Settlement statement or other evidence of conveyance and transfer of funds if a sale of assets was involved;

Stock or security account statements; and/or

VOD’s.

Hazard/Flood insurance/Taxes: A review of the insurance present on the loan was performed by Canopy as follows:

Confirmed that the flood certification is for the correct borrower, property, lender and loan number and is a “Life of Loan” certification;

Confirmed that the mortgagee clause lists the lender’s name and “its successors and assigns;”

Confirmed that the premium amount on both the hazard and flood insurance match what was used in the DTI calculations;

For condominium properties, confirmed that the blanket policy meets the minimum amount of coverage in the guidelines;

For properties in a flood zone per the flood certification, confirmed that flood insurance meets guideline requirements in the file and met the minimum required amount of coverage in the guidelines;

Reviewed Tax Certificate to verify and compare monthly escrows used to calculate DTI matches and that taxes are current; and

Verified that the hazard insurance meets the minimum required amount of coverage in the guidelines.

Automated Underwriting System Findings: N/A

Document Review

Canopy reviewed each Loan File and verified if the following documents, as applicable, were included in the file and if the data on these documents was consistent (where applicable):

Initial application (1003);

Final application (1003);

Note;

Mortgage/Deed of Trust;

Appraisal;

Sales Contract;

Title Commitment/Policy;

Junior Lien/Subordination Agreement;

Mortgage Insurance;

Underwriting Approval Documentation inclusive, but not limited to documents listed in the Credit Review section herein;

Flood Certification;

Initial and Final Loan Estimate (LE);

Initial and Final and Closing Disclosure (CD);

Post-Consummation Closing Disclosure (PC-CD) [if applicable].

Business Purpose Validation

For Loans originated as Business Purpose loans (as defined by Regulation Z [12 CFR 1026], and its supporting commentary, the implementing regulation of the Truth-in-Lending Act (“TILA”) [15 U.S.C. 1601 et seq.]), Canopy assessed that the facts and circumstances of the subject loan did not trigger Consumer Purpose classification (also as defined by Regulation Z [12 CFR 1026], and its supporting commentary, the implementing regulation of the Truth-in-Lending Act [15 U.S.C. 1601 et seq.]).

“Missing Document” to Cleared Exception: In the event that there was no express statement in the Loan File, and there was no express evidence in the Loan File that the loan proceeds were used for “Business Purpose” Canopy assigned the file a “D” grade for missing said documentation. In the event that the express statement, or with clear, unequivocal documented evidence of use of loan proceeds for non-consumer, business purpose, was provided by the lender that defines and/or evidences the “primary purpose” of the loan as “business purpose” the “D” grade – “Missing Document”, was cleared by Canopy.

“Missing Document” to “B” Grade: In the event that there was no express statement in the Loan File, and there was no express evidence provided that the loan proceeds were used for “Business Purpose”, Canopy gave the file a “D” grade, for missing documentation. In the event that there was not any express statement or evidence of business purpose use of the proceeds, then the “D” grade – “Missing Document” initial finding was re-graded after conducting a full Consumer Purpose, regulatory compliance review, as applicable to assignees for Consumer Purpose loans. In the event that the loan did not violate any applicable regulatory compliance obligations, the loan was re-graded as a “B” grade final finding.

“Material Compliance Violation”: In the event that no express statement existed in the Loan File, Canopy assessed any and all documentation provided to determine what the actual use of the proceeds were, to best identify that the “primary purpose” of the loan was not in fact for “business purpose” as relied upon by the lender, but is in fact for a “consumer purpose”. If, in fact, evidence existed that the proceeds were used for personal, Consumer Purpose, then Canopy identified that the “primary purpose” of the loan is not “business purpose” and as “consumer purpose” subject to the full Consumer Purpose regulatory compliance obligations of an originator as it applies to an assignee, with a material compliance exception of a “C” grade.

“Material Compliance Violation” to “B” Grade: The above noted Material Compliance Violation was re-graded to a “B” grade by conducting a full Consumer Purpose regulatory compliance review, as applicable to assignees for Consumer Purpose loans, and in the event that the loan did not violate any applicable regulatory compliance obligations, the loan was re-graded as a “B” grade final finding.

Compliance Review

Canopy reviewed each Loan File and, if applicable, verified that it was consummated in compliance with the applicable federal, state, and local anti-predatory lending statutes in effect at the time of origination of the mortgage loan. Canopy’s review included, but was not limited to, the verification and validation that each mortgage loan met the relevant provisions of:

(i)

Anti-Predatory Lending requirements, that are imposed by federal, state and/or local statutory, regulatory or authoritative determinations (e.g. state constitutional provisions, ordinances, interpretations, judicial determinations, etc.) that impose civil or criminal liability upon the Assignee or may cause significant loss severity to the value of the Loan, including HOEPA and any state and local high-cost home loan laws. Assignee shall have the meaning as defined in TILA;

(ii)

the Truth in Lending Act (“TILA”), as amended by HOEPA, 15 U.S.C. §1601 et seq., as implemented by Regulation Z, 12 C.F.R. Part 1026;

(iii)

the Real Estate Settlement Procedures Act (“RESPA”), 12 U.S.C. §2603, as implemented by Regulation X, 12 C.F.R. Part 1024;

(iv)

the Equal Credit Opportunity Act (“ECOA”) , 15 U.S.C. §1691 as implemented by Regulation B, 12 C.F.R. §1001.1(b);

Compliance Documentation Requirements

Review of the following documents as they related to regulatory compliance:

Initial and final application (1003)

ii.

Note, including all addendums

iii.

Copy of note for any junior liens (if applicable)

iv.

Mortgage / Deed of Trust, including all riders

Initial, Interim, and Final Loan Estimates (“LE”)

vi.

Initial CD (i.e., the CD required to be received by the borrower(s) at least 3 business days prior to consummation) and re-disclosed CDs (as applicable and permitted by TILA/Regulation Z)

vii.

Notice of Right to Cancel (as applicable)

viii.

Rate Lock Date Information;

ix.

HOEPA Disclosures (if applicable)

Initial Escrow Account Disclosure

II.

Anti-Predatory Lending (Assignee Liability)

Loans were reviewed for violations of federal, state & local high cost, higher-priced and/or consumer finance laws and regulations that carry Assignee Liability, including those defined below. Any loan that is determined to be classified and/or defined as high cost, higher-priced, subprime, threshold, predatory high risk, covered or similar classification/definition was reported.

III.

Compliance Testing Elements

Truth-in-Lending Act (TILA) / Regulation Z: Loans were reviewed to determine compliance with the following requirements of TILA and Regulation Z, including, but not limited to, the following:

TILA/RESPA Integrated Disclosure Testing (“TRID”). A review and comparison of LEs and CDs with a report outlining any TILA violations, including a re-calculation of disclosed finance charge, principal and interest calculations, proper completion of the Projected Payments table, total of payments, finance charge, amount financed, recalculation of disclosed APR and a review to determine disclosure differences were within the allowed tolerances and disclosures were provided within the required timeframes. Testing will be conducted to fulfill the elements of the Structured Finance Association (SFA) TRID Compliance Review Scope (“TRID Grid 4.0”);

ii.

Right of Rescission. A review of the TILA Right of Rescission, Notice of Right to Cancel, including a verification of the transaction date and expiration date, ensuring proper execution of the Notice of Right to Cancel by all required parties, verifying the disbursement date and determining if a full three (3) day rescission period was adequately provided to the borrower(s). The appropriate Model Form will be tested according to applicable U.S. Court of Appeals, Circuit Court rulings;

iii.

Qualified Mortgage and Ability to Repay. A review to ensure the mortgage loan meets the applicable Qualified Mortgage (“QM”) and Ability-to-Repay (“ATR”) requirements as set forth in regulations promulgated by the Consumer Financial Protection Bureau as found at 12 CFR § 1026.43. QM and ATR testing is detailed below.

Real Estate Settlement Procedures Act (RESPA)/Regulation X: Review to ensure compliance with RESPA/Regulation X documentation and timing requirements in effect at origination of the mortgage loan for RESPA disclosures (Servicing Disclosure Statement; Affiliated Business Arrangement Disclosure; Initial Escrow Disclosure Statement; List of Homeownership Counselling Organizations).

Equal Credit Opportunity Act (ECOA)/Regulation B: Confirm compliance with the January 18, 2014 requirements regarding the disclosure of the right to receive a copy of appraisals within three (3) business days of application, the right to receive a copy of the appraisals at least three (3) business days prior to consummation and any applicable waiver. The disclosure of the right to receive a copy of appraisals may be met by the disclosure on the Loan Estimate pursuant to 12 CFR § 1026.27(m)(1).

Fair Credit Reporting Act (FRCA)/Regulation V: Confirm compliance with the current FCRA/Regulation V requirements regarding risk-based pricing notice, credit score disclosure and Notice to Home Loan Applicant, as applicable.

Miscellaneous Compliance Testing:

Mandatory Arbitration – Canopy will report mandatory arbitration provisions present in the Loan File.

ii.

Single Premium Credit Insurance – Canopy will report single premium credit insurance policies or debt cancellation agreements present in the Loan File.

iii.

TPR will test for state prepayment and late charge restrictions. If a prepayment penalty that exceeds the state permitted penalty has expired, this must be reported.

State & Local Anti-Predatory Requirements

The following is an itemization of the generally understood current and historical state and local anti-predatory lending requirements, as customary in secondary market due diligence compliance testing:

	·	Arkansas Home Loan Protection Act, Ark. Stat. Ann. § 23-53-101 et seq.
	·	California Anti-Predatory Lending (“Covered Loan”, Cal. Fin. Code § 4970 et seq.

California Higher-Priced Mortgage Loan (“CA HPML”), Cal. Fin. Code §4995 et seq.

Colorado Consumer Equity Protection Act, Colo. Rev. Stat. § 5-3.5-101 et seq.

Connecticut Abusive Home Loan Lending Practices Act, Conn. Stat. Ann. §36a-746 et seq. and the Responsible Lending and Economic Security Act, Conn. House Bill 5577 (2008).

Connecticut Nonprime Home Loans, Conn. Gen. Stat. §§ 36a-760 et seq. (2008-2009) and (2009-Current)

District of Columbia Home Loan Protection Act of 2002, D.C. Official Code § 26-1151.01 et seq., as implemented by 20 D.C. Municipal Reg. § 2000.1 et seq. as well as DC Mortgage Disclosure Act of 2007.

Florida Fair Lending Act, Fla. Stat. Ann. § 494.0078 et seq. (2002 – 2014).

Georgia Fair Lending Act, Ga. Stat. Ann. § 7-6A-1 et seq. (as originally enacted by House Bill 02-1361 and as modified by Senate Bill 03-53).

Idaho Residential Mortgage Practices Act, Idaho Code § 26-3101 et seq. (2003).

Illinois High Risk Home Loan Regulations, 38 Ill. Admin. Code § 345.10 et seq. (Repealed)

Illinois High Risk Home Loan Act, Public Act. 93-0561 (2003), Ill. Comp. Stat. tit. 815 §§ 137/1 et seq. (2004).

Illinois Predatory Lending Database Program, Public Act 95-0691 (SB 1167).

City of Chicago, Illinois, Anti-Predatory Lending Ordinance, Chicago Municipal Code, §§ 2-32-440; 2-32-455; 2-92-325; 4-4-155; 8-4-325.

Cook County, Illinois, Anti-Predatory Lending Ordinance, Ordinance No. 240864 (2001) as amended by Illinois SB 1167 (2007).

Indiana Home Loan Practices Act, as amended by HB 1179 (2005) Ind. Code § 24-9-1 et seq.

Kansas Consumer Credit Code, Section 16a-3-308a, Kan. Stat. Ann. § 16a-1-101 et seq. 16.

Kentucky Anti-Predatory Lending Statute, as amended by Kentucky House Bill 552 (2008), Ky. Rev. Stat. § 360.100 et seq.

Maine, An Act to Enhance Consumer Protections in Relation to Certain Mortgages, 9A Me. Rev. Stat. Ann. §§ 8-103(1); 8-206(8); 8-206A and Maine Legislative Document 1869 (2007), 2125 (2008) and 1439 (2009), and regulation Z-3.

Maryland Commercial Law, Mary. Stat. Ann. §§ 12-124.1; 12-127; 12-409.1; 12-1029 and as amended by Maryland Senate Bill 270 (2008) and Maryland Regulations under the Maryland Mortgage Lender Law (2009).

Maryland Regulations for Higher Priced Mortgage Loans, as promulgated under the Maryland Mortgage Lender Law, Md. Code Ann., Fin. Instit. Code §§ 11-501 et seq.; Md. Code Regs. §§ 09.03.06.01 et seq.

Massachusetts High-Cost Mortgage Regulations, 209 CMR § 32.32 et seq. including MA House Bill 4387 (2008) 20. Massachusetts Predatory Home Loan Practices Act, M.G.L. Chapter 183(C).

Massachusetts “Borrower’s Interest” Standard, M.G.L. Chapter 183, §28C.

Massachusetts Mortgage Lender and Broker Regulations, 940 CMR § 8.00 (15-17).

Massachusetts Regulations for Higher Priced Mortgage Loans, 209 Mass. Code Regs. §§ 32.00 et seq.

Massachusetts Subprime ARMs to First Time Homebuyers, M.G.L. Chapter 184, §17B.5.

Michigan Consumer Mortgage Protection Act, Mich. Stat. Ann. § 445-1631 et seq.

Minnesota Mortgage Originator and Service Licensing Act, § 58.137 et al. (S.F. 2988 (2002) and as amended by House File 1004 and SF 98 (2007) and SF 3154 and 3214 (2008).

Nebraska Mortgage Bankers Registration and Licensing Act, Neb. Stat.§ 45-702 et seq.

Nevada Anti-Predatory Lending Law, AB No. 284 (2003), as amended by AB 4 (2007), Nev. Rev. Stat. § 598D.010 et seq.

	·	New Jersey Home Ownership Security Act of 2002, NJ Stat. Ann. § C:46:10B-22 et seq.
	·	New Mexico Home Loan Protection Act, SB 449 (2003) and as amended by SB 342 (2009), N.M. Stat. Ann. § 58-21A-1 et seq.
	·	New York High-Cost Home Loan Regulations (1A - Original Part 41), 3 NYCCR Part 41 (2001).
	·	New York High-Cost Home Loan Act (1B - § 6-l), N.Y. Bank. L. Ch. 626., as implemented by 3 NYCCR Part 41 (2003) and as amended by Senate Bill 8143-A (2008).

New York Subprime Home Loans, NY Bank. Law § 6-m.

North Carolina Anti-Predatory Lending Law, N.C. Gen. Stat. §§ 24-1.1A to 24-10.2 and North Carolina Amendments to Anti-Predatory Lending Law, N.C. Gen. Stat. §§ 24-9; 24-1.1(E)(a); 24-10.2(a) as amended.

Ohio Anti-Predatory Lending Statute, HB 386, as amended by S.B. 185 (2006), Ohio Rev. Code Ann. § 1.63.

Ohio Consumer Sales Practices Act, Ohio Rev. Code Ann. § 1345.01, as implemented by Ohio Admin. Rules § 109 4-3-01 et seq.

City of Cleveland Heights, Ohio, Anti-Predatory Lending Ordinance, Ordinance No. 72-2003.

Summit County, Ohio, Anti-Predatory Lending Ordinance, Ordinance No. 2004-618, Muni. Code §§ 201.01 et seq.

Oklahoma Anti-Predatory Lending Law, House Bill No. 1574 (2003).

Oklahoma Higher-Priced Mortgage Loans Law, Okla. Admin. Code §§ 160:45-9-1 et seq.

Pennsylvania Consumer Equity Protection Act, 63 Pa. Cons. Stat. Ann. § 456.501 et seq.

City of Providence, Rhode Island Predatory Lending Ordinance, Ordinance No. 245, Chapter 2006-33 as amended.

Rhode Island Home Loan Protection Act, Chapter 25.2 of Title 34 of RI Gen. L. et seq., as implemented by Emergency Banking Regulation 3 (2006) and Final Banking Regulation 3 (2007) and amended by Senate Bill 371 (2007).

South Carolina High-Cost and Consumer Home Loans Act, S.C. Code § 37-23-10 et seq.

South Carolina Consumer Protection Code, S.C. Code 37-1-101 et seq.

Tennessee Home Loan Protection Act of 2006, TN Code Annotated, Title 47 et seq.

Texas High-Cost Home Loan Statute, TX. Fin. Code Ann. § 343.201 et seq.

The disclosure requirements and prohibitions of Section 50(a)(6) and 50(f)(2) of Article XVI of the Texas Constitution

Utah Residential Mortgage Practices Amendments, Utah Code Ann. § 61- 2c-102 et seq.

Utah High Cost Home Loan Act, Utah Code § 61-2d-101 et seq.

Vermont Interest Act, 9 V.S.A. § 104, implemented by Regulation B-98-2.

Virginia Mortgage Lender and Broker Act (for loans originated prior to July 1, 2003), Va. Code Ann. §§ 6.1-413; 6.1-422, 6.1-428.

Virginia Mortgage Lender and Broker Act (for loans originated after July 1, 2003), Va. Code Ann. §§ 6.1-411; 6.1-422.1, 6.1-425.1; 6.1-425.2.

Washington House Bill 2770, Mortgage Lending and Homeownership, Chapter 108, Laws of 2008.

West Virginia Residential Mortgage Lender, Broker and Servicer Act, W.Va. Code § 31-17-1 et seq.

Wisconsin Responsible High Cost Mortgage Lending Act, Wis. Stat. § 428.202.

Wyoming Credit Code, Wyo. Stat. Ann. §§ 40-14-101 et seq.

QUALIFIED MORTGAGE (QM)

With respect to QM (Safe Harbor and Rebuttable Presumption) designated loans, Canopy reviews the loan to determine whether, based on available information in the Loan File: (i) the loan contains risky loan features and terms (e.g. an interest only feature or negative amortization), (ii) the “points and fees” exceed the applicable QM threshold, (iii) the monthly payment was calculated appropriately, (iv) the creditor considered and verified income or assets at or before consummation, (v) the creditor appropriately considered debt obligations, alimony and child support, and (vi) at the time of consummation, if the debt-to-income ratio exceeds 43% (calculated in accordance with Appendix Q to Regulation Z). This portion of the Review includes a recalculation of all income and liabilities with attention to the appropriate documentation of each source.

If a loan was designated as QM and identified as eligible for guarantee, purchase, or insurance by an applicable Agency as permitted under the QM final rule, Canopy reviews the loan to determine whether, based on available information in the Loan File the loan satisfied (i), (ii) and (iii) in the preceding paragraph and reviews the Automated Underwriting System output within the file to confirm agency eligibility.

For each QM designated loan that satisfied the applicable requirements enumerated above, Canopy then determines whether the loan is a Safe Harbor QM or Rebuttable Presumption QM by comparing the loan’s actual annual percentage rate, as recalculated, to the applicable average prime offer rate plus a certain applicable percentage.

Ability to Repay (ATR)

Canopy reviews the loan to determine whether, based on available information in the Loan File, the creditor considered, as applicable, the following eight underwriting factors, and verified such information using reasonably reliable third-party records, at or before consummation: (i) the consumer's current or reasonably expected income or assets, (ii) if the creditor relied on income from the consumer's employment in determining repayment ability, the consumer's current employment status; (iii) the consumer's monthly payment; (iv) the consumer's monthly payment on any simultaneous loan that the creditor knows or has reason to know will be made; (v) the consumer's monthly payment for mortgage-related obligations; (vi) the consumer's current debt obligations, alimony, and child support; (vii) the consumer's monthly debt-to-income ratio or residual income; and (viii) the consumer's credit history. This portion of the Review also focuses on full recalculation of income and debts, as well as the documentation provided to support each item used in originator’s determination of the ability to repay.

Note: for loans designated as QM – Agency eligible (QM – Temporary), Canopy will not review for compliance with the requirements of Appendix Q or General Ability to Repay.

Canopy reviews loans to determine their conformity with the ATR/QM factors above, and is not rendering an independent assessment or opinion, warranting or representing that a loan will be deemed to conform to Safe Harbor, Rebuttable Presumption, ATR or other status based on any additional or revised factors that may be considered by legislative, regulatory, administrative or judicial authorities (“Authorities”). Canopy does not represent or warrant that the factors for which it is reviewing the loans constitute all of the factors and/or criteria that Authorities may consider in determining the status of a loan. Canopy’s review is based on information contained in the Loan File at the time it is provided to Canopy to review, and only reflects information as of that point in time.

VALUATION REVIEW

Canopy reviewed all appraisals and alternative value tools used to qualify the Loan for reasonableness of estimated value, integrity of comparable sales, completeness of data and eligibility of the appraiser, consistent with underwriting guidelines, variances, tolerances, and exception authorities established by Client. Additionally, Canopy determined that the appraised value appeared to be reasonably supported (“Value-Supported Analysis”), based on the valuation provided by the Independent Third-party Review.

With respect to Title XI of FIRREA, Canopy checked for the presence of the appraiser’s license, and reviewed for the presence of any red flags related to the mortgaged property that may have posed a risk to the property or occupants.

With respect to USPAP, Canopy confirmed the appraiser’s certification is present and executed within the original appraisal.

Independent third-party values, CU SCORES and FHLMC REPS and WARRANTS

Canopy applied a cascade methodology to determine if the original appraisal value was reasonably supported when compared to an independent third-party valuation product.

Valuation Reconciliation Process:

If a Desk Review, or other acceptable review product, was provided supporting the origination appraised value within a -10% variance and acceptable confidence score, no additional products were required.

In the event a Desk Review yielded material exceptions or had a value exceeding a negative ten percent (-10%) variance, a field review or second appraisal was ordered to further establish value.

Agency Eligible Loans:

For FNMA loans, if a CU Score was available and the CU Score was greater than 2.5, Canopy ordered an AVM or Desk Review. If the CU Score was less than or equal to 2.5, no further review product was required based on market acceptance of Agency Eligible Loans.

For FHLMC loans, if the FHLMC Rep & Warrant Relief indicator was Not Eligible, Canopy ordered an AVM or Desk Review. If the FHLMC Rep & Warrant Relief indicator was Eligible, no further review product was required based on market acceptance of Agency Eligible Loans.

GRADING COMPONENTS

Due Diligence Grading Criteria

Upon completion of the Loan File review, Canopy assigned comprehensive grading that considers critical factors based on the specific review completed, in addition to product, client, and rating agency requirements.

The NRSRO criteria referenced for this report and utilized for grading descriptions is based upon the NRSRO listed in the Form ABS Due Diligence-15E.

Final Event Grade
A	Loan meets Credit, Compliance, and Valuation Guidelines.
B	The loan substantially meets published Client/Seller guidelines and/or eligibility in the validation of income, assets, or credit, is in material compliance with all applicable laws and regulations, and the value and valuation methodology is supported and substantially meets published guidelines.
C	The loan does not meet the published guidelines and/or violates one material law or regulation, and/or the value and valuation methodology is not supported or did not meet published guidelines.
D	Loan is missing documentation to perform a sufficient review.

Credit Event Grades
A	The loan meets the published guidelines without any exceptions. The employment, income, assets, and occupancy are supported and justifiable. The borrower’s willingness and ability to repay the loan is documented and reasonable.
B	The loan substantially meets the published guidelines, but reasonable compensating factors were considered and documented for exceeding published guidelines. The employment, income, assets and occupancy are supported and justifiable. The borrower’s willingness and ability to repay the loan is documented and reasonable.
C	The loan does not substantially meet the published guidelines. There are not sufficient compensating factors that justify exceeding the published guidelines. The employment, income, assets or occupancy are not supported and justifiable. The borrower’s willingness and ability to repay the loan were not documented or are unreasonable.
D	There was not sufficient documentation to perform a review, or the credit file was not furnished.

Compliance Event Grades
A	The loan is in compliance with all applicable laws and regulations. The legal documents accurately reflect the agreed upon loan terms and are executed by all applicable parties.
B	The loan is in material compliance with all applicable laws and regulations. The legal documents accurately reflect the agreed upon loan terms and are executed by all applicable parties. Client review required.
C	The loan violates one material law or regulation. The material disclosures are absent, or the legal documents do not accurately reflect the agreed upon loan terms or all required applicants did not execute the documents.
D	There was not sufficient documentation to perform a review, or the required legal documents were not furnished.

Valuation Event Grade
A	The value is supported within 10% of the original appraisal by supporting documents (CDA, Field Review or Second Appraisal). The appraisal was performed on an "as-is" basis and the property is complete and habitable at origination. The appraiser was appropriately licensed and used GSE approved forms.

B	The value is not supported within 10% of the original appraisal by supporting documents and there are no other valuation support documents provided. The valuation methodology substantially meets the published guidelines, but reasonable compensating factors were considered and documented for exceeding guidelines. The appraisal was performed on an "as-is" basis and the property is complete and habitable. The appraiser was appropriately licensed and used GSE approved forms.
C	The value is not supported within 10% of the original appraisal. The valuation methodology did not meet the published guidelines and there were not sufficient compensating factors for exceeding published guidelines. The property is in below “average” condition, or the property is not complete or requires significant repairs. The appraisal was not performed on an “as is” basis. The appraiser was not appropriately licensed or did not use GSE approved forms
D	The file was missing the appraisal or there was not sufficient valuation documentation to perform a review.

FINDINGS SUMMARY

Summary Overview

Canopy’s review concluded the grading of the Credit, Property/Valuation, and Compliance sections. 85.71% (6 loans) have an overall grade of “A” and 14.29% (1 loan) have an overall grade of “B”.

Canopy’s review concluded a Credit grade of “A” for 85.71%, (6 loans) of mortgage loans reviewed, and 14.29% (1 loan) has a Credit grade of “B”.

Canopy’s review concluded a Compliance grade of “A” for 100.00%, (7 loans) of mortgage loans reviewed, and 0.00% (0 loans) has a Compliance grade of “B”.

Canopy’s review concluded a Property/Valuation grade of “A” for 100.00%, (7 loans) of mortgage loans reviewed, and 0.00% (0 loans) has a Property/Valuation grade of “B”.

FINDINGS TABLE

REVIEW TABLES

OVERALL REVIEW RESULTS
Final Grade	Loan Count	% of Sample
A	6	85.71%
B	1	14.29%
C	0	0.00%
D	0	0.00%
Grand Total	7	100.00%

CREDIT REVIEW RESULTS
Final Grade	Loan Count	% of Sample
A	6	85.71%
B	1	14.29%
C	0	0.00%
D	0	0.00%
Grand Total	7	100.00%

COMPLIANCE REVIEW RESULTS
Final Grade	Loan Count	% of Sample
A	7	100.00%
B	0	0.00%
C	0	0.00%
D	0	0.00%
Grand Total	7	100.00%

PROPERTY REVIEW RESULTS
Final Grade	Loan Count	% of Sample
A	7	100.00%
B	0	0.00%
C	0	0.00%
D	0	0.00%
Grand Total	7	100.00%

Additional Loan Summary Details

Amortization Type	Loan Count	% of Loans	Original Balance
Fixed	7	100.00%	$2,686,411.00
ARM	0	0.00%	$0.00
Total	7	100.00%	$2,686,411.00

Lien Position	Loan Count	% of Loans	Original Balance
First	7	100.00%	$2,686,411.00
Second	0	0.00%	$0.00
Total	7	100.00%	$2,686,411.00

Loan Purpose	Loan Count	% of Loans	Original Balance
Cash Out: Debt Consolidation— Proceeds used to pay off existing loans other than loans secured by real estate	0	0.00%	$0.00
Limited Cash-Out (GSE Definition)	0	0.00%	$0.00
Cash Out: Other/Multi-Purpose/Unknown Purpose	2	28.57%	$397,800.00
First Time Home Purchase	2	28.57%	$1,246,500.00
Other Than First Time Home Purchase	3	42.86%	$1,042,111.00
Rate/Term Refinance - Borrower Initiated	0	0.00%	$0.00
Total	7	100.00%	$2,686,411.00

Original Term	Loan Count	% of Loans	Original Balance
121 - 180 Months	0	0.00%	$0.00
181 - 240 Months	0	0.00%	$0.00
241 - 300 Months	0	0.00%	$0.00
301 - 360 Months	7	100.00%	$2,686,411.00
361 - 420 Months	0	0.00%	$0.00
421 - 480 Months	0	0.00%	$0.00
Total	7	100.00%	$2,686,411.00

Occupancy	Loan Count	% of Loans	Original Balance
Owner Occupied	1	16.67%	$1,246,500.00
Second Home	0	0.00%	$0.00
Investment Property	5	83.33%	$1,439,911.00
Total	6	100.00%	$2,686,411.00

DATA COMPARISON RESULTS

Of the seven (7) mortgage loan files reviewed, zero (0) unique loans (0.00% by number) had zero (0) tape comparison discrepancies across all data fields.

Disclaimer

Canopy Financial Technology Partners, LLC (“the Company”) performs due diligence reviews for Residential Mortgage-Backed Securities, as well as, assets, collateral, counterparty operations, and similar diligence reviews in the consumer finance industry. In issuing reports and maintaining the ratings provided for herein, the Company relies on factual information it receives from issuers, underwriters, and from other sources which the Company reasonably believes to be credible. The Company conducts reasonable investigation of the factual information relied upon by it in accordance with its ratings methodology. The Company also makes reasonably good faith attempts to verify the information from independent sources (to the extent such sources are available).

Ratings, analysis, reports, and other opinions (referred to collectively as “Reports”) issued by the Company are provided “as is” and without representation or warranty of any kind. The Company hereby disclaims any representation or warranty (whether express or implied) as to accuracy, completeness, merchantability, or fitness for a particular purpose. Reports are not a recommendation to buy, sell, or retain any security. All reports are deemed jointly prepared and no individual shall be exclusively deemed the “author” of any Report. Individuals identified in a Report were involved in, but are not solely responsible for, the contents of any Report.

Unless expressly stated otherwise, Reports do not assess any risk other than credit risk. In particular, any rating or grading in a Report does not take into consideration the risk of any security (or any portion thereof) due to changes in market conditions.

The Company does not provide investment, legal, or tax advice, and the Reports may not be construed as such. Reports are issued for the benefit of the entity requesting the Report, only, and may not be used by third parties without the express written consent of the Company and the requesting party. Reports are based on available information and current regulations as of the date of the Report, and the Company disclaims any obligation to update Reports due to a change of fact of regulation which occurs after the date of issuance. Neither supplemental factual investigation nor enhanced reviews can guarantee that all information provided to the Company will be accurate. Reports are, and must be construed solely as, statements of opinion and not as statements of fact as to credit worthiness, investment, financial, or other recommendation to purchase, sell, or hold any security.

Reports may contain assumptions and/or predictions regarding future events which are “forward-looking” and inherently cannot be verified as facts. Consequently, Reports may be affected by future events or conditions which were not anticipated at the time the Report was made. Such forward-looking statements necessarily involve risks and uncertainties which may result in future performance that is materially different from the Report’s assumptions and/or conclusions. As such, Reports are not a guaranty of future performance nor a prospectus related to the underlying securities (if any), and under reliance should not be placed upon the Reports in the purchase, sale, or holding of any security.

Loan ID

Seller Loan ID

Investor Loan ID

Loan Program

Guideline Product Name

Originator Name

Originating Entity CDFI Flag

Guideline Name

Guideline Author

Guideline Date

Guideline Version

Application Date

TILA Status

TRID

GSE

Verified Safe Harbor Flag

Verified Safe Harbor Reference Document

QM Regulation Failures

ATR QM Total Points and Fees Audit

Loan Regulation Benchmark Date

Benchmark Rate

AUS Decision System

Rating Result

Property Inspection Waiver (PIW)

Calculated APR

HUD 1 Page 1 Credits Total

Verified Qualifying Rate

Originator Qualifying Rate

Qualifying P&I

Default Interest Rate Present

Default Interest Rate

Annual Property Tax

Monthly Property Tax

Annual Insurance Costs

Monthly Insurance Cost

Annual HOA Costs

Monthly HOA Costs

Monthly Other Costs

PITIA

Residual Income

HOA Name

HOA Address State

HOA Fee Amount

HOA Next Due Date

HOA Payment Frequency

Originator DTI

TPR Verified DTI

QM DTI

Is Borrower Non Occupant

Is Co Borrower Non Occupant

Co Borrower 2 Asset Verification Level

Co Borrower 3 Asset Verification Level

Co Borrower 2 Income Verification Level

Co Borrower 3 Income Verification Level

Co Borrower 2 Employment Verification Level

Co Borrower 3 Employment Verification Level

Borrower Employment Indicator

Co Borrower Employment Indicator

Co Borrower 2 Employment Indicator

Co Borrower 3 Employment Indicator

Co Borrower 2 Length of Employment

Co Borrower 3 Length of Employment

Document Level

Borrower Years of W2s/1099

CoBorrower Years of W2s/1099

Borrower Months of Paystubs Verified

Co Borrower Months of Paystubs Verified

Borrower Employment Gap Letter

Borrower Months of Employment Gap

Co Borrower Employment Gap Letter

Co Borrower Months of Employment Gap

Borrower Years of Personal Tax Returns

Borrower Years of Business Tax Returns

CoBorrower Years of Personal Tax Returns

CoBorrower Years of Business Tax Returns

Years of 4506T

Years of Tax Transcripts

Borrower Award/Offer Letter

Co Borrower Award/Offer Letter

Asset Depletion Flag

Partial Asset Depletion Flag

Asset Depletion Months Amortized

Asset Utilization Flag (No DTI)

Borrower Bank Statements Flag

Borrower Bank Statement Summary/Lender Worksheet

Borrower Number of Personal Bank Statements

Borrower Number of Business Bank Statements

CoBorrower Bank Statements Flag

Co Borrower Bank Statement Summary/Lender Worksheet

CoBorrower Number of Personal Bank Statements

CoBorrower Number of Business Bank Statements

Percent of Income From Statements

Borrower Business Ownership %

CoBorrower Business Ownership %

Bespoke Eligible Assets

Borrower P&L Type

Borrower Number of Months P&L

Borrower P&L Prepared By

CoBorrower P&L Type

CoBorrower P&L Prepared By

CoBorrower Number of Months P&L

Borrower CPA Letter Flag

# of Months CPA verified income

CoBorrower CPA Letter Flag

CoBorrower # of Months CPA verified income

Borrower WVOE Flag

Borrower # of Months Employment Validated WVOE

Borrower # of Months Income Validated WVOE

Borrower WVOE Form Type

CoBorrower WVOE Flag

CoBorrower # of Months WVOE

CoBorrower # of Months Income Validated WVOE

CoBorrower WVOE Form Type

DSCR Flag

TPR DSCR

Originator DSCR

Expense Letter

Income Doc Detail

Tax Return Doc Details

Property Address

Property City

Property State

Property Zip

Property County

Original Credit Report Date

Borrower 1 Credit Report Date

Borrower 2 Credit Report Date

Borrower 3 Credit Report Date

Borrower 4 Credit Report Date

Qualifying Credit Score

Third Wage Earner Original FICO Equifax

Third Wage Earner Original FICO Experian

Third Wage Earner Original FICO Transunion

Fourth Wage Earner Original FICO Equifax

Fourth Wage Earner Original FICO Experian

Fourth Wage Earner Original FICO Transunion

Most Recent Updated Credit Report Date

Third Wage Earner Updated FICO Equifax

Third Wage Earner Updated FICO Experian

Third Wage Earner Updated FICO Transunion

Fourth Wage Earner Updated FICO Equifax

Fourth Wage Earner Updated FICO Experian

Fourth Wage Earner Updated FICO Transunion

Most Recent Updated Co Borrower 2 FICO

Most Recent Updated Co Borrower 3 FICO

Most Recent Bankruptcy Type

Most Recent Bankruptcy Filing Date

Most Recent Bankruptcy Discharge Date

Number of Bankruptcy Events

Months Bankruptcy 7 11

Months Bankruptcy 13

Most Recent Deed in Lieu Date

Number of Deed in Lieu Events

Months Deed in Lieu

Most Recent Short Sale Date

Number of Short Sale Events

Months Short Sale (or Pre FC)

Most Recent Foreclosure Date

Number of Foreclosure Events

Months Foreclosure

Prior Mortgage/Rent Late 30d in 24m

Prior Mortgage/Rent Late 60d in 24m

Prior Mortgage/Rent Late 90d in 24m

Has ACH

Is Equity Shared Loan

Subordinate Lien Type

Is Shared Appreciation Mortgage

Borrower Originator Citizenship Designation

Borrower Verified Citizenship Designation

Borrower Individual Tax Identification Number (ITIN)?

Borrower Photo Identification Type

Borrower Photo Identification Other Type

Borrower Photo ID State of Issuance

Borrower Photo ID Country of Issuance

Borrower Photo ID Expiration Date

Borrower Passport Country of Origin

Borrower Passport Expiration Date

Borrower Non-US Citizen Identification Document

Borrower Date of Resident Since/Valid Date

Borrower Non-US Document Expiration Date

Co Borrower Originator Citizenship Designation

Co Borrower Verified Citizenship Designation

Co Borrower Individual Tax Identification Number (ITIN)?

Co Borrower Photo Identification Type

Co Borrower Photo Identification Other Type

Co Borrower Photo ID State of Issuance

Co Borrower Photo ID Country of Issuance

Co Borrower Photo ID Expiration Date

Co Borrower Passport Country of Origin

Co Borrower Passport Expiration Date

Co Borrower Non-US Citizen Identification Document

Co Borrower Date of Resident Since/Valid Date

Co Borrower Non-US Document Expiration Date

Co Borrower 2 Originator Citizenship Designation

Co Borrower 2 Verified Citizenship Designation

Co Borrower 2 Individual Tax Identification Number (ITIN)?

Co Borrower 2 Photo Identification Type

Co Borrower 2 Photo Identification Other Type

Co Borrower 2 Photo ID State of Issuance

Co Borrower 2 Photo ID Country of Issuance

Co Borrower 2 Photo ID Expiration Date

Co Borrower 2 Passport Country of Origin

Co Borrower 2 Passport Expiration Date

Co Borrower 2 Non-US Citizen Identification Document

Co Borrower 2 Date of Resident Since/Valid Date

Co Borrower 2 Non-US Document Expiration Date

Co Borrower 3 Originator Citizenship Designation

Co Borrower 3 Verified Citizenship Designation

Co Borrower 3 Individual Tax Identification Number (ITIN)?

Co Borrower 3 Photo Identification Type

Co Borrower 3 Photo Identification Other Type

Co Borrower 3 Photo ID State of Issuance

Co Borrower 3 Photo ID Country of Issuance

Co Borrower 3 Photo ID Expiration Date

Co Borrower 3 Passport Country of Origin

Co Borrower 3 Passport Expiration Date

Co Borrower 3 Non-US Citizen Identification Document

Co Borrower 3 Date of Resident Since/Valid Date

Co Borrower 3 Non-US Document Expiration Date

Property Rights

Buydown Flag

Assumable Mortgage Flag

Foreign National Alternative Credit Documentation

Liquid / Cash Reserves

Months Liquid Reserves

Total Assets Available for Reserves

Months Reserves

Blanket Mortgage Flag

Qualifying HCLTV

Condo Warrantability Flag

3412570

xxx

Non-QM: Lender documented all ATR UW factors

Yes

N/A

Appendix Q Documentation

xxx

$0.00

xxx

$0.00

0.00%

36.86%

Self-Employed

12 Month Bank Statement

N/A

Yes

N/A

100.00%

N/A

Yes

N/A

Borrower - SESoleProprietor - CPA Letter Verified, 3 YRS Executed 4506T Verified, Business Bank Statements Verified

Borrower - 3 YRS Executed 4506T Verified

xxx

Unknown

Non Permanent Resident Alien

Non-Permanent Non-US Citizen

N/A

Real ID Driver's License

xxx

United States

xxx

N/A

xxx

Fee Simple

N/A

xxx

90.0

N/A

3373561

xxx

ATR/QM: Not Applicable

N/A

xxx

$0.00

xxx

$0.00

xxx

Monthly

0.00%

Yes

Unknown

Debt Service Coverage Ratio

N/A

0.00%

N/A

Yes

0.772

Borrower - N/A

Borrower

xxx

Unknown

US Citizen

N/A

Real ID Driver's License

xxx

United States

xxx

N/A

Fee Simple

Unknown

N/A

xxx

75.0

N/A

3436839

xxx

ATR/QM: Not Applicable

N/A

xxx

$0.00

xxx

$0.00

xxx

Monthly

0.00%

Yes

Unknown

Debt Service Coverage Ratio

N/A

0.00%

N/A

Yes

0.816

N/A

Borrower - N/A

Borrower

xxx

Unknown

Foreign National

N/A

Missing

Colombia

I-551 Stamp and Passport

xxx

Fee Simple

N/A

xxx

70.0

N/A

3346913

xxx

ATR/QM: Not Applicable

N/A

xxx

$0.00

xxx

$0.00

xxx

Monthly

0.00%

Yes

Unknown

Debt Service Coverage Ratio

N/A

0.00%

N/A

Yes

0.816

Borrower - N/A

Borrower

xxx

Unknown

Non Permanent Resident Alien

Non-Permanent Non-US Citizen

N/A

Other

USA Patriot Act

xxx

Colombia

xxx

N/A

xxx

Fee Simple

N/A

xxx

70.0

N/A

3426030

xxx

ATR/QM: Not Applicable

N/A

Appendix Q Documentation

xxx

$0.00

xxx

$0.00

0.00%

Yes

Unknown

Debt Service Coverage Ratio

N/A

0.00%

N/A

Yes

1.187

N/A

Borrower - N/A

Borrower

xxx

Unknown

US Citizen

N/A

Standard Driver's License - Not for federal use

xxx

United States

xxx

N/A

Fee Simple

N/A

.00

xxx

60.0

N/A

3355118

xxx

ATR/QM: Not Applicable

N/A

xxx

$0.00

xxx

$0.00

0.00%

Yes

Unknown

Debt Service Coverage Ratio

N/A

0.00%

N/A

Yes

1.237

Borrower - N/A || Co Borrower

Borrower || Co Borrower

xxx

Unknown

US Citizen

N/A

Standard Driver's License - Not for federal use

xxx

United States

xxx

N/A

Permanent Resident Alien

Permanent Non-US Citizen

N/A

Real ID Driver's License

xxx

United States

xxx

I-151 Permanent Resident Card

xxx

Fee Simple

Unknown

N/A

.00

xxx

21.56

N/A

3340076

xxx

Non-QM: Lender documented all ATR UW factors

Yes

N/A

Appendix Q Documentation

xxx

$0.00

xxx

$0.00

0.00%

48.79%

Self-Employed

1YR Full Doc

1 Month

N/A

Yes

N/A

0.00%

Third-Party Prepared (Unaudited)

Tax Preparer

N/A

Yes

N/A

Borrower - Wage, SESCorp - 1 YR Personal Tax Returns Verified, 1 YR Business Tax Returns Verified, CPA Letter Verified, YTD Profit And Loss Verified, 1 YR W2 1099 Verified, 1 Month Paystubs Verified, 1 YR Executed 4506T Verified, 2 YRS IRS Transcripts Verified, Personal Bank Statements Verified, Business Bank Statements Verified

Borrower - 1 YR Personal Tax Returns Verified, 1 YR Business Tax Returns Verified, 1 YR Executed 4506T Verified, 2 YRS IRS Transcripts Verified

xxx

Unknown

US Citizen

N/A

Real ID Driver's License

xxx

United States

xxx

N/A

Fee Simple

N/A

xxx

90.0

N/A

Loan ID

Seller Loan ID

Investor Loan ID

Seller Name

Loan Program

Documentation Type

Executed NOO Docs in File

Lease In Place Flag

Actual In Place Rent

Third Party Market Rent Estimate

Third Party Rent Source

Actual Short Term Rent Amount

Actual Short Term Rent Source

Short Term Rent Number of Months

Short Term Rental Occupancy Factor

Rental Income Used for Property DSCR Calculation

Rental Source for Property DSCR Calculation

DSCR Calculation Based On Short Rental Income Flag

Property DTI

Originator DSCR

TPR DSCR

PITIA

Gross Rental Income Unit 1

Lease End Date Unit 1

Lease Term Unit 1

Gross Rental Income Unit 2

Lease End Date Unit 2

Lease Term Unit 2

Gross Rental Income Unit 3

Lease End Date Unit 3

Lease Term Unit 3

Gross Rental Income Unit 4

Lease End Date Unit 4

Lease Term Unit 4

Gross Rental Income Unit 5

Lease End Date Unit 5

Lease Term Unit 5

Gross Rental Income Unit 6

Lease End Date Unit 6

Lease Term Unit 6

Gross Rental Income Unit 7

Lease End Date Unit 7

Lease Term Unit 7

Gross Rental Income Unit 8+

Rent Loss Insurance

Rent Loss Insurance Amount

Fee Amount

Acquisition Cost

Renovation Cost

Effective Gross Income

Turnover Costs

Repairs and Maintenance

Marketing and Leasing Costs

Utilities

Other Costs

Cap Ex Reserve

Section 8

Blanket Mortgage/Cross Collateral Flag

Number of Years Property Owned

Number of Mortgaged Properties With Lender

Number of Properties Securing Loan

Foreign National Alternative Credit Documentation

Months Reserves

Loan Closed in the name of Business Entity

Vested Business Entity Name

Vested Business Entity Type

Qualifying Primary Borrower Type

Qualifying Primary Borrower First Name

Qualifying Primary Borrower Last Name

Qualifying CoBorrower Type

Qualifying CoBorrower First Name

Qualifying CoBorrower Last Name

Qualifying CoBorrower 2 Type

Qualifying CoBorrower 2 First Name

Qualifying CoBorrower 2 Last Name

Qualifying CoBorrower 3 Type

Qualifying CoBorrower 3 First Name

Qualifying CoBorrower 3 Last Name

Non-Qualifying Guarantor 1 First Name

Non-Qualifying Guarantor 1 Last Name

Non-Qualifying Guarantor 1 Citizenship

Non-Qualifying Guarantor 1 Country Name

Non-Qualifying Guarantor 2 First Name

Non-Qualifying Guarantor 2 Last Name

Non-Qualifying Guarantor 2 Citizenship

Non-Qualifying Guarantor 2 Country Name

Personal Guaranty

Total Number of Guarantors

Personal Guaranty Recourse Level

Business Entity EIN

3373561

xxx

Debt Service Coverage Ratio

Present

xxx

Appraisal - 1007

N/A

xxx

Appraisal - 1007

129.53

0.772

xxx

0.0

N/A

xxx

Vested Individual

xxx

3436839

xxx

Debt Service Coverage Ratio

Present

xxx

Appraisal - 1007

N/A

xxx

Appraisal - 1007

122.49

0.816

xxx

0.0

N/A

xxx

Vested Individual

xxx

3346913

xxx

Debt Service Coverage Ratio

Present

xxx

Appraisal - 1007

N/A

xxx

Appraisal - 1007

122.49

0.816

xxx

0.0

N/A

xxx

Vested Individual

xxx

3426030

xxx

Debt Service Coverage Ratio

Present

Yes

xxx

Appraisal - 1007

N/A

xxx

Appraisal - 1007

84.25

1.187

xxx

1.7

N/A

xxx

Vested Individual

xxx

3355118

xxx

Debt Service Coverage Ratio

Present

xxx

Appraisal - 1007

xxx

Other

xxx

Appraisal - 1007

Yes

80.84

1.237

xxx

2.9

N/A

xxx

Vested Individual

xxx

Vested Individual

xxx

Loan ID

Seller Loan ID

Investor Loan ID

Overall Initial Loan Grade

Overall Final Loan Grade

Credit Initial Loan Grade

Credit Current/Final Loan Grade

Compliance Initial Loan Grade

Compliance Current/Final Loan Grade

Property Initial Loan Grade

Property Current/Final Loan Grade

Queue

Finding Code

Date Created

Date Modified

Finding Status

Event Level

Initial Finding Grade

Current/Final Finding Grade

Finding Category

Finding Sub Category

Finding Name

Finding Comments

Seller Comments

Resolution Comments

Reviewer Comp Factor

Originator Comp Factors

Finding Documents

Originator QM Status

Final Reviewed QM Status

Loan Amount

Property State

Occupancy

Loan Purpose

Refinance Purpose

Acknowledged / WaivedBy

Waiver in File?

Unique Finding ID

3412570

Closed

FCRE1469

2024-06-09 10:24

2024-06-25 13:40

Resolved

1 - Information

Credit

Missing Doc - Assets

Asset 3 Missing

Resolved-Asset 3 Provided Or Not Applicable - Due Diligence Vendor-06/25/2024
Ready for Review-Document Uploaded.  - Seller-06/24/2024
Counter-Gift Funds letter provided however exception is requesting xxx Acct #xxx listed on Final 1003. Please provide.  - Due Diligence Vendor-06/20/2024
Ready for Review-Document Uploaded.  - Seller-06/19/2024
Open-Asset 3 Missing Provide xxx Acct #xxx as it was not provided at the time of review as required. - Due Diligence Vendor-06/09/2024

Ready for Review-Document Uploaded. - Seller-06/24/2024

Ready for Review-Document Uploaded. - Seller-06/19/2024

Resolved-Asset 3 Provided Or Not Applicable - Due Diligence Vendor-06/25/2024

Calculated DTI Is Less Than The Guideline Maximum By Five Percent (5%) Or More - Calculated DTI Of 36.86% Is Less Than The Guideline Maximum Of 50% By Five Percent (5%) Or More
Qualifying FICO is Greater Than The Guideline Minimum By Twenty (20) or More Points - Qualifying FICO Of xxx is Greater Than The Guideline Minimum Of 700 By Twenty (20) or More Points

xxx

Non-QM: Lender documented all ATR UW factors

xxx

Primary Residence

Purchase

N/A

xxx

3412570

Closed

FCRE1198

2024-06-09 10:29

2024-06-20 10:31

Resolved

1 - Information

Credit

Eligibility

Audited Reserves are less than Guideline Required Reserves (Number of Months)

Resolved-Audited Reserves of xxx are greater than or equal to Guideline Required Reserves of 6 - Due Diligence Vendor-06/20/2024
Ready for Review-Document Uploaded. - Seller-06/19/2024
Open-Audited Reserves of xxx are less than Guideline Required Reserves of 6 Loan was submitted with $xxx in assets. Final CD reflects $xxx for $xxx for reserves which is less than required. - Due Diligence Vendor-06/12/2024

Ready for Review-Document Uploaded. - Seller-06/19/2024

Resolved-Audited Reserves of xxx are greater than or equal to Guideline Required Reserves of 6 - Due Diligence Vendor-06/20/2024

xxx

Non-QM: Lender documented all ATR UW factors

xxx

Primary Residence

Purchase

N/A

xxx

3373561

ATR/QM: Not Applicable

xxx

Investment

Purchase

3436839

ATR/QM: Not Applicable

xxx

Investment

Purchase

3346913

ATR/QM: Not Applicable

xxx

Investment

Purchase

3426030

ATR/QM: Not Applicable

xxx

Investment

Refinance

Cash Out - Other

3355118

Closed

FVAL9739

2024-08-02 11:35

2024-08-19 10:59

Resolved

1 - Information

Property

Appraisal

Property/Appraisal General

Resolved-Per xxx Guidelines: Maximum deferred maintenance cannot exceed $xxx and No health or safety issues both internal or external.
- Due Diligence Vendor-08/19/2024
Ready for Review-Document Uploaded. Appraiser made the report “as is.”  He noted that the pipe was missing and that the cost to cure was $xxx. There was no indication that this was a safety or health issue, and since it was below our threshold of $xxx, we proceeded with this transaction. Minimal risk at an LTV of 22%. - Seller-08/16/2024
Counter-1007 Provided however exception is requesting documentation that hot water heater was repaired. per Appraiser: Diversion pipe missing on subjects hot water heater. Cost to repair estimated at $xxx.  - Due Diligence Vendor-08/12/2024
Ready for Review-Document Uploaded.  - Seller-08/12/2024
Open-Appraiser states some repairs needed: Diversion pipe missing on subjects hot water heater. Cost to repair estimated at $xxx. no other repairs needed. Please provide documentation that hot water heater was repaired.  - Due Diligence Vendor-08/02/2024

Ready for Review-Document Uploaded. Appraiser made the report “as is.” He noted that the pipe was missing and that the cost to cure was $xxx. There was no indication that this was a safety or health issue, and since it was below our threshold of $xxx, we proceeded with this transaction. Minimal risk at an LTV of 22%. - Seller-08/16/2024
Ready for Review-Document Uploaded. - Seller-08/12/2024

Resolved-Per xxx Guidelines: Maximum deferred maintenance cannot exceed $xxx and No health or safety issues both internal or external.
- Due Diligence Vendor-08/19/2024

Months Reserves Are Greater Than The Guideline Minimum By Six (6) Or More Months - Months Reserves Of 72.34 Are Greater Than The Guideline Minimum Of 6 By Six (6) Or More Months

Original LTV Is Below The Guideline Maximum By Ten Percent (10%) Or More - Original LTV Of 21.56% Is Below The Guideline Maximum Of 70% By Ten Percent (10%) Or More

Calculated DTI Is Less Than The Guideline Maximum By Five Percent (5%) Or More - Calculated DTI Of % Is Less Than The Guideline Maximum Of 50% By Five Percent (5%) Or More

Borrower At Current Residence For Five (5) Or More Years - Borrower At Current Residence For Five (5) Or More Years - 8 Years

Original CLTV is Below the Guideline Maximum By Ten Percent (10%) or More - Original CLTV Of 21.56% Is Below the Guideline Maximum Of 70% By Ten Percent (10%) or More

xxx

ATR/QM: Not Applicable

xxx

Investment

Refinance

Cash Out - Other

N/A

xxx

3355118

Closed

FVAL2477

2024-08-01 14:58

2024-08-12 13:32

Resolved

1 - Information

Property

Appraisal

Appraisal incomplete (missing map, layout, pages, etc.)

Resolved-1007 Provided.  - Due Diligence Vendor-08/12/2024

Ready for Review-Document Uploaded.  - Buyer-08/12/2024

Counter-Please provide the Rent schedule (1007) as its missing from the full appraisal.  - Due Diligence Vendor-08/02/2024

Ready for Review-Document Uploaded.  - Buyer-08/01/2024

Open-Missing form 1007. - Due Diligence Vendor-08/01/2024

Resolved-1007 Provided. - Due Diligence Vendor-08/12/2024

xxx

ATR/QM: Not Applicable

xxx

Investment

Refinance

Cash Out - Other

N/A

xxx

3355118

Closed

FCOM1544

2024-08-01 08:10

2024-08-02 11:40

Resolved

1 - Information

Compliance

Missing Doc - CD

TRID: Missing Final Closing Disclosure

Resolved-Final Settlement statement and PCCD provided. - Due Diligence Vendor-08/02/2024

Ready for Review-Document Uploaded. - Seller-08/01/2024

Open-TRID: Missing Final Closing Disclosure Final closing disclosure is missing - Due Diligence Vendor-08/01/2024

Ready for Review-Document Uploaded. - Seller-08/01/2024

Resolved-Final Settlement statement and PCCD provided. - Due Diligence Vendor-08/02/2024

xxx

ATR/QM: Not Applicable

xxx

Investment

Refinance

Cash Out - Other

N/A

xxx

3355118

Closed

FCRE1836

2024-08-01 14:59

2024-08-02 11:38

Waived

2 - Non-Material

Credit

Eligibility

No Exception in file permitting eligibility assessed and established based upon financial condition and real estate background

Waived-Approved Lenders Exception: Exception needed to use market rent for qualifying without prior lease (daughter was residing in home while attending college) - Due Diligence Vendor-08/02/2024

Ready for Review-Document Uploaded. - Buyer-08/01/2024

Open-Missing exception for vacant property with no rental history as per email in file. - Due Diligence Vendor-08/01/2024

Waived-Approved Lenders Exception: Exception needed to use market rent for qualifying without prior lease (daughter was residing in home while attending college) - Due Diligence Vendor-08/02/2024

LTV: Max 70% - Subject 22%
Borrowers have owned property F/C for the last 3 years
Near numerous colleges
Also owns primary residence F/C

xxx

ATR/QM: Not Applicable

xxx

Investment

Refinance

Cash Out - Other

Originator Pre-Close

Yes

xxx

3340076

Non-QM: Lender documented all ATR UW factors

xxx

Primary Residence

Purchase

Loan ID

Seller Loan ID

Investor Loan ID

Original Loan Amount

Initial Credit Loan Grades DBRS

Initial Credit Loan Grades Fitch

Initial Credit Loan Grades Kroll

Initial Credit Loan Grades Moody's

Initial Credit Loan Grades S&P

Initial Compliance Loan Grades DBRS

Initial Compliance Loan Grades Fitch

Initial Compliance Loan Grades Kroll

Initial Compliance Loan Grades Moody's

Initial Compliance Loan Grades S&P

Initial Property Loan Grades DBRS

Initial Property Loan Grades Fitch

Initial Property Loan Grades Kroll

Initial Property Loan Grades Moody's

Initial Property Loan Grades S&P

Initial Overall Loan Grades DBRS

Initial Overall Loan Grades Fitch

Initial Overall Loan Grades Kroll

Initial Overall Loan Grades Moody's

Initial Overall Loan Grades S&P

Final Credit Loan Grades DBRS

Final Credit Loan Grades Fitch

Final Credit Loan Grades Kroll

Final Credit Loan Grades Moody's

Final Credit Loan Grades S&P

Final Compliance Loan Grades DBRS

Final Compliance Loan Grades Fitch

Final Compliance Loan Grades Kroll

Final Compliance Loan Grades Moody's

Final Compliance Loan Grades S&P

Final Property Loan Grades DBRS

Final Property Loan Grades Fitch

Final Property Loan Grades Kroll

Final Property Loan Grades Moody's

Final Property Loan Grades S&P

Final Overall Loan Grades DBRS

Final Overall Loan Grades Fitch

Final Overall Loan Grades Kroll

Final Overall Loan Grades Moody's

Final Overall Loan Grades S&P

3412570

xxx

3373561

xxx

3436839

xxx

3346913

xxx

3426030

xxx

3355118

xxx

3340076

xxx

Loan ID

Seller Loan ID

Investor Loan ID

Note Date

Original Loan Amount

Sales Price

Total Adjusted Prior Purchase Price

Primary Appraised Value

Primary Appraisal Date

Primary Appraisal Type

Value for LTV

LTV

CLTV

Loan Reviewed Property Value

Loan Reviewed Variance Amount

Loan Reviewed Variance Percent

Loan Reviewed Product Type

Loan Post-Close Reviewed Property Value

Loan Post-Close Reviewed Variance Amount

Loan Post-Close Reviewed Variance Percent

Loan Post-Close Reviewed Product Type

Second Appraisal Value

Second Appraisal Variance Amount

Second Appraisal Variance Percent

Second Appraisal Date

Second Appraisal Type

AVM Appraised Value

AVM Variance Amount

AVM Variance Percent

AVM Confidence Score

FSD Score

AVM Company Name

AVM Product Name

AVM Appraisal Date

Desk Review Appraised Value

Desk Review Variance Amount

Desk Review Variance Percent

Desk Review Company

Desk Review Risk Score

Desk Review Appraisal Date

Desk Top Appraised Value

Desk Top Variance Amount

Desk Top Variance Percent

Desk Top Company

Desk Top Appraisal Date

BPO Appraised Value

BPO Variance Amount

BPO Variance Percent

BPO Company

BPO Appraisal Date

Field Review Appraised Value

Field Review Variance Amount

Field Review Variance Percent

Field Review Company

Field Review Appraisal Date

2055 Appraised Value

2055 Variance Amount

2055 Variance Percent

2055 Company

2055 Appraisal Date

AVE/CMA Appraised Value

AVE/CMA Variance Amount

AVE/CMA Variance Percent

AVE/CMA Company

AVE/CMA Appraisal Date

Completion Report (1004D) Date

Other Appraised Value

Other Variance Amount

Other Variance Percent

Other Appraisal Date

Updated Appraised Value

Updated Variance Amount

Updated Variance Percent

Updated Company

Updated Appraisal Date

Updated Appraisal Type

Loan Collateral Advisor Risk Score

Loan Collateral Advisor Risk Score Date

Is Eligible for Rep and Warrant Relief per Loan Collateral Advisor?

Collateral Underwriter Risk Score

Collateral Underwriter Risk Score Date

3412570

xxx

1004 URAR

xxx

90.0

xxx

-.0068

AVM

xxx

-.0068

96.0

0.04

Clear Capital

ClearAVM

xxx

3.9

3373561

xxx

1004 URAR

xxx

75.0

xxx

.0000

Desk Review

xxx

.0000

xxx

Moderate Risk

xxx

3436839

xxx

1004 URAR

xxx

70.0

xxx

.0000

Collateral Underwriter (CU)

1.8

3346913

xxx

1004 URAR

xxx

70.0

xxx

.0000

Collateral Underwriter (CU)

1.9

3426030

xxx

1004 URAR

xxx

60.0

xxx

.0000

Desk Review

xxx

.0000

xxx

Low Risk

xxx

3355118

xxx

1004 URAR

xxx

21.56

xxx

.0000

Desk Review

xxx

.0000

xxx

Low Risk

xxx

3340076

xxx

1004 URAR

xxx

90.0

xxx

.0000

Desk Review

xxx

.0000

xxx

Low Risk

xxx

Loan ID

Investor Loan ID

Seller Loan ID

Lender Application Date

Originator QM Status

Final QM Status

Originator QM Status Difference than Final QM Status?

Reason Why NonQM Final Status

APR Pricing Threshold Exceeded?

QM DTI Threshold Exceeded?

Higher Priced Mortgage Loan (HPML)?

Negatively Amortizing Loan?

Principal Deferment?

Interest Only Flag?

Prepayment Penalty?

Balloon Flag?

Adjustable Rate Balloon?

Loan Term Less Than 5 Years?

QM Points and Fees Threshold Exceeded?

QM Total Points and Fees

APR

ATR: Qualifying Payment Properly Considered?

ATR: Current Employment/Self-Employment Verified?

ATR: Balloon Qualifying Payment Properly Considered?

ATR: Reasonable Income or Assets Considered?

ATR: Subject PITIA Adequately Documented?

ATR: All Liabilities Including Alimony and Child Support in DTI?

ATR: Simultaneous Loan Calculated Properly

ATR: Credit History was Considered Properly?

ATR: Did Lender Document All ATR Factors?

ATR: Was an ATR/QM Residual Income Analysis Provided?

Residual Income

Residual Income Meets Guidelines?

Borrower 1 Employment Indicator

Borrower 2 Employment Indicator

Borrower 1 Foreign National Indicator

Borrower 2 Foreign National Indicator

Business Purpose Loan?

Business Purpose Verified?

3412570

xxx

Non-QM: Lender documented all ATR UW factors

Appendix Q Documentation

Yes

xxx

Yes

N/A

Yes

N/A

Yes

N/A

xxx

N/A

Employed

3373561

xxx

ATR/QM: Not Applicable

Yes

N/A

Unknown

Yes

Present

3436839

xxx

ATR/QM: Not Applicable

Yes

N/A

Yes

Present

3346913

xxx

ATR/QM: Not Applicable

Yes

N/A

Yes

Present

3426030

xxx

ATR/QM: Not Applicable

Appendix Q Documentation

Yes

N/A

Yes

N/A

Yes

Present

3355118

xxx

ATR/QM: Not Applicable

Yes

N/A

Yes

Present

3340076

xxx

Non-QM: Lender documented all ATR UW factors

Appendix Q Documentation

Yes

xxx

Yes

N/A

Yes

N/A

Yes

xxx

N/A

Employed