EXHIBIT 99.2

CLAYTON CONDITIONS REPORT

 

Client Name:		PennyMac
Client Project Name:		PNMAC PMTLT 2026-INV11_J17542
Conditions Report 2.0
Loans in Report:		403
Loans with Conditions:		239

 

52 - Total Active Conditions
		24 - Material Conditions
				7 - Credit Review Scope
						1 - Category: Ability to Repay/Qualified Mortgage
						1 - Category: Assets
						2 - Category: Credit/Mtg History
						1 - Category: DTI
						1 - Category: Income/Employment
						1 - Category: Terms/Guidelines
				7 - Property Valuations Review Scope
						4 - Category: Appraisal
						3 - Category: Value
				10 - Compliance Review Scope
						6 - Category: Ability to Repay/Qualified Mortgage
						4 - Category: TILA/RESPA Integrated Disclosure
		28 - Non-Material Conditions
				10 - Credit Review Scope
						1 - Category: Credit/Mtg History
						5 - Category: DTI
						3 - Category: Income/Employment
						1 - Category: Title
				18 - Compliance Review Scope
						16 - Category: RESPA
						2 - Category: State Late Charges
376 - Total Satisfied Conditions
				98 - Credit Review Scope
						10 - Category: Ability to Repay/Qualified Mortgage
						7 - Category: Assets
						2 - Category: Credit/Mtg History
						25 - Category: DTI
						21 - Category: Income/Employment
						15 - Category: Insurance
						3 - Category: Legal Documents
						11 - Category: Terms/Guidelines
						4 - Category: Title
				223 - Property Valuations Review Scope
						214 - Category: Appraisal
						4 - Category: FEMA
						1 - Category: Property
						4 - Category: Value
				55 - Compliance Review Scope
						33 - Category: Ability to Repay/Qualified Mortgage
						1 - Category: Compliance Manual
						1 - Category: Documentation
						1 - Category: Finance Charge Tolerance
						19 - Category: TILA/RESPA Integrated Disclosure
1 - Total Waived Conditions
				1 - Property Valuations Review Scope
						1 - Category: FEMA

^©2026 Clayton Services LLC. All rights reserved. Ownership and use of this report is governed by the legal agreement between Clayton and the party for which it was prepared. Any use not expressly authorized by such agreement, including reliance on this report by anyone other than such party, is prohibited.

Client Name:		PennyMac
Client Project Name:		PNMAC PMTLT 2026-INV11_J17542
Conditions Report 2.0
Loans in Report:		403
Loans with Conditions:		239

 

Deal ID

Loan Number

Original Principal Balance

State

Initial Lender ATR/ QM Status

Loan Level ATR/ QM Status

Initial Securitization Overall Loan Grade

Final Securitization Overall Loan Grade

Initial Securitization Credit Loan Grade

Final Securitization Credit Loan Grade

Initial Securitization Property Valuations Loan Grade

Final Securitization Property Valuations Loan Grade

Initial Securitization Compliance Loan Grade

Final Securitization Compliance Loan Grade

Initial S&P Overall Loan Grade

Final S&P Overall Loan Grade

Initial S&P Credit Loan Grade

Final S&P Credit Loan Grade

Initial S&P Property Valuations Loan Grade

Final S&P Property Valuations Loan Grade

Initial S&P Compliance Loan Grade

Final S&P Compliance Loan Grade

Condition Category

Condition Sub Category

Condition Status

Initial Securitization Condition Grade

Final Securitization Condition Grade

Initial S&P Condition Grade

Final S&P Condition Grade

Condition Code

Condition Description

Condition Material Indicator

Initial Comments

Client/ Seller Response Comments

Conclusion Comments

TRID Error Type

Cure Method

Compensating Factors

1

XXXXXX

XXXXXX

WY

(No Data)

ATR/ QM: Exempt

D

A

D

A

A

A

C

A

D

A

D

A

A

A

C

A

Compliance

Ability to Repay/ Qualified Mortgage

Satisfied

C

A

C

A

CMPATRQM2900

TILA - Loan subject to Ability to Repay/ Qualified Mortgage rule; Clayton’s status determination places loan in a riskier status than the Lender’s status determination.

No

Loan declared QM SAfe Harbor (APOR) from lender/client.. Clayton status NonQM due to fees too high.

10.27.206 - Rebuttal states ATR/QM exempt however undiscounted rate accounted for and still failing 3% testing of fees. Please provide Business cert affidavit for further review.10/29/2026: Received Business Purpose Affidavit signed 3/12/2026.

10.27.2026 - Exception remains10/29/2026: Exception satisfied.

(No Data)

Not Applicable

CFCFS1739: Positive mortgage payment history - Clayton Comments: No mortgage lates reflected on credit. CFCFS2860: Good credit history - Clayton Comments: No derogatory items listed on credit. CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Reserve requirement per AUS $46,865.65..Borrowers have $80,284.02.

1

XXXXXX

XXXXXX

WY

(No Data)

ATR/ QM: Exempt

D

A

D

A

A

A

C

A

D

A

D

A

A

A

C

A

Compliance

Ability to Repay/ Qualified Mortgage

Satisfied

C

A

C

A

CMPATRQM2904

TILA - Loan subject to Ability to Repay/ Qualified Mortgage rule; is not a Qualified Mortgage.

No

Loan declared QM SAfe Harbor (APOR) from lender/client.. Clayton status NonQM due to fees too high.

10.27.206 - Rebuttal states ATR/QM exempt however undiscounted rate accounted for and still failing 3% testing of fees. Please provide Business cert affidavit for further review.10/29/2026: Received Business Purpose Affidavit signed 3/12/2026.

10.27.2026 - Exception remains10/29/2026: Exception satisfied.

(No Data)

Not Applicable

CFCFS1739: Positive mortgage payment history - Clayton Comments: No mortgage lates reflected on credit. CFCFS2860: Good credit history - Clayton Comments: No derogatory items listed on credit. CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Reserve requirement per AUS $46,865.65..Borrowers have $80,284.02.

1

XXXXXX

XXXXXX

WY

(No Data)

ATR/ QM: Exempt

D

A

D

A

A

A

C

A

D

A

D

A

A

A

C

A

Credit

Terms/ Guidelines

Satisfied

D

A

D

A

CRDTER2548

Missing AUS or AUS errors present

No

AUS in file, but missing documentation to exclude XXX#XXX $134,315. Also no pay history for XXX, $315,000 and $214,500. Information taken from final 1003..No taxes found for XXX No mortgage statement from XXX(XXX). No mortgage statement for for (7XXX from XXX & XXX). No mortgage from XXX for (XXX).

10/26/2026: Received: Final CD for XXX to show XXX was PIF 3/30/2026, also received 4/1/2026 XXX Mtg stmnt UPB matching payoff & Mortgage history 4/1/2026-10/1/2026; Received pay history for XXX $XXX loan 4/1/2026-10/1/2026; XXX stmnt for XXX REO, escrowed $1,542.89; taxes for XXX.Still missing: pay history for XXX $XXX loan; Mortgage stmnt for XXX from XXX & XXX10/30/2026 Received updated 1003/1008/pay history for XXX and statement for XXX. Comment provided explains used CBR payments for XXX and XXX as PI payments, taxes/insurance taken from 1040. All expenses now supported.

10/26/2026: Exception remains.10/30/2026 Exception satisfied.

(No Data)

Not Applicable

CFCFS1739: Positive mortgage payment history - Clayton Comments: No mortgage lates reflected on credit. CFCFS2860: Good credit history - Clayton Comments: No derogatory items listed on credit. CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Reserve requirement per AUS $46,865.65..Borrowers have $80,284.02.

501

XXXXXX

XXXXXX

MD

(No Data)

ATR/ QM: Exempt

A

A

A

A

A

A

A

A

A

A

A

A

A

A

A

A

CFCFS2854: Significant time in profession - Clayton Comments: The borrower has been in the same profession for 12 years CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Post Closing assets $60,849.72 or 23.63 months PITI reserves. Required reserves $15,542.88 CFCFS1736: Significant time at current residence - Clayton Comments: The borrowers have lived at their current residence over 7 years

2

XXXXXX

XXXXXX

PA

(No Data)

ATR/ QM: Exempt

D

A

C

A

D

A

A

A

D

A

C

A

D

A

A

A

Credit

Insurance

Satisfied

C

A

C

A

CRDINSR5353

Insurance Expiration date is prior than the transaction date

No

Missing updated Homeowners insurance policy. HOI in file effective date is 4/29/2025, Expired 4/29/2026.

10/26/2026: Received HOI Dec page. Parameters met.

10/26/2026: Exception satisfied.

Not Applicable

Not Applicable

CFCFS1741: Credit score exceeds guidelines - Clayton Comments: Representative credit score 760, guidelines require 620.

Deal ID

Loan Number

Original Principal Balance

State

Initial Lender ATR/ QM Status

Loan Level ATR/ QM Status

Initial Securitization Overall Loan Grade

Final Securitization Overall Loan Grade

Initial Securitization Credit Loan Grade

Final Securitization Credit Loan Grade

Initial Securitization Property Valuations Loan Grade

Final Securitization Property Valuations Loan Grade

Initial Securitization Compliance Loan Grade

Final Securitization Compliance Loan Grade

Initial S&P Overall Loan Grade

Final S&P Overall Loan Grade

Initial S&P Credit Loan Grade

Final S&P Credit Loan Grade

Initial S&P Property Valuations Loan Grade

Final S&P Property Valuations Loan Grade

Initial S&P Compliance Loan Grade

Final S&P Compliance Loan Grade

Condition Category

Condition Sub Category

Condition Status

Initial Securitization Condition Grade

Final Securitization Condition Grade

Initial S&P Condition Grade

Final S&P Condition Grade

Condition Code

Condition Description

Condition Material Indicator

Initial Comments

Client/ Seller Response Comments

Conclusion Comments

TRID Error Type

Cure Method

Compensating Factors

2

XXXXXX

XXXXXX

PA

(No Data)

ATR/ QM: Exempt

D

A

C

A

D

A

A

A

D

A

C

A

D

A

A

A

Property Valuations

Appraisal

Satisfied

D

A

D

A

PRVAAPPR3116

Missing updated valuation

No

Missing Updated Valuation: LCA returned no score on 2 unit. Clayton to order desk review.

10/14/2026: Received CDA supporting value, but recommends additional review due to issues with comps. Verified not required.

10/14/2026: Exception satisfied.

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines - Clayton Comments: Representative credit score 760, guidelines require 620.

502

XXXXXX

XXXXXX

MA

QM: Safe Harbor (APOR)

QM: Safe Harbor (APOR)

A

A

A

A

A

A

A

A

A

A

A

A

A

A

A

A

CFCFS5269: Minimal use of credit - Clayton Comments: Minimal usage of available revolving credit lines @ 6.09% CFCFS2854: Significant time in profession - Clayton Comments: Borrower has been in same profession for 15 years.

503

XXXXXX

XXXXXX

NC

(No Data)

ATR/ QM: Exempt

D

A

D

A

A

A

A

A

D

A

D

A

A

A

A

A

Credit

DTI

Satisfied

D

A

D

A

CRDDTI2540

Missing verification of some or all components of non-subject PITI

No

Missing verification of some or all components of non-subject PITI or verification paid off/ closed.*Receipt of proof paid of XXX for xxx, noted as insurance lienholder, not on the credit report*Receipt of proof paid of XXX for XXX, noted as insurance lien holder, not on the credit report*Receipt of proof paid of XXX XXX secured by XXX. Noted as HOI lienholder and not reported on the credit report.

10/26/2026: Received Release of Lien for XXX & XXX. Received verification no lien on XXX

10/26/2026: Exception satisfied.

(No Data)

Not Applicable

CFCFS1744: DTI below guideline requirement - Clayton Comments: 14.84% DTI below guideline DTI of 45% CFCFS1734: Borrower has significant time at current job - Clayton Comments: Borrower has 16.42yrs tenure with current employer CFCFS1737: LTV below guideline requirements - Clayton Comments: 75% LTV below maximum allowed guideline LTV of 85% CFCFS1740: Mortgage payment history exceeds guidelines - Clayton Comments: 61 months current mortgage payment history exceeds 24 month guideline credit review CFCFS1741: Credit score exceeds guidelines - Clayton Comments: 795 Median Credit Score exceeds guideline minimum.

6

XXXXXX

XXXXXX

CA

(No Data)

ATR/ QM: Exempt

D

A

D

A

A

A

A

A

D

A

D

A

A

A

A

A

Credit

DTI

Satisfied

D

A

D

A

CRDDTI2540

Missing verification of some or all components of non-subject PITI

No

1. Missing proof of no HOA expense for XXX, XXX and XXX as qualified with.2. Missing proof XXX reflected on primary hazard has been paid in full. If not paid in full provide P&I terms to include in DTI calculation. 1003 disclosed primary home owned F&C of liens.

10/14/2026: Received verification $531/mo HOA on XXX no HOA on XXX orXXX.10/20/2026: Lender LOX - XXX on credit report which closed in 2023 has same loan # as XXX on HOI.

10/14/2026: Exception remains for Item #2.10/20/2026: Exception satisfied.

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Post close reserves $1,732,728.98 exceeds required reserves $32,392.56. CFCFS1734: Borrower has significant time at current job - Clayton Comments: Borrower has 38 years 7 months at current job. CFCFS1739: Positive mortgage payment history - Clayton Comments: Mortgage history reports 59 mos. 0x30 and 59 mos. 0x30.

6

XXXXXX

XXXXXX

CA

(No Data)

ATR/ QM: Exempt

D

A

D

A

A

A

A

A

D

A

D

A

A

A

A

A

Credit

Insurance

Satisfied

D

A

D

A

CRDINSR3278

Hazard Insurance documentation in file is incomplete

No

Missing verification of subject dwelling coverage and policy beginning and ending dates. Evidence of hazard in file only verifies the annual expense.

10/26/2026: Received HOI Dec page. Parameters met.

10/26/2026: Exception satisfied.

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Post close reserves $1,732,728.98 exceeds required reserves $32,392.56. CFCFS1734: Borrower has significant time at current job - Clayton Comments: Borrower has 38 years 7 months at current job. CFCFS1739: Positive mortgage payment history - Clayton Comments: Mortgage history reports 59 mos. 0x30 and 59 mos. 0x30.

504

XXXXXX

XXXXXX

TN

(No Data)

ATR/ QM: Exempt

D

A

A

A

D

A

A

A

D

A

A

A

D

A

A

A

Property Valuations

Appraisal

Satisfied

D

A

D

A

PRVAAPPR3116

Missing updated valuation

No

LCA score is 4.0. Clayton to order Desk Review.

10/14/2026: Received CDA supporting value.

10/14/2026: Exception satisfied.

(No Data)

Not Applicable

CFCFS1737: LTV below guideline requirements - Clayton Comments: LTV is 70.59%; guidelines allow 85%. CFCFS2860: Good credit history - Clayton Comments: Borrower has 0x30 for 122 months.

Deal ID

Loan Number

Original Principal Balance

State

Initial Lender ATR/ QM Status

Loan Level ATR/ QM Status

Initial Securitization Overall Loan Grade

Final Securitization Overall Loan Grade

Initial Securitization Credit Loan Grade

Final Securitization Credit Loan Grade

Initial Securitization Property Valuations Loan Grade

Final Securitization Property Valuations Loan Grade

Initial Securitization Compliance Loan Grade

Final Securitization Compliance Loan Grade

Initial S&P Overall Loan Grade

Final S&P Overall Loan Grade

Initial S&P Credit Loan Grade

Final S&P Credit Loan Grade

Initial S&P Property Valuations Loan Grade

Final S&P Property Valuations Loan Grade

Initial S&P Compliance Loan Grade

Final S&P Compliance Loan Grade

Condition Category

Condition Sub Category

Condition Status

Initial Securitization Condition Grade

Final Securitization Condition Grade

Initial S&P Condition Grade

Final S&P Condition Grade

Condition Code

Condition Description

Condition Material Indicator

Initial Comments

Client/ Seller Response Comments

Conclusion Comments

TRID Error Type

Cure Method

Compensating Factors

505

XXXXXX

XXXXXX

TX

(No Data)

ATR/ QM: Exempt

A

A

A

A

A

A

A

A

A

A

A

A

A

A

A

A

CFCFS1741: Credit score exceeds guidelines - Clayton Comments: Credit score mid score 751> min required of 620 CFCFS1744: DTI below guideline requirement - Clayton Comments: Borrowers DTI 47.69% is below AUS maximum 50%. CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Post close assets $123,907.06 exceed required reserves $13,753.50.

506

XXXXXX

XXXXXX

FL

QM: Safe Harbor (APOR)

QM: Safe Harbor (APOR)

D

A

D

A

D

A

D

A

D

A

D

A

D

A

D

A

Compliance

Ability to Repay/ Qualified Mortgage

Satisfied

D

A

D

A

CMPATRQM3220

TILA - Loan subject to Ability to Repay/ Qualified Mortgage rule; the loan file is missing documents to complete the ATR/QM review and render an accurate ATR/ QM status.

No

AUS findings are incomplete and missing pages to review all AUS requirements. Documentation subject to further review, additional conditions may apply.

10/14/2026 Received complete copy of DU #11 which is determined to be most recent. All terms of AUS met.

10/14/2026 Exception satisfied.

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines - Clayton Comments: 788 mid score > min required of 620. CFCFS5269: Minimal use of credit - Clayton Comments: Minimal usage of available revolving credit lines @ 14.79%. CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Post closing assets $24,409.75 / 9.80 months PITIA > min required of $4,917.29.

506

XXXXXX

XXXXXX

FL

QM: Safe Harbor (APOR)

QM: Safe Harbor (APOR)

D

A

D

A

D

A

D

A

D

A

D

A

D

A

D

A

Credit

Assets

Satisfied

C

A

C

A

CRDAST206

Asset Amounts Are Unsupported by Documentation in File

No

Missing documentation to support the transfer of gift funds to the settlement agent. XXX requires evidence of transfer of the funds from the donors account in a financial institution to the settlement or closing agent (e.g., a copy of a cashiers check or wire transfer confirmation). Documentation subject to further review, additional conditions may apply.

10/29/2026: Received wire receipt to Title for $10K gift.

10/29/2026: Exception satisfied.

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines - Clayton Comments: 788 mid score > min required of 620. CFCFS5269: Minimal use of credit - Clayton Comments: Minimal usage of available revolving credit lines @ 14.79%. CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Post closing assets $24,409.75 / 9.80 months PITIA > min required of $4,917.29.

506

XXXXXX

XXXXXX

FL

QM: Safe Harbor (APOR)

QM: Safe Harbor (APOR)

D

A

D

A

D

A

D

A

D

A

D

A

D

A

D

A

Credit

Insurance

Satisfied

D

A

D

A

CRDINSR848

Missing Hazard Insurance

No

Loan file is missing hazard insurance declarations to verify coverage. Documentation subject to further review, additional conditions may apply.

10/26/2026: Received HOI Dec page. Parameters met.

10/26/2026: Exception satisfied.

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines - Clayton Comments: 788 mid score > min required of 620. CFCFS5269: Minimal use of credit - Clayton Comments: Minimal usage of available revolving credit lines @ 14.79%. CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Post closing assets $24,409.75 / 9.80 months PITIA > min required of $4,917.29.

506

XXXXXX

XXXXXX

FL

QM: Safe Harbor (APOR)

QM: Safe Harbor (APOR)

D

A

D

A

D

A

D

A

D

A

D

A

D

A

D

A

Credit

Terms/ Guidelines

Satisfied

D

A

D

A

CRDTER2548

Missing AUS or AUS errors present

No

DU findings #12 are incomplete and missing the first three pages of the summary of findings. Provide all pages of the report for review. Documentation subject to further review, additional conditions may apply.

10/14/2026 Received complete copy of DU #11 which is determined to be most recent. All terms of AUS met.

10/14/2026 Exception satisfied.

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines - Clayton Comments: 788 mid score > min required of 620. CFCFS5269: Minimal use of credit - Clayton Comments: Minimal usage of available revolving credit lines @ 14.79%. CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Post closing assets $24,409.75 / 9.80 months PITIA > min required of $4,917.29.

506

XXXXXX

XXXXXX

FL

QM: Safe Harbor (APOR)

QM: Safe Harbor (APOR)

D

A

D

A

D

A

D

A

D

A

D

A

D

A

D

A

Property Valuations

Appraisal

Satisfied

D

A

D

A

PRVAAPPR275

Completed “Subject To” w/o Completion Cert in File

No

Appraisal is made subject to completion of construction of deck/stairs in rear of the subject property. File is missing the completion report confirming repairs have been made.

10/14/2026 Received 1004D supporting all required repairs made.

10/14/2026 Exception satisfied.

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines - Clayton Comments: 788 mid score > min required of 620. CFCFS5269: Minimal use of credit - Clayton Comments: Minimal usage of available revolving credit lines @ 14.79%. CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Post closing assets $24,409.75 / 9.80 months PITIA > min required of $4,917.29.

506

XXXXXX

XXXXXX

FL

QM: Safe Harbor (APOR)

QM: Safe Harbor (APOR)

D

A

D

A

D

A

D

A

D

A

D

A

D

A

D

A

Property Valuations

Appraisal

Satisfied

D

A

D

A

PRVAAPPR3116

Missing updated valuation

No

CU did not return a score. Clayton to order desk review.

10/19/2026: Received CDA supporting value.

10/19/2026: Exception satisfied.

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines - Clayton Comments: 788 mid score > min required of 620. CFCFS5269: Minimal use of credit - Clayton Comments: Minimal usage of available revolving credit lines @ 14.79%. CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Post closing assets $24,409.75 / 9.80 months PITIA > min required of $4,917.29.

Deal ID

Loan Number

Original Principal Balance

State

Initial Lender ATR/ QM Status

Loan Level ATR/ QM Status

Initial Securitization Overall Loan Grade

Final Securitization Overall Loan Grade

Initial Securitization Credit Loan Grade

Final Securitization Credit Loan Grade

Initial Securitization Property Valuations Loan Grade

Final Securitization Property Valuations Loan Grade

Initial Securitization Compliance Loan Grade

Final Securitization Compliance Loan Grade

Initial S&P Overall Loan Grade

Final S&P Overall Loan Grade

Initial S&P Credit Loan Grade

Final S&P Credit Loan Grade

Initial S&P Property Valuations Loan Grade

Final S&P Property Valuations Loan Grade

Initial S&P Compliance Loan Grade

Final S&P Compliance Loan Grade

Condition Category

Condition Sub Category

Condition Status

Initial Securitization Condition Grade

Final Securitization Condition Grade

Initial S&P Condition Grade

Final S&P Condition Grade

Condition Code

Condition Description

Condition Material Indicator

Initial Comments

Client/ Seller Response Comments

Conclusion Comments

TRID Error Type

Cure Method

Compensating Factors

7

XXXXXX

XXXXXX

GA

QM: Safe Harbor (APOR)

QM: Safe Harbor (APOR)

D

C

A

A

D

C

A

A

D

C

A

A

D

C

A

A

Property Valuations

Appraisal

Satisfied

C

B

C

A

PRVAAPPR5454

Loan File contains Property Inspection Waiver (PIW)/ AW

No

Loan is approved PIW. Clayton to order BPO.

10/12/2026: Received BPO.

10/12/2026: Exception satisfied.

(No Data)

Not Applicable

CFCFS5269: Minimal use of credit - Clayton Comments: Minimal usage of available revolving credit lines @ 3% CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Post Close Assets are $31,171.37. Required reserves are $4,856.92.

7

XXXXXX

XXXXXX

GA

QM: Safe Harbor (APOR)

QM: Safe Harbor (APOR)

D

C

A

A

D

C

A

A

D

C

A

A

D

C

A

A

Property Valuations

Appraisal

Satisfied

D

A

D

A

PRVAAPPR3116

Missing updated valuation

No

Loan is approved PIW. Clayton to order BPO.

10/12/2026: Received BPO.

10/12/2026: Exception satisfied.

(No Data)

Not Applicable

CFCFS5269: Minimal use of credit - Clayton Comments: Minimal usage of available revolving credit lines @ 3% CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Post Close Assets are $31,171.37. Required reserves are $4,856.92.

7

XXXXXX

XXXXXX

GA

QM: Safe Harbor (APOR)

QM: Safe Harbor (APOR)

D

C

A

A

D

C

A

A

D

C

A

A

D

C

A

A

Property Valuations

Value

Active

C

C

C

C

PRVAVALU5249

Property Value Not Supported

Yes

10/12/2026: Exception added after review of trailing docs: 10/12/2026: Received BPO not supporting value. Clayton to order 2055 Report Exterior- Only.

10/21/2026: Received 2055 Report Exterior- Only, not supporting value. Lender to order a full appraisal.

10/21/2026: Exception remains.

Not Applicable

Not Applicable

CFCFS5269: Minimal use of credit - Clayton Comments: Minimal usage of available revolving credit lines @ 3% CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Post Close Assets are $31,171.37. Required reserves are $4,856.92.

11

XXXXXX

XXXXXX

NJ

QM: Safe Harbor (APOR)

QM: Safe Harbor (APOR)

D

B

A

A

D

B

A

A

D

A

A

A

D

A

A

A

Property Valuations

Appraisal

Satisfied

C

B

C

A

PRVAAPPR5454

Loan File contains Property Inspection Waiver (PIW)/ AW

No

Loan is PIW approved, Clayton to order BPO

10/15/2026 Received BPO. Value supported with +0.75% tolerance.

10/15/2026 Exception satisfied.

(No Data)

Not Applicable

CFCFS1744: DTI below guideline requirement - Clayton Comments: DTI 33.36% is below the guideline maximum of 50%. CFCFS1741: Credit score exceeds guidelines - Clayton Comments: 793 mid score > min required of 620 CFCFS1737: LTV below guideline requirements - Clayton Comments: LTV is 33.10%; guidelines allow 90%.

11

XXXXXX

XXXXXX

NJ

QM: Safe Harbor (APOR)

QM: Safe Harbor (APOR)

D

B

A

A

D

B

A

A

D

A

A

A

D

A

A

A

Property Valuations

Appraisal

Satisfied

D

A

D

A

PRVAAPPR3116

Missing updated valuation

No

Loan is PIW approved, Clayton to order BPO.

10/15/2026 Received BPO. Value supported with +0.75% tolerance.

10/15/2026 Exception satisfied.

(No Data)

Not Applicable

CFCFS1744: DTI below guideline requirement - Clayton Comments: DTI 33.36% is below the guideline maximum of 50%. CFCFS1741: Credit score exceeds guidelines - Clayton Comments: 793 mid score > min required of 620 CFCFS1737: LTV below guideline requirements - Clayton Comments: LTV is 33.10%; guidelines allow 90%.

507

XXXXXX

XXXXXX

CA

(No Data)

ATR/ QM: Exempt

A

A

A

A

A

A

A

A

A

A

A

A

A

A

A

A

CFCFS1741: Credit score exceeds guidelines - Clayton Comments: Credit Score 801. Minimum score required 620 CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Post closing assets $203,700.91 or 36.96 months PITI reserves. Required Reserves $140,711.42

Deal ID

Loan Number

Original Principal Balance

State

Initial Lender ATR/ QM Status

Loan Level ATR/ QM Status

Initial Securitization Overall Loan Grade

Final Securitization Overall Loan Grade

Initial Securitization Credit Loan Grade

Final Securitization Credit Loan Grade

Initial Securitization Property Valuations Loan Grade

Final Securitization Property Valuations Loan Grade

Initial Securitization Compliance Loan Grade

Final Securitization Compliance Loan Grade

Initial S&P Overall Loan Grade

Final S&P Overall Loan Grade

Initial S&P Credit Loan Grade

Final S&P Credit Loan Grade

Initial S&P Property Valuations Loan Grade

Final S&P Property Valuations Loan Grade

Initial S&P Compliance Loan Grade

Final S&P Compliance Loan Grade

Condition Category

Condition Sub Category

Condition Status

Initial Securitization Condition Grade

Final Securitization Condition Grade

Initial S&P Condition Grade

Final S&P Condition Grade

Condition Code

Condition Description

Condition Material Indicator

Initial Comments

Client/ Seller Response Comments

Conclusion Comments

TRID Error Type

Cure Method

Compensating Factors

12

XXXXXX

XXXXXX

ID

(No Data)

ATR/ QM: Exempt

A

A

A

A

A

A

A

A

A

A

A

A

A

A

A

A

CFCFS1741: Credit score exceeds guidelines - Clayton Comments: Credit Score 765. Minimum score required 620 CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Post closing assets $338,399.97 or 210.62 months PITI reserves. Required reserves $46,389.40 CFCFS1737: LTV below guideline requirements - Clayton Comments: LTV 57%, Max LTV 85%

13

XXXXXX

XXXXXX

OK

(No Data)

ATR/ QM: Exempt

D

A

A

A

D

A

A

A

D

A

A

A

D

A

A

A

Property Valuations

Appraisal

Satisfied

D

A

D

A

PRVAAPPR3116

Missing updated valuation

No

Missing Updated Valuation. LCA score not provided. Clayton to order desk review.

10/12/2026: Received CDA supporting value.

10/12/2026: Exception satisfied.

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Post closing assets $102,547.02 (53.23 months PITIA) > min required reserves of $55,428.54 CFCFS2854: Significant time in profession - Clayton Comments: -The borrower has been XXX over 5 years CFCFS1744: DTI below guideline requirement - Clayton Comments: Low DTI @ 7.22% CFCFS1741: Credit score exceeds guidelines - Clayton Comments: 773 mid score > min required of 620

16

XXXXXX

XXXXXX

MN

QM: Safe Harbor (APOR)

QM: Safe Harbor (APOR)

D

B

A

A

D

B

A

A

D

A

A

A

D

A

A

A

Property Valuations

Appraisal

Satisfied

C

B

C

A

PRVAAPPR5454

Loan File contains Property Inspection Waiver (PIW)/ AW

No

Loan is approved PIW. Clayton to order BPO.

10/12/2026: Received BPO supporting value.

10/12/2026: Exception satisfied.

(No Data)

Not Applicable

CFCFS5269: Minimal use of credit - Clayton Comments: Minimal usage of available revolving credit lines @ 8.67% CFCFS1741: Credit score exceeds guidelines - Clayton Comments: 760 mid score > min required of 620

16

XXXXXX

XXXXXX

MN

QM: Safe Harbor (APOR)

QM: Safe Harbor (APOR)

D

B

A

A

D

B

A

A

D

A

A

A

D

A

A

A

Property Valuations

Appraisal

Satisfied

D

A

D

A

PRVAAPPR3116

Missing updated valuation

No

Loan is approved PIW. Clayton to order BPO.

10/12/2026: Received BPO supporting value.

10/12/2026: Exception satisfied.

(No Data)

Not Applicable

CFCFS5269: Minimal use of credit - Clayton Comments: Minimal usage of available revolving credit lines @ 8.67% CFCFS1741: Credit score exceeds guidelines - Clayton Comments: 760 mid score > min required of 620

23

XXXXXX

XXXXXX

CO

QM: Safe Harbor (APOR)

QM: Safe Harbor (APOR)

D

A

D

A

A

A

D

A

D

A

D

A

A

A

D

A

Compliance

Ability to Repay/ Qualified Mortgage

Satisfied

D

A

D

A

CMPATRQM3220

TILA - Loan subject to Ability to Repay/ Qualified Mortgage rule; the loan file is missing documents to complete the ATR/ QM review and render an accurate ATR/QM status.

No

Missing complete copy of DU AUS #13 in file. Additional exceptions may apply based on review of complete AUS.

10/14/2026 Received complete copy of DU AUS submission 13.

10/14/2026 Exception satisfied.

(No Data)

Not Applicable

CFCFS1736: Significant time at current residence - Clayton Comments: 27 years at primary residence CFCFS1737: LTV below guideline requirements - Clayton Comments: LTV is 60%; guidelines allow 75%.

23

XXXXXX

XXXXXX

CO

QM: Safe Harbor (APOR)

QM: Safe Harbor (APOR)

D

A

D

A

A

A

D

A

D

A

D

A

A

A

D

A

Credit

Terms/ Guidelines

Satisfied

D

A

D

A

CRDTER2548

Missing AUS or AUS errors present

No

Missing complete copy of DU AUS #13 in file. Additional exceptions may apply based on review of complete AUS.

10/14/2026 Received complete copy of DU AUS submission 13. Terms of AUS met however reviewer calculated XXX earnings total $15,254.83 with DU AUS 13 using $17,512.17. The variance is due lender use of the 2024 W2 with earnings of $120,000 vs. 2025 W2 with earnings $92,500. Due to decrease 2025 should be used in calculation. The reduction in earnings increased DTI from 32.58% to 37.18% requiring DU AUS to be re-ran as DTI increase is above 3% tolerance. DU AUS recommendation to remain Approve/Eligible and all other terms to remain same.10/26/2026: re-calculated XXX income. Did not use 2023 as it was higher than 2023. Verified $17,546.42/month using 2024 1120-s and 2024 W2. DTI is now 32.33%, within tolerance of your latest AUS of 32.58%.

10/14/2026 Exception remains.10/26/2026: Exception satisfied.

(No Data)

Not Applicable

CFCFS1736: Significant time at current residence - Clayton Comments: 27 years at primary residence CFCFS1737: LTV below guideline requirements - Clayton Comments: LTV is 60%; guidelines allow 75%.

Deal ID

Loan Number

Original Principal Balance

State

Initial Lender ATR/ QM Status

Loan Level ATR/ QM Status

Initial Securitization Overall Loan Grade

Final Securitization Overall Loan Grade

Initial Securitization Credit Loan Grade

Final Securitization Credit Loan Grade

Initial Securitization Property Valuations Loan Grade

Final Securitization Property Valuations Loan Grade

Initial Securitization Compliance Loan Grade

Final Securitization Compliance Loan Grade

Initial S&P Overall Loan Grade

Final S&P Overall Loan Grade

Initial S&P Credit Loan Grade

Final S&P Credit Loan Grade

Initial S&P Property Valuations Loan Grade

Final S&P Property Valuations Loan Grade

Initial S&P Compliance Loan Grade

Final S&P Compliance Loan Grade

Condition Category

Condition Sub Category

Condition Status

Initial Securitization Condition Grade

Final Securitization Condition Grade

Initial S&P Condition Grade

Final S&P Condition Grade

Condition Code

Condition Description

Condition Material Indicator

Initial Comments

Client/ Seller Response Comments

Conclusion Comments

TRID Error Type

Cure Method

Compensating Factors

513

XXXXXX

XXXXXX

TN

(No Data)

ATR/ QM: Exempt

D

A

D

A

D

A

A

A

D

A

D

A

D

A

A

A

Credit

DTI

Satisfied

D

A

D

A

CRDDTI2540

Missing verification of some or all components of non-subject PITI

No

Missing HOI for XXX

10/14/2026: Received Final CD for REO showing $1,901.59 PITIA.

10/14/2026: Exception satisfied.

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Post-close assets are $185,965.27 or 108.02 months PITIA. Required PITIA reserves are $35,014.64 per AUS. CFCFS1741: Credit score exceeds guidelines - Clayton Comments: Qualifying FICO of 808 exceeds required FICO of 620. CFCFS2860: Good credit history - Clayton Comments: No late payments reporting on credit report. Oldest reported tradeline opened 12/2001.

513

XXXXXX

XXXXXX

TN

(No Data)

ATR/ QM: Exempt

D

A

D

A

D

A

A

A

D

A

D

A

D

A

A

A

Credit

Income/ Employment

Satisfied

D

A

D

A

CRDINC2408

Income verification does not meet guidelines

No

W2 for 2024 for B2 is corrupted. Printout has legibility issues.

10/14/2026: 2024 W2 received is for B1. Provide 2024 W2 for B2.10/30/2026 Received B2 2024 W2, supports employment history and earnings.

10/14/2026: Exception remains.10/30/2026 Exception satisfied.

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Post-close assets are $185,965.27 or 108.02 months PITIA. Required PITIA reserves are $35,014.64 per AUS. CFCFS1741: Credit score exceeds guidelines - Clayton Comments: Qualifying FICO of 808 exceeds required FICO of 620. CFCFS2860: Good credit history - Clayton Comments: No late payments reporting on credit report. Oldest reported tradeline opened 12/2001.

513

XXXXXX

XXXXXX

TN

(No Data)

ATR/ QM: Exempt

D

A

D

A

D

A

A

A

D

A

D

A

D

A

A

A

Credit

Legal Documents

Satisfied

D

A

D

A

CRDLGL2550

Missing HUD-1 from sale of property

No

Purchase of XXX

10/14/2026: Received Final CD for REO showing $1,901.59 PITIA.

10/14/2026: Exception satisfied.

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Post-close assets are $185,965.27 or 108.02 months PITIA. Required PITIA reserves are $35,014.64 per AUS. CFCFS1741: Credit score exceeds guidelines - Clayton Comments: Qualifying FICO of 808 exceeds required FICO of 620. CFCFS2860: Good credit history - Clayton Comments: No late payments reporting on credit report. Oldest reported tradeline opened 12/2001.

513

XXXXXX

XXXXXX

TN

(No Data)

ATR/ QM: Exempt

D

A

D

A

D

A

A

A

D

A

D

A

D

A

A

A

Property Valuations

Appraisal

Satisfied

D

A

D

A

PRVAAPPR3116

Missing updated valuation

No

CU score is 999; Clayton to order desk review.

10/14/2026: Received CDA supporting value.

10/14/2026: Exception satisfied.

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Post-close assets are $185,965.27 or 108.02 months PITIA. Required PITIA reserves are $35,014.64 per AUS. CFCFS1741: Credit score exceeds guidelines - Clayton Comments: Qualifying FICO of 808 exceeds required FICO of 620. CFCFS2860: Good credit history - Clayton Comments: No late payments reporting on credit report. Oldest reported tradeline opened 12/2001.

515

XXXXXX

XXXXXX

FL

(No Data)

ATR/ QM: Exempt

A

A

A

A

A

A

A

A

A

A

A

A

A

A

A

A

CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Post-closing Assets: $25,929.35 required $11,799.18 reserves CFCFS1741: Credit score exceeds guidelines - Clayton Comments: 793 rep score - 620 required

24

XXXXXX

XXXXXX

FL

QM: Safe Harbor (APOR)

QM: Safe Harbor (APOR)

D

B

A

A

D

B

A

A

D

A

A

A

D

A

A

A

Property Valuations

Appraisal

Satisfied

C

B

C

A

PRVAAPPR5454

Loan File contains Property Inspection Waiver (PIW)/AW

No

Loan is PIW approved, Clayton to order BPO.

10/14/2026 Received BPO. Value supported with 0% tolerance.

10/14/2026 Exception satisfied.

(No Data)

Not Applicable

CFCFS1734: Borrower has significant time at current job - Clayton Comments: 7+ years at same employer. CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Post closing assets $11,740.92 month > reserve requirement $0. CFCFS1740: Mortgage payment history exceeds guidelines - Clayton Comments: Borrowers have 99 months mortgage payment history 0x30.

24

XXXXXX

XXXXXX

FL

QM: Safe Harbor (APOR)

QM: Safe Harbor (APOR)

D

B

A

A

D

B

A

A

D

A

A

A

D

A

A

A

Property Valuations

Appraisal

Satisfied

D

A

D

A

PRVAAPPR3116

Missing updated valuation

No

Loan is approved PIW. Clayton to order BPO.

10/14/2026 Received BPO. Value supported with 0% tolerance.

10/14/2026 Exception satisfied.

(No Data)

Not Applicable

CFCFS1734: Borrower has significant time at current job - Clayton Comments: 7+ years at same employer. CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Post closing assets $11,740.92 month > reserve requirement $0. CFCFS1740: Mortgage payment history exceeds guidelines - Clayton Comments: Borrowers have 99 months mortgage payment history 0x30.

Deal ID

Loan Number

Original Principal Balance

State

Initial Lender ATR/ QM Status

Loan Level ATR/ QM Status

Initial Securitization Overall Loan Grade

Final Securitization Overall Loan Grade

Initial Securitization Credit Loan Grade

Final Securitization Credit Loan Grade

Initial Securitization Property Valuations Loan Grade

Final Securitization Property Valuations Loan Grade

Initial Securitization Compliance Loan Grade

Final Securitization Compliance Loan Grade

Initial S&P Overall Loan Grade

Final S&P Overall Loan Grade

Initial S&P Credit Loan Grade

Final S&P Credit Loan Grade

Initial S&P Property Valuations Loan Grade

Final S&P Property Valuations Loan Grade

Initial S&P Compliance Loan Grade

Final S&P Compliance Loan Grade

Condition Category

Condition Sub Category

Condition Status

Initial Securitization Condition Grade

Final Securitization Condition Grade

Initial S&P Condition Grade

Final S&P Condition Grade

Condition Code

Condition Description

Condition Material Indicator

Initial Comments

Client/ Seller Response Comments

Conclusion Comments

TRID Error Type

Cure Method

Compensating Factors

28

XXXXXX

XXXXXX

IL

QM: Safe Harbor (APOR)

QM: Safe Harbor (APOR)

D

A

A

A

D

A

A

A

D

A

A

A

D

A

A

A

Property Valuations

Appraisal

Satisfied

D

A

D

A

PRVAAPPR3116

Missing updated valuation

No

Missing updated valuation. CU score is NA. Clayton to order desk review.

10/14/2026 Received desk review. Value supported with 0% variance.

10/14/2026 Exception satisfied.

(No Data)

Not Applicable

CFCFS1744: DTI below guideline requirement - Clayton Comments: 27.04% DTI with a max 45% allowed. CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: ASSETS: $238,328.67 Reserves required per AUS = $67,361 CFCFS1741: Credit score exceeds guidelines - Clayton Comments: 741 score exceeds the 620 minimum.

29

XXXXXX

XXXXXX

CA

(No Data)

ATR/ QM: Exempt

A

A

A

A

A

A

A

A

A

A

A

A

A

A

A

A

CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Required reserves $11,522.56 Post close reserves $130,059.40 CFCFS1736: Significant time at current residence - Clayton Comments: Borrower has 23 years 0 months at current residence. CFCFS1741: Credit score exceeds guidelines - Clayton Comments: Qualifying FICO of 726 is 106 points above the 620 required.

522

XXXXXX

XXXXXX

CA

QM: Safe Harbor (APOR)

QM: Safe Harbor (APOR)

D

A

D

A

D

A

A

A

D

A

D

A

D

A

A

A

Credit

Insurance

Satisfied

D

A

D

A

CRDINSR848

Missing Hazard Insurance

No

Missing HOI dec page.

10/26/2026: Received HOI Dec page. Parameters met.

10/26/2026: Exception satisfied.

(No Data)

Not Applicable

CFCFS1739: Positive mortgage payment history - Clayton Comments: Good mortgage pay history 0x30 since 2017 per CR. CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: ASSETS: $112,906.90 Reserves required per AUS= $26,748.72 CFCFS1741: Credit score exceeds guidelines - Clayton Comments: 726 score exceeds 620 minimum.

522

XXXXXX

XXXXXX

CA

QM: Safe Harbor (APOR)

QM: Safe Harbor (APOR)

D

A

D

A

D

A

A

A

D

A

D

A

D

A

A

A

Property Valuations

Appraisal

Satisfied

D

A

D

A

PRVAAPPR3116

Missing updated valuation

No

Missing updated valuation: LCA score NA. Clayton to order desk review.

10/19/2026: Received CDA supporting value.

10/19/2026: Exception satisfied.

(No Data)

Not Applicable

CFCFS1739: Positive mortgage payment history - Clayton Comments: Good mortgage pay history 0x30 since 2017 per CR. CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: ASSETS: $112,906.90 Reserves required per AUS= $26,748.72 CFCFS1741: Credit score exceeds guidelines - Clayton Comments: 726 score exceeds 620 minimum.

31

XXXXXX

XXXXXX

OR

(No Data)

ATR/ QM: Exempt

A

A

A

A

A

A

A

A

A

A

A

A

A

A

A

A

CFCFS1739: Positive mortgage payment history - Clayton Comments: Borrower has 0x30 for 99 months. CFCFS1741: Credit score exceeds guidelines - Clayton Comments: 789 mid score > min required of 620 CFCFS1734: Borrower has significant time at current job - Clayton Comments: Borrower has 14 years at present job, XXX CFCFS1736: Significant time at current residence - Clayton Comments: Borrower has 14 years at primary residence CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Post closing assets $369,386.47 or 158 months PITIA > min required of $78,384.12. CFCFS2860: Good credit history - Clayton Comments: Minimal usage of available revolving credit lines @ 12%

35

XXXXXX

XXXXXX

IL

(No Data)

ATR/ QM: Exempt

A

A

A

A

A

A

A

A

A

A

A

A

A

A

A

A

CFCFS1739: Positive mortgage payment history - Clayton Comments: Mortgage history reports 64 mos. 0x30, 23 mos. 0x30 and 61 mos. 0x30. CFCFS1736: Significant time at current residence - Clayton Comments: B1 has 9 years at primary residence. CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: Post close reserves $32,586.37 exceeds required reserves $19,502.57.

Deal ID

Loan Number

Original Principal Balance

State

Initial Lender ATR/ QM Status

Loan Level ATR/ QM Status

Initial Securitization Overall Loan Grade

Final Securitization Overall Loan Grade

Initial Securitization Credit Loan Grade

Final Securitization Credit Loan Grade

Initial Securitization Property Valuations Loan Grade

Final Securitization Property Valuations Loan Grade

Initial Securitization Compliance Loan Grade

Final Securitization Compliance Loan Grade

Initial S&P Overall Loan Grade

Final S&P Overall Loan Grade

Initial S&P Credit Loan Grade

Final S&P Credit Loan Grade

Initial S&P Property Valuations Loan Grade

Final S&P Property Valuations Loan Grade

Initial S&P Compliance Loan Grade

Final S&P Compliance Loan Grade

Condition Category

Condition Sub Category

Condition Status

Initial Securitization Condition Grade

Final Securitization Condition Grade

Initial S&P Condition Grade

Final S&P Condition Grade

Condition Code

Condition Description

Condition Material Indicator

Initial Comments

Client/ Seller Response Comments

Conclusion Comments

TRID Error Type

Cure Method

Compensating Factors

526

XXXXXX

XXXXXX

FL

(No Data)

ATR/ QM: Exempt

A

A

A

A

A

A

A

A

A

A

A

A

A

A

A

A

CFCFS1731: Verified cash reserves exceed guidelines - Clayton Comments: ASSETS: $764,290.31 - $5,000 EMD - $99,991.55 CTC = $659,298.76 reserves.Reserves required = $17,544.76 per AUS. CFCFS5269: Minimal use of credit - Clayton Comments: Minimal revolving credit user at 3% per CR. CFCFS1741: Credit score exceeds guidelines - Clayton Comments: 740 score exceeds 620 minimum.

527

XXXXXX

XXXXXX

NJ

(No Data)

ATR/ QM: Exempt

A

A

A

A

A

A

A

A

A

A

A

A

A

A

A

A

CFCFS2854: Significant time in profession - Clayton Comments: Borrower has 21 years 0 months in profession. CFCFS1736: Significant time at current residence - Clayton Comments: Borrower has 16 years 0 months at current residence. CFCFS1741: Credit score exceeds guidelines - Clayton Comments: Qualifying FICO of 792 is 172 points above the 620 required.

528

XXXXXX

XXXXXX

OR

QM: Safe Harbor (APOR)

QM: Safe Harbor (APOR)

D

A

D

A

D

A

A

A

D

A

D

A

D

A

A

A

Credit

Insurance

Satisfied

D

A

D

A

CRDINSR848

Missing Hazard Insurance

No

Provide HOI Dec page for the subject.

10/26/2026: Received HOI Dec page. Parameters met.

10/26/2026: Exception satisfied.

(No Data)

Not Applicable

CFCFS2860: Good credit history - Clayton Comments: Borrower has 0x30 for 272 months. CFCFS1741: Credit score exceeds guidelines - Clayton Comments: 764 mid score > min required of 620

528

XXXXXX

XXXXXX

OR

QM: Safe Harbor (APOR)

QM: Safe Harbor (APOR)

D

A

D

A

D

A

A

A

D

A

D

A

D

A

A

A

Property Valuations

Appraisal

Satisfied

D

A

D

A

PRVAAPPR3116

Missing updated valuation

No

CU Score 4.4. Clayton to order Desk Review.

10/19/2026: Received CDA supporting value.

10/19/2026: Exception satisfied.

(No Data)

Not Applicable

CFCFS2860: Good credit history - Clayton Comments: Borrower has 0x30 for 272 months. CFCFS1741: Credit score exceeds guidelines - Clayton Comments: 764 mid score > min required of 620

43

XXXXXX

XXXXXX

AL

QM: Safe Harbor (APOR)

QM: Safe Harbor (APOR)

D

B

D

A

D

B

D

B

D

B

D

A

D

A

D

B

Compliance

Ability to Repay/ Qualified Mortgage

Satisfied

D

A

D

A

CMPATRQM3220

TILA - Loan subject to Ability to Repay/ Qualified Mortgage rule; the loan file is missing documents to complete the ATR/ QM review and render an accurate ATR/QM status.

No

1. Provide 2025/2024 1040s to verify Div/ Int Income noted on Final 1003 and DU;2. Provide 2025 W2 and current paystub or WVOE for B1 wage income.3. Provide Funding VVOE for B1 employment.

10/15/2026 Received 2025/2024 1040’s to verify Div/Int. Income. Income validated at $3,341.25 vs. $3,457.92 used to qualify. Using only 2025 12 mo. average due to slight decline from 2024. Received VVOE for B1 employment used to qualify. Validates active employment. No documentation for B1 wage income. Exception 2 remains.10/23/2026: Received 2025/2024 1040s. Already received and reviewed. Still need B1 wage income docs.10/30/2026 Received B1 pay stubs and two years W2’s. Earnings used to qualify supported.

10/15/2026 Exception items 1 and 3 satisfied. Exception item 2 remains.10/23/2026: Exception remains.10/30/2026 Exception satisfied.

(No Data)

Not Applicable

CFCFS1736: Significant time at current residence - Clayton Comments: 18+ years at primary residence CFCFS5269: Minimal use of credit - Clayton Comments: Minimal usage of available revolving credit lines @ 3.00% CFCFS2854: Significant time in profession - Clayton Comments: 16+ years at present job CFCFS1737: LTV below guideline requirements - Clayton Comments: LTV is 80%; guidelines allow 90%.