Primary Residential Mortgage, Inc.

LoanUnderwriting Branch to Branch Agreement

This Loan Underwriting Agreement is made and entered into this day of ,200, by and between PRMI Branch number, (“the originating Branch”) andPRMI Branch 1994 (“theunderwriting Branch”), collectively (“the parties”). This agreement is conditional upon execution by all parties and approved by PRMI corporate office.

WHEREAS, the originating Branch is in the business of brokering/originating mortgage loan applications in the State of and, whereas the underwritingBranchhas experience in underwriting mortgage loans and is interested in underwriting mortgage loans originated by the originating Branchin accordance with the terms set forth below:

An Underwriting agreement must be provided for each individual branch when multiple branches are involved.

NOW, THEREFORE, The Parties agree as follows:

BRANCH STATUSAs required, the UnderwritingBranchand Originating Branch must be an active PRMI branch in good standing.

LOAN UNDERWRITINGThe originating Branchmay, from time to time, submit loan package it has originated to the underwriting Branchfor loan underwriting. The underwriting Branch agrees to promptly and diligently underwrite loan applications in compliance with Corporate Policies and Procedures as outlined in myprmi.com as well as all applicable laws and regulations. The underwriting Branchwill make every reasonable effort to ensure all applications are fully underwritten to the extent of PRMI’s chosen Lender requirements.

AUTHORIZATION AND ACCOUNTINGEvery loan sent by the Originating Branch to the Underwriting Branch must have a signed “Authorization for Underwriting Services” form (attached). A copy of the signed authorization form must be sent by the Underwriting Branch to the Accounting department at the PRMI corporate office at time of billing. Accounting will transfer the agreed upon funds from the Originating Branch profit center to the Underwriting Branch profit centerafterthe service has been provided. It is the responsibility of the Underwriting Branch to submit the request for the transfer of funds. Please contact PRMI corporate Accounting department for specific billing procedures.

DUTIES OF THE ORIGINATING BRANCHThe originating Branchshall (i) take and complete the application forthe loans (“the Applications”); (ii) prepare all required disclosures; (iii)collect any upfront fees; (iv) prequalify the Applicants for the loan (“The Applicants”); (v) pull tri-merge in file credit report; (vi) designate which appraiser or follow Investor policies, lender, and title company the company should use; (vii) complete the Submission Form in its entirety and deliver it to the company immediately. The originatingBranchis also responsible for the following: (i) choosing an appropriate investor to submit the loan to; (ii) locking in the interest rate, (iii) reviewing and approving Fee Sheet; (iv)verifying closing figures, and all closing documents prior to signing; (v) ensuring that all loan documents meet state and federal guidelines (vi) forwarding any original documentation as needed by the underwriting Branch or the PRMI corporate; (vii) all responsibilities for any and all fees incurred for any 3rd party services (appraisal, title, inspections, overnight fees) during the loan underwriting.The originating Branch is also responsible for completing the Authorization for Underwriting Services form and supplying the Manager, accounting and underwriting Branch manager with a copy.

DUTIES OF THE UNDERWRITING BRANCHUnderwriting Branch will perform the following responsibilities when evaluating & underwriting a loan submission package:

  • Review, calculate & evaluate income documents ensuring it meets Investor and PRMI guidelines
  • Review & evaluate of credit profileensuring the profile meets Investor and PRMI guidelines and all debts and items are included
  • Review & evaluate collateral (appraisal) ensuring the collateral meets investor and PRMI guidelines
  • Review of investor guidelines ensuring all are met on each and every transaction
  • Review of PRMI guidelines ensuring all are met on each and every transaction
  • Review, evaluate, & validate of the AUC findings when applicable
  • Entering all information into DataTracensuring that data is accurate and correct
  • Update all final documents to file (i.e., 1008 /MCAW/analysis/1003/FHA addms/AUS)
  • Review & evaluate all city, county, state and federal guidelines for compliance
  • Render a decision base of documentation provided and program guidelines
  • Notify Branch Manager/loan officer of disposition.
  • Clear any and all conditions allowing the file to proceed to closing
  • Clear any post closing conditions/investor suspense conditions pertaining to theUnderwriting of the file immediately upon notice
  • Ensure originating branch and loan office are properly licensed to originate in the state for the loan(s) submitted

LIABILITIES

  1. Any liabilities resulting from loan errors or items unacceptable to the investorgreater then $1000 will be split 1/3 to the originating branch, 1/3 to the underwriting branch and 1/3 to corporate.
  2. Any liabilities resulting from loan errors or items unacceptable to the investor that are equal or lessthen$1000 will be the responsibility of the originating branch.

ADDENDUMS TO THIS AGREEMENT Any and all addendums to this agreement must be on a separate form and approved by Corporate prior to taking effect

DisputesAnydisputes between the parties of this agreement will be resolved by Corporate Office.

APPLICABLE LAWThis Agreement will be governed by, and construed in accordance with,the laws of the State of Utah.

NON-SOLICITATIONThe underwriting Branch agrees that it will not solicit any of the borrowers whose loan application are submitted to the underwriting Branch for the purpose of obtaining loans for such persons. The underwriting Branch shall not convey or transfer any loan application information to any other individual or entity without specific written authorization from PRMI.

NO PARTNERSHIPThis agreement does not create a partnership relationship

CONFIDENTIALITYThe underwriting Branch agrees to treat as confidential the identities of, and all financial information submitted by, all borrowers whose loan application are being underwritten, or have been underwritten by the underwriting Branch. The Underwriting branch agrees provide adequate security of all documents and within their possession and to preclude unauthorized access and use.

TERMINATION OF AGREEMENTEither party may terminate this Agreement at will upon written notice to the other party and the Manager, Accounting. Upon termination, all loans are to be immediately returned to the originating office unless agreed differently in writing between the parties. Please find termination agreement on

SERVICE LEVELS Service levels are to be agreed upon by the 2 parties entering into this agreement. Corporate does not assume any responsibility in administering or enforcing the agreed upon service levels.

Underwriting Turn Times: 4-5 Business Days

Condition Turn Times: 48 hours (Please do not call until after 48 hours)

FEES AND CHARGES:

Base Underwriting Rates:

Conventional Loans $350

FHA/VA Loans $350

FHA/VA Streamline Refinances $350

Sub-Prime Loans (not available)

Non-Conforming Loans (not available)

HELOC/2nd Mortgage Loans (not available)

Piggy Back 2nd Mortgages(not available) if same lender (if different lender, standalone fees apply)

Withdrawn/Terminated/Denied Loans at base underwriting rate.

Overnight Fees Charged to your Airbill Account.

It is understood that the PRMI Corporation has no financial obligation in this agreement other than listed in the liabilities section and to credit the profit centers in accordance with Authorization for Underwriting Services forms received and applicable loan proceeds availability.

IN WITNESS WHEREOF, The parties have entered into this Agreement as of the date written below. By signing below, you certify that you are authorized to sign for the Branchand agree to the aforementioned terms, as governed by the laws of the State of Utah.

Signed thisday of, 200. Agreed as governed by the laws of theState of Utah.

PRMI Originating Branch Manager Signature:

Signature:______

Printed Name/Branch #: ______

PRMI Underwriting Branch Manager Signature

Signature: ______

Printed Name/Branch #: ______

PRMI Corporate Signature (Director of Underwriting)

Signature: ______

Printed Name______

Primary Residential Mortgage, Inc.

Authorization for Underwriting Services

Date:

Originating Branch:

Authorized Underwriting Branch: 1994

Loan Client:

Loan Number:

Property Address:

You are authorized to process the above identified loan per our agreement. Your profit center will be credited $350 for your processing.

All 203K(s) files are a Beta Testing Product and as such, require two underwrites. One initial underwrite and a 2nd signature underwrite. Please keep this in mind when establishing turn times.

Signed______(Originating Branch Manager)

CC: Manager Accounting PRMI

Underwriting Branch Manager

Loan File

Revised: 4/1/09- 1 -