Client Name:

Goldman Sachs

Client Project Name:

GSMBS PJ2-2019

Start - End Dates:

7/2018 to 4/2019

Deal Loan Count:

189

Conditions Report 2.0

Loans in Report:

189

Loans with Conditions:

145

Alt Loan Number

Original Principal Balance

State

Initial Lender ATR/QM Status

Loan Level ATR/QM Status

Initial Moody, Fitch, DBRS, Morningstar, Kroll Overall Loan Grade

Final Moody, Fitch, DBRS, Morningstar, Kroll Overall Loan Grade

Initial Moody, Fitch, DBRS, Morningstar, Kroll Credit Loan Grade

Final Moody, Fitch, DBRS, Morningstar, Kroll Credit Loan Grade

Initial Moody, Fitch, DBRS, Morningstar, Kroll Property Valuations Loan Grade

Final Moody, Fitch, DBRS, Morningstar, Kroll Property Valuations Loan Grade

Initial Moody, Fitch, DBRS, Morningstar, Kroll Compliance Loan Grade

Final Moody, Fitch, DBRS, Morningstar, Kroll 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

26508898

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID5019

TRID - Closing Disclosure; Optional designation missing from optional insurance product

CD 12.22.17 Other Costs section, Field H: Home Warranty is missing optional designation, satisfied on Final CD

(No Data)

Non-Numeric

Not Applicable

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: The borrower has been XXX for 16 years.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Reserves: $196,251.60 (37.51 Months PITIA); Reserves required $31,389.30 (6 x $5,231.55)

26508898

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3957

TRID - CD: The Homeowner's Insurance escrow indicator in the CD Projected Payments section is not consistent with the inclusion of Homeowner's insurance in Escrowed/Non-Escrowed Property Costs over Year 1 in the CD Loan Disclosures section

PCCD 1.8.18 Projected payments section states Homeowners Insurance not escrowed however disclosure section does not include HOI in Escrowed/Non-Escrowed Property Costs over Year 1

10.9.18 Lender response; There is an escrow account for taxes only. The Home owners insurance is not being escrowed, therefore, the CD is correct. XXX response; HOI shows as being non escrowed, and must be disclosed in the Loan Disclosure section under Non Escrowed property costs over year 1, this section only shows HOA and does not show HOI. Exception remains 10.11.18 Lender response; There is an escrow account for taxes only. The Home owners insurance is not being escrowed, therefore, the CD is correct.There is an Master policy for the PUD, there is no separate HOI for the property.

10.10.18 Exception Remains 10.12.18 Exception Satisfied

Non-Numeric

Not Applicable

26508898

XXXXXX

QM: Safe Harbor

Credit

Credit/Mtg History

Active

CRDCRMH104

Credit score below guidelines

The borrower credit score is 714; the minimum required score per guidelines is 720.

10/22/18 - Lender acknowledge exception for credit score. Exception in file approving credit score of 714.

10/22/18 - Exception is non-material.

(No Data)

Not Applicable

26508766

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

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.

Provide legible paystub and 2 year W2s (2014 & 2015) from employer XXX for B1 to support income. Paystub and W2s provided are not legible.

10/12/18 - Lender provided 2014 & 2015 W-2s and pay stub end date 8/5/16.

10/12/18 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Qualifying credit score of 797 exceed required score of 720 by 77 points.

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower 1 has been XXX for 30 yeas.

26508766

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

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.

Provide legible paystub and 2 year W2s (2014 & 2015) from employer XXX for B1 to support income. Paystub and W2s provided are not legible.

10/12/18 - Lender provided 2014 & 2015 W-2s and pay stub end date 8/5/16.

10/XX/18 - Exception satisfied.

(No Data)

Not Applicable

26508766

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3626

TRID - CD: Loan consummated before end of waiting period

The loan consummated before end of waiting period, Consummation date is the notary date on the mortgage 12/XX/2016. The file did not contain an initial CD, verified delivered 3 days before closing.

10.4.18 Lender response; The pre-closed CD dated 12/16/2017 meets the 6 day waiting period mailbox rule and no further documentation is required to prove the unsigned pre closed CD dated 12/16/2017 was provided to the borrower within 3 days from closing. XXX Response; The initial file delivered did not contain a CD dated 12/16/17, please provide. Exception remains10.9.18 Lender provided CD dated 12/16/18 and meets the mail rule.

10.5.18 Exception Remains10.10.18 Exception Satisfied

(No Data)

Not Applicable

26508766

XXXXXX

QM: Safe Harbor

Credit

Income/Employment

Satisfied

CRDINC2408

Income verification does not meet guidelines

Provide legible paystub and 2 year W2s (2014 & 2015) from employer XXX for B1 to support income. Paystub and W2s provided are not legible.

10/12/18 - Lender provided 2014 & 2015 W-2s and pay stub end date 8/5/16. XXX - Pay stub provided is stale dated. 140 days from Note date. Guidelines require within 120 days of Note date. 10/12/2018 - Lender responded: 10/15/2018: Please see the attached paystub and W2s and provided XXX paid thru 7/22/2016+ 8/5/2016. Lender also provided YTD paystubs for XXX paid thru 7/30/2016 + 8/13/2016. Note date is XXX. 140 days gap. GL's state - Income, employment and assets are stated and verified. Documentation may not be more than 90 days from date Note is signed. 10.16.2018 - Lender provided YTD paystub for B2's 2nd job with XXX paid thru 11/25/2016 and meets GL's.

10/12/18 - Non-material Lender verified borrower still employed at time of closing. 10.15.2018 - Non-material exception remains. 10.16.2018 - Exception satisfied.

(No Data)

Not Applicable

26508620

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

Seller CD reflects fee in section C and H not disclosed on Borrowers CD. (ex.: real estate commission and closing fees)

4.9.18 Lender response; Seller Fees disclosed on the Seller CD are fees required to be paid by the seller as part of their transaction and is not required to be disclosed on the Buyer's CD. XXX response; SFIG requirement for when to require a Sellers CD Seller-Paid Real Estate Commission. If there is one, it should always be disclosed in Section H of the Borrowers CD, in the seller-paid column. Exception Remains

4.10.19 Exception Remains

Hybrid

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Representative credit score 795. Minimum credit score for this program is 720.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI 24.33%. Max DTI for this program is 43.00%.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV 77.34%. Max LTV for this program is 80.00%.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Borrowers have 31.34 months reserves.

26508620

XXXXXX

QM: Safe Harbor

Property Valuations

FEMA

Satisfied

PRVAFEMA858

Natural Disaster Area, no subsequent inspection (Individual & Public)

Missing Post disaster inspection for Disaster Declaration date 8/25/2017. Disaster Effective date 9/15/2017. Hurricane Harvey.

4/11/19 - Lender provided PDI, no damage.

4/11/19 - Exception satisfied

(No Data)

Not Applicable

26508790

XXXXXX

QM: Safe Harbor

Credit

Application

Satisfied

CRDAPP2658

Missing 3rd-party anti-fraud report

Run non Borrowering spouse XXX and Borrowers full name XXX

10/10/18 - Lender response - Non-Borrowing spouse was not on loan so no XXX required. Agree with finding regarding full borrower name not input on XXX report however, data was returned and present in the file. 10/11/18 - XXX- 1- Lender does not require non-borrowering spouse OFAC. 2 - Please provide OFAC for borrower XXX run with her full name. Was unable to locate in file. 10/12/18 - Lender provided XXX OFAC passed for borrower and non-borrowing spouse.

10/11/18 - Exception #1 cancelled. Exception #2 remains. 10/12/18 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit score of 750 exceeds guidelines requirement of 700

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been with current employer for 5 years 2 month stable employment history

26508798

XXXXXX

QM: Safe Harbor

Compliance

Federal Consumer Protection

Active

CMPFDCP4569

NMLS License verification found Loan Originator Name does not match ID but can identify that the LO is the same

NMLS reflects originator's name as XXX. Legal documents reflect name as XXX.

04/09/2019 The disclosed name and/or the combination of the disclosed namewith NMLS ID are sufficiently distinct to enable a consumer to identify the MLO.

04/09/2019 Non-Material defect remains.

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit score 735. Min 720.

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: B1 XXX 21 years.

26508798

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

Seller CD reflects seller fees not disclosed on Borrower CD, Section C: $400 Escrow fee and tax cert for $77. In addition, Section H of the borrowers CD is missing Seller Paid Real Estate Commission for $9487.50 and $18975 ,Doc prep fee $100, Home warranty fee $500, Owners title insurance $801 and TX guaranty fee for $3.00.

4.4.19 Lender provided Seller CD. That shows fees

4.5.19 Exception Satisfied

Hybrid

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit score 735. Min 720.

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: B1 XXX 21 years.

26508798

XXXXXX

QM: Safe Harbor

Property Valuations

FEMA

Satisfied

PRVAFEMA858

Natural Disaster Area, no subsequent inspection (Individual & Public)

Missing Post disaster inspection for Disaster declaration date 8/25/17. Disaster effective date 9/15/2017. Hurricane Harvey.

4/5/2019 - Lender provided copy of Inspection 2/1/19. No damage.

4/8/2019 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit score 735. Min 720.

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: B1 XXX 21 years.

26508672

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4027

TRID - CD: The P&I Payment on the Loan Terms section of Final Closing Disclosure does not match the initial Note P&I

Exception satisfied. CD 7/26/2017 disclosed P&I as $2,396.62, per note it should be $2396.63. Corrected by PCCD. .

(No Data)

Numeric

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit score of 781 exceeds guideline requirement of 720 by 61 points.

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been with current employer for 6 years, stable employment history

26508672

XXXXXX

QM: Safe Harbor

Property Valuations

FEMA

Satisfied

PRVAFEMA858

Natural Disaster Area, no subsequent inspection (Individual & Public)

Hurricane declaration declared 8.25.17 with effective date 9.15.17. Hurricane Harvey. Missing subsequent inspection.

4/11/19 - Lender provided PDI no damage.

4/11/19 - Exception satisfied.

(No Data)

Not Applicable

26508709

XXXXXX

QM: Safe Harbor

Compliance

Federal Consumer Protection

Active

CMPFDCP4569

NMLS License verification found Loan Originator Name does not match ID but can identify that the LO is the same

NMLS: XXX; 1003: XXX.

8/20/18 - Lender response - The disclosed name and/or the combination of the disclosed name with NMLS ID are sufficiently distinct to enable a consumer to identify the MLO

8/20/18 -Exception remains as XXX considers minimal NMLS name discrepancies as non-material that must be reported vs. material when variation appears as a possible different person.

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Cash reserves of $69,757.19. 11.14 PITI reserves. 6,261.81 x 6 = $37,570.86 required.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: Calculated DTI of 29.85% is below guideline requirement of 43%.

26508587

XXXXXX

QM: Safe Harbor

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been with same employer for 40.7 years.

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower has been in same profession for 40 years.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: Borrower's DTI of 42.62% is 37.38% less than required 80%.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Borrower's mid FICO score of 781 is 81 points higher than required 700.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: Borrower's DTI of 26.10% is 16.90% less than required 43%.

26508607

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

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.

Missing YTD balance sheet for B1 schedule C XXX for YTD through 3/31/2018.

9/24/18 - Lender response - Please see the attached Balance sheet. Note: The borrower's primary source of wages is from employment, earning over $35000.00 per month in wages. The borrower has positive income of $37.00 reported on their Sch. C. This income was not intended for use by the underwriter. A P&L and Balance Sheet should not be required. The underwriter reduced the borrower's wages by a small incremental loss, reducing the $37.00 from XXX by an expense for meals and entertainment.

9/25/18 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been employed in current job for 32 years 1 month.

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower has worked in the same profession for 33 years.

CFCFS1735: Co-Borrower has significant time at current job
- Clayton Comments: Co-Borrower has been employed in current job for 21 years 4 months.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit score of 731 exceeds required score of 680 by 51 points.

26508607

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3568

TRID - Error discovered on the Loan Estimate

LE 6/14/2018 is missing pages 2 and 3.

8.22.18 Lender provided complete copy of LE 6/14/18

8.23.18 Exception Satisfied

(No Data)

Not Applicable

26508607

XXXXXX

QM: Safe Harbor

Credit

Income/Employment

Satisfied

CRDINC3260

Balance Sheet missing for one or more Self Employed borrowers

Missing YTD balance sheet for B1 schedule C XXX for YTD through 3/31/2018.

9/25/18 - Exception satisfied.

(No Data)

Not Applicable

26508713

XXXXXX

QM: Safe Harbor

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Verified cash reserves of $63,827.40 (12.19 months PITIA) exceed required 6 months reserves.

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower has been employed in the same profession for15 years. Co-Borrower has been employed in the same profession for15 years.

26508771

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3640

TRID - CD: Zero tolerance fee or fees increased at or prior to closing without a valid reason or the revised LE/CD was not timely disclosed; insufficient credit or refund provided

0% Tolerance Violation of $321.60 due to Appraisal increase from $350 to $650 on LE 3/26/18 and Credit Report increase from $48 to $69.60 from LE to CD. Cure on PCCD 7/5/18 of $719.90 includes a 10% Tolerance of $585.30 for the Title Insurance increase and 0% Cure of $134.20. Cure is short by $187.40. Provide PCCD, LOE, Proof of Delivery and Refund Check of $187.40.

4.25.19 Lender response; CD dated 6/20/2018 disclosed $607.30 as a Lender Cure. Loan failed 0% testing for $321.60 (Appraisal and Credit Report). Loan failed 10% testing for $585.30. Lender Cure in the amount of $607.30 was applied to the 0% violation for $321.60 and a portion of the 10% violation in the amount of $285.70. Remaining cure needed for 10% violation was $112.60, additional restitution was received in the amount of $112.60 for a total restitution amount of $719.90 paid back to the borrower. No further restitution is required. (See attached predatory test)

4.25.19 Exception Satisfied

Numeric

Not Applicable

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower in same field 10 years.CB in same field 10 years.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit score 781. Min 720.

26508771

XXXXXX

QM: Safe Harbor

Credit

Insurance

Satisfied

CRDINSR289

Insufficient Insurance Amount to Cover Loan Balance

Hazard coverage $614,000. Provide estimated replacement cost.

4/25/19 - See attached Declaration pages to HOI policy. Dwelling coverage is $614,000 and policy includes Extended Replacement Cost Coverage. Based on dwelling coverage of $614,000 plus the 25% additional extended dwelling coverage provides sufficient insurance of $767,500 ($614,000 x 125%), which exceeds original loan amount of $627,000.

4/26/19 - Exception satisfied.

(No Data)

Not Applicable

26508679

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3604

TRID - Error discovered on Closing Disclosure

CD dated 5/29/18(Signed) (2)- Loan Costs section- Title fees moved to section B- Borrower selected their own service provider, fees should have remained in section C

1.3.19 Lender provided CD dated 5/29/18 that has title fees listed in section C

1.3.19 exception SATISFIED

(No Data)

Not Applicable

CFCFS2854: Significant time in profession
- Clayton Comments: borrower has been in current profession 10 years

CFCFS1736: Significant time at current residence
- Clayton Comments: Borrower has been at current residence 1.8 years

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI 37.82. Max 43%

26508679

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3626

TRID - CD: Loan consummated before end of waiting period

CD dated 5/29/18- Loan closed 6/4/18- Waiting period not met- No evidence CD was acknowledged prior to close

1.3.19 Lender provided Email from borrower showing receipt of CD on 5/29/18

1.3.19 Exception satisfied

(No Data)

Not Applicable

26508855

XXXXXX

QM: Safe Harbor

Credit

Legal Documents

Satisfied

CRDLGL2642

Missing proof that HELOC has been paid and closed to future draws

Missing evidence to support HELOC has been closed.

8/13/18 - Lender response - Please see the attached executed HELOC Close Account letter.

8/14/18 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been with current employer for 13 years 6 months.

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower has been in the same profession for 21 years.

CFCFS3834: Borrower does not have any major mortgage related occurrences during the past two years
- Clayton Comments: Borrower is 0x12 for the past 24 months.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit score of 720 exceeds required score of 680 by 40 points.

26508882

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4299

TRID - CD: The value for Total Closing Costs in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE

The value for Total Closing Costs in the LE column of the CD's Calculating Cash to Close table is different ($17,414) from the value disclosed on the last LE ($19.088).

7.27.18 Lender response; Please see the attached corrected CD. Clayton response; Revised CD not delivered. Exception remains8.2.18 Lender provided PC CD dated 7/27/18 that corrects the Total Closing Costs in the LE column of the CD's Calculating Cash to Close table

8.1.18 Exception Remains8.2.18 Exception Satisfied

Non-Numeric

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: 766 qualifying score. Min required per guidelines is 680.

CFCFS1736: Significant time at current residence
- Clayton Comments: Borrower has resided in current owner occupied residence for 3 years.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI is 23.01%, max per guidelines is 43%.

26508882

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4309

TRID - CD: The value for Cash to Close in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE

The value for Cash to Close in the LE column of the CD's Calculating Cash to Close table is different ($30,624) from the value disclosed on the last LE ($28,950).

7.27.18 Lender response; Please see the attached corrected CD. XXX response; Revised CD not delivered. Exception remains8.2.18 Lender provided revised CD dated 7/27/18 that corrects the value for Cash to Close in the LE column of the CD's Calculating Cash to Close table

8.1.18 Exception Remains8.2.18 Exception Satisfied

Non-Numeric

Not Applicable

26508533

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID3716

TRID - Curable issue related to the Closing Disclosure in file

Seller CD reflects a RE Commission for $16323 paid by the seller not listed on the Borrowers CD. Revised CD that includes seller paid RE Commission in section H required. Revised CD and LOX to borrower.

04.30.19 Seller Fees disclosed on the Seller CD are fees required tobe paid by the seller as part of their transaction and is not required to bedisclosed on the Buyer's CD.

4/30/19 - Exception remains.

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Assets: Borrower (s) have $288,549.67 (69.81 Months PITIA); Reserves required per DU: $.00

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower has worked 23 ears in his profession.

CFCFS1736: Significant time at current residence
- Clayton Comments: Borrower has resided in his previous Residence sold for 12.11 years.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Borrower's mid score of 779 exceeded the guideline requirement of 680 by 99 points.

CFCFS2860: Good credit history
- Clayton Comments: Borrower has no late payments on their credit report in the last 36 months.

26508533

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

Final CD 7.31.18 Other Costs section Field E: Mortgage/Deed portion of recording fees is required to be itemized. Revised CD with Itemized recording fees required. Revised CD and LOX to borrower.

4.25.19 Lender response; Seller Fees disclosed on the Seller CD are fees required to be paid by the seller as part of their transaction and is not required to be disclosed on the Buyer's CD. XXX response; Seller-paid fees are required to be disclosed on page 2 of the borrowers CD. Exception Remains

4.25.19 Exception Remains

Hybrid

Not Applicable

26508533

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3670

TRID - Zero tolerance fee or fees increased at or prior to closing without a valid reason or not timely disclosed; refund required within 60 days of consummation

0.4% of loan points $2116 listed on CD at or prior to closing without a valid reason or not timely disclosed. No COC was provided and points not listed on final LE 6.26.18. Letter of explanation, corrected Closing Disclosure, refund, proof of delivery. Or provide a Change of Circumstance for increase to Points fees.

4.25.19 Lender provided COC history that shows COC issued for points

4.25.19 Exception satisfied

(No Data)

Not Applicable

26508729

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3476

TRID - Written List of Providers not provided or untimely

File is missing the written list of service providers.

7.27.18 Written List of Providers in file at time of review. See email attachment to resolve finding.

8.1.18 EXCEPTION SATISFIED

(No Data)

Not Applicable

CFCFS2854: Significant time in profession
- Clayton Comments: Both borrower have been in same profession for 20 years.

CFCFS1735: Co-Borrower has significant time at current job
- Clayton Comments: Co-borrower has been with same employer for 20 years.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: Borrower's LTV of 52.38% is 12.62% less than required 65%.

26508436

XXXXXX

QM: Safe Harbor

CFCFS1735: Co-Borrower has significant time at current job
- Clayton Comments: Co borrower with employer for 12 years 10 months.

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower in profession for 17 years.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI 29.37%. Max DTI for this program is 43%

26508457

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

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.

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. 1. Missing Profit and loss statement for business XXX B-1 is 26.4% owner. 2. Missing Balance sheet for business XXX B-1 is 26.4% owner. 3. Missing 3rd party verification for business XXX within 30 days of Note dated 6/26/18 4. 2018 1040 Federal Tax Return extension and 5. Business 4506T for XXX (26.4% ownership). 6. Missing 2016 K1 for XXX due to loss listed on 2016 1040 Federal Tax Return.

7/20 - Lender response - Please see the attached 2016 k1 for XXX and 4506-T for cornerstone. 7/28/18 - XXX K-1 shows 20% ownership. 7/20 disagree with need for 3rd party verification for business XXX as it's income was not used by the uw. 7/20 - Lender response - disagree with need for Profit and Loss for XXX as it's income was not used by the uw. 7/20 - Lender response - disagree with need for Balance Sheet for XXX as it's income was not used by the uw.

7/23/18 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Verified reserves $678,239.73, Required reserves $4007.75 x6 =$24,046.50

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit score 788 exceeds guidelines of 720

CFCFS2854: Significant time in profession
- Clayton Comments: B1 has 26 years in current profession.

26508457

XXXXXX

QM: Safe Harbor

Compliance

RESPA

Satisfied

CMPRESPA2698

RESPA - List of homeowners counseling organizations not in file

List of homeowners counseling organizations not in file.

7.24.18 lender provided List of homeowners counseling organizations dated 5.10.18

7.24.18 Exception satisfied

(No Data)

Not Applicable

26508457

XXXXXX

QM: Safe Harbor

Credit

Income/Employment

Satisfied

CRDINC3204

Income Documentation Missing

Missing 1. 2017 1040 Federal Tax Return extension and 2. Business 4506T for XXX (26.4% ownership). 3. Missing 2016 K1 for XXX due to loss listed on 2016 1040 Federal Tax Return.

7/20 - Lender response - Please see the attached 2016 k1 for XXX and 4506-T for XXX. 7/28/18 - XXX K-1 shows 20% ownership. Still need copy of 2017 Extension for 1040s. 7/24/18 - Lender response - Please see the attached LOX. 7/25/18 - XXX - Lender provided a letter from borrower that was in file stating they filed an Extension. 7/25/18 - XXX - XXX Conventional UW Guidelines state " The Underwriter must review the total tax liability reported on IRS Form 4688 and compare it with the borrower's tax liability from the previous two years as a measure of income source stability and continuance. An Estimated tax liability that is inconsistent with previous years may make it necessary for the lender to require the current returns in order to proceed". Exception remains for IRS Form 4688 Automatic Extension. 8/7/18 - Lender response - Please see the attached 2017 1040 extension for #1. 8/8/18 - XXX - Extension shows tax liability of $235,000, deducted from assets.

7/23/18 - Exception satisfied for #2 and #3. Exception remains for #1 tax extension. 7/25/18 - Exception remains for #1. 8/8/18 - Exception satisfied.

(No Data)

Not Applicable

26508457

XXXXXX

QM: Safe Harbor

Credit

Insurance

Satisfied

CRDINSR289

Insufficient Insurance Amount to Cover Loan Balance

Missing Reconstruction Cost Analysis. (HOI $308,400.00 insufficient to cover Note $693,750.00 and or replacement cost per Appraisal $950,000 less Site Value of $525,000 = $425,000).

7/20/18 - Lender response - See attached Replacement Cost Estimate.

7/23/18 - Exception satisfied.

(No Data)

Not Applicable

26508461

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

Section F- Missing number of months collected for Property Taxes Paid to XXX. Revised CD that includes the missing months for County Taxes required. Please provide revised CD and LOX to borrower.

2.6.19 Lender provided PC CD dated 2.5.19 that includes the amount of months for Property taxes in section F

2.7.19 Exception satisfied

Hybrid

Not Applicable

CFCFS1736: Significant time at current residence
- Clayton Comments: Borrower has owned his home for 16 years and 7 months.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV of 44.57. Maximum LTV of 55%.

CFCFS1739: Postive mortgage payment history
- Clayton Comments: 37 months mortgage history with no late pays.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit score of 774 exceeds the minimum score of 720.

26508461

XXXXXX

QM: Safe Harbor

Credit

Legal Documents

Satisfied

CRDLGL2642

Missing proof that HELOC has been paid and closed to future draws

Missing proof that HELOC with XXX Bank #XXX has been closed to future draws.

1/11/19 - Lender response - Executed heloc close letter attached

1/12/19 - Exception satisfied.

(No Data)

Not Applicable

26508534

XXXXXX

QM: Safe Harbor

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI 37.27%. Max DTI for this program is 43.00%

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower in his profession for 15 years.

CFCFS1749: Additional documented income not used in qualifying
- Clayton Comments: Co-borrower bonus income not used to qualify.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Borrowers have 72 months cash reserves.

26508548

XXXXXX

QM: Safe Harbor

Compliance

Federal Consumer Protection

Active

CMPFDCP4569

NMLS License verification found Loan Originator Name does not match ID but can identify that the LO is the same

NMLS Loan Originator Name is missing Middle name "XXX" - Can Tie to Name to ID.

4/22/19 - Lender response (B Non-Material): The disclosed name and/or the combination of the disclosed name with NMLS ID are sufficiently distinct to enable a consumer to identify the MLO.

4/23/19 - Exception remains as XXX considers minimal NMLS name discrepancies as non-material that must be reported vs. material when variation appears as a possible different person.

(No Data)

Not Applicable

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower has worked 10 years in his profession.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Borrower's mid score of 789. Min score 720.

CFCFS2860: Good credit history
- Clayton Comments: Borrower has no late payments on their credit report in the last 36 months.

26508548

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

Fees from the Seller CD was not on the final CD. Section C and Section H. Revised CD that lists seller paid fees required. Revised CD and LOX to borrower.

4.22.19 Lender response; Seller Fees disclosed on the Seller CD are fees required to be paid by the seller as part of their transaction and is not required to be disclosed on the Buyer's CD. XXX response; Seller-paid fees are required to be disclosed on page 2 of the borrowers CD. Exception Remains

4.23.19 Exception Remains

Hybrid

Not Applicable

26508688

XXXXXX

QM: Safe Harbor

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: 20 years with the same employer.

CFCFS1736: Significant time at current residence
- Clayton Comments: 16 years in the same home.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: 55% LTV, 65% Max LTV.

CFCFS1740: Mortgage payment history exceeds guidelines
- Clayton Comments: 66 months of mortgage payments made as agreed.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Post-Closing Reserves $78,712.70 = 17 months of PITI payments.

26508595

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

Seller's CD lists seller paid fees. Final CD 06/16/2018 and Post Close CD's 07/10/2018 and 07/12/2018 do not lists seller fees.

4.23.19 Lender Response; The sellers transaction is not required to be disclosed on the buyers CD. All seller charges are disclosed on the seller CD. Seller CD has been provided. Clayton Response; Seller-paid fees are required to be disclosed on page 2 of the borrowers CD. Exception remains

4.24.19 Exception remains

Hybrid

Not Applicable

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI 22.94%. Max DTI 43%

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit score 777. Minimum credit score for this program is 720.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Borrower has verified cash reserves in the amount of $161,678.86; 31.41 months PITIA.6 months reserves required for subject ($5,147.79*6=$30,886.74) and 6 months for additional REO ($1,339.67*6=$8,038.02).

26508595

XXXXXX

QM: Safe Harbor

Credit

Insurance

Satisfied

CRDINSR289

Insufficient Insurance Amount to Cover Loan Balance

Insufficient insurance amount to cover loan balance of $676,000. The appraisal shows cost to rebuild of $552,767, and the policy shows coverage of $434,000. Provide homeowners policy to reflect amount of sufficient replacement coverage or evidence of replacement cost.

4/24/19 - Lender response - HOI policy attached with dwelling coverage of $434,000 and reflects additional replacement cost protection at 25% included in policy, providing dwelling coverage of $542,500. Replacement/reconstruction cost estimate provided for the XXX Insurance Policy is also attached and reflect reconstruction cost with debris removal for coverage A (dwelling) of $434,397. HOI policy is sufficient to cover replacement cost of property.

4/25/19 - Exception satisfied.

(No Data)

Not Applicable

26508635

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

CD 9.14.18 Other Costs section, Field F: HOI is missing payee, satisfied on Final CD 9.17.18. Exception Satisfied

(No Data)

Hybrid

Not Applicable

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: The borrower has 24.9 years with current employer.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: The borrowers LTV is 59.94% and the maximum allowed per guidelines is 75%.

26508549

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

Final CD 7/6/18 Loan Costs Section is missing the Seller Paid Closing Fee of $550. Other Costs Section E missing Seller Paid Recording Fee of $10, Section H missing Seller Paid Commission Fees that were Disclosed on the Seller CD but not Disclosed on Borrowers Final CD. Revised CD that includes seller paid fees . Revised CD and LOX to borrower.

4.25.19 Lender response ;Seller Fees disclosed on the Seller CD are fees required to be paid by the seller as part of their transaction and is not required to be disclosed on the Buyer's CD XXX Response ; Seller-paid fees are required to be disclosed on page 2 of the borrowers CD. Exception Remains

4.25.19 Exception Remains

Hybrid

Not Applicable

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been employed at the current job for 7.4 years.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Assets: $242,168.81 (31.33 Months PITIA); Reserves required $121,327 (Subject $7728.75 x 9 = $69,559) + OREO (6 x $8627.68 = $51,768)

26508549

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3552

TRID - Loan Estimate not timely

Application Date 4/19/18. Earliest LE in File dated 5/7/18. Missing Broker LE

4.25.19 Lender response ; XXX takes responsibility for issuing the LE and disclosure for Broker loans, once the 6 pieces of information constituting an application have been received. For this loan that date was 5/4/2018 so the delivery of the LE on 5/7/2018 would have met the timing requirements.

4.25.19 Exception Satisfied

(No Data)

Not Applicable

26508549

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3626

TRID - CD: Loan consummated before end of waiting period

No Confirmation of Receipt of Final LE 6/29/18 prior to Initial CD and No Confirmation of Initial CD 7/2/18 3 days prior to Consummation date of 7.XX.18

4.25.19 Lender provided Disclosure tracking showing CD 7/2/18 acknowledged on 7/2/18

4.25.19 Exception Satisfied

(No Data)

Not Applicable

26508899

XXXXXX

QM: Safe Harbor

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Verified cash reserves of $344,601.21 or 83.51 months PITIA

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI of 18.15 below guideline requirement of 43%.

26508895

XXXXXX

QM: Safe Harbor

Property Valuations

Property

Active

PRVAPROP277

Currently Listed for Sale

Property listed for sale within last 6 months and listing has been withdrawn, meets QM guidelines but does not meet XXX Overlays. Lender approved exception in file.

8/2/18 - Lender response - Agree. Does not affect. While it does not meet XXX Jumbo product overlays; an exception was granted: XXX overlay. Subject was listed for sale per borrower due to spouse accepted a new position in the ER at XXX and home did not sell quickly. Over time the stress of having to be separated led to the borrower and ex-spouse filing for divorce. Divorce final in Jan 2018. Divorce decree provided. Letter from ex-spouse also provided that validates the subject was awarded to the borrower with no payment required to ex-spouse. Meets Appendix Q fico 808 rate/term refinance - primary residence ratios 37 /38 79.86% LTV paying off XXX mortgage Ok to proceed. 8/3/18 - XXX - Senior UW reviewed, based on compensating factors FICO 808, 175 months reserves, loan changed to Non-material.

8/3/18 - Exception remains Non-Material.

(No Data)

Not Applicable

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI 38.17%. Max DTI for this program is 43.00%

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Borrower has 175.51 months reserves. Guidelines require 6 months.

26508731

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3604

TRID - Error discovered on Closing Disclosure

CD dated 7/25/18- Contact Information Section- Settlement Agent is missing the license number

9.12.18 Lender provided PC CD dated 8/23/18 that includes the settlement agents File #

9/13/18 Exception satisfied

(No Data)

Not Applicable

CFCFS1750: High potential for increased earnings
- Clayton Comments: Loan qualified using one half of base monthly salary.

CFCFS1747: Housing expense increase is 10% or less
- Clayton Comments: current housing expense will increase < than 10%

CFCFS2860: Good credit history
- Clayton Comments: All accts. are paid as agreed. No public records.

26508658

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

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.

Missing VVOE for B1 for previous employment. Per guidelines, a 2 year work history must be verified. If employment gaps exceeding 30 days exist in the last 24 months, then a signed and dated letter of explanation is also required for B1.

7/30/18 - Lender response - See attached VVOEs. 7/31/18 - XXX _ Lender provided VVOE from ID Tech 4/24/17 - 11/17/17 and VVOE from XXX 6/1/17 to 2/28/18. 2 years covered with no Gaps (current employment WVOE began 11/27/17. Updated application provided.

7/31/18 - Exception Satisfied.

(No Data)

Not Applicable

CFCFS1735: Co-Borrower has significant time at current job
- Clayton Comments: Co-Borrower has been in current position 16 years 10 months

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Guidelines require a minimum score of 720; Qualifying score for subject transaction is 801

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Verified cash reserves of $195,504.12. Six months reserves required with a loan amount <$1MM< 80% LTV ($5,798.71 x 6 =$34,792.26).

26508658

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3554

TRID - LE delivered only via e-mail but there is no prior e-sign consent in file; by regulation, LE must be treated as not delivered

All LEs were electronically signed; file is missing prior e-consent.

8.7.18 Lender provided E Consent acknowledged by borrowers on 5/6/18

8.8.18 Exception Satisfied

(No Data)

Not Applicable

26508658

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3600

TRID - CD delivered only via e-mail but there is no prior e-sign consent in file; by regulation, CD must be treated as not delivered

CD 6/28/2018 was electronically signed; file is missing prior e-consent.

8.7.18 Lender provided E Consent acknowledged by borrowers on 5/6/18

8.8.18 Exception Satisfied

(No Data)

Not Applicable

26508658

XXXXXX

QM: Safe Harbor

Credit

Income/Employment

Satisfied

CRDINC152

Missing verbal VOE required by guidelines

7/30/18 - Lender response - See attached VVOEs. 7/31/18 - XXX 4/24/17 - 11/17/17 and VVOE from XXX 6/1/17 to 2/28/18. 2 years covered with no Gaps (current employment WVOE began 11/27/17. Updated application provided.

7/31/18 - Exception Satisfied.

(No Data)

Not Applicable

26508544

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

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.

1) DTI is 55.46% using $4603.42 expenses, $3627.19 income, $4673.00 rent income; lender 40.06% derived from excluding $496 XXX debt payment and using $7438 rents which is not supported. 2) Missing P&L for XXX 3) Missing Balance sheet for XXX

9/27/18 Lender response- Disagree. See attached documentation (promissory note, business bank statements, rental income calculation). Regarding the rental property located at XXX, the borrower is not responsible for the monthly PITI payments. Promissory note shows the borrower as The XXX Family Trust Dated March 1, 1996. XXX is not on the loan nor does the loan appear on his credit report. Bank statements for XXX XXX XXX. show that the monthly payments corresponding to XXX (XXX Loan No XXX) are debited from the business checking account. 9/27/18 - XXX Lender provided documentation to support Trust pays the mortgage on XXX, DTI now 35.56%. 10/01/18 - Lender response - The business tax returns reflect positive income. Income from the business was not used for qualification. The P&L and Balance Sheet should not be required.

9/28/18 Exception satisfied for #1 Remains for #2 and 3. 10/2/18 - After further review exceptions 2 and 3 cancelled XXX satisfied.

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: 795 score

CFCFS1737: LTV below guideline requirements
- Clayton Comments: 28.29% LTV

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: 64.80 months reserves

26508544

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4320

TRID - CD: The stated Closing Costs Financed (Paid from Your Loan Amount) amount in the CD Calculating Cash to Close section (Alt Version) does not equate to the amount based on the Reg's formula.

CD 10.23.17 The stated Closing Costs Financed (Paid from Your Loan Amount) amount in the CD 6.19.18 Calculating Cash to Close section (Alt Version) does not equate to the amount based on the Reg's formula. closing costs 8232.95 - POC 525 - CASH TO CLOSE 5523.58 Lender has 0.00

10.3.18 - Client response: Agreed; this is a clerical error. This did not affect the timing, delivery, or other requirements imposed by 1026.19(e) or (f).

10.3.18 - Exception remains.

Numeric

Not Applicable

26508544

XXXXXX

QM: Safe Harbor

Credit

DTI

Satisfied

CRDDTI187

Debt Ratio > 50%

DTI is 55.46% using $4603.42 expenses, $3627.19 income, $4673.00 rent income. Lender 40.06% derived from excluding $496 XXX debt payment and using $7438 rents which is not supported.

9/27/18 Lender response- Disagree. See attached documentation (promissory note, business bank statements, rental income calculation). Regarding the rental property located at XXX, the borrower is not responsible for the monthly PITI payments. Promissory note shows the borrower as The XXX Family Trust Dated March 1, 1996. XXX is not on the loan nor does the loan appear on his credit report. Bank statements for XXX, Inc. show that the monthly payments corresponding to XXX (XXX Loan No xXXX) are debited from the business checking account. 9/27/18 - XXX Lender provided documentation to support Trust pays the mortgage on XXX, DTI now 35.56%.

9/28/18 Exception satisfied.

(No Data)

Not Applicable

26508544

XXXXXX

QM: Safe Harbor

Property Valuations

Appraisal

Satisfied

PRVAAPPR3116

Missing updated valuation

Missing desk review.

7/20/18 - Lender response - disagree with file missing desk review (attached)

7/23/18 - Exception satisfied.

(No Data)

Not Applicable

26508930

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3476

TRID - Written List of Providers not provided or untimely

Application date was 05/17/2018. Written List of Providers not issued until 05/30/2018.

8.13.18 Lender provided SPL dated 5/17/18

8.14.18 Exception satisfied

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Reserves $76,880.08; 22.14 months PITI Guidelines require 6 months PITIA for subject $3472.15 x 6= $20,832.90 .

CFCFS1737: LTV below guideline requirements
- Clayton Comments: Max LTV 80% current LTV 77.44%

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Minimum credit score 720 current score 803

26508930

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4299

TRID - CD: The value for Total Closing Costs in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE

CD 6/7/2018 Calculating cash to close table LE column on the GRID does not match the last LE issued 5/30/2018. Corrected by subject CD.Satisfied.

(No Data)

7/31/2018: Exception satisfied.

Non-Numeric

Not Applicable

26508930

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

The CD dated 05/31/2018, Other Costs Section F is missing the dates cover by the prepaid interest. Additionally, CD dated 06/07/2018, Summaries of Transaction - Adjustment for Items Paid by the Seller in Advance fir City/Town Taxes is missing the from and to dates. Corrected by subsequent CD.Satisfied.

(No Data)

7/31/2018: Exception satisfied.

Hybrid

Not Applicable

26508437

XXXXXX

QM: Safe Harbor

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit score of 789 exceeds guideline requirement of 680.

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been with current employer for 5 years 5 months.

26508922

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

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.

Missing the Lease Agreements and XXX Housing agreement for the following REOs not on the 1040s: XXX, XXX, XXX.

4/23/19 - Lender provided REO documentation for XXX & XXX. XXX - Total rent $1555 mo for XXX Total rent $1900 for XXX. Total rent $1884 for XXX.

4/24/19 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Assets: Calculated assets of $205,950.48 with an effective amount of $205,950.48. Post closing reserves of $71,234.58.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI 30.34% below guideline requirement. Max allowed is 43%.

26508922

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4583

TRID - LE sent prior to CD, but either confirmed receipt date or assumed receipt date is on or after the CD receipt date

Need evidence LE 6.18.18 was received prior to CD 6.20.18

(No Data)

Not Applicable

26508922

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4299

TRID - CD: The value for Total Closing Costs in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE

Final CD 6.29.18 The value for Total Closing Costs in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE 6.18.18, corrected on PCCD 7.3.18. Exception Satisfied

(No Data)

Non-Numeric

Not Applicable

26508922

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4309

TRID - CD: The value for Cash to Close in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE

Final CD 6.29.18 The value for Cash to Close in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE 6.18.18, corrected on PCCD 7.3.18. Exception Satisfied

(No Data)

Non-Numeric

Not Applicable

26508922

XXXXXX

QM: Safe Harbor

Credit

Income/Employment

Satisfied

CRDINC3204

Income Documentation Missing

Missing the Lease Agreements and XXX Housing agreement for the following REOs not on the 1040s: XXX, XXX.

4/23/19 - Lender provided REO documentation for XXX & XXX. Clayton - Total rent $1555 mo for XXX. Total rent $1900 for XXX. Total rent $1884 for XXX.

4/24/19 - Exception satisfied.

(No Data)

Not Applicable

26508542

XXXXXX

QM: Safe Harbor

Credit

Legal Documents

Satisfied

CRDLGL2642

Missing proof that HELOC has been paid and closed to future draws

Missing proof that XXX HELOC has been closed. The HELOC closure letter in file was not completed.

8/27/18 - Lender provided copy of signed Close Equity Line.

8/27/18 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Assets: Reserves $220,396.91 (17.90 Months PITIA); Reserves required $147,781.12 (12 Months PITIA)

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Minimum credit score 720; borrower credit score 808

CFCFS1737: LTV below guideline requirements
- Clayton Comments: Max LTV 70% current LTV 34.65%

CFCFS1742: Consumer credit history exceeds guidelines
- Clayton Comments: Credit Report shows no history of late payments, collections or judgments.

26508859

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

CD's dated 06/26/2018 and 06/29/2018, Other Costs Section F Prepaids, Line 4 Property Taxes is missing the number of months for the taxes.

8.10.18 Lender provided PC CD Dated 8/10/18 that corrects the formatting issue.

8.12.18 Exception Satisfied

Hybrid

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Minimum credit score 760 current score 789

CFCFS2860: Good credit history
- Clayton Comments: Per credit report borrower shows no history of late payments

CFCFS1737: LTV below guideline requirements
- Clayton Comments: Max LTV 80% current LTV 43.32%

26508910

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

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.

1) Missing evidence of PITIA for property located at XXX

8/13/18 - Lender response - Disagree: REO documentation is in the file. Evidence of the taxes, insurance and HOA dues. P&I can be taken from the Credit report for XXX. Please see attached. 8/14/18 - XXX - Lender provided copy of hazard and taxes and HOA dues. PITIA $2250.75 mo.

8/14/18 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Verified reserves of $141,849.40 (33.80 months PITIA) exceeds DU required reserves of $0.00.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Qualifying credit score of 774 exceeds minimum required credit score of 680 by 94 points.

CFCFS2860: Good credit history
- Clayton Comments: No history of late payments on credit report in file.

26508910

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4147

TRID - Closing Disclosure; Optional designation missing from optional insurance product

Home Warranty Fee is partially Borrower paid and does not have the Optional Designation.

8.15.18 Lender provided PC CD dated 8.15.18 that includes the word Optional for Home Warranty

8.16.18 Exception Satisfied

Non-Numeric

Not Applicable

26508910

XXXXXX

QM: Safe Harbor

Credit

DTI

Satisfied

CRDDTI2540

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

Missing evidence of PITIA for property located at XXX

8/14/18 - Exception satisfied.

(No Data)

Not Applicable

26508910

XXXXXX

QM: Safe Harbor

Credit

Income/Employment

Active

CRDINC2408

Income verification does not meet guidelines

Missing 2016/2017 1040 tax return transcripts. Extensions filed. Approved lender exception in file ok to proceed.

8/13/18 - Lender response - Disagree: Exception was granted by Credit Risk. Compensating factors were provided. Please see the attached.(FE) XXX - After further review by Senior UW, based on compensating factors 774 FICO, 33.80 months reserves, borrower in same occupation 21 years. Exception deemed non-material.

8/14/18 - Non-material

(No Data)

Not Applicable

26508603

XXXXXX

QM: Safe Harbor

Credit

Application

Satisfied

CRDAPP130

Application is incomplete

Missing final 1008/Underwriting Transmittal Summary to support tape value and 1st payment letter.

8/13/18 - Lender response - The 1008 with the correct payment amount is attached.

8/14/18 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1737: LTV below guideline requirements
- Clayton Comments: Max LTV 80% Current LTV 75%

CFCFS1744: DTI below guideline requirement
- Clayton Comments: Max DTI 43% Current DTI 27.71%

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Minimum credit score 720 current score 766

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Assets: Required Assets: $271,108.07, Reserves $163,563.72; Required Reserves 6 months PITIA SUBJECT $5556.97 X 6 = $ 33341.82 AND 6 Months non subject $3159.16 x 6 = $18,954.96 for a total of $52,296.78. Per 2017 1040 borrower owed $89625, Assets sufficient to cover IRS amount.

26508636

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3626

TRID - CD: Loan consummated before end of waiting period

Provide evidence that LE 6/21/18 , was acknowledged 3 days prior to consummation date 6/XX/18

4.24.19 Lender provided Disclosure Tracking that shows LE 6/21/18 was acknowledged on 6/21/18

4.25.19 Exception Satisfied

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: 779 qualifying score. Min required per guidelines is 720.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV is 62.50%; max allowed per guidelines is 80%.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: 28.89 months PITI reserves verified, 6 months required per guidelines.

26508649

XXXXXX

QM: Safe Harbor

Compliance

RESPA

Satisfied

CMPRESPA863

RESPA: Required Affiliate Business Disclosure missing

Missing Affiliate business Disclosure or FACTS sheet

4.22.19 Lender response; The Correspondent customer has communicated no affiliate business. XXX records show that the Correspondent does not have ownership in any other company(s). Verification rest with XXX TPO Approval Department who inquires and notes in the Correspondent customers profile whether the financial institution has ownership in any other businesses. Periodic re-certifications (at least annual) are also conducted. This information is shared and made available to staff in their loan review. If an affiliated business disclosure is not provided, the reviewer confirms within our LOS system that lender does not have any business affiliates. An affiliated business discl

4.23.19 Exception satisfied

(No Data)

Not Applicable

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower has 40 years in his profession.

CFCFS1735: Co-Borrower has significant time at current job
- Clayton Comments: Co-Borrower has 40 years at her current job.

CFCFS1736: Significant time at current residence
- Clayton Comments: Borrowers have owned their primary home for 20 years.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Verified post close assets of $104,931.12. 21.32 months reserves. Guides require 12 months.

26508649

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4320

TRID - CD: The stated Closing Costs Financed (Paid from Your Loan Amount) amount in the CD Calculating Cash to Close section (Alt Version) does not equate to the amount based on the Reg's formula.

The stated Closing Costs Financed (Paid from Your Loan Amount) amount in the PCCD 6.28.18 Calculating Cash to Close section (Alt Version) does not equate to the amount based on the actual calculation. lender has 0.00 actual calculation closing costs $9915.15 - POC $800 = $9115.15

4.22.19 Lender response; Agreed. This error did not affect the totals charged to the borrower. This is a clerical error which did not affect the timing, delivery, or other requirements imposed by 1026.19(e) or (f). XXX response; PC CD still required to correct closing costs financed. Exception Remains

4.23.19 Exception Remains

Numeric

Not Applicable

26508566

XXXXXX

QM: Safe Harbor

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI 34.18 below guideline requirement of 43% by 8.82%

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Verified cash reserves of $256,660.50 or 51.82 months PITIA.

26508856

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3626

TRID - CD: Loan consummated before end of waiting period

The file is missing evidence that the initial CD dated 8/21/18 was acknowledged at least 3 business days prior to consummation.

9.27.18 Lender provided Disclosure history showing CD 8/21/18 acknowledged on 8/21/18

9.28.18 Exception Satisfied

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Minimum score 700, borrowers scores 779/763.

CFCFS1735: Co-Borrower has significant time at current job
- Clayton Comments: CB with same employer 7 years 9 months.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI 33.53%. Max 43%

26508856

XXXXXX

QM: Safe Harbor

Credit

Legal Documents

Satisfied

CRDLGL2642

Missing proof that HELOC has been paid and closed to future draws

Missing proof HELOC with XXX has been closed.

9/19/2018: Please see attached payoff which states payoff and close for 8/31/2018.9/20/18 - XXX - bottom of form states if collateral needs to be released and this line closed with payoff, please provide an authorized signature from thee customer. 9.25.2018 - Lender provided HELOC close letter.

9/20/18 - Exception remains.9.25.2018 - Exception satisfied.

(No Data)

Not Applicable

26508552

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3730

TRID - Error #2 discovered on Closing Disclosure

CD 7/19/2018 and 8/3/2018 loan costs section B are missing payee names. Corrected by final CD.Satisfied.

(No Data)

9/3/2018: Exception satisfied.

(No Data)

Not Applicable

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower employed with current employer for over 10 years

CFCFS1736: Significant time at current residence
- Clayton Comments: Borrowers have resided at the existing primary residence for over 7 years

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Total $63,297.60 reserves required. Verified $239,848.23 or 42.06 months reserves required

26508498

XXXXXX

QM: Safe Harbor

Compliance

Documentation

Satisfied

CMPDOC3076

Legal document was not executed or is incomplete

Please provide supporting documentation for the broker's initial application date. The initial 1003 is dated 6/1/2018; however, the initial LE was issued 5/30/2018.

8.22.18 lender response; XXX takes responsibility for issuing the LE and disclosure for Broker loans, once the 6 pieces of information constituting an application have been received. For this loan that date was 5/30/2018 so the delivery of the LE on 5/30/2018 date would have met the timing requirements.

8.23.18 Exception Satisfied

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit score 780 exceeds minimum 720 score requirement

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI 38.61% below maximum 43% guideline

26508498

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3626

TRID - CD: Loan consummated before end of waiting period

The file is missing evidence that the initial CD 7/20/2018 was acknowledged by the borrower(s) at least 3 business days prior to consummation.

8.22.18 Lender provided Disclosure Management that shows CD 7/20/18 acknowledged on 7/20/18

8.23.18 Exception Satisfied

(No Data)

Not Applicable

26508643

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

PCCD 8.17.18 Other Costs section, Field F: HOI is missing payee

(No Data)

Hybrid

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Borrowers have reserves of $489,117.74; 93.33 months PITI.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI of 33.22 below guideline requirement of 43%.

26508802

XXXXXX

QM: Safe Harbor

Compliance

Federal Consumer Protection

Satisfied

CMPFDCP3208

NMLS License verification found Loan Originator was inactive at time of origination

PER NMLS both Individual Loan Originators XXX and XXX were with the current lender/ originator through 07/2018. Loan closed 08/10/2018. There is no evidence supporting loan was reassigned to a new individual loan originator prior to close.

4/22/19 - Lender response (B Non-Material): The disclosed name and/or the combination of the disclosed name with NMLS ID are sufficiently distinct to enable a consumer to identify the MLO. XXX - Exception remains as both Individual Loan Originators were no longer employed with Lender at time of loan closing per NMLS site.4/25/19 - Lender provide updated NMLS showing XXX was with XXX. until 9/2018.

4/23/19 - Exception remains. 4/25/19 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: 732 qualifying score. Min required per guidelines is 700.

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: The borrower has been employed for 5 years.

26508802

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4285

TRID - CD: The value for Loan Amount in the LE column of the CD's Calculating Cash to Close table (Alt Version) is different from the value disclosed on the last LE

Last LE dated 08/01/2018, Calculating Cash to Close, Loan Amount was $774,700 which was changed on Final CD dated 08/10/2018, Calculating Cash to Close table, LE column for loan Amount to $775,000. Provide PCCD within 60 days.

4.22.19 Lender response; The Final CD which matches the Last Disclosed CD was in the file and has been provided. XXX response; The LE column of the final CD does not match the values disclosed on the LE'S provided cash to close table. Corrected PC CD required. Exception Remains

4.23.19 Exception remains.

Non-Numeric

Not Applicable

26508802

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4309

TRID - CD: The value for Cash to Close in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE

Last LE dated 08/01/2018, Calculating Cash to Close, Estimated Cash to Close was $9,071 which was changed on Final CD dated 08/10/2018, Calculating Cash to Close table, LE column for Cash to Close to $8,771. Provide PCCD within 60 days

4.22.19 Lender response; The Final CD which matches the Last Disclosed CD was in the file and has been provided. Clayton response; The LE column of the final CD does not match the values disclosed on the LE'S provided cash to close table. Corrected PC CD required. Exception Remains

4.23.19 Exception Remains

Non-Numeric

Not Applicable

26508802

XXXXXX

QM: Safe Harbor

Credit

Application

Satisfied

CRDAPP3822

Missing or incomplete documentation related to citizenship/residency

Missing documentation related to the co- borrowers citizenship/residency . 1003 reflects the co- borrower as a permanent resident alien. Per lender guidelines . A copy of the borrowers identification is required to verify review of the acceptable documentation that evidences borrower is eligible to lawfully reside in the U.S. Must have a valid Green Card, evidence of continuous for at least 12 months.

4/22/19 - Lender response - Please see the attached ID card. Permanent Resident Alien since 8/20/05. Card expires 12/4/27.

4/23/19 - Exception satisfied.

(No Data)

Not Applicable

26508717

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

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.

Missing the following documents to Perform ATR/QM Review: Missing all pages to year 2016 1065 and all schedules for Borrower (XXX) business (XXX). Missing year 2016 Schedule K-1. For Borrower (XXX). Missing verification of XXX business XXX) by a third-party source. VVOE for Co-Borrower (XXX) indicates incorrect start date with qualifying employer (XXX) as 2002. Per offer letter in file, employment is to begin 7.1.2018.

4/23/19 - Lender responses - Ability to Repay requirements indicate that "A creditor need consider only the income or assets necessary to support a determination that the consumer can repay the covered transaction". Borrowers ability to repay was documented with borrowers employment with XXX and verification of co-borrowers XXX income from schedule C business, XXX, with two years personal tax returns documenting the XXX income on schedule C, third party verification of the business, profit/loss statement and balance sheet for the business. Co-borrowers 1065 Partnership business, XXX, was dissolved in 2017 with final business tax return and K1 provided supporting the business is closed. Loan was qualified with a conservative 12 month average of the loss, and lack of 2016 documentation for a dissolved business is non-material. Loan was also qualified with schedule C loss for co-borrowers other XXX business. File contains sufficient documentation to support borrowers ability to repay with necessary income fully documented. XXX - VVOE meets Appendix Q for CB. Used 2016 K-1 from schedule E Remaining issues: 1) Appendix Q requires all pages of tax returns. 2) Verification of business is required for XXX. Income was positive adding back depreciation and business use of home. Loan is considered Non-QM if performed after Consummation. 4/30/19 - Lender response - See attached business bank statements from the file dated within 30 days prior to the 6/XX/2018 note date that verify existence of the business, XXX. Our income calculation did not include a positive cash flow from this business. Depreciation from the business was used to offset the net loss of the business, however, expense for business use of home was NOT added back, resulting in negative cash flow. Third party verification of positive income was not required, yet is documented with the bank statements." XXX Schedule C income XXX without adding back Home expense. Used loss. XXX is dissolved VVOE not required. All other exceptions satisfied.

4/24/19 - Exception remains. 5/1/19 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV is at 70.86%; max allowed LTV per guidelines is 80%.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Qualifying credit score is 764; minimum required credit score per guidelines is 720.

CFCFS2860: Good credit history
- Clayton Comments: Both Borrowers have an overall good credit history. No derogatory credit and no public record findings.

26508717

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3716

TRID - Curable issue related to the Closing Disclosure in file

Final CD 6.22.18 Other Costs section is missing Seller Paid RE broker commission listed on Seller CD, corrected on PCCD 7.2.18. Exception Satisfied

(No Data)

Not Applicable

26508717

XXXXXX

QM: Safe Harbor

Credit

Income/Employment

Active

CRDINC2496

Verbal verification of employment completed outside the stated requirements and/or after closing/funding

VVOE for Co-Borrower (XXX) indicates incorrect start date with qualifying employer (XXX) as 2002. Per offer letter in file, employment is to begin 7.1.2018.

4/23/19 - VVOE for borrowers new employment reflected a typographical error for dates of employment, that included length of time borrower has been employed in profession. Per the attached offer letter, borrowers start date was 7/1/2018. Borrower's employment with new employer was verified on the note date. XXX- Offer letter dated 4/11/18 prior to VVOE completed on 6/26/18 which has incorrect start date. Loan remains non-material

4/24/19 - Exception remains.

(No Data)

Not Applicable

26508717

XXXXXX

QM: Safe Harbor

Credit

Income/Employment

Satisfied

CRDINC2488

Verbal verification of employment missing

For Borrower (XXX), missing verification of XXX business (XXX) by a third-party source which is required to be obtained within 30 calendar days from the Note date of 6/XX/2018.

4/23/19 - Lender response - Borrower was not qualified with positive income from this business. Loan was qualified with a conservative calculation of negative income from XXX. Third party verification of the existence/continuance of this business has no effect on the income calculation of the subject transaction, based on the net loss already considered in calculation. If business were operating with positive income, and third party verification was missing, the income would not be considered. As there is no positive income from this business, the lack of third party verification does not have a material effect on the transaction. 4/30/19 - Lender response - See attached business bank statements from the file dated within 30 days prior to the 6/XX/2018 note date that verify existence of the business, XXX

4/24/19 - Exception remains 5/1/19 - Exception satisfied.

(No Data)

Not Applicable

26508852

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

CD 6/15/18 Other Costs Section F missing Date Range for Pre Paid Interest.Error is corrected on Subsequent CD 6/29/18.

(No Data)

7.31.18 - Exception Satisfied.

Hybrid

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: The borrower has $124,253.66 (37.09 months PITIA) in post closing assets. $0 reserves required per DU findings.

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: The borrower has been XXX for 8 years.

CFCFS2854: Significant time in profession
- Clayton Comments: The borrower has worked in the same profession for 15 years.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: The DTI of 34.45% is 8.55 points below maximum allowed DTI of 43%.

26508791

XXXXXX

QM: Safe Harbor

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV of 39.49% is 45.51 points below maximum allowed LTV for this program of 80.00%

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI of 11.55 % is 31.45 points below maximum allowed DTI of 43.00%

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Qualifying credit score of 807 exceeds required credit score of 720 by 87 points.

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower in his profession for 27 years.

26508509

XXXXXX

QM: Safe Harbor

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower has been in the same profession for 9 years.

CFCFS1736: Significant time at current residence
- Clayton Comments: Borrowers have resided at the current residence for 10 years.

26508506

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3600

TRID - CD delivered only via e-mail but there is no prior e-sign consent in file; by regulation, CD must be treated as not delivered

Missing E consent

4.25.19 Lender provided E Consent acknowledged by borrowers on 5/31/18

4.26.19 Exception Satisfied

(No Data)

Not Applicable

CFCFS1737: LTV below guideline requirements
- Clayton Comments: 59.90% LTV, maximum LTV is 80%

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: 776 score; minimum score for 80% financing is 720.

CFCFS1740: Mortgage payment history exceeds guidelines
- Clayton Comments: 59 months of mortgage payments made as agreed.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Post-Closing Reserves $490,501.80 = 135 months of PITI.

26508523

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3554

TRID - LE delivered only via e-mail but there is no prior e-sign consent in file; by regulation, LE must be treated as not delivered

E Consent in file is incomplete and missing borrowers consent, please provide complete e consent acknowledged by the borrowers.

8.29.18 Lender provided E Consent

8.30.18 Exception Satisfied

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: 777 qualifying credit score exceeds required score of 720 by 57 points.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Verified cash reserves of $411,939.01 (83.68 months PITIA) exceeds required 6 months reserves of $29535.66 ($4922.61*6) for subject and 6 months reserves of $21517.98 for 2 additional financed property of ($2414.05*6 + $1172.28*6).

26508523

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3600

TRID - CD delivered only via e-mail but there is no prior e-sign consent in file; by regulation, CD must be treated as not delivered

E Consent in file is incomplete and missing borrowers consent, please provide complete e consent acknowledged by the borrowers.

8.29.18 Lender provided E Consent

8.30.18 Exception satisfied

(No Data)

Not Applicable

26508519

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

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.

1. Missing documentation of the HOA dues for XXX2. Missing 2018 P&L for the borrower's XXX income from XXX 3. Missing 2018 balance sheet for the borrower's XXX income XXX

7/30/2018: Lender response - Please see the attached. (FE)

7/31/18 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: The borrower has worked for the same employer for 14 years

CFCFS2854: Significant time in profession
- Clayton Comments: The borrower has worked in the same profession for 14 years

CFCFS1737: LTV below guideline requirements
- Clayton Comments: The LTV is 70%; up to 80% LTV is allowed

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: The borrower is required to have 6 months PITI for all REO : 6 x (5,223.80 + 3,007.02) = $49,384.92The borrower has $223,727.79 in post closing assets (27.18 months PITI reserves)

26508519

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

CD 6.26.18 Other Costs section, Field F: HOI payee states TBD, satisfied on Final CD 6.29.18

(No Data)

Hybrid

Not Applicable

26508519

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3554

TRID - LE delivered only via e-mail but there is no prior e-sign consent in file; by regulation, LE must be treated as not delivered

LE 4.2.18 sent via email but no e consent was provided

8.6.18 Lender provided E Consent acknowledged by borrowers on 4/2/18

8.8.18 Exception Satisfied

(No Data)

Not Applicable

26508519

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3600

TRID - CD delivered only via e-mail but there is no prior e-sign consent in file; by regulation, CD must be treated as not delivered

CD 6.26.18 sent via email but no e consent was provided

8.6.18 Lender provided E Consent acknowledged by borrowers on 4/2/18

8.8.18 Exception Satisfied

(No Data)

Not Applicable

26508519

XXXXXX

QM: Safe Harbor

Credit

DTI

Satisfied

CRDDTI2540

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

Missing documentation of the HOA dues for XXX

7/30/2018: Lender response - Please see the attached. (FE) 7/31/18 - Lender provided cancelled check for $512.50

7/31/18 - Exception satisfied.

(No Data)

Not Applicable

26508519

XXXXXX

QM: Safe Harbor

Credit

Income/Employment

Satisfied

CRDINC3258

Missing Profit and Loss statement for one or more Self Employed borrowers

Missing 2018 P&L for the borrower's self employed income from XXX

7/30/2018: Lender response - Disagree. Please see the attached. (FE) 7/31/18 - Lender provided P&L through 6/1/18

7/31/18 - Exception satisfied.

(No Data)

Not Applicable

26508519

XXXXXX

QM: Safe Harbor

Credit

Income/Employment

Satisfied

CRDINC3260

Balance Sheet missing for one or more Self Employed borrowers

Missing 2018 balance sheet for the borrower's SE income from XXX

7/30/2018: Lender response - Disagree. Please see the attached. (FE) 7/31/18 - Lender provided Balance sheet through 6/1/18

7/31/18 - Exception satisfied.

(No Data)

Not Applicable

26508614

XXXXXX

QM: Safe Harbor

Compliance

Federal Consumer Protection

Active

CMPFDCP4569

NMLS License verification found Loan Originator Name does not match ID but can identify that the LO is the same

The loan officers name on the Note, Mortgage, and the 1003 is XXX. The NMLS database verified the loan officers name as XXX. The Reg-Z requirement is for the Originators name to match the NMLS website exactly.

4/19/19 - Lender response - (B Non-Material): The disclosed name and/or the combination of the disclosed name with NMLS ID are sufficiently distinct to enable a consumer to identify the MLO.

4/22/19 - Exception remains as XXX considers minimal NMLS name discrepancies as non-material that must be reported vs. material when variation appears as a possible different person.

(No Data)

Not Applicable

CFCFS1736: Significant time at current residence
- Clayton Comments: Borrower has resided in the subject property for 21 years.

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been XXX for 23 years.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV is 41.84%. Max 80%

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI is 10.65%. Max 43%

26508614

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3626

TRID - CD: Loan consummated before end of waiting period

Please provide evidence that initial Cd 9/19/18 was acknowledged by borrower 3 days prior to consummation date of 9/XXX/18.

4.19.19 Lender provided evidence that CD 9/19/18 was acknowledged 9/20/18 .

4.22.19 Exception Satisfied

(No Data)

Not Applicable

26508545

XXXXXX

QM: Safe Harbor

Compliance

RESPA

Satisfied

CMPRESPA863

RESPA: Required Affiliate Business Disclosure missing

Required Affiliate Business Disclosure missing

9.17.18 Lender response; Emailed processor for document. XXX response; please provide once received. Exception REMAINS9.18.18 Lender response; Per our system this is a XXX Bank loan and there were no Affiliates therefore no disclosure was needed.

9.18.18 Exception Remains9.19.18 Exception Satisfied

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: The borrower qualifying credit score of 772 exceeds guideline requirement of 700 by 72 points.

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: The borrower has been XXX for 32 year and 11 months.

26508545

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3564

TRID - There is at least one revised Loan Estimate or Closing Disclosure containing a change that is not documented or supported in the file

There were no COC forms located in the file.

9.17.18 lender provided COC history Log

9.18.18 Exception Satisfied

(No Data)

Not Applicable

26508918

XXXXXX

QM: Safe Harbor

Compliance

Federal Consumer Protection

Active

CMPFDCP4569

NMLS License verification found Loan Originator Name does not match ID but can identify that the LO is the same

NMLS shows name as XXX. XXX showing on loan documents.

4/22/19 - Lender response - Response (B Non-Material): The disclosed name and/or the combination of the disclosed name with NMLS ID are sufficiently distinct to enable a consumer to identify the MLO.

4/23/19 - Exception remains as XXX considers minimal NMLS name discrepancies as non-material that must be reported vs. material when variation appears as a possible different person.

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Borrowers have 19 months cash reserves. 12 months required for this program.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV 73.20%. Max LTV for this program is 80.00%.

CFCFS1735: Co-Borrower has significant time at current job
- Clayton Comments: Co borrower with current employer for 25 years.

26508918

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4261

TRID - CD: The Loan Amount value in the LE column of the CD Calculating Cash to Close Table (Alternative Version) is disclosed as a negative number or is zero

CD 8/1/18 (2): Calculating cash to close Loan amount total is 0 per Cd. Corrected on post close Cd 8/13/18. Exception satisfied

(No Data)

Numeric

Not Applicable

26508918

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4285

TRID - CD: The value for Loan Amount in the LE column of the CD's Calculating Cash to Close table (Alt Version) is different from the value disclosed on the last LE

Cd 8/1/18 (2) Calculating cash to close loan amount is 0 per Cd. Corrected on post close Cd 8/13/18.Exception satisfied

(No Data)

Non-Numeric

Not Applicable

26508918

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4299

TRID - CD: The value for Total Closing Costs in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE

Cd 8/1/18 (2) Calculating cash to close total closing cost total is incorrect. Corrected on post close Cd 8/13/18.Exception satisfied

(No Data)

Non-Numeric

Not Applicable

26508918

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4309

TRID - CD: The value for Cash to Close in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE

Cd 8/1/18 (2) Calculating cash to close cash to close total is incorrect. Corrected on post close Cd 8/13/18.Exception satisfied

(No Data)

Non-Numeric

Not Applicable

26508918

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4312

TRID - CD: The value for Total Payoffs and Payments in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE

Cd 8/1/18 (2)Calculating cash to close total payment and payoff is incorrect. Corrected on post close Cd 8/13/18. Exception satisfied

(No Data)

Non-Numeric

Not Applicable

26508641

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3928

TRID - CD: The Purpose is Purchase but the Valuation Type is not Sales Price

This is a refinance but the CD has purchase Please provide a revised CD that indicates the correct transaction as refinance, revised CD to borrower with LOX and verification.

9.14.18 Lender provided PC CD dated 8/27/18 that shows The Purpose is Purchase

9.17.18 Exception Satisfied

Non-Numeric

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: AssetsNo funds required for closing. Borrower has $58,520.11 in reserves. 8.91 months PITIA.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: 15.47% DTI is below guideline maximum of 43%.

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has owned current business for 8 years.

26508641

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3626

TRID - CD: Loan consummated before end of waiting period

Please provide confirmation that LE dated 08/10/18 was acknowledged 3 days prior to consummation , or please provide initial CD

9.14.18 Lender provided Doc u sign showing final LE 8/10/18 ACKNOWLEDGED on 8/10/18

9.17.18 Exception Satisfied

(No Data)

Not Applicable

26508875

XXXXXX

QM: Safe Harbor

Credit

Legal Documents

Satisfied

CRDLGL2642

Missing proof that HELOC has been paid and closed to future draws

Evidence HELOC closed to future draws not in file, and HELOC authorization to close letter not in file. HELOC PIF per Final CD dated 7/13/18

8/28/18 - Lender response - Please see the attached payoff.

8/29/18 - Exception satisfied.

(No Data)

Not Applicable

CFCFS2854: Significant time in profession
- Clayton Comments: Co-Borrower has significant time in profession of 13 years

26508659

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

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.

1. Missing documentation of the HO6 premium and the HOA dues for XXX. 103

7/20/2018: Disagree: The HOA dues documentation attached. H06 is only required when the Master policy does not cover the improvements or betterments. The property was a cash purchase. Insurance is not required if the property is free and clear. Please see the 2017 Tax returns which insurance is not reflected. Per documents Taxes $867.12/12= $72.26 + HOA dues $195.00.00=$267.26 (FE) 7/31/18 - XXX Lender is correct. Also; provided HOA dues $195.

7/31/18 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: The borrower has worked for the same employer for over 9 years

CFCFS2854: Significant time in profession
- Clayton Comments: The borrower has worked in the same profession for over 9 years

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: The borrower is required to have 6 months PITI reserves : 6 x $4,872.50 = $29,235The borrower has $86,361.71 in post closing assets

26508659

XXXXXX

QM: Safe Harbor

Compliance

Federal Consumer Protection

Active

CMPFDCP4569

NMLS License verification found Loan Originator Name does not match ID but can identify that the LO is the same

Documents are "XXX,"MNLS is XXX is "XXX"

7/27/18 - Lender response - The disclosed name and/or the combination of the disclosed name with NMLS ID are sufficiently distinct to enable a consumer to identify the MLO

8/1/18 - Exception remains as XXX considers minimal NMLS name discrepancies as non-material that must be reported vs. material when variation appears as a possible different person.

(No Data)

Not Applicable

26508659

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

CD 6/26/2018 and 6/28/2018: Loan costs. payee name for Title - Notary Fee is "TBD". The name of company/person being paid is required. Corrected by PCCD 7/16/2018..Satisfied.

(No Data)

7/25/2018: Exception satisfied.

Hybrid

Not Applicable

26508659

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3600

TRID - CD delivered only via e-mail but there is no prior e-sign consent in file; by regulation, CD must be treated as not delivered

CD 6/26/2018 was e-signed; file is missing prior e-consent.

8.8.18 Lender Provided E Consent acknowledged by borrower on 6/4/18

8.9.18 Exception Satisfied

(No Data)

Not Applicable

26508659

XXXXXX

QM: Safe Harbor

Credit

DTI

Satisfied

CRDDTI2540

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

Missing documentation of the HO6 premium and the HOA dues for XXX. 103

7/31/18 - After further review satisfied.

(No Data)

Not Applicable

26508616

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

CD: 07/02/2018: Other Costs, Homeowner's Insurance premium missing the # of months. Corrected on subsequent CD dated 7/9/2018.CD: 07/02/2018: Loan Costs, section B & C fees do not have a payable to name listed. Corrected on subsequent CD dated 7/9/2018.Satisfied.

(No Data)

7/25/2018: Exception satisfied.

Hybrid

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Guidelines require a minimum score of 720; subject transaction has a qualifying score of 761

CFCFS1744: DTI below guideline requirement
- Clayton Comments: Guidelines allow for a DTI of up to 42%; subject transaction has a debt ratio of 25.33%

CFCFS1737: LTV below guideline requirements
- Clayton Comments: Guidelines allow for an LTV of 80%; subject transaction has an LTV of 38.81%

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Borrower has 32.04 months in verified post clsg reserves, 6 months required

26508616

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3554

TRID - LE delivered only via e-mail but there is no prior e-sign consent in file; by regulation, LE must be treated as not delivered

Need evidence the borrower signed an electronic consent prior to issuance of LE dated 6/6/2018.

8.8.18 lender provided E Consent dated 6/6/18

8.9.18 Exception Satisfied

(No Data)

Not Applicable

26508690

XXXXXX

QM: Safe Harbor

CFCFS1740: Mortgage payment history exceeds guidelines
- Clayton Comments: The Borrower has 38 months mortgage history paid as agreed. Per guidelines, 24 months required.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Minimum require score is 720, The borrowers scores are 798/811.

26508440

XXXXXX

QM: Safe Harbor

Credit

Terms/Guidelines

Satisfied

CRDTER3122

Loan documents do not meet guideline requirements

Missing payoff demand letter for mortgage with XXX being paid off at closing.

4/24/19 - Lender response - Attached is a copy of the payoff letter for the mortgage with XXX/XXX. Balance paid off on Closing Disclosure is in-line with balance reporting on credit report. Payoff letter reflects payoff through 8/31/2018. Based on loan disbursement date of 8/XX/2018, payoff amount on CD is slightly less than on payoff letter with less interest required due to earlier payoff.

4/25/19 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Representative Credit Score of 804 exceeds guidelines.

CFCFS1736: Significant time at current residence
- Clayton Comments: Borrowers have lived in current residence for 25 years.

26508440

XXXXXX

QM: Safe Harbor

Property Valuations

FEMA

Satisfied

PRVAFEMA858

Natural Disaster Area, no subsequent inspection (Individual & Public)

Declaration Date: 11/12/2018; Effective Date: 11/25/2018 Public & Individual Wildfires Wildfires XXX.

4/24/19 - Lender response - Disagree with finding: A PDI is not needed for the 11/25/2018 disaster per XXX MEMO # XXX as the property zip code was not included in areas where we required a property inspection. See MEMO also attacded.XXX - XXX provided their County/Zip code exclusionary list

4/25/19 - Exception satisfied per XXX Policy no PDI required.

(No Data)

Not Applicable

26508462

XXXXXX

QM: Safe Harbor

CFCFS1736: Significant time at current residence
- Clayton Comments: Borrowers have resided at the subject residence for over 19 years

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower is employed with current employer for over 19 years

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Qualifying credit score 793. Minimum credit score required 700.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Total $34,862.22 reserves required. Verified $897,675.93 or 154.31 months reserves.

26508622

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID3716

TRID - Curable issue related to the Closing Disclosure in file

Seller CD reflects seller paid fees not reflected on Borrower CD in section C, E and H

4.23.19 Exception remains

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Representative Credit Score of 774 exceeds guidelines minimum of 700.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI is 24.52%; guideline maximum is 43%.

26508622

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID5019

TRID - Closing Disclosure; Optional designation missing from optional insurance product

PCCD 7.20.18 Other Costs section Field H: Borrower paid Home Warranty is missing optional designation

4.22.19 Lender response; This type of error would not mathematically effect disclosed totals charged to the borrower. Agreed; this is a clerical error. An error is clerical if it does not affect a numerical disclosure and does not affect the timing, delivery, or other requirements imposed by 1026.19(e) or (f).". XXX response; The parenthetical description (optional) shall appear at the end of the label for costs designated borrower-paid at or before closing for any premiums paid for separate insurance, warranty, guarantee, or event-coverage products. Exception remains

4.23.19 Exception remains

Non-Numeric

Not Applicable

26508622

XXXXXX

QM: Safe Harbor

Credit

Legal Documents

Satisfied

CRDLGL2550

Missing HUD-1 from sale of property

Missing Final executed or stamped CD for the sale of XXX; CD in file indicates Borrower's proceeds are $435,264.98, used as assets.

4/26/19 - Lender provided Final closing statement.

5/7/19 - Exception satisfied

(No Data)

Not Applicable

26508547

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

CD 8/14/2018 & 8/17/2018: Loan costs section B, payee name for Title - Notary is "TBD". Corrected by PCCD 8/23/2018.Satisfied.

(No Data)

10/1/2018: Exception satisfied.

Hybrid

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: 800 qualifying score. Min required per guidelines is 720.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: 40 months PITI reserves verified, max per guidelines is 6 months

26508571

XXXXXX

QM: Safe Harbor

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Verified cash reserves of $200,988.05 or 69.07 months PITIA

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI 23.92% below guideline requirement of 43% by 19.08%

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Qualifying credit score of 769 exceeds required score of 700 by 69 points.

26508671

XXXXXX

QM: Safe Harbor

Property Valuations

FEMA

Satisfied

PRVAFEMA856

Natural Disaster Area, no subsequent inspection (Public)

Disaster declaration date 2/25/2019 with effective date of 11/2/2018 Public Severe Storms and Flooding. Disaster inspection is missing.

4/30/19 - Received PDI, no damage

5/1/19 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has 5 yrs 3 months at his current job.

CFCFS2854: Significant time in profession
- Clayton Comments: Co-Borrower has 5 years in her line of work.

26508860

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3554

TRID - LE delivered only via e-mail but there is no prior e-sign consent in file; by regulation, LE must be treated as not delivered

No E-consent found in file.

8.28.18 Lender provided E consent acknowledged by borrowers on 6/11/18

8.29.18 Exception Satisfied

(No Data)

Not Applicable

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower has been in the same profession as an XXX for 31 years

CFCFS1740: Mortgage payment history exceeds guidelines
- Clayton Comments: Mortgage payment history of 34 months exceeds guidelines of 24 months

CFCFS1739: Postive mortgage payment history
- Clayton Comments: Credit Report shows 0x30 for 34 months

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Verified cash reserves $38,712.57 exceed guidelines of $0 reserves

26508860

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3600

TRID - CD delivered only via e-mail but there is no prior e-sign consent in file; by regulation, CD must be treated as not delivered

No E-consent found in file.

8.28.18 Lender provided E consent acknowledged by borrowers on 6/11/18

8.29.18 Exception Satisfied

(No Data)

Not Applicable

26508860

XXXXXX

QM: Safe Harbor

Credit

Legal Documents

Satisfied

CRDLGL137

Missing copy of 2nd lien Note (subject is 1st lien)

Missing Note/Mortgage for subordinate financing with XXX as per Lender Loan commitment.

8/28/2018: Lender response -2nd is with XXX. Please see the attached Document

8/29/18 - Exception satisfied.

(No Data)

Not Applicable

26508661

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

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.

Missing Verbal VOE from XXX showing start and end date to confirm no gaps in employment for B1. Any gaps greater than 30 days requires a written explanation from B1.

8/8/18 - Lender provided VVOE from previous Employer. No gaps in employment.

8/8/18 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV 48.00%. Max LTV for this program is 55.00%

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Representative credit score 750. Minimum credit score for this program is 720.

CFCFS2854: Significant time in profession
- Clayton Comments: B1 have 21 years in profession.

26508661

XXXXXX

QM: Safe Harbor

Credit

Income/Employment

Satisfied

CRDINC2496

Verbal verification of employment completed outside the stated requirements and/or after closing/funding

Missing Verbal VOE from XXX showing start and end date to confirm no gaps in employment for B1. Any gaps requires a written explanation from B1.

8/8/18 - Lender provided VVOE from previous Employer. No gaps in employment.

8/8/18 - Exception satisfied.

(No Data)

Not Applicable

26508446

XXXXXX

QM: Safe Harbor

Credit

Credit/Mtg History

Satisfied

CRDCRMH193

Length of mortgage/rental history in file does not meet guideline requirement

Provide VOR or 12 months cancelled checks to verify rent payments of $2,125 for the property rented at XXX.

4/22/19 - Lender response - See attached VOR and cancelled checks. The borrower has been renting at XXX for 15 years with no late payments.

4/23/19 - Exception satisfied

(No Data)

Not Applicable

CFCFS2854: Significant time in profession
- Clayton Comments: Both borrowers have been in their current profession for over 25 years.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: 50.46% LTV is below guideline requirements of 80%

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Borrowers have post-closing reserves of $919,802.32, or 214 months subject PITIA.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: The median credit score of 797 exceed guidelines minimum of 720

CFCFS1744: DTI below guideline requirement
- Clayton Comments: 34.42% DTI is below guideline max of 43%

26508710

XXXXXX

QM: Safe Harbor

Compliance

Right of Rescission

Satisfied

CMPROR1909

Incorrect ROR Form Used - H8 Form Used in Refinance With Original Creditor

H8 ROR form used in Lender to Lender refinance. REVISED ;Regulation Z designates the H9 rescission form as the form designed for same lender refinance transactions; for this loan the lender is using the H8 form. Regulation Z has language allowing the use of a substantially similar notice. Claytons view has been that an H8 protects the lender and assignee to at least the same extent as an H9, but Clayton recognized that one could think that the mere existence of the H9 takes away the substantially similar notice argument. The majority of XXX that have opined on the issue have upheld the use of an H8 in a same-lender refinance; therefore, Clayton grades the use of an H8 form in a same-lender refinance as a level 2/B- Non Material exception in those Circuits that have not decided on this issue.

8.22.18 Lender response; The form provided is substantially similar to the H-9 form. The form used is acceptable. Clayton response;Please see revised Initial Comment. Exception Remains

8.23.18 Exception Remains

(No Data)

Not Applicable

CFCFS1744: DTI below guideline requirement
- Clayton Comments: Lender maximum DTI 43% Borrower DTI 35.961%

CFCFS1737: LTV below guideline requirements
- Clayton Comments: Lender Maximum LTV/CLTV 80%; current LTV is 66.09%.

CFCFS1739: Postive mortgage payment history
- Clayton Comments: Credit report shows no delinquent mortgage payments

26508885

XXXXXX

QM: Safe Harbor

Compliance

RESPA

Active

CMPRESPA2700

RESPA - List of homeowners counseling organizations not provided w/in 3 days of application

Homeowners counseling list is dated 7.6.18 which is not within 3 days of application date 6.14.18

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Borrowers have 24 months reserves. Per DU, reserves not required

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV 49.72%. Max LTV for this program is 80.00%.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Representative credit score 748. Minimum credit score for this program is 700.

26508885

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3618

TRID - Corrected CD should have been provided; Change of Product or Product Feature not disclosed at least 3 business days prior to closing

CD 7.20.18 states a Balloon payment and interest only which does not match Note, corrected on PCCD 7.24.18. Exception satisfied

(No Data)

Not Applicable

26508885

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3942

TRID - CD: The Balloon Payment amount per the CD Loan Terms section does not match the final balloon payment amount as indicated in the CD Projected Payments section

PCCD 7.20.18 The Balloon Payment amount per the CD Loan Terms section does not match the final balloon payment amount as indicated in the CD Projected Payments section , corrected on PCCD 7.24.18 . Exception Satisfied

(No Data)

Numeric

Not Applicable

26508885

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3946

TRID - CD: The Yes/No answer to whether the P&I can increase in the CD Loan Terms section does not match the Product or Additional Product Feature indicated in the CD Loan Information section

PCCD 7.20.18 loan terms says P & I cant increase which does not match loan information of fixed rate interest only, corrected on PCCD 7.24.18. Exception satisfied

(No Data)

Non-Numeric

Not Applicable

26508885

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3960

TRID - CD: The CD Loan Information section and the CD Loan Terms section conflict in regards as to whether or not there is a balloon payment

PCCD 7.20.18 The CD Loan Information section and the CD Loan Terms section conflict in regards as to whether or not there is a balloon payment, corrected on PCCD 7.24.18. Exception satisfied

(No Data)

Non-Numeric

Not Applicable

26508885

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3961

TRID - CD: The amount of the periodic escrow payment in the Projected Payments section does not equal the periodic escrow payment disclosed in the Loan Disclosures section

PCCD 7.20.18 Projected payments monthly escrow payment is $0.00 which does not match the disclosure section $791.48 per month, corrected on PCCD 7.24.18. Exception Satisfied

(No Data)

Numeric

Not Applicable

26508885

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4346

TRID - CD: Monthly Escrow Amount in Projected Payments is inconsistent with annual cost in Loan Disclosure section

PCCD 07/20/2018 Projected Payments Estimated Monthly Escrow Payment for Band 1 is $0.00 which does not match Loan Disclosures section of $9497.76 over 1 year, corrected on PCCD 7.24.18. Exception satisfied

(No Data)

Numeric

Not Applicable

26508885

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4350

TRID - CD: At least one statement or section of the form that is required by the Regulation is not contained on the form

PCCD 7.20.18 additional product feature states interest only however AP table is missing, corrected on PCCD 7.24.18. Exception Satisfied

(No Data)

Hybrid

Not Applicable

26508885

XXXXXX

QM: Safe Harbor

Credit

Insurance

Satisfied

CRDINSR289

Insufficient Insurance Amount to Cover Loan Balance

Missing Estimated Replacement Cost form due to Hazard insurance policy not covering the loan amount.

4/24/19 - Lender response - Please see the attached Replacement cost estimate.Cost to rebuild $513,302.

4/25/19 - Exception satisfied.

(No Data)

Not Applicable

26508850

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3564

TRID - There is at least one revised Loan Estimate or Closing Disclosure containing a change that is not documented or supported in the file

Initial LE was issued on 06/18/2018. A revised LE was issued on 07/18/2018 with no documentation COC in file to disclose changes to the borrower.

8.24.18 Lender response; See attached copy of the COC for the revised LE issued 7/18/2018 to verify the COC was based on an increase to the loan amount. Clayton Response; COC not uploaded with documents. Exception remains9.18.18 Lender provided COC FOR 7/18/18

8.25.18 Exception remains9.19.18 Exception Satisfied

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Verified assets of $6,915.14 exceed DU required reserves of $0.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: Current LTV of 65.53% is 14.47 points below maximum allowed DTI of 80%.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI of 29.62% is 13.38 points below maximum allowed DTI of 43%.

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been XXX employed in current position for 20 years 10 months.

26508850

XXXXXX

QM: Safe Harbor

Credit

Credit/Mtg History

Satisfied

CRDCRMH123

No evidence of required debt payoff

Missing payoff demand statement for XXX #XXX.

8/23/18 - 8/23 - Please see the attached payoff.

8/27/18 - Exception satisfied.

(No Data)

Not Applicable

26508689

XXXXXX

QM: Safe Harbor

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: 6 months subject property PITIA reserves required per guidelines (5043.35*6 = $30260.10); verified 16 months

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: FICO 764; minimum 720 per guidelines

26508500

XXXXXX

QM: Safe Harbor

CFCFS1737: LTV below guideline requirements
- Clayton Comments: Max LTV is 80%. The borrowers LTV is 36% LTV.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Reserves: $451,455.76 (93.70 Months PITIA). Reserves required. $28,907.34 ($4817.89 x 6)

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: 786 Rep FICO exceed guidelines minimum of 720

CFCFS1744: DTI below guideline requirement
- Clayton Comments: 35.06% DTI is below guideline max of 43%

26508907

XXXXXX

QM: Safe Harbor

Credit

Credit/Mtg History

Active

CRDCRMH3000

# of Tradelines Does Not Meet Guideline Requirements

Lender approved exception for insufficient credit tradelines for both borrowers. Compensating factors include: Low DTI (19.21/19.34), Stable work history, 24 months verified reserves, strong residual with over $350,000 in annual overall income.

4/24/19 - Lender response - Loan has management approval for exception to the XXX overlay for number of credit tradelines. Numerous compensating factors considered for exception approval including: Low ratios, salaried employees in high demand professions, borrower has good job stability in current position, no derogatory history, minimal debts, verified rental history, excellent reserves of 27 months.

4/25/19 - Exception remains.

(No Data)

Not Applicable

CFCFS2854: Significant time in profession
- Clayton Comments: B1 significant time in profession of 11 years

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Verified cash reserves of $159,699.58 or 27.26 months PITIA

26508550

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

Final CD 7/18/18: Section Loan Cost was missing the following seller paid fee entered from the seller's CD Title-Closing fee $250, Other Cost section; Recording fees-Transfer taxes $4858. Other Cost section H. other; Municipal Lien search $70, Real Estate B commission $20,820, Real Estate S commission $17,350, and Title owners premium $1,066.

4.19.19 Lender provided Seller CD. Clayton Response; The seller CD disclosed seller paid fees not disclosed on final CD 9/26/2018, seller paid fees are required to be listed on the Borrowers final CD . A revised CD that includes seller paid fees is required. Exception remains

4.22.19 Exception remains

Hybrid

Not Applicable

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV is at 70%; max allowed LTV per guidelines is 80%.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Qualifying credit score is 799; minimum required credit score per guidelines is 680.

CFCFS2860: Good credit history
- Clayton Comments: The Borrower has an overall good credit history. No derogatory credit. No public record findings.

26508883

XXXXXX

QM: Safe Harbor

Compliance

Compliance Manual

Satisfied

CMPMAN2990

1003 - Final Application is not Accurate

Address on final 1003 does not match the revised legal address of XXX

9/12/18 - Lender response - Agree that the address on the 1003 does not match the address used at time of loan consummation, however these two documents do not always coincide. On non-table funded loans, the Correspondent prepares the final 1003 that is signed by the borrower, which, if underwritten by XXX, may not contain the exact information used by the underwriter. The loan was decisioned utiilizing the same address that is reflected on the closing documents. See attached documentation to support the address reflected on the loan application is for the subject property. 9/14/18 - Clayton - Provide copy of Final application with address of XXX. 10/11/18 - Lender response - attached is revised address on the 1003. 10/11/18 - Lender provided correct proeprty address on 1003.

9/13/18 - Exception remains.10/11/18 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1737: LTV below guideline requirements
- Clayton Comments: Max LTV 80% current LTV 75%

CFCFS2860: Good credit history
- Clayton Comments: No history of late payments per credit report.

CFCFS1745: Significant total monthly debt reduction
- Clayton Comments: Borrower reducing current monthly payments.

26508883

XXXXXX

QM: Safe Harbor

Compliance

Federal Consumer Protection

Satisfied

CMPFDCP2143

TILA - Prohibited Comp to Broker by both borrower and 3rd Party

Appraisal fee is paid to broker.

10.11.18 Lender provided PC CD dated 10.3.18 correcting issue

10.12.18 Exception Satisfied

(No Data)

Not Applicable

26508883

XXXXXX

QM: Safe Harbor

Compliance

Right of Rescission

Satisfied

CMPROR1909

Incorrect ROR Form Used - H8 Form Used in Refinance With Original Creditor

HO8 in file.

9.6.18 Lender response; The form provided is substantially similar to the H-9 form. The form used is acceptable. Clayton Response; H8 form states "Entering into a mortgage" H9 states "extending credit previously given to you". Forms are not the same. Exception Remains

9.7.18 Exception Remains

(No Data)

Not Applicable

26508883

XXXXXX

QM: Safe Harbor

Property Valuations

Appraisal

Satisfied

PRVAAPPR119

Appraisal documentation does not support occupancy

Appraisal states occupancy as Vacant however loan is presented as Cash Our Refi on Primary Residence. (Appraisal interior photographs do appear to support the property as occupied but page 1 indicates vacant)

9/14/18 - Lender provided corrected appraisal showing Owner occupied.

9/17/18 - Exception satisfied.

(No Data)

Not Applicable

26508883

XXXXXX

QM: Safe Harbor

Property Valuations

Appraisal

Satisfied

PRVAAPPR3116

Missing updated valuation

Missing 3rd party valuation supporting the appraised value of $625,000.

9/20/18 - Received valuation $625,000. 0% variance.

9/21/18 - Exception satisfied.

(No Data)

Not Applicable

26508459

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID5019

TRID - Closing Disclosure; Optional designation missing from optional insurance product

TRID - Closing Disclosure; Optional designation missing from optional insurance product: Required due to fee is being paid by borrower.

8.28.18 Lender provided PC CD dated 8.24.18 that is still missing "optional" from Home Warranty in section H Other Costs. Clayton response; Exception remains 9.17.18 Lender provided PC CD dated 8.24.18 that does contain the word optional for Home Warranty

8.29.18 Exception remains9.18.18 Exception Satisfied

Non-Numeric

Not Applicable

CFCFS1735: Co-Borrower has significant time at current job
- Clayton Comments: Co-borrower has been employed with current employer for over 10 years 4 months.

CFCFS1736: Significant time at current residence
- Clayton Comments: Borrowers have resided at the current primary residence for 12 years.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Qualifying credit score of 814 exceeds the minimum required credit score of 720 by 90 points.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Total $25,106.88 reserves required. Verified $251,049.54 or 60.00 month reserves

26508594

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

Seller CD reflects RE Commission fee for $21057 in section H not disclosed on Borrowers Final CD. Provide a revised CD that shows seller paid RE Commission Fee in Section H other cost section. Revised CD and LOX to borrower

4.22.19 Lender response; Seller Fees disclosed on the Seller CD are fees required to be paid by the seller as part of their transaction and is not required to be disclosed on the Buyer's CD. Clayton response; Seller-paid fees are required to be disclosed on page 2 of the borrowers CD. Exception remains

4.23.19 Exception remains

Hybrid

Not Applicable

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI is 36.57%; guideline maximum is 43%.

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower has been XXX Employed for 19 years.

26508594

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3476

TRID - Written List of Providers not provided or untimely

Written List of Providers not provided

4.22.19 Lender provided SPL dated 3 days from application date

4.23.19 Exception Satisfied

(No Data)

Not Applicable

26508707

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3626

TRID - CD: Loan consummated before end of waiting period

Lender to Provide evidence that the initial CD 8/6/18 was received by the borrower no less than 3 business days prior to closing.

9.27.18 Lender provided disclosure history showing CD 8/6/18 acknowledged on 8/6/18

9.28.18 Exception Satisfied

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit score 772. Min 680.

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower with current employer 7 years 7 months.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI 33.48%. Max 43%.

26508687

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3476

TRID - Written List of Providers not provided or untimely

Written List of Providers not provided or untimely

8.16.18 Lender provided SPL dated 6/20/18 Exception Satisfied

8.17.18 Exception Satisfied with delivery of SPL

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Borrower has verified cash reserves of $53,506.62; 14.89 months PITIA.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI of 26.12. Max 43%.

26508687

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3676

TRID - CD: Ten percent tolerance fee or fees increased at or prior to closing without a valid reason or not timely disclosed; refund required within 60 days of consummation.

Ten percent tolerance of $2562.80. Please provide SPL. Additional conditions may apply after receiving SPL.

8.16.18 Lender response; Disagree - borrower chose own provider not listed on SPL, therefore all fees are excluded from testing. Recording fee disclosed accurately and does not result in a 10% variance violation.

8.17.18 Exception Satisfied with delivery of SPL

(No Data)

Not Applicable

26508504

XXXXXX

QM: Safe Harbor

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Reserves $322,716.91; 42.75 months reserves. 6 months required for subject and 6 months for REO.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Minimum Credit score 720 current credit score 797

CFCFS2860: Good credit history
- Clayton Comments: Per credit report, no history of late payments

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower in same profession 15 years.Co-borrower in same profession 15 years.

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower with same employer 5 years 6 months.

26508508

XXXXXX

QM: Safe Harbor

Credit

Assets

Satisfied

CRDAST2354

Asset Verification In File is Incomplete Per Requirements

1) Missing proof Earnest money check XXX in the amount of $29,000 dated 7/10/18 has cleared.

9/14/18 - Lender response - uploaded evidence emd check in question cleared.

9/17/18 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit score 760 exceeds guidelines of 720

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Verified reserves $286,835.85, Subject reserves $7747.89 x 9=$69,731.01, XXX $1674 x6=$10,044

CFCFS1740: Mortgage payment history exceeds guidelines
- Clayton Comments: 0 x 30 mortgage history for more than 24 months.

26508648

XXXXXX

QM: Safe Harbor

CFCFS1736: Significant time at current residence
- Clayton Comments: The borrowers resided at the departing residence for 15 years.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: The borrowers qualifying credit score is 765. The minimum required score is 680.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: No minimum reserves required. Verified $113,215.89 or 31.59 months reserves.

26508651

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

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.

Missing verification of Taxes, Insurance and HOA dues for XXX XXX CA.

8/27/18 - Lender provided documentation to verify PITIA $2498.92.

8/28/18/ - Exception satisfied.

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Assets: Borrowers have $50,760.83 iin reserves; 9.73 months PITI. Guidelines require 6 months for subject ($5,215.80 x 6 =$31,294); an additional 2 months reserves required for each additional REO ($2,507.25 *2=$5014.5) Total required reserves are $36,308.50.

26508651

XXXXXX

QM: Safe Harbor

Credit

DTI

Satisfied

CRDDTI2540

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

Missing verification of Taxes, Insurance and HOA dues for XXX XXX CA.

8/27/18 - Lender provided documentation to verify PITIA $2498.92.

8/28/18/ - Exception satisfied.

(No Data)

Not Applicable

26508743

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

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.

Missing 2 years tax transcripts for B2. Transcripts received are for B1 only.

8/21/18 - Lender provided updated AUS. 8/22/18 - Clayton - Lender removed co-borrower income, tax transcripts no longer required.

8/22/18 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Verified reserves $49,855.71; 13.68 months exceed DU required reserves of $0.00.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV of 54.26% is 30.74 points below maximum allowed LTV of 85%.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Qualifying credit score of 788 exceeds required score of 680 by 108 ponts.

26508743

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

Refers to all CDs: , Other Costs section F Prepaids for Homeowner's Insurance Premimum are missing the number of months the premium covers.Requires corrected PCCD, LOX and verification sent to borrower.

8.27.18 Lender provided ; PC CD dated 8.20.18 that includes the amount of months for HOI. In section F prepaid section. LOX and verification attached

8.28.18 Exception Satisfied

Hybrid

Not Applicable

26508743

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3554

TRID - LE delivered only via e-mail but there is no prior e-sign consent in file; by regulation, LE must be treated as not delivered

The LE was issued on 06/25/2018 and was electronically signed by the borrower. The loan file does not contain a consent to electronically delivery signed by the borrower. Must be treated as NOT delivered.

8.27.18 Lender provided E Consent acknowledged by the borrowers on 6/25/18

8.28.18 Exception Satisfied

(No Data)

Not Applicable

26508743

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3600

TRID - CD delivered only via e-mail but there is no prior e-sign consent in file; by regulation, CD must be treated as not delivered

The initial CD was issued on 07/18/2018 and was electronically signed by the borrower. The loan file does not contain a consent to electronically delivery signed by the borrower. Must be treated as NOT delivered.

8.27.18 Lender provided E Consent acknowledged by the borrowers on 6/25/18

8.28.18 Exception Satisfied

(No Data)

Not Applicable

26508743

XXXXXX

QM: Safe Harbor

Credit

Application

Satisfied

N/A

CRDAPP130

Application is incomplete

Lender removed Co-borrower income. Please provide updated Final Application and Transmittal Summary to match DU approval #5.

8/23/2018: Lender response -Uploaded the updated 1003 & 1008 removing the income from the co-borrower. (FE)

8/27/18 - Exception satisfied.

(No Data)

Not Applicable

26508743

XXXXXX

QM: Safe Harbor

Credit

Income/Employment

Satisfied

CRDINC2408

Income verification does not meet guidelines

Missing 2 years tax transcripts for B2. Transcripts received are for B1 only.

8/21/18 - Lender provided updated AUS. 8/22/18 - Clayton - Lender removed co-borrower income, tax transcripts no longer required.

8/22/18 - Exception satisfied. Added new exception CRDAPP130

(No Data)

Not Applicable

26508920

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

CD 7.20.18 Other Costs section, Field F: HOI Is missing payee name, satisfied on subsequent CD

(No Data)

Hybrid

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Representative credit score 792. Minimum credit score for this program is 720.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV 45.47%. Max LTV for this program is 80.00%

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower in his profession for 13 years.

26508920

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3626

TRID - CD: Loan consummated before end of waiting period

Missing acknowledgment of receipt of CD 3 days prior to consummation

9.6.18 Lender provided Disclosure Management that shows CD 7/20/18 ACKNOWLEDGED on 7/20/18

9.7.18 Exception Satisfied

(No Data)

Not Applicable

26508848

XXXXXX

QM: Safe Harbor

Compliance

RESPA

Satisfied

CMPRESPA2698

RESPA - List of homeowners counseling organizations not in file

The List of Homeowners Counseling Organizations is missing from the loan file.

8.28.18 Lender provided HOC dated 7/6/18

8.29.18 Exception satisfied

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit score 771 exceeds 760 score requirement

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI 38.96% below 43% score requirement

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV 73.58% max 85%

26508460

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3476

TRID - Written List of Providers not provided or untimely

Written List of Providers not provided. Please provide

4.25.19 Lender provided SPL dated 12/15/17

4.25.19 Exception Satisfied

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: 793/793 Credit Scores, 720 score required.

CFCFS1735: Co-Borrower has significant time at current job
- Clayton Comments: 28 years with the same employer.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Post-Closing Reserves $924,591.27 = 243 months of PITIA.

26508517

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4219

TRID - Closing Disclosure: Dollar amount disclosed incorrectly or contains an unexpected value

CD 8/6/2018 and 8/9/2018 Calculating cash to close table value for Total Closing Costs (J) and Cash to Close in the LE column were not rounded to the nearest dollar. Corrected by PCCD 8/16/2018.Satisfied.

(No Data)

9/5/2018: Exception satisfied.

Numeric

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Assets: Reserves: $314,233.59; Reserves Required $83,736 (6 months x Subject $7551 = $45306) + (6 months x Departing Residence Pending Sale $38,430 (6 x 6405). Purchase contract in file for departing residence.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: The maximum loan to value is 80%. The borrowers loan to value is 62.5%.

26508517

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4283

TRID - CD: The value for Deposit in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE

CD 8/6/2018 and 8/9/2018 Calculating Cash to Close table LE column of the GRID does not match the last LE issued 7/6/2018. Corrected by PCCD 8/16/2018.Satisfied.

(No Data)

9/5/2018: Exception satisfied.

Non-Numeric

Not Applicable

26508517

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3554

TRID - LE delivered only via e-mail but there is no prior e-sign consent in file; by regulation, LE must be treated as not delivered

LE 6/27/2018 was electronically signed; file is missing prior e-consent.

9.12.18 Lender provided E Consent acknowledged by borrower

9.13.18 Exception satisfied

(No Data)

Not Applicable

26508724

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

CD 8.17.18 Other Costs, section E: Mortgage/Deed portion of recording fees are required to be itemized

9.13.18 Lender Provided PC CD dated 9.12.18 that itemizes the Mortgage/Deed portion of recording fees

9.14.18 Exception Satisfied

Hybrid

Not Applicable

CFCFS1737: LTV below guideline requirements
- Clayton Comments: The borrowers LTV is 76.70%; the maximum allowed per guidelines is 80%.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: The borrowers credit score is 795. The minimum required per guidelines is 720.

26508724

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3554

TRID - LE delivered only via e-mail but there is no prior e-sign consent in file; by regulation, LE must be treated as not delivered

Please provide eConsent for all LE's as they are all esigned.

9.6.18 Lender provided E Consent acknowledged by borrower 6/28/18

9.7.18 Exception Satisfied

(No Data)

Not Applicable

26508724

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3600

TRID - CD delivered only via e-mail but there is no prior e-sign consent in file; by regulation, CD must be treated as not delivered

Please provide eConsent for all CD's as they are all esigned.

9.6.18 Lender provided E Consent acknowledged by borrower 6/28/18

9.7.18 Exception Satisfied

(No Data)

Not Applicable

26508793

XXXXXX

QM: Safe Harbor

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been XXX for 30 years

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI is 23.52%, max per guidelines is 43.00%.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: 743 qualifying score. Min required per guidelines is 720.

26508512

XXXXXX

QM: Safe Harbor

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been with his current Employer XXX for 28.2 years

CFCFS1736: Significant time at current residence
- Clayton Comments: Borrower has lived in and owned his current residence for 22 +5 years

CFCFS1740: Mortgage payment history exceeds guidelines
- Clayton Comments: Mortgage payment history of 65 months exceeds guidelines of 24 months

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI 34.50% is below the guideline requirement of 43%

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV 34.29% is below the guideline requirement of 85%

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Verified cash reserves exceed 207 months

26508505

XXXXXX

QM: Safe Harbor

Compliance

Compliance Manual

Satisfied

CMPMAN2956

Missing disclosure

Final closing disclosure signed 8/1/2018 missing from file. New exceptions may open once input.

9.12.18 Lender provided missing final CD dated 7.31.18 signed 8.1.18

9.13.18 Exception Satisfied

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: FICO 801; minimum per guidelines 720

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV 51.42%; max per guidelines 80%

26508505

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID5019

TRID - Closing Disclosure; Optional designation missing from optional insurance product

Closing Disclosure; Optional designation missing from optional insurance product Home Warranty Fee paid by borrower not listed as optional. Please provide a revised CD that includes the word optional to home warranty. Revised CD LOX to borrower

9.6.18 Lender provided PC CD dated 9.5.18 that includes optional for home warranty

9.7.18 Exception Satisfied

Non-Numeric

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: FICO 801; minimum per guidelines 720

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV 51.42%; max per guidelines 80%

26508608

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

Seller CD reflects RE Commission for the buyer and the seller for $17400 and Owners title insurance for $2157.85 paid by the seller in Section H not disclosed on the Borrowers Final CD

4.22.19 Lender response; Seller Fees disclosed on the Seller CD are fees required to be paid by the seller as part of their transaction and is not required to be disclosed on the Buyer's CD. Clayton response; Seller-paid fees are required to be disclosed on page 2 of the borrowers CD. Exception remains

4.23.19 Exception remains

Hybrid

Not Applicable

CFCFS1737: LTV below guideline requirements
- Clayton Comments: 80% LTV, maximum LTV 85%

CFCFS1740: Mortgage payment history exceeds guidelines
- Clayton Comments: 37 months mortgage payments made as agreed.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: 778 Credit Score, minimum credit score 680.

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: 10 Years 7 months with the same employer.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Post-Closing Reserves $121,889.18 = 36.71 months of PITIA.

26508608

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3626

TRID - CD: Loan consummated before end of waiting period

Missing acknowledgment of receipt of CD 7.17.18 received 3 days prior to consummation

4.22.19 Lender response; Lender provided disclosure tracking showing CD 7.17.18 Acknowledged on 7.17.18

4.23.19 Exception Satisfied

(No Data)

Not Applicable

26508555

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

CD: 08/23/2018-1, FINAL CD: 08/31/2018-1 and POST CD: 09/06/2018-1,Section: Other Costs: Field (F) HOI is missing Payee Letter of Explanation; Provide CD with correct information within 60 days of consummation

10.3.18 Lender Provided PC CD dated 10/3/18 that includes the payee for HOI in other costs section F

10.4.18 Exception Satisfied

Hybrid

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Borrowers have reserves of $233,166.36; 63.54 months PITIA.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Qualifying credit score of 771 exceeds required score of 680 by 90 points.

26508597

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3626

TRID - CD: Loan consummated before end of waiting period

Missing acknowledgment of receipt of CD 7.20.18 3 days prior to consummation 7.XX.18

4.22.19 Lender provided ; disclosure tracking showing cd 7.20.18 acknowledged on 7.20.18

4.23.19 Exception Satisfied

(No Data)

Not Applicable

CFCFS1737: LTV below guideline requirements
- Clayton Comments: 58.36% LTV is below guideline max of 75%

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: The median credit score is 787 and exceed g/l minimum of 720.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: 35.97% is below g/l max of 43%

26508563

XXXXXX

QM: Safe Harbor

Compliance

Federal Consumer Protection

Active

CMPFDCP4569

NMLS License verification found Loan Originator Name does not match ID but can identify that the LO is the same

Loan documents shows the loan originator as XXX. XXX search has name listed as XXX. He has been active with XXX since 4/28/03.

9/18/18 - Lender response - Per findings, LO name is XXX on application, XXX verifies LO is XXX and he is with the company on the application.

9/18/18 - Exception remains as Clayton considers minimal NMLS name discrepancies as non-material that must be reported vs. material when variation appears as a possible different person.

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Verified $821,544.36 in liquid assets minus funds to close of $598,280.89 = $223,263.47 / pitia $8,725.66 = 25.58 months of reserves. Guidelines require 9 months.

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has 8 years 2 months on current job with 20 years in his profession.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Middle fico credit score of 801 exceeds minimum score of 720 by 81 points.

CFCFS1736: Significant time at current residence
- Clayton Comments: Borrowers have lived in current home for 10 years.

26508619

XXXXXX

QM: Safe Harbor

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Qualifying credit score is 742. Minimum credit score required per guidelines is 720.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Borrower has $140,989.75 in verified post clsg assets (29.52 Months PITIA). Months required: 24 months reserves required. 6 for subject ($4714.56 X 6=$28,287.36) and 6 months for each add'l financed property (XXX $1543 X 6=$9258, XXX $1325 X 6=$7950, and XXX $2581 X 6=$15,486) for a total of $60,681 in required reserves

26508903

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4289

TRID - CD: The difference between the adjustments and credits per sections K and L does not equal the Adjustments and Other Credits in the Calculating Costs to Close section

CD dated 08/10/2018: Summaries of Transactions Adjustments and Other Credits Calculation; ($145,137.55); (Final Funds Deposit $143,094.98 was added) and Calculating Cash to Close; (Final) Adjustments and Other Credits Value-$2,042.57 does not match.

9.10.18 Lender provided PC CD 8.10.18 that shows funds deposit not part of adjustments and credits

9.11.18 Upon further senior review Exception Satisfied

Numeric

Not Applicable

CFCFS1744: DTI below guideline requirement
- Clayton Comments: 28.76% Max 43%

CFCFS2854: Significant time in profession
- Clayton Comments: 15 years in same profession

CFCFS1739: Postive mortgage payment history
- Clayton Comments: 16 mos. mtg. history for other REO. No late payments. 0X30 days.

26508903

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3626

TRID - CD: Loan consummated before end of waiting period

Final LE dated 7.31.18 is outside of 3 day waiting period of initial CD dated 8.3.18.

9.10.18 Lender provided email acknowledged by borrower LE 7.31.18 received 7.31.18

9.11.18 Exception Satisfied

(No Data)

Not Applicable

26508780

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

Cd 9/7/18: Loan costs screen: Sectino B: Seller Cd reflects seller paid fees in section B not reflected on borrower Cd.Cd 9/7/18: Other costs screen: Section E: Seller Cd reflects seller paid fees in section B not reflected on borrower Cd.Cd 9/7/18: Other costs screen: Section H: Seller Cd reflects seller paid fees in section B not reflected on borrower Cd.Provide a revised CD that includes seller paid fees for section B, E and H . Revised CD and LOX to borrower

4.22.19 Lender response; Seller Fees disclosed on the Seller CD are fees required to be paid by the seller as part of their transaction and is not required to be disclosed on the Buyer's CD. Clayton response; Seller-paid fees are required to be disclosed on page 2 of the borrowers CD. Exception remains

4.23.19 Exception Remains

Hybrid

Not Applicable

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI 23.17% below guideline maximum of 43%

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: 741 representative score exceeds guideline of 680.

26508780

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3626

TRID - CD: Loan consummated before end of waiting period

Please provide evidence that initial CD dated 8/31/18 was acknowledged by borrowers 3 days prior to consummation date of 9/XX/18.

4.22.19 Lender response; lender provided disclosure tracking that shows borrower acknowledged cd 8/31/18 on 8/31/18

4.23.19 Exception Satisfied

(No Data)

Not Applicable

26508629

XXXXXX

QM: Safe Harbor

Compliance

Compliance Manual

Satisfied

CMPMAN2956

Missing disclosure

Missing Final CD Signed day of Consummation 8/XX/18.

9.4.18 Lender provided Final Signed CD

9.5.18 Exception Satisfied

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: The lender minimum credit score is 720 and the borrowers qualifying score is 767.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: Max DTI 43% Current DTI 34.71%

CFCFS1742: Consumer credit history exceeds guidelines
- Clayton Comments: Credit report in file shows no history of late payments, collections or judgments.

26508629

XXXXXX

QM: Safe Harbor

Credit

Assets

Satisfied

CRDAST115

Cash reserves do not meet guidelines

1.Assets: Reserves $25,386.96 (24,558.32 + 828.64 refunded from closing), Reserves Required 6 months subject PITIA $3998.38 = $23984.28 + 6 Months other $1922.78= $11536.68= $35520.96 BORROWER IS SHORT RESERVES OF $10,134.00 Note: Life Insurance policies were valued at Surrender Value. 2. Missing 2 months statements for XXX XXX . Statements in file dated 5/25-7/16.

8/28 1) Disagree. Total funds verified $154,588.27 - 117736.71 deposit to escrow = 36851.56 - cash back to borrower $828.64 = reserves of $36022.92 ((XXX XXX 6/XX $9733.01 + NA XXX 7/XX $7885.34 + NA XXX 7/XX $8077.77 + XXX XXX 7/XX $78349.35 + XXX XXX 7/XX $42197.45 + XXX 401k ($9272.62 x 10% penalty per terms =) $8345.35)) 2) Agree. Missing 2 months statements for XXX XXX . Statements in file dated 5/25-7/16. Please see the attached April XXX statement. 8/29/18 - Clayton - Borrowers now have sufficient reserves after receipt of XXX XXX.

8/29/18 - Exception satisfied.

(No Data)

Not Applicable

26508629

XXXXXX

QM: Safe Harbor

Credit

Assets

Satisfied

CRDAST3078

Insufficient # of months cash reserves for PITI per guideline requirements

Assets: Reserves $25,386.96 (24,558.32 + 828.64 refunded from closing), Reserves Required 6 months subject PITIA $3998.38 = $23984.28 + 6 Months other $1922.78= $11536.68= $35520.96 BORROWER are SHORT RESERVES OF $10,134.00

8/28/218 - Lender response - Disagree. Total funds verified $154,588.27 - 117736.71 deposit to escrow = 36851.56 - cash back to borrower $828.64 = reserves of $36022.92 ((XXX XXX 6/XX $9733.01 + NA XXX 7/XX $7885.34 + NA XXX 7/XX $8077.77 + XXX XXX 7/XX $78349.35 + XXX XXX 7/XX $42197.45 + XXX 401k ($9272.62 x 10% penalty per terms =) $8345.35)) 8/29/18 - Clayton - Borrowers now have sufficient reserves after receipt of XXX XXX.

8/29/18 - Exception satisfied.

(No Data)

Not Applicable

26508716

XXXXXX

QM: Safe Harbor

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Verified cash reserves of $61,095.61 or 13.93 months PITIA

CFCFS2854: Significant time in profession
- Clayton Comments: B1 in same profession 10 years

26508826

XXXXXX

QM: Safe Harbor

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been XXX-employed for 17 years.

CFCFS1739: Postive mortgage payment history
- Clayton Comments: 15 mos. credit hist. reported. 0X30 days. Paid as agreed.

CFCFS2860: Good credit history
- Clayton Comments: All accts. are paid as agreed. No public records.

26508567

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

Seller CD reflects Seller paid RE commission for $38018.75 for both buyer and seller not disclosed in Section of Borrowers CD

4.23.19 Lenders response; Seller Fees disclosed on the Seller CD are fees required to be paid by the seller as part of their transaction and is not required to be disclosed on the Buyer's CD. Seller CD has been provided. Clayton response; Seller-paid fees are required to be disclosed on page 2 of the borrowers CD. Exception Remains

4.23.19 Exception remains

Hybrid

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit score 788. Minimum credit score for this program is 720.

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower with current employer for 23 years.

CFCFS1735: Co-Borrower has significant time at current job
- Clayton Comments: Co borrower with current employer for 20 years.

26508567

XXXXXX

QM: Safe Harbor

Credit

Income/Employment

Active

CRDINC2496

Verbal verification of employment completed outside the stated requirements and/or after closing/funding

Lender approved exception for VVOE obtained after closing date but prior to funding date.

4/23/19 - Lender response - See attached XXX Underwriting Management Decision Checklist showing the Approval.Clayton - The VVOE for CB is dated after loan disbursement date. It is dated 8/13/18. Disbursement date is 7/27/18 . Remains non-material.

4/24/19 - Exception remains.

(No Data)

Not Applicable

26508681

XXXXXX

QM: Safe Harbor

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Borrower has $53,021.98 reserves after closing. 12.12 months PITIA. Per guidelines, 6 months PITIA is required.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: The median credit score of 779 exceeds guidelines of 720.

26508491

XXXXXX

QM: Safe Harbor

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: 797 qualifying score. Min required per guidelines is 720.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI is 37.39%, max per guidelines is 43%.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Verified liquid assets of $769,624.95 using 2 months checking/savings account statements, 2 months brokerage statements and 2 months Retirement statements. Post cash reserves in the amount of $504,752.65; Subject PITI is $5,069.20; REO PITI is $2105.30; 70.35 months PITI in reserves.

26508569

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3626

TRID - CD: Loan consummated before end of waiting period

No Confirmation of Receipt of Initial CD 8/7/18 or 3 Days Prior to Consummation XXX

8.24.18 Lender provided ; Disclosure tracking that shows CD 8/7/18 was acknowledged on 08/07/2018

8.25.18 Exception Satisfied

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Verified cash reserves exceed 25 months

CFCFS1740: Mortgage payment history exceeds guidelines
- Clayton Comments: Verification of rent 3.2 years exceeds guidelines of 2 years

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been with same Employer XXX for 11 + years

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower has been an XXX for 10 + years

CFCFS2860: Good credit history
- Clayton Comments: Credit report shows 0x30 for 180 months

26508891

XXXXXX

QM: Safe Harbor

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: The borrower has been employed by XXX for 12 years.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: Maximum LTV is 80%, subject transaction is 50%

CFCFS1740: Mortgage payment history exceeds guidelines
- Clayton Comments: Borrowers mortgage with XXX has been paid as agreed for 67 months.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Minimum credit score is 720, borrowers score is 785.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Borrower has cash reserves of $285,911.92.

26508834

XXXXXX

QM: Safe Harbor

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower has significant time in profession of 10 years

CFCFS1739: Postive mortgage payment history
- Clayton Comments: Positive mortgage payment history of 26 months no delinquent payments

26508556

XXXXXX

QM: Safe Harbor

CFCFS1744: DTI below guideline requirement
- Clayton Comments: Guidelines allow for a debt ratio of up to 40%; subject transaction has a debt ratio of 21%.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Guidelines require a minimum score of 700; subject has a qualifying score of 789.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: Guidelines allow for an LTV of up to 70%; subject transaction has an LTV of 27.180

26508708

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

PCCD 8.15.18 Other Costs section Field E: Mortgage/Deed portion of recording fees are required to be itemized.

(No Data)

Hybrid

Not Applicable

CFCFS1736: Significant time at current residence
- Clayton Comments: Borrowers have resided in the subject property for 15 years.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV is 54.25% is below guideline max of 80%

CFCFS2854: Significant time in profession
- Clayton Comments: Both borrowers have been in their current profession for 35 years.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Borrowers have $69,758.78 reserves after closing. 17.66 months PITIA. Per guidelines, 6 months PITIA is required on the subject and 6 months PITIA for each additional financed property. ($3,950.52 * 6 = $23,703.12) ($2,079.39 * 6 = $12,476.34) ($2,255.73 * 6 = $13,534.38) Total reserves required = $49,713.84

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Rep FICO of 736 exceed guideline requirement of 720 for XXX Jumbo Fixed dated 09.29.17

26508708

XXXXXX

QM: Safe Harbor

Credit

Credit/Mtg History

Satisfied

CRDCRMH123

No evidence of required debt payoff

Provide copy of the executed CD for the cash out refinance of XXX CA XXX evidencing the payoff of XXX loan XXX and XXX; XXX account XXX, XXX account XXX, XXX account XXX, XXX account XXX, XXX account XXX, XXX account XXX, and XXX account XXX.

4/22/19 - Lender response - See attached final Closing Disclosure for the refinance of XXX CA XXX evidencing the payoff of XXX loan XXX and XXX; XXX account XXX, XXX account XXX, XXX account XXX, XXX account XXX, XXX account XXX, XXX account XXX, and XXX account XXX.

4/23/19 - Exception satisfied.

(No Data)

Not Applicable

26508453

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

N/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.

DTI of 43.51% exceeds program maximum of 43%. DTI of 43.51% is due to income of $23820.77 is lower that the lender income because the lender used a higher base income of $4307.28 which is not supported by the bi-weekly base calculations of $3927.47 and in addition the interest and dividend income of $2363 is lower based on the supported assets in file. Lender used full amount from Schedule B totaling $2912.54.

4/25/19 - Lender response - Disagree. The attached 1008 contains the income used to underwrite the loan at a 42.353% debt ratio. The co-borrower's total employment income of $4448.38 is the sum of $3927.50 in base income, OT, Bonus and Commission less Unreimbursed Expenses (see Income Worksheet). The $2893.31 in monthly DIV/INT income is supported by the XXX and XXX statements in the file. Clayton's Loan Detail report indicates only the Vanguard assets were considered. The attached applicable pages from the XXX statement document an additional $575.52/month. Adding the $2363 from XXX and the $575.52 from XXX totals $2938.52/month which is greater than the amount used to qualify. Clayton - Appendix Q - B. INVESTMENT AND TRUST INCOME. 1. Analyzing Interest and Dividends. a. Interest and dividend income may be used as long as tax returns or account statements support a two-year receipt history. This income must be averaged over the two years. Cannot use XXX Div/Int as borrower has not received for the past two years. 4/26/19 - Lender response -Disagree: Interest/ Dividend income was calculated using 2016 + 2017/ 24 months for $2893.31. Total income $24077.52 (B $16585.83 + Co B $7341.69). Income was calculated correctly. P & I is $4425.90 + Ins $279.05 + Taxes $2728.72= $7433.67 + REO liability $2419.89 + Liabilities $344.00= $10197.56: The difference in the DTI is due to the PITI payment. DTI is within guidelines.

4/26/19 - Exception remains.4/29/19 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: 806/791 Credit Scores, minimum requirement is 720.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV is 74.98%; max allowed per guidelines is 80%.

CFCFS2854: Significant time in profession
- Clayton Comments: The borrower has been in current profession for 30 years

26508453

XXXXXX

QM: Safe Harbor

Credit

DTI

Satisfied

CRDDTI105

Debt Ratio Exception 5% or Less

4/25/19 - Lender response - Disagree. The attached 1008 contains the income used to underwrite the loan at a 42.353% debt ratio. The co-borrower's total employment income of $4448.38 is the sum of $3927.50 in base income, OT, Bonus and Commission less Unreimbursed Expenses (see Income Worksheet). The $2893.31 in monthly DIV/INT income is supported by the XXX and XXX statements in the file. Clayton's Loan Detail report indicates only the XXX assets were considered. The attached applicable pages from the XXX statement document an additional $575.52/month. Adding the $XXX from XXX and the $575.52 from Fidelity totals $2938.52/month which is greater than the amount used to qualify. Clayton - XXX guidelines - Interest and dividend income may be used as acceptable stable income if it is properly documented and has been received for the past two years and is expected to continue to be received for a minimum of three years from the date of the mortgage application. An average of the income received for the past two years must be used to qualifying the borrower. Cannot use Fidelity Div/Int as borrower has not received for the past two years. 4/26/19 - Lender response -Disagree: Interest/ Dividend income was calculated using 2016 + 2017/ 24 months for $2893.31. Total income $24077.52 (B $16585.83 + Co B $7341.69). Income was calculated correctly. P & I is $4425.90 + Ins $279.05 + Taxes $2728.72= $7433.67 + REO liability $2419.89 + Liabilities $344.00= $10197.56: The difference in the DTI is due to the PITI payment. DTI is within guidelines.

4/26/19 - Exception remains. 4/29/19 - Exception satisfied.

(No Data)

Not Applicable

26508748

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

Seller CD reflects seller paid fees in Section H not listed on Borrowers Final CD (i.e. RE Commissions, Home Warranty, title fees, Owners title insurance)

4.23.19 Lender provided Seller Fees disclosed on the Seller CD are fees required to be paid by the seller as part of their transaction and is not required to be disclosed on the Buyer's CD. Clayton Response; Seller-paid fees are required to be disclosed on page 2 of the borrowers CD. Exception Remains

4.23.19 Exception Remains

Hybrid

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: 802/779 Credit Scores, minimum score is 720.

CFCFS1740: Mortgage payment history exceeds guidelines
- Clayton Comments: 29 months of mortgage payments made as agreed with no late payments.

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has 7 years with the same employer.

CFCFS1735: Co-Borrower has significant time at current job
- Clayton Comments: Borrower has 8 years with the same employer.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Reserves: $47,475.67; Reserves required. $21,532.68 ($3588.78 x 6 Months PITIA)

26508748

XXXXXX

QM: Safe Harbor

Credit

Income/Employment

Satisfied

CRDINC2496

Verbal verification of employment completed outside the stated requirements and/or after closing/funding

Per guidelines, VOE must be within 10 days before Note Date (XXX). Pre closing VOEs in file dated 7/17/18 and 7/20/18 for B1/B2. Guidelines does not affect QM status. Post VOEs dated 8/13/18 and 8/10/18 for B1 and B2.

4/22/19 - Lender response - This is not material. Although the Note date was XXX, the CD indicates the loan disbursed on XXX. The dates of the re-verifications would be considered prudent as both borrowers' employment was re-verified prior to disbursement. Clayton - VVOE prior to disbursement date this is acceptable.

4/23/19 - Exception satisfied.

(No Data)

Not Applicable

26508822

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3476

TRID - Written List of Providers not provided or untimely

The written list of service providers is not in the file.

9.5.18 Lender provided SPL dated 7/20/18

9.6.18 Exception Satisfied

(No Data)

Not Applicable

CFCFS1750: High potential for increased earnings
- Clayton Comments: Borrower 2 paystub reflects commission income not used, help to support additional income

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower has been in current profession for 10 years

26508822

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3676

TRID - CD: Ten percent tolerance fee or fees increased at or prior to closing without a valid reason or not timely disclosed; refund required within 60 days of consummation.

$2441.6 due to increase in title fees without a valid CoC. Requires CoC, corrected PCCD, copy of refund check, LOX and verification sent to borrower.

9.10.18 Lender provided Itemized Fee Worksheet that shows that Title Ins was included on LE under additional amounts

9.11.18 Exception Satisfied

(No Data)

Not Applicable

26508822

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3554

TRID - LE delivered only via e-mail but there is no prior e-sign consent in file; by regulation, LE must be treated as not delivered

All LEs were sent electronically; file is missing prior e-consent.

9.6.18 Lender provided acknowledged E Consent by boorower

9.7.18 Exception Satisfied

(No Data)

Not Applicable

26508831

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

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.

Missing VVOE for B1 dated within 10 business days of Note date 8/XX/18

4/24/19 - Lender response - The VVOE is attached.

4/25/19 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Assets:Calculated Assets of $141,588 with an effective amount totaling $141,588.00. Post close reserves of $23,045.93

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI of 31.99% below guideline requirement of 43%

26508831

XXXXXX

QM: Safe Harbor

Credit

Income/Employment

Satisfied

CRDINC2488

Verbal verification of employment missing

Missing VVOE for B1 dated within 10 business days of Note date 8/XX/18

4/24/19 - Lender response - The VVOE is attached.

4/25/19 - Exception satisfied.

(No Data)

Not Applicable

26508464

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4320

TRID - CD: The stated Closing Costs Financed (Paid from Your Loan Amount) amount in the CD Calculating Cash to Close section (Alt Version) does not equate to the amount based on the Reg's formula.

Final Cd 12/18/18: Calculating cash to close screen: Closing costs financed (Paid from your loan amount) final total of $17,094.82 does not match reviewed calculation total of $16,759. Lender includes cash to borrower in calculation. Please provide revised CD with the corrected closing costs financed . Revised CD and LOX to borrower

04.30.19 Agreed. This error did not affect the totals charged to theborrower. This is a clerical error which did not affect the timing, delivery,or other requirements imposed by 1026.19(e) or (f).

4/30/19 - Exception remains.

Numeric

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: 782 Credit Score, minimum required is 700.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Post-Closing Reserves $861,057.71 = 166.12 months of PITI.

26508464

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3626

TRID - CD: Loan consummated before end of waiting period

Please provide Initial Cd 12/17/18 and evidence that it was acknowledged by borrower 3 days prior to consummation date of 12/XX/18.

4.25.19 Lender provided affidavit confirming CD acknowledged on 12/17/18

4.25.19 Exception Satisfied

(No Data)

Not Applicable

26508464

XXXXXX

QM: Safe Harbor

Credit

Credit/Mtg History

Satisfied

CRDCRMH123

No evidence of required debt payoff

Provide the following: XXX Mortgage payoff demand, XXX Mortgage payoff demand and a current credit card statement for the XXX account being paid off.

4/25/19 - Lender provided Payoff for XXX, XXX and XXX statement.

4/26/19 - Exception satisfied.

(No Data)

Not Applicable

26508464

XXXXXX

QM: Safe Harbor

Credit

Income/Employment

Active

CRDINC2408

Income verification does not meet guidelines

Provide the 2016 1040 Tax Return Transcripts. Transcripts for year ending 2015 and 2017 were provided. A letter from the IRS was provided from the indicating borrower may have been a victim of identity theft for 2016. An IRS check for 2016 tax refund was also provided. Clayton considers non material based on evidence that the 2016 return was filed to support income.

4/24/19 - Lender response - The borrower was a victim of identity theft for tax year 2016 as evidenced by the IRS letter in the file. Therefore XXX Bank obtained the 2015 and 2017 IRS Tax Transcripts.

4/25/19 - Exception remains.

(No Data)

Not Applicable

26508464

XXXXXX

QM: Safe Harbor

Credit

Legal Documents

Satisfied

CRDLGL2642

Missing proof that HELOC has been paid and closed to future draws

Missing evidence that HELOC with XXX#XXX has been closed to future draws.

4/25/19 - Lender provided recorded Release Of Mortgage for XXX.

4/26/19 - Exception satisfied.

(No Data)

Not Applicable

26508464

XXXXXX

QM: Safe Harbor

Credit

Terms/Guidelines

Satisfied

CRDTER3124

Loan documents do not meet guideline requirements

Missing payoff demand statements for mortgages being paid off at closing for: XXXXXX

4/25/19 - Lender provided Payoff for XXX and XXX.

4/26/19 - Exception satisfied.

(No Data)

Not Applicable

26508522

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3626

TRID - CD: Loan consummated before end of waiting period

Please provide Initial Cd 9/7/18 and evidence that it was acknowledged by borrower 3 days prior to consummation date of 9/XX/18.

4.25.19 Lender provided Disclosure tracking that shows CD 9/7/18 acknowledged on 9/7/18

4.25.19 Exception Satisfied

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Verified post closing reserves of $88,784.33 exceeds requirement.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: Verified 35.20% DTI. Max allowed is 43%.

26508522

XXXXXX

QM: Safe Harbor

Credit

Income/Employment

Active

CRDINC2496

Verbal verification of employment completed outside the stated requirements and/or after closing/funding

The VVOE for B1 XXX-employment is not dated.

4/24/19 - Lender response - 4/24/2019: The risk of the VVOE not being signed is minimal and non-material. The Schedule C loss was used for qualifying so there is no additional risk.

4/25/19 - Exception remains.

(No Data)

Not Applicable

26508901

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4240

TRID - CD: The CD Calculating Cash to Close LE column (Alternative Version) total does not equal its component parts

PCCD 8.27.18_2 The CD Calculating Cash to Close LE column (Alternative Version) total does not equal its component parts. 19815- 19815 - 480185 = negative 480185 and lender has positive 480185

10.31.18 LenAgree with finding. This type of error would not mathematically effect disclosed totals charged to the borrower. Agreed; this is a clerical error. An error is clerical if it does not affect a numerical disclosure and does not affect the timing, delivery, or other requirements imposed by 1026.19(e) or (f).der response; Clayton Response; non material. Exception Remains

10.31.18 Exception Remains

Numeric

Not Applicable

CFCFS1736: Significant time at current residence
- Clayton Comments: Borrower has resided in his current Residence for 28 years.

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower has worked 38 years in his profession.

26508901

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4309

TRID - CD: The value for Cash to Close in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE

PCCD 8.17.18_ 2The value for Cash to close in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE 8.3.18. This is due to LE is on standard form and PCCD 8.27.18_2 is on Alternative

10.31.18 Exception Remains

Non-Numeric

Not Applicable

26508901

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4310

TRID - CD: The value for Funds for Borrower in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE

PCCD 8.17.18_ 2 The value for value for Funds for Borrower in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE 8.3.18. This is due to LE is on standard form and PCCD 8.27.18_2 is on Alternative

10.31.18 Exception Remains

Non-Numeric

Not Applicable

26508901

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4312

TRID - CD: The value for Total Payoffs and Payments in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE

PCCD 8.17.18_ 2The value for Total Payoffs and Payments in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE 8.3.18. This is due to LE is on standard form and PCCD 8.27.18_2 is on Alternative

10.31.18 Exception remains

Non-Numeric

Not Applicable

26508901

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4238

TRID - CD: The CD Calculating Cash to Close CD column total does not equal its component parts

post close cd 8/27/18_1 : calculating cash to close screen: cash to close le total and final total does not equal clayton calculation totals. Satisfied on post close cd 8/27/18_2

(No Data)

Numeric

Not Applicable

26508901

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4241

TRID - CD: The CD Calculating Cash to Close LE column total does not equal its component parts

PCCD 8.27.18_1 Calculating Cash to close section, Cash to close amount states $480185 however total is $19815. Only fee amount listed is $19815 - $0 =$19815, satisfied on PCCD 8.27.18_2

(No Data)

Numeric

Not Applicable

26508901

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4243

TRID - CD: The Cash to Close amount disclosed in the CD Summary of Transactions section does not equal its component parts

Post close cd 8/27/18 (1): Summaries of transaction screen: calculation section: cash to close total 60,532.67 does not equal clayton calculation total of (710.21). Satisfied on post close cd 8/27/18 (2).

(No Data)

Numeric

Not Applicable

26508901

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3478

TRID - Written List of Providers not compliant

Service provider list 7.12.18 does not list any services or providers

10.24.18 Lender provided Service Providers List with Servicers

10.25.18 Exception Satisfied

(No Data)

Not Applicable

26508901

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4252

TRID - CD: The Closing Costs Financed value in the Final column of the CD Calculating Cash to Close Table (Standard Version) is disclosed as a positive number

PCCD 08/27/2018-1, Section: Calculating Cash to Close, Field: Closing Costs Financed - Final, Value: 9905.42 and should be negative, satisfied on PCCD 8.27.18_2

(No Data)

Numeric

Not Applicable

26508901

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4281

TRID - CD: The value for Closing Costs Financed in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE

PCCD 8.27.18_1 The value for Closing Costs Financed in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE 8.3.18, satisfied on PCCD 8.27.18_2

(No Data)

Non-Numeric

Not Applicable

26508901

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4289

TRID - CD: The difference between the adjustments and credits per sections K and L does not equal the Adjustments and Other Credits in the Calculating Costs to Close section

PCCD 8.27.18_1 The difference between the adjustments and credits per sections K and L does not equal the Adjustments and Other Credits in the Calculating Costs to Close section , satisfied on PCCD 8.27.18_2

(No Data)

Numeric

Not Applicable

26508901

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4290

TRID - CD: Closing Costs total has at least one inconsistent value between the Costs at Closing Table, section J and the Calculating Cash to Close Table

PCCD 8.27.18_1 Closing Costs total has at least one inconsistent value between the Costs at Closing Table, section J and the Calculating Cash to Close Table Costs At Closing, Field: Closing Costs, Value: -9905.42Other Costs, Field: Total Closing Costs (Borrower-Paid) , Value: -9905.42Calculating Cash to Close, Field: Total Closing Costs (J) - Final, Value: 9905.42satisfied on PCCD 8.27.18_2

(No Data)

Numeric

Not Applicable

26508901

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

(No Data)

Hybrid

Not Applicable

26508901

XXXXXX

QM: Safe Harbor

Property Valuations

Appraisal

Satisfied

PRVAAPPR3116

Missing updated valuation

Missing property valuation supporting the appraised value of $625,000.00

10/25/18 - Received Valuation $ 625,000 0% variance.

10/25/18 - Exception satisfied.

(No Data)

Not Applicable

26508871

XXXXXX

QM: Safe Harbor

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit score of 749 exceeds guidelines.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI 24.56%. Max DTI for this program is 43.00%.

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower XXX employed with XXX for 20 years.

26508578

XXXXXX

QM: Safe Harbor

Credit

Income/Employment

Satisfied

CRDINC3204

Income Documentation Missing

Provide Clearer copy of B2 paystubs not legible. (additional conditions may apply).

9/4/18 - Lender response- Please see the attached income docs. 9/4/18 - Clayton - Lender provided paystubs for Co-Borrower 8/6/18 and 8/20/18. Pay stubs are after Note date. Provide clear copies of 5/18/18 and 6/5/18 paystubs that are in file.9/11/18 - Lender response - Please see the attached paystubs, WVOE, and Income Calculations. 9/11/18 - Clayton -Lender provided clear paystubs for 5/18, 6/5 and Written VOE.

9/4/18 - Exception remains.9/11/18 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit score 727 exceeds guidelines of 700

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Verified reserves $185,648.47, Required reserves $6567.80 x 6 =$39,406.80

CFCFS1740: Mortgage payment history exceeds guidelines
- Clayton Comments: 0 x 30 mortgage history

26508469

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

Final CD 10/2/18-2, Seller Paid Fees Disclosed on Seller CD in Sections E, F and H that are not Disclosed on Borrowers Final CD. Revised CD with seller paid fees required. Revised CDE and LOX to borrower.

04.30.19 Seller Fees disclosed on the Seller CD are fees required tobe paid by the seller as part of their transaction and is not required to bedisclosed on the Buyer's CD.

4/30/19 - Exception remains.

Hybrid

Not Applicable

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been with same employer for 10.2 years.

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower has been in same profession for 10 years.

CFCFS1747: Housing expense increase is 10% or less
- Clayton Comments: LTV 59.64% is 20.36% less than 80%.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Borrower's mid FICO score 785 is 65 points higher than 720.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI 33.24% is 9.76% less than 43%

26508469

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3626

TRID - CD: Loan consummated before end of waiting period

No Confirmation of Receipt of Initial CD 10/2/18-1 or Corresponding Doc Tracker 3 days prior to Consummation 10/XX/18.

4.25.19 Lender provided email confirmation that borrower acknowledged receipt of CD 10/2/18 on 10/2/18

4.25.19 Exception satisfied

(No Data)

Not Applicable

26508452

XXXXXX

QM: Safe Harbor

Compliance

Federal Consumer Protection

Active

CMPFDCP4569

NMLS License verification found Loan Originator Name does not match ID but can identify that the LO is the same

XXX License verification reflects XXX, XXX; loan documents reflects XXX.

9/25/18 - Lender response: The disclosed name and/or the combination of the disclosed name with NMLS ID are sufficiently distinct to enable a consumer to identify the MLO.

9/25/18 - Exception remains non-material.

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: $1,084,832.20 in verified reserves, 231.17 PITI

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: 802 credit score exceeds guideline minimum of 720 by 82 points.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: 60% LTV is below guideline maximum of 80%.

26508756

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID3706

TRID - Curable Issue #1 related to the Closing Disclosure in file

Final CD 08/29/2018 does not lists seller paid fees; however the seller CD lists seller paid fees.

4.23.19 Lender response; The sellers transaction is not required to be disclosed on the buyers CD. All seller charges are disclosed on the seller CD. Clayton response; Seller-paid fees are required to be disclosed on page 2 of the borrowers CD. Exception remains

4.24.19 Exception Remains4.24.19 Upon further review and guidance from Clayton Compliance this exception is non material and downgraded

(No Data)

Not Applicable

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been Employed with the current employer for 14 years.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI is 27.03%; guideline maximum is 43%.

26508915

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

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.

Missing documentation to verify the balance, payment and mortgage rating for the borrowers second mortgage with XXX for the departing residence.

10/24/18 - Lender provided copy of HELOC monthly statement, disbursement schedule and HELOC Agreement. Opened 8/24/18. Clayton- Balance $78,400, payment $135.93, 1st payment due 10/1/18.

10/24/18 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Remaining post close (non liquid) reserves $112,491.45 = 35 months PITI.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Minimum score 680, borrowers scores 795/805

26508915

XXXXXX

QM: Safe Harbor

Credit

DTI

Satisfied

CRDDTI2540

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

Missing documentation to verify the balance, payment and mortgage rating for the borrowers second mortgage with XXX for the departing residence.

10/24/18 - Lender provided copy of HELOC monthly statement, disbursement schedule and HELOC Agreement. Opened 8/24/18. Clayton- Balance $78,400, payment $135.93, 1st payment due 10/1/18

10/24/18 - Exception satisfied.

(No Data)

Not Applicable

26508588

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3626

TRID - CD: Loan consummated before end of waiting period

Need proof initial CD 8/7/2018 was received by borrower 3 days before consummation date of 8/XX/2018.

8.29.18 Lender provided Disclosure tracking showing CD 8/7/18 acknowledged on 8/7/18

8.30.18 Exception satisfied

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Verified cash reserves of $111,857.94 (16.08 months PITIA) exceeds required 6 months reserves for subject property of $24,447.08 ($3741.18*6 = $22447.08).

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Qualifying credit score of 797 exceeds required score of 720 by 77 points.

26508904

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3564

TRID - There is at least one revised Loan Estimate or Closing Disclosure containing a change that is not documented or supported in the file

Missing COC for LE 8.9.18 due to increase in Loan Points from .762 to .887

9.25.18 Lender provided COC Change of Circumstance History

9.26.18 Exception Satisfied

(No Data)

Not Applicable

CFCFS1744: DTI below guideline requirement
- Clayton Comments: Total DTI is 34.81%; max 43%

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Mid score 781; minimum credit score 680

CFCFS1740: Mortgage payment history exceeds guidelines
- Clayton Comments: No mortgage lates reporting on credit report with XXX or XXX. All payments paid as agreed.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Total reserves $183,465.90 or 42.27. Minimum reserve requirement is 6 months or $26,046.24.

26508904

XXXXXX

QM: Safe Harbor

Credit

Terms/Guidelines

Active

CRDTER109

Cash Out Amount Exceeds Guidelines

Missing exception approval for cash out amount to exceed guideline of $250K max; Underwriting exception request in file (pg. 536) provided by lender stating Cash out amount capped at $250,000. We may need to go to $280,000 cash back (including paying off the 2nd). Compensating factors listed Fico 781, DTI 29%, Current Customer; Borrowers cash out amount is $254,800.43 which includes payoff of the non-seasoned HELOC and cash to borrower at close.

9/24/18 - Lender response - Emailed lender for the missing exception approval.9/25/18 - Lender provided Management Exception approving cash-out exceeding guidelines.

9/25/18 - Exception remains.9/25/18 - Exception remains Non-Material.

(No Data)

Not Applicable

26508747

XXXXXX

QM: Safe Harbor

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: The borrowers representative credit score of 800 exceeds required guidelins score of 700.

CFCFS1736: Significant time at current residence
- Clayton Comments: The borrowers have resided at current residence for 29 years.

26508913

XXXXXX

QM: Safe Harbor

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Borrower has $141,540.18 in post-closing reserves, which is $105,638.88 more than the guideline required amount of $35,901.30, or 23 months in reserves of subject PITIA.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Borrower has a median credit score of 762, which is 42 points higher than the guideline requirement of 720.

CFCFS1740: Mortgage payment history exceeds guidelines
- Clayton Comments: Positive mortgage payment history is for 70 months.

26508833

XXXXXX

QM: Safe Harbor

CFCFS1749: Additional documented income not used in qualifying
- Clayton Comments: B2 bonus income was not include in income calculation.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: The borrowers DTI is 23.24%. The maximum DTI for this program is 43%.

CFCFS2854: Significant time in profession
- Clayton Comments: The co-borrower have been employer in her profession for 10 years.

26508840

XXXXXX

QM: Safe Harbor

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: The Borrower have verified cash reserves of $111,914.09; 33.34 months PITIA. Per DU, no reserves are required.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: The Representative credit score 797. The minimum required credit score for this program is 680.

CFCFS1742: Consumer credit history exceeds guidelines
- Clayton Comments: The borrower credit history has been established for 192 months without any late payments, collections or charge offs.

26508431

XXXXXX

QM: Safe Harbor

Compliance

RESPA

Satisfied

CMPRESPA2698

RESPA - List of homeowners counseling organizations not in file

Homeownership Counseling Disclosure missing delivered to borrower within 3 days of the initial application date

4.23.19 Lender provided HOC dated 3 days from initial application date

4.23.19 Exception SATISFIED

(No Data)

Not Applicable

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been XXX for 6 years.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI is 35.62%: guideline maximum is 43%.

26508431

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3626

TRID - CD: Loan consummated before end of waiting period

The file is missing evidence that the initial CD was acknowledged at least 3 business days prior to consummation. Defaults to mailbox rule, earliest date for consummation is

4.22.19 Lender provided disclosure tracking showing cd 9.7.18 acknowledged on 9.7.18

4.23.19 Exception Satisfied

(No Data)

Not Applicable

26508765

XXXXXX

QM: Safe Harbor

Compliance

RESPA

Satisfied

CMPRESPA863

RESPA: Required Affiliate Business Disclosure missing

Missing Affiliated Business disclosure please provide.

10.18.18 Lender response ; Affiliate Disclosures are not applicable on Retail loans

10.19.18 Exception satisfied

(No Data)

Not Applicable

CFCFS1744: DTI below guideline requirement
- Clayton Comments: The lenders maximum DTI is 43%. The borrowers DTI is 25.86%.

CFCFS2860: Good credit history
- Clayton Comments: The borrowers have excellent credit with no late payments, collections or public records.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit score used for qualifying was 772, exceeding minimum credit score requirements of 760.

26508751

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

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.

1) Missing Profit and Loss statement and Balance sheet Precision Builders. 2) Missing 3rd party evidence of business existence for XXX for B1. 3) Missing VVOE for B2.

11/8/18 - Lender response - P&L and balance sheets attached and-3rd party evidence of business existence for XXX employment for B1 and VVOE for B2 attached.

11/9/18 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV of 33.54% is 46.46% below maximum allowed LTV of 80%.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Qualifying credit score of 778 exceeds required score of 720 by 58 points.

26508751

XXXXXX

QM: Safe Harbor

Compliance

RESPA

Satisfied

CMPRESPA2698

RESPA - List of homeowners counseling organizations not in file

Please provide copy of List of Homeowners Counseling.

11.8.18 Lender provided missing List of Homeowners Counseling

11.9.18 Exception Satisfied

(No Data)

Not Applicable

26508751

XXXXXX

QM: Safe Harbor

Compliance

RESPA

Satisfied

CMPRESPA863

RESPA: Required Affiliate Business Disclosure missing

Please provide copy of Affiliated Business Disclosure.

11.2.18 Lender response; The Broker/Correspondent customer has communicated no affiliate/business. FSBs records show that the Broker/Correspondent does not have ownership in any other company(s). Verification rest with XXX Approval Department who inquires and notes in the Broker/Correspondent customers profile whether the financial institution has ownership in any other businesses. Periodic re-certifications (at least annual) are also conducted. This information is share and made available to staff in their loan review. If an affiliated business disclosure is not provided, the reviewer confirms within our LOS system that lender does not have any business affiliates. An affiliated business disclosure is not required on this loan

11.5.18 Exception Satisfied

(No Data)

Not Applicable

26508751

XXXXXX

QM: Safe Harbor

Compliance

Right of Rescission

Satisfied

CMPROR113

ROR - Missing Right of Rescission form

Please provide cope of Right of Rescission.

11.8.19 Lender provided missing ROR

11.9.18 Exception satisfied

(No Data)

Not Applicable

26508751

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3476

TRID - Written List of Providers not provided or untimely

Please provide copy of Written List of Providers.

11.8.18 Lender provided missing Written List of Providers

11.9.18 Exception Satisfied

(No Data)

Not Applicable

26508751

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3554

TRID - LE delivered only via e-mail but there is no prior e-sign consent in file; by regulation, LE must be treated as not delivered

Please provide copy of eConsent due to initial LE and CD was esigned.

11.8.18 Lender provided E Consent acknowledged by borrowers on 8/6/18

11.9.18 Exception Satisfied

(No Data)

Not Applicable

26508751

XXXXXX

QM: Safe Harbor

Credit

Credit/Mtg History

Satisfied

CRDCRMH193

Length of mortgage/rental history in file does not meet guideline requirement

Missing mortgage payment history for 1st and 2nd liens on subject property ( 24 months payment history required).

11/8/18 - Lender response - Agree missing VOM (12 months canceled checks), however, per Jumbo 30 yr product Tradeline requirements option 2, only a 12 month history appears to be required. You had indicated the transfer history shows borrowers on title since 6/2017, a 24 month history would not be obtainable. Mortgage payment history for 1st and 2nd liens attached

11/9/18 - Exception satisfied.

(No Data)

Not Applicable

26508751

XXXXXX

QM: Safe Harbor

Credit

Income/Employment

Satisfied

CRDINC2488

Verbal verification of employment missing

1) Missing 3rd party evidence of business existence for XXX employment for B1. 2)Missing VVOE for B2.

11/8/18 - Lender response -3rd party evidence of business existence for XXX employment for B1 and VVOE for B2 attached

11/9/18 - Exception satisfied.

(No Data)

Not Applicable

26508751

XXXXXX

QM: Safe Harbor

Credit

Income/Employment

Satisfied

CRDINC888

Income Amount is Unsupported by Documentation in File

Income documentation for B2 does not support income used for qualification. Lender notes indicate borrower is paid over 10 months per year as a XXX however, no evidence in file of annual income. Also, pay stubs in file show deferred income. Provide a WVOE or letter from employer to clarify borrower's annual salary and to explain the "deferred" income listed on the paystubs.

11/8/18 - Lender response -W VOE and w2s for B2 attached to support uw notes on transmittal, 10 month employee paid 12 months, deferred income is reported on w2s. Clayton - WVOE shows paid on 12 month schedule. Written VOE states on a Paid leave of absence 8/18/18-12/31/18. Need letter from Employer stating what CB income will be during the leave of absence. 11/19/18 - Lender provided updated 1008 and 1003 removing CB income of $5120.44 mo. Clayton - Without CB income DTI would be 57.09% we are using $12,428.42 for B1 XXX employed income. 2016 and 2017 W-2, K-1 and 1120s average. Lender is using $17,171.50. Provide Income worksheet. 1/3/19 - Lender provided 2 letters from XXX dated 12/2/18 Letter verifies CB part time XXX contracted at $70,283.40 for 2018-2019 school year. On leave scheduled to return 1/7/19. 11/28/18 letter from employer confirms income received while on maternity leave.

11/9/18 - Exception remains. 11/6/18 - Exception remains.1/3/19 - Exception satisfied.

(No Data)

Not Applicable

26508751

XXXXXX

QM: Safe Harbor

Credit

Income/Employment

Satisfied

CRDINC3258

Missing Profit and Loss statement for one or more Self Employed borrowers

Missing most recent quarter Profit and Loss Statement for Precision Builders.

11/8/18 - Lender provided P&L.

11/9/18 - Exception satisfied.

(No Data)

Not Applicable

26508751

XXXXXX

QM: Safe Harbor

Credit

Income/Employment

Satisfied

CRDINC3260

Balance Sheet missing for one or more Self Employed borrowers

Missing most recent quarter Balance Sheet for XXX.

11/8/18 - Lender provided Balance sheet.

11/9/18 - Exception satisfied.

(No Data)

Not Applicable

26508751

XXXXXX

QM: Safe Harbor

Property Valuations

Appraisal

Satisfied

PRVAAPPR3116

Missing updated valuation

Missing CDA supporting original appraisal value of $2,385,000.

1/9/19 - Lender response - Please review this is a Non-Agency Loan Clayton CDA required. 2/7/19 -Received Valuation. 0% variance.

1/9/19 - Exception remains. 2/7/19 - Exception satisfied.

(No Data)

Not Applicable

26508820

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4293

TRID - CD: The Cash to Close as stated in the CD Costs at Closing section does not match the Cash to Close as stated in the CD Calculating Cash to Close section

The Cash to Close as stated in the CD Costs at Closing section does not match the Cash to Close as stated in the CD Calculating Cash to Close section. CD: 09/04/2018-1, Section: Costs At Closing, Field: Cash to Close, Value: 280845.34CD: 09/04/2018-1, Section: Calculating Cash to Close, Field: Cash to Close - Final, Value: 280868.71

10.23.18 Lender provided PC CD dated 10/17/18 correcting the cash to close

10.24.18 Exception Satisfied

Numeric

Not Applicable

CFCFS1744: DTI below guideline requirement
- Clayton Comments: Lender maximum DTI 43%. The borrower DTI is 38.49%.

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: The borrower has been Employed with the current Employer for 24 years.

26508820

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4299

TRID - CD: The value for Total Closing Costs in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE

Satisfied on PCCD 9/4/2018.LE: 08/06/2018-1 [Last LE], Section: Calculating Cash To Close, Field: Total Closing Costs (J), Value: 15480CD: 09/01/2018-1 [Last CD], Section: Calculating Cash to Close, Field: Total Closing Costs (J) - Loan Estimate, Value: 15182.00

(No Data)

Non-Numeric

Not Applicable

26508820

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4309

TRID - CD: The value for Cash to Close in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE

Satisfied on PCCD 9/4/2018.LE: 08/06/2018-1 [Last LE], Section: Calculating Cash To Close, Field: Estimated Cash to Close, Value: 280822CD: 09/01/2018-1 [Last CD], Section: Calculating Cash to Close, Field: Cash to Close - Loan Estimate, Value: 280524.00

(No Data)

Non-Numeric

Not Applicable

26508820

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4991

TRID - CD: The Due from Borrower at Closing amount disclosed in the CD Summary of Transactions section does not equal its component parts

The Due from Borrower at Closing amount disclosed in the CD Summary of Transactions section does not equal its component parts. CD: 09/04/2018-1, Section: Summaries of Transactions, Field: K. Due from Borrower at Closing - Total, Value: 812293.67CD: 09/04/2018-1, Section: Summaries of Transactions, Field: K. Due from Borrower at Closing-Total Calculated, Value: 812291.73

10.23.18 Lender provided PC CD dated 10/17/18 that corrects the due from borrower at closing

10.24.18 Exception Satisfied

Numeric

Not Applicable

26508524

XXXXXX

QM: Safe Harbor

Credit

Assets

Satisfied

CRDAST2354

Asset Verification In File is Incomplete Per Requirements

Missing final CD for sale of XXX to document funds of $390,000.

10/25/18 - Lender response - Please see attached document. Clayton- Settlement statement provided is the same that is in file. The section that says Payable as Follows: shows $413,322.07 being paid to XXX., this is not the Settlement Agent for the new purchase. Unable to confirm borrower has assets to close.10/29/18 - Lender response -XXX was a cash deal. The check to XXX, was the net proceeds of this sale which were used for the purchase of XXX.Clayton - XXX is the Seller's XXX evidenced with Property Seller Disclosure. (XXX)

10/26/18 - Exception remains.10/29/18 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Qualifying credit score is 776; minimum required credit score per guidelines is 720.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI is at 39.59%; max allowed DTI per guidelines is 43%.

CFCFS1740: Mortgage payment history exceeds guidelines
- Clayton Comments: Borrower has a 0x30 x 90 month mortgage history review.

26508445

XXXXXX

QM: Safe Harbor

Compliance

Federal Consumer Protection

Active

CMPFDCP4569

NMLS License verification found Loan Originator Name does not match ID but can identify that the LO is the same

All legal docs in file show originator as XXX. NMLS shows name as XXX, XXX.

10/24/18 - The disclosed name and/or the combination of the disclosed name with NMLS ID are sufficiently distinct to enable a consumer to identify the MLO. 10/25/18 - Exception remains as Clayton considers minimal NMLS name discrepancies as non-material that must be reported vs. material when variation appears as a possible different person.

10/25/18 - Exception remains .

(No Data)

Not Applicable

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been with current employer for 6 yrs, line of work for 31 years.

CFCFS1735: Co-Borrower has significant time at current job
- Clayton Comments: Co-Borrower has been with current employer for 6 yrs, line of work for 25 years.

CFCFS1736: Significant time at current residence
- Clayton Comments: Borrowers have owned the subject for 6 years.

26508445

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

Both CD's dated 09/05/2018 and 09/10/2018 Other Costs section F Homeowner Insurance Premium is missing the number of months. Letter of Explanation; PCCD with correct information within 60 days of consummation.

10.29.18 Lender provided PC CD dated 10/25/18 that includes the number of months for HOI in other cost section F

10.30.18 Exception Satisfied

Hybrid

Not Applicable

26508554

XXXXXX

QM: Safe Harbor

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower has worked 8 years in his profession.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: Borrowers LTV of 60.75% is under the guideline requirement of 80.00% by 19.25%.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Borrower's mid score of 795 exceeded the guideline requirement of 720 by 75 points.

26508539

XXXXXX

QM: Safe Harbor

Compliance

RESPA

Satisfied

CMPRESPA863

RESPA: Required Affiliate Business Disclosure missing

Lender to provide the Affiliated Business Disclosure.

10.30.18 Lender provided General Loan Information Disclosure that states lender has no affiliates

10.31.18 Exception Satisfied

(No Data)

Not Applicable

CFCFS1740: Mortgage payment history exceeds guidelines
- Clayton Comments: Borrowers mortgage is currently with XXX with 84 payments made as agreed.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Minimum score is 700, borrowers scores are 762/733.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: Max 65% LTV, subject transaction is 46%

26508644

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

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.

Missing verification of borrowers' current housing expense for XXX FL XXX totaling $575.55 and proof residence is owned free and clear. ( taxes, insurance and HOA)

4/19/19 - Lender provided proof of hazard $301.66 mo. Taxes $248.88 mo. HOA $25 mo. Total payment $575.54 mo. Satisfaction of Mortgage.

4/19/19 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1736: Significant time at current residence
- Clayton Comments: Borrowers have owned current home for 19 years.

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has 19 years 3 months at current job.

CFCFS2854: Significant time in profession
- Clayton Comments: Co-Borrower has 20 years in her profession.

26508644

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

The seller CD disclosed seller paid fees not disclosed on final CD 9/26/2018. Provide corrected PCCD, LOX and copy of shipping.

4.22.19 Exception Remains

Hybrid

Not Applicable

26508644

XXXXXX

QM: Safe Harbor

Credit

DTI

Satisfied

CRDDTI2540

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

Missing verification of borrowers' current housing expense for XXX FL XXX totaling $575.55 and proof residence is owned free and clear. ( taxes, insurance and HOA)

4/19/19 - Lender provided proof of hazard $301.66 mo. Taxes $248.88 mo. HOA $25 mo. Total payment $575.54 mo. Satisfaction of Mortgage.

4/19/19 - Exception satisfied.

(No Data)

Not Applicable

26508468

XXXXXX

QM: Safe Harbor

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been employed for 30 years, stable employment history

CFCFS1736: Significant time at current residence
- Clayton Comments: Borrower has owned current residence for 24 years.

26508685

XXXXXX

QM: Safe Harbor

Property Valuations

Property

Satisfied

PRVAPROP132

Missing HOA Certificate/Questionnaire

Missing Lender Condo Warranty.(File contains HOA Questionnaire)

1/7/19 - Lender provided certification project meets FNMA project approval.

1/7/19 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1736: Significant time at current residence
- Clayton Comments: Borrower has been at current residence last 26 years

26508795

XXXXXX

QM: Safe Harbor

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI 22.97 % below guideline of 43%

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV is 70% below guideline of 85%.

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been employed at current employer for 8 years.

26508845

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3716

TRID - Curable issue related to the Closing Disclosure in file

Final CD 9.18.18 Loan Costs section, Field C: Lenders title insurance is missing payee, satisfied on PCCD 9.24.18

(No Data)

Not Applicable

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI 31.50%. Max DTI for this program is 43%.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Borrowers have verified cash reserves of 84.944.42; PITI is $4,601.80; 18.45 months PITIA

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Representative credit score 698. Minimum credit score for this program is 680.

26508845

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

CD 9.14.18 Other Costs section, Field E: Mortgage/Deed portion of recording fees are required to be itemized, satisfied on Final CD

(No Data)

Hybrid

Not Applicable

26508845

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3554

TRID - LE delivered only via e-mail but there is no prior e-sign consent in file; by regulation, LE must be treated as not delivered

LE 8.23.18 and LE 9.11.18 sent via email however e consent not provided

10.29.18 Lender response; Received e-consent disclosure signed by borrower to confirm electronic receipt of disclosures. Signed e-consent disclosure added to Clayton Portal as of 10.29.2018. Clayton response; E Consent not delivered on 10.29.18 please resend. Exception Remains10.30.18 lender provided E Consent acknowledged by borrowers

10.30.18 Exception Remains10.30.18 Exception satisfied

(No Data)

Not Applicable

26508845

XXXXXX

QM: Safe Harbor

Property Valuations

Property

Satisfied

PRVAPROP132

Missing HOA Certificate/Questionnaire

Per guidelines, condo project must be approved by XXX Condo Review Department. Condo Questionnaire and Lender Report is in the file. File does not have copy of approval.

10/18/2018: Please see the attached. Condo Approved

10/19/18 - Exception satisfied.

(No Data)

Not Applicable

26508734

XXXXXX

QM: Safe Harbor

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been at current job 19 years.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: PC CD shows $143,620.15 needed to close. Verified $187,872.95 in liquid funds leaving $44,252.80 for reserves. AUS requires $0.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Verified median FICO of 762. Minimum required 680.

26508515

XXXXXX

QM: Safe Harbor

Property Valuations

FEMA

Satisfied

PRVAFEMA856

Natural Disaster Area, no subsequent inspection (Public)

Missing Post Disaster Inspection for FEMA disaster of Severe Storms, Flooding, Mudslides and Landslides declaration #4427, dated 04.17.19 and effective 03.30.19; Loan was closed prior to the disaster dates.

4/26/19 - Lender provided PDI, no damage.

4/29/19 - Excetpion satisfied.

(No Data)

Not Applicable

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV is 63%, maximum LTV 80%

CFCFS1740: Mortgage payment history exceeds guidelines
- Clayton Comments: 23 months of mortgage payments made to XXX as agreed.

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: 19 years with the same employer.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Post-Closing Reserves $311,090.72 = 72 months of PITI.

26508682

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

All CD's: section F for HOI is missing number of months being collected.

1.18.19 Lender provided PC CD dated 1.4.19 that does not include number of months for HOI.in section F. Clayton response; Exception Remains1.22.19 Lender provided PC CD dated 1.22.19 that includes the number of months for HOI in section F

1.21.19 Exception Remains1.22.19 Exception Satisfied

Hybrid

Not Applicable

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI 36.79%. Max DTI for this program is 43.00%.

CFCFS1749: Additional documented income not used in qualifying
- Clayton Comments: Income from XXX employment not used to qualify.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV 57.70%. Max LTV for this program is 80.00%.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Representative credit score 783. Minimum credit score for this program is 720.

26508682

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4463

TRID - Assumption selection on the CD does not match the clause in the mortgage.

Note is not assumable, CD states that loan is assumable.

1.18.19 Lender provided PC CD that corrects the assumption section of the loan disclosure section.

1.21.19 Exception Satisfied

Non-Numeric

Not Applicable

26508560

XXXXXX

QM: Safe Harbor

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been with the same employer for 18 years.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit scores 756/767; minimum score is 720.

26508881

XXXXXX

QM: Safe Harbor

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has significant time at current job of 11 years 6 months.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit score of 751 exceeds guidelines score of 680 by 71 points

26508745

XXXXXX

QM: Safe Harbor

Property Valuations

FEMA

Satisfied

PRVAFEMA856

Natural Disaster Area, no subsequent inspection (Public)

Sever Storms and Flooding reported 11/02/2018 without a prior inspection completed.

4/26/19 - Lender provided PDI no damage.

4/29/19 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Borrower has $48,086.99 in verified post clsg reserves, 11.62 months PITI. 12 months required. 6 months for subject ($4139.91 X 6 =$24,839.46) and 6 months for add'l financed property ($2870 X 6=$17,220) for a total of $42,059.46 in required reserves

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has significant time of 12 years at current job.

26508783

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID3476

TRID - Written List of Providers not provided or untimely

Application date is 9/4/18: Spl disclosure dated 9/12/18.provide Service Providers List dated 3 days from application date.

(No Data)

Not Applicable

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV 22.98% is below lender guideline maximum.

CFCFS1735: Co-Borrower has significant time at current job
- Clayton Comments: Co borrower with current employer for 15 years.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit score 786. Minimum credit score for this program is 720.

26508783

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4300

TRID - CD: The LE and CD columns of the CD Calculating Cash to Close table contain different values for Loan Amount but Did This Change? = No

PC CD dated 10/11/18 Calculating Cash to close section LE loan amount 600,000.00 CD loan amount 546,000.00 , did this change lender states No. Corrected CD with the correct Did this Change indicator required. PC CD and LOX to borrower.

(No Data)

Non-Numeric

Not Applicable

26508783

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4240

TRID - CD: The CD Calculating Cash to Close LE column (Alternative Version) total does not equal its component parts

Cd 9/28/18: Calculating cash to close screen: Cash to Close loan estimate total of $554,368 does not match the reviewed Le total of $45,032.00 section: Corrected on Post close Cd 10/2/18. Exception Satisfied

(No Data)

Numeric

Not Applicable

26508783

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4261

TRID - CD: The Loan Amount value in the LE column of the CD Calculating Cash to Close Table (Alternative Version) is disclosed as a negative number or is zero

Cd 9/28/18: Calculating cash to close section: Loan estimate total of 0.00 is disclosed correctly per Cd. Corrected on post close Cd 10/2/18. Exception satisfied

(No Data)

Numeric

Not Applicable

26508472

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

Seller CD reflects seller paid fees in section C, E and H not provided on Borrowers Final CD

4.22.19 Exception Remains

Hybrid

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Verified cash reserves of $707,258.12 or 198.84 months PITI after closing. Per DU, $0.00 reserves required.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit score of 759 exceeds guideline requirement 680.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV of 51.79 below guideline requirements of 80%

26508472

XXXXXX

QM: Safe Harbor

Credit

Credit/Mtg History

Active

CRDCRMH193

Length of mortgage/rental history in file does not meet guideline requirement

Missing 12 month verification of rent for property located at XXX, MI XXX.

(No Data)

Not Applicable

26508720

XXXXXX

QM: Safe Harbor

Compliance

RESPA

Satisfied

CMPRESPA863

RESPA: Required Affiliate Business Disclosure missing

No AFB Discl present in file. FACTS sheet states lender has affiliates.

10.24.18 Lender response; The Correspondent customer has communicated no affiliate business. XXX records show that the Correspondent does not have ownership in any other company(s). Verification rest with XXX TPO Approval Department who inquires and notes in the Correspondent customers profile whether the financial institution has ownership in any other businesses. Periodic re-certifications (at least annual) are also conducted. This information is shared and made available to staff in their loan review. If an affiliated business disclosure is not provided, the reviewer confirms within our LOS system that lender does not have any business affiliates. An affiliated business disclosure is not required on this loan.

10.25.18 Exception satisfied

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Borrower has $66,012.56 in post-closing reserves. DU requires $0.00.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: Dti is 20.91%, which is 22.09% less than guideline max of 43.0%

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Both borrowers has been with their employers for 96 and 2 months.

26508526

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3476

TRID - Written List of Providers not provided or untimely

Service Provider's List was not located in the loan file. Lender must provide evidence that the SPL was provided to the borrowers within 3 days of application.

4.25.19 Lender provided SPL dated 9/10/18

4.25.19 Exception satisfied

(No Data)

Not Applicable

CFCFS1736: Significant time at current residence
- Clayton Comments: Borrowers have resided at the existing primary residence for 15 years

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Verified $139,899.55 or 20.18 months reserves

26508526

XXXXXX

QM: Safe Harbor

Credit

Assets

Satisfied

CRDAST205

Insufficient Funds to Close

The final CD indicates $254,431.38 plus $20,000 EMD ($274,431.38) to close for the subject transaction. Verified $404,330.93 liquid and non-liquid assets of which $229,282.25. Subject transaction is short to close $6,124.13

4/25/19 - Lender response - Borrower has sufficient funds to close. The large deposit for $140,000.00 & $9000 were verified. Available assets $548053.96. Reserve requirement $58727.52 (6 months PITIA $40281.24+ departure T & I $4946.28 + XXX $13500.00) - $269772.26 = $211044.74. Product guidelines state " All guidelines not addressed below must meet the parameters documented in our Conventional Underwriting Guidelines. If Fannie Mae or Freddie Mac requirements differ, this program must follow Fannie Mae.". Please see Fannie Mae guidelines evidence of liquidation is not required. " When used for the down payment or closing costs, if the value of the asset (as determined above) is at least 20% more than the amount of funds needed for the down payment and closing costs, no documentation of the borrowers actual receipt of funds realized from the sale or liquidation is required. Otherwise, evidence of the borrowers actual receipt of funds realized from the sale or liquidation must be documented." Available assets after reserves is $489326.44. CD cash to close $274431.38. Borrower has sufficient funds to cover the closing cost.

4/26/19 - Exception satisfied.

(No Data)

Not Applicable

26508526

XXXXXX

QM: Safe Harbor

Credit

Assets

Satisfied

CRDAST3036

Assets reflect unsourced deposits

Missing documentation of large deposit for: 1. $140,000 on 6/8/2018 with XXX #XXX2. $9,000 on 10/1/2018 with XXX #XXX 3. $10,000 on 8/3/2018 with XXX #XXX

4/25/2019 - Lender response - Please see the attached documentation in the file for the large deposit in the XXX acct #XXX 10/1/2018 $9000.00 (Copy of check & Large deposit for XXX acct #XXX $140000.00 (from XXX). The large deposit for the XXX #XXX $10000.00 was transferred from the XXX savings account. The documentation was not provided to document the large deposit however borrower has sufficient funds to close if $10,000.00 is deducted from available funds. Clayton - $9000 is Security deposit for departing residence. $140,000 shows check came from XXX Business Checking Account.

4/26/19 - Exception satisfied.

(No Data)

Not Applicable

26508526

XXXXXX

QM: Safe Harbor

Credit

DTI

Active

CRDDTI2540

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

Missing verification of sufficient equity in departing residence XXX. Provide residential full appraisal or exterior only appraisal dated within 6 months to determined borrower has LTV/CLTV/HCLTV of 70.00% or less

4/25/19 - Lender response - Disagree: Appraisal is not required if free and clear is verified. Please see the attached. Please see the current lease agreement and copy of check for security deposit. Clayton - Per XXX Jumbo Fixed 7/31/18 Overlay- When a borrower vacates a principal residence in favor of another principal residence, the rental income, reduced by the appropriate vacancy factor, may be considered in the underwriting analysis under the following circumstances: Sufficient Equity in Vacated Property: o The borrower has an LTV, CLTV or HLTV of 70% or less as determined by a residential appraisal dated within 6 months. o Full appraisal or exterior only appraisal allowed.4/29/2019: Lender response - Disagree: Please see page 18-20 of the Fraud report which reflects that the value range is $425,175.00 - $653552.00. An appraisal is not required if the property is free and clear. Please see the attached rent estimate from XXX, lease, insurance reflecting free and clear along with the fraud report reflecting the value.Clayton - After further review by Senior Underwriter exception deemed non-material based on compensating factors. 18 years XXX employed, 20 months reserves, credit score 738.

4/26/19 - Exception remains. 4/30/19 - Exception remains.

(No Data)

Not Applicable

26508526

XXXXXX

QM: Safe Harbor

Credit

Income/Employment

Satisfied

CRDINC2340

Employment verification does not meet guidelines

Provide legible SOS Website verification of XXX employment for XXX. to confirm date is within 30 days of Note date 10/XX/2018. CPA Letter in file is dated 9/11/2018. VVOEs in file don't indicate the XXX employment was verified with the SOS Website or a CPA.

4/25/19 - Lender response - Please see legible copy of the Verification of the business.

4/26/19 - Exception satisfied.

(No Data)

Not Applicable

26508776

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4320

TRID - CD: The stated Closing Costs Financed (Paid from Your Loan Amount) amount in the CD Calculating Cash to Close section (Alt Version) does not equate to the amount based on the Reg's formula.

Final Cd 10/4/18: Calculating cash to close screen: Closing cost financed (Paid from your loan amount)Final total of $0 does not match clayton calculation total of $18,573.80. Please provide an updated cd to reflected the correct values Post close cd 10/10/18: Calculating cash to close screen: Closing cost financed (Paid from your loan amount)Final total of $0 does not match clayton calculation total of $18,404.80. Please provide an updated cd to reflect the correct values.

10.26.18 Lender provided PC CD dated 10/25/18 that corrects the Closing costs financed from the borrowers loan amount.

10.29.18 Exception Satisfied

Numeric

Not Applicable

CFCFS1740: Mortgage payment history exceeds guidelines
- Clayton Comments: GL's require a 0x30x12 VOM history. CR supports a 0x30x40 VOM history.

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: B1 has been on current job for 18 years and 1 month.

26508776

XXXXXX

QM: Safe Harbor

Property Valuations

Appraisal

Satisfied

PRVAAPPR119

Appraisal documentation does not support occupancy

Missing verification of occupancy. Appraisal states property is vacant.

10/25/18 - Lender provided - Agree. Appraisal contains a minor typo in that the appraiser marked that the subject property is vacant. The subject transaction is an O/O cash out. The photos support that the designation on page 1 of the appraisal is incorrect. All rooms which include the kitchen, living room, family room, bedrooms, bathrooms, laundry room, dining room are fully furnished, which provides clear evidence that someone is occupying the space. The garage has a vehicle and a motorcycle in it. The bathroom has towels and personal hygiene products on the counters. Occupancy risk appears low. Clayton - Provide corrected page to appraisal showing correct occupancy.10/29/18 - Lender provided corrected appraisal.

10/25/18 - Exception remains.10/29/18 - Exception satisfied.

(No Data)

Not Applicable

26508741

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

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.

Provide documentation for taxes, hoa dues, and the current lease for the departure property located at XXX, CA XXX

4/19/2019: Lender response - Please see the attached statement reflecting HOA dues, Master Insurance Policy, Taxes reflected on page 3 of the Title policy and lease.Clayton - HOA $478.27, taxes $153.11,= $631.38 mo. Lease $2300.00

4/22/19 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been with their current employer for five years.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: The median credit score is 794. Min 720.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV is 71.87%. Max 80%

26508741

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

The CD's in file are missing the county for payee in Section E. Other Costs section.

4.25.19 Lender provided PC CD dated 4/24/19 that includes payee in section E loan costs

4.25.19 Exception Satisfied

Hybrid

Not Applicable

26508741

XXXXXX

QM: Safe Harbor

Credit

DTI

Satisfied

CRDDTI2540

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

Provide documentation for taxes, hoa dues, and the current lease for the departure property located at XXX CA XXX

4/22/19 - Exception satisfied.

(No Data)

Not Applicable

26508741

XXXXXX

QM: Safe Harbor

Property Valuations

Property

Satisfied

PRVAPROP132

Missing HOA Certificate/Questionnaire

File contains Full Review Condo Questionnaire. Missing Lender condo warranty.

4/19/2019: Lender response - Condo Review is not required for Detached Condo. Please see XXX Jumbo Guidelines and Fannie Mac Guidelines. Jumbo Guidelines state that condo must be FNMA warrantable. Fannie Mae guidelines state review is not required for Detached condos.

4/22/19 - Exception satisfied.

(No Data)

Not Applicable

26508862

XXXXXX

QM: Safe Harbor

Credit

Legal Documents

Satisfied

CRDLGL2642

Missing proof that HELOC has been paid and closed to future draws

Provide a signed Equity Line of Credit Freeze/Closure letter for the XXX 2nd mortgage.

1/15/19 - Lender provided Final Title Policy. No addition liens, only subject.

1/15/19 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been with the same employer for 13 years.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: 781 Credit score; exceeds minimum score of 700 by 81 points.

26508503

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

Seller CD in File shows Seller Paid Fees in Section H but are not disclosed on the Borrower Final CD.

4.9.18 Lender response; Seller Fees disclosed on the Seller CD are fees required to be paid by the seller as part of their transaction and is not required to be disclosed on the Buyer's CD. Clayton response; SFIG requirement for when to require a Sellers CD Seller-Paid Real Estate Commission. If there is one, it should always be disclosed in Section H of the Borrowers CD, in the seller-paid column. Exception Remains

4.10.19 Exception Remains

Hybrid

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit score of 765 exceeds guidelines of 720.

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower has been in profession for 15 years

26508503

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3716

TRID - Curable issue related to the Closing Disclosure in file

The Final CD 2/22/19 provided in File has Illegible Fields. The 'Totals' in Each Section cannot be Verified due to bad Copies. Missing Legible Final CD 2/22/19.

4.16.19 Lender Response; Agree - the "Totals" in each section of the CD are not legible, however the itemized fees in each section are legible. This error did not affect the totals charged to the borrower. This is a clerical error which did not affect the timing, delivery, or other requirements imposed by 1026.19(e) or (f). Clayton response; In order to make sure the totals match itemized fees the total must be legible. Exception Remains4.17.19 lender provided legible copy of the final CD

4.17.19 Exception remains4.18.19 Exception Satisfied

(No Data)

Not Applicable

26508701

XXXXXX

QM: Safe Harbor

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit score 795. Min 720.

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: 9 years at current job.

26508650

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3822

TRID - CD: One or more of the payments in the CD Projected Payments section (fixed payment) does not equal its component parts

CD 11/20/2018 PCCD Projected payments section estimated escrow section shows $1.00 in error and total monthly payment is showing $5,102.09 in error total should be $4,028.31. Please provide a corrected CD that indicates the correct Escrow payment. Revised CD and LOX to borrower.

1.28.19 Lender response; Disagree - Total estimated monthly payment is correct at $5,102.09. The P&I is $4027.31 and the estmated escrow amount is $1.074.78, which totals $5,102.09. A condition has been entered for the incorrect estimated escrow section. Clayton response; PC CD shows estimated escrow as 1.00 , P& I as 4027.31 and estimated monthly payment as 5102.09. Exception remains2.6.19 Lender provided PC CD dated 2.5.19 that corrects Estimated Escrow on the projected payments table from 1.00 to 1074.78

1.29.19 Exception remains 2.7.19 Exception SATISFIED

Numeric

Not Applicable

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been XXX Employed for 15 years.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Borrowers Representative Credit Score is 806; Credit score exceeds guidelines of 720.

26508650

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4346

TRID - CD: Monthly Escrow Amount in Projected Payments is inconsistent with annual cost in Loan Disclosure section

CD 11/20/2018 PCCD Projected payments section estimated escrow section shows $1.00 in error and total monthly payment is showing $5,102.09 . Estimated escrow should show 1074.78 please provide a revised CD that corrects the escrow amount . Revised CD and LOX to borrower.

2.6.19 Lender provided PC CD dated 2.5.19 that corrects Estimated Escrow on the projected payments table from 1.00 to 1074.78

2.7.19 Exception satisfied

Numeric

Not Applicable

26508650

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3600

TRID - CD delivered only via e-mail but there is no prior e-sign consent in file; by regulation, CD must be treated as not delivered

No esign consent in the file. Need evidence borrower accepted E Consent

2.6.19 Lender provided Doc Magic Details Report that shows E Consent acknowledged

2.7.19 Exception Satisfied

(No Data)

Not Applicable

26508650

XXXXXX

QM: Safe Harbor

Property Valuations

FEMA

Satisfied

PRVAFEMA4817

Natural Disaster Area, Subseq inspect prior to Disaster (Individual & Public)

FEMA Disaster Effective Date 11/25/18 - Wildfires. File contains Catastrophic Disaster Area, Property inspection Report performed on 11/18/2018 which is prior to Effective date of 11/25/18.

1/24/19 - Lender provided PDI 12/8/18. No damage.

1/24/19 - Exception satisfied.

(No Data)

Not Applicable

26508561

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID5019

TRID - Closing Disclosure; Optional designation missing from optional insurance product

Home warranty for $15.00 was not designated as optional. -paid by borrower.The parenthetical description (optional) shall appear at the end of the label for costs designated borrower-paid at or before closing for any premiums paid for separate insurance, warranty, guarantee, or event-coverage products. Revised CD required to include optional for Home warranty in other cost section H . Revised CD and LOX to borrower.

2.1.19 Lender provided PC CD dated 2.1.19 . Clayton Response; Optional still missing from Home Warranty in section H of other costs section. Exception Remains. 2.6.19 Lender response; Agree " This type of error would not mathematically effect disclosed totals charged to the borrower. This is a clerical error. An error is clerical if it does not affect a numerical disclosure and does not affect the timing, delivery, or other requirements imposed by 1026.19(e) or (f)." Clayton Response; The parenthetical description (optional) shall appear at the end of the label for costs designated borrower-paid at or before closing for any premiums paid for separate insurance, warranty, guarantee, or event-coverage products. Exception Remains

2.4.19 Exception Remains2.7.19 Exception Remains

Non-Numeric

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Borrower credit score of 791 exceeds guideline requirement of 720 by 71 points.

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower has been in current profession for 27 years.

26508784

XXXXXX

QM: Safe Harbor

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV of 69.48% is below guidelines max of 80%.

CFCFS1735: Co-Borrower has significant time at current job
- Clayton Comments: Co borrower has been employed for 16 years.

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been XXX employed for 12 years.

CFCFS1736: Significant time at current residence
- Clayton Comments: Borrowers have resided in the subject for five years.

26508558

XXXXXX

QM: Safe Harbor

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit Score of 799 exceeds guidelines 680 score.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI of 32.66% below guideline requirement 43%

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Post Close Reserves $195,473.80. DU requires $118,371 reserves.

26508676

XXXXXX

QM: Safe Harbor

Compliance

RESPA

Satisfied

CMPRESPA2698

RESPA - List of homeowners counseling organizations not in file

List of homeowners counseling organizations not in file

1.3.19 Lender provided HOC acknowledged on 10/26/18

1.3.19 Exception Satisfied

(No Data)

Not Applicable

CFCFS1737: LTV below guideline requirements
- Clayton Comments: 56.39% LTV below max 80% allowed.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: 28.43% DTI below max 43% allowed.

26508676

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4285

TRID - CD: The value for Loan Amount in the LE column of the CD's Calculating Cash to Close table (Alt Version) is different from the value disclosed on the last LE

PCCD 12.13.18 Calculating Cash to close section Loan amount in the LE column does not match the last LE 10.29.18, Corrected on PCCD 12.14.18. Exception Satisfied

(No Data)

Non-Numeric

Not Applicable

CFCFS1737: LTV below guideline requirements
- Clayton Comments: 56.39% LTV below max 80% allowed.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: 28.43% DTI below max 43% allowed.

26508676

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4299

TRID - CD: The value for Total Closing Costs in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE

PCCD 12.13.18 Calculating Cash to close section Total Closing Costs in the LE column does not match the last LE 10.29.18, Corrected on PCCD 12.14.18. Exception Satisfied

(No Data)

Non-Numeric

Not Applicable

CFCFS1737: LTV below guideline requirements
- Clayton Comments: 56.39% LTV below max 80% allowed.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: 28.43% DTI below max 43% allowed.

26508676

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4309

TRID - CD: The value for Cash to Close in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE

PCCD 12.13.18 Calculating Cash to close section Cash to close in the LE column does not match the last LE 10.29.18, Corrected on PCCD 12.14.18. Exception Satisfied

(No Data)

Non-Numeric

Not Applicable

CFCFS1737: LTV below guideline requirements
- Clayton Comments: 56.39% LTV below max 80% allowed.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: 28.43% DTI below max 43% allowed.

26508676

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4312

TRID - CD: The value for Total Payoffs and Payments in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE

PCCD 12.13.18 Calculating Cash to close section total payoffs in the LE column does not match the last LE 10.29.18, Corrected on PCCD 12.14.18. Exception Satisfied

(No Data)

Non-Numeric

Not Applicable

CFCFS1737: LTV below guideline requirements
- Clayton Comments: 56.39% LTV below max 80% allowed.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: 28.43% DTI below max 43% allowed.

26508652

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

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.

Missing verification of all components of non-subject PITI for property located at XXX, provide final CD if Borrower no longer owns property. ( 2017 Sch E 1040 tax returns list the property twice.) Appears this may be the same property listed as XXX on 1003.

2/1/2019: Lender responded 1/18/2019: See attached PITIA documentation for the property at XXX. See also printout from the XXX website which confirms that the main address for the Club/Community is XXX (i.e. main clubhouse). The unit that the borrowers own is XXX #XXX. Clayton agrees.

2/1/2019: Exception satisfied.

(No Data)

Not Applicable

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV of 64.42 is below guideline requirements 80% LTV

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit score of 783 exceeds guideline requirement of 680

26508652

XXXXXX

QM: Safe Harbor

Credit

DTI

Satisfied

CRDDTI2540

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

1/17/19 -Lender provided documents evidencing that subject property with address of $4590 XXX is located within the XXX which Main Address is XXX. Borrower has this listed on 1040 schedule e twice due to it is a two bedroom.

1/19/19 - Exception satisfied

(No Data)

Not Applicable

26508652

XXXXXX

QM: Safe Harbor

Credit

Legal Documents

Satisfied

CRDLGL2642

Missing proof that HELOC has been paid and closed to future draws

Missing proof that HELOC has been closed to future draws ( XXX #XXX) attached to subject property located at XXX

1/17/19 - See attached freeze letter to document the HELOC was closed to future draws.

1/20/19 - Exception satisfied

(No Data)

Not Applicable

26508805

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

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.

Maximum DTI is 43%, current DTI 43.10%. There are 2 hazard insurance policies in file for 5/20/18-5/2019. One has premium of $1723.15 yr. The other has $1502.15. Provide letter from XXX confirming correct premium.

1/25/19 - notice 11/9 $1723.15notice 11/26/18 $1502.15 The latter notice (dated 11/26) shows the borrower amended from a $1000 deductible to a higher $1500 deductible which lowered his annual premium. Both policies attached.

1/25/19 - Exception remains. 2/3/19 - Exception satisfied

(No Data)

Not Applicable

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV 67%; maximum LTV 80%

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: 9 years with the same employer.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit Score 759; minimum score required 720.

26508805

XXXXXX

QM: Safe Harbor

Credit

Assets

Active

CRDAST3078

Insufficient # of months cash reserves for PITI per guideline requirements

Short reserves $2607.29. 6 months Reserves required ($3,496.04 X 16 = $20,976.24). Lender did not back outstanding loan balance of $9978.64 from 403B retirement plan held by XXX

2/4/19 - Lender response- Agree. However, the reserves are a product overlay. The rate/term refi loan has a lower LTV of 66%, a great credit score of 759 with nearly 10 years on the same job. Additional the deficit is in the process of being repaid. The November paystub helps to support additional repayment, lessening the gap. Please review to accept this. Clayton has reviewed and determined the exception to be non material with compensating factors of significant time at current job, low LTV, and excellent credit score.

2/4/19 - Exception remains.

(No Data)

Not Applicable

26508805

XXXXXX

QM: Safe Harbor

Credit

DTI

Satisfied

CRDDTI105

Debt Ratio Exception 5% or Less

1/25/19 - Exception remains. 2/3/19 - Exception satisfied

(No Data)

Not Applicable

26508846

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

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.

DTI 78.27% Max allowed 43%. B1: Not using base salary as reported on WVOE dated 11/16/2018 showing $8000.00 due to LOE in file dated 11/21/2018 states borrower is no longer receiving Supplemental Salary. LOX from XXX states that borrower will receive a minimum Guaranteed Salary of $3813.34 mo. if Commission and Bonus income is lower than $3813.34. Per Jumbo Express Guidelines Commission income must be averaged over the previous two years.: and Bonus income: A period of more than two years must be used in calculating the average overtime and bonus income if the income varies significantly from year to year. Unreimbursed business expenses (form 2106) must be subtracted from income. Including Expense Account Payments. Any loss resulting from the calculation of the difference between the actual expenditures and the expense account allowances Current total income used $7681, Lender income $13, 996.61 Clayton calculations- Using 2016/2017 Commission income Average Also using 2017 URE only due to higher than 2016. Other income reported on WVOE has also been averaged. Commission : $76,338.88 + $31,672.13 /24= $4512 per month, Bonus income using 2016/2017 and current YTD for 2018 $ 78,335.22 + $ 57,327.37 + $ 16,707.00 /34.5= $ 4416.00 per month. OTHER income average 2018 $1,543.74+ $ 1,426.56 + $2,624.72 /34.5= $162.00 per month. 2017 UBE $16907/12 $1409 Deducted Lender to provide what the "Other" income is on WVOE.

1/23/2018-Disagree. Clayton's income calculations provided are not equally distributed, meaning different calculations used for commision than bonus for worse case findings. Clayton is using 2016/2017 Commission income Average but changes style for Bonus income using 2016/2017 and current YTD for 2018, forgetting that partial prior income was received in the form of base and is not being included at all by either Lender or Clayton calculations. The employer confirmed borrower's client base has increased, thus his compensation increased. In 2016 there would have been an additional $38462.62 in base pay; in 2017 there would have been an additional $16550.32; and in 2018 there was a total additional base pay earned of $3139.98. Attached is a revised VOE. Using 2017 151646.13 + 2018 241492.78 = 393138.91/24 = 16380.79 - 1409 = 14971.78; further reducing by the other type of income earned would cause calculations to support more than the uw's initial income used: 2017 151646.13 + 2018 241492.78 = 393138.91 - other income of 2973.30 = 390165.61 /24 = 16256.90 - 1409 = 14847.90 Clayton Recalculated income based on WVOE provided dated 1/7/2019 2017/2018 Commission $153,594.34+$76338.88/24= $9580.55 2017/2018 Bonus $83214.72+57327.37= $5855.92 Total Bonus and Commission income $15149.97 - URE $1408.91 = Total income used $14,027.56

1/24/2018-Exception Satisfied.

(No Data)

Not Applicable

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been employed in the same industry for 5 years.

26508846

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4282

TRID - CD: The value for Downpayment/Funds From Borrower in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE

Corrected on PC CD dated 12/10/18 . Exception Satisfied

(No Data)

Non-Numeric

Not Applicable

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been employed in the same industry for 5 years.

26508846

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4283

TRID - CD: The value for Deposit in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE

Corrected on PC CD dated 12/10/18 . Exception Satisfied

(No Data)

Non-Numeric

Not Applicable

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been employed in the same industry for 5 years.

26508846

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4299

TRID - CD: The value for Total Closing Costs in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE

Corrected on PC CD dated 12/10/18 . Exception Satisfied

(No Data)

Non-Numeric

Not Applicable

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been employed in the same industry for 5 years.

26508846

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4309

TRID - CD: The value for Cash to Close in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE

Corrected on PC CD dated 12/10/18 . Exception Satisfied

(No Data)

Non-Numeric

Not Applicable

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been employed in the same industry for 5 years.

26508846

XXXXXX

QM: Safe Harbor

Credit

DTI

Satisfied

CRDDTI187

Debt Ratio > 50%

1/23/2018-Lender Response-Disagree. Clayton's income calculations provided are not equally distributed, meaning different calculations used for commision than bonus for worse case findings. Clayton is using 2016/2017 Commission income Average but changes style for Bonus income using 2016/2017 and current YTD for 2018, forgetting that partial prior income was received in the form of base and is not being included at all by either Lender or Clayton calculations. The employer confirmed borrower's client base has increased, thus his compensation increased. In 2016 there would have been an additional $38462.62 in base pay; in 2017 there would have been an additional $16550.32; and in 2018 there was a total additional base pay earned of $3139.98. Attached is a revised VOE. Using 2017 151646.13 + 2018 241492.78 = 393138.91/24 = 16380.79 - 1409 = 14971.78; further reducing by the other type of income earned would cause calculations to support more than the uw's initial income used: 2017 151646.13 + 2018 241492.78 = 393138.91 - other income of 2973.30 = 390165.61 /24 = 16256.90 - 1409 = 14847.90Clayton Recalculated income based on WVOE provided dated 1/7/20192017/2018 Commission $153,594.34+$76338.88/24= $9580.552017/2018 Bonus $83214.72+57327.37= $5855.92Total Bonus and Commission income $15149.97 - URE $1408.91 = Total income used $14,027.56

1/24/2018- Exception Satisfied.

(No Data)

Not Applicable

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been employed in the same industry for 5 years.

26508590

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

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.

Missing third party VVOE for1) XXX and 2) XXX

1/23/19 - Lender response - Lender provided Franchise Tax account status for XXX, LLC Active since 5/13/2015. XXX, LLC Clayton - Exception satisfied.

1/24/19 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been XXX employed for 40 years

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI of 24.01 below guideline requirement of 43%

26508590

XXXXXX

QM: Safe Harbor

Credit

Income/Employment

Satisfied

CRDINC2488

Verbal verification of employment missing

Missing Third party VVOE within 30 calendar days of Note date for:1) XXX and 2) XXX, LLC

1/23/19 - Lender response - Lender provided Franchise Tax account status for XXX, LLC Active since 5/13/2015. XXX, LLC Clayton - Per XXX Jumbo Fixed guidelines - "Verification of XXX employed businesses by a third-party source should be obtained within 30 calendar days from the Note date".1/XX/19 - Lender provided VVOE dated 12/21/18.

1/24/19 - Exception remains.2/1/19- Exception satisfied.

(No Data)

Not Applicable

26508779

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

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.

4/23/2019: Lender response - Borrower has been with current employer for 1 year and 8 months and a LOX in file states that borrower employed in China in 2016 therefore sufficient documentation has been provided to explain why the 2016 W2 was not provided. Clayton - Appendix Q Part 1026 I. Consumer Employment Related Income A. "The creditor must verify the consumer's employment for the most recent two full years" Provide proof of employment from XXX from 2016 to 2/15/17.5/9/19 - Lender provided WVOE from prior employer employed from 4/12/14 to 12/31/16.

4/24/19 - Exception remains.5/10/19 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI of 26.36% below guideline requirement of 43%.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Verified cash reserves of $32,986.24 or 8.02 months PITI;

26508779

XXXXXX

QM: Safe Harbor

Compliance

Right of Rescission

Satisfied

CMPROR117

ROR - Expiration date on form prior to end of rescission period

ROR expires 12/XX/2018 and the notary date is 12/17/2018. Disbursement date is 12/XX/2018

4.23.19 Lender provided Affidavit of Correction showing notary date of 12/07/2018.

4.24.19 EXCEPTION Satisfied

(No Data)

Not Applicable

26508779

XXXXXX

QM: Safe Harbor

Compliance

Right of Rescission

Satisfied

CMPROR2330

ROR - Disbursement date is before end of statutory rescission period

ROR expires 12/XX/2018 and the notary date is 12/17/2018. Disbursement date is 12/XX/2018

4.23.19 Lender provided Affidavit of Correction showing notary date of XXX

4.24.19 Exception satisfied

(No Data)

Not Applicable

26508779

XXXXXX

QM: Safe Harbor

Credit

Application

Satisfied

CRDAPP130

Application is incomplete

Missing verification of residency status/citizenship. Per application, the borrowers are US citizens, however, applicants' Visa states China National.

4/23/19 - Lender response - Documentation in file supports that borrower is not a US citizen. Please see the updated application and identification. Clayton - Lender provided corrected application. Both borrowers Non-Permanent Resident Aliens.

4/24/19 - Exception satisfied.

(No Data)

Not Applicable

26508779

XXXXXX

QM: Safe Harbor

Credit

Income/Employment

Satisfied

CRDINC2408

Income verification does not meet guidelines

Missing required 2 year W-2 for B1 (XXX). 2016 W2 was not provided. Per LOX, borrower was employed in China in 2016. Evidence of employment in China was not provided to support 2 year employment history. Clayton Final Grade B as Borrower's income with current employer is supported for 1 year, 8 months by 2017 W2, current paystub and WVOE.

4/23/2019: Lender response - Exception considered as non-material due to borrower current has 1 year and 8 months with current employer. No additional action required. 5/9/19 - Lender provided WVOE from prior employer employed from 4/12/14 to 12/31/16.

4/24/19- Exception remains.5/10/19 - Exception satisfied.

(No Data)

Not Applicable

26508779

XXXXXX

QM: Safe Harbor

Credit

Terms/Guidelines

Active

CRDTER3122

Loan documents do not meet guideline requirements

Missing payoff demand statement for mortgage being paid off at closing with XXX.

4/23/2019: Lender response - While the payoff statement is required the mortgage account is reflected on the credit report dated 11/14/2018 with a balance of $552987.00. The loan closed 12/7/2018. The Final cd reflects a payoff balance of $556145.87. Since the balance on the credit report is less than the balance on the final cd the risk is minimal and non-material.Clayton - After further review by Senior Underwriter non-material based on compensating factors. Credit score 723, DTI 26.36%, low LTV 59.78%.

4/24/19 - Exception remains.

(No Data)

Not Applicable

26508764

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

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.

Missing proof that the property located at XXX does not a Mortgage. The HOI policy indicates that there is a mortgage with XXX. The 2017 1040 indicates no Mortgage. (Tax Cert in file)

1/23/19 - Lender response - Please see page 4 of the credit report (attached) dated 10/10/2018. XXX #XXX reflects Paid and Closed. The tax returns also support that there is no current lien due to there not being any mortgage interest.

1/23/19 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Verified Post cash reserves in the amount of $48,518.33; 11.11 months.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV is 75.70%; guideline maximum is 80%.

26508764

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4320

TRID - CD: The stated Closing Costs Financed (Paid from Your Loan Amount) amount in the CD Calculating Cash to Close section (Alt Version) does not equate to the amount based on the Reg's formula.

Total closing costs (j) -$14541.16 - closing costs pd before closing $181.05 = $14360.11 for Clayton Calculation and CD's reflects $0.00 for closing costs financed on CD. Please provide a revised CD that has the correct closing costs financed from the borrower loan amount. Revised CD and Lox to borrower

1.28.19 Lender provided PC CD dated 1.25.19 for the closing costs financed . Clayton response; Closing costs financed should be 14360.11 Lender did not subtract out POC fees of 181.05. Exception remains2.5.19 lender provided PC CD dated 2.4.19 That corrects closing costs financed

1.29.19 Exception Remains2.6.19 Exception satisfied

Numeric

Not Applicable

26508764

XXXXXX

QM: Safe Harbor

Credit

DTI

Satisfied

CRDDTI2540

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

Missing proof that the property located at XXX does not a Mortgage. The HOI policy indicates that there is a mortgage with XXX. The 2017 1040 indicates no Mortgage. (Tax Cert in file)

1/23/19 - Lender response - Please see page 4 of the credit report (attached) dated 10/10/2018. XXX #XXX- reflects Paid and Closed. The tax returns also support that there is no current lien due to there not being any mortgage interest.

1/23/19 - Exception satisfied.

(No Data)

Not Applicable

26508878

XXXXXX

QM: Safe Harbor

Compliance

Compliance Manual

Satisfied

CMPMAN2950

Missing Rate Lock

The Rate Lock is missing from the file. Provide a copy of Rate Lock.

2/13/19 - Lender provided Rate Lock.

2/14/19 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1744: DTI below guideline requirement
- Clayton Comments: Maximum DTI 43% current DTI 20.94%

CFCFS1737: LTV below guideline requirements
- Clayton Comments: Maximum LTV 80% current LTV 70%

26508878

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4261

TRID - CD: The Loan Amount value in the LE column of the CD Calculating Cash to Close Table (Alternative Version) is disclosed as a negative number or is zero

Please provide a revised CD with the corrected values in the LE column of the Calculating cash to close section, or the Final LE that corresponds to the final CD. Please provide a copy of the revised CD along with an LOX and verification CD was sent to borrower.

2.8.19 Lender Disagree - The Loan Amount is reflected as $518,000 in the Cash to Close table on the Last Disclosed LE and PCCD dated 12/21. Documents have been uploaded.

2.11.19 Exception Satisfied

Numeric

Not Applicable

CFCFS1744: DTI below guideline requirement
- Clayton Comments: Maximum DTI 43% current DTI 20.94%

CFCFS1737: LTV below guideline requirements
- Clayton Comments: Maximum LTV 80% current LTV 70%

26508878

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4309

TRID - CD: The value for Cash to Close in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE

2.8.19 Lender response; Cash to Close table on the Last Disclosed LE and PCCD dated 12/21. Documents have been uploaded.

2.11.19 Exception Satisfied

Non-Numeric

Not Applicable

CFCFS1744: DTI below guideline requirement
- Clayton Comments: Maximum DTI 43% current DTI 20.94%

CFCFS1737: LTV below guideline requirements
- Clayton Comments: Maximum LTV 80% current LTV 70%

26508878

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4312

TRID - CD: The value for Total Payoffs and Payments in the LE column of the CD's Calculating Cash to Close table is different from the value disclosed on the last LE

2.8.19 Lender response; Cash to Close table on the Last Disclosed LE and PCCD dated 12/21. Documents have been uploaded.

2.11.19 Exception Satisfied

Non-Numeric

Not Applicable

CFCFS1744: DTI below guideline requirement
- Clayton Comments: Maximum DTI 43% current DTI 20.94%

CFCFS1737: LTV below guideline requirements
- Clayton Comments: Maximum LTV 80% current LTV 70%

26508878

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

CD 12/21-1 and 12/21-2 section F lines 01 HOI missing number of months. Revised CD with the number of months for HOI is required, revised CD and LOX to borrower

2.8.19 Lender provided CD dated 12/21/18 that was already in file, not final CD signed by borrowers. Clayton Response; CD indicates 0 months but charges for 2760.49. Exception Remains2.13.19 lender provided PC CD dated 2.13.19 includes months for HOI

2.11.19 Exception Remains2.14.19 Exception satisfied

Hybrid

Not Applicable

CFCFS1744: DTI below guideline requirement
- Clayton Comments: Maximum DTI 43% current DTI 20.94%

CFCFS1737: LTV below guideline requirements
- Clayton Comments: Maximum LTV 80% current LTV 70%

26508878

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3600

TRID - CD delivered only via e-mail but there is no prior e-sign consent in file; by regulation, CD must be treated as not delivered

Missing econsent. please provide

2.8.19 Lender provided LE dated 12/6/18 . Clayton response; Exception is for missing e consent acknowledged by borrowers. Exception Remains2.15.19 Lender provided e consent

2.11.19 Exception Remains2.15.19 Exception Satisfied

(No Data)

Not Applicable

CFCFS1744: DTI below guideline requirement
- Clayton Comments: Maximum DTI 43% current DTI 20.94%

CFCFS1737: LTV below guideline requirements
- Clayton Comments: Maximum LTV 80% current LTV 70%

26508878

XXXXXX

QM: Safe Harbor

Credit

Terms/Guidelines

Satisfied

CRDTER2548

Missing AUS or AUS errors present

Lender approved loan at 31.86%. DU shows 21.10% DTI. Final application dated 12/21 shows income of $16,453.29 XXX states Qualifying Ratios determined by Desktop Underwriter not to exceed 43%. DU approved 21.10% not 31.86% DU needs to be re-run with the lower income of $16,453.29 mo.

2/7/19 - Lender response - Disagree with findings. Last DU findings on 1/10/19 were run with 31.86 DTI and $16,453.29 income. Please see attached. Clayton - Lender provided DU submission # 4. File has Summary of Finding submission #5 which has income of $25,032.16. DU needs to be re-run with the lower income of $16,453.29 mo. 2/11/19 - Lender response - The casefile ID changed. Submission # 5 on the file with $25,032.16 income has a casefile ID of XXX and was run on 12/10/18. The casefile ID we closed the loan with is XXX and the last run is dated a month later on 1/10/19.

2/7/19 - Exception remains. 2/12/19- Exception satisfied.

(No Data)

Not Applicable

CFCFS1744: DTI below guideline requirement
- Clayton Comments: Maximum DTI 43% current DTI 20.94%

CFCFS1737: LTV below guideline requirements
- Clayton Comments: Maximum LTV 80% current LTV 70%

26508754

XXXXXX

QM: Safe Harbor

Compliance

RESPA

Satisfied

CMPRESPA2700

RESPA - List of homeowners counseling organizations not provided w/in 3 days of application

Application date is 11/24/2018 and Homeowners Counseling disclosure dated 12/1/18.

4.8.19 Lender provided loan summary report showing application date of 11/30/2018 acknowledged by borrower

4.9.19 Exception Satisfied

(No Data)

Not Applicable

CFCFS1736: Significant time at current residence
- Clayton Comments: Borrower resided at the existing primary residence for 6 years

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Qualifying credit score 766. Minimum credit score required 680

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: No minimum reserves required. Verified $136,099.32 or 25.34 months reserves

26508754

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3476

TRID - Written List of Providers not provided or untimely

Application date is 11/24/2018 and Written List of Providers is dated 12/1/18.

4.8.19 Lender provided loan summary report showing application date of 11/30/2018 acknowledged by borrower

4.9.19 Exception satisfied

(No Data)

Not Applicable

26508754

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3552

TRID - Loan Estimate not timely

Application date 11/24/18. Earliest Le in the file is dated 12/1/18 and received 12/1/18 by borrower.

4.8.19 Lender provided loan summary report showing application date of 11/30/2018 acknowledged by borrower

4.9.19 Exception satisfied

(No Data)

Not Applicable

26508761

XXXXXX

QM: Safe Harbor

Compliance

Right of Rescission

Satisfied

CMPROR1911

Incorrect ROR Form Used - H9 Form Used in Refinance With Different Creditor

H9 (increase amount of credit) ROR form used for this NON-lender to lender refinance. H8 (will result in mortgage) was the proper form.

4.12.19 Lender provided corrected ROR

4.12.19 Exception Satisfied

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: FICO 742, Min 720.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Post-Closing Reserves $60,799.03 = 10.87 months of PITI.

26508761

XXXXXX

QM: Safe Harbor

Credit

Legal Documents

Satisfied

CRDLGL2642

Missing proof that HELOC has been paid and closed to future draws

Borrowers to sign - California Borrowers Instructions to Suspend and Close Equity Line of Credit at the end of this document See page 809-811 of the PDF.

4/15/19 Lender provided signed closure letter.

4/15/19 - Exception satisfied.

(No Data)

Not Applicable

26508520

XXXXXX

QM: Safe Harbor

Compliance

Federal Consumer Protection

Active

CMPFDCP4569

NMLS License verification found Loan Originator Name does not match ID but can identify that the LO is the same

Name on NMLS XXX, Name on documents in file is XXX

2/25/19 - The disclosed name and/or the combination of the disclosed name with NMLS ID are sufficiently distinct to enable a consumer to identify the MLO.

2/26/19 - Exception remains as Clayton considers minimal NMLS name discrepancies as non-material that must be reported vs. material when variation appears as a possible different person.

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit score of 799 exceeds guideline of 700.

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been with current employer for 44 years stable employment history

26508520

XXXXXX

QM: Safe Harbor

Credit

Legal Documents

Satisfied

CRDLGL2642

Missing proof that HELOC has been paid and closed to future draws

Missing proof that HELOC has been closed to future draws XXX #XXX. Form in file not signed by borrowers.

2/25/19 - Lender provided payoff and close forms that are not signed by borrowers. CD from closing, this only shows loan paid off not closed to future draws. Clayton - Provide copy of Final title policy, that would confirm HELOC is closed.2/27/19 - Lender provided Full Reconveyance recorded 2/22/19.

2/25/19 - Exception remains.2/27/19 - Exception satisfied.

(No Data)

Not Applicable

26508520

XXXXXX

QM: Safe Harbor

Property Valuations

Property

Satisfied

PRVAPROP132

Missing HOA Certificate/Questionnaire

1) Missing Condominium Questionnaire 2) Missing Lender Condo Warranty.( Project approved for sale to FNMA or FHLMC.)

2/25/19 - Lender provided FNMA guidelines:Project review is waived for new and established condominium projects that consist of no more than four units.

2/25/19 - Exception satisfied.

(No Data)

Not Applicable

26508499

XXXXXX

QM: Safe Harbor

Credit

Income/Employment

Satisfied

CRDINC3204

Income Documentation Missing

Final 1003 evidences a negative income source of ($805.17/mo). Provide documentation to support this negative income source.

5/6/19 - The source of the $805.17/month loss is from Capital Losses on Schedule E. The UW totaled the amounts from page 2, line 16, for both 2016 and 2017: $-6331 plus $-3331 = $-9662. The UW then divided that amount by 12 to equal $-805.17/month. This was a very conservative approach as a 24-month average would be only $-402.58/month. See attached Schedule E for reference. Clayton - The losses are on Schedule D not Schedule E. They are long- term capital loss carry over. FNMA does not require Schedule D losses to be deducted.

5/7/19 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: 741 qualifying score. Min required per guidelines is 700.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV is 42.86%; max allowed per guidelines is 65%.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: 80.19 months PITI reserves verified, max per guidelines is 6 months

26508465

XXXXXX

QM: Safe Harbor

Credit

Credit/Mtg History

Satisfied

CRDCRMH123

No evidence of required debt payoff

Provide documentation to verify the mortgage with XXX XXX account for $101,641 is paid in full per the DU findings. Provided proof of funds used to payoff. If not paid include debt of $763; DTI would be over 43%.

1/28/19 - Lender response- See attached documentation to verify the second mortgage with XXX was paid in full. Attachment includes a copy of the satisfaction of mortgage from XXX public records verifying the second mortgage with XXX lien opened 6/29/2018 in the amount of $102,400 was paid off and released with recording date of 12/18/2018. Bank printout of borrowers' XXX account reflects deposit of net proceeds from sale of other home as source of funds to make final loan payment to payoff XXX loan reflected as debit of $101,505.62 on 12/7/2018. 1/28/19 - Clayton - No docs provided, please re-upload. 1/28/19 - Received documents- proves XXX XXX was paid in full 12/18/18 and funds to payoff.

1/28/19 - Exception remains. 1/28/19 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has been with the same employer for 22 years.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: Max 85% LTV; subject transaction is 75%

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Credit scores 766/773. Min 620.

26508465

XXXXXX

QM: Safe Harbor

Credit

Income/Employment

Satisfied

CRDINC3204

Income Documentation Missing

Provide an LOE and supporting documentation to verify that the Co-Borrower will still be able to work for her primary employer. The Co-Borrower will be moving over 4 hours away from the current location.

1/28/19 - Lender response -Agree that there is not a LOE for co-borrower's employment and location of business is a considerable distance from the subject property. A current search on XXX website reflects co-borrower is part of the staff as their XXX. WVOE in file reflects that co-borrower works approximately 20 hours per week. Based on position it is highly likely that co-borrower is able to perform many of the employment tasks via phone/internet. Co-borrower could easily retain position working remotely with ability to attend any events/in-office obligations in person based on the part time hours and second home location near business to easily accommodate working a few days per month at or near business location while staying at second home. Loan does qualify without consideration of co-borrower's income. If co-borrower's income is removed, the total income decreases from $19,657.18 to $18,472.50, with ratios increasing from 20%/35.19% to 21.29%/37.44%, well within guideline requirements. Clayton- Removed income for CB. Loan still qualifies.

1/28/19 - Exception remains1/29/19 - Exception satisfied.

(No Data)

Not Applicable

26508854

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4239

TRID - CD: The CD Calculating Cash to Close (Alternative Version) CD column total does not equal its component parts

Final CD dated 1/7/19 Cash to close Table . Closing costs displayed as a positive number 13,148.40 and should be negative -13,148.40. Closing costs are displayed as negative 595.00 and should be displayed as positive 595.00 . Please provide a revised CD that corrects these 2 entries. revised CD and LOX to borrower.

2.11.19 Lender provided PC CD dated 2.8.19 that corrects the closing costs on the cash to close table

2.12.19 Exception satisfied

Numeric

Not Applicable

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower has been in the same profession for 20 years.

26508854

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4264

TRID - CD: The Closing Costs Paid Before Closing value in the Final column of the CD Calculating Cash to Close Table (Alternative Version) is disclosed as a negative number

Final CD dated 01/07/2019, Calculating Cash to Close table, Closing Costs Paid before Closing is disclosed as a negative number. Provide LOX and PCCD.

2.11.19 Lender provided revised CD dated 2.8.19 that corrects paid before costs on the cash to close table.

2.12.19 Exception Satisfied

Numeric

Not Applicable

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower has been in the same profession for 20 years.

26508572

XXXXXX

QM: Safe Harbor

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: Borrower has 22 yrs & 4 months at his current job.

CFCFS2854: Significant time in profession
- Clayton Comments: Co-Borrower has 30 years in her profession

26508625

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3716

TRID - Curable issue related to the Closing Disclosure in file

PCCD 2.26.19 does not reflect Seller Fees reflected on Seller CD section C and H.

4.12.19 Lender provided PC CD Dated 4/10/19. that includes seller paid fees

4.15.19 Exception Satisfied

(No Data)

Not Applicable

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI is 25.80%, max per guidelines is 43.00%.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV of 57.22% is below guidelines.

26508625

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

Seller CD reflects $496.50 Title Insurance adjustment in Summaries of transactions not reflected on Borrower's CD

4.10.19 Lender response Disagree with finding. It is not customary to show any seller charges/fees on the borrower's CD as the borrower's CD is a reflection of all fees charged to the borrower. Clayton response; While sometimes seller fees can be left off of the LE, under TRID it is a requirement that if the seller is paying a specific fee it be listed in the Paid By Seller column of the CD. The only time we can see a seller-paid fee only be displayed on a separate Seller CD is if the seller had some type of service performed for them that did not involve the borrower at all. Exception Remains 4.12.19 Lender provided PC CD Dated 4/10/19. that includes seller paid fees

4.10.19 Exception Remains 4.15.19 Exception SATISFIED

Hybrid

Not Applicable

26508902

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

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.

Lender verified XXX. Review verified Non-QM: Lender did not document all ATR UW Factors due to DTI exceeding 43%. Final 1008 shows $581 in credit debt. Review verified $1107 with credit report and credit supplements. Provide documentation for using lower credit debt. Additional conditions may apply.

4/25/19 - Lender provided proof business pays XXX $828 mo.

4/26/19 - Exception satisfied.

(No Data)

Not Applicable

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Verified median FICO of 768. Minimum required is 720.

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Final CD shows $582,335.84 in funds needed to close. Verified $818,535.93 yielding $224,466.87 in reserves from XXX personal accounts only after deducting XXX open balance of $8,387. Per Jumbo guides, business funds cannot be counted toward reserves. (see page 8 of 22). Jumbo Fixed guides require 9 months reserves based on loan amount: $9,089.67 X 9 = $81,807.03. Additional reserves required for each REO: $2,780.13 X 6 = $16,680.78. Additional reserves required for each REO: $2,839.12 X 6 = $17,034.72. Total reserves required: $115,522.53.

26508902

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

CMPATRQM2906

TILA - Loan subject to Ability to Repay/Qualified Mortgage rule; is not a Qualified Mortgage Lender did not document that they considered all ATR UW factors

DTI review verified 45.24%. Lender verified 42.70%. Max allowed is 43%. Final 1008 shows $581 in credit debt. Review verified $1107 with credit report and credit supplements. Provide documentation for using lower credit debt. Additional conditions may apply.

4/25/19 - Lender provided proof business pays XXX $828 mo.

4/26/19 - Exception satisfied.

(No Data)

Not Applicable

26508902

XXXXXX

QM: Safe Harbor

Compliance

Federal Consumer Protection

Active

CMPFDCP4569

NMLS License verification found Loan Originator Name does not match ID but can identify that the LO is the same

NMLS ID for the Loan Officer is not an exact match on the website. Only name provided is XXX. Lender docs show XXX.

4/24/19 - Lender response - (B Non-Material): The disclosed name and/or the combination of the disclosed name with NMLS ID are sufficiently distinct to enable a consumer to identify the MLO.

4/25/19 - Exception remains as Clayton considers minimal NMLS name discrepancies as non-material that must be reported vs. material when variation appears as a possible different person.

(No Data)

Not Applicable

26508902

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID3716

TRID - Curable issue related to the Closing Disclosure in file

Seller CD Section H: reflects Seller paid RE Commission for both borrower and seller for $49125 not reflected on Borrowers CD. Revised CD top include seller paid fees required. Revised CD and LOX to borrower.

4.25.19 Lender response; Seller Fees disclosed on the Seller CD are fees required to be paid by the seller as part of their transaction and is not required to be disclosed on the Buyer's CD. Clayton response; seller paid fees required to be disclosed on page 2 of final CD, Exception Remains

4.25.19 Exception Remains

(No Data)

Not Applicable

26508902

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3626

TRID - CD: Loan consummated before end of waiting period

Missing acknowledgment of CD 2.6.19 3 days prior to consummation date XXX

4.25.19 Lender provided disclosure tracking showing CD 2.6.19 acknowledged 2.6.19

4.25.19 Exception Satisfied

(No Data)

Not Applicable

26508902

XXXXXX

QM: Safe Harbor

Credit

Assets

Satisfied

CRDAST2354

Asset Verification In File is Incomplete Per Requirements

XXX #XXX has a $42,000 wire transfer to XXX on 12/17/2018. Need documentation an LOX to verify what this is for, not reflected on subject Closing Disclosure. Additional conditions may apply.

4/26/19 - Lender response - 4/26/2019: Please see the attached documents which has the breakdown of the assets used for closing. Clayton - This does not address the $42,000 Wire transfer to XXX on 12/17/18. Subject loan used Closed escrows Inc. 5/1/19 - Lender response: Please see page 2 of the e-mail which states that the $42000.00 was a gift to his brother for the purchase of a property. The borrower has no ownership. Clayton - Letter from Broker is not sufficient. Provide copy of documentation showing borrower has no ownership interest in the property. i.e. Letter from borrower, CD from closing of brother's purchase. 5/7/19 - Lender provided XXX, no other properties showing except subject and disclosed rentals.

4/29/19 - Exception remains. 5/2/19 - Exception remains. 5/8/19 - Exception satisfied.

(No Data)

Not Applicable

26508902

XXXXXX

QM: Safe Harbor

Credit

DTI

Satisfied

CRDDTI105

Debt Ratio Exception 5% or Less

4/25/19 - Lender provided proof business pays XXX $828 mo.

4/26/19 - Exception satisfied.

(No Data)

Not Applicable

26508762

XXXXXX

QM: Safe Harbor

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV is 48.07%. Max 65%

CFCFS1736: Significant time at current residence
- Clayton Comments: Borrowers have owned the subject property for nine years.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: The median credit score is 762. Min 700.

26508592

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

Final CD 2.11.19: Section Other Cost H, did not have any seller paid fees. Seller paid fees entered from Seller CD are as follows. Home Warranty fee $440.00, Real Estate commission Listing $25,650, Real Estate commission selling 25,650, Status Letter $50.00, Title-Closing $250, Title Owners policy $2,236.94, Title payoff wire $50.00.

4.5.19 Lender response; Disagree with finding. It is not customary to show the seller paid cost/fees on the borrower's CD as the borrower's CD is a reflection of all fees charged to the borrower.

4.8.19 Exception Satisfied

Hybrid

Not Applicable

CFCFS1736: Significant time at current residence
- Clayton Comments: Borrower has resided in current owner occupied residence for 6 years.

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: The borrower has been employed for 34 years 10 months.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: 799 qualifying score. Min required per guidelines is 680.

26508592

XXXXXX

QM: Safe Harbor

Property Valuations

Property

Satisfied

PRVAPROP132

Missing HOA Certificate/Questionnaire

Missing evidence to support condo project has been reviewed and approved by the lender's condo review department as required. The questionnaire and supporting documents were received--missing the actual project approval.

4/5/19 - Lender provided XXX - Project approved for FNMA and FHLMC.

4/8/19 - Exception satisfied.

(No Data)

Not Applicable

26508877

XXXXXX

QM: Safe Harbor

Compliance

RESPA

Satisfied

CMPRESPA863

RESPA: Required Affiliate Business Disclosure missing

Missing Affiliate Business Disclosure.

4.23.19 Lender response; The Correspondent customer has communicated no affiliate business. XXX records show that the Correspondent does not have ownership in any other company(s). Verification rest with XXX TPO Approval Department who inquires and notes in the Correspondent customers profile whether the financial institution has ownership in any other businesses. Periodic re-certifications (at least annual) are also conducted. This information is shared and made available to staff in their loan review. If an affiliated business disclosure is not provided, the reviewer confirms within our LOS system that lender does not have any business affiliates. An affiliated business disclosure is not required on this loan.

4.23.19 Exception Satisfied

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Assets:Calculated assets of $9,342.07, effective assets of $9,342.07, and liquid assets of $9,342.07. Exceeds requirement of $0.00.

CFCFS1737: LTV below guideline requirements
- Clayton Comments: LTV of 68.07% is below guideline maximum 80% allowed per guidelines.

26508877

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3590

TRID - At least one LE was delivered on or after the date that a CD was delivered

LE Dated 2/19/2019 was issued to the borrower after the CD dated 2/15/2019.

4.23.19 Lender provided disclosure tracking that shows CD was not delivered before LE

4.23.19 Exception Satisfied

(No Data)

Not Applicable

26508815

XXXXXX

QM: Safe Harbor

Compliance

RESPA

Satisfied

CMPRESPA863

RESPA: Required Affiliate Business Disclosure missing

Affiliate Business Disclosure is missing from the loan file. Lender must provide.

4.19.19 Lender response; The Correspondent customer has communicated no affiliate business. XXX records show that the Correspondent does not have ownership in any other company(s). Verification rest with XXX TPO Approval Department who inquires and notes in the Correspondent customers profile whether the financial institution has ownership in any other businesses. Periodic re-certifications (at least annual) are also conducted. This information is shared and made available to staff in their loan review. If an affiliated business disclosure is not provided, the reviewer confirms within our LOS system that lender does not have any business affiliates. An affiliated business disclosure is not required on this loan.

4.22.19 Exception Satisfied

(No Data)

Not Applicable

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Post closing reserves of $144,458.08 or 35.41 months PITI. Per DU, no reserves required.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI 27.11 below guideline requirement of 43%.

26508815

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4583

TRID - LE sent prior to CD, but either confirmed receipt date or assumed receipt date is on or after the CD receipt date

Final LE dated 02/15/2019 and was not signed by the borrower. Initial CD dated 02/20/2019. LOX, provide proof LE was received prior to CD being received.

4.25.19 Lender provided COC dated 2/15/19 and acknowledgement of receipt of LE on 2.15.19

4.25.19 Exception Satisfied

(No Data)

Not Applicable

26508892

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

Final CD 1.22.19 Other Costs section, Field E: Mortgage/Deed portion of recording fees are required to be itemized, corrected on PCCD 1.28.19. Exception Satisfied

(No Data)

Hybrid

Not Applicable

CFCFS1736: Significant time at current residence
- Clayton Comments: Borrower has resided in his current Residence for 18.6 years.

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower has worked 23 years in his profession.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Borrower's mid score of 783 exceeded the guideline requirement of 720 by 63 points.

26508892

XXXXXX

QM: Safe Harbor

Credit

LTV/CLTV

Active

CRDLTV3028

LTV Exceeds Guideline Requirement by 10% or more

Exception Approval for LTV/CLTV of 65% for Cash Out O/O Refi receiving up to $500,000.00 case back verses the required 55% LTV/CLTV Compensating Factors: 295 months reserves. XXX 23 years. Low DTI 23%

2/22/19 - "Agree -- 1.Solid Credit History - Great credit depth, solid prior and current mortgage history.2.Large amount of reserves (1.6 mil in retirement, 67K in Liquid) Show's the ability to save 3.Stable Income/Employment (23 years as XXX) 10 years XXX4.Low LTV (65%)5. Low DTI 22%"Clayton - loan is graded non-material.

2/25/19 - Exception remains

(No Data)

Not Applicable

26508892

XXXXXX

QM: Safe Harbor

Property Valuations

Appraisal

Satisfied

PRVAAPPR3116

Missing updated valuation

Missing updated property valuation supporting the appraised value of $920,000.00.

3/4/19 - Received Valuation. 0% variance.

3/5/19 - Exception satisfied.

(No Data)

Not Applicable

26508832

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

Final CD 3.1.19: Section Other Cost C. and Loan Cost H. Other did not have seller paid fees. Seller paid fees entered off the seller CD are as follows; courier fee $30.00, Owners policy $ 2294.09, Title courier fee $ 30.00, Title-Settlement charge $325, Title wire fee $30.00, Doc prep fee $ 300.00.

4.10.19 Exception Remains

Hybrid

Not Applicable

CFCFS1735: Co-Borrower has significant time at current job
- Clayton Comments: Borrower has been with their current employer since 2010, eight years.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: The median credit score is 747. Min 680.

26508794

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Satisfied

CMPTRID3626

TRID - CD: Loan consummated before end of waiting period

Missing acknowledgment of Initial CD 2.12.19 3 days prior to consummation date

4.8.19 lender provided Loan Summary report showing CD 2.12.19 acknowledged on 2.12.19

4.9.19 Exception Satisfied

(No Data)

Not Applicable

CFCFS1736: Significant time at current residence
- Clayton Comments: Borrower have owned their primary home for 13 years.

CFCFS2854: Significant time in profession
- Clayton Comments: Borrower has 21 years in her profession.

CFCFS1735: Co-Borrower has significant time at current job
- Clayton Comments: Co-Borrower has 11 years 1 month on the job.

26508601

XXXXXX

QM: Safe Harbor

CFCFS1731: Verified cash reserves exceed guidelines
- Clayton Comments: Borrower has 46.45 months cash reserves.

CFCFS1744: DTI below guideline requirement
- Clayton Comments: DTI 36%. Max DTI for this program is 43%.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: Representative credit score 704. Minimum credit score for this program is 680.

26508801

XXXXXX

QM: Safe Harbor

Compliance

Ability to Repay/Qualified Mortgage

Satisfied

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.

Missing verification of some or all components of non-subject PITI, Missing documentation to very monthly PITI is not more than $680.90 for property XXX. Provide mortgage statement property tax and homeowners insurance documentation to verify monthly obligation is not more than $680.90. Missing documentation to verify monthly PITI and Heloc + HOA dues are not more than $3,660.17 for property XXX. Provide mortgage statement, property tax, homeowners insurance and HOA dues documentation to verify monthly obligation is not more than $3,660.17. Missing documentation to verify property is free and clear and monthly T&I is not more than $155.75 for property XXX. Provide documentation to verify property is free and clear and property tax and homeowners insurance documentation to verify monthly obligation is not more than $155.75. Missing documentation to verify disposition of XXX property. Lender to provide documentation to verify what is the disposition of XXX property. (on 2017 1040 schedule E)

4/8/2019: Disagree: Please see the documentation to verify monthly PITI is not more than $680.90 for property XXX; 2)Please see the documentation to verify monthly PITI and Heloc + HOA dues are not more than $3,660.17 for property XXX.; 3)Please see the documentation to Verify property is free and clear and monthly T&I is not more than $155.75 for property XXX; 4) Please see the HUD 1 supporting that the property has sold for XXX property. (FE)Clayton - Lender provided1) XXX statement for XXX. PITI $680.90. Also XXX statement for HELOC $365.73. Total PITI $1046.63 mo.2) XXX statement for XXX PITI $2453.17. XXX HELOC $1007.25. HOA $33.33 mo. Total PITIA $3493.753) Property Detail Report for XXX taxes $795 and Hazard $1074 yr = 1869/12= $155.75 yr 4) Settlement statement for XXX, sold 1/16/19 and Property Detail Report.

4/10/19 - Exception satisfied

(No Data)

Not Applicable

CFCFS1734: Borrower has significant time at current job
- Clayton Comments: The borrower has been employed for 10 years.

CFCFS1741: Credit score exceeds guidelines
- Clayton Comments: 734 qualifying score. Min required per guidelines is 680.

26508801

XXXXXX

QM: Safe Harbor

Compliance

TILA/RESPA Integrated Disclosure

Active

CMPTRID4352

TRID - CD: At least one section contains formatting that does not comply with the Regulation

Final CD 2.25.19: Section Loan Cost C., did not reflect the following seller paid fees entered from the seller's CD.Title- e recording fee $4.50, Title Search Fee $200. And seller paid fees from section H. Listing agent commission $26,250, seller commission $26,250, Property sale fee $630, RCO fee $730, Lien search $230, doc prep $67.63, HOA $250.

4.10.19 Exception Remains

Hybrid

Not Applicable

26508801

XXXXXX

QM: Safe Harbor

Credit

Assets

Satisfied

CRDAST2670

Asset documentation is insufficient per guideline requirements

Borrowers received $220,000 gift. Missing gift letter for $220,000, Lender to provide.

4/8/2019: Gift letter provided.

4/10/2019 - Exception satisfied.

(No Data)

Not Applicable

26508801

XXXXXX

QM: Safe Harbor

Credit

DTI

Satisfied

CRDDTI2540

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

Missing documentation to verify monthly PITI is not more than $680.90 for property XXX. Provide mortgage statement, property tax and homeowners insurance documentation to verify monthly obligation is not more than $680.90. Missing documentation to verify monthly PITI and Heloc + HOA dues are not more than $3,660.17 for property XXX. Provide mortgage statement, property tax, homeowners insurance and HOA dues documentation to verify monthly obligation is not more than $3,660.17. Missing documentation to verify property is free and clear and monthly T&I is not more than $155.75 for property XXX. Provide documentation to verify property is free and clear and property tax and homeowners insurance documentation to verify monthly obligation is not more than $155.75. Missing documentation to verify disposition of XXX property. Lender to provide documentation to verify what is the disposition of XXX property. (on 2017 1040 schedule E)

4/8/2019: Disagree: Please see the documentation to verify monthly PITI is not more than $680.90 for property XXX; 2)Please see the documentation to verify monthly PITI and Heloc + HOA dues are not more than $3,660.17 for property XXX; 3)Please see the documentation to Verify property is free and clear and monthly T&I is not more than $155.75 for property XXX; 4) Please see the HUD 1 supporting that the property has sold for XXX property. (FE) Clayton - Lender provided 1) XXX statement for XXX. PITI $680.90. Also BOA statement for HELOC $365.73. Total PITI $1046.63 mo. 2) XXX statement XXX PITI $2453.17. XXX $1007.25. HOA $33.33 mo. Total PITIA $3493.75 3) Property Detail Report for XXX taxes $795 and Hazard $1074 yr = 1869/12= $155.75 yr 4) Settlement statement for XXX, sold 1/16/19 and Property Detail Report.

4/10/19 - Exception satisfied

(No Data)

Not Applicable

Client Name:

Goldman Sachs

Client Project Name:

GSMBS PJ2-2019

Start - End Dates:

7/2018 to 4/2019

Deal Loan Count:

189

Conditions Report 2.0

Loans in Report:

189

Loans with Conditions:

145

Alt Loan Number

TRID Indicator

Lender Application Date

Broker Application Date