Freddie Mac Single-Family Seller/Servicer Guide 1301.5 — Warranties, representations and review

This section contains requirements related to: ■ Reliance on the Seller/Servicer warranties and representations ■ Review of Mortgages by Freddie Mac prior to purchase ■ Warranties and representations by the Seller ■ Survival of warranties; remedies

(a) Reliance on the Seller/Servicer warranties and representations The Seller/Servicer should carefully read the Purchase Documents. The Seller/Servicer acknowledges that Freddie Mac and any transferees or assignees of Freddie Mac purchase Mortgages and trade in any related securities in reliance on the accuracy and truth of the Seller/Servicer’s warranties and representations and on its compliance with the agreements, requirements, terms and conditions set forth in the Purchase Documents.

(b) Review of Mortgages by Freddie Mac prior to purchase Before the Freddie Mac Funding Date (Cash programs) or Settlement Date of the UMBS®, MBS or WAC ARM PC (Guarantor programs), Freddie Mac may, in its discretion, refuse to purchase any Mortgage if it determines any of the following: ■ The Mortgage is not of investment quality ■ The Seller has failed to satisfy or has breached any of the provisions of the Purchase Documents ■ Any of the warranties or representations of the Seller to Freddie Mac are untrue ■ The Seller has failed to provide Freddie Mac with information that is true, complete and accurate as to the Mortgage For each Mortgage it refuses to purchase, Freddie Mac may require the Seller to substitute in its place another Mortgage that is satisfactory to Freddie Mac.

(c) Warranties and representations by the Seller As of the Delivery Date, the Funding Date or the Settlement Date (as applicable), and the date of any substitution of Mortgages pursuant to the Purchase Documents, the Seller makes the warranties and representations in this section for each Mortgage purchased by Freddie Mac. The Seller is fully liable for all warranties and representations made to Freddie Mac, regardless of whether the Seller originated the Mortgage. (i) General warranties and representations 1. The terms, conditions and requirements stated in the Purchase Documents have been fully satisfied 2. All warranties and representations of the Seller are true and correct 3. The Seller is in compliance with its agreements contained in the Purchase Documents 4. The Seller has not misstated, misrepresented or omitted any material fact about the Mortgage 5. The Seller has given correctly and on a timely basis to the Borrower all disclosures and notices required under Applicable Laws and the terms of the Note and the Security Instrument 6. With respect to each ARM, the Seller has calculated any and all adjustments to the interest rate or the monthly payment correctly and given on a timely basis any and all notices of such adjustments completely in accordance with the terms of the Note and Security Instrument and with the requirements of applicable law 7. The Seller has adopted Exhibit 35, Appraiser Independence Requirements, and, for each conventional Mortgage delivered with an appraisal report, the appraisal report was obtained in a manner consistent with Exhibit 35 8. No person or entity on the Freddie Mac Exclusionary List as of the Note Date played a role, as described in Section 3101.1, in the origination or sale of such Mortgage or the related real estate transaction 9. Solely with respect to a Mortgage registered with MERS®, MERS is the mortgagee of record (either by being named in the Security Instrument as nominee for the Seller or as the assignee in a recorded assignment of the Security Instrument), or, where applicable, MERS is not the mortgagee of record for purposes of MERS iRegistration 10. The Seller has adopted Exhibit 42, Property Data Collector Independence Requirements, and, for each conventional Mortgage delivered with a PDR, the property data collection was obtained in a manner consistent with Exhibit 42 Upon Freddie Mac’s written request, either before or after the Funding Date, the Seller will supply evidence satisfactory to Freddie Mac of the Seller’s compliance with any provision of the Purchase Documents. Before the Funding Date, the Seller must obtain Freddie Mac’s written approval of any waivers or modifications to the provisions of the Purchase Documents. The Seller represents and warrants that all persons executing documents on behalf of the Seller are duly authorized to do so. The Seller warrants that it and, if applicable, the originator of the Mortgages it sells to Freddie Mac have complied with all applicable laws relating to licensing, qualification to do business or approval to originate Mortgages. Before the Funding Date, the Seller may contact Freddie Mac to request review of a Mortgage in order to obtain a waiver of the warranty requirements of Sections 3101.1(d) and 1301.5(c)(i)(8). The Seller should make such request to the Freddie Mac Exclusionary List Mailbox at [email protected]. As part of the request, the Seller must: ■ Inform Freddie Mac of the nature and extent of the role played by the person or entity on the Exclusionary List in connection with the Mortgage, and ■ Provide other relevant information upon request If Freddie Mac reviews the Mortgage and subsequently elects to purchase the Mortgage, Freddie Mac will provide the Seller with written notice of such election, in which case the warranty concerning the involvement of an excluded person or entity will not be applicable to the sale of the Mortgage. All other requirements of the Purchase Documents relating to the sale of the Mortgage will remain in full force and effect. Freddie Mac’s election to review and its decision to purchase such a Mortgage are within its sole discretion. (ii) Seller sole Mortgage owner; Mortgage not subject to any other interest As of the Delivery Date, the Seller must be the sole owner of the Mortgage. As of the Funding Date or the Settlement Date, whichever is applicable, all Mortgages purchased by Freddie Mac must be free and clear of all claims, security interests or other encumbrances. The Seller agrees to take or cause to be taken such further actions, including, without limitation, the preparation, execution and filing of additional documents and instruments, as may be reasonably necessary to assure and confirm to Freddie Mac that the Mortgages purchased by Freddie Mac are free and clear of any and all security interests as of the Funding Date or the Settlement Date. The Seller warrants to Freddie Mac that as of the Freddie Mac Funding Date (Cash programs) or Settlement Date of the UMBS, MBS or WAC ARM PC (Guarantor programs), the Mortgage is not subject to any other interest. The Seller further warrants and agrees not to sell, assign, convey, hypothecate, pledge or in any other way transfer (conditionally or otherwise) its interest in a Mortgage that Freddie Mac has purchased except as expressly permitted in the Purchase Documents. (iii)eMortgage representations and warranties For additional representations and warranties related to eMortgages, see Section 1402.3(c)(viii).

(d) Survival of warranties; remedies The warranties and representations in the Purchase Documents for any Mortgage purchased by Freddie Mac survive payment of the purchase price by Freddie Mac. The warranties and representations are not affected by any investigation made by, or on behalf of, Freddie Mac except when expressly waived in writing by Freddie Mac. When any party has purchased a Mortgage from Freddie Mac that Freddie Mac previously purchased from a Seller, Freddie Mac may exercise any rights or remedies at law or in equity on behalf of the party to the extent that the party does not affirmatively do so. Freddie Mac may also exercise its discretion to disqualify or suspend a Seller or a Servicer pursuant to Chapter 2301 or Section 9102.1. For each Mortgage purchased by Freddie Mac, the Seller and the Servicer agree that Freddie Mac may, at any time and without limitation, require the Seller or the Servicer, at the Seller’s or the Servicer’s expense, to make such endorsements to and assignments and recordations of any of the Mortgage documents so as to reflect the interests of Freddie Mac and/or its successors and assigns.