Thank you for choosing Oaktree Funding Corp! We have many exciting Products & Programs to help you meet and exceed your borrower's expectations! Please see below for our minimum credit score and some of our program flyers. We have a very deep investor base and most of our loan programs have very little overlays, you will quickly find that we are a great partner for getting deals DONE! Thank you again for choosing Oaktree Funding!

1. 04-09‐2014
Asset Advantage Program 101
(Wholesale)
Owner Occupied
(1‐Unit Only)
Second Home
(1‐Unit Only)
Investment Property
(1‐Unit Only)
Minimum FICO Max C LTV Minimum FICO Max CLTV Minimum FICO Max C LTV
720 80% 720 75% 720 70%
700 75% 700 70% 700 65%
Eligible Products • 15YRFIX101 – 15 Year Fixed Rate
• 30YRFIX101 – 30 Year Fixed Rate
• 7/1ARM101 – 7/1 Hybrid (5/2/5 Caps 12 ML 4.25% Margin)
Loan Amount
• Minimum Loan amount $100,000
• Maximum Loan Amount $850,000
Age Of Documents
• All credit documents must be dated within 120 days of the note date.
• Preliminary Title Policies must be no more than 180 days old on the date the note is signed.
Credit Score
• The credit score used to qualify will be based on the middle of three scores. If only two scores are available then the lower of the two should be used as the qualifying credit score.
• In the event that the transaction has more than one borrower, the lower of all qualifying credit scores will be used.
Trade lines • Minimum of two trade lines are required for all borrowers that are contributing income to qualify. At least one trade line must be open and active for the past 24 months.
• A current mortgage paid as agreed for past 60 months will override the minimum trade line requirement
Housing History
• Max 0x30x24 inclusive of all mortgages on all REO for all borrowers on the transaction
• VOM/VOR as a standalone documentation is not acceptable. If the housing history is not documented on the credit report then cancelled checks are required for the most recent 24 months.
Significant Derogatory Credit
• Period of time that must elapse prior to loan eligibility is as follows:
* Foreclosure ‐ 7 years
* Short Sale, Deed‐in Lieu, or Pre‐foreclosure sales ‐ 7 years
* Bankruptcy:
o Chapter 7 or 11 ‐ 4 years from discharge or dismissal
o Chapter 13 ‐ 2 years from discharge or 4 years from dismissal
* Reduction in Oaktree standard waiting periods are NOT reduced for any extenuating circumstances.
Asset Inclusion Methodology and Income
Calculation
• For calculation of income, please refer to Oaktree Asset Inclusion Calculation Tool
• Cash/Cash equivalents: 100% of the current balance/Value can be used to meet the minimum assets required
• Brokerage accounts: 70% of the current value may be used to meet the minimum assets required
• Retirement Funds: 70% of the face value can be used to meet the minimum assets required as indicated on the Asset Inclusion Calculation Tool
• Must document the terms and conditions of withdraw. In cases where additional fees and/or restrictions, the eligible amount may be further reduced.
• Refer to DTI section of this matrix for additional details for max DTI calculation
• Dual utilization of assets is prohibited. Assets used to supplement the borrower’s income cannot also be included in either the reserves calculation or as income generators through interest or dividends
Eligible Assets
• Refer to the Oaktree selling guide for eligible assets
• Gift Funds are not eligible
• VOD’s as standalone documentation are not eligible. Assets must be fully documented in accordance with the Oaktree Selling Guide

2. 04-09‐2014
Employment/IncomeVerification
• Employment and income documentation must comply with Employment and Income Analysis and Documentation section of the Oaktree Selling Guide
• VOE’s as a standalone document are not acceptable. Income must be fully documentedas outlined in the OaktreeSelling Guide.
• Tax transcripts are required for each borrower whose income is utilized as a source of repayment. The most recent available tax transcripts are required to support the income used to qualify the borrower.
• A signed 4506‐T is required for all transactions
• Mortgage Credit Certificates (MCCs): Not permitted
Conversion of a Primary Home to an
Investment Property
• Rental Income: To use rental income to qualify, must include proof that equity position is at least 30%
• Required documentationto include fully executed lease agreement and proof of receipt of security deposit from tenant.
• Proposed tenant cannot include a family member or an individual with an established relationshipwith any party involved with transaction
Debt to Income
• Back‐End Ratios cannot exceed 55% prior to the utilization of assets
• 7/1 ARM must be qualified based on the greater of the note rate or the fully indexed rate
Residual Income • Must meet the minimum residual income as indicated on the Oaktree Residual Income Analysis worksheet
Reserves
• Only liquid assets are eligible to be considered to meet the minimum reserve requirement. Refer to the Oaktree Selling Guide for a comprehensive list of eligible liquid assets.
• For loan amounts less than $417,000 – 6 Months PITIA is required
• For loan amounts greater than $417,000 – 12 months PITIA is requires
• For Investment property transactions, an additional 6 months PITIA is required for each additional property
Seller Concession
• 75%‐80% CLTV max 3% seller concession
• < 75% CLTV max 6% seller concession
Minimum Borrower Investment
• All funds for down payment/closing costs must come from the borrowers own funds
• Gift funds as a source of down payment/closing costs are not eligible.
Appraisals
• Full Interior/Exteriorform 1004 is required on all transactions
•Appraisal Condition Rating of C5/C6 or a Quality Rating of Q6: Not permitted
•Reuse of an appraisal from a prior transaction: Not Permitted
• Oaktree will require successful UCDP Submission Summary Reports (SSRs) from both Fannie Mae and Freddie Mac. Oaktree not purchase loans that include the recently added proprietary messages that indicate 100% of the loans submitted
with appraisals from the identified appraiser will be reviewed, or that Fannie Mae will not accept appraisals from the identified appraiser, as applicable.
Eligible Property Types
• Single Family Detached
• Single Family Attached
• PUDs
• Condominiums ‐ Refer to CondominiumsSection in this Matrix
• Rural Properties ‐ In accordance with Agency Guidelines, loans must be residential in nature
• Leaseholds ‐ Provide Freddie Mac Ground Lease Analysis (Form 461)
Ineligible Property Types
•Cooperatives
• 2‐4 Unit Properties
• Condotels
• Hotel/Motel Condominiums
• Mobile Homes
• Manufactured Housing
• Commercial Operations
• Geodesic Domes
• Working farms and ranches
• Unimproved Land
• Properties with more than 5 Acres
• Timeshares
Condominiums
•Must meet Fannie Mae eligibility for a full lender review.

3. 04-09‐2014
Limitations on Financed Properties
•Borrower may own up to 4 properties (regardless of being financed or not)
• Refer to additional requirements for Investment Transactions in the Reserve section of this matrix
•Maximum exposure of 2 Oaktree financed loans to any one borrower in a Condo or PUD development
Recently Listed Properties • Refinance Transaction ‐ Properties that were listed for sale within 90 days of the disbursement date of the new mortgage loan, the loan is ineligible for sale to Oaktree.
Eligible Mortgage Products • Fixed Rate: 15 and 30 Year Terms
Loan Purpose
• Purchase
• Rate/Term refi
• Cash out transactions are not eligible
Occupancy
• Owner Occupied
• Second Home
• Investment
• Non‐Occupant Co borrowers are not eligible.
Non‐Arms Length Transactions • Non‐arms length transactions are not permitted.
Escrows • Escrows are required on all loans
AUS
• All Loans Must be submitted to DU for the benefit of alerts
• DU documentation requirements cannot be followed.
•All Loans require a manual underwrite
•Loans within the Fannie Mae standard loan limits must receive a refer recommendation
Assignment of Mortgage
• All loans must be registered with MERS at the time of delivery to Oaktree, and MERS transfer of beneficial rights of servicing rights must be initiated by the Seller, to Oaktree, within 24 hours of purchase.
* If Oaktree will be handling the registration with MERS, please refer to Oaktree Seller's Guide
Buydowns • Temporary Buydowns are not permitted.
Disaster Policy
• When a property is located in a Disaster Area, Oaktree requires verification the structure is sound and not negatively impacted by the Disaster. This must be verified prior to closing/purchasing the loan. Refer to the list of affected
counties published by FEMA at the following link: http://www.fema.gov/news/disaster_totals_annual.fema
• Please refer to Oaktree Seller's Guide for Disaster Procedures
High Cost Loans •Oaktree will not fund High Cost Loans
Seasoning
•Loans must not be aged more than 30 days from the loan closing date until the time the loan is delivered to Oaktree for purchase. This includes the date the credit and closing file is received and the loan is eligible for purchase. All loans must
be purchased by Oaktree within 45 days of the note date.
Secondary Financing
• New Secondary Financing: Not Permitted
• HELOC CLTV position must be calculated at the maximum credit line. Existing secondary financing must be subordinated or can be refinanced in accordance with the Oaktree Selling Guide
State Restrictions
•The following states are not eligible:
• Nevada