This document summarizes a program to help homeowners who owe more than their home is worth. Through the program, experienced negotiators work to secure a discounted sale price on the mortgage note from the lender. Investors then purchase the note at the discounted price and reduce the balance to the current market value of the home. This reduces the homeowner's monthly payment significantly and allows them to stay in their home while rebuilding their credit. The program identifies qualified homeowners who are behind on payments but have a verifiable income and debt-to-income ratio of under 31%. It is not a loan modification or refinancing but aims to disrupt the downward housing market spiral by restructuring unsustainable mortgages.

1. TRUST DEED PRINCIPAL BALANCE REDUCTION PROGRAM

2. Mission Statement EMERGE FINANCIAL ADVISORS IS COMMITTED TO PROVIDING ITS AFFILIATES WITH THE NECESSARY INFORMATION AND TOOLS TO BUILD STRONG CLIENT RELATIONSHIPS, TO SUCCESSFULLY ELIMINATE DEBT AND TO CREATE WEALTH

3. The Downward Housing Spiral As option arm loans recast to higher interest rates and jobs evaporate, people all over the US are being forced to default on their mortgages. These foreclosures depress property values and leave more area homeowners in a compromised position. The additional foreclosures and short sales further depress home values until the average homeowner owes the bank more money than their property is worth. Even homeowners that are current on their mortgage begin to walk away from their under-water properties. Whole neighborhoods have become virtual ghost towns, negatively impacting the entire community with more lost jobs and failed businesses.

4. Can anyone impact this disaster? You can! As an eMerge affiliate, you can be part of the solution to this dangerous financial meltdown! If you can identify homeowners that owe more than their property is currently worth, and that meet a predetermined profile, you can save their home and eliminate negative equity in their property in many cases. Through a revolutionary program backed by private equity funds, you can be well compensated for providing a critical service to the roughly one million families who are in need and who qualify.

5. A Simple, Powerful Concept You are able to help homeowners who are under water on their home mortgage because: Our highly experienced negotiators secure a sell price from the present note holder at a discount from current market value, not the mortgage balance. Our investors purchase the note at the discounted price. They then drop the note amount to the CMV. The homeowner’s mortgage payment is greatly reduced. Applicants keep their home, rebuild their credit and build equity as property values rebound. The downward financial spiral is disrupted.

6. Program Fees Standard Negative Equity $895 Second Trust Deed, HELOC $175 If we are unable to accept the file for negotiation, at any point, the unused portion of the fee will be returned to applicant. If eMerge accepts an applicant into the program and negotiations do not produce an acceptable principal reduction, a minimum of $295 will be returned to the applicant. Applicants that can not be assisted through a principal reduction may elect to roll into our partner’s very successful short sale program.

7. How We Do It We package notes in bundles of 10, 20, 30 notes or more to be negotiated as a group. Note Package eMerge Financial Advisors Copyright 2010

8. Why Banks Will LiquidateUnder-Water Mortgages Banks are in the business of lending, not real estate. Many homeowners today are non-performing borrowers, meaning that they are late or are in foreclosure. It costs the bank less to liquidate than it does to short sale, foreclose or REO the property. Banks will negotiate to sell bundles of non-performing notes at a discount from the current market value. The bank can lend immediately on the money they receive from the liquidation.

9. The Bank’s Options Lenders normally have three options for debt resolution: Short Sale, Bank Ownership (REO) or Foreclosure. Each takes time and will produce a different result… The banks now have a fourth Option! Bank Nets$18,000 Bank Nets $15,822 Bank Nets $2,288 Bank Looses $42.000 eMerge investor purchases the note & assumes all liabilities

10. The Client Profile is Critical Lenders and investors each have a monetary range in which they will work… Lender’s Sell Price Range < Lower Price Higher Price > Investor’s Buy Price Range < Lower Price Higher Price > The cross- over determines our Client Profile Buy Price Sell Price Investors have a price range at which they will buy a note. Lenders have a price range at which they will sell a note. Our highly experienced negotiators secure the lowest sale price possible from the lender. Careful client profiling assures the highest purchase price possible from investors.

11. Qualifying Applicant Profile To ensure success, applicants must meet a specific profile. We can assist homeowners who: Live in a single family residence Occupy the home as their primary residence Are behind on their mortgage payments Are upside down by 20% or more Currently receive a verifiable income Will have a mortgage debt to income ratio of 31% or less after negotiation Are staying current on their other debts (preferred) No mortgage insurance (PMI)

12. Benefits for the Homeowner Principle is reduced to the current market value giving the homeowner a true incentive to stay in their home. Their monthly payment can be reduced by 25% to 50%. The homeowner is now current on their payments. Delinquent homeowners can rebuild credit by simply making their lower mortgage payment on time. There is no new origination so no closing costs. Taxes and insurance can be paid through escrow. People can save their homes, build equity for the future and help preserve their communities!

14. A short sale

15. A short refi

16. A deed in lieu of foreclosure

17. A forbearance

18. A program for the unemployed

20. A restructured note

21. Many American homeowner’s last best chance for financial independence!

22. Qualifying Properties We currently accept single-family residences. The following property types do not currently qualify: Non-owner occupied Agricultural Properties Raw Land Mobile / Manufactured Homes Multi-Family Units Mixed-Use Properties Condos Properties with construction Loans

23. The Principal Reduction Process You present the program to qualified homeowners. Help applicants fill out the app and forward to eMerge. Applicants send guaranteed funds to 3rd party trustee. Trustee disburses funds beginning with a credit check. eMerge orders a BPO or desktop appraisal. eMerge orders a drive-by or full appraisal. File goes to processing for submission to negotiator. If negotiation is successful, note goes to the investor. Investor reduces note balance to CMV. Homeowner is now current, note becomes performing when the first payment is made on time.

24. It is Time to Get Started Thousands of American homeowners need your help! Direct & Fax: 800.834.9163 info@eMergeFA.com www.eMergeFinancialAdvisors.com www.eMergeAffilate.com