Completion Escrow Agreement Date: The Correspondent Seller on this date is granting a first mortgage loan to (Borrower (s) Name) upon real property located at . Correspondent Name: Fifth Third Loan Number: Correspondent Address: Correspondent Phone Number and Email Address: As a condition of the loan, the borrower (s) agrees to complete certain improvements or make certain repairs to the Property and further agreed that $ (or 1.5 times the cost of improvements as detailed in the third section below) of the loan proceeds shall be held in an escrow (the "Escrowed Sum") by Fifth Third Mortgage Company for a period not longer than 120 days from the date of the original note based upon the following terms and conditions: 1. Fifth Third Mortgage Company shall hold the Escrowed Sum, which is less than or equal to 10% of the original completed appraised value. Fifth Third Mortgage Company shall not be required to pay the Correspondent or their Borrower (s) any interest or earning on the Escrowed Sum. The Escrowed Sum is pledged as additional security for the sums secured by the Security Instrument evidencing Borrower's loan made this date. 2. The Escrow Sum can only be used for the purposes of completing the improvements stated in this document. Borrower (s) agrees to use these funds to complete the improvements no later than 120 days from the date of the original Note. If any Escrow Sum is not used within this timeframe, and escrowed repairs are complete, excess funds will be returned to the contributing party as indicated on the HUD-1 Settlement Statement, unless specified in the Sales Contract. 3. Certain improvements to the said real property, as listed below, have not been completed. These improvements are to be completed on or before the 120th day from the date on the original note. If work has not been completed, the Correspondent Seller agrees that Fifth Third Mortgage Company will have the ability to request repurchase of said loan. Estimated Start Date: Estimated Completion Date (No later than 120 days from the note date): Repairs that need completed to follow (note: be specific/detailed to the repairs): 4. Upon completion of the work and prior to the 120 day deadline, the Correspondent Seller must provide Fifth Third Mortgage Company with one of the following items to document that all the work has been completed and to authorize release of funds: A completion report (Fannie Mae form 1004D/Freddie Mac form 442) performed by the original appraiser is required. 1 An inspection of the property improvements and/or repairs shall be made prior to disbursement of the escrowed funds. This inspection is done solely to satisfy that the required improvements and/or repairs that have been completed and is not a representation or warranty regarding the quality, completeness, or fitness for the intended purpose. There will be one inspection at an estimated cost of $150.00 to be ordered after the improvements and/or repairs are 100% complete. Payment for the inspection shall be deducted from the escrowed sum before disbursement for repairs is completed. 5. Correspondent irrevocably consents to Fifth Third Mortgage Company’s release of funds pursuant to this agreement upon satisfactory completion of only the items listed in this agreement and without regards to the other conditions pertinent to the subject property. Contractor and Correspondent further unconditionally agree to hold Fifth Third Mortgage Company harmless from and against all liability, loss, cost or expense (including, but not limited to, attorney’s fees) in connection with claims by any person concerning the condition of the subject property or relating to any breach or misrepresentation of any party to this agreement. 6. If the Escrow Sum is not sufficient in order to complete the improvements the borrower (s) is held responsible for funding the outstanding amount needed to complete the improvements. If the borrower (s) does not fund the outstanding amount required to complete the improvements within a reasonable time period, Fifth Third Mortgage Company may declare a default at any time thereafter and accelerate the note. 7. Provide a copy of the correspondent seller’s escrow agreement signed by the buyer, property seller (if applicable) and the depositor of funds if other than buyer or property seller. Upon satisfaction of the above terms and conditions, Fifth Third Mortgage Company shall disburse the Escrowed sum to the contractor or to such person as may be authorized to receive payment. The bank shall be deemed to have fulfilled its obligations and be unconditionally released from any and all liability upon its distribution of the escrowed sum in accordance with the terms and provisions of this agreement. This agreement is conditioned upon the loan identified in this document being purchased by Fifth Third Mortgage Company. All items must be 100% complete before final disbursement. _________________________________________________________ Correspondent Seller Name Printed and Signed 2