TAX PRORATIONS

Typical estimates of tax impounds required based on closing date (OREGON)

Tax Due Date: November 15th Period Covered: July-July

CLOSE OF ESCROW INITIAL LOAN PAYMENT DATE IMPOUNDS REQUIRED NUMBER OF INSTALLMENTS PAID

January March February April March May April June 6 months collected Buyer pays 5 months + number of days in January 7 months collected Buyer pays 4 months + number of days in February 8 months collected Buyer pays 3 months + number of days in March 9 months collected Buyer pays 2 months + number of days in April

May July

10 months collected Buyer pays 1 months + number of days in May June August 11 months collected Buyer pays number of days in possession for June July September 12 months collected Seller pays number of days in possession for July August October 13 months collected Seller pays number of days from July 1st to closing September November 14* months collected Seller pays number of days from July 1st to closing October December 15* months collected Seller pays number of days from July 1st to closing November January 14 months collected If not paid, Seller pays number of days from July 1st to closing** December February 5 months collected Buyer pays 6 months + number of days in December *Number of months in reserves include two extra months as generally required by lenders. **If paid, buyer pays 7 months, plus number of days in November.

IMPORTANT CONSIDERATIONS:

1. The tax year is from July to July but taxes are made due and payable in full on November 15th. Interest begins on unpaid taxes on November 15th. 2. Taxes are estimated between October 1st and when they are posted and certified, October 15th, by last year’s amount, plus 10-20%. 3. Tax reserve estimates are based on the lender requiring two additional months of reserves over the actual needed. 4. Lender may require a holdback of taxes. If this is the case, reserves may vary. 5. The exact amounts your lender will require in order to establish your impound account may vary based upon the actual closing date of your transaction. Please note that “impound” amounts are not fees. “Impounds” are funds held for property tax payments made on your behalf by your lender. For complete information regarding your impound account, please contact your loan officer.