HOMES 2023-NQM1 ABS-15G

EXHIBIT 99.15

 

Dummy ID Loan Number 1 Loan Number 2 Borrower Last Name Property State Note Date Loan Purpose TPR QM ATR Status Initial Overall Loan Grade Final Overall Loan Grade Exception Category Exception Subcategory Exception Code Final Exception Status Initial Exception Grade Final Exception Grade Exception Exception Detail Follow-up Comments (Exception Response) Exception Conclusion Comments Compensating Factors Curable Status Loan Status Review Date Cleared Date Cured Date Exception Date
5OZZSWY31VD xx   xx xx xx Purchase Non-QM/Compliant 3 2 Compliance Compliance 5OZZSWY31VD-L5G0OVLJ Resolved 3 R * Missing Initial Closing Disclosure (Lvl R) Missing initial loan estimate. Require initial loan estimate.

Received initial LE dated 06/01/2022
Received initial LE dated 06/01/2022 Received initial LE dated 06/01/2022     QC Complete 12/07/2022 12/07/2022 12/07/2022 12/07/2022
5OZZSWY31VD xx   xx xx xx Purchase Non-QM/Compliant 3 2 Compliance Compliance 5OZZSWY31VD-T6JX6WMZ Resolved 3 R * Closing_Disclosure violations (Lvl R) As per Final CD closing date is xx, disbursement date is xx and borrower signed on xx. Require PC CD with corrected disbursement date.

Received PC CD with corrected disbursement date.
Received PC CD with corrected disbursement date. Received PC CD with corrected disbursement date.     QC Complete 12/07/2022 12/07/2022 12/07/2022 07/21/2022
5OZZSWY31VD xx   xx xx xx Purchase Non-QM/Compliant 3 2 Credit Guidelines 5OZZSWY31VD-J587LE2V Waived 2 W * Loan does not conform to program guidelines (Lvl W) As per given Non Qm Exception Form Exception Request: Exception to proceed with deed Restricted Property. The Deed restriction is due to an age Requirement of the Community.

Exception approval with compensating factor

Housing Expense - Housing Expense - 25%
Excellent Credit History - 0*30*24
    Housing Expense - Housing Expense - 25%

Excellent Credit History - 0*30*24
  QC Complete 12/07/2022     07/21/2022
5OZZSWY31VD xx   xx xx xx Purchase Non-QM/Compliant 3 2 Compliance Compliance 5OZZSWY31VD-DK9NVDYI Resolved 2 R * Higher-Priced Mortgage Loan test Fail (Lvl R) This loan failed the higher-priced mortgage loan test. Using the greater of the disclosed APR and the calculated APR, the loan is a higher-priced mortgage loan, as defined in Regulation Z. While the higher-priced mortgage loan provisions specify that lenders can legally make this type of loan subject to additional requirements in 12 CFR §1026.35, some lenders and secondary market investors may prefer not to fund or buy higher-priced mortgage loans even if the additional conditions are met.

Higher-Priced Mortgage Loan Test FAIL : Charged 6.901%  Allowed 6.680%  Over by +0.221%

Resolved: HPML loans are allowed per originator’s guidelines.  File was reviewed to ensure that it is compliant with regulation 1026.35(b), (c) and (d).
Resolved: HPML loans are allowed per originator’s guidelines.  File was reviewed to ensure that it is compliant with regulation 1026.35(b), (c) and (d). Resolved: HPML loans are allowed per originator’s guidelines.  File was reviewed to ensure that it is compliant with regulation 1026.35(b), (c) and (d).     QC Complete 12/07/2022 12/07/2022 12/07/2022 08/02/2022
J03FKQLX4UX xx   xx xx xx Purchase Non-QM/Compliant 3 1 Credit Guidelines J03FKQLX4UX-28GAQH2C Resolved 3 R * Income documentation does not meet guidelines (Lvl R) Original income calculation included bank statement from June 2021 till May 2022. Bank #xx statement for the month of May 2022 is missing in the loan file. Require bank #xx statement for the month of May 2022.

Received bank account #xx transaction history for the month of May 2022
Received bank account #xx transaction history for the month of May 2022 Received bank account #xx transaction history for the month of May 2022     QC Complete 12/07/2022 12/07/2022 12/07/2022 07/21/2022
J03FKQLX4UX xx   xx xx xx Purchase Non-QM/Compliant 3 1 Compliance Compliance J03FKQLX4UX-DK9NVDYI Resolved 2 R * Higher-Priced Mortgage Loan test Fail (Lvl R) This loan failed the higher-priced mortgage loan test. Using the greater of the disclosed APR and the calculated APR, the loan is a higher-priced mortgage loan, as defined in Regulation Z. While the higher-priced mortgage loan provisions specify that lenders can legally make this type of loan subject to additional requirements in 12 CFR §1026.35, some lenders and secondary market investors may prefer not to fund or buy higher-priced mortgage loans even if the additional conditions are met.

Higher-Priced Mortgage Loan Test: Charged 6.818%  Allowed 6.660%  Over by +0.158%

Resolved: HPML loans are allowed per originator’s guidelines.  File was reviewed to ensure that it is compliant with regulation 1026.35(b), (c) and (d).
Resolved: HPML loans are allowed per originator’s guidelines.  File was reviewed to ensure that it is compliant with regulation 1026.35(b), (c) and (d). Resolved: HPML loans are allowed per originator’s guidelines.  File was reviewed to ensure that it is compliant with regulation 1026.35(b), (c) and (d).     QC Complete 12/07/2022 12/07/2022 12/07/2022 12/07/2022
J03FKQLX4UX xx   xx xx xx Purchase Non-QM/Compliant 3 1 Compliance Compliance J03FKQLX4UX-HJ060Q28 Resolved 2 R * Higher Price Mortgage Loan (Lvl R) This loan failed the CA AB 260 higher-priced mortgage loan test. Using the greater of the disclosed APR and the calculated APR, the loan is a higher-priced mortgage loan, as defined in the California Financial Code. While the California Financial Code provisions specify that lenders may lawfully make this type of loan subject to certain disclosure requirements and additional limitations, some lenders and secondary market investors may prefer not to fund or buy higher-priced mortgage loans even if the additional conditions are met.

CA AB 260 Higher-Priced Mortgage Loan Test: Charged 6.818%  Allowed 6.660%  Over by +0.158%

Resolved: HPML loans are allowed per originator’s guidelines. File was reviewed to ensure that it is compliant with regulation CA AB 260, California Financial Code Division 1.9 4995(a).
Resolved: HPML loans are allowed per originator’s guidelines. File was reviewed to ensure that it is compliant with regulation CA AB 260, California Financial Code Division 1.9 4995(a). Resolved: HPML loans are allowed per originator’s guidelines. File was reviewed to ensure that it is compliant with regulation CA AB 260, California Financial Code Division 1.9 4995(a).     QC Complete 12/07/2022 12/07/2022 12/07/2022 07/21/2022
BQBTL3NTTWW xx   xx xx xx Purchase Not Covered/Exempt 2 2 Credit Guidelines BQBTL3NTTWW-J587LE2V Waived 2 W * Loan does not conform to program guidelines (Lvl W) Loan file does not meet guide requirement. Guide requires that, borrower must own a primary residence and, at least one (1) trade line must be a primary residential mortgage reporting for a minimum of twelve (12) months.

Exception approval with compensating factor

High Credit Score - 746
High Asset Reserves - 38.36 months
    High Credit Score - 746

High Asset Reserves - 38.36 months
  QC Complete 12/07/2022     07/11/2022
WRAWOUJTAEU xx   xx xx xx Purchase Non-QM/Compliant 3 1 Valuation Valuation WRAWOUJTAEU-ZI5GG5MN Resolved 3 R * Automated Appraisal Review Missing (Lvl R) Loan amount id greater than $1.5 MM. Require 2nd full appraisal to support original stated value.

Received 2nd full appraisal with valuation of xx
Received 2nd full appraisal with valuation of xx Received 2nd full appraisal with valuation of xx     QC Complete 12/07/2022 12/07/2022 12/07/2022 07/18/2022
FO3OXK1BR02 xx   xx xx xx Cash Out Non-QM/Compliant 3 2 Compliance Compliance FO3OXK1BR02-DK9NVDYI Resolved 2 R * Higher-Priced Mortgage Loan test Fail (Lvl R) This loan failed the higher-priced mortgage loan test. Using the greater of the disclosed APR and the calculated APR, the loan is a higher-priced mortgage loan, as defined in Regulation Z. While the higher-priced mortgage loan provisions specify that lenders can legally make this type of loan subject to additional requirements in 12 CFR §1026.35, some lenders and secondary market investors may prefer not to fund or buy higher-priced mortgage loans even if the additional conditions are met.

Higher-Priced Mortgage Loan Test Fail : Charged 7.373% Allowed 6.810% Over by +0.563%.

Resolved: HPML loans are allowed per originator’s guidelines.  File was reviewed to ensure that it is compliant with regulation 1026.35(b), (c) and (d).
Resolved: HPML loans are allowed per originator’s guidelines.  File was reviewed to ensure that it is compliant with regulation 1026.35(b), (c) and (d). Resolved: HPML loans are allowed per originator’s guidelines.  File was reviewed to ensure that it is compliant with regulation 1026.35(b), (c) and (d).     QC Complete 12/07/2022 12/07/2022 12/07/2022 08/04/2022
FO3OXK1BR02 xx   xx xx xx Cash Out Non-QM/Compliant 3 2 Credit Credit FO3OXK1BR02-U0OKEMMW Waived 3 W * Required Documentation Missing or Incomplete  (Lvl W) Loan file is missing residential pay history for the most recent 12 months. Require residential pay history for recent 12 months.

Exception approval with compensating factor

High Credit Score - 792
Low DTI Ratio - 1%
LTV% less than 70% - xx
High Residual Income - $400K/month
    High Credit Score - 792

Low DTI Ratio - 1%

LTV% less than 70% - xx

High Residual Income - $400K/month
  QC Complete 12/07/2022     08/04/2022
XFVJSYJC40G xx   xx xx xx Cash Out Non-QM/Compliant 2 1 Compliance Compliance XFVJSYJC40G-HJ060Q28 Resolved 2 R * Higher Price Mortgage Loan (Lvl R) This loan failed the CA AB 260 higher-priced mortgage loan test. Using the greater of the disclosed APR and the calculated APR, the loan is a higher-priced mortgage loan, as defined in the California Financial Code. While the California Financial Code provisions specify that lenders may lawfully make this type of loan subject to certain disclosure requirements and additional limitations, some lenders and secondary market investors may prefer not to fund or buy higher-priced mortgage loans even if the additional conditions are met.

CA AB 260 Higher-Priced Mortgage Loan Test: Charged 7.461% Allowed 7.380% Over by +0.081%

Resolved: HPML loans are allowed per originator’s guidelines.  File was reviewed to ensure that it is compliant with regulation CA AB 260, California Financial Code Division 1.9 4995(a).
Resolved: HPML loans are allowed per originator’s guidelines.  File was reviewed to ensure that it is compliant with regulation CA AB 260, California Financial Code Division 1.9 4995(a). Resolved: HPML loans are allowed per originator’s guidelines.  File was reviewed to ensure that it is compliant with regulation CA AB 260, California Financial Code Division 1.9 4995(a).     QC Complete 12/07/2022 12/07/2022 12/07/2022 07/21/2022
XFVJSYJC40G xx   xx xx xx Cash Out Non-QM/Compliant 2 1 Compliance Compliance XFVJSYJC40G-DK9NVDYI Resolved 2 R * Higher-Priced Mortgage Loan test Fail (Lvl R) This loan failed the higher-priced mortgage loan test. Using the greater of the disclosed APR and the calculated APR, the loan is a higher-priced mortgage loan, as defined in Regulation Z. While the higher-priced mortgage loan provisions specify that lenders can legally make this type of loan subject to additional requirements in 12 CFR §1026.35, some lenders and secondary market investors may prefer not to fund or buy higher-price mortgage loans even if the additional conditions are met.

Higher-Priced Mortgage Loan Test Fail: Charged 7.461% Allowed 7.380%  Over by +0.081%

Resolved: HPML loans are allowed per originator’s guidelines.  File was reviewed to ensure that it is compliant with regulation 1026.35(b), (c) and (d).
Resolved: HPML loans are allowed per originator’s guidelines.  File was reviewed to ensure that it is compliant with regulation 1026.35(b), (c) and (d). Resolved: HPML loans are allowed per originator’s guidelines.  File was reviewed to ensure that it is compliant with regulation 1026.35(b), (c) and (d).     QC Complete 12/07/2022 12/07/2022 12/07/2022 12/07/2022
TA2ZZLB5DWC xx   xx xx xx Purchase Non-QM/Compliant 4 2 Valuation Valuation TA2ZZLB5DWC-ZI5GG5MN Resolved 3 R * Automated Appraisal Review Missing (Lvl R) Original loan amount is more than $1.5 MM. Loan file require a 2nd full appraisal to support the original stated value.

Received 2nd full appraisal
Received 2nd full appraisal Received 2nd full appraisal     QC Complete 07/27/2022 07/28/2022 07/28/2022 07/26/2022
TA2ZZLB5DWC xx   xx xx xx Purchase Non-QM/Compliant 4 2 Credit   TA2ZZLB5DWC-4ZA4ZEZQ Waived 4 W * DTI > 50% (Lvl W) Loan file is submitted with DTI of more than 50%. Loan file is missing final settlement/HUD/closing statement for current primary residence located xx. The DTI exceeds maximum allowed per the lending guide. Require settlement/HUD/closing statement for property located at xx.

Exception approval with compensating factor

High Credit Score - 787
High Asset Reserves - 32.99 months
High Residual Income - $27,953.92
    High Credit Score - 787

High Asset Reserves - 32.99 months

High Residual Income - $27,953.92
  QC Complete 07/27/2022     07/26/2022
W30QZDEEA15 xx   xx xx xx Purchase Non-QM/Compliant 2 2 Credit Guidelines W30QZDEEA15-J587LE2V Waived 2 W * Loan does not conform to program guidelines (Lvl W) As per lending guide "Management VOR" is needed when borrower lives on rent however in the loan file we have received VOR from private individual along with receipts as borrower is making payment in cash, for the same we have received exception approval form.

Exception approval with compensating factor

Low DTI Ratio - 32.54%
Residual Income - Residual Income - 400% more than guide requirement
Excellent Credit History - 0*30*24
    Low DTI Ratio - 32.54%

Residual Income - Residual Income - 400% more than guide requirement

Excellent Credit History - 0*30*24
  QC Complete 12/07/2022     07/18/2022
W30QZDEEA15 xx   xx xx xx Purchase Non-QM/Compliant 2 2 Compliance Compliance W30QZDEEA15-DK9NVDYI Resolved 2 R * Higher-Priced Mortgage Loan test Fail (Lvl R) This loan failed the higher-priced mortgage loan test. Using the greater of the disclosed APR and the calculated APR, the loan is a higher-priced mortgage loan, as defined in Regulation Z. While the higher-priced mortgage loan provisions specify that lenders can legally make this type of loan subject to additional requirements in 12 CFR §1026.35, some lenders and secondary market investors may prefer not to fund or buy higher-priced mortgage loans even if the additional conditions are met.

Higher-Priced Mortgage Loan Test Fail: Charged 8.903% Allowed 6.680% Over by +2.223%.

Resolved: HPML loans are allowed per originator’s guidelines.  File was reviewed to ensure that it is compliant with regulation 1026.35(b), (c) and (d).
Resolved: HPML loans are allowed per originator’s guidelines.  File was reviewed to ensure that it is compliant with regulation 1026.35(b), (c) and (d). Resolved: HPML loans are allowed per originator’s guidelines.  File was reviewed to ensure that it is compliant with regulation 1026.35(b), (c) and (d).     QC Complete 12/07/2022 12/07/2022 12/07/2022 08/02/2022
2RI4ASD2UIU xx   xx xx xx Purchase Not Covered/Exempt 2 2 Credit Guidelines 2RI4ASD2UIU-J587LE2V Waived 2 W * Loan does not conform to program guidelines (Lvl W) Loan file does not meet guide requirement. Guide restricts business ownership at 100% for using business assets. Borrower ownership is at 50%.

Exception approval with compensating factor

High Credit Score - 754
High Residual Income - $24,064.00
Length of Time at Employment - Self employed since 2008
    High Credit Score - 754

High Residual Income - $24,064.00

Length of Time at Employment - Self employed since 2008
  QC Complete 08/04/2022     08/04/2022
ZEONKK0GM2M xx   xx xx xx Purchase Not Covered/Exempt 2 2 Credit Guidelines ZEONKK0GM2M-J587LE2V Waived 2 W * Loan does not conform to program guidelines (Lvl W) Loan file does not meet guide requirement. Guide requires at least one (1) trade line must be a primary residential mortgage reporting for a minimum of twelve (12) months. Loan file reflects borrower is a tenant for his/her primary residence.

Exception approval with compensating factor

Excellent Credit History - 0*30*24
High Asset Reserves - 12 months
    Excellent Credit History - 0*30*24

High Asset Reserves - 12 months
  QC Complete 07/29/2022     07/28/2022
GLWQJ0NJ0TI xx   xx xx xx Purchase Not Covered/Exempt 4 2 Credit Guidelines GLWQJ0NJ0TI-J587LE2V Waived 4 W * Loan does not conform to program guidelines (Lvl W) Loan file does not meet the guide requirement. Guide restricts a minimum loan amount of $150,000 and housing history to reflect for at least 12 months.

Exception approval with compensating factor

Excellent Credit History - 0*30*24
High Asset Reserves - 9 months of PITIA
    Excellent Credit History - 0*30*24

High Asset Reserves - 9 months of PITIA
  QC Complete 12/07/2022     08/09/2022