Property Management Services

Prepared by:CLM Management LLC9650 Strickland Road

Suite 103-290Raleigh, NC 27615

http://www.myCLM.com

Main: (888) 456-8627Fax: (866) 347-7418

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Company Background and OfficersCLM Management, is a licensed real estate company specializing in the management of small to medium (1-10 units) resi-dential properties in and around Raleigh, NC. Founded in 2005 as LouMar Home Services, the firm was renamed in 2007 as CLM Management with over 100 properties under management.

LouMar Home Services was founded by Louis and Mariella Guillama, a husband and wife Realtor® team who recognized a need for competent, service-minded property managers. With affordable monthly rates, a commitment to proactive care for their customers’ properties and a genuine enjoyment of their work, Louis remains involved with the company and continuously seeks to improve the service.

As a second generation realtor, Louis Guillama holds real estate licenses in both Florida and North Carolina. An honors graduate of Florida International University, holding Finance and International Business degrees, Louis was involved in real estate as a child. He eventually operated the family ERA franchise in Miami, where he first ventured into property management service and oversaw construction of a new corporate office. His knowledge of construction, pursuit of knowledge in the field, and familiarity with preventive maintenance, provides clients a unique resource in preserving and extending the economic life of their investments. It also provides clients with a valuable resource in negotiating repairs with 3rd party contractors.

Mariella Guillama also shares a background in real estate sales, and holds licenses in Florida and North Carolina. In her first year in real estate, Mariella used her interpersonal skills and problem-solving abilities to quickly become the highest selling agent among a staff of 23 licensees. She enjoys forming lasting relationships with customers and finding innovative solutions to difficult problems.

A Proactive ApproachA challenging real estate market and limited financial resources have increased the need to manage holding costs for real es-tate owners and investors alike. With a greater proportion of incomes going towards debt service, greater emphasis is placed on reducing expenses and preserving cash flow. One way to do this is by reducing repair costs through regular inspections and implementing a sound preventive maintenance program. CLM Management performs these functions at an affordable rate and in a competent manner.

Build Lasting RelationshipsOur goal is simple: Build long-term relationships with our customers. By partnering with CLM, investors can focus on the big picture and leave the details to professionals who dedicate themselves to the role. If you consider expanding your investment portfolio, our affiliate broker Daymark Realty will help you identify properties that meet clearly defined investment criteria. We’ll then help you grow your wealth by operating your properties in a profitable manner.

NOTE: CLM Management inspections are not intended as an alternative to hiring a state licensed home inspector.

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Services Description

CLM Management offers three different management programs plus a tenant placement service through our affiliate provider, Daymark Realty.

Level 0 - TENANT FINDEROur Tenant Finder service will find and place a qualified tenant in your property. For a small fee, we will advertise your property, show your property to prospective tenants, use our credit and criminal background screening service, prepare the lease agreement, complete the move-in inspection and coordinate the transfer of utilities.

Level 1 - TRUST MANAGEMENTTRUST MANAGER

Our Trust Management program offers you trust account management to keep you in compliance with state laws. We’ll establish a trust account in your name, receive and process rental payments and disburse funds. At the end of every month you’ll receive an accounting of monies and at the end of the year, a summary of your account to help with your taxes.

Level 2 - RENTAL BASICSTRUST MANAGER ON-CALL

Our Rental Basics plan represents our entry-level management service and offers trust account management plus basic management functions, such as on-call maintenance and end-of-lease inspections. Tenants and owners receive access to our online reporting system, allowing you to report/monitor maintenance requests and generate reports on account balances and transactions.

Level 3 - RENTAL PLUSTRUST MANAGER ON-CALL PREVENTIVE MAINTENANCE

Rental Plus is our most comprehensive service offering trust account management, on-call maintenance services and preventive maintenance services with periodic inspections. For just pennies more per day, you can rest assured that your property is receiving the proper care and maintenance recommended to extend the life of your asset.

Services PricingTenantFinder

TrustManagement

RentalBasics

RentalPlus

1 - 8 Units* 7% of Gross Lease**

$29 Set-up Fee$39 Monthly

$29 Set-up Fee$79 Monthly

$99 Set-up Fee$129 Monthly

9 or more Units* 5% of GrossLease**

$22 Set-up Fee$25 Monthly

$22 Set-up Fee$59 Monthly

$79 Set-up Fee$99 Monthly

*Units are defined as residential housing units. A single family home represents one housing unit. A duplex represents two housing units, etc.**A discounted 2% rate is charged on renewals.

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CLM Management (888) 456-8627

Services ScheduleService Plan

Package TenantFinder

TrustMgmt

RentalBasic

RentalPlus

Service FrequencyAdministrative

Rent Surveys Property Marketing Property Showings

Tenant Screening Lease Negotiation Move-In Condition Report Move-out Condition Report Trust Account Management

Health & SafetySmoke Detectors SA Stairs SA GFCI SA Trip Hazards SM

Preventive MaintenanceGutters SA Windows SA Draft Survey A Foundation A Water Heater A Air Filter SM Furnace A Brick A Lubricate Knobs, Doors, Windows A Drain Cleaning A Crawl Space Inspection SA Pressure Wash Siding A Pressure Wash Driveway A Roof & Attic Inspection A FREE Minor Repair Labor (max 20 min.) M Adjust Sticking Doors A

Frequency LegendSM Semi-Monthly M MonthlySA Semi-Annual A Annual

on the web http://www.myCLM.com

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Description of Services

GuttersInspect for leaks, caulk & paint where necessary, clean downspouts, test drainage, inspect splash block.

Crawl Space InspectionCheck for effloresence, fungus and mold. Check ventilation. Inspect vapor barrier and insulation. Check for moisture.

Roof & AtticCheck for loose and damaged shingles. Inspect flashing. Check for moisture intrusion. Check insulation and weatherproofing.

WindowsInspect overall condition. Caulk window trim and door frames. Check weatherproofing.

DoorsCaulk exterior frames. Lubricate hinges. Inspect for damage.

CabinetsLubricate hinges and drawer slides. Adjust doors as necessary.

SprinklersCheck for damaged risers, leaks. Test overall system performance.

ConcreteClean and degrease exterior surfaces.

Plumbing FixturesClean and inspect for proper operation, leaks.

Dryer DuctInspect duct and clean if necessary.

Washing MachineInspect hose connections and check for leaks.

RefrigeratorClean and inspect refrigerator condensor coils, empty drip pan and lubricate gaskets.

Garage DoorCheck springs, lubricate door glides, inspect track, check auto-reverse feature.

InsulationCheck condition of insulation where visible. Attach spigot covers in winter (as needed). Check wrapping on wa-ter lines in crawl space and exposed areas.

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Exterior Light BulbsCheck for proper operation.

Smoke DetectorsReplace batteries twice each year and recommend replacement after 90,000 hours continuous use.

DishwasherClean interior annually to remove stains and build-up of deposits.

Termite InspectionsTermite inspections can be ordered on an annual basis if requested.

Septic TankCheck distribution cover for damage and inspect surrounding area for standing water. Order annual inspection on request.

Storm WindowsInstall as necessary each Winter and remove early Spring.

Deck Inspection and TreatmentInspect condition of components and treat with water sealer annually.

Service PanelIdentify and label each breaker, monitor for loose fitting breakers.

Electrical Outlets & SwitchesTest for proper operation and wiring, replace as needed.

Trees & VegetationTrees are inspected ti ensure adequate distance from walks, driveways and foundations. They are also periodi-cally inspected for overall health. Vegetation near the exterior surface is monitored.

StairsInspect condition of balusters, newel posts and rails. Repair as necessary.

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Premium Services

Vapor Barrier Installation (includes labor and materials for up to 2000 sqft) $649Crawl space surface will be cleaned and debris removed. 6mil vapor barrier will be installed with minimum 6” overlaps and weighted down along the perimeter.

Vacation Home Opening/Closing $349Comprehensive cleaning service before and after your stay. Includes removal and installation of customer-provided furniture cloths. Priming pumps. Activation of water heater, irrigation system, cable tv and phone service.

Tree Trimming $QuoteCanopy thinning and tree removal services, including cleanup, as low as $80 per tree when ordered in multiples. This service is provided by our preferred trading partner with over 15 years experience in the Triangle.

Landscape Service $QuoteWhether you need to improve a corner of your yard or replace the entire lawn, LouMar Home Services can help with affordable, dependable landscaping service.