A Step-by-Step Summary of S.C.O.R.E.:

Vacant foreclosure properties (REO) are marketed by Realtors as "rent-to-own" to recent foreclosure victims, individuals with marginal credit or first-time homebuyers. Terms provide for a Tenant/Buyer occupancy period of up to 30 months, after which time a purchase option must be exercised. Otherwise, property is vacated and marketed again as a S.C.O.R.E. "rent-to-own" property.

Property valuation is determined by Comparative Market Analysis (CMA) by an independent Realtor. Deposit amount required for occupancy is 2% of CMA, 1/2 of which is held as a security deposit and 1/2 of which is credited to the marketing Realtor as a lease commission.

Option to occupy/purchase is first offered to former owners of the property that have been displaced by foreclosure, and then to the general public, as applicable. A minimum credit score of 620 and employment income verification are required by Tenant/Buyer to qualify for occupancy. Tenant/Buyer is responsible for all property maintenance and repairs for the occupancy term.

Rent payment is determined as follows; CMA is amortized for 30 years at a 5% interest rate. The rent payment total consists of the "interest only" portion of monthly payments that are calculated by this amortization, together with 1/12 of annual property tax, plus 1/12 of annual property insurance, plus 1/10 of the "interest only" portion as a Realtor administration fee.

All monthly rent payments are paid to the marketing Realtor. The Realtor disburses payments for property tax, property insurance, and Property Owner interest portion from a receivership account that has been established by the Realtor specifically for the administration of S.C.O.R.E. property lease/sale.

The interest only portion of the monthly lease payment is forwarded by the Realtor to the Property Owner. The Property Owner receives 60% of this portion as a rent payment and credits 40% to the Tenant/Buyer, held in an escrow account and to be applied as a down payment for purchase at the time of Tenant/Buyer's exercise of the property purchase option.

The Tenant/Buyer must reasonably maintain the property, build and maintain a sufficient credit score and income/expense ratio as required to secure financing to purchase the property at the expiration of the occupancy term. The Property Owner has the first option to provide property purchase financing to the Tenant/Buyer. The Tenant/Buyer's failure to exercise the purchase option results in forfeiture of all monies held by the Realtor and/or Property Owner. Realtor receives a 5% sale commission at the property sale closing transaction.

S.C.O.R.E. Benefits Summary:

Millions of jobs are created in the realty, home improvement, property servicing and retail sectors of the regional economy

Downward pricing pressure is alleviated in the housing sector as the glut of vacant properties is substantially reduced.

Viable homeownership if offered to displaced families as those who have been eliminated from the realty market are now afforded the opportunity to occupy vacant properties.

Owners of vacant properties have an immediate new injection of capital realized from rent payments from properties that otherwise represent substantial maintenance and carrying costs.

Municipalities gain immediate revenues in the form of increased property tax and sales tax revenue.

Health hazards and crime are eliminated with each and every S.C.O.R.E. agreement that is put into effect.

Entire regional economies will be stimulated with the restoration of property values.