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HomeMy WebLinkAbout02-01-07 0FF1CW. USE ONLY V.lllOO EX (e.OO) COMMONWEALTH OF PENNSYLVANIA DEPARTMENT OF REVENUE DEPT. 280601 HARRISBURG, PA 17128-0601 REV.1500 INHERITANCE TAX RETURN RESIDENT DECEDENT FILE NMS R oeCEDEN1'S foWJE (LAST, FIRST, AND MIDDLE INrT1A.L) !IE FAILOR DONALD !I DAle OF 0EA.1H (MM-DD-YEA.R) DAle OF BIRTH (MM-DD-YEA.R) ~ 10/31/2005 11/21/1919 ~ OF APPLICABLE) SURVMNG SPOUSE'S NAME (LAST, FIRST, AND MIDDLE INrT1A.L) Ruth E. Failor I!! [i] 1. Origin.. Retum ~ ~ [i] 4. Limited Eate lj IIQr [i] 6. Dec:edent Oled TeItIle (Attach copy 01 WlI) D 9. Lltigllllon proceeda Recelved E JL ..9~ 1110 - -- COUN1Y CODE YEAR NJMBER SOCIAl.. SECl.MY NUMBER . 189-09-4542 1MlI M'fUNlMUIT .'ILID IN DUPLlCATI WITH THI REGISTER OF WILLS SOCIAl.. SECURIlY NUMBER D 2. Supplemenllll Retum D 3. Remllinder Retum (dati 01 dlath pr10r to 12-1~ D 4a. Future Intereat Compromile (data 01 death allIr 12-12-82) D 5. Fed..... EatIIle Tax Retum Required D 7. Decedent Mllnt8lned a Living Trull (Attach copy 01 TNIl) _ 8. Total Number It S8Ie 0ep0I1t eo- D 10. SpOIl'" Poverty Credit (dltl.' dutll bltwun 12-31..1 and 1-1-15) D 11. Election to tax under Sec. 9113(A)(A111d111c110) Ii l!l z 2 I NAME TIMOTHY M. FINNERTY FIRM NAME (If Appllc8ble) MCNEES WALLACE , NURICK LL lELEPHONE NlMBER 717-237-5394 COM"LETE MAILING ADDRESS 100 PINE STREET PO BOX 1166 HARRISBURG, PA 17108-1166 2. Stocks and Bonda (Schedule B) (1) (2) ~CIAl. USE ON&5 ":;: 0 -.J -. :IJ ~ 'n -0 rri q~~ ~ ..7" ~'/~ ~ 4. Mortgages & Notes Receiv8b1e (Schedule D) (4) 5. Cash, Bank Deposits & Milcell8neous P....onal proparty (Schedule E) (5) (")r, (-) ~(l c'""-- 1. Real Ell8le (Schedule A) 3. CIOIely Held Corporation, Partnership or SoIe-Proprielorship (3) -a -.... -r..~ :::0 -...; :") .z;:- .. z o 5 :) t: a. .c o w D:: 6. J~ O'Mled Property (Schedule F) U Sep8l'llle BUling Requested 7. Inter-Vivol Tranlferll & Miaoell8neoul Non-Prob8le Property (7) (Schedule G or L) (6) 0.00 8. Total Groll Anell (total Linea 1-7) (8) 37,378.06 0.00 671,162.20 9. Fun....1 Expenlea & Administrative CollI (Schedule H) (9) 10. Debtl of Decedent, Mortgage Liabilities, & Liens (Schedule I) (10) 12. Net Value of Estate (Line 8 minuI Line 11) 13. Charitable and Governmental Bequelll/See 9113 Trulls forv.tlich an election to tax haa not been made (Schedule J) (13) 37,378.06 633,784.14 633,784.14 11. Total Deductions (total Linea 9 & 10) (11) (12) 0.00 14. Net Vslue Subject to Tax (Line 12 minus Line 13) SEE INSTRUCTIONS ON REVERSE SIDE FOR APPLICABLE RATES (14) 18. Amount of Line 14 taxable 8l collat....1 rate 0.00 x.o ~(15) 0.00 x.o 45 (16) 0.00 x.12 (17) 0.00 x .15 (18) (19) 0.00 0.00 0.00 0.00 0.00 15. Amount of Line 14 taxable 8l the spousal tax rate, or tranllera under See. 9116 (8)(1.2) z o ~ 16. Amount of Line 14 taxable 8llinesl rate ... ~ lL :IE o u )( ~ 17. Amount of Line 14 taxable 8l libling rate 19. Tax DUa > > BE SURE TO ANSWER' AlL QUESTIONS'ON REVERSE SIDE AND RECHECK'MATH < < 20. 0 3W4645 1.000 . CUMBERLAND COUNTY CI1Y MECHANICSBURG Tax Payments and Credits: 1. Tax Due (Page 1 Line 19) 2. Credits/Payments A. Spousal Poverty Credit 8. Prior Payments C. Discount STA1C PA (1) ZIP 17050- 0.00 0.00 0.00 0.00 Total Credits (A + 8 + C) (2) 0.00 3. Interest/Penalty if applicable O. Interest E. Penalty 0.00 0.00 Total Interest/Penalty (0 + E) (3) 4. If Line 2 is greater than Line 1 + Line 3, enter the difference. This is the OVERPAYMENT. Check box on Page 1 Line 20 to request a refund (4) 5. If Line 1 + Line 3 is greater than Line 2, enter the difference. This is the TAX DUE. (5) A. Enter the interest on the tax due. (5A) 8. Enter the total of Line 5 + SA. This is the BALANCE DUE. Make Check Pa able to: REGISTER OFWLL$, AGENT (58) 0.00 0.00 0.00 0.00 0.00 PLEASE ANSWER THE FOLLOWING QUESnONS BY PLACING AN "X" IN THE APPROPRIATE BLOCKS 1. Did decedent make a transfer and: Yes a. retain the use or income of the property transferred;. . . . . . . . . . . . . . . D b. retain the right to designate who shall use the property transferred or its income; . D c. retain a reversionary Interest; or ............ . . . . . . . . . . . . D d. receive the promise for life of either payments, benefits or care? . . . . . . . . . D 2. If death occurred after December 12, 1982, did decedent transfer property within one year of death without receiving adequate consideration? . . . . . . . . . . . . . . . . . . . . . . . . . . ., D 3. Did decedent own an "In trust for" or payable upon death bank account or security at his or her death? D 4. Did decedent own an Individual Retirement Account, annuity, or other non-probate property which contains a beneficiary designation? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. D [j IF THE ANSWER TO ANY OF THE ABOVE QUESTIONS IS YES, YOU MUST COMPLETE SCHEDULE G AND FILE IT AS PART OF THE RETURN. Under penalllea of perjury, I declare that I heve _mlnad thla retum, including accomPlll1y1ng achedulea and al8lamenta, end to the beat 01 my knowledge and belief, ~ la true, correct and complete. Declaration of preparer other than the peraonal repraaentalMlla baaed on all information 01 which preparer haa any knowledge. L Mechanicsburg, PA Harrisburg PA 17108 P.O. Box 1166 No [}ij [}ij ~ [j og []g For dalles of death on or after July 1, 1994 and before January 1, 1995, the tax rate Imposed on the nat value c:A tranafenl to or for the use c:A the surviving spouse is 3% (72P.S.~ 9916 (a) (1.1)(i)]. For dalles of daath on or after January 1, 1995, the tax rate imposed on the nat value c:Atranafenl to or for the use c:Athe survilling spouse is 0% (72 P.S. 99116 (a) (1.1) Oil] The atallute doea not exempt a transfer to a surviving spouse from tax. and the statutory requirements for disclosure c:A assala and filing a tax return are alii applicable even if the aurviving spouse is the only beneficiary. For d81es of death on or after July 1, 2000: The tax rate imposed on the net value of transfers from a deceased child twenty-one years c:A age or younger at death to or for the use c:A a natural parent, an adoptl... parent. or a atepparent of the child Is 0% (72 P.S. ~ 9116(a)(1.2)]. The tax rate imposed on the net value of transfers to or for the use c:Athe decedent'slin.. beneficiaries is 4.5%, except as noted in 72 P.S. 99116(1.2) (72 P.S. ~9116(a)(1)]. Tha tax rate imposed on tha net value c:Atranafenl to or for the use c:Athe decedent's aiblingsis 12% (72 P.S. 9 9116(a)(1.3)]. A sibling is defined, under Section 9102, as an Indillidual who haa alleast one parent In common with the decedent, whether by blood or adoption. 3W4848 1.000 e e EV-l502 EX + (6-88) SCHEDULE A REAL ESTATE ~TH OF PENNSYLVANIA INI-ERITANCE TAX RETURN RESICENT DECEDENT eSTATE OF FILE NUMBER !JQNALD E. FAILOR 21 05 1110 All ....1 propertv owned lOIe1y 01' .. a .....nt In common mutt be ...poI1H at fair market value. Fair market value II dellned - the pllce '* which propelty IMlUId be exchanged b__n a willing buyer and a willing HIler, neither blIlng compelled to buy or MI, beth hlMng IIUClllIbIe kncMledge d the nIIevanl fletl. Real propertv which II joInl1y-owned with right of IUrvtvorshlp muat be cIIIc:IoMd on SChld.... F. IESCRIPTlON VALUE AT DATE OF DEATH ITEM .ueER 1. .434 acres of land located in Carroll Township, Perry County, Pennsylvania; Valued per sale of property; See attached copy of settlement statement 20,000.00 2 43.4 acres located on Dellville Dam Road, Shermans Dale, Perry County, pennsylvania; Valued per appraisal of Woof Appraisal Group; See attached copy of appraisal 390,000.00 3 11.52 acres, known as Lot '14 Creekwood Hills, Carroll Township, Perry County, Pennsylvania; Property valued per sale; See attached copy of settlement statement 100,000.00 4 4.28 acres located Dellville Dam Road, Carroll Township, Perry County, Pennsylvania, known as Lot '12; Valued per appraisal of Woof Appraisal Group; See attached appraisal 65,000.00 5 6.168 acres located on Dellville Dam Road, Shermans Dale, Carroll Township, Perry County, Pennsyvlania; Valued per appraisal of Woof Appraisal Group; See attached copy of appraisal 80,000.00 3W48951.ooo TOTAL (Also enter on line 1, Recapitulation) (If more space is needed, insert add1tional sheetS of the same size) $ 655,000.00 EV-ll103 EX + (8081) e e ~TH OF PENNSYLVANIA INl-ERlTANCE TAX RETURN RESIDENT DECEDENT ESTATE OF SCHEDULE B STOCKS & BONDS FILE NUMBER 21 05 1110 All property JoIntly-ownecl with right d survivorship must be dlscloHd on Schedule F. l()NALDE. FAILOR I1EM IlUllBER 1. 328 Share. MetLife IESCRIP110N VALUE AT DATE OF DEATH 16,162.20 3W4&ee 1.000 TOTAL (Also enter on line 2, Recapitulation) $ (If more space Is needed. Insert additional sheets of the same size) 16,162.20 ~V.1511 EX + (12-811 e e SCHEDULE H FUNERAL EXPENSES & ADMINISTRATIVE COSTS COMMONWEAL 11-1 OF PENNSYLVANIA Itf'ERlTANCE TAX RETURN RESIDENT DECEDENT 8TATEOF UONALO E. FAILOR Debts of decedent must be ntport8d on Schedule I. ITEM NUMBER DESCRIPTION 1. FUNERAL EXPENSES: Funeral Luncheon Total from continuation schedules. . B. ADMINISTRATIVE COSTS: Personal Representative's Commissions 1. Name of Personal Representatlve(S) Social Security Number(s) I EIN Number of Personal Representatlve(S) Street Address City State Zip 2. Year(s) Commission Paid: Attorney Fees 3. Family Exemption: (If decedent's address Is not the same as daimant's, attach explanation) Claimant Street Address City State Zip Relationship of Claimant to Decedent 4. Probate Fees 5. Accountant's Fees 6. Tax Return Preparer's Fees 7. 1 McNees Wallace & Nurick LLC Reserve for closing costs re duplicating, postage, etc. Total from continuation schedules . FILE NUMBER 21 05 1110 TOTAL (Also enter on line 9. Recapitulation) $ (If more space Is needed, insert additional sheetS of the same size) 3W46AG 1.000 AMOUNT 386.00 12,825.70 19,000.00 579.00 150.00 4,437.36 37,378.06 e ESTATE OF DONALD E. FAILOR NO. 21-05-1110 ATTACHMENT TO SCHEDULE H, ITEM B(2) Attorney Fees: McNees Wallace & Nurick LLC - $17,000 David Stone, Esq. - $2,000 e e Estate of: DONALD E. FAILOR Item No. 2 3 Schedule H Part 1 (Page 2) Description Rolling Green Cemetery Interment Fee and Mamorial Malpezzi Funeral Home ~otal (Carry forward to main schedule) e 189-09-4542 Amount 3,123.00 9,702.70 12,825.70 e Estate of: DONALD E. FAILOR Schedule H Part 7 (Page 2) 2 MeN_s Wallace 6i Nurick LLC Costs Advanced as follows: Duplicating ~oll Calls ~ravel Expense Postage Local Courier Short Certs. ~it1e/Lien Search 3 $ 52.60 10.08 12.46 15.42 4.00 12.00 350.80 Woof Appraisal Group Real Estate Appraisals 4 Cumberland County Register of Wills Filing Fee re PA Inheritance ~ax Return and Inventory ~otal (Carry forward to main schedule) ~~~.-. .... .- -. e 189-09-4542 457.36 3,950.00 30.00 4,437.36 REV-1513 EX+ (9-00) e SCHEDULE J BENEFICIARIES e COMMONINEAL.1H OF PENNSYLVANIA Il+ERlTANCE TAX REnJRN RESIDENT 0ECE0ENr ESTATE OF DONALD E. FAILOR NUMBER I NAME AND ADDRESS OF PERSON(S) RECEMNG PROPERTY TAXABLE DISTRIBUTIONS [include outright spousal distributions, and transfers under Sec. 9116 (a) (1.2)] FILE NUMBER 21 05 1110 RElATIONSHIP TO DECEDENT AMOUNT OR SHARE Do Not List Tnlat8e(s) OF ESTATE ENTER DOLLAR AMOUNTS FOR DISTRIBUTIONS SHOWN ABOVE ON LINES 15 THROUGH 18, AS APPROPRIATE, ON REV-1500 COVER SHEET II NON- TAXABLE DISTRIBUTIONS: A SPOUSAl DISTRIBUTlONS UNDER SECTION 9113 FOR WHICH AN ELECTION TO TAX IS NOT BEING MADE 1 2 Donald Failor Credit Shelter Trust created under Item III of decedent's Will; Trust funded with 100% of estate residue; See attached calculation 633,784.14 B. CHARITABLE AND GOVERNMENTAL DISTRIBUTIONS -W48Al1.000 TOTAL OF PART II. ENTER TOTAL NON-TAXABLE D1SlRJBUTlONS ON LINE 13 OF REV-1500 COVER SHEET (If more space Is needed, insert additional sheets of the same size) $ 633.784.14 . e ESTATE OF DONALD FAILOR RESIDUE CALCULATION Real Estate Stocks/Bonds 655,000.00 16.162.20 Total Estate Assets 671,162.20 Less: Funeral and Administrative Expenses 37.378.06 Assets passing to Credit Shelter Trust 633.784 14 . e ESTATE OF DONALD E. FAILOR PENNSYLVANIA INHERITANCE TAX RETURN TABLE OF CONTENTS - EXHIBITS A. Miscellaneous Documents 1. Table of Contents 2. Copy - Short Certificate evidencing the appointment of Ruth E. Failor by the Cumberland County Register of Wills, and decedent's Will dated April 2, 2001 and First Codicil dated December 1, 2004 3. Letter from Department of Revenue approving extension request B. Schedule A - Real Estate 1. Copy - Settlement Statement - .434 acres in Perry County, Pennsylvania 2. Copy - Appraisal for 43.4 acres on Shermans Dale, Perry County, Pennsylvania 3. Copy - Settlement Statement - Lot #14 4. Copy - Appraisal for Lot #12 5. Copy - Appraisal for 6.168 acres on Dellville Dam Road e e STATE OF PENNSYLVANIA COUNTY OF CUMBERLAND SHORT CERTIFICATE I, GLENDA FARNER STRASBAUGH Register for the Probate of Wills and Granting Letters of Administration in and for CUMBERLAND County, do hereby certify that on the 27th day of December, Two Thousand and Five Letters TESTAMENTARY in common form were granted by the Register of said County, on the , la te of SIL VER SPRING TOWNSHIP estate of DONALD E FAILOR (First, Middle, Last) a/k/a DONALD FAILOR in said county, deceased, to RUTH E FAILOR (First, Middle, Last) and that same has not since been revoked. IN TESTIMONY WHEREOF, I have hereunto set my hand and affixed the seal of said office at CARLISLE, PENNSYLVANIA, this 29th day of September Two Thousand and Six. File No. 2005-01110 PA File No. 21- 05- 1110 Da te of Dea th 10/31/2005 S. s. # 189-09-4542 '~t~f~-bwnJOlf ~ ~ (J ~epuo/ NOT VALID WITHOUT ORIGINAL SIGNATURE AND IMPRESSED SEAL ep\wills\failorsr.don\4-01 ~ e <7 ;'~ ..... "'-, LAST WILL AND TESTAMENT OF DONALD E. FAILOR ,,_. .) , .-:', ..' . 1 -'-J ..---) ~ -'-j ~.:..) I, DONALD E. FAILOR, of Silver Spring Township, County of C~er- land, and Commonwealth of Pennsylvania, declare this to be my last will and revoke any will previously made by me. ITEM I: I bequeath my automobiles, household and personal effects and other tangible personalty of like nature (not including cash or securities) together with any existing insurance thereon, to my wife, RUTH E. FAILOR, if she survives me by thirty (30) days. Should my wife, RUTH E. FAILOR, not be living on the thirty-first (31st) day after my death, I bequeath such tangible personalty and insurance thereon to such of my children, RUSSELL E. FAILOR, JANICE R. BLIZZARD, DONNA LEE WEBER, WENDY LOU McNIFF, SHARON ANN RICH, and DONALD S. FAILOR, as are living on the thirty-first (31st) day after my death, to be divided among them by my Executrix with due regard for their personal preferences in as nearly equal shares as practical. ITEM II: If my wife, RUTH E. FAILOR, survives me by thirty (30) days, and if the federal estate tax due because of my death will be reduced by making this gift for her benefit, I devise and bequeath to my wife, RUTH E. FAILOR, absolutely, an amount equal to the least Page 1 of 10 e e amount (based upon values as finally determined for federal estate tax purposes) as shall be needed for the federal estate tax unlimited .marital deduction to reduce the federal estate tax to the lowest possible figure after full use'of all other deductions and credits allowable in calculating the federal estate tax, except that such amount shall be calculated without regard to the augmenting of my taxable estate by reason of generation-skipping transfers and without regard for any credit for state death taxes that would not otherwise be payable. Accordingly, I direct that: A. If the marital deduction, or any similar benefit, is allowable with respect to any property, including property held by entireties, which my wife has received prior to my death or at my death will receive otherwise than pursuant to this Item II, the value of such property shall be taken into consideration in calculating the size of the gift under this Item II. B. No property ineligible for the marital deduction, or any similar benefit, shall be distributed to this gift for my wife, RUTH E. FAILOR, pursuant to this Item II. c. Either cash or investments or both may be allocated to the gift under this Item II. D. Any property allocated under this Item II in kind shall be valued at the value at which it is finally included in my gross Page 2 of 10 e e estate for federal estate tax purposes, provided that the aggregate market value thereof on the date of allocation (plus the value as finally determined for federal estate tax purposes of all other property qualifying for the marital deduction) is at least equal to the dollar value of the marital deduction as finally determined for federal estate tax purposes. E. If any provision of this Item II shall result in depriv- ing my estate of the marital deduction for federal estate tax pur- poses, such provision is hereby revoked and this Item II shall be read' as if any portion thereof inconsistent with allowance of the marital deduction for federal estate tax purposes is null and void. ITEM III: If my wife, RUTH E. FAILOR, survives me by thirty (30) days, I devise and bequeath the residue of my estate, of every nature and wherever situate, to the Co-Trustees hereinafter named, IN TRUST, for the following uses and purposes: A. To pay the net income therefrom to my wife, RUTH E. FAILOR, for and during her lifetime in such periodic installments as the non-spouse Co-Trustee shall find convenient, but at least as often as quarter-annually. B. As much of the principal of this trust as the non-spouse Co-Trustee, in its sole discretion, may from time to time think advisable for the support of my wife to maintain her in the station of Page 3 of 10 e e life to which she is accustomed at my death, shall be either paid to her or else applied directly for her benefit by the non-spouse Co- Trustee after taking into account her other readily available assets and sources of income. C. The non-spouse Co-Trustee may apply the net income of this trust for the support of my wife, RUTH E. FAILOR, should she by reason of age, illness or other cause, in the opinion of the non- spouse Co-Trustee, be incapable of disbursing it. D. In addition to the above provisions, my wife shall have the power to direct Co-Trustees to pay to her or to apply out of principal in each year, including the year of my death, an amount not in excess of the greater of Five Thousand ($5,000.00) Dollars or five (5%) percent of the then aggregate value of the trust principal. This power is non-cumulative and can be exercised only by an instrument in writing signed by my wife, and delivered to Co-Trustees. E. Upon the death of my wife, RUTH E. FAILOR, or upon my death should my wife predecease me, the Co-Trustees shall distribute the balance of the principal and any accumulated and undistributed income pursuant to the provisions of Item IV herein. ITEM IV: If my wife, RUTH E. FAILOR, predeceases me or dies on or before the thirtieth (30th) day following my death, or upon the death of my wife as provided in Item III.E. herein, I devise and Page 4 of 10 e e bequeath all of my estate, of every nature wherever situate in equal shares to such of my children, RUSSEL E. FAILOR, JANICE R. BLIZZARD, DONNA LEE WEBER, WENDY LOU McNIFF, SHARON ANN RICH, and DONALD S. FAILOR, as survive me by thirty (30) days. Should any of my above named children predecease or die on or before the thirtieth (30th) day following my death, I devise and bequeath the share of such child to his or her issue, per stirpes, living on the thirty-first (31st) day following my death; and should any such child of mine leave no such issue living on the thirty-first (31st) day following my death, the share of such deceased child shall be added to the other shares created in this Item IV. ITEM V: Should any person entitled to a share of my estate not have attained the age of twenty-one (21) years at the time of distri- bution to him or her or, in the opinion of the Co-Trustees, be incapa- ble of disbursing his or her share because of illness or other cause, I devise and bequeath the share of each such issue to the Co-Trustees hereinafter named, IN SEPARATE TRUST, to hold, manage, invest and reinvest the share so received, and the accumulation of income thereon, and to use and apply the income and principal, or so much thereof as, in the Co-Trustees' discretion, may be necessary or appropriate for such child's support and education (including college education, both graduate and undergraduate) without regard to his or Page 5 of 10 e e her parent's ability to provide for such support or education, to make paYment for these purposes, without further responsibility, to such child or such child's parents or to any person taking care of such child. Any principal or income not so applied shall be distributed to such child absolutely when he or she attains the age of twenty-one (21) years or become competent. If he or she dies before obtaining age twenty-one (21) years or before becoming competent, the trust shall terminate and such shares shall be distributed to his or her personal representative. ITEM VI: The interests of the beneficiaries hereunder shall not be subject to anticipation or voluntary or involuntary alienation. ITEM VII: All federal, state and other death taxes payable because of my death, with respect to the property forming my gross estate for tax purposes, whether or not passing under this will, together with any interest or penalty imposed in connection with such tax, shall be considered a part of the expense of the administration of my estate and shall be paid from my residuary estate without apportionment or right of reimbursement. ITEM VIII: My Executrix and Co-Trustees shall have the following powers in addition to those vested in them by law, and by other provisions of my will applicable to all property, whether principal or Page 6 of 10 e e income, including property held for minors, exercisable without court approval and effective until actual distribution of all property: A. To retain any or all of the assets of my estate, real or personal, including stock of a corporate fiduciary or of its parent holding company, without regard to any principle of diversification. B. To invest in all forms of property, including stocks, common trust funds and mortgage investment funds whether operated by my corporate fiduciary or others, without restriction to investments authorized for Pennsylvania fiduciaries, as they deem proper, and without regard to any principle of diversification. C. To sell at public or private sale, to exchange or to lease for any period of time, any real or personal property and to give options for sales, exchanges or leases, for such prices and upon such terms or conditions as they deem proper. D. To allocate receipts and expenses to principal or income, or partly to each, as they, from time to time, think proper in their sole discretion. E. To borrow from, or to sell to, my Co-Trustees even though such Co-Trustees may be my Executrix. F. To compromise any claim or controversy. G. To join with my wife, RUTH E. FAILOR, or her personal representative, in filing a joint income tax return without requiring Page 7 of 10 e e her to indemnify my estate against liability for the tax attributable to her income and to consent to any gift made by my wife during my lifetime being treated as having been made one-half by me for purposes of the federal gift tax law. ITEM IX: I appoint my wife, RUTH E. FAILOR, and my daughter, WENDY LOU McNIFF, Co-Trustees of any trusts created by this my last will. Should either Co-Trustee fail to qualify or cease to act as Trustee, I appoint my daughter, SHARON ANN RICH, successor Co-Trustee to act in her place. ITEM X: I appoint my wife, RUTH E. FAILOR, Executrix of this my last will. Should my wife, RUTH E. FAILOR, fail to qualify or cease to act as Executrix, I appoint my daughter, WENDY LOU McNIFF, Executrix with the same powers and duties of this my last will. ITEM XI: I direct that my Executrix and Co-Trustees and their successors shall not be required to give bond for the faithful perfor- mance of their duties in any jurisdiction. IN WITNESS WHEREOF, I, DONALD E. FAILOR, have hereunto set my hand and seal this -;;( day of ApuJ , 2001. c;nt~ ~ ~~:a-t. DONALD E. FAILOR Page 8 of 10 e e SIGNED, SEALED, PUBLISHED and DECLARED by DONALD E. FAILORt the Testator above named, as and for his Last Will and Testament, and in the presence of us, who at his request, in his presence and in the have subscribed our names as witnesses. ile()lJ/Alv~ ,~. I Address ~ 'rn . Jah~ Witness . .'nLI.u &-/~ f!4 Address COMMONWEALTH OF PENNSYLVANIA) ) SS. COUNTY OF CUMBERLAND ) I, DONALD &. FAILOR, the Testator whose name is signed to the attached or foregoing instrument, having been duly qualified according to law do hereby acknowledge that I signed and executed this instru- ment as my last will; that I signed it willingly and that I signed it as my free and voluntary act for the purposes therein contained. Cj) a ~. , / /~i!~ '..~ DONALD E. FAILOR Sworn to or affirmed to and acknowledged before me by DONALD E. day of ~, 2001. fi:A;k '/-~ Notary P~lic FAILOR, the Testator, this ~ Page 9 of 10 NOTARIAL SEAL j ?ATRICH1A L YOTER. NotaryPubfic /' New Cumberland Boro. Cumberland Co. My ~o~1miS3ion Expires Nov. 18. 2002 e e COMMONWEALTH OF PENNSYLVANIA) ) SS. COUNTY OF CUMBERLAND ) We, ~,~t~.l~. ..~_._._..._.............~ and jm. A4 ~~ the witnesses whose names are signed to the attached or foregoing instrument, being duly qualified according to law, depose and say that we were present and saw Testator sign and execute the instrument as his last will; that Testator signed willingly and that he executed it as his free and voluntary act for the purposes therein expressed; that each of us in the hearing and sight of the Testator signed the will as witnesses; that to the best of our knowledge, the Testator was at that time eighteen or more years of age, of sound mind and under no con- straint or undue influence. ,~ j/YJ' tIt~ Witness . CI Sworn to or affirmed to and acknowledged before me by D # IV IlIl-3 ;1-1. 1r6-i-.AU~ G- ONn ~ (~ this Ol day of ~AJ and , witnesses, , 2001. W~A;.L~,- ~ ~ Notary Public / Page 10 of 10 1 NOTARIAL SEAL j PATRlCHIA L. YOTER, Notary Public I New Cumberland Boro. ClDTIberland Co. My CommiS!ion Expires Nov. 18, 2002 II "\''''''''''''''''00>'''. - CODICIL TO THE LAST WILL AND TESTAMENT OF DONALD E. FAILOR . .". ('-) ~:~:~: .~.:.- () .......-.. " , r') --..J "I ." '~.' :-') ". ~') -~:~ I ::::-~f ..:.... I, DONALD E. FAILOR, of Silver Spring Township, CUmP_eBland .~ ..- County, and Commonwealth of Pennsylvania, declare this to be the~Sole Codicil to my Last Will and Testament dated April 2, 2001. ITEM I: I hereby add a new Item IV.A. which shall provide as follows: "ITEM IV.A. If my wife, RUTH E. FAILOR, predeceases me or dies on or before the thirtieth (30th) day following my death, or upon the death of my wife as provided in Item III.E., and should my son, DONALD S. FAILOR, at the time of my death, be leasing the property at 7086 Carlisle Pike, Silver Spring Township, Cumberland County, Pennsylva- nia, for the operation of a used car lot, I direct that my Executor shall continue the lease for a rent of $1,500.00 per month so long as my son, DONALD S. FAILOR, so desires and continues to pay property taxes on the parcel and continues to maintain fire insurance on the structures on the property. At such time as my son, DONALD S. FAILOR, ceases any of the above, the lease shall terminate and the property known as 7086 Carlisle Pike, Silver Spring Township, Cumberland County, Pennsylvania, shall be distributed as a part of the residue of my estate." Page 1 of 2 -e e ITEM II: In all other respects I hereby ratify, confirm and republish my Last Will and Testament dated April 2, 2001, together with this my sole codicil. _ .....__u_~_'n_.._.. ._.. ...__ _._ _ ....._. IN WITNESS WHEREOF, I have hereunto set my Earid-anc:f seal1::.l1is j..!iT day of "fD eC!~ , 2004. 9~;t~ DONALD E. FAILOR SIGNED, SEALED, PUBLISHED and DECLARED by DONALD E. FAILOR, the Testator above named, as and for a Sole Codicil to his Last Will and Testament, and in the presence of us, who at his request, in his presence and in the presence of each other, have subscribed our names as witnesses. 7ft /,1 71I7i?AI,;.J/t /A.tt6~ 4 /7i[/ Address !J ~1~tlfUDT I ~~ Address I~ Page 2 of 2 e COMMONWEALTH OF PENNSYL VIA DEPARTMENT OF REVENUE BUREAU OF INDIVIDUAL TAXES PO Box 280601 HARRISBURG, PA 17128-0601 August 2, 2006 Telephone (717) 787-3930 FAX (717) 772-0412 McNees Wallace & Nurick Attorneys at Law P.O Box 1166 100 Pine Street Harrisburg, P A. 17108-1166 Re: Estate of DONALD E FAILOR File Number 2105-1110 Dear Sir or Madam: This is in response to your request for an extension of time to file the Inheritance Tax Return for the above estate. In accordance with Section 2136 (d) of the Inheritance and Estate Tax Act of 1995, the time for filing the return is extended for an additional period of six months. This extension will avoid the imposition of a penalty for failure to make a timely return. However, it does not prevent interest from accruing on any tax remaining unpaid after the delinquent date. The return must be filed with the Register of Wills on or before 01-31-2007. Because Section 2136 (d) of the 1995 Act allows for only one extra period of six (6) months, no additional extension(s) will be granted that would exceed the maximum time permitted. . Claudia Maffei, Supervis Document Processing Unit Inheritance Tax Division VO> c,.'Crt\nIlYlc;:n, Urn\,lU..:tII"UlI"\I""'\lngnl~~"c;;..a..",..-_.. N. HUD-1 UNIFORM SETTLEMENT: TEMENT B. Type.of Loan Case Number: " . ;.[] FHA 2.[] FmHA 3.[] Cony. Unins.Number: 7. Loan Number: 4.[ ] VA 5.[] Conv. Ins.. of settle ern costs Amounts paid to and by the settlement agent are shown. Items malted C. NOTE: This form furnishes a statement. ~ for inbnnational purposes and are not included in the totals. "(P.o.c.)" were paid outside the closing; they are F. Name & Address of Lender: D. Name & Address of Borrower: E. Name, Address & TI.N of Seller: Dalton & Carol Menyman Estate of Donald E. Failor Cash Transaction 530 Dellville Dam Road Shermans Dale, PA 17090 G. Property Location: TIN of Seller: I H. Settlement Agent: Carroll Township Place of Settlement - BECKLEY & MADDEN Perry County, PA 212 North Third Street I. Settlement Date: INoverriber 1, 2006 Harrisburg, PA 17101 .. J. Summary of Borrower'. TrlIIIACtIon Gro8a Amount Due from Borrower: K. Summary of selle... Tranaactlon 400 Grosa Amount Due to seller: 100. $20,000.00 101. Contract sales price $20,000.00 401. Contract sales price 102. Personal Property .402. Personal Property 103. Borrower's settlement charges (line 1400) $~.50 403. 104. 404. 105. 405. Adjuatmem. for Item. paid by seller In advance Adjustments for items paid by seller In advance 106. CtylTwp taxes 11/1106 to 12/31106 $ 0.90 406. Cltyllown taxes 11/1106 to 12/31106 $ 0.90 107. School taxes 11/1106 to fj/30/07 . $ 11.56 407. County taxes 11/1106 to 6130107 $ 11.56 108. ASsessments to $ 0.00 408. Assessments to $ 0.00 109. to . $ -0.00 409. to $ 0.00 110. 410. 111. 411. 112. 412. 113. 413. . 120. Grosa Amount Due from Borrower $20,705.96 420. Groes Amount Due to Seller $20,012.46 200. Amounts Paid by or in Behalf of Borrower: 500. Reductions in Amount Due to seUer: 201. Deposits or earnest money $2,000.00 501. Excess deposit (see instructions) 2,000.00 202. Principal amount of new Ioan(s) 502. Settlement charges to seller (line 1400) $ 0.00 203. Existing Ioan(s) taken subject to 503. Existing Ioan(s) taken subject to 204. 504. Payoff of first mortgage 205. 505. Payoff of second mortgage 206. 506. 207. 507. 208. 508. 209. 509. Adjustments for item. unpaid by .e1Ier. Adjustments for Items unpaid by seller 210. Cltyltown.taxes to $ 0.00 510. Cltyltown taxes to $ 0.00 211. County taxes to $ 0.00 511. County taxes to $ 0.00 212. Assessments to $ 0.00 512. Assessments to $ 0.00 213. to $ 0.00 513. . to $ 0.00 214. 514. 215. 515. 216. 516. 217. 517. 218. 518. 219. .519. 220. Total PaId Bylfor Borrower $2,000.00 520. Total Reduction AmoUnt Due Seller $2,000.00 300. Cash lit Settlement FromIto Borrower 600. Cash lit settlement ToIfrom seller 301. Gross amount due Ii'om borTOwer (line 120) $20,705.96 601. Gross amount due to saUer (line 420) $20,012.46 302. Less amounts paid bylfor bonower (line 220) $2,000.00 602. less reductions in amount due seller (line 520) $2,000.00 303. Cash IXI from fl to Borrower $18,705.96 603. Cash r)(lto fl from Seller $18,012.46 Substitute Form 1099 seUer Statement The information In Blocks E, G,. H, I & liIle 401 (or, If h 401 is asterisked, line 403 and 404) is important tax information and is being furnished to the Internal Revenue Setvlce. If you are required .to file a retum, a sanction will be imposed on you If this Item is required to be reported and the IRS determines that it has not been reported. If this real estate q;your principal residence, file Form 2119, Sale or Exchange of PIincipaJ Reak/&nce; for any gain, with your Income tax return; for otl:1er transactiOns, complete the applicable parts of Form 4797, Form 6252~Of Schedule D (Form 1040). You are required to provide the Settlemei1t Agent (named above) with your correct ~ayer ~Itification ~. If you do not provide the ~ettlement.Agent ~ your taxpayer identification number, you may be subject to CIVil or cnminal penalties imposed by law. UnderpSnalties of pel]uty, I certify that the number shown on this statement is my correct taxpayer identification number. . (Seller) ~;LA 7't:C.~ I~. (Seller) ,L."S'tt1ementChlIrges , , _ 700. TetaI Sales/Broker's Comml8SlOn:~n price) . . Divisiori of Commission /line 700) a~ 701. 702. 703. Convnlssion oaid at Setllement 704. . 800. IfIIms PavabIe in Connection with Loan 801. loan .. Fee . 802. Loan Discount 803. ADDraisal Fee 804. Credit Reoort - 805. Lender's InsPllCtion Fee 806. Insurance AnoIicatioil Fee 807. 808. 809. 810. 811. 812. 813. ... 814. 900. Itiema RMuIred by Lender to Be PaId In AdvMce 901. Interest from I I tol . I (iU I 902. In&urance Premium for 900: Hazard Insurance Premium for 904. 905. 1000. R..e.w. D8P0aIt8d with Lender .1001. Hazard Insurance 1002. insurance 1003. taxes 1004. taxes 1005. Armual as$essments 1006. 1007. 1008. 1009 1100. TItle Charaes 1101. SetlIementIcIosIna fee 1102. AbstractIIitfe search to ASAP 1103. Tille examination 1104. Tille Insurance binder 1105. Document preparation 1106. Nolarv fees 1107. AIlomev's fees ClllCIudesabove item numbers 1108. Tille insurance to ASAP-Stewart Title GuarantvCompanv (includes above item numbers 1109. Lender's Covera!le 1110. Owner's COV8l8!le 11". 1112. 1113. 1200. Government Recording and Transfer CharcHiS 1201. RflCtVdinn fees: Deed 38.50. Mortaage 1202~ Citv/countv taxlstarIiDS: Deed 1203. State taxlstamPS: Deed 1204. 1205. 1206. 1300. AddItIonilI SettIemeni Charae. 1301. Survev 1302. Pest 1 1303. 1304. 1305. 1306.. 1307. 1308. ... 1400. Tot8I 8ettIemerit CharaesfThl. Number Transfers to Unes 103 & 50 _ CERTlFI~TIOti . / // ~ I have cantfully ~ the Hue-1 SeItlement Statement andlq the best of my , I(" nt of aU I8C8ipts and dlsbulMmenls made on my account or by me In this transaction. I further certify Jl7' . !:Tal In::-. St~t. . . Seller /// , ../ )L. /2- --R A Selle <-T /1 p1/ -rLt" ;;, .. __ ~ ~-~ r . v ""'X~.. Bonower T~O~whlchlhaveP ~ accura~#thefundSwhlchwererecelved and :- .. -.-"' :_:===-i.__~..__,..:__.~ ea._ -_1010. .. .. $20000.00 @"- % ~ E"~t' Settlement Paid from Seller's Funds at Settlement $ 0.00 . .. . . .. loer day . months -. S months $ months $ moriths $ months $ months $ oer month per month oer month oer month Dar month oer month $ 0.00 $ 0.00 s 0.00 $ 0.00 $ 0.00 $ 0.00 . . . 'ustment . $.130.00 . . . . . $125.00 . .- . . Marta_e Mortaa"e R8leese . . S 38.50 $200.00 $200.00 $ 0.00 ... . . . . . . . $ 693.50 . $ 0.00 e e WOOF APPRAISAL GROUP Fie No. PVT8338 JANUARY 18, 2007 RUTH E. FAILOR 298 RIDGE HILL ROAD MECHANICSBURG, PA 17050 File Number: PVT8338 DEAR MRS. FAILOR, In accordance with your request. I have personally inspected and appraised the real property at: DELLVILLE DAM ROAD SHERMANS DALE. PA, 17090 The purpose of this appraisal is to develop an opinion of the market value of the subject property, as vacant. The property rights appraised are the fee simple interest in the site. In my opinion, the estimated market value of the property as of OCTOBER 31. 2005 is: $390,000 THREE HUNDRED NINETY THOUSAND DOLLARS The attached report contains the description, analysis and supportive data for the conclusions, final estimate of value. descriptive photographs. limiting conditions and appropriate certifications. SINCERELY; ~~~ REYNOLD R. WOOF, JR. IFAS PA CERTIFIED GENERAL REAL ESTATE APPRAISER o e W OF APPRAISAL GROUP LAND APPRAISAL REPORT File No. PVT8338 Borrower Census Tract 3240-305.1 Map Reference 040,130.00-036-000 PropertyAddress DELLVlLLE DAM ROAD City SHERMANS DALE County PERRY State PA Zip Code 17090 Legal Descriptlon 43.4 ACRES OF DEED BOOK 198, PAGE 226 00 Fee 0 Leasehold 0 De Minimus PUD Sale Price Date of Sale NIA Loan Tenn NIA yrs. property Rights Appraised Actual Real Estate Taxes 1097.06* (yr.) Loan charges to be paid by seller NIA OIher sale concessions NIA LenderlCllent RUTH E. FAILOR Address 298 RIDGE HILL ROAD, MECHANICSBURG, PA 17050 Occupant Appraiser REYNOLD R WOOF, JR IFAS Instructions to Appraiser ESTATE OF DONALD E. FAILOR, VALUE AS OF OCTOBER 31 2005 location U Urban U Suburban ~ Rural Good Avg Fair Poor BulK Up o Over 75% 00 25% 10 75% 0 Under 25% Employment Stability 0 00 0 0 Growth Rate o Fully Dev. o Rapid 00 Steady o Slow Convenience 10 Employment 0 00 0 0 Properly Values o Increasing 00 Stable o Declining Convenience to Shopping 0 00 0 0 Demand/Supply o Shortage 00 In Balance o Over Supply Convenience '" Schools 0 00 0 0 Marketing Time 00 Under 3 Mos. 0 4-6 Mos. o Over 6 Mos. Adequacy of Public Transportation 0 00 0 0 r:~~se ~ % 1 Famlly L % 2-4 Family _ % Apts _ % Condo L %Commercial Recreational Facilities 0 00 0 0 % Industrial 62 % Vacant % Adequacy of Utilities 0 00 0 0 Change In Present Land Use - 0 Not Li1<ety o Likely 00 Taking Placer) Property Compatibility 0 00 0 0 r)From VACANT To SINGLE FAMILY Protection from Detrimental Conditions 0 00 0 0 Predominant Occupancy 00 Owner o Tenant >1 % Vacant Police and Fire Protection 0 00 0 0 Single FamlyPrice Range 65K 10 450K PredomlnantValue 160K General Appearance of Properties 0 00 0 0 Single Family Age NEW yrs. '" yrs. 100+ Predominant Age ~ YIS. Appeal '" Mar1<et 0 00 0 0 Comments including lhase factors, favorable or unfavorable, affecting mar1<etablity (e.g. public par1<s, schools, view. noise) THE SUBJECT PROPERTY IS LOCATED IN A RURAl NEIGHlORHOOD COMPRISED PREDOMINANTlY FARM LAND, MOUNTAIN SlOPE, AND SINGLE FAMILY HOUSES. NEW CONSTRUCTION IS ON GOING IN THE NEIGHBORHOOD. EASY ACCESS TO EMPlOYMENT CENTERS SCHOOLS SHOPPING AND TRANSPORTATION FOR A RURAL AREA. Dimen8ions AS PER SURVEY =43.40 ACRES UComerlol Zoning Classification RESIDENTIAL AGRICULTURAL Present Improvements 00 Do 0 00 Not Conform 10 Zoning RegulaIion8 H/glest and Best Use 00 Present Use 0 0Iher (specify) Public OIher (Desaibe) OFF-SITE IMPROVEMENTS Tope SLOPING ABOVE GRADE Bee. 00 SIr.Address 00 Public 0 Private Size LARGER THAN TYPICAL Gas 0 Surface MACADAM Shape IRREGULAR Water 0 Maintenance 00 Public 0 Private V1fm TYPICAL San. Sewer 0 o Storm Sewer o CurblGutter Drainage ADEQUATE 0 Underground Elee & Tel o Sidewalk o Street Lights Property Iocaled in a HUD Identified Special Flood Hazard Area?O Yes 00 No Conments (favorable or unfavorable inducing any apparent adverse easements, encroachments or other adVerse oond1ions) SEE ATTACHED ADDENDUM The undersigned has recited three recent sales of properties most similar and proximate to the subject and has to be considered these in the mar1<et analysis. The description Includes a doIar adjuslmenl, reflecting mart<et reaction '" lhase lerns of slgnlflcant variation between the subject and comparable properIIes. If a slgnlflcant item In the comparable property Is superior to, or more favorable than subject property, a minus (-) adjustment Is made, thus reducing the indicated value of the subject If a significant in the comparable Is in_ to or less favorable than the subject property, a plus (+) adjustment is made,thus increasing the indicated value of the subject. ITEM SUBJECT COMPARABLE NO.1 COMPARABLE NO.2 COMPARABLE NO.3 Address DELLVILLE DAM ROAD AIRY VIEW ROAD 1159 BOWER ROAD RAMBO HILL ROAD SHERMANS DALE SHERMANS DALE SHERMANS DALE SHERMANS DALE Proximitv to sublect x..... .. )')")) )X).........iHi.X. 1.11 MILES 5.26 MILES 1.6~ES Sales Price $ ((i,..' .1$ 185000 ... <<1$ 425 000 <)'i'/)I $ 330 000 Price 1tSo. Fl LOT .,. ........ I 185 000 < ..... I 425 000 .r .........1 330 000 Data Souroe COUNTY & RE.D.S. COUNTY & RE.D.S. COUNTY & RE.D.S. Date of Sale and DESRlPTION DESCRIPTION +( -J Adiust. DESCRIPTION +(-) Adjust. DESCRIPTION +(-) Adjust. Time Adiustment 02123/2005 09/28/2005 09/0612005 Locatia1 RURAL RURAL RURAL RURAL SlteNI9W 43.4 ACIAVE 29.11 ACIAVE +72 000 37.94 ACIAVE +28 000 27.71 AClAVE +79000 TOPOGRAPHY AVERAGE AVERAGE MTN SLOPE +76000 AVERAGE IMPROVEMENTS NONE NONE HOME -175000 Sales or Financing Concessions NetAdi.lTotaI)< m&$ 72000~r 71 000 00+ fl- 1$ 79 000 loocated Vahle .. '. .rs. """')"'~)'l , ofSub'ecl'..r.. $ 257000 $ 354 000 ';r~:..1:;Z'~ $ 409 000 Conments on Mar1<el Data MARKET DATA OF CLOSED SALES WAS SUFFICIENT TO ARRIVE AT AN OPINION OF VALUE. ALL SALES WERE CLOSED SALE #3 WAS GIVEN THE MOST WEIGHT SINCE THIS SALE WAS DEVELOPED INTO A 13 LOT SUBDIVISION WHEN ARRNlNG AT MARKET VALUE. Conments and Cond1lons of AppaisaI APPRAISED "AS-IS". PROPERTY INSPECTED ON JANUARY 18, 2007. VALUE DATE OCTOBER 31,2005. RnaI Recondliation ALL THREE APPROACHES TO VALUE WERE CONSIDERED. HOWEVER ONLY THE SALES COMPARISON APPROACH IS CONSIDERED APPLICABLE DUE TO THE NATURE OF THE PROPERTY, A VACANT SITE. I ESTIMATE THE MARKET VALUE, AS DEFINED, OF THE SUBJECT PROPERTY AS OF OCTOBER 31, 2005 to be 390000 Appraiser Signature ~~ Supervisor SVeIure (6 appicabIe) AppraIserName R~ NOLO R WOOF, JR A SUpeMsor Name o Did o Did Not Physically Inspect Property Dale Report Signed 01/18/2007 Date Report Signed Stale Certiflcation # GA-oOOO02-L Stale PA State Certiflcatlon # State Stale Ucense # State Slale Ucense # Slale I'Irolluced ..ACI......IllD.DUm ...........tCIIII Woof Appraisal Group lNlDl_ ADDENDUM fI<llm,yer: Procertv Address: OEllVlllE DAM ROAD CitY: SHERMANS DALE Lender. RUTH E. FAilOR File No.. 8336 Case No.: State: PA Z1o: 17090 STATEMENT OF ADDITIONAL LIMITING CONDITIONS AND ASSUMPTIONS THIS APPRAISAL REPORT HAS BEEN PERFORMED FOR THE CLIENT INDICATED IN THE PRECEDING, WITH WHOM PROFESSIONAL STANDARDS REQUIRES ME TO MAINTAIN A STRICT REQUIREM ENT OF CONFIDENTIALITY. THE APPRAISER IS NOT A HOME INSPECTOR, THE APPRAISER ONl Y PERFORMED A VISUAL INSPECTION OF THE ACCESSIBLE AREAS AND THE APPRAISAL CANNOT BE RELIED UPON TO DISCLOSE CONDITIONS AND/OR DEFECTS IN THE PROPERTY. I, BY REASON OF THIS REPORT, AM NOT REQUIRED TO GIVE TESTIMONY IN COURT WITH REFERENCE TO THIS APPRAISAL. IF ANYONE WISHES MY APPEARANCE, IT CAN BE ARRANGED ONLY BY PRIOR ARRAN GEMENT BEING MADE WITH ME. SUCH APPEARANCES SHALL BE MADE AS AN EXPERT WITNESS AND THE FEE FOR SUCH APPEARANCES SHALL BE AT THE RATE OF $1251tiOUR PORTAL TO PORTAL, PLUS ANY REASO NABLE COST INCURRED BY ME. PURPOSE: THE PURPOSE OF THIS APPRAISAL IS TO ESTIMATE THE MARKET VALUE OF THE FEE SIMPLE INTEREST IN THE TITLE OF THE PROPERTY. THE VALUE IS AS OF THE DATE OF THE APPRAISAL, WHICH IS THE DAY THE PROPERTY WAS LAST VIEWED IN ITS ENTIRETY AND PHOTOGRAPHED. SIGNATURE: THE ELECTRONIC SIGNATURE USED IN THIS REPORT ARE PROTECTED BY THE APPRAISER AND ONL Y THE APPRAISER HAS COMPLETE CONTROL OF THE SIGNATURE. ADDITIONAL CERTIFICATION: THE INTENDED USER OF THIS APPRAISAL REPORT IS THE LENDER/CLIENT. THE INTENDED USER IS TO EVALUATE THE PROPERTY THAT IS THE SUBJECT OF THIS APPRAISAL FOR AN ESTATE, SUBJECT TO THE STATED SCOPE OF WORK, PURPOSE OF THE APPRAISAL, REPORTING REQUIREMENTS OF THIS APPRAISAL REPORT FORM, AND DEFINITION OF MARKET VALUE. NO ADDITIONAL INTENDED USERS ARE IDENTIFIED BY THE APPRAISER. SITE COMMENTS: THE APPRAISED PROPERTY IS THE RESIDUAL OF THE PROPERTY KNOWN AS 570 DELLVILLE DAM ROAD. THE FARM HOUSE HAS BEEN SUBDIVIDED OUT, AS HAS THE THREE CAR CONCRETE BLOCK GARAGE. THE ONLY REMAINING IMPROVEMENT IS A FRAME STABLE IN POOR CONDITION THAT IS CONSIDERED TO HAVE NO VALUE. THE 43.4 ACRE SITE HAS A GRAVELED FRONTAGE ON DELLVILLE DAM ROAD, ESTIMATED TO BE 5O'IN WIDTH AND 175' IN DEPTH. THEN THE SITE OPENS IN WIDTH ABOUT 470' TO THE EAST AND 450' TO THE WEST WITH A MID-POINT DEPTH OF ABOUT 1,600'. THE SITES TOPOGRAPHY IS SLOPING ABOVE GRADE WITH SOME ROLLING AREAS THAT ARE WOODED. A MAJORITY OF THE SITE HAS BEEN CLEARED AND TilLABLE. THE SITE COULD BE DEVELOPED INTO A 16+ LOT SUBDIVISION WITH THE INSTALLATION OF A ROAD STRAIGHT BACK TO THE REAR OF THE TRACT, IF THE SOIL IS SUITABLE FOR 16+ ON SITE SEWER SYSTEMS. Addendun Page 1 of 1 e e File No. PVT8338 DEFINITION OF MARKET VALUE: The most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale. the buyer and seller, each acting prudently, knowledgeably and assuming the price is not affected by undue stimulus. Implicit In this definition is the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby: (1) buyer and seller are typically motivated; (2) both parties are well informed or well advised, and each acting in what he considers his own best interest; (3) a reasonable time is allowed for exposure in the open market; (4) payment is made in terms of cash in U.S. dollars or in terms of financial arrangements comparable thereto; and (5) the price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions' granted by anyone associated with the sale. 'Adjustments to the comparables must be made for special or creative financing or sales concessions. No adjustments are necessary for those costs whIch are normally paid by sellers as a result of tradition or law In a market area; these costs are readily identifiable since the seller pays these costs in virtually all sales transactions. Special or creative financing adjustments can be made to the comparable property by comparisons to financing terms offered by a third party institutional lender that is not already involved in the property or transaction. Any adjustment should not be calculated on a mechanical dollar for dollar cost of the financing or concession but the dollar amount of any adjustment should approximate the market's reaction to the financing or concessions based on the Appraisefs judgment. STATEMENT OF LIMITING CONDITIONS AND APPRAISER'S CERTIFICATION CONTINGENT AND LIMITING CONDITIONS: The appraiser's certification that appears in the appraisal report is subject to the folowing conditions: 1. The appraiser will not be responsible for matters of a legal nature that affect either the property being appraised or the title to it. The appraiser assumes that the title is good and marketable and, therefore. will not render any opinions about the title. The property is appraised on the basis of it being under responsible ownership. 2. The appraiser has provided a sketch in the appraisal report to show approximate dimensions of the improvements and the sketch Is included only to assist the reader of the report in visualizing the property and understanding the appraisefs determination of its size. 3. The appraiser has examined the available flood maps that are provided by the Federal Emergency Management Agency (or other data sources) and has noted in the appraisal report whether the subject site is located in an identified Special Flood Hazard Area. Because the appraiser is not a surveyor. he or she makes no guarantees, express or implied. regarding this determination. 4. The appraiser will not give testimony or appear in court because he or she made an appraisal of the property in question. unless specific arrangements to do so have been made beforehand. 5. The appraiser has estimated the value of the land in the cost approach at its highest and best use and the improvements at their contributory value. These separate valuations of the land and improvements must not be used in conjunction with any other appraisal and are invalid if they are so used. 6. The appraiser has noted in the appraisal report any adverse conditions (such as, needed repairs, depreciation, the presence of hazardous wastes. toxic substances, etc. ) observed during the inspection of the subject property or that he or she became aware of during the normal research involved in performing the appraisal. Unless otherwise stated in the appraisal report, the appraiser has no knowledge of any hidden or unapparent conditions of the property or adverse environmental conditions (including the presence of hazardous wastes, toxic substances. etc. ) that would make the property more or less valuable, and has assumed that there are no such conditions and makes no guarantees or warranties, express or implied, regarding the condition of the property. The appraiser will not be responsible for any such conditions that do exist or for any engineering or testing that might be required to discover whether such conditions exist. Because the appraiser is not an expert In the field of environmental hazards. the appraisal report must not be considered as an environmental assessment of the property. 7. The appraiser obtained the information. estimates. and opinions that were expressed in the appraisal report from sources that he or she considers to be reliable and believes them to be true and correct. The appraiser does not assume responsibility for the accuracy of such Items that were furnished by other parties. 8. The appraiser will not disclose the contents of the appraisal report except as provided for in the Uniform Standards of Professional Appraisal Practice. 9. The appraiser has based his or her appraisal report and valuation conclusion for an appraisal that is subject to satisfactory completion, repairs, or alterations on the assumption that completion of the improvements will be performed in a workmanlike manner. 10. The appraiser must provide his or her prior written consent before the lender/client specified in the appraisal report can distribute the appraisal report (including conclusions about the property value, the appraiser's identity and professional designations, and references to any professional appraisal organizations or the firm with which the appraiser is associated) to anyone other than the borrower; the mortgagee or its successors and assigns; the mortgage insurer; consultants; professional appraisal organizations; any state or federally approved financial Institution; or any department. agency. or instrumentality of the United States or any state or the District of Columbia; except that the lender/client may distribute the property description section of the report only to data collection or reporting service(s) without having to obtain the appraiser's prior written consent. The appraiser's written consent and approval must also be obtained before the appraisal can be conveyed by anyone to the public through advertising, public relations, news, sales, or other media. Vacant Land Page 1 of2 e e File No. PVT8338 APPRAISERS CERTIFICATION: The Appraiser certifies and agrees that: 1. I have researched the subject market area and have selected a minimum of three recent sales of properties most similar and proximate to the subject property for consideration in the sales comparison analysis and have made a dollar adjustment when appropriate to reflect the market reaction to those items of significant variation. If a significant item in a comparable property is superior to . or more favorable than. the subject property, I have made a negative adjustment to reduce the adjusted sales price of the comparable and, if a significant item in a comparable property is inferior to. or less favorable than the subject property, I have made a positive adjustment to increase the adjusted sales price of the comparable. 2. I have taken into consideration the factors that have an impact on value in my development of the estimate of market value in the appraisal report. I have not knowingly withheld any significant information from the appraisal report and I believe, to the best of my knowledge, that all statements and information in the appraisal report are true and correct. 3. I stated in the appraisal report only my own personal, unbiased, and professional analysis, opinions, and conclusions. which are subject only to the contingent and Umiling Conditions specified in this form. 4. I have no present or prospective interest in the property that is the subject to this report. and I have no present or prospective personal interest or bias with respect to the participants in the transaction. I did not base. either partially or completely. my analysis and/or the estimate of market value in the appraisal report on the race, color, religion, sex, handicap. familial status, or national origin of either the prospective owners or occupants of the subject property or of the present owners or occupants of the properties in the vicinity of the subject property. 5. I have no present or contemplated future interest in the subject property, and neither my current or future employment nor my compensation for performing this appraisal is contingent on the appraised value of the property. 6. I was not required to report a predetermined value or direction in value that favors the cause of the client or any related party, the amount of the value estimate. the attainment of a specific result. or the occurrence of a subsequent event in order to receive my compensation and/or employment for performing the appraisal. I did not base the appraisal report on a requested minimum valuation. a specific valuation, or the need to approve a specific mortgage loan. 7. I performed this appraisal in conformity with the Uniform Standards of Professional Appraisal Practice that were adopted and promulgated by the Appraisal Standards Board of The Appraisal Foundation and that were in place as of the effective date of this appraisal, with the exception of the departure provision of those Standards. which does not apply. I acknowledge that an estimate of a reasonable time for exposure in the open market Is a condillon in the definition of market value and the estimate I developed is consistent with the marketing lime noted in the neighborhood section of this report. unless I have othelWise slated in the reconciliation section. 8. I have personally inspected the subject property and the exterior of all properties listed as comparables in the appraisal report. I further certify that I have noted any apparent or known adverse conditions in the subject improvements, on the subject site, or on any site within the immediate vicinity of the subject property of which I am aware and have made adjustments for these adverse conditions in my analysis of the property value to the extent that I had market evidence to support them. I have also commented about the effect of the adverse conditions on the marketability of the subject property. 9. I personally prepared all conclusions and opinions about the real estate that were set forth in the appraisal report. If I relied on significant professional assistance from any individual or individuals in the performance of the appraisal or the preparation of the appraisal report. I have named such individual(s) and disclosed the specific tasks performed by them in the reconciliation section of this appraisal report. I certify that any individual so named is qualified to perform the tasks. I have not authorized anyone to make a change to any item in the report; therefore. if an unauthorized change is made to the appraisal report. I will take no responsibility for it. SUPERVISORY APPRAISER'S CERTIFICATION: If a supervisory appraiser signed the appraisal report. he or she certifies and agrees that: I directly supervise the appraiser who prepared the appraisal report. have reviewed the appraisal report, agree with the statements and conclusions of the appraiser, agree to be bound by the appraiser's certifications numbered 4 through 7 above, and am taking full responSIbility for the appraisal and the appraisal report. ADDRESS OF PROPERTY APPRAISED: DELLVILLE DAM ROAD, SHERMANS DALE, PA, 17090 APPRAISER: SUPERVISORY APPRAISER (only if required) S~natlr~ ~~ Name: REY OLD R. WOOF, JR.I S Date Signed: 01/18/2007 State GertJication,: GA-OOOO02-L or State License ,: State: PA Expiration Date of CertifICation or Ucense: 06/30/2007 S~nature: Name: Date Signed: State Certification ,: or State license #: State: Expiration Date of CertifICation or Ucense: o Did 0 Did Not Inspect Property PA CERTIFIED GENERAL REAL ESTATE APPRAISER Vacant Land Page 20f2 Borrower: Property Address: DELLVlLLE DAM ROAD City: SHERMANS DALE Lender: RUTH E. FAILOR Fi PVT8338 Case No.: State: PA Zip: 17090 ACCESS ROAD OF THE SITE STREET SCENE LOOKING EAST FRAME STABLE I NO VALUE Borrower: Prooertv Address: DELL VlLLE DAM ROAD City: SHERMANS DALE Lender: RUTH E. FAILOR F . PVT8338 Case No.: State: PA ZiD: 17090 NORTHERN HALF OF SITE LOOKING NORTH LOWER HALF OF SITE LOOKING SOUTH e LOCATION MAP e Borrower: Prooertv Address: DELL VILLE DAM ROAD City: SHERMANS DALE Lender: RUTH E. FAILOR File No.: PVT8338 Case No.: State: PA Zip: 17090 form HUO- 1 (3186) fef Handbook 4305.2 . ............--..-...........- S 1 S A. ett ement tatement -" u.s. Dep_lent of Housing and evelopment B. Tvoe of Loan OMB Aooroval No. 2502-0265 /3012006 ) 1. OFHA 2. OFmHA 3. Il1Cony. unins.\ 6. F~e Number "' 7. Loan Number I 8. Mortgage Insurance Case Number 4. nVA 5. nConY. Ins. FAILOR-LOT #14 c. Note: __-(p.a.c.r.!:: ~~thodooing; they....- ,*"fcr__1Ion ':-c- ond... nol~ :..... \ Title Express Settlement System =;,:,Is.:~:::"11IY...'"'-F==.:~~~eo:=.'no~...:=ro1~~_upon Printed 10/3112006 at 13:53 CL T D. NAME OF BORROWER: DONALD S. FAILOR ADDRESS: 429 Dart Hollow Road Shermansdale. Pa 17090 E. NAME OF SELLER: RUTH E. FAILOR, EXECUTRIX OF THE ESTATE OF DONALD E. FAILOR ADDRESS: F. NAME OF LENDER: Cornerstone Federal Credit Union ADDRESS: PO Box 1181 5 East Gate Drive Carlisle Pa 17013 G. PROPERTY ADDRESS: Lot #14 Creekwood Hills Carroll Township H. SETTLEMENT AGENT: Cedar Cliff Abstract Agency, Inc., Telephone: 717-774-7435 Fax: 717-774-3869 PLACE OF SETTLEMENT: 414 Brldae street. New Cumberland. PA 17070 I. SETTLEMEN1 DATE; 1013112006 J. SUMMARY OF BORROWER'S TRANSACTION: K. SUMMARY OF SELLER'S TRANSACTION: 100. GROSS AMOUNT DUE FROM BORROWER 400. GROSS AMOUNT DUE TO SELLER 101. Contract sales orice 100 000.00 401. Contract sales once 100 000.00 102. Personal Pmnertv 402. Personal Prooertv 103. Settlement mamas to borroWer lIine 1400\ 1 060.88 403. 104. 404. 105. 405. Adiuslments for items oaid bv seUer In advance Adiustments for items oaid bv seller in advance 106. Citv/loWn taxes 406. CiiV/loWn taxes 107. Countv taxes 10/31106 to 12/31106 24.81 407. Countvtaxes 10/31106 to 12/31106 24.81 108. School taxes 10131106 to 06130107 319.31 408. School taxes 10131106 to06/3O/07 319.31 109. 409. 110. 410. 111. 411. 112. 412. 120. GROSS AMOUNT DUE FROM BORROWER 101.405.00' 420. GROSS AMOUNT DUE TO SELLER 100344.12 200. AMOUNTS PAID BY OR ON BEHALF OF BORROWER SOO. REDUCTIONS iN AMOUNT DUE TO SELLER 201. -ri..nasit or earnest money 501. Excess Deoosit (see instructions\ 202. Prindoal amount of new loans 100 000.00 502. Settlement mames to seller /line 1400\ 203. E'-io8n<sl taken subiecl to 503. ExiSful(lIoa-;;ts) taken subieclto 204. 504. Payoff of First Mortaaae Loan 205. 505. 206. - 506. 207. 507. 208. 508. 209. 509. Adiustments for items unDaid bv seller Adjustments for items unoaid bv seller 210. Citvltown taxes 510. Citvltown taxes 211. Countv taxes 511. County taxes 212. School taxes 512. School taxes 213. 513. 214. 514. 215. 515. 216. 516. 217. 517. 218. 518. 219. 519. 220. TOTAL PAID BYIFOR BORROWER 100 000.00 520. TOTAL REDUCTION AMOUNT DUE SELLER 300. CASH AT SETTLEMENT FROM OR TO BORROWER 600. CASH AT SETTLEMENT TO OR FROM SELLER 301. Gross amount due from borrower lUne 120\ 101 405.00 601. Gross amount due to seller /line 420\ 100 344.12 302. Less amounts ~ bYIfor borroWer /line 22m 100.000.00 602. Less reduction amount due seUeiliine 520\ 303. CASH FROM BORROWER 1 405.00 603. CASH TO SELLER 100 344.12 suesTl1UTE FORM 1099 SaLER STATEMENT: Tho......- contained _ is ImportanI tax lnfo<malion ond is being furnished 10 the InIomal Revenue _. "~"'" roqui"ed 10 file . return. :...~.:::=:.::.~ ~"':'= ~ iIom Is...,..nd 10 be Nported and "'" IRS d_ thai ~ haa not..... NpOfIad. Tho Contnel s-. Prioo d.oalbod on =.'='t==-a;=-....=~::;:::~__al~rc::u::::=.~~~lsdo:=.::\W~~..=-on TlN:_'_"_'-"-"- SELLER(S) SlGNATURE(S): ' SELLER{S) NEW IoWIJNG ADDRESS: SELLER(S) PHONE NUMBERS: (H) (W) U.S. DEPARTMENT OF HOUSING AND UP~' N DEVELOPMENT File Number. F' 'I .OR.LOT #14 PAGE 2 SETTLEMENT STATEMENT . ~ . TitleExoress ~.. ......ment System Printed 1 006 at 13:53 CL T L SETTLEMENT CHARGES PAl M PAID FROM 700. TOTAL SALESlBROKER'S COMMISSION based 0 . $100.000.00 = BORRO ER'S SELLER'S Division of commission Iline 700\ as follows: FUNDS AT FUNDS AT 701. $ to SETTLEMENT SETTLEMENT 702. S to 703. Con1'nission oaid at SeUIement BOO. rrEMS PAYABLE IN CONNECTION WITH LOAN 801. LoarlOnaination Fee 0/0 802. Loan DiscoUnt % 803. AmraisaI Fee 804. Credit ReOOrt 805. Lender'SiIlSDection Fee 806. Fee 8IJ7. Fee 808. 809. 810. 811. 900. ITEMS REQUIRED BY LENDER TO BE PAID IN ADVANCE 901. InlBIest From to @S /dav 902. abtnaoe Insunw1ce Premium for to 903. Hazard InsuranCe Premium for to 904. 905. 1000. RESERVES DEPOSITED WITH LENDER FOR 1001. Hazard InsuranCe mo::@$ lmo l002.u_11l$UllII1Ce mo.lifJ$ Imo 1003. Tax mo~$ lmo 1004. Counlv prmertv Tax mo.lifJ$ 12.38 lmo 1005. School taxes mo.lifJ$ 40.13 lmo 1009. Aaareoale AnalYSis Adiusbnent 0.00 0.00 1100. TITLE CHARGES 1101. SeUIement or CiOsina fee 1102. AbstracI or title search 1103. Tille examination 1104. TIUe iIsurance binder 1105. DocumenlP- 1106. N""""Fees 1107. AlIomev'sfees nncludes above items No: ) 1108. TIUe Insurance to Cedar Cliff Abstract Aaencv. Inc. 712.88 lincludes above items No: Re-issue \ 1109. L.endel's PoiiCV 100000.00 .712.88 1110. Owner's poiicv 1111. ALTA Short Loan to Cedar Cliff Abstract Aaencv, Inc. 100.00 1112. End 900 to Cedar Cliff Abstract Aaencv. Inc. 50.00 1113. CIosinoSvcLtr to Cedar Cliff Abstract Aaencv. Inc. 35.00 1200. GOVERNMENT RECORDING AND TRANSFER CHARGES 1201. Recordina Fees Deed $ 38.50 ~Mnrtn"'e $ 64.50 : Release $ 1 03.00 1202. CitvlCounlv taxis""""" Deed $ . Marlnaoe $ 1203. State Tamtamos Deed $ .Mortoaoe$ 1204. 1205. 1300. ADDITIONAL SETTLEMENT CHARGES 1301. Survev 1302. Pesllnsoection 1400. TOTAL SETTLEMENT CHARGES lenter on lines 103 Section J and 502. Section Kl 1 060.88 HUO CERTIFICATION OF BUYER AND SELLER I h8Ye C*8fufty reviewed the HUO-1 SetIJement Statement and to the beSt of my knowledge and befief. It Is a true and accurate statement of all receipts and disbursements made on my account 0( by me in ...-., Iur1hercorllly_'...... """""",. copy "'... HlJD.l - Statemenl ~ . . c. ."'cu., WARNING: IT IS A CRIME TO KNOWINGI. Y MAKE FALSE STATEMENTS TO THE UNITED STATES ON THIS OR Nt( SIMI.AR FORM. PENALTIES UPON CONVICTION CAN INCWOEA FlNEAND _SONMENT. FOR DETAIlS SEE TInE lB: U.s. CODE SECTlON 1001 AND SECT10N 1010. and accurate account of this in a~ with this statement SEmEMENT AGENT: DATE: to-.J J<!r. e e WOOF APPRAISAL GROUP Fie No. PVT8336 JANUARY 17. 2007 RUTH E. FAILOR 298 RIDGE HILL ROAD MECHANICSBURG, PA 17050 File Number: PVT8336 DEAR MRS. FAILOR. In accordance with your request. I have personally inspected and appraised the real property at: DELLVILLE DAM ROAD SHERMANS DALE. PA, 17090 The purpose of this appraisal is to develop an opinion of the market value of the subject property. as vacant. The property rights appraised are the fee simple interest in the site. In my opinion. the estimated market value of the property as of OCTOBER 31,2005 is: $65.000 SIXTY-FIVE THOUSAND DOLLARS The attached report contains the description. analysis and supportive data for the conclusions, final estimate of value. descriptive photographs. limiting conditions and appropriate certifications. SINCERELY; ~~~ REYNOLD R. WOOF. JR. IFAS PA CERTIAED GENERAL REAl ESTATE APPRAISER WOOF APPRAISAL GROUP LAND APPRAISAL REPORT File No. PVT8336 Borrower Census Tract 3240-305.01 MapReferenCe 040.130.00-036.012 PropertyAddreSS DELLVILLE DAM ROAD City SHERMANS DALE County PERRY State PA ~ Code 17090 Legal Descriplion LOT 12, PART OF DEED BOOK 198. PAGE 226 00 Fee D Leasehold D De MinimUS PUO Sale Price N/A Dale of Sale N/A Loan Term ~ yrs. Property Rights AppIaised Actual Real Estate Taxes $451.43 (yr.) Loan charges to be paid by seller N/A Other sale concessions LenderlCllent RUTH E. FAILOR AddresS 298 RIDGE HILL ROAD. MECHANICSBURG, PA 17050 Occupant VACANT AppIaiser REYNOLD R WOOF. JR lnstnJc\ions to AppIaiser ESTATE OF DONALD E. FAILOR. VALUE AS OF 10/31/2005 LocatIon - g Urban . g SWuman ~ Rural Good A"9 Fair Poor Built Up Dover 75% 00 25% to 75% D Under 25% Employment Stability D ~ D D Growth Rate D FullyDev. DRapld 00 Steady Dslow Convenience to EmpIoyrnent D 0 D Property Values o Increasing 00 Stable o Declining Convenience to Shopping D 00 0 0 oemandlSuppIy D Shortage 00 In Balance o Over Supply Convenience to SchoOls 0 00 0 D Mar1<eting Time 00 Under 3 Mos. D 4-6 Mos. D Over 6 Mos. Adequacy of Public Transportation D 00 D 0 Present ~ % 1 FamBy L % 2.4 Family _ % Apts - % Condo L %Commerclal Recreational Facilities D 00 0 0 Land Use % Industrial 62 % Vacant % Adequacy of Utilities D 00 0 0 Change In Pr~ Land Use - D Not Lil<eIy DUkely 00 Taking Placer) Properly Compatibility D 00 D D r)From VACANT To SINGLE FAMILY Protec\lOn from Detrimental Conditions D 00 D D Predominant Occupancy 00 Owner U Tenant >1 % Vacant Police and Fire protec\lOn D 00 D D Single Family Price Range ~ to ~ Predominant Value 160K General Appearance of Properties D 00 D 8 Single Family Age NEW yrs. to yrs.1Q.Q!..- PredomlnantAge ~ VB. Appeal to M_ D 00 D Comments Including those fac\OfS. favorable or unfavorable. allec1lng marketability (e.g. public parks. schoOls. view. noise) THE SUBJECT PROPERlY IS LOCATED IN A RURAL NEIGHBORHOOD COMPRISED PREDOMlNANTl Y FARM LAND, MOUNTAIN SLOPE. AND SINGLE FAUlL Y HOUSES. NEW CONSTRUCTION IS ON GOING IN THE NEIGHBORHOOD. EASY ACCESS TO EMPLOYMENT CENTERS SCHOOLS SHOPPING AND TRANSPORTATION FOR A RURAL AREA DimenSions NOT PROVIDED =4.28 ACRES DeomerLol Zoning ClasSIfication RESIDENTIAL AGRICULTURAL Present Improvements 00 00 U 00 Not ConfomI to Zoning Regulallons HigleSl and Best Use 00 Present Use U Other (specify) Public Other (Describe) OFF-SITE IMPROVEMENTS Topo LEVEL THEN SLOPING BELOW GRADE TO CREEK Elec. D SIr.AddreSs D Public 00 private Size TYPICAL Gas D Surface GRAVEL Shape IRREGULAR Water D Maintenance 0 Public 00 private View TYPICAL San. SeINer D o Stann Sewer D Curb/Gutter Drainage FLOOD ZONE AT CREEK. BUILDING SITE ADEQUATE 00 Underground EIec & Tel D SideWalk D Street Ughts Property located in a HUD Identified Special Flood Hazan:! Area7~ Yes U No Comments (favorable or unfavorable including any apparent adver59 easements. encroac\lm9l1ts or other adverSe condilIonS) THE AREA ALONG THE CREEK IS LOCATED IN A FLOOD HAZARD ZONE "A". THE HOMESITE AREA IS NOT IN A FLOOD ZONE, ZONE "X". AS PER F.E.MA. PANEL 4219490010 B. DATED SEPTEMBER 4. 1987. NO APPARENT ADVERSE EASEMENTS OR ENCROACHMENTS NOTED. The undersigned has recited three recent sates of properties most similar and proximate to the subject and has to be considered these In the market analysis. The description Includes a dollar adjustment. renacting market reacllon Ix> those Kerns of slgnlflcant variation between the subject and comparable properties. If a s1gnlllcantltem In the comparable property IS superior to. or more fllVOfable than subject property. a minus (-) adjUStment Is made. thus reducing the indicated value of the subject, If a significant In the comparable Is Inferior to or less favorable than the subject property. a plus (+) adjustment is made. thus Increasing the indicated value of the subject. ITEM SUBJECT COMPARABLE NO.1 COMPARABLE NO. 2 COMPARABLE NO.3 AddreSS DELLVILLE DAM ROAD 175 WINDY HILL ROAD WINDY HILL ROAD STONER DRIVE SHERMANS DALE SHERMANS DALE SHERMANS DALE SHERMANS DALE Proximltv to subiect ./;.:.. ..... 2.00 MILES 1.77 MILES 1.93 MILES Sales PrIce S N/A 1$ 50 000 ;. .Is 125 000 r .... Is 63 000 Price "iISa. A. LOT . I 50 000 I 1250001 ....1 63 000 Data Source INSPECTION COUNTY & RED.S. COUNTY & RE.D.S. COUNTY & RE.D.S. Date of Sale and DESRlPTION DESCRIPTION :;[-)AdjUSI. DESCRIPTION +( -) Adiust. DESCRIPTION +( -) Adiust TlI1\e Ad'ustrnent 09/01/2005 12/29/2005 07/12/2006 location RURAL RURAL RURAL RURAL SltelView 4.28 AC/AVE 2.59 AC/AVE +17 000 13.40 AC/AVE -60 000 3.51 AC/AVE +5 000 Sales or Fmandng ConceSSIons Net Ad. lTotall . 00+ fl- 1$ 17000 n+ 00- 1$ 60 000 00+ fl- Is 5000 Indicated Value Qo:lsS' 34.0\ j~:' ..-~:;~i'l $ ~:'~lrl s of Subiect Net a4.0il s 67 000 65 000 68 000 Comments on Market Data MARKET DATA OF CLOSED SALES WAS SUFFICIENT TO ARRIVE AT AN OPINION OF VALUE. ALL SALES WERE CLOSED AND CONSIDERED EaUALL Y WHEN ARRMNG AT MARKET VALUE. Comments and Conditions of Appraisal APPRAISED "AS-IS". PROPERTY INSPECTED ON JANUARY 9.2007. VALUED AS OF OCTOBER 31.2005 final Reconciliation ALL THREE APPROACHES TO VALUE WERE CONSIDERED. HOWEVER. ONLY THE SALES COMPARISON APPROACH IS CONSIDERED APPLICABLE DUE TO THE NATURE OF THE PROPERTY. A VACANT SITE. I ESTIMATE THE MARKET VALUE, AS DEFINED, OF THE SUBJECT PROPERTY AS OF 10/31/2005 to be 65000 Apprai_Slgnatu"'~ SJpervisor SIlJl3tu'e f' appiicabIe) Appraiser Name R NOLO R WOOF, JR. A SUpervIsor Name DDid D Old Not Physically Inspect Property Date Report SIgned 01/17/2007 Date Report SIgned State certification # GA-000002-L State PA Stale certification # State State Ucense # Stale State ucense # Stale ~using /ID!IlJIlwp,lC>>n4.I1ZJ ....Kiweb.allll Woof Appraisal Group lAND2_ ADDENDUM File No.: Case No.: 36 := P AddreSS: DELLVILLE DAM ROAD . SHERMANS DALE Lender. RUlH E. FAILOR Slale: PA liD: 17090 STATEMENT OF ADDITIONAL LIMITING CONDITIONS AND ASSUMPTIONS THIS APPRAISAL REPORT HAS BEEN PERFORMED FOR THE CLIENT INDICATED IN THE PRECEDING. WITH WHOM PROFESSIONAL STANDARDS REQUIRES ME TO MAINTAIN ASTRICT REQUIREMENT OF CONFIDENTIALITY. THE APPRAISER IS NOT A HOME INSPECTOR. THE APPRAISER ONL Y PERFORMED A VISUAL INSPECTION OF THE ACCESSIBLE AREAS AND THE APPRAISAL CANNOT BE RELIED UPON TO DISCLOSE CONDITIONS AND/OR DEFECTS IN THE PROPERTY. I, BY REASON OF THIS REPORT. AM NOT REQUIRED TO GIVE TESTIMONY IN COURT WITH REFERENCE TO THIS APPRAISAL. IF ANYONE WISHES MY APPEARANCE. IT CAN BE ARRANGED ONLY BY PRIOR ARRANGEMENT BEING MADE WITH ME. SUCH APPEARANCES SHALL BE MADE AS AN EXPERT WITNESS AND THE FEE FOR SUCH APPEARANCES SHALL BE AT THE RATE OF $125/HOUR PORTAL TO PORTAL. PLUS ANY REASONABLE COST INCURRED BY ME. PURPOSE: THE PURPOSE OF THIS APPRAISAL IS TO ESTIMATE THE MARKET VALUE OF THE FEE SIMPLE INTEREST IN THE TITLE OF THE PROPERTY. THE VALUE IS AS OF THE DATE OF THE APPRAISAL, WHICH IS THE DAY THE PROPERTY WAS LAST VIEWED IN ITS ENTIRETY AND PHOTOGRAPHED. SIGNATURE: THE ELECTRONIC SIGNATURE USED IN THIS REPORT ARE PROTECTED BY THE APPRAISER AND ONLY THE APPRAISER HAS COMPLETE CONTROL OF THE SIGNATURE. ADDITIONAL CERTIFICATION: THE INTENDED USER OF THIS APPRAISAL REPORT IS THE LENDER/CLIENT. THE INTENDED USER IS TO EVALUATE THE PROPERTY THAT IS THE SUBJECT OF THIS APPRAISAL FOR AN ESTATE. SUBJECT TO THE STATED SCOPE OF WORK, PURPOSE OF THE APPRAISAL. REPORTING REQUIREMENTS OF THIS APPRAISAL REPORT FORM. AND DEFINITION OF MARKET VALUE. NO ADDITIONAL INTENDED USERS ARE IDENTIFIED BY THE APPRAISER. AdlleneUn Page 1 d 1 e e File No. PVT8336 DEFINITION OF MARKET VALUE: The most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller, each acting prudently, knowledgeably and assuming the price is not affected by undue stimulus. Implicit in this definition is the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby: (1) buyer and seller are typically motivated; (2) both parties are well informed or well advised, and each acting in what he considers his own best interest; (3) a reasonable time is allowed for exposure in the open market; (4) payment is made in terms of cash in U.S. dollars or in terms of financial arrangements comparable thereto; and (5) the price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions. granted by anyone associated with the sale. .Adjustments to the comparables must be made for special or creative financing or sales concessions. No adjustments are necessary for those costs which are normally paid by sellers as a result of tradition or law in a market area; these costs are readily identifiable since the seller pays these costs in virtually all sales transactions. Special or creative financing adjustments can be made to the comparable property by comparisons to financing terms offered by a third party institutional lender that is not already involved in the property or transaction. Any adjustment should not be calculated on a mechanical dollar for dollar cost of the financing or concession but the dollar amount of any adjustment should approximate the markel's reaction to the financing or concessions based on the Appraiser's judgment. STATEMENT OF LIMITING CONDITIONS AND APPRAISER'S CERTIFICATION CONTINGENT AND LIMITING CONDITIONS: The appraiser's certification that appears in the appraisal report is subject to the following conditions: 1. The appraiser will not be responsible for matters of a legal nature that affect either the property being appraised or the title to it. The appraiser assumes that the title is good and marketable and, therefore, will not render any opinions about the title. The property is appraised on the basis of it being under responsible ownership. 2. The appraiser has provided a sketch in the appraisal report to show approximate dimensions of the improvements and the sketch is included only to assist the reader of the report in visualizing the property and understanding the appraiser's determination of its size. 3. The appraiser has examined the available flood maps that are provided by the Federal Emergency Management Agency (or other data sources) and has noted in the appraisal report whether the subject site is located in an identified Special Flood Hazard Area. Because the appraiser is not a surveyor, he or she makes no guarantees, express or implied, regarding this determination. 4. The appraiser will not give testimony or appear in court because he or she made an appraisal of the property in question, unless specific arrangements to do so have been made beforehand. 5. The appraiser has estimated the value of the land in the cost approach at its highest and best use and the improvements at their contributory value. These separate valuations of the land and improvements must not be used in conjunction with any other appraisal and are invalid if they are so used. 6. The appraiser has noted in the appraisal report any adverse conditions (such as, needed repairs, depreciation, the presence of hazardous wastes, toxic substances, etc. ) observed during the inspection of the subject property or that he or she became aware of during the normal research involved in performing the appraisal. Unless otherwise stated in the appraisal report, the appraiser has no knowledge of any hidden or unapparent conditions of the property or adverse environmental conditions (including the presence of hazardous wastes, toxic substances, etc. ) that would make the property more or less valuable, and has assumed that there are no such conditions and makes no guarantees or warranties, express or implied, regarding the condition of the property. The appraiser will not be responsible for any such conditions that do exist or for any engineering or testing that might be required to discover whether such conditions exist. Because the appraiser is not an expert in the field of environmental hazards, the appraisal report must not be considered as an environmental assessment of the property. 7. The appraiser obtained the information, estimates, and opinions that were expressed in the appraisal report from sources that he or she considers to be reliable and believes them to be true and correct. The appraiser does not assume responsibility for the accuracy of such items that were furnished by other parties. 8. The appraiser will not disclose the contents of the appraisal report except as provided for in the Uniform Standards of Professional Appraisal Practice. 9. The appraiser has based his or her appraisal report and valuation conclusion for an appraisal that is subject to satisfactory completion, repairs, or alterations on the assumption that completion of the improvements will be performed in a workmanlike manner. 10. The appraiser must provide his or her prior written consent before the lender/client specified in the appraisal report can distribute the appraisal report (including conclusions about the property value, the appraiser's identity and professional designations, and references to any professional appraisal organizations or the firm with which the appraiser is associated) to anyone other than the borrower; the mortgagee or its successors and assigns; the mortgage insurer; consultants; professional appraisal organizations; any state or federally approved financial institution; or any department, agency, or instrumentality of the United States or any state or the District of Columbia; except that the lender/client may distribute the property description section of the report only to data collection or reporting service(s) without having to obtain the appraiser's prior written consent. The appraiser's written consent and approval must also be obtained before the appraisal can be conveyed by anyone to the public through advertising, public relations, news, sales, or other media. page 1 of2 Vacant Land e e File No. PVT8336 APPRAISERS CERTIFICATION: The Appraiser certifies and agrees that: ,. I have researched the subject market area and have selected a minimum of three recent sales of properties most similar and proximate to the subject property for consideration in the sales comparison analysis and have made a dollar adjustment when appropriate to reRect the market reaction to those items of significant variation. If a significant item in a comparable property is superior to , or more favorable than, the subject property, I have made a negative adjustmeflt to reduce the adjusted sales price of the comparable and, if a significant item in a comparable property is inferior to, or less favorable than the subject property, I have made a positive adjustment to increase the adjusted sales price of the comparable. 2. I have taken into consideration the factors that have an impact on value in my development of the estimate of market value in the appraisal report. I have not knowingly withheld any significant information from the appraisal report and I believe, to the best of my knowledge, that all statements and information in the appraisal report are true and correct. 3. I stated in the appraisal report only my own personal, unbiased, and professional analysis, opinions, and conclusions, which are subject only to the contingent and Umiting Conditions specified in this form. 4. I have no present or prospective interest in the property that is the subject to this report. and I have no present or prospective personal interest or bias with respect to the participants in the transaction. I did not base. either partially or completely, my analysis and/or the estimate of market value in the appraisal report on the race, color, religion, sex, handicap, familial status, or national origin of either the prospective owners or occupants of the subject property or of the present owners or occupants of the properties in the vicinity of the subject property. 5. I have no present or contemplated future interest in the subject property, and neither my current or future employment nor my compensation for pertorrning this appraisal is contingent on the appraised value of the property. 6. I was not required to report a predetermined value or direction in value that favors the cause of the client or any related party. the amount of the value estimate, the attainment of a specific result, or the occurrence of a subsequent event in order to receive my compensation and/or employment for performing the appraisal. I did not base the appraisal report on a requested minimum valuation, a specific valuation, or the need to approve a specific mortgage loan. 7. I performed this appraisal in conformity with the Uniform Standards of professional Appraisal Practice that were adopted and promulgated by the Appraisal Standards Board of The Appraisal Foundation and that were in place as of the effective date of this appraisal, with the exception of the departure provision of those Standards, which does not apply. I acknowledge that an estimate of a reasonable time for exposure in the open market is a condition in the definition of market value and the estimate I developed is consistent with the marketing time noted in the neighborhoOd section of this report. unless I have otherwise stated in the reconciUation section. 8. I have personally inspected the subject property and the exterior of all properties listed as comparables in the appraisal report. I further certify that I have noted any apparent or known adverse conditions in the subject improvements, on the subject site, or on any site within the immediate vicinity of the subject property of which I am aware and have made adjustments for these adverse conditions in my analysis of the property value to the extent that I had market evidence to support them. I have also commented about the effect of the adverse conditions on the marketability of the subject property. 9. I personally prepared all conclusions and opinions about the real estate that were set forth in the appraisal report. If I relied on significant professional assistance from any individual or individuals in the performance of the appraisal or the preparation of the appraisal report, I have named such individual(s) and disclosed the specific tasks performed by them in the reconciliation section of this appraisal report. I certify that any individual so named is qualified to perform the tasks. I have not authorized anyone to make a change to any item in the report; therefore, if an unauthorized change is made to the appraisal report, I will take no responsibiUty for it. SUPERVISORY APPRAISER'S CERTIFICATION: If a supervisory appraiser signed the appraisal report. he or she certifies and agrees that: I directly supervise the appraiser who prepared the appraisal report. have reviewed the appraisal report, agree with the statements and conclusions of the appraiser, agree to be bound by the appraiser's certifications numbered 4 through 7 above, and am taking fun responsibiUty for the appraisal and the appraisal report. ADDRESS OF PROPERTY APPRAISED: DELLVILLE DAM ROAD. SHERMANS DALE, PA, 17090 SUPERVISORY APPRAISER (only if required) APPRAISER: Signature: ~ Name: REY OLD R. WOOF, JR.IF 5 Date Signed: 01/17/2007 State Certification #: GA..QOO002-L or State License #: State: PA Expiration Date of Certification or license: 06/30/2007 Signature: = Name: Date Signed: State CertflC8tion #: or State license #: State: Expiration Date of Certification or license: o Did 0 Did Not Inspect Property PA CERTIFIED GENERAL REAL ESTATE APPRAISER Vacant land Page 2 of2 State: PA ACCESS ROAD TO SITE VIEW OF SITE ACCESS ROAD AT SITE e LOCA nON MAP e Borrower: . P~nv Address: DELLVlLLE DAM ROAD C. : SHERMANS DALE Lender: RUTH E. FAILOR File No.: PVT8338 Case No.: State: PA Zip: 17090 '\ e e WOOF APPRAISAL GROUP Fie No. PVT8337 JANUARY 18. 2007 RUTH E. FAILOR 298 RIDGE HILL ROAD MECHANICSBURG. PA 17050 File Number: PVT8337 DEAR MRS. FAILOR. In accordance with your request. I have personally inspected and appraised the real property at: DELLVILLE DAM ROAD SHERMANS DALE. PA, 17090 The purpose of this appraisal is to develop an opinion of the market value of the subject property. as vacant. The property rights appraised are the fee simple interest in the site. In my opinion. the estimated market value of the property as of OCTOBER 31. 2005 is: $80.000 EIGHTY THOUSAND DOLLARS The attached report contains the description. analysis and supportive data for the conclusions. final estimate of value. descriptive photographs. limiting conditions and appropriate certifications. SINCERELY; ~~~ REYNOLD R WOOF. JR. IFAS PA CERTIAED GENERAL REAL ESTATE APPRAISER e WOOF APPRAISAL GROUP LAND APPRAISAL REPORT e File No PVT8337 Map RefereIlCIl 040.130.00-036.011 Census Tract 3240-305.01 eorrower Property~ DELLVlLLE DAM ROAD City SHERMANS DALE Coo.r1Iy PERRY Legal Oesalpllon LOT 11 PART OF DEED BOOK 198 PAGE 226 Sale PriCe N/A Date (j Sale N/A Loan Tetm ~)1'5. Property Rights Appraised 00 Fee 0 LeaSehOld 0 De Minimus PUO AclUlII Real EslaIe Taxes UNKNOWN (yr.) Loan chWges to be paid by seller NJA Other sale C(lllC8SSions LenderfOienI RUTH E. FAILOR AddreSS 298 RIDGE HILL ROAD. MECHANICSBURG. PA 17050 QccupaI1t Applaiser REYNOLD R WOOF. JR Instructioos to Applalser ESTATE OF DONALD E. FAILOR. VALUE AS OF OCTOBER 31 2005 LocatiOn 1:1 Urban 1:1 SUbUrt>an ~ Rural Good Avg Fair Buill Up 0 Over 75% 00 25% to 75% 0 Under 25% Employment StabillIy 0 00 0 Gmwlh Rate 0 Fully Dev. 0 Rapid 00 S~ 0 Slow Convenief1Ce to Employment 0 00 0 ~ Val.... 0 Increasing 00 Stable 0 Declining ConvenlenCl! to Shopplng 0 00 0 DemandiSupply 0 Shorl8Ile 00 In BaIanCO 0 Over Supply ConvenIence 10 SchOOls 0 00 0 Marl<ellng Time 00 Under 3 Mos. 0 4-6 Mos. 0 Over 6 Mos. AdequaCY of Public TransportaUon 0 00 0 r::ro'se 35 % 1 Family L % 2-4 Family _ % Apls _ % CondO L %Commercial Recreational FacIII1IesO 0 00 0 % InduS1r1a1 62 % Vacant % Adequacy of UtllUOS 00 0 Change In pr~ Land Use - 0 Not U;; 0 Likely 00 Toking Placer> Properly ComPatibill\y 0 00 0 i)From VACANT To SINGLE FAMILY Protection from Delrimental Conditions 0 00 0 predOmInant Occupancy 00 Owner U Tenant >1 % Vacant Police and Fire Protection 0 00 0 Single FamIy Price Range 65K 10 450K predof11Inant Value 160K General Appearance of PropertieS 0 00 0 Single Family Alle NEW yrs.~OO....----predOmIn8Ol Age 35 ----;;:- Appeal III 1.4_ 0 00 0 eomment& InCludIng Ihose _. favorable or unfavorable. allecllng mart<etabiIllY (e.g. public par1<s. schOols. view. noiSe) n-tE sUBJECT PROPERTY IS LOCATED IN A RURAl. NEIGHBQRHOCll:l COMPRISED PREDOMINANT\. Y FARM LAND MOUNTAIN SLOPE AND SINGLE FAMILY HOUSES. NEW CONSTRUCTION IS ON GOING IN THE NEIGHBORHOOD. EASY ACCESS TO EMPLOYMENT CENTERS SCHOOLS SHOPPING. AND TRANSPORTATION FOR A RURAL AREA. 0Irn8I\Sl0lIS NOT PROVIDED =6.168 ACRES 0 comer Lot Zoning C1aSSifICation RESIDENTIAL AGRICULTURAL _tlmprovements 00 00 U 00 Not ConfOnn to Zoning ReguI8tion8 HIg.est and Best Use 1XI _t Use U Other (specify) ~ Public Qther(DescrIbe) OFF-SlTEIMPROVEMENTS Tapa SLOPING WITH GRADE 00 SIr.AddresS 00 Public 0 Private Size TYPICAL o SurfaCe MACADAM ShaPe IRREGULAR o WELL MaIntenance fX) Public [J private VIf!NI TYPICAL o 0 Stann Sewer 0 CurblGutter Drainage FLOOD ZONE AT CREEK. ADEQUATE AT THE BUILDING SITE o Underground Elee & Tel 0 SideWalk 0 Street U\tlls Property located In a HUD ldentined Special Flood Hazard Anla100 Yes U No eorrments (favorable ar unfa\lQr3ble Includng allY apparent ad1/erS8 easements. enc:roactvnents ar other adIIerS8 ccndtionS) THE AREA ALONG THE CREEK IS LOCATED IN A FLOOD HAZARD ZONE "AM. THE HOMESITE AREA IS NOT IN A FLOOD ZONE ZONE MX" AS PER F .E.M.A. PANEL 421949 0010 B DATED SEPTEMBER 4. 1987. THE SITE IS IMPROVED WITH A 37' X 25' THREE BAY CONCRETE BLOCK GARAGE WITH A BASEMENT. NO APPARENT ADVERSE EASEMENTS OR ENCROACHMENTS NOTED. The undersigned has rectted three recent sales of propertieS most similar and proximate to the subject and has to be oonsldered tIleSe In the market analysis. The description InCIudeI e dollar .....tment. rellectlng "*,,et reaction III thoSel\emS of slgnlficlnt variation between the subject and oomparable properties. If a slgniftcant Item In the comparable property 11 superior Ill. or more favorable than subject property. a minUS (_) a~t Is made. 1I1US reduCIng the Indicated value of 1I1e subjecl.1f a slgnlftcantln the comparable 11 inferior to ar lesS tavorable than 1I1e subject property. a pIUs (+) adjustment 11 made. thuS lncreeslng the indicated value of 1I1e subject. State PA Zip Code 17090 Poor o o o o o o o o o o o o Elee. Gas water San. Sewer ITEM I SUBJECT COMPARABLE NO.1 COMPARABLE NO.2 COMPARABLE NO. 3 AddreSS DELLVILLE DAM ROAD 175 WINDY HILL ROAD WINDY HILL ROAD STONER DRIVE SHERMANS DALE SHERMANS DALE SHERMANS DALE SHERMANS DALE ProlClmllv t;..'hiecl ;:',/' -Y", ~ B3I SaleS PriCe $ N/A ('>}V:)}/i --Sfl $ 50 000 reX\) $ 125000 $ 63 000 Price s"so. Fl. LOT }.,'cl 50 000 125 000 I)' 63 000 Data Source INSPECTION COUNTY & R.E.D.S. COUNTY & RE.D.S. COUNTY & RE.D.S. Date (j Sale and DESRIPTION DESCRIPTION +(4 AdjusL DESCRIPTION :;;:\AdIusL DESCRIPTION +{-l Adjust. Time Adiustmenl 09/0112005 12/2912005 07/12/2006 LocatIon RURAL RURAL RURAL RURAL SIt8/V- 6.168 AC/AVE 2.59 AC/AVE +22 000 13.40 AC/AVE -50000 3.51 AC/AVE +16000 IMPROVEMENTS GARAGE + WELL NONE +5 ClOD NONE +5 000 NONE +5 000 Sale8 ar financing ~ NelAdi.rrolall + - 1$ 27000~1+ - $ 45000~_1: Indicated Value of Slbiect I n 000 80 000 $ eorrvnents on Mar1<et Data MARKET DATA OF CLOSED SALES WAS SUFFICIENT TO ARRIVE AT AN OPINION OF VALUE. ALL SALES WERE CLOSED AND CONSIDERED EQUALLY WHEN ARRIVING AT MARKET VALUE. 21 000 84000 eorrments and Conlilion8 (j Appraisal APPRAISED "AS-IS". PROPERTY INSPECTED ON JANUARY 18. 2007. VALUED AS OF OCTOBER ~~ ~ FInal Reconciliation ALL THREE APPROACHES TO VALUE Wl:RE CONSIDERED. HOVVEVER. ONLY THE SALES COMPARISON APPROACH IS CONSIDERED APPLICABLE DUE TO THE NATURE OF THE PROPERTY. A VACANT SITE. I ESTIMATE THE MARKET VALUE, AS DEANED, OF THE SUBJECT PROPERTY AS OF OCTOBER 31. 2005 to be 80000 Apprai_Slgnature ~ Appr8iSerName R OLD R. INOOF. JR. A &Jper\IlSOr SilJ1lIIlnl (I~) SuperViSOr Name OOid [J Did Not Physically Inspect Property Date RepOrt SIgned 01/18/2007 State CeI1ification # GA-00OO02-L State Ucenae # State PA State Date RepOrt Signed Stale CeI1ification # State ~ # State Sta18 .....,,- ,......ACI......IIllIJJ4.am~ Woof Appraisal Group ADDENOlIM 37 ==:; ~ Addnlss: OELLVllLE DAM ROAD HERMAI'IS DALE Lender. RIJTll E. FAILOR State: PA Zio: 17090 STATEMENT OF ADDITIONAL LIMITING CONDITIONS AND ASSUMPTIONS THIS APPRAISAL REPORT HAS BEEN PERFORMED FOR THE CLIENT INDICATED IN THE PRECEDING, WITH WHOM PROFESSIONAL STANDARDS REQUIRES ME TO MAINTAIN A STRICT REQUIREMENT OF CONFIDENTIALITY. THE APPRAISER IS NOT A HOME INSPECTOR. THE APPRAlSERONL Y PERF~MED A VISUAL INSPECTION OF THE ACCESSIBLE AREAS AND THE APPRAISAL CANNOT BE RELIED UPON TO DISCLOSE CONDITIONS AND/OR DEFECTS IN THE PROPERTY. I, BY REASON OF THIS REPORT, AM NOT REQUIRED TO GIVE TESTIMONY IN COURT WITH REFERENCE TO THIS APPRAISAL. IF ANYONE WISHES MY APPEARANCE. IT CAN BE ARRANGED ONLY BY PRIOR ARRANGEMENT BEING MADE WITH ME. SUCH APPEARANCES SHALL BE MADE AS AN EXPERT WITNESS AND THE FEE FOR SUCH APPEARANCES SHALL BE AT THE RATE OF $125JHOUR PORTAL TO PORTAL. PLUS ANY REASONABLE COST INCURRED BY ME. PURPOSE: THE PURPOSE OF THIS APPRAISAL IS TO ESTIMATE THE MARKET VALUE OF THE FEE SIMPLE INTERESTlN THE TITLE OF THE PROPERTY. THE VALUE IS AS OF THE DATE OF THE APPRAISAL, WHICH IS THE DAY THE PROPERTY WAS LAST VIEWED IN ITS ENTIRETY AND PHOTOGRAPHED. SIGNATURE: THE ELECTRONIC SIGNATURE USED IN THIS REPORT ARE PROTECTED BY THE APPRAISER AND ONLY THE APPRAISER HAS COMPLETE CONTROL OF THE SIGNATURE. ADDITIONAL CERTIFICATION: THE INTENDED USER OF THIS APPRAISAL REPORT IS THE LENDER/CLIENT. THE INTENDED USER IS TO EVALUATE THE PROPERTY THAT IS THE SUBJECT OF THIS APPRAISAL FORAN ESTATE, SUBJECT TO THE STATED SCOPE OF WORK, PURPOSE OF THE APPRAISAL, REPORTING REQUIREMENTS OF THIS APPRAISAL REPORT FORM, AND DEFINITION OF MARKET VALUE. NO ADDITIONAL INTENDED USERS ARE IDENTIFIED BY THE APPRAISER. AddenllIn f'IIlIe 1 r:A 1 e e fie No. PVT8337 DEFINITION OF MARKET VALUE: The most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale. the buyer and seller. each acting prudently, knowledgeably and assuming the price Is not affected by undue stimulus. Implicit in this definition is the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby: (1) buyer and seller are typically motivated; (2) both parties are well informed or well advised, and each acting in what he considers his own best interest; (3) a reasonable time is allowed for exposure in the open market; (4) payment is made in terms of cash in U.S. dollars or in terms of financial arrangements comparable thereto: and (5) the price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions' granted by anyone associated with the sale. 'Adjustments to the comparables must be made for special or creative financing or sales concessions. No adjustments are necessary for those costs which are normally paid by sellers as a result of tradition or law in a market area; these costs are readily identifiable since the seller pays these costs in virtually aU sales transactions. Special or creative financing adjustments can be made to the comparable property by comparisons to financing terms offered by a third party Institutional lender that is not already involved in the property or transaction. Any adjustment should not be calculated on a mechanical dollar for dollar cost of the financing or concession but the dollar amount of any adjustment should approximate the markel's reaction to the finanCing or concessionS based on the Appraisel's judgment. STATEMENT OF LIMITING CONDITIONS AND APPRAISER'S CERTIFICATION CONTINGENT AND LIMITING CONDITIONS; The appraiser's certification that appears in the appraisal report is subject to the following conditionS: 1. The appraiser win not be responsible for matters of a legal nature that affect either the property being appraised or the title to it. The appraiser assumes that the title is good and marketable and. therefore. will not render any opinions about the title. The property Is appraised on the basis of it being under responsible ownership. 2. The appraiser has provided a sketch in the appraisal report to show approximate dimensions of the improvements and the sketch is Included only to assist the reader of the report in visualizing the property and understanding the appraiser's determination of its size. 3. The appraiser has examined the available nood maps that are provided by the Federal Emergency Management Agency (or other data sources) and has noted in the appraisal report whether the subject site is located in an identified Special Flood Hazard Area. Because the appraiser is not a surveyor. he or she I1l8kes no guarantees. express or Implied, regarding this determination. 4. The appraiser will not give testimony or appear in court because he or she made an appraisal of the property in question. unless specifIC arrangemer<<s to do so have been made beforehand. 5. The appraiser has estimated the value of the land in the cost approach at its highest and best use and the improvements at their contributory value. These separate valuations of the land and improvements must not be used in conjunction with any other appraisal and are invalid if they are so used. 6. The appraiser has noted in the appraisal report any adverse conditions (such as, needed repairs. depreciation. the presence of hazardous wastes, toxic substances. etc. ) observed during the inspection of the subject property or that he or she became aware of during the normal research involved in performing the appraisal. Unless otherwise stated in the appraisal report. the appraiser has no knowiedge of any hidden or unapparent conditions of the property or adverse environmental conditions (including the presence of hazardous wastes. toxic substances, etc. ) that would make the property more or less valuable. and has assumed that there are no such conditions and makes no guarantees or warranties. express or Implied. regarding the condition of the property. The appraiser will not be responsible for any such conditions that do exist or for any engineering or testing that might be required to discover whether such conditions exist. Because the appraiser is not an expert in the field of environmental hazards, the appraisal report must not be considered as an environmental assessment of the property. 7. The appraiser obtained the information. estimates. and opinions that were expressed in the appraisal report from sources that he or she considers to be reliable and believes them to be true and correct. The appraiser does not assume responsibility for the accuracy of such kems that were fimished by other parties. 8. The appraiser will not disclose the contents of the appraisal report except as provided for In the Uniform Standards of Professional Appraisal Practice. 9. The appraiser has based his or her appraisal report and valuation conclusion for an appraisal that is subject to satisfactory completion, repairs, or alterationS on the assumption that completion of the inprOVements will be performed In a workmanlike manner. 10. The appraiser must provide his or her prior written consent before the lender/client specified in the appraisal report can distribute the appraisal report (including conclusions about the property value. the appraiser's identity and professional designations. and references to any professional appraisal organizations or the firm with which the appraiser is associated) to anyone other than the borrower; the mortgagee or its successors and assigns; the mortgage insurer; consultants; professional appraisal organizations; any state or federally approved financial institution; or any department. agency, or instrumentality of the United States or any state or the District of Columbia; except that the lender/client may distribute the property description section of the report only to data collection or reporting service(s) without having to obtain the appraiser's prior written consent. :rhe appraiser's written consent and approval must also be obtained before the appraisal can be conveyed by anyone to the public through advertising, public relations, news, sales, or other media. Vacant Land Page 1 of2 e e Fie No. PVT8337 APPRAISERS CERTIFICATION: The AppraiserceltifieS and agrees that 1. I have researched the subject market area and have selected a minimum of three recent sales of properties most similar and proximate to the subject property for consideration in the sales comparison analysis and have made a donar adjustment when appropriate to reftect the market reaction to those Items of significant variation. If a significant item in a comparable property is superior to . or more favorable than, the subject property. I have made a negative adjustment to reduce the adjusted sales price of the comparable and. if a signifICant Item in a comparable property is inferior to, or less favorable than the subject property. I have made a positive adjustment to increase the adjusted sales price of the comparable. 2. I have taken Into consideration the factors that have an impact on value in my development of the estimate of market value in the appraisal report. I have not knowingly withheld any significant information from the appraisal report and I believe, to the best of my knoWledge. that aU staternerts and information in the appraisal report are true and correct. 3. I stated in the appraisal report only my own personal, unbiased, and professional analysis. opinions, and conclusions, which are subject only to the contingent and Limiting Concfllions specified In this form. 4. I have no present or prospective interest in the property that is the subject to this report. and t have no present or prospective personal interest or bias with respect to the participants In the transaction. I did not base. either partially or completely, my analysis and/or the estimate of market value In the appraisal report on the race, color. religion. sex. handicap. familial status, or national origin of either the prospective owners or occupants of the subject property or of the present owners or occupants of the properties in the vicinity of the subject property. 5. I have no present or contemplated future Interest in the subject property. and neither my current or future employment nor my compensation for performing this appraisal is contingent on the appraised value of the property. 6. I was not required to report a predetermined value or direction in value that favors the cause of the client or any related party, the amount of the value estimate. the attainment of a specific result. or the occurrence of a subsequent event in order to receive my compensation and/or employment for performing the appraisal. I did not base the appraisal report on a requested minimum valuation. a specllic valuation. or the need to approve a specifiC mortgage loan. 7. I performed this appraisal in conformity with the Uniform Standards of Professional Appraisal Practice that were adopted and promulgated by the Appraisal Standards Board of The Appraisal Foundation and that were in place as of the effective date of this appraisal, with the exception of the departure provision of those Standards. which does not apply. I acknowledge that an estimate of a reasonable time for exposure In the open market Is a condition in the definition of market value and the estimate I developed is consistent with the marketing time noted in the neighborhoOd section of this report. unless I have otherwise stated In the reconciliation section. 8. I have personally inspected the subject property and the exterior of all properties listed as comparables In the appraisal report. I further certify that I have noted any apparent or known adverse conditions in the subject improvements. on the subject site. or on any site within the immediate vicinity of the subject property of which I am aware and have made adjustments for these adverse conditions In my analysis of the property value to the extent that I had market evidence to support them. I have also commented aboUt the elfect of the adverse conditiOns on the marketability of the subject property. 9. I personally prepared all conclusions and opinions about the real estate that were set forth in the appraisal report. If I relied on significant professional assistance from any individual or individuals in the performance of the appraisal or the preparation of the appraisal report, I have named such individual(s) and disclosed the specific tasks performed by them in the reconciliation section of this appraisal report. I certify that any individual so named is qualified to perform the tasks. I have not authorized anyone to make a change to any item in the report; therefore, If an unauthorized change is made to the appraisal report. I will take no responsibility for it. SUPERVISORY APPRAISER'S CERTIFICATION: If a supervisory appraiser signed the appraisal report, he or she certifies and agrees that: I directly supervise the appraiser who prepared the appraisal report. have reviewed the appraisal report. agree with the statements and conclusions of the appraiser, agree to be bound by the appraiser's certifications numbered 4 through 7 above. and am taking fuR responsibll"lty for the appraisal and the appraisal report. ADDRESS OF PROPERTY APPRAISED: DELLVlLLE DAM ROAD. SHERMANS DALE. PA, 17090 SUPERVISORY APPRAISER (only if required) APPRAISER: ~nature: ~~ Name: Re'nIOLD R. WOOF, JR. , S Date~: 01/1812007 Stale Certiication #: GA-OOOO02-L or State License I: State: PA Expiration Date of Certification or License: 0613012007 Signature: Name: Date Signed: State Certiication #: or Slate license I: State: Expiration Date of Certification or license: o Did 0 Did Not Inspect Property PA CERTIFIED GENERAL REAL ESTATE APPRAISER Vacant land page 2 of 2 BolTower: Pr~ Address: DELLVILLE D :C : SHERMANS DALE Lender: RUTH E. FAILOR .: PVT8337 Case No.: ROAD State: PA Zip: 17090 FRONT VIEW OF GARAGE REAR VIEW OF GARAGE STREET SCENE ~ . . LOCATION MAP File No.: pVT8337 Case No.: State: PA Zi : 17090 ~ BolTower: PI' Address: DElLVllLE DAM ROAD C : SHERMANS DALE Lender: RUTH E. FAILOR ~ .. INVENTORY REGISTER OF WILLS OF CUMBERLAND COUNTY, PENNSYL VANIA COMMONWEALTH OF PENNSYL VANIA COUNTY OF } SS File Number 2005-01110 Personal Representative(s) of the Estate of DONALD E. FAILOR deceased, depose( s) and say( s) that the items appearing in the following inventory include all of the personal assets wherever situate and all of the real estate in the Commonwealth of Pennsylvania of said Decedent, that the valuation placed opposite each item of said inventory represents its fair value as of the date of the decedent's death, and that Decedent owned no real estate outside of the Commonwealth of Pennsylvania except that which appears in a memorandum at the end of this inventory. I verify that the statements made in this Inven- } tory are true and correct. I understand that false state- ments herein are made subject to the penalties of 18 Pa.C.S. ~ 4904 relating to unsworn falsification to authorities. (:/)1 A, jJ, ;!;(1-4yJ Attorney -- (Name) TIMOTHY M. FINNERTY (Supreme Court lD. No.) 76048 (Address) MCNEES WALLACE & NURlCK LLC, 100 PINE ST., PO BOX 1166, HARRISBURG, P A 17108-1166 (Telephone) 717-237-5394 DATE OF DEATH LAST RESIDENCE DECEDENT'S SOC. SEC. NO. 10/31/2005 298 RIDGE HILL ROAD, MECHANICSBURG, PA I FIGURES MUST BE TOTALED I 189-09-4542 SEE A IT ACHED 671,162.20 c') c ll~ """-- ...~- ~ Cr) ;~. 00 Q" l._ =0 :.TJ -, J::::" r...., f.::":') (;;;;) --.. ...., iT1 CO , \::I ::i:: ~ .t;:- ... ,', (Attach additional sheets as needed) TOTAL: 671,162.20 NOTE: The Memorandum of real estate outside the Commonwealth of Pennsylvania may, at the election of the personal representative include the value of each item, but such figures should not be extended into the total of the Inventory. (See 20 Po. C.S. 93301 (b)) Form R W-09 rev. 10. J 3.06 v '\ No. of Shares 328 Estate of DONALD E. FAILOR Estate Inventory Valued as of Date of Death Stocks MetLife $ Total Stocks Real Property .434 acres of land located in Carroll Township, Perry County, Pennsylvania; Valued per sale of property; See attached copy of settlement statement $ 11.52 acres, known as Lot #14 Creekwood Hills, Carroll Township, Perry County, Pennsylvania; Property valued per sale; See attached copy of settlement statement 4.28 acres located Dellville Dam Road, Carroll Township, Perry County, Pennsylvania, known as Lot #12; Valued per appraisal of Woof Appraisal Group; See attached appraisal 43.4 acres located on Dellville Dam Road, Shermans Dale, Perry County, Pennsylvania; Valued per appraisal of Woof Appraisal Group; See attached copy of appraisal 6.168 acres located on Dellville Dam Road, Shermans Dale, Carroll Township, Perry County, Pennsyvlania; Valued per appraisal of Woof Appraisal Group; See attached copy of appraisal Total Real Property Total Inventory Page 1 16,162.20 20,000.00 100,000.00 65,000.00 390,000.00 80,000.00 $ 16,162.20 655,000.00 $ 671,162.20