HUGHES, CLARENCE AND LISA 1-2006

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Form No. 1402.70 Owner's Policy (Amended 10-17-70) Order Number: OSA-2455950 Page Number: 3 , SCHEDULE B This Policy does not insure against loss or damage by reason of the following: 1. General and special taxes and assessments for the fiscal year 2006-2007, a lien not yet due or payable. 2. The lien of supplemental taxes, if any, assessed pursuant to Chapter 3.5 commencing with Section 75 of the California Revenue and Taxation Code. 3. Covenants, conditions, restrictions and easements in the document recorded October 8, 1953 as Instrument No. 67954 of Official Records, which provide that a violation thereof shall not defeat or render invalid the lien of any first mortgage or deed of trust made in good faith and for value, but deleting any covenant, condition or restriction indicating a preference, limitation or discrimination based on race, color, religion, sex, sexual orientation, marital status, ancestry, disability, handicap, familial status, national origin, source of income (as defined in California Government Code 12955(p)), to the extent such covenants, conditions or restrictions violate Title 42, Section 3604(c), of the United States Codes. Lawful restrictions under state and federal law on the age of occupants in senior housing or housing for older persons shall not be construed as restrictions based on familial status. 4. An easement for public utilities and incidental purposes in the document recorded as Instrument No. 74704, Book 2605, Page 629 of Official Records. The map attached, if any, mayor may not be a survey of the land depicted hereon. First American expressly disclaims any liability for loss or damage which may result from reliance on this map except to the extent coverage for such loss or damage is expressly provided by the terms and provisions of the title insurance policy, if any, to which this map is attached. First American Title