Tax Treatment of Regular Securities ................................................................................................... 24 Tax Treatment of Residual Securities.................................................................................................. 37 REMIC Qualification.............................................................................................................................. 48 Tax Treatment of MX Securities ........................................................................................................ 49 Exchanges of MX Classes and Regular Classes............................................................................... 51 Taxation of Foreign Holders of REMIC Securities and MX Securities ......................................... 51 Reporting and Tax Administration ..................................................................................................... 52 Backup Withholding ............................................................................................................................ 53 STATE TAX CONSIDERATIONS .................................................................................................................... 53 ERISA CONSIDERATIONS .............................................................................................................................. 54 LEGAL INVESTMENT CONSIDERATIONS .................................................................................................. 55 SECONDARY MARKET ................................................................................................................................... 55 APPENDIX I--Class Types APPENDIX II--Glossary Base Offering Circular – Multifamily 482090 3