To: HSBC Listing Agents
From: Safeguard Properties REO Department

As you may know, we are quickly approaching grass cut season once again.  We wanted to take a moment to review our grass cut procedures, as we have made a few changes from last season.  Here are a few key points to keep in mind.

• Grass cut season will begin by April 1, though we will begin regular maintenance sooner where needed.
• The grass will be cut every two weeks unless we are otherwise notified.
• Lawn care services include the grass cut; trimming the shrubs when needed; removing all clippings; edging around the walkways, driveway, and foundation; and trimming any weeds from the walkways and driveway.
• On properties exceeding one acre, we will cut a full acre and advise HSBC of the full lot size.
• New assets will automatically be added to the grass cut list after the initial services are completed.

Safeguard typically follows the FHA grass cut seasons, which vary slightly from state to state.  In most areas, grass cut season begins on April 1 and continues through October 31.  However, we will be starting to maintain the properties as soon as the weather allows. We cut the grass once every two weeks; please contact us if you feel that the grass at certain properties needs to be cut more often.  These requests will be accommodated on an individual basis. The lawn maintenance includes trimming the shrubs when needed, removing all grass clippings, and edging the walkways and driveway.  It also includes trimming the grass and weeds from the fence lines and from the foundation of the house.The properties will remain on our grass cut list until we are notified that the property has closed, or until the end of October.

We are currently completing the initial grass cut when we complete the initial services if it is needed, when the weather permits.  We will continue to do this, and once the weather dictates that ongoing grass cuts are needed, we will do this automatically. You do not need to contact us to have properties added to the grass cut list. This year, if the property exceeds one acre, we will cut a full acre automatically, and we will advise HSBC of the full lot size before proceeding with the remaining grass cut.  Please notify us if you have listings with large lots and you see that we are not properly maintaining a full acre. 

By April 1, 2006, all properties will be on our ongoing grass cut list. This includes properties for which we have already completed the initial services. As we obtain additional assets after April 1, those properties will also be added to the grass cut list once the initial services have been completed.

Please feel free to contact us if you have any questions or concerns.

Thank you,

Safeguard Properties
REO Department
800.852.8306  ext 2296