Company: BLNE
Filing Date: 2025-01-17
Form Type: PRE 14A
Source: 0001493152-25-002779
Chunk: 243

Company: Beeline Holdings, Inc.
Filing Date: 2025-01-17
Form: PRE 14A
Chunk 243
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 to mortgage servicing and credit risk. Loans held for sale for which there is little to no observable trading activity of similar instruments are valued using Level 3 measurements based upon dealer price quotes and internal models.

IRLCs: The fair value of IRLCs is based on current market prices of securities backed by similar mortgage loans (as determined above under mortgage loans held for sale), net of costs to close the loans, subject to the estimated loan funding probability, or “pull-through factor.” Given the significant and unobservable nature of the pull-through factor, IRLCs are classified as Level 3.

Forward commitments: Beeline’s forward commitments are valued based on quoted prices for similar assets in an active market with inputs that are observable and are classified within Level 2 of the valuation hierarchy. There were no open forward contracts at September 30, 2024 and December 31, 2023.

A roll forward of the level 3 valuation financial instruments is as follows:

Schedule of Assets or Liabilities Measured at Fair Value Recurring Basis

|                               |     | September 30, 2024 |   |     |         |   |     |         |        |     | December 31, 2023 |   |     |         |   |     |         |        |
|:------------------------------|:----|:-------------------|:--|:----|:--------|:--|:----|:--------|-------:|:----|:------------------|:--|:----|:--------|:--|:----|:--------|-------:|
| Description                   |     | Level 1            |   |     | Level 2 |   |     | Level 3 |        |     | Level 1           |   |     | Level 2 |   |     | Level 3 |        |
| Interest rate lock derivative |     | $                  | - |     | $       | - |     | $       | 62,796 |     | $                 | - |     | $       | - |     | $       | 57,505 |

Schedule of Roll Forward For Valuation of Financial Instruments

|                                                              |     | For the Nine Months Ended September 30, |   2024 |     |   |   2023 |
|:-------------------------------------------------------------|:----|:----------------------------------------|-------:|:----|:--|-------:|
| Balance at beginning of period                               |     | $                                       | 57,505 |