REAL ESTATE MORTGAGE KNOW ALL MEN BY THESE PRESENTS: This REAL ESTATE MORTGAGE is made and entered

into by and between: SHIRLEY F. ORENCIA and LALAINE D. FLORES, both of legal age, both married, Filipinos, and residents of San Vicente, San Fernando City, La Union, hereinafter referred to as the MORTGAGORS; -andARTHUR D. ABELLERA, of legal age, married, Filipino citizen, and with residence and postal address at Puguis, La Trinidad, Benguet, hereinafter referred to as the MORTGAGEE; WITNESSETH: WHEREAS, the MORTGAGORS, by virtue of Special Power of Attorney (SPA) executed by their mother Rosario A. Flores, (copy of which is hereto attached and marked as Annex A and made an integral part hereof) , hereby Mortgage a certain parcel of land with an area of FORTY TWO THOUSAND SIX HUNDRED AND FOUR (42, 604) SQUARE METERS, more or less and covered and embraced by Transfer Certificate of Title (TCT) No. T-11396, under the name of Spouses Demetrio Flores and Rosario Apillanes located at Rosario, La Union, a copy of TCT No. T-11396 is hereto attached and marked as Annex B and made an integral part hereof. WHEREAS, the MORTGAGORS had manifested their willingness to mortgage the said parcel of land which the MORTGAGEE had manifested his willingness to acquire the same as collateral for the payment of herein below monetary obligation; WHEREAS, the MORTGAGORS hereby acknowledge to be justly indebted to the MORTGAGEE in the sum set forth below and they are willing to guarantee the payment thereof as well as the performance of such other obligation relating thereto of which may arise hereunder; NOW THEREFORE, for and in consideration of the foregoing and more specifically as security for the payment of the principal obligation in the sum of _____________________________ PESOS (P____________________________.00) Philippine currency, receipt whereof is hereby acknowledged and confessed, payable within a period of ONE (1) YEAR, with interest at the rate of FIVE percent (5%) per month, renewable; That the parties, agreed that if there is any interested buyer, the MORTGAGORS will pay their obligation to the MORTGAGEE, and in return, the said MORTGAGEE will return the possession to the MORTGAGORS even if the One (1) Year Mortgage Period is not consummated; That the MORTGAGORS hereby voluntarily and spontaneously agree and covenant with the MORTGAGEE that the condition of this mortgage is such that if the MORTGAGORS, their heirs, assigns and successors-in-interests, shall well and fully pay and perform the obligation above-stated, this undertaking shall be null and void, otherwise, it shall remain in full force and effect and be enforceable in the manner provided by law; That it is agreed between the parties that if the MORTGAGORS fails to pay the principal obligation as above mentioned, then this mortgage shall be renewed with the

same condition and period; however, if the MORTGAGORS pay said obligation together with the interest, then this mortgage shall be discharged and rendered of no force and effect; IN WITNESS WHEREOF, the parties have set their hands this 20th day of November, 2012 at Baguio City, Philippines.

SHIRLEY F. ORENCIA Mortgagor VIN No. 3314-0288A-11965SFO20000-6

LALAINE D. FLORES Mortgagor SSS ID No. 01-1220000-2

ARTHUR D. ABELLERA Mortgagee SSS ID No. 01-0116537-8 WITNESSES: _______________________ Republic of the Philippines) Done: City of Baguio ) S.S. ACKNOWLEDGMENT BEFORE ME, a Notary Public for and in the City of Baguio, Philippines this 20TH day of November, 2012 appeared the above named parties who executed the foregoing instrument and identified by me through their Voters and SSS Identification Cards, respectively, presenting to me this integrally complete instrument, representing that the signature in the foregoing instrument was voluntarily affixed by them for the purpose stated and declaring to me that they had executed the foregoing instrument as their free and voluntary act and deed. The foregoing instrument refers to a REAL ESTATE MORTGAGE pertaining to a parcel of land consists of TWO (2) pages including the page on which this acknowledgment is written, has been signed by the parties and their witnesses. WITNESS MY HAND AND SEAL. ______________________

Doc. No. _______; Page No. _______; Book No. ______; Series of 2012.