Common use of SALE OF MORTGAGE LOANS AND RELATED PROVISIONS Clause in Contracts

SALE OF MORTGAGE LOANS AND RELATED PROVISIONS. 2 Section 2.01 Sale of Initial Mortgage Loans and MI Policies. 2 Section 2.02 Conveyance of the Subsequent Mortgage Loans. 5 Section 2.03 Pre-Funding Account. 9 Section 2.04 Interest Coverage Account 9 ARTICLE III REPRESENTATIONS AND WARRANTIES; REMEDIES FOR BREACH 10 Section 3.01 Seller Representations and Warranties. 10 Section 3.02 Company Representations and Warranties. 27 ARTICLE IV SELLER’S COVENANTS 28 Section 4.01 Covenants of the Seller. 28 Section 4.02 Payment of Expenses. 28 ARTICLE V CONDITIONS TO INITIAL MORTGAGE LOAN PURCHASE 29 Section 5.01 Conditions of Company’s Obligations. 29 ARTICLE VI INDEMNIFICATION BY THE SELLER WITH RESPECT TO THE MORTGAGE LOANS 30 Section 6.01 Indemnification With Respect to the Mortgage Loans. 30 Section 6.02 Limitation on Liability of the Seller. 30 ARTICLE VII TERMINATION 30 Section 7.01 Termination. 30 ARTICLE VIII MISCELLANEOUS PROVISIONS 32 Section 8.01 Amendment. 32 Section 8.02 Governing Law. 32 Section 8.03 Notices. 32 Section 8.04 Severability of Provisions. 33 Section 8.05 Relationship of Parties. 33 Section 8.06 Counterparts. 34 Section 8.07 Further Agreements. 34 Section 8.08 Intention of the Parties. 34 Section 8.09 Successors and Assigns; Assignment of Purchase Agreement. 35 Section 8.10 Survival. 35 Section 8.11 Liability of the Trustee. 35 EXHIBIT 1 Initial Mortgage Loan Schedule EXHIBIT 2(A) Seller’s Subsequent Transfer Instrument EXHIBIT 2(B) Company’s Subsequent Transfer Instrument THIS MORTGAGE LOAN PURCHASE AGREEMENT (this “Purchase Agreement”), dated as of December 1, 2005, is made among NovaStar Mortgage, Inc. (the “Seller”), NovaStar Mortgage Funding Corporation (the “Company”), Wachovia Bank, National Association (the “Custodian”) and JPMorgan Chase Bank, National Association (the “Trustee”).

SALE OF MORTGAGE LOANS AND RELATED PROVISIONS. 2 Section 2.01 Sale of Initial Mortgage Loans and MI Policies. 2 Section 2.02 Conveyance of the Subsequent Mortgage Loans. 5 Section 2.03 Pre-Funding Account. 9 Section 2.04 Interest Coverage Account 9 ARTICLE III REPRESENTATIONS AND WARRANTIES; REMEDIES FOR BREACH 10 Section 3.01 Seller Representations and Warranties. 10 Section 3.02 Company Depositor Representations and Warranties. 27 ARTICLE IV SELLER’S COVENANTS 28 Section 4.01 Covenants of the Seller. 28 Section 4.02 Payment of Expenses. 28 ARTICLE V CONDITIONS TO INITIAL MORTGAGE LOAN PURCHASE 29 Section 5.01 Conditions of CompanyDepositor’s Obligations. 29 ARTICLE VI INDEMNIFICATION BY THE SELLER WITH RESPECT TO THE MORTGAGE LOANS 30 Section 6.01 Indemnification With Respect to the Mortgage Loans. 30 Section 6.02 Limitation on Liability of the Seller. 30 ARTICLE VII TERMINATION 30 Section 7.01 Termination. 30 ARTICLE VIII MISCELLANEOUS PROVISIONS 32 Section 8.01 Amendment. 32 Section 8.02 Governing Law. 32 Section 8.03 Notices. 32 Section 8.04 Severability of Provisions. 33 Section 8.05 Relationship of Parties. 33 Section 8.06 Counterparts. 34 33 Section 8.07 Further Agreements. 34 33 Section 8.08 Intention of the Parties. 34 Section 8.09 Successors and Assigns; Assignment of Purchase Agreement. 35 34 Section 8.10 Survival. 35 Section 8.11 Liability of the Trustee. 35 EXHIBIT 1 Initial Mortgage Loan Schedule EXHIBIT 2(A) Seller’s Subsequent Transfer Instrument EXHIBIT 2(B) CompanyDepositor’s Subsequent Transfer Instrument THIS MORTGAGE LOAN PURCHASE AGREEMENT (this “Purchase Agreement”), dated as of December 1, 200520[ ], is made among NovaStar Mortgage, Inc. (the “Seller”), [NovaStar Mortgage Funding Corporation Corporation] [NovaStar Certificates Financing LLC] (the “CompanyDepositor”), Wachovia Bank, National Association [ ] (the “Custodian”) and JPMorgan Chase Bank, National Association [ ] (the “Trustee”).

SALE OF MORTGAGE LOANS AND RELATED PROVISIONS. 2 Section 2.01 Sale of Initial Mortgage Loans and MI Policies. 2 Section 2.02 Conveyance of the Subsequent Mortgage Loans. 5 Section 2.03 Pre-Funding Account. 9 Section 2.04 Interest Coverage Account 9 ARTICLE III REPRESENTATIONS AND WARRANTIES; REMEDIES FOR BREACH 10 9 Section 3.01 Seller Representations and Warranties. 10 9 Section 3.02 Company Representations and Warranties. 27 ARTICLE IV SELLER’S COVENANTS 28 27 Section 4.01 Covenants of the Seller. 28 27 Section 4.02 Payment of Expenses. 28 ARTICLE V CONDITIONS TO INITIAL MORTGAGE LOAN PURCHASE 29 Section 5.01 Conditions of Company’s Obligations. 29 ARTICLE VI INDEMNIFICATION BY THE SELLER WITH RESPECT TO THE MORTGAGE LOANS 30 29 Section 6.01 Indemnification With Respect to the Mortgage Loans. 30 29 Section 6.02 Limitation on Liability of the Seller. 30 29 ARTICLE VII TERMINATION 30 Section 7.01 Termination. 30 ARTICLE VIII MISCELLANEOUS PROVISIONS 32 31 Section 8.01 Amendment. 32 31 Section 8.02 Governing Law. 32 31 Section 8.03 Notices. 32 31 Section 8.04 Severability of Provisions. 33 32 Section 8.05 Relationship of Parties. 33 Section 8.06 Counterparts. 34 33 Section 8.07 Further Agreements. 34 33 Section 8.08 Intention of the Parties. 34 33 Section 8.09 Successors and Assigns; Assignment of Purchase Agreement. 35 34 Section 8.10 Survival. 35 34 Section 8.11 Liability of the Trustee. 35 34 EXHIBIT 1 Initial Mortgage Loan Schedule EXHIBIT 2(A) Seller’s Subsequent Transfer Instrument EXHIBIT 2(B) Company’s Subsequent Transfer Instrument THIS MORTGAGE LOAN PURCHASE AGREEMENT (this “Purchase Agreement”), dated as of December November 1, 20052004, is made among NovaStar Mortgage, Inc. (the “Seller”), NovaStar Mortgage Funding Corporation (the “Company”), Wachovia Bank, National Association (the “Custodian”) and JPMorgan Chase Bank, National Association (the “Trustee”).

SALE OF MORTGAGE LOANS AND RELATED PROVISIONS. 2 Section 2.01 Sale of Initial Mortgage Loans and MI Policies. 2 Section 2.02 Conveyance of the Subsequent Mortgage Loans. 5 Section 2.03 Pre-Funding Account. 9 Section 2.04 Interest Coverage Account 9 ARTICLE III REPRESENTATIONS AND WARRANTIES; REMEDIES FOR BREACH 10 Section 3.01 Seller Representations and Warranties. 10 Section 3.02 Company Depositor Representations and Warranties. 27 ARTICLE IV SELLER’S COVENANTS 28 Section 4.01 Covenants of the Seller. 28 Section 4.02 Payment of Expenses. 28 ARTICLE V CONDITIONS TO INITIAL MORTGAGE LOAN PURCHASE 29 Section 5.01 Conditions of CompanyDepositor’s Obligations. 29 ARTICLE VI INDEMNIFICATION BY THE SELLER WITH RESPECT TO THE MORTGAGE LOANS 30 Section 6.01 Indemnification With Respect to the Mortgage Loans. 30 Section 6.02 Limitation on Liability of the Seller. 30 ARTICLE VII TERMINATION 30 Section 7.01 Termination. 30 ARTICLE VIII MISCELLANEOUS PROVISIONS 32 Section 8.01 Amendment. 32 Section 8.02 Governing Law. 32 Section 8.03 Notices. 32 Section 8.04 Severability of Provisions. 33 Section 8.05 Relationship of Parties. 33 Section 8.06 Counterparts. 34 33 Section 8.07 Further Agreements. 34 33 Section 8.08 Intention of the Parties. 34 Section 8.09 Successors and Assigns; Assignment of Purchase Agreement. 35 34 Section 8.10 Survival. 35 Section 8.11 Liability of the Trustee. 35 EXHIBIT 1 Initial Mortgage Loan Schedule EXHIBIT 2(A) Seller’s Subsequent Transfer Instrument EXHIBIT 2(B) CompanyDepositor’s Subsequent Transfer Instrument THIS MORTGAGE LOAN PURCHASE AGREEMENT (this “Purchase Agreement”), dated as of December 1, 200520[ ], is made among NovaStar Mortgage, Inc. (the “Seller”), [NovaStar Mortgage Funding Corporation Corporation] [NovaStar Certificates Financing Corporation] (the “CompanyDepositor”), Wachovia Bank, National Association [ ] (the “Custodian”) and JPMorgan Chase Bank, National Association [ ] (the “Trustee”).

SALE OF MORTGAGE LOANS AND RELATED PROVISIONS. 2 Section 2.01 Sale of Initial Mortgage Loans and MI Policies. 2 Section 2.02 Conveyance of the Subsequent Mortgage Loans. 5 Section 2.03 Pre-Funding Account. 9 Section 2.04 Interest Coverage Account 9 10 ARTICLE III REPRESENTATIONS AND WARRANTIES; REMEDIES FOR BREACH 10 Section 3.01 Seller Sponsor Representations and Warranties. 10 Section 3.02 Company Depositor Representations and Warranties. 27 29 ARTICLE IV SELLERSPONSOR’S COVENANTS 28 30 Section 4.01 Covenants of the SellerSponsor. 28 30 Section 4.02 Payment of Expenses. 28 30 ARTICLE V CONDITIONS TO INITIAL MORTGAGE LOAN PURCHASE 29 31 Section 5.01 Conditions of CompanyDepositor’s Obligations. 29 31 ARTICLE VI INDEMNIFICATION BY THE SELLER SPONSOR WITH RESPECT TO THE MORTGAGE LOANS 30 32 Section 6.01 Indemnification With Respect to the Mortgage Loans. 30 32 Section 6.02 Limitation on Liability of the SellerSponsor. 30 32 ARTICLE VII TERMINATION 30 32 Section 7.01 Termination. 30 32 ARTICLE VIII MISCELLANEOUS PROVISIONS 32 34 Section 8.01 Amendment. 32 34 Section 8.02 Governing Law. 32 34 Section 8.03 Notices. 32 34 Section 8.04 Severability of Provisions. 33 35 Section 8.05 Relationship of Parties. 33 35 Section 8.06 Counterparts. 34 35 Section 8.07 Further Agreements. 34 35 Section 8.08 Intention of the Parties. 34 36 Section 8.09 Successors and Assigns; Assignment of Purchase Agreement. 35 36 Section 8.10 Survival. 35 37 Section 8.11 Liability of the Trustee. 35 37 EXHIBIT 1 Initial Mortgage Loan Schedule EXHIBIT 2(A) SellerSponsor’s Subsequent Transfer Instrument EXHIBIT 2(B) CompanyDepositor’s Subsequent Transfer Instrument THIS MORTGAGE LOAN PURCHASE AGREEMENT (this “Purchase Agreement”), dated as of December November 1, 20052006, is made among NovaStar Mortgage, Inc. (the “SellerSponsor”), NovaStar Mortgage Funding Corporation (the “CompanyDepositor”), Wachovia Bank, U.S. Bank National Association (the “Custodian”) and JPMorgan Chase Bank, Deutsche Bank National Association Trust Company as trustee (the “Trustee”).

SALE OF MORTGAGE LOANS AND RELATED PROVISIONS. 2 Section 2.01 Sale of Initial Mortgage Loans and MI Policies. 2 Section 2.02 Conveyance of the Subsequent Mortgage Loans. 5 Section 2.03 Pre-Funding Account. 9 Section 2.04 Interest Coverage Account 9 ARTICLE III REPRESENTATIONS AND WARRANTIES; REMEDIES FOR BREACH 10 9 Section 3.01 Seller Representations and Warranties. 10 9 Section 3.02 Company Representations and Warranties. 27 ARTICLE IV SELLER’S COVENANTS 28 Section 4.01 Covenants of the Seller. 28 Section 4.02 Payment of Expenses. 28 ARTICLE V CONDITIONS TO INITIAL MORTGAGE LOAN PURCHASE 29 Section 5.01 Conditions of Company’s Obligations. 29 ARTICLE VI INDEMNIFICATION BY THE SELLER WITH RESPECT TO THE MORTGAGE LOANS 30 29 Section 6.01 Indemnification With Respect to the Mortgage Loans. 30 29 Section 6.02 Limitation on Liability of the Seller. 30 29 ARTICLE VII TERMINATION 30 Section 7.01 Termination. 30 ARTICLE VIII MISCELLANEOUS PROVISIONS 32 31 Section 8.01 Amendment. 32 31 Section 8.02 Governing Law. 32 31 Section 8.03 Notices. 32 Section 8.04 Severability of Provisions. 33 32 Section 8.05 Relationship of Parties. 33 Section 8.06 Counterparts. 34 33 Section 8.07 Further Agreements. 34 33 Section 8.08 Intention of the Parties. 34 33 Section 8.09 Successors and Assigns; Assignment of Purchase Agreement. 35 34 Section 8.10 Survival. 35 34 Section 8.11 Liability of the Trustee. 35 34 EXHIBIT 1 Initial Mortgage Loan Schedule EXHIBIT 2(A) Seller’s Subsequent Transfer Instrument EXHIBIT 2(B) Company’s Subsequent Transfer Instrument THIS MORTGAGE LOAN PURCHASE AGREEMENT (this “Purchase Agreement”), dated as of December September 1, 20052004, is made among NovaStar Mortgage, Inc. (the “Seller”), NovaStar Mortgage Funding Corporation (the “Company”), Wachovia Bank, National Association (the “Custodian”) and JPMorgan Chase Bank, National Association Bank (the “Trustee”).

SALE OF MORTGAGE LOANS AND RELATED PROVISIONS. 2 Section 2.01 Sale of Initial Mortgage Loans and MI Policies. 2 Section 2.02 Conveyance of the Subsequent Mortgage Loans. 5 Section 2.03 Pre-Funding Account. 9 Section 2.04 Interest Coverage Account 9 ARTICLE III REPRESENTATIONS AND WARRANTIES; REMEDIES FOR BREACH 10 Section 3.01 Seller Sponsor Representations and Warranties. 10 Section 3.02 Company Depositor Representations and Warranties. 27 29 ARTICLE IV SELLERSPONSOR’S COVENANTS 28 29 Section 4.01 Covenants of the SellerSponsor. 28 29 Section 4.02 Payment of Expenses. 28 30 ARTICLE V CONDITIONS TO INITIAL MORTGAGE LOAN PURCHASE 29 31 Section 5.01 Conditions of CompanyDepositor’s Obligations. 29 31 ARTICLE VI INDEMNIFICATION BY THE SELLER SPONSOR WITH RESPECT TO THE MORTGAGE LOANS 30 31 Section 6.01 Indemnification With Respect to the Mortgage Loans. 30 31 Section 6.02 Limitation on Liability of the SellerSponsor. 30 31 ARTICLE VII TERMINATION 30 32 Section 7.01 Termination. 30 32 ARTICLE VIII MISCELLANEOUS PROVISIONS 32 33 Section 8.01 Amendment. 32 33 Section 8.02 Governing Law. 32 33 Section 8.03 Notices. 32 34 Section 8.04 Severability of Provisions. 33 35 Section 8.05 Relationship of Parties. 33 35 Section 8.06 Counterparts. 34 35 Section 8.07 Further Agreements. 34 35 Section 8.08 Intention of the Parties. 34 36 Section 8.09 Successors and Assigns; Assignment of Purchase Agreement. 35 36 Section 8.10 Survival. 35 37 Section 8.11 Liability of the Trustee. 35 37 EXHIBIT 1 Initial Mortgage Loan Schedule EXHIBIT 2(A) SellerSponsor’s Subsequent Transfer Instrument EXHIBIT 2(B) CompanyDepositor’s Subsequent Transfer Instrument THIS MORTGAGE LOAN PURCHASE AGREEMENT (this “Purchase Agreement”), dated as of December June 1, 20052006, is made among NovaStar Mortgage, Inc. (the “SellerSponsor”), NovaStar Mortgage Funding Corporation (the “CompanyDepositor”), Wachovia Bank, U.S. Bank National Association (the “Custodian”) and JPMorgan Chase Bank, National Association (the “Trustee”).

SALE OF MORTGAGE LOANS AND RELATED PROVISIONS. 2 Section 2.01 Sale of Initial Mortgage Loans and MI Policies. 2 Section 2.02 Conveyance of the Subsequent Mortgage Loans. 5 Section 2.03 Pre-Funding Account. 9 Section 2.04 Interest Coverage Account 9 10 ARTICLE III REPRESENTATIONS AND WARRANTIES; REMEDIES FOR BREACH 10 Section 3.01 Seller Sponsor Representations and Warranties. 10 Section 3.02 Company Depositor Representations and Warranties. 27 29 ARTICLE IV SELLERSPONSOR’S COVENANTS 28 30 Section 4.01 Covenants of the SellerSponsor. 28 30 Section 4.02 Payment of Expenses. 28 30 ARTICLE V CONDITIONS TO INITIAL MORTGAGE LOAN PURCHASE 29 31 Section 5.01 Conditions of CompanyDepositor’s Obligations. 29 31 ARTICLE VI INDEMNIFICATION BY THE SELLER SPONSOR WITH RESPECT TO THE MORTGAGE LOANS 30 32 Section 6.01 Indemnification With Respect to the Mortgage Loans. 30 32 Section 6.02 Limitation on Liability of the SellerSponsor. 30 32 ARTICLE VII TERMINATION 30 32 Section 7.01 Termination. 30 32 ARTICLE VIII MISCELLANEOUS PROVISIONS 32 34 Section 8.01 Amendment. 32 34 Section 8.02 Governing Law. 32 34 Section 8.03 Notices. 32 34 Section 8.04 Severability of Provisions. 33 35 Section 8.05 Relationship of Parties. 33 35 Section 8.06 Counterparts. 34 35 Section 8.07 Further Agreements. 34 35 Section 8.08 Intention of the Parties. 34 36 Section 8.09 Successors and Assigns; Assignment of Purchase Agreement. 35 36 Section 8.10 Survival. 35 37 Section 8.11 Liability of the Trustee. 35 37 EXHIBIT 1 Initial Mortgage Loan Schedule EXHIBIT 2(A) SellerSponsor’s Subsequent Transfer Instrument EXHIBIT 2(B) CompanyDepositor’s Subsequent Transfer Instrument THIS MORTGAGE LOAN PURCHASE AGREEMENT (this “Purchase Agreement”), dated as of December September 1, 20052006, is made among NovaStar Mortgage, Inc. (the “SellerSponsor”), NovaStar Mortgage Funding Corporation (the “CompanyDepositor”), Wachovia Bank, U.S. Bank National Association (the “Custodian”) and JPMorgan Chase Bank, Deutsche Bank National Association Trust Company as trustee (the “Trustee”).