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                                                                   EXHIBIT 10(a)

                       FIFTH AMENDED AND RESTATED SECURITY
                         AND COLLATERAL AGENCY AGREEMENT

      THIS FIFTH AMENDED AND RESTATED SECURITY AND COLLATERAL AGENCY AGREEMENT
(the "Security Agreement") is made and dated as of May ___, 2006 by and among
PULTE MORTGAGE LLC , a Delaware limited liability company (the "Company"),
JPMORGAN CHASE BANK, N.A., a national banking association, acting in its
capacity as administrative agent for the Lenders from time to time parties to
the Credit Agreement (as defined below) (in such capacity, the "Credit Agent"),
and LASALLE BANK NATIONAL ASSOCIATION, as collateral agent for the Secured
Parties (as defined below) (in such capacity, the "Collateral Agent").

                                    RECITALS

      A. Pursuant to that certain Sixth Amended and Restated Revolving Credit
Agreement of even date herewith, by and among the Company, the Credit Agent and
certain other Lenders named therein (the "Credit Agreement"), the Lenders agreed
to extend credit to the Company on the terms and subject to the conditions set
forth therein. Capitalized terms not otherwise defined herein are used with the
same meanings as in the Credit Agreement.

      B. As a condition precedent to the effectiveness of the Credit Agreement,
the Credit Agent has required the execution and delivery of this Security
Agreement in order to, among other things, create a first priority perfected
security interest in the Collateral in favor of the Lenders, the Credit Agent
and the Collateral Agent (collectively, the "Secured Parties") to secure payment
of the Secured Obligations.

      C. This Security Agreement amends and restates in its entirety that
certain Fourth Amended and Restated Security and Collateral Agency Agreement
dated as of June 30, 2004 by and among the Company, the Credit Agent and the
Collateral Agent.

      NOW, THEREFORE, in consideration of the above Recitals and for other good
and valuable consideration, the receipt and adequacy of which are hereby
acknowledged, the parties hereto agree as follows:

                                   AGREEMENTS

      1. Appointment of Collateral Agent. Each Lender has, pursuant to the terms
of the Credit Agreement, appointed the Collateral Agent to act as secured party,
agent, bailee and custodian for the exclusive benefit of the Secured Parties
with respect to the Collateral. The Collateral Agent hereby accepts such
appointment and agrees to maintain and hold, or cause to be maintained and held,
all Collateral at any time delivered to it or any of its subagents as secured
party, agent, bailee and custodian for the exclusive benefit of the Secured
Parties. The Collateral Agent and the Company agree that the Collateral Agent is
acting and will act with respect to the Collateral for the exclusive benefit of
the Secured Parties and is not, and shall not at any time in the future be,
subject, with respect to the Collateral, in any manner or to any extent, to the
direction or control of the Company except as expressly permitted hereunder and
under the other Loan Documents. The Collateral Agent agrees to act in accordance
with this Security Agreement and in accordance with any written instructions
properly delivered pursuant hereto. Under no circumstances shall the Collateral
Agent deliver, or cause to be delivered, possession of Collateral to the Company
except in accordance with the express terms of this Security Agreement or the
other Loan Documents.

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      2. Delivery and Categorization of Collateral.

            (a) Mortgage Loans. The Company shall deliver Collateral
Transmittals to the Collateral Agent from time to time identifying Mortgage
Loans that the Company intends to include in Collateral by delivering to the
Collateral Agent the Required Mortgage Documents (as described on Schedule A
attached hereto) for such Mortgage Loans. Such delivery shall be made prior to
inclusion of such Mortgage Loans in Collateral, other than for AP Mortgages
identified in the Collateral Transmittal and covered by an Agreement to Pledge.
The Collateral Agent shall review the Required Mortgage Documents in accordance
with the review steps described on Exhibit 1 hereto.

            (b) Agreement to Pledge. The Collateral Agent, upon receipt of a
Collateral Transmittal describing the AP Mortgages to be covered by an AP Notice
and an Agreement to Pledge as of that date, shall (subject to the eligibility
requirements set forth in the Credit Agreement) include such AP Mortgages as
Eligible Collateral in the Collateral Value Determination (as defined Paragraph
6(a) below). The Company shall deliver the Required Mortgage Documents for each
such AP Mortgage not later than the ninth (9th) Business Day after the date such
AP Mortgage is first so included as an Eligible Collateral. When a delivery of
what purports to be the Required Mortgage Documents for an AP Mortgage is
received by the Collateral Agent on a given Business Day, such AP Mortgage shall
no longer be treated as an AP Mortgage for purposes of the Borrowing Base
Sublimits, and shall be included in any Collateral Value Determination or other
calculation involving the value of the Borrowing Base on such Business Day prior
to the Collateral Agent's review thereof on the assumption that such AP Mortgage
is Eligible Collateral. The Collateral Agent shall review such Required Mortgage
Documents in accordance with the steps described on Exhibit 1 hereto before the
opening of business of the Collateral Agent on the next succeeding Business Day
and shall make a decision on the eligibility of the applicable Mortgage Loan for
that Business Day.

            (c) Securities. The Company may, from time to time, deliver
Securities to the Collateral Agent or an Approved MBS Custodian and shall
provide evidence that such Securities are either (a) in a certificated form,
with the certificates evidencing such Securities being delivered to the
Collateral Agent or such Approved MBS Custodian, or (b) in book entry or
uncertificated form with evidence that the Collateral Agent or such Approved MBS
Custodian has been identified as the nominal owner of such Securities in the
records of a Federal Reserve Bank or other institution authorized by the
applicable Federal Agency to maintain ownership records in respect of such
Securities.

            (d) Gestation Collateral. The Company may, from time to time,
deliver a request to the Collateral Agent (or an Affiliate of the Collateral
Agent) acting in its capacity as pool custodian, for the initial certification
of Pledged Mortgages for purposes of creating a pool of Mortgage Loans to
support the issuance of a FHLMC, FNMA or GNMA Security. Such request shall be in
writing in the form of Exhibit 3.A to this Security Agreement, and such Pledged
Mortgages shall constitute Gestation Mortgage Loans on the Business Day
immediately following the Business Day on which such Pledged Mortgages are
certified by the Collateral Agent (or an Affiliate of the Collateral Agent) in
accordance with the standards of the applicable Federal Agency.

            (e) Pledged Servicing. The Company shall deliver to the Collateral
Agent fully executed copies of the Acknowledgment Agreements with FNMA and
FHLMC. In the event the Credit Agent or the Required Lenders request that
Acknowledgement Agreements with GNMA be obtained, the Company shall deliver to
the Collateral Agent fully executed copies of Acknowledgement Agreements with
GNMA covering all Pledged Servicing with GNMA.

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            (f) Servicing Sale Receivables. The Company may, in connection with
a sale of Servicing Agreements from the Company to a Servicing Purchaser, pledge
the Servicing Sale Receivables due in connection with such sale to the
Collateral Agent for the benefit of the Secured Parties as Collateral. If the
Company so pledges Servicing Sale Receivables to the Collateral Agent, the
Company shall (i) deliver to the Credit Agent and the Collateral Agent a
complete executed copy of the related purchase agreement, (ii) assign its rights
to such Pledged Servicing Sale Receivables to the Collateral Agent for the
benefit of the Secured Parties pursuant to an assignment in form and content
satisfactory to the Credit Agent, and (iii) cause the Servicing Purchaser of the
applicable sold Servicing Agreements to execute an agreement in form and content
satisfactory to the Credit Agent pursuant to which the Servicing Purchaser shall
agree to (A) pay such Pledged Servicing Sale Receivables directly to the
Collateral Agent for the benefit of the Secured Parties, and (B) provide
simultaneous written notice to the Credit Agent and the Collateral Agent of any
claims made against or notices given to the Company which would constitute an
offset to or reduction in the amount of such Pledged Servicing Sale Receivables.

            (g) Identification of Collateral. All Mortgage Loans and Securities
at any time delivered to the Collateral Agent hereunder shall be held by the
Collateral Agent in a fire resistant vault, drawer or other suitable depositary
maintained in accordance with Federal Agency standards and controlled solely by
the Collateral Agent, conspicuously marked to show the respective interests of
the Secured Parties therein and not commingled with any other assets or property
of, or held by, the Collateral Agent. Accordingly, if (pursuant to Paragraph
7(b) below) the Collateral Agent receives a shipping request pursuant to which
the Collateral Agent is to retain physical possession of the applicable Mortgage
Loans or Securities as an agent for any Person other than the Secured Parties,
the Collateral Agent shall physically separate such Mortgage Loans or Securities
from the remainder of the Collateral and shall execute any transmittal letters
required under Paragraph 7(b) below.

      3. Grant of Security Interest. The Company hereby pledges and assigns to
the Collateral Agent for the benefit of the Secured Parties and grants to the
Collateral Agent for the benefit of the Secured Parties, a first priority
security interest in, the property described in Paragraph 4 below (collectively
and severally, the "Collateral"), to secure payment of the Secured Obligations.
Furthermore, each Agreement to Pledge shall create a security interest in favor
of the Collateral Agent for the benefit of the Secured Parties in the AP
Mortgages identified therein. By delivering an Agreement to Pledge, the Company
represents and warrants that each AP Mortgage identified therein constitutes an
Eligible Mortgage Loan. The Company agrees that while it is in possession of any
Required Mortgage Documents for an AP Mortgage, it will hold same in trust and
as agent and bailee for the Collateral Agent for the benefit of the Secured
Parties, without authority to make any other disposition thereof, or of the
proceeds thereof. The Company assumes the responsibility for loss or destruction
of any such Required Mortgage Documents until the same are delivered to the
Collateral Agent.

      Unless so directed by the Credit Agent when a Default has occurred and is
continuing, the Collateral Agent shall not record the assignment of mortgage or
deed of trust delivered in connection with any Pledged Mortgage.

      4. Collateral. The Collateral shall consist of all right, title and
interest of the Company of every kind and nature in and to all of the following
property, assets and rights of the Company wherever located, whether now
existing or hereafter arising, and whether now or hereafter owned or acquired by
or accruing or owing to the Company, and all proceeds and products thereof
(including all proceeds in the Settlement Account, the Cash and Collateral
Account and any Custodian Settlement Accounts from time to time):

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            (a) all Pledged Mortgages;

            (b) all Pledged Securities;

            (c) any commitments or other agreements issued by any private
mortgage insurer or by the FHA or VA to insure or guarantee any Pledged
Mortgage;

            (d) all commitments of FNMA, FHLMC or other Persons to purchase
Pledged Items from the Company or exchange Securities with the Company for
Pledged Items;

            (e) any options to sell or purchase Securities, future contracts, or
any other interest rate protection products which directly or indirectly protect
the Company against reductions in value of such Pledged Items due to changes in
mortgage interest rates;

            (f) the Settlement Account, the Cash and Collateral Account and any
Custodian Settlement Accounts and any amounts standing to the credit of the
Settlement Account, the Cash and Collateral Account and any Custodian Settlement
Accounts then in existence with Approved MBS Custodians, as described in
Paragraph 7(c) below;

            (g) all cash and Cash Equivalents held by the Credit Agent or
Collateral Agent as security for the Secured Obligations;

            (h) all Pledged Servicing;

            (i) all Pledged Servicing Sale Receivables;

            (j) all property related to the foregoing, including, without
limitation, the right to service Pledged Mortgages while owned by the Company,
all accounts and general intangibles of whatsoever kind so related and all
documents or instruments delivered to the Credit Agent or the Collateral Agent
in respect of any Pledged Item, including, without limitation, the right to
receive all insurance proceeds and condemnation awards which may be payable in
respect of the premises encumbered by any Pledged Mortgage; and

            (k) all proceeds and products of any of the foregoing.

      5. Collateral Agent's Review of Collateral. Upon any receipt of Required
Mortgage Documents for any Mortgage Loan, the Collateral Agent shall review the
same and verify that:

            (a) All Required Mortgage Documents relating to such Mortgage Loan
appear regular on their face (as determined by the Collateral Agent in its
reasonable discretion) and are in the Collateral Agent's possession; and

            (b) The statements set forth on Exhibit 1 hereto are accurate and
complete in all material respects.

If the Collateral Agent notes any exception in the review described in
subparagraph (a) or (b) above, the Collateral Agent shall not include such item
as Eligible Collateral in its next Collateral Value Determination (as defined in
Paragraph 6(a) below) delivered to the Credit Agent. In the event that the
Company has been requested by the Credit Agent or the Collateral Agent to
deliver the "Additional Required Mortgage Documents" (as described on Schedule B
attached hereto) with respect to any

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Mortgage Loan, the Collateral Agent shall review and verify such Additional
Required Mortgage Documents consistent with the obligations of the Collateral
Agent above. However, the Collateral Agent shall have no obligation to verify
that (i) the amount of any fire and extended coverage insurance policy meets the
requirements set forth on Schedule B, or (ii) the loan to value ratio for any
mortgage note is in excess of 80% (and thus whether private mortgage insurance
is required), but shall be entitled to rely upon the determinations of the
Company with respect to these matters.

      6. Collateral Value Determination; Determination Assumptions.

            (a) On each Business Day the Collateral Agent shall compute the
value of the Borrowing Base (taking into account all Borrowing Base Sublimits),
the Servicing Borrowing Base, the Non-Gestation Borrowing Base and the Gestation
Borrowing Base (collectively, the "Borrowing Bases") and notify the Credit Agent
thereof (a "Collateral Value Determination") by telephone and by sending a
facsimile copy of a report ("Borrowing Base Report") in the form of Schedule C
hereto (or such other form as may be mutually agreed to by the Collateral Agent
and the Credit Agent) prior to 11:00 a.m. (New York City time).

            (b) In making any Collateral Value Determination or other
calculation involving a determination of the value of the Borrowing Bases, the
Collateral Agent shall be permitted to rely, without independent investigation
of the correctness thereof, on:

                  (1) The information supplied by the Company to the Collateral
      Agent on the related Collateral Transmittal, with respect to the net
      acquisition cost (including any discounts and excluding any servicing
      released premium) of any Mortgage Loan, the unpaid principal balance of
      any Mortgage Loan as of the Pledge Date therefor, and the weighted average
      purchase price (expressed as a percentage of par) committed to under all
      Approved Investor Commitments which could cover such Mortgage Loan (which
      weighted average purchase price shall be recalculated by the Company and
      reported to the Collateral Agent weekly);

                  (2) The most recent information supplied by the Company to the
      Collateral Agent with respect to the number of days by which payments on
      any Mortgage Loan constituting Collateral are past due;

                  (3) The written information supplied by the Company to the
      Collateral Agent with respect to a determination as to whether amounts
      received in the Cash and Collateral Account represent the purchase price
      paid for a specific Mortgage Loan or Security and, consequently, whether
      the Mortgage Collateral Value of such Mortgage Loan or MBS Value of such
      Security should be removed from such calculation;

                  (4) The most recent information supplied by the Credit Agent
      to the Collateral Agent with respect to the amount of the then current
      Aggregate Commitment, which information, if requested by the Collateral
      Agent, shall be reported by the Credit Agent to the Collateral Agent by
      10:30 a.m. (New York City time) on the first Business Day after such
      request;

                  (5) Any information supplied by the Credit Agent, the Company,
      or any other custodian of any of the Collateral, to the Collateral Agent
      unless the Collateral Agent has actual knowledge that such information is
      untrue or unreliable; and

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                  (6) The information supplied by the Company or the Credit
      Agent with respect to the Aggregate Servicing Value of the Eligible
      Mortgage Servicing Rights and Eligible Servicing Sale Receivables.

            (c) No later than 4:30 p.m. (New York City time) on each Business
Day (the "Information Cutoff Time") the Company shall deliver to the Collateral
Agent a list of Pledged Items (other than, so long as no Default exists,
Securities or Gestation Mortgage Loans being pooled and sold, the sale of which
is addressed in Paragraph 6(d) below) that have been sold to investors (or, in
the case of Servicing Sale Receivables, the applicable Servicing Sale
Receivables to be received on such day) (the "Paid Collateral Listing"),
together with appropriate detail identifying the specific wire that represents
the proceeds of each Pledged Item on the Paid Collateral Listing. Upon receipt
of the Paid Collateral Listing by the Information Cutoff Time, the Collateral
Agent will confirm with the Credit Agent the results of the Credit Agent's
review of all wires received in the Cash and Collateral Account on or before
4:00 p.m. (New York City time) (the "Wire Cutoff Time") and confirm with the
Credit Agent that the wires detailed in the Paid Collateral Listing have been
received in the Cash and Collateral Account and that the actual amounts match
those shown in the Paid Collateral Listing (the "Paid Reconciliation Process").
Any Pledged Item identified on the Paid Collateral Listing that cannot be
reconciled by the Collateral Agent will remain in the Borrowing Base and the
associated settlement proceeds will remain in the Cash and Collateral Account
until such time as the Collateral Agent receives the necessary information from
the Company to complete the Paid Reconciliation Process. On or before 5:30 p.m.
(New York City time), the Collateral Agent will remove the reconciled Pledged
Items from the Borrowing Base, and notify the Credit Agent of (i) the amount of
reconciled proceeds ("Reconciled Non-Security Proceeds") and (ii) an updated
Collateral Value Determination reflecting the removal of such Pledged Items. No
later than 5:00 p.m. (New York City time), the Collateral Agent will notify the
Company of the amount of Reconciled Non-Security Proceeds and, so long as the
updated Borrowing Base exceeds the total unpaid balance of the outstanding Loans
and no Default exists, authorize the Credit Agent to transfer such amounts from
the Cash and Collateral Account to the Company's operating account or as
otherwise instructed by the Company. If the Borrowing Base does not exceed the
total unpaid balance of the outstanding Loans, the Collateral Agent shall
authorize the Credit Agent to apply the necessary amount of such Reconciled
Non-Security Proceeds against the outstanding Loans in accordance with Section
8.4 of the Credit Agreement so that the Borrowing Base equals or exceeds the
total unpaid balance of the outstanding Loans and transfer the balance of such
proceeds to the Company as set forth above. During the continuance of a Default,
all proceeds shall be applied in accordance with the terms of Section 8.4 of the
Credit Agreement.

            (d) The procedures set forth in this Paragraph 6(d) will apply for
sales of Gestation Mortgage Loans and/or Securities on Pool Settlement Days, so
long as no Gestation Default has occurred or would result therefrom (in which
case the procedures described in Paragraph 6(c) shall apply). During the
continuance of a Default, all pool settlement proceeds shall be applied in
accordance with the terms of Section 8.4 of the Credit Agreement. For purposes
of this agreement, "Pool Settlement Days" shall be defined as any day on which a
pool of Gestation Mortgage Loans is funded by the applicable settlement agent.
No later than 3:00 p.m. (New York City time) on each Pool Settlement Day the
Company shall deliver to the Collateral Agent a list of pooled Gestation
Mortgage Loans that support Securities which are expected to settle on such day
(the "Pool Out Report"), together with appropriate detail identifying the
specific wire that represents the proceeds of each pool that the Company expects
to receive no later than the close of business on that same day. On or before
2:00 p.m. (New York City time), upon notice from the Company that a payment is
scheduled to be made that day, the Credit Agent may elect, pursuant to Section
2.17 of the Credit Agreement, to pay down any outstanding Loans designated by
the Company to be repaid based on the expectation that the wire for

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these proceeds (the "Pool Proceeds") will be received. At or about 5:30 p.m.
(New York City time), the Collateral Agent will authorize the Credit Agent to
repay itself the amounts advanced pursuant to the preceding sentence with the
applicable amount of the Pool Proceeds at or about 5:30 p.m. (New York City
time). The Credit Agent will notify the Company if any expected Pool Proceeds
have not been received by 4:30 p.m. (New York City time). Any shortfall still
owed to the Credit Agent resulting from a negative variance between the total
expected Pool Proceeds and the actual Pool Proceeds received on or before 5:30
p.m. (New York City time), shall be covered by a Swingline Advance equal to the
shortfall amount. Such Swingline Advance will be made automatically without need
for a request by the Company and will accrue interest at the LIBOR Rate. Should
the required amount exceed the Swingline availability, the remaining unpaid
amount advanced by the Credit Agent (the "Overadvance") shall accrue interest at
the LIBOR Rate. On or before the time at which the first determination of the
Borrowing Base is prepared on the next Business Day, the Collateral Agent will:
(i) confirm with the Credit Agent that the remaining expected Pool Proceeds were
received in the Cash and Collateral Account and that the actual amounts of all
the Pool Proceeds match the amounts on the Pool Out Report, and (ii) remove from
the Borrowing Base the Gestation Mortgage Loans which were pooled and sold. If
all or a portion of the expected remaining Pool Proceeds are not received in the
Cash and Collateral Account on or before the time at which the Borrowing Base is
first prepared on the next Business Day, the Gestation Mortgage Loans related to
the expected remaining Pool Proceeds will remain in the Borrowing Bases as long
as they remain eligible. The Credit Agent will use all Pool Proceeds received
from the Cash and Collateral Account to repay the unpaid amounts advanced by the
Credit Agent above, and then shall apply any remaining Pool Proceeds ("Excess
Pool Proceeds") as set forth in Section 8.4 of the Credit Agreement. To the
extent that the Pool Proceeds are insufficient to repay all unpaid Overadvances,
the Credit Agent shall request repayment of such funds from the Lenders,
together with interest, in accordance with Section 2.17 of the Credit Agreement.

      7. Handling of Collateral; Designation of Accounts.

            (a) From time to time until otherwise notified in writing by the
Required Lenders, the Collateral Agent is hereby authorized to release
documentation relating to Mortgage Loans to the Company against a trust receipt
executed by the Company in the form of Exhibit 2 hereto (with such documents to
be returned within 15 Business Days as set forth in such Exhibit 2, failing
which the applicable Mortgage Loan shall cease to be Eligible Collateral). The
Collateral Agent will maintain all original trust receipts in a vault, drawer or
other suitable depositary with a one hour fire rating maintained in accordance
with Federal Agency requirements and controlled solely by Collateral Agent. The
Company hereby represents and warrants that any request by the Company for
release of Collateral under this subparagraph (a) shall be solely for the
purposes of correcting clerical or other non-substantial documentation problems
in preparation of returning such Collateral to the Collateral Agent for ultimate
sale or exchange and that the Company has requested such release in compliance
with all terms and conditions of such release set forth herein and in the Credit
Agreement.

            (b) Prior to the occurrence of a Default, upon delivery by the
Company to the Collateral Agent of a shipping request substantially in the form
of that attached hereto as Exhibit 3.B, the Collateral Agent will transmit, or
cause to be transmitted, Mortgage Loans and Securities held by it or any
Approved MBS Custodian as directed by the Company as follows:

                  (1) If the transmittal is of documentation for Mortgage Loans
      or Securities in the possession of the Collateral Agent or an Approved MBS
      Custodian in connection with the sale thereof to an Approved Investor,
      such transmittal will be under cover of a transmittal letter substantially
      in the form of that attached hereto as Exhibit 4 (or such other form as
      may be approved by the Credit Agent or required under any Federal Agency
      program pursuant to which

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      the relevant Mortgage Loans or Securities are being shipped) , subject to
      modification of such Exhibit 4 pursuant to Paragraph 7(g) hereof at the
      request of the Credit Agent. The Company is hereby authorized to direct
      the Collateral Agent from time to time to transmit the documentation for
      Pledged Mortgage Loans being sold to an Approved Investor along with the
      documentation for other mortgage loans pledged for the benefit of other
      lenders and being sold to the same Approved Investor pursuant to a single
      transmittal letter in the form of Exhibit 4 which includes the optional
      language bracketed in Exhibit 4 (the "Joint Transmittal Letter").

                  (2) If the transmittal is of documentation for Mortgage Loans
      or Securities in connection with the shipment to a custodian or trustee
      (including any Affiliate of the Collateral Agent) in connection with the
      formation of a mortgage pool supporting a Security (any such Security
      secured or otherwise supported by any such Mortgage Loan or Security being
      referred to herein as a "Warehouse-Related Security"), such transmittal
      will be under cover of a transmittal letter substantially in the form of
      that attached hereto as Exhibit 5 (or such other form as may be required
      if the Security is being issued under any Federal Agency program), subject
      to modification of such Exhibit 5 pursuant to Paragraph 7(g) hereof at the
      request of the Credit Agent, and, in addition, will be conditioned upon
      the facts that:

                        (i) If the Warehouse-Related Security is being issued
            under a Federal Agency program, there has been delivered for the
            Warehouse-Related Security such form as may be required under the
            Federal Agency program pursuant to which such Warehouse-Related
            Security is being issued (which form shall name the Collateral Agent
            or an Approved MBS Custodian (as defined below) as the subscriber
            and the Person to whom the Warehouse-Related Security is to be
            delivered);

                        (ii) If the Warehouse-Related Security is being issued
            pursuant to a program other than a Federal Agency program, there has
            been delivered to and acknowledged by the trustee and collateral
            agent or custodian for the underlying mortgage pool a letter in form
            substantially similar to Exhibit 5 and reasonably acceptable to the
            Collateral Agent;

                        (iii) The Person to whom such Warehouse-Related Security
            is to be delivered upon issuance in exchange for the Mortgage Loans
            or Securities being shipped is either (a) a Person approved by the
            Collateral Agent and the Credit Agent which has agreed to hold such
            Warehouse-Related Security and the proceeds of any sale or other
            disposition thereof as custodian, agent and bailee for the benefit
            of the Secured Parties pursuant to a custodial agreement
            substantially in the form of that attached hereto as Exhibit 6 (a
            "Custodial Agreement"), or (b) the Credit Agent, the Collateral
            Agent or an Affiliate thereof (any Person acting in such capacity
            being referred to herein as an "Approved MBS Custodian");

                        (iv) There has been delivered to the Approved MBS
            Custodian a letter in the form attached to the Custodial Agreement
            (Exhibit A to Exhibit 6 hereto); and

                        (v) At the request of the Credit Agent pursuant to
            Paragraph 7(g) hereof, any Warehouse-Related Security delivered to
            an Approved MBS Custodian pursuant to subparagraphs (i) through (iv)
            shall be in a face amount of not less than the amount of the
            Borrowing Base which is attributable to the Mortgage Loans so
            delivered in exchange for such Warehouse-Related Security.

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In no event shall the Collateral Agent have any obligation to obtain written
acknowledgement of receipt from the addressee of any transmittal letter or other
communication sent by the Collateral Agent hereunder.

            (c) All amounts payable on account of the sale of Pledged Items
(including, but not limited to, a sale pursuant to a repurchase agreement) will
be instructed to be paid directly by the purchaser to the Cash and Collateral
Account or, in the case of Pledged Securities delivered to an Approved MBS
Custodian, to a demand deposit account maintained with such Approved MBS
Custodian (a "Custodian Settlement Account") and, thereafter, to the Cash and
Collateral Account or the Settlement Account, as provided in the applicable
Custodial Agreement. Pursuant to Paragraph 3 above the Company has granted a
security interest in and lien upon the Settlement Account, the Cash and
Collateral Account and in all Custodian Settlement Accounts and in any and all
amounts at any time held therein as collateral security for the benefit of the
Secured Parties. This Paragraph 7(c) shall constitute notice to the Collateral
Agent and any Approved MBS Custodian of such security interest pursuant to the
Uniform Commercial Code of all relevant jurisdictions and any other law or
regulation requiring such notice. This Paragraph 7(c) shall further constitute
irrevocable notice to the Collateral Agent and any Approved MBS Custodian that
the accounts referred to in Paragraph 4(f) above are "no access" accounts to the
Company and the Collateral Agent except to the extent expressly permitted
hereunder. The Collateral Agent shall hold such security interest in and lien
upon the accounts referred to in Paragraph 4(f) above and all funds at any time
held therein for the benefit of the Secured Parties with all rights of a secured
party under the Uniform Commercial Code of all relevant jurisdictions.

            (d) Prior to the occurrence of a Default, the Collateral Agent and
any Approved MBS Custodian shall take such steps as they may be reasonably
directed from time to time by the Company in writing which are not inconsistent
with the provisions of this Security Agreement and the other Credit Documents
and which the Company deems necessary to enable the Company to perform and
comply with Approved Investor Commitments and with other agreements for the sale
or other disposition in whole or in part of Mortgage Loans and Securities.

            (e) The Collateral Agent may deliver any item of Collateral to the
Company or any other Person in accordance with the provisions of the Credit
Documents; provided, however, that the Collateral Agent shall not deliver and
shall incur no liability to the Company or any other Person for refusing to
deliver any item of Collateral to the Company or any other Person (other than
under existing Approved Investor Commitments) while a Default exists if the
Collateral Agent has been directed to refrain from so delivering Collateral by
the Required Lenders.

            (f) In addition to the releases of Collateral provided for in the
preceding subparagraphs of this Paragraph 7, upon the request of the Company
delivered from time to time to the Credit Agent and the Collateral Agent, the
Collateral Agent shall, with the prior written approval of the Credit Agent,
release Collateral specified in such notice from the lien of this Security
Agreement. The Credit Agent shall give its approval of such release if, but only
if, (i) at the time of such release no Default exists and no notice of a Default
has been issued that has not been cured, (ii) any payment under Section 2.8 of
the Credit Agreement which may be required as a result of such release has been
made so that the release of such Collateral will not create a violation of any
Lending Sublimit or Borrowing Base Sublimit, and (iii) if the Collateral to be
released is Pledged Servicing, such release is made in connection with the sale
of such Pledged Servicing by the Company; provided, however, that the Collateral
Agent may release Collateral while a Default exists or while a notice of Default
has been issued but not cured if such release is in connection with the sale of
Collateral pursuant to an existing Approved Investor Commitment with the
proceeds of such sale being deposited in the Cash and Collateral Account or the
Settlement Account. The Collateral Agent is authorized to execute and

                                     - 9 -

<PAGE>

deliver to the Company, on behalf of the Secured Parties, such UCC-3 partial
release forms or other evidence as may be required of any release permitted
hereunder.

            (g) Notwithstanding the provisions of Paragraph 7(b) above, the
Credit Agent may, at any time, require that the following modifications be made
to all of its transmittal letters or only to transmittal letters to certain
Approved Investors designated by the Credit Agent:

                        (i) The second sentence of the second full paragraph of
            the form of whole loan sale transmittal letter attached hereto as
            Exhibit 4 shall be deleted and replaced with the following sentence:

                  "Each of the Mortgage Loans is subject to a security interest
                  in favor of LaSalle Bank National Association (the "Collateral
                  Agent") on behalf of the Secured Parties, which security
                  interest shall be automatically released upon your remittance
                  of an amount equal to the greater of (1) the purchase price
                  for such Mortgage Loans (as set forth on the schedule attached
                  hereto), and (2) $________, which is the mortgage collateral
                  value assigned by the Collateral Agent to such Mortgage Loans.
                  Such amount shall be remitted by wire transfer to the
                  following account:"

            in which case the amount to be inserted in the blank in clause two
            of such revised provision shall be an amount equal to the amount of
            the Borrowing Base which is attributable to the Mortgage Loans being
            delivered pursuant to the transmittal letter;

                        (ii) The second sentence of the second full paragraph of
            the form of warehouse related security transmittal letter attached
            hereto as Exhibit 5 shall be deleted and replaced with the following
            sentence:

                  "Each of the Mortgage Loans is subject to a security interest
                  in favor of LaSalle Bank National Association (the "Collateral
                  Agent") for the benefit of the Secured Parties, which security
                  interest shall be automatically released upon the issuance of
                  the Warehouse-Related Security in accordance with the terms of
                  the prescribed GNMA, FNMA or FHLMC form enclosed herewith,
                  which form shall name a person designated by the Collateral
                  Agent as the person to whom the Warehouse-Related Security is
                  to be delivered and require that the principal amount of the
                  Warehouse Related Security be in an amount not less than
                  $______________, which is the mortgage collateral value
                  assigned by the Collateral Agent to such Mortgage Loans.",

            in which case the amount to be inserted in the blank in such revised
            provision shall be an amount equal to the amount of the Borrowing
            Base which is attributable to the Mortgage Loans being delivered
            pursuant to the transmittal letter.

      8. Reports. The Collateral Agent shall deliver (a) the Borrowing Base
Report to the Credit Agent at the times and in the manner set forth in Paragraph
6(a) above, (b) a Borrowing Base Report to the Company and each Lender on or
before the seventh day of each month, and (c) to the Credit Agent and any Lender
which makes a written request therefor, such other reports and information as
any Lender may from time to time reasonably request. In preparing any such
reports the Collateral Agent shall be entitled to rely, without independent
investigation (other than the review steps described on Exhibit 1 hereto), on
information supplied to the Collateral Agent by the Company. The Collateral
Agent may, with the approval of the Company and the Credit Agent, alter the
format of any report

                                     - 10 -

<PAGE>

required hereunder, provided such modified report contains the same information
previously furnished in the unmodified report.

      9. No Reliance. The Collateral Agent shall not be responsible to any
Secured Party for any recitals, statements, representations or warranties
contained herein or in any other Credit Document; or for the execution,
effectiveness, genuineness, validity, enforceability, collectability, accuracy,
completeness or sufficiency of this Security Agreement or any other Credit
Document or instruments executed and delivered, or which could have been
executed or delivered, in connection with this Security Agreement or the other
Credit Documents, including, without limitation, the attachment, creation,
effectiveness or perfection of the security interests granted or purported to be
granted hereunder in and to the Collateral.

      10. Intentionally Omitted.

      11. Availability of Documents. The Secured Parties and their agents,
accountants, attorneys and auditors (each an "Inspecting Party") will be
permitted from time to time upon not less than three Business Days' written
notice to the Collateral Agent and the Company, and at such time as may be
mutually acceptable to such Inspecting Party, the Collateral Agent and the
Company to examine (to the extent permitted by applicable law) the files,
documents, records and other papers in the possession or under the control of
the Collateral Agent relating to any or all Collateral and to make copies
thereof. Any such activity will be at the cost and expense of the Secured Party
requesting such access, except that following the occurrence of a Default, all
reasonable out-of-pocket costs and expenses associated with the exercise by a
Secured Party of its rights under this Paragraph 11 shall be promptly paid by
the Company upon demand of the Credit Agent.

      12. Representations and Warranties. The Company hereby represents and
warrants that: (a) the Company is the sole owner of the Collateral (or, in the
case of after-acquired Collateral, at the time the Company acquires rights in
the Collateral, will be the sole owner thereof), subject only to the rights of
Approved Investors under the Approved Investor Commitments; (b) except for
security interests in favor of the Collateral Agent for the benefit of the
Secured Parties hereunder, no Person has (or, in the case of after-acquired
Collateral, at the time the Company acquires rights therein, will have) any
right, title, claim or interest in, against or to the Collateral and, in any
event, so long as the Collateral Agent complies with the procedures relating to
possession of Collateral set forth in this Security Agreement, the Collateral
Agent shall have a perfected, first priority security interest therein for the
benefit of the Secured Parties; (c) no consent of any Person is required that
has not been obtained for the granting of the security interests provided for
herein, nor will any consent be required for the Collateral Agent to exercise
its rights under this Security Agreement in accordance with the terms of this
Security Agreement; (d) to the best of the Company's knowledge, all information
heretofore, herein or hereafter supplied to the Collateral Agent or to any
Lender by or on behalf of the Company with respect to the Collateral is or will
be accurate and complete; (e) the Approved Investor Commitments covering such
Collateral may be collaterally assigned to the Collateral Agent as described
herein; and (f) each Mortgage Loan and Security shall be, at all dates included
in the computation of the value of the Borrowing Bases, Eligible Collateral.

      13. Covenants of the Company. The Company hereby agrees: (a) to procure,
execute and deliver from time to time any endorsements, assignments, financing
statements and other writings reasonably deemed necessary or appropriate by the
Collateral Agent or the Credit Agent to perfect, maintain and protect the
Collateral Agent's or Credit Agent's security interest hereunder and the
priority thereof and to deliver promptly to the Collateral Agent or Credit Agent
all originals of any Collateral or proceeds thereof consisting of chattel paper
or instruments; (b) not to surrender or lose possession of

                                     - 11 -

<PAGE>

(other than to the Collateral Agent), sell, encumber, or otherwise dispose of or
transfer, any Collateral or right or interest therein other than shipment of
Mortgage Loans and Securities under Approved Investor Commitments and as
otherwise permitted under Paragraph 7 above and as otherwise permitted by the
Credit Agreement; (c) except as otherwise contemplated in any Custodial
Agreement, not to grant to any Federal Agency or Approved Investor any other
security interest in any Collateral, or otherwise acknowledge the creation of
any ownership rights of any Federal Agency or Approved Investor with respect to
any Collateral unless and until the Credit Agent has received the proceeds of
such Collateral as described herein; (d) at all times to account fully for and
promptly to deliver to the Collateral Agent or the Credit Agent, in the form
received, all Collateral or proceeds thereof received, endorsed to the
Collateral Agent or Credit Agent or in blank as appropriate and accompanied by
such assignments and powers, duly executed, as the Collateral Agent or the
Credit Agent shall reasonably request, and until so delivered all Collateral and
proceeds thereof shall be held in trust for the Collateral Agent or Credit Agent
for the benefit of the Secured Parties, separate from all other property of the
Company and identified as the property of the Collateral Agent for the benefit
of the Secured Parties; (e) to keep accurate and complete records of the
Collateral and at any reasonable time and at the Company's expense, upon demand
by the Collateral Agent or the Credit Agent, to exhibit to and allow inspection
of the Collateral and the records, reports and information concerning the
Collateral by the Collateral Agent or Credit Agent (or Persons designated by the
Collateral Agent or Credit Agent); (f) to keep the records concerning the
Collateral at the location(s) set forth in Paragraph 25 below and not to remove
the records from such location(s) without the prior written consent of the
Collateral Agent and the Credit Agent; (g) not to materially modify, compromise,
extend, rescind or cancel any deed of trust, mortgage, note or other document,
instrument or agreement connected with any Mortgage Loan pledged under this
Security Agreement or any document relating thereto or connected therewith or
consent to a postponement of strict compliance on the part of any party thereto
with any term or provision thereof in any material respect (except to the extent
(i) any such action is permissible in accordance with Federal Agency rules and
regulations, (ii) the ability to sell any affected Mortgage Loans to an Approved
Investor is not thereby diminished, and (iii) the value of such Collateral is
not thereby diminished); (h) to keep the Collateral insured against loss,
damage, theft, and other risks customarily covered by insurance, and such other
risks as the Collateral Agent or the Credit Agent may reasonably request; (i) to
do all acts that a prudent investor would deem necessary or desirable to
maintain, preserve and protect the Collateral; (j) not knowingly to use or
permit any Collateral to be used unlawfully or in violation of any provision of
this Security Agreement, the Credit Agreement or any applicable statute,
regulation or ordinance or any policy of insurance covering the Collateral; (k)
to pay (or require to be paid) prior to their becoming delinquent all taxes,
assessments, insurance premiums, charges, encumbrances and liens now or
hereafter imposed upon or affecting any Collateral except as otherwise permitted
in the Credit Agreement; (l) to notify the Collateral Agent and the Credit Agent
before any such change shall occur of any change in the Company's name, identity
or structure through merger, consolidation or otherwise; (m) to appear in and
defend, at the Company's cost and expense, any action or proceeding which may
affect its title to or the Collateral Agent's interest for the benefit of the
Secured Parties in the Collateral; and (n) to comply in all material respects
with all laws, regulations and ordinances relating to the possession, operation,
maintenance and control of the Collateral. Notwithstanding the foregoing, (1)
the requirements of clauses (g), (k) and (m) shall not apply to any Collateral
which is not required to be included in the computation of the value of any of
the Borrowing Bases in order for the Company to be in compliance with the
requirements of the Credit Agreement unless failure to comply with the
requirements of said subparagraphs would have an adverse effect on the
Collateral which is included in such computation, and (2) the failure of the
Company to comply with its obligations under this Paragraph 13 with respect to
any Pledged Item shall cause such Pledged Item to cease to qualify as Eligible
Collateral.

                                     - 12 -

<PAGE>

      14. Collection of Collateral Payments.

            (a) The Company shall, at its sole cost and expense, use its best
efforts to obtain payment, when due and payable, of all sums due or to become
due with respect to any Collateral ("Collateral Payments" or a "Collateral
Payment"), consistent with all requirements of law and contractual obligations
binding upon the Company. Upon the request of the Credit Agent while a Default
exists, the Company will notify and direct any party who is or might become
obligated to make any Collateral Payment, to make payment thereof to the Credit
Agent at such address as the Credit Agent may designate. The Company will
reimburse the Credit Agent promptly upon demand for all out-of-pocket costs and
expenses, including reasonable attorneys' fees and litigation expenses, incurred
by the Credit Agent in seeking to collect any Collateral Payment.

            (b) Following the occurrence of a Default, upon the request of the
Credit Agent the Company will transmit and deliver to the Credit Agent,
forthwith upon receipt and in the form received, all cash, checks, drafts and
other instruments for the payment of money (properly endorsed where required so
that such items may be collected by the Credit Agent) which may be received by
the Company at any time as payment on account of any Credit Payment and if such
request shall be made, until delivery to the Credit Agent, such items will be
held in trust for the Credit Agent for the benefit of the Secured Parties and
will not be commingled by the Company with any of its other funds or property.
Thereafter, the Credit Agent is hereby authorized and empowered to endorse the
name of the Company on any check, draft or other instrument for the payment of
money received by the Credit Agent on account of any Collateral Payment if the
Credit Agent believes such endorsement is necessary or desirable for purposes of
collection.

            (c) The Company hereby agrees to indemnify, defend and save harmless
the Collateral Agent and the Credit Agent and their respective agents, officers,
employees and representatives from and against all reasonable liabilities and
expenses on account of any adverse claim asserted against the Collateral Agent
or the Credit Agent relating to any moneys received by the Collateral Agent or
the Credit Agent on account of any Collateral Payment (other than as a direct
result of the gross negligence or willful misconduct of the Collateral Agent or
the Credit Agent) and such obligation of the Company shall continue in effect
after and notwithstanding the discharge of the Secured Obligations and/or the
release of the security interest granted in Paragraph 3 above.

      15. Authorized Action by Collateral Agent. The Company hereby irrevocably
appoints the Collateral Agent as its attorney-in-fact to do (but the Collateral
Agent shall not be obligated to and shall incur no liability to the Company or
any third party for failure so to do) from time to time while a Default exists,
at the written request and direction of the Required Lenders, any act which the
Company is obligated by this Security Agreement to do, and to exercise such
rights and powers as the Company might exercise with respect to the Collateral,
including, without limitation, the right to (a) collect by legal proceedings or
otherwise and endorse, receive and receipt for all dividends, interest,
payments, proceeds and other sums and property now or hereafter payable on or on
account of the Collateral; (b) insure, process, service and preserve the
Collateral; (c) transfer the Collateral to the Collateral Agent's own or its
nominee's name; and (d) make any compromise or settlement, and take any other
action it deems advisable with respect to the Collateral. Notwithstanding
anything contained herein, in no event shall the Collateral Agent be required to
make any presentment, demand or protest, or give any notice, and the Collateral
Agent need not take any action to preserve any rights against any prior party or
any other person in connection with the Secured Obligations or with respect to
the Collateral.

      16. Default and Remedies.

                                     - 13 -

<PAGE>

            (a) While a Default exists, the Collateral Agent shall at the
written request and direction of the Credit Agent on behalf of the Required
Lenders, without notice to or demand upon the Company: (i) foreclose or
otherwise enforce the Collateral Agent's security interest for the benefit of
the Secured Parties in the Collateral in any manner permitted by law or provided
for hereunder; (ii) sell or otherwise dispose of the Collateral or any part
thereof at one or more public or private sales or at any broker's board or on
any securities exchange, whether or not such Collateral is present at the place
of sale, for cash or credit or future delivery (provided that the Required
Lenders have approved the terms of any sale on credit or for future delivery)
and without assumption of any credit risk, on such terms and in such manner as
the Collateral Agent may determine; (iii) require the Company to assemble the
Collateral and/or books and records relating thereto and make such available to
the Collateral Agent at a place to be designated by the Collateral Agent; (iv)
enter into property where any Collateral or books and records relating thereto
are located and take possession thereof with or without judicial process; and
(v) prior to the disposition of the Collateral, prepare it for disposition in
any manner and to the extent the Collateral Agent deems appropriate. Whether or
not the Collateral Agent exercises any right given pursuant to this Paragraph
16, upon the occurrence of any Default, the Collateral Agent on behalf of the
Secured Parties shall have as to any Collateral all other rights and remedies
provided for herein and all rights and remedies of a secured party under the
Illinois Uniform Commercial Code and, in addition thereto and not in lieu
thereof, all other rights or remedies at law or in equity existing or conferred
upon the Collateral Agent on behalf of the Secured Parties by other
jurisdictions or other applicable law or given to the Collateral Agent on behalf
of the Secured Parties pursuant to any security agreement, other instrument or
agreement heretofore, now, or hereafter given as security for the Company's
obligations hereunder.

            (b) The Collateral Agent is authorized, at any such sale, if it
deems it advisable so to do, to restrict the prospective bidders or purchasers
to Persons who will represent and agree that they are purchasing for their own
account, for investment, and not with a view to the distribution or sale of any
of the Collateral. Upon any sale or other disposition pursuant to this Security
Agreement, the Collateral Agent shall have the right to deliver, assign and
transfer to the purchaser thereof the Collateral or portion thereof so sold or
disposed of and all proceeds thereof shall, as set forth in Paragraph 17 below,
be promptly transmitted to the Credit Agent for allocation to the Secured
Parties in accordance with the Credit Agreement. Each purchaser at any such sale
or other disposition shall hold the Collateral free from any claim or right of
whatever kind, including any equity or right of redemption of the Company, and
the Company specifically waives (to the extent permitted by law) all rights of
redemption, stay or appraisal which it has or may have under any rule of law or
statute now existing or hereafter adopted. The Collateral Agent shall give the
Company only such notice and shall publish such notice as may be required by the
Illinois Uniform Commercial Code or by other applicable law of the intention to
make any such public or private sale or sale at broker's board or on a
securities exchange. Any such public sale shall be held at such time or times
within the ordinary business hours and at such place or places permitted by the
Illinois Uniform Commercial Code. At any such sale the Collateral may be sold in
one lot as an entirety or in separate parcels, as the Collateral Agent may
determine. The Collateral Agent may adjourn any public or private sale or cause
the same to be adjourned from time to time by announcement at the time and place
fixed for the sale, and such sale may be made at any time or place to which the
same may be so adjourned. In case of any sale of all or any part of the
Collateral on credit or for future delivery (the terms of which shall be
approved by the Required Lenders), (i) the Collateral so sold may be retained by
the Collateral Agent until the selling price is paid by the purchaser thereof,
(ii) none of the Secured Parties shall incur any liability in case of the
failure of such purchaser to take up and pay for the Collateral so sold, and
(iii) in case of any such failure, such Collateral may again be sold as provided
herein. Nothing contained in this Security Agreement shall prohibit any Lenders
from purchasing the Collateral at such sale.

                                     - 14 -

<PAGE>

            (c) The Company hereby appoints the Collateral Agent as the
Company's attorney-in-fact, effective as of the date of any Unmatured Default
(and during the continuance thereof) for the purpose of taking all actions on
behalf of the Company contemplated or required under the terms of the
Acknowledgement Agreements with respect to Pledged Servicing and executing any
instruments which the Collateral Agent may deem necessary or advisable to
accomplish the purposes hereof, which appointment as attorney-in-fact is
irrevocable and coupled with an interest. Without limiting the generality of the
foregoing, the Collateral Agent shall have the right and power to receive,
endorse and collect all checks made payable to the order of the Company
representing any payment on account of the principal of or interest on any of
the Mortgage Loans covered by such Pledged Servicing or on account of the terms
of the Servicing Agreements governing such Pledged Servicing and to give full
discharge for the same. Furthermore, notwithstanding anything herein to the
contrary, with respect to any Collateral covered by an executed Acknowledgement
Agreement, the Collateral Agent is authorized to carry out and comply with, and
the Company approves and acknowledges, all requirements regarding such a sale
set forth therein or as may otherwise be imposed by the counterparty to such an
Acknowledgement Agreement and agrees that such a sale in accordance with the
requirements of an Acknowledgement Agreement is commercially reasonable.

      17. Disposition of Proceeds. "Net Proceeds" shall mean the proceeds
realized upon the sale or other disposition of any Collateral after deducting
therefrom the payment of the costs and expenses of such sale or disposition,
including (i) reasonable compensation to the Collateral Agent's and Credit
Agent's agents and counsel, and all expenses, liabilities and advances made or
incurred by any Secured Party acting on instructions of the Required Lenders,
and (ii) with respect to the Pledged Servicing, the payment of any amounts due
by the Company to FNMA or FHLMC, as the case may be, as a condition to the
transfer of the Company's interest in any such Servicing Agreements pursuant to
the terms of such Servicing Agreements, including without limitation all amounts
described in the Acknowledgement Agreements. All such costs and expenses shall
be deducted from the proceeds directly related thereto. The Collateral Agent
shall distribute the Net Proceeds to the Credit Agent for the benefit of the
Secured Parties.

      18. Waiver. No Secured Party shall incur any liability as a result of the
sale of the Collateral, or any part thereof, at any public or private sale. The
Company hereby waives any claims it may have against any Secured Party arising
by reason of the fact that the price at which the Collateral may have been sold
at such private sale was less than the price which might have been obtained at a
public sale or was less than the aggregate amount of the Secured Obligations
then outstanding.

      19. The Collateral Agent.

            (a) Collateral Agent's Fee. Compensation of the Collateral Agent for
its services hereunder and reimbursement for any expenses incurred by it in the
performance of its duties hereunder shall be paid by the Company pursuant to a
separate fee schedule previously delivered by the Collateral Agent to the
Company (the "Fee Schedule"). The Collateral Agent shall notify the Company of
all extraordinary fees, costs and expenses of the Collateral Agent directly
relating to the Collateral Agent's performance of this Security Agreement, and
such extraordinary fees, costs and expenses shall be paid promptly by the
Company or, if already paid by the Collateral Agent, the Company promptly shall
reimburse the Collateral Agent therefor. For the purposes of this provision,
extraordinary fees, costs and expenses shall include all fees, costs and
expenses incurred by the Collateral Agent in performance of this Security
Agreement which are not otherwise expressly covered by the Fee Schedule,
including, without limitation, expenses of legal counsel to the Collateral Agent
and the fees and expenses of the Collateral Agent undertaking any activity
described in Paragraphs 14, 15 and 16 above or procedures related to reviewing
of documents listed on Schedule B or in furnishing any additional reports and

                                     - 15 -

<PAGE>

information reasonably requested by the Credit Agent or any Lender pursuant to
clause (c) of Paragraph 8 above.

            (b) Actions by the Collateral Agent. The obligations of the
Collateral Agent hereunder are only those expressly set forth herein. The
Collateral Agent shall be entitled to (but shall not be obligated to) take or
refrain from taking any discretionary powers or actions under this Security
Agreement or any other Credit Document unless and until the Collateral Agent
shall have received the written direction to take or refrain from taking such
action from the Required Lenders (or all of the Lenders with respect to actions
which require unanimous approval of the Lenders). The Collateral Agent shall not
be required to take any action hereunder if it shall reasonably determine that
by so doing it may incur criminal or civil liability.

            (c) Consultation with Experts. The Collateral Agent may consult with
legal counsel (who may be counsel for the Company), independent public
accountants and other experts selected by it and shall not be liable for any
action taken or omitted to be taken by it in good faith in accordance with the
advice of such counsel, accountants or experts; provided, however, that the
Collateral Agent shall consult counsel for the Company only with regard to
information about the Company and shall not request legal advice from such
counsel.

            (d) Liability of Collateral Agent.

               (1) Neither the Collateral Agent, its Affiliates nor any of its
   directors, officers, agents, or employees shall be liable for any action
   taken or not taken by it in connection herewith (i) with the consent or at
   the request of the Required Lenders or (ii) in the absence of its own gross
   negligence or willful misconduct. Furthermore, in no event shall the
   Collateral Agent or its Affiliates, directors, officers, agents, and
   employees be held liable for any special, indirect, punitive or consequential
   damages resulting from any action taken or omitted to be taken by it or them
   hereunder or in connection herewith even if advised of the possibility of
   such damages.

               (2) The Collateral Agent shall not incur any liability by acting
   in reliance upon any notice, consent, certificate, statement, or other
   writing (which may be a bank wire, telex or similar writing) or telephone
   communication believed by it to be genuine or, in the case of a writing, to
   be signed by the proper party or parties.

               (3) Except as provided in Paragraph 5 above, the Collateral Agent
   shall not be under a duty to examine into or pass upon the validity,
   effectiveness, genuineness or value of the Collateral or any other instrument
   or document furnished pursuant thereto or thereunder, and Collateral Agent
   shall be entitled to assume that the same are valid, effective and genuine in
   what they purport to be.

            (e) Indemnification. The Company agrees to indemnify and hold the
Collateral Agent and its directors, officers, agents, and employees harmless
against any and all liabilities, obligations, losses, damages, penalties,
actions, judgments, suits, costs, expenses, or disbursements of any kind or
nature whatsoever, including reasonable attorneys' fees, that may be imposed on,
incurred by, or asserted against the Collateral Agent or its affiliates,
directors, officers, agents, or employees, in anyway relating to or arising out
of this Agreement or any action taken or not taken by the Collateral Agent or
its permitted successors and assigns under this Agreement unless such
liabilities, obligations, losses, damages, penalties, actions, judgments suits,
costs, expenses, or disbursements were imposed on, incurred by or asserted
against the Collateral Agent because of the breach by the Collateral Agent of
its

                                     - 16 -

<PAGE>

obligations under this Agreement, which breach was caused by the gross
negligence, lack of good faith, or willful misconduct on the part of the
Collateral Agent or any of its affiliates, directors, officers, agents, or
employees. The foregoing indemnification shall survive any termination or
expiration of this Agreement or the resignation or removal of the Collateral
Agent. Subject to the limitations set forth below, the Lenders shall indemnify
the Collateral Agent (to the extent not reimbursed by the Company) against any
cost, expense (including reasonable counsel fees and disbursements), claim,
demand, action, loss or liability (except such as result from the Collateral
Agent's gross negligence or willful misconduct) that the Collateral Agent may
suffer or incur in connection with this Security Agreement or any action taken
or omitted by the Collateral Agent hereunder (the "Indemnified Amount"). Any
Indemnified Amount due to the Collateral Agent shall be paid by the Lenders pro
rata in accordance with their respective shares of the Secured Obligations
outstanding at the time the Collateral Agent incurred such liability. The
provisions of this Paragraph 19(e) shall survive the termination of this
Security Agreement.

            (f) Knowledge of Defaults. The Collateral Agent shall not be deemed
to have knowledge or notice of the occurrence of a Default unless the Collateral
Agent has received notice from a Secured Party or the Company referring to a
Credit Agreement or this Security Agreement describing such Default and stating
that such notice is a "Notice of Default." Following receipt of a Notice of
Default, the Collateral Agent shall assume that the Default is continuing until
the Collateral Agent receives written information to the contrary from the
Credit Agent.

            (g) Reports. The Collateral Agent may, at its option with the
approval of the Company and the Credit Agent, alter the format of any report
required hereunder, provided such modified report contains the same information
previously furnished in the unmodified report.

            (h) Other Transactions with Company. The Collateral Agent and its
Affiliates may accept deposits from, lend money to, and generally engage in any
kind of business with, the Company or any Subsidiary or Affiliate of the Company
as if it were not the Collateral Agent hereunder.

            (i) Resignation/Removal. The Collateral Agent may resign at any time
by giving 90 days prior written notice thereof to the Lenders and the Company.
The Collateral Agent also agrees to resign within 90 days after written notice
by the Company requesting the resignation of the Collateral Agent provided that
no Default has occurred and is continuing at the time of such request. In
addition, in the event the Collateral Agent fails to perform its obligations
under this Security Agreement in any material manner and fails to correct its
performance within 30 days of receipt of written notice of such failure given by
the Credit Agent at the request of not less than the Required Lenders, then the
Collateral Agent may be removed upon 30 days written notice given by the Credit
Agent at the direction of not less than the Required Lenders. Upon any such
resignation or removal: (i) so long as there has not occurred and is continuing
a Default, the Company shall appoint (which appointment shall be subject to the
approval of the Required Lenders, such approval not to be unreasonably withheld
or delayed), a successor agent for such Collateral Agent, and (ii) following the
occurrence and during the continuance of a Default, the Required Lenders shall
appoint a successor agent for such Collateral Agent who is in the business of
acting as a collateral agent for mortgage warehouse lenders as a part of its
regular business. Following the appointment and acceptance of a successor
Collateral Agent, the Collateral shall be transferred to the new Collateral
Agent within 30 days after such acceptance. If the Company and/or the Required
Lenders, as applicable, are unable to agree on the appointment of a successor
agent by a date 10 days prior to the effective date of such resignation or
removal, the retiring Collateral Agent shall appoint a successor Collateral
Agent who is in the business of acting as a collateral agent for mortgage
warehouse lenders as a part of its regular business. After the appointment of a
successor Collateral Agent and the successor's acceptance of such appointment,
that successor Collateral Agent

                                     - 17 -

<PAGE>

shall thereupon succeed to and become vested with all the rights, powers,
privileges and duties of the retiring Collateral Agent, and the retiring
Collateral Agent shall be discharged from its duties and obligations under this
Security Agreement; provided, however, that the retiring Collateral Agent shall
not be discharged from any liability as a result of its or its directors',
officers', agents' or employees' gross negligence or willful misconduct in
connection with the performance of its duties and obligations under this
Security Agreement prior to the effective date of its resignation or removal.
Notwithstanding the foregoing, the Collateral Agent shall continue to hold the
Pledged Items and the security interest created hereunder for the benefit of the
Secured Parties until such Pledged Items and security interest have been
effectively transferred to the successor agent. After the resignation or removal
of any Collateral Agent hereunder, the provisions of this Security Agreement
shall inure to its benefit as to any actions taken or omitted to be taken by it
while it was the Collateral Agent under this Security Agreement.

            (j) Representations and Warranties. The Collateral Agent hereby
represents and warrants:

                  (1) The Collateral Agent is a national banking association
      validly existing, in good standing and authorized to exercise its powers,
      rights and privileges and is qualified to do business in all jurisdictions
      where necessary, and has all requisite power and authority to perform all
      of its obligations under this Security Agreement;

                  (2) The execution, delivery and performance by the Collateral
      Agent of this Security Agreement and all documents required hereby to be
      executed by the Collateral Agent have been duly authorized by all
      necessary corporate action and do not and will not violate any existing
      provision of any law, rule, regulation, order, writ, judgment, injunction,
      decree, determination or award currently in effect having applicability to
      the Collateral Agent; and

                  (3) This Security Agreement and all documents required hereby
      to be executed by the Collateral Agent have been duly executed and
      delivered by the Collateral Agent.

            (k) Tax Returns. The Collateral Agent shall not be responsible for
preparing or filing any reports or returns relating to federal, state or local
income taxes with respect to this Security Agreement, other than for the
Collateral Agent's compensation or for reimbursement of expenses.

            (l) Deemed Notification. Any other provision of this Security
Agreement to the contrary notwithstanding, the Collateral Agent shall have no
notice, and shall not be bound by any of the terms and conditions of any other
document or agreement executed or delivered in connection with, or intended to
control any part of, the transactions anticipated by or referred to in this
Security Agreement unless the Collateral Agent is a signatory party to that
document or agreement. Notwithstanding the foregoing sentence, the Collateral
Agent shall be deemed to have notice of the terms and conditions (including
without limitation definitions not otherwise set forth in full in this Security
Agreement) of other documents and agreements executed or delivered in connection
with, or intended to control any part of, the transactions anticipated by or
referred to in this Security Agreement, to the extent such terms and provisions
are referenced, or are incorporated by reference, into this Security Agreement
only as long as the Company or the Credit Agent shall have provided a copy of
any such document or agreement to the Collateral Agent.

            (m) Business Qualification. Nothing in this Security Agreement shall
be deemed to impose on the Collateral Agent any duty to qualify to do business
in any jurisdiction, other than (i) any jurisdiction where any Collateral
documents are or may be held by the Collateral Agent from time to

                                     - 18 -

<PAGE>

time hereunder, and (ii) any jurisdiction where its ownership of property or
conduct of business requires such qualification and where failure to qualify
could have a material adverse effect on the Collateral Agent or its property or
business or on the ability of the Collateral Agent to perform it duties
hereunder.

            (n) Verification of Signatures. Under no circumstances shall the
Collateral Agent be obligated to verify the authenticity of any signature on any
of the documents received or examined by it in connection with this Security
Agreement or the authority or capacity of any person to execute or issue such
document.

            (o) Verification of Payment. The Collateral Agent shall have no duty
to ascertain whether or not any cash amount or payment has been received by the
Company, the Credit Agent or any third person.

            (p) Collateral Agent Expenditures. No provision of this Security
Agreement shall require the Collateral Agent to expend or risk its own funds or
otherwise incur any financial liability in the performance of any of its duties
hereunder or in the exercise of any of its rights and powers, if, in its sole
judgment, it shall believe that repayment of such funds or adequate indemnity
against such risk or liability is not assured to it.

            (q) Merger or Consolidation. Any entity into which the Collateral
Agent may be merged or converted or with which it may be consolidated, or any
entity resulting from any merger, conversion or consolidation to which the
Collateral Agent shall be a party, or any entity succeeding to the business of
the Collateral Agent, shall be the successor of the Collateral Agent hereunder,
without the execution or filing of any paper or any further act on the part of
any of the parties hereto, anything herein to the contrary notwithstanding.

            (r) Affiliates. The Company and the Credit Agent agree that the
Collateral Agent may execute any of its duties under this Security Agreement
through any of its agents, attorneys-in-fact, or Affiliates. Any such agent,
attorney-in-fact, or Affiliate (and such Affiliate's directors, officers, agents
and employees) which performs duties in connection with this Security Agreement
shall be entitled to the same benefits of the indemnification, waiver and other
protective provisions to which the Collateral Agent is entitled under this
Security Agreement. In particular, to the extent the Collateral Agent is
directed to or may exercise any rights or remedies with respect to this Security
Agreement or any other Credit Document, the Collateral Agent may appoint agents
to exercise any such rights or remedies on behalf of the Collateral Agent. The
Collateral Agent may also assign its rights and obligations under this
Agreement, in whole or in part, to any Affiliate; however, Collateral Agent
agrees to notify Company and Credit Agent of any such assignment.

            (s) Force Majeure. The Collateral Agent shall not be responsible for
delays or failures in performance resulting from acts beyond its control. Such
acts shall include, but not be limited to, acts of God, strikes, lockouts,
riots, acts or war or terrorism, epidemics, nationalization, expropriation,
currency restrictions, governmental regulations superimposed after the fact,
fire, communication line failures, computer viruses, power failures, earthquakes
or other disasters.

      20. Confidentiality. The Collateral Agent agrees to take normal and
reasonable precautions and exercise due care to maintain the confidentiality of
all non-public information provided to it by the Company or by any other party
on the Company's behalf in connection with this Security Agreement or the other
Credit Documents and agrees and undertakes that neither it nor any of its
Affiliates shall disclose any such information for any purpose or in any manner
other than pursuant to the terms contemplated by this Security Agreement or the
other Credit Documents. The Collateral Agent may

                                     - 19 -

<PAGE>

disclose such information (1) to any Secured Party, (2) at the request of any
regulatory authority or in connection with an examination of the Collateral
Agent or any of its Affiliates by any such authority, (3) pursuant to subpoena
or other court process, (4) when required to do so in accordance with the
provisions of any applicable law, (5) at the express direction of any other
governmental authority of any State of the United States of America or of any
other jurisdiction in which the Collateral Agent or any of its Affiliates
conducts its business, (6) to the Collateral Agent's or any of its Affiliates'
independent auditors, attorneys and other professional advisors, (7) if such
information has become public other than through disclosure by the Collateral
Agent or any of its Affiliates or any Lender, and (8) in connection with any
litigation involving the Collateral Agent or any of its Affiliates. The
Collateral Agent shall give the Company prior written notice of any disclosure
pursuant to clause (2), (3), (4) or (5) of the preceding sentence unless the
Collateral Agent is prohibited from doing so by the party requesting such
information. Notwithstanding the foregoing, the Company authorizes the
Collateral Agent to disclose to any lending institution proposed by the Company
to become a Lender under the Credit Agreement or any prospective or actual
Participants such financial and other information in its possession (i) which
has been delivered to the Collateral Agent pursuant to the Credit Documents or
which has been delivered to the Collateral Agent by the Company prior to
entering into the Credit Documents or (ii) which is reasonably necessary to
effectuate the purposes of the Credit Agreement and this Security Agreement,
provided that unless otherwise agreed by the Company, such lending institution
or Participant shall agree in writing to keep such information confidential to
the same extent required of the Collateral Agent hereunder.

      21. Voting of Debtholders. In all cases in which this Security Agreement
requires the consent, approval or direction of the Required Lenders or all of
the Lenders with respect to any action, the Credit Agent shall be responsible
for determining whether the Lenders have given such consent, approval or
direction and shall notify the Collateral Agent thereof in writing. The
Collateral Agent shall be entitled to rely without independent verification upon
the information supplied by the Credit Agent with respect to any consent,
approval or direction of the Required Lenders (or all of the Lenders with
respect to actions which require unanimous approval of the Lenders).

      22. Binding Upon Successors. All rights of the Collateral Agent and the
Secured Parties under this Security Agreement shall inure to the benefit of the
Collateral Agent and the Secured Parties and their successors and assigns. This
Security Agreement shall not be assignable by the Company without the consent of
all Lenders.

      23. Entire Agreement; Severability. This Security Agreement contains the
entire security agreement and collateral agency agreement with respect to the
Collateral among the Secured Parties and the Company and supersedes all prior
written or oral agreements and understandings relating thereto. All waivers by
the Company provided for in this Security Agreement have been specifically
negotiated by the parties with full cognizance and understanding of their
rights. If any of the provisions of this Security Agreement shall be held
invalid or unenforceable, this Security Agreement shall be construed as if not
containing such provisions, and the rights and obligations of the parties hereto
shall be construed and enforced accordingly.

      24. Choice of Law. This Security Agreement shall be construed in
accordance with and governed by the laws of the State of Illinois. Where
applicable and except as otherwise defined herein, terms used herein shall have
the meanings given them in the Illinois Uniform Commercial Code.

      25. Place of Business; Records. The Company represents and warrants that
its principal place of business and chief executive office is at the address set
forth beneath its signature below, and that its books and records concerning the
Collateral are kept at its principal place of business and chief

                                     - 20 -

<PAGE>

executive office. The Company shall not change its principal place of business
and chief executive office without 30 days' prior written notice to the Credit
Agent and the Collateral Agent.

      26. Notice. Except where instructions or notices are expressly authorized
elsewhere in this Security Agreement to be given by telephone or by other means
of transmission, all instructions, notices and other communications to be given
to any party hereto shall be in writing and shall be personally delivered or
sent by certified mail, postage prepaid, private delivery service or by
facsimile, and shall be deemed to be given for purposes of this Security
Agreement on the day (or at the time of day, if applicable) when actually
received by the intended party at its address or facsimile or telephone number
as set forth following its signature below (or as such party may specify to the
other parties in writing).

      27. Waiver of Jury Trial.

          EACH PARTY TO THIS SECURITY AGREEMENT HEREBY WAIVES TRIAL BY JURY IN
ANY JUDICIAL PROCEEDING INVOLVING, DIRECTLY OR INDIRECTLY, ANY MATTER (WHETHER
SOUNDING IN TORT, CONTRACT OR OTHERWISE) IN ANY WAY ARISING OUT OF, RELATED TO,
OR CONNECTED WITH ANY CREDIT DOCUMENT OR THE RELATIONSHIP ESTABLISHED
THEREUNDER.

          EXECUTED the day and year first above written.

                       PULTE MORTGAGE LLC

                       By: __________________________________________________
                       Name: David Bruining
                       Title: Senior Vice President and CFO

                       Address for Notices:

                       7475 South Joliet Street
                       Englewood, Colorado  80112
                       Attn:  Chief Financial Officer
                       Telephone No.: (303) 493-2900
                       Facsimile No.: (303) 493-4900

                       JPMORGAN CHASE BANK, N.A., a national banking
                       association, as Credit Agent

                       By: _________________________________________________
                       Name: R. Britt Langford
                       Title: Senior Vice President

                       Address for notices:

                       707 Travis Street, 6N91
                       Houston, TX  77002
                       Attn: R. Britt Langford, Senior Vice President

                                     - 21 -

<PAGE>

                       Telephone No.: (713) 216-2301
                       Facsimile No.: (713) 216-1567

                                     - 22 -

<PAGE>

                      LASALLE BANK NATIONAL ASSOCIATION, as Collateral Agent

                      By:________________________________
                      Name: _____________________________
                      Title: ____________________________

                      Address for Notices:

                      ___________________________________
                      ___________________________________
                      ___________________________________
                      Attn: _____________________________
                      Phone: ____________________________
                      Fax: ______________________________

                                     - 23 -

<PAGE>

                             EXHIBITS AND SCHEDULES
                                       TO
                               SECURITY AGREEMENT

<TABLE>
<CAPTION>
SCHEDULE                                DOCUMENT
--------          --------------------------------------------------------------
<S>               <C>
   A              Required Mortgage Documents

   B              Additional Required Mortgage Documents

   C              Form of Borrowing Base Report
</TABLE>

<TABLE>
<CAPTION>
EXHIBIT                                 DOCUMENT
--------          --------------------------------------------------------------
<S>               <C>
  1               Required Review Steps

  2               Form of Company Trust Receipt

  3.A             Form of Gestation Request

  3.B             Form of Shipping Request

  4               Form of Whole Loan Sale Transmittal Letter

  5               Form of Warehouse-Related MBS Transmittal

  6               Form of Custodial Agreement

  7               Form of Collateral Transmittal - Initial Mortgage Information
</TABLE>

                                     - 24 -

<PAGE>

                                                                      SCHEDULE A
                                                           TO SECURITY AGREEMENT

                           REQUIRED MORTGAGE DOCUMENTS

1.    Original of mortgage note executed in favor of the Company (with a
      complete series of endorsements from the original payee thereof, through
      any subsequent holders to the Company if purchased by the Company) and
      endorsed by an authorized signatory of the Company in blank.

2.    Recorded Mortgage or deed of trust securing the above mortgage note. In
      lieu of a recorded document, the Collateral Agent may accept a copy
      certified as being out for recordation by the escrow company, title
      insurance company or closing agent, or an authorized signatory of the
      Company.

3.    Assignment of the mortgage or deed of trust by the Company or the Mortgage
      Electronic Registration Service as nominee of the Company (in such
      capacity, "MERS") in blank as to the identity of the assignee, which must
      be an original and must be in recordable form, together with the original
      or a copy, certified by the records office or escrow or title insurance
      company or the Company or MERS (in the case of a copy), of a proper
      assignment or assignments (including any interim assignments) of the
      related mortgage or deed of trust from the original holder, through any
      subsequent transferees, to the Company or MERS and, if any, all powers of
      attorney (certified copy) related to such documents. Notwithstanding the
      foregoing, the Company shall not be required to deliver such a blank
      assignment containing the specific information regarding the related
      mortgage or deed of trust needed for recordation for any mortgage or deed
      of trust held by MERS so long as the Company has delivered to and
      maintains with the Collateral Agent (A) a supply of not less than 3,500
      executed, non-specific assignments which have blanks for the insertion of
      such specific information regarding the assigned mortgage or deed of trust
      (or any greater amount of such assignments that the Collateral Agent may
      require by written notice to the Company if the volume of the Company's
      mortgages registered with MERS materially increases) and (B) an
      irrevocable power-of-attorney executed by the Company (pursuant to
      appropriate corporate resolution of MERS) authorizing the Collateral Agent
      to insert all such specific information into such assignments on behalf of
      the Company.

                                     - 25 -

<PAGE>

                                                                      SCHEDULE B
                                                           TO SECURITY AGREEMENT

                     ADDITIONAL REQUIRED MORTGAGE DOCUMENTS

1.    The original recorded mortgage or deed of trust securing the mortgage
      note.

2.    Evidence of fire and extended coverage insurance in an amount not less
      than the highest of the following: (a) the amount of the Mortgage Loan,
      (b) 90% of the insurable value of the improvements, and (c) an amount
      sufficient to prevent co-insurance. The Collateral Agent reserves the
      right to obtain a loss payable endorsement in its favor if it so desires.

3.    Evidence of Notice to Customer required by the federal Truth-in-Lending
      Law and Federal Reserve Regulation Z.

4.    In the case of an FHA mortgage note, an FHA insurance certificate or a
      commitment to deliver such; in the case of a VA mortgage note, a VA
      guaranty certificate or a commitment to deliver such; and in the case of a
      conventional mortgage note, an appraisal.

5.    In the case of a conventional mortgage note with a loan-to-value ratio in
      excess of 80%, the applicable private mortgage insurance policy.

6.    A certified copy of the preliminary policy of or commitment for title
      insurance insuring the mortgage or deed of trust as a first lien or second
      lien, as applicable, on the property subject thereto written by a title
      company and in amount and containing exceptions satisfactory to the
      Collateral Agent.

7.    Evidence of certificate of completion, as appropriate under the
      circumstances.

8.    A copy, certified by the title insurance company or the closing agent, of
      all applicable and necessary powers-of-attorney and assumed name
      certificates.

9.    Other documentation as the Collateral Agent or Credit Agent may reasonably
      deem appropriate.

10.   Documentation necessary to fulfill requirements of the Approved Investor
      Commitments.

11.   Such additional documents as may be necessary in the good faith opinion of
      the Collateral Agent to transfer to the Collateral Agent, for the benefit
      of the Secured Parties, the title to any Collateral pledged and/or
      hypothecated pursuant to the Security Agreement.

                                     - 26 -

<PAGE>

                                                                      SCHEDULE C
                                                           TO SECURITY AGREEMENT

                       FORM OF BORROWING BASE CERTIFICATE

                                     - 27 -

<PAGE>

                                                                       EXHIBIT 1
                                                           TO SECURITY AGREEMENT

                              REQUIRED REVIEW STEPS

1.    All submitted documents, are consistent with the related Collateral
      Transmittal as to borrower name, loan face amount, loan type and the
      Company's loan number.

2.    The note and mortgage/deed of trust each bears an original signature or
      signatures which appear to be those of the person or persons named as the
      maker and mortgagor/trustor, or, in the case of a certified copy of the
      mortgage/deed of trust, such copy bears what appears to be a reproduction
      of such signature or signatures.

3.    Except for (a) the endorsement to the Company of the note in the event
      such loan was purchased by the Company and (b) the endorsement in blank of
      the note by an authorized signatory of the Company, neither the note, the
      mortgage/deed of trust, nor the assignment(s) of the mortgage/deed of
      trust contain any irregular writings which appear on their face to affect
      the validity of any such endorsement or to restrict the enforceability of
      the document on which they appear.

4.    The note is endorsed in blank by an authorized signatory of the Company.

5.    The assignment of the mortgage/deed of trust (or, if such mortgage/deed of
      trust is covered by a supply of non-specific assignments as permitted
      under Schedule A to the Security Agreement, each such non-specific
      assignment) bears an original signature of an authorized officer of the
      Company, based on the current list of such officers supplied by the
      Company, or an original signature of an officer of the Company authorized
      by MERS, as nominee of the Company, to sign on behalf of MERS, based on
      the corporate resolution of MERS which appointed such officers of the
      Company for such purpose (a copy of such resolution having been provided
      by the Company).

6.    Such other review steps as the Collateral Agent, in its sole discretion,
      deems appropriate.

                                     - 28 -

<PAGE>

EXHIBIT 2

                                                           TO SECURITY AGREEMENT

                          FORM OF COMPANY TRUST RECEIPT

                                                           _______________, 20__

      The undersigned, PULTE MORTGAGE LLC, a Delaware limited liability company
(the "Company"), acknowledges receipt from LASALLE BANK NATIONAL ASSOCIATION,
acting as agent, bailee and custodian (in such capacity "Collateral Agent") for
the exclusive benefit of the Secured Parties pursuant to the Security Agreement
(as those terms and capitalized terms not otherwise defined herein are defined
in that certain Sixth Amended and Restated Revolving Credit Agreement dated as
of May ___, 2006, among the Lenders, the Company and JPMorgan Chase Bank, N.A.,
as Agent (as amended from time to time, the "Credit Agreement") of the following
described documentation for the identified Mortgage Loans (the "Collateral
Documents"), possession of which is herewith entrusted to the Company solely for
the purpose of correcting documentary defects relating thereto:

<TABLE>
<CAPTION>
                                                                  Loan Document
Borrower Name           Loan Number          Note Amount            Delivered
-------------           -----------          -----------          -------------
<S>                     <C>                  <C>                  <C>
</TABLE>

      It is hereby acknowledged that a security interest pursuant to the
Illinois Uniform Commercial Code in the Collateral hereinabove described and in
the proceeds of said Collateral has been granted to Collateral Agent for the
benefit of the Secured Parties pursuant to the Security Agreement.

      In consideration of the aforesaid delivery by Collateral Agent, the
Company hereby agrees to hold said Collateral in trust for Collateral Agent on
behalf of the Secured Parties as provided under and in accordance with all
provisions of the Security Agreement and to return said Collateral to Collateral
Agent no later than the close of business on the fifteenth Business Day
following the date hereof. The Company represents and warrants that the
aforesaid delivery by the Collateral Agent shall not cause the aggregate amount
outstanding under the Credit Agreement to exceed the Borrowing Base or cause any
violation of any other provision of the Credit Agreement.

                       PULTE MORTGAGE LLC, a Delaware limited liability company

                       By:_____________________________________________________
                       Name: __________________________________________________
                       Title:__________________________________________________

                                     - 29 -

<PAGE>

                                                                     EXHIBIT 3.A
                                                           TO SECURITY AGREEMENT

                            FORM OF GESTATION REQUEST

Date:_______________

LaSalle Bank National Association
as Collateral Agent

_________________________________
_________________________________

Attention:  ___________________

This letter is to serve as authorization for you to endorse the following loans:

Loan Number             Borrower Name                      Note Amount

under Commitment #__________ (the "Commitment") from an Approved Investor as
follows:

Please endorse the notes as follows:

                    PULTE MORTGAGE LLC, a Delaware limited liability company

                    By:________________________________
                    Name:______________________________
                    Title:_______________________________

             ELECTION FOR INCLUSION IN THE GESTATION BORROWING BASE

Pursuant to that certain Fifth Amended and Restated Security and Collateral
Agency Agreement dated as of May ___, 2006 (as amended from time to time, the
"Security Agreement") by and among LaSalle Bank National Association (the
"Collateral Agent"), JPMorgan Chase Bank, N.A., and Pulte Mortgage LLC (the
"Company"), by checking any of the items below, the Company hereby requests the
Collateral Agent to include the Mortgage Loans identified in this request in
Gestation Collateral for the computation of the Gestation Borrowing Base upon
the Collateral Agent's receipt of the following Federal Agency schedule(s) from
the Company listing such Mortgage Loans, and which have been completed and
executed by the Collateral Agent as pool custodian:

[ ] FNMA Schedule of Mortgages (Form 2005).

[ ] GNMA Schedule of Pooled Mortgages (HUD Form 11706).

[ ] FHLMC Custodial Certification Schedule (Form 1034).

                                     - 30 -

<PAGE>

[ ] FHLMC Mortgage Loan Submission Schedule (Form 11)

We hereby certify that an Approved Investor Commitment for the Mortgage Loans to
be included in the Gestation Collateral pursuant hereto is in effect.

                     PULTE MORTGAGE LLC, a Delaware limited liability company

                     By:____________________________________
                     Name:__________________________________
                     Title: ________________________________

                                     - 31 -

<PAGE>

                                                                     EXHIBIT 3.B
                                                           TO SECURITY AGREEMENT

                            FORM OF SHIPPING REQUEST

Date:_______________

LaSalle Bank National Association
as Collateral Agent
______________________________
______________________________

Attention: ________________

This letter is to serve as authorization for you to endorse and ship the
following loans:

Loan Number            Borrower Name                               Note Amount

to the following address under Commitment #__________ (the "Commitment") from an
Approved Investor as follows:

NAME:
ADDRESS:

ATTENTION:

Please endorse the notes as follows:

Please ship the loan documents either by ____________________ or by such other
courier service as we have designated to you as "approved". The courier shall
act as an independent contractor bailee acting solely on your behalf as
Collateral Agent for the Secured Parties (as defined in that certain Fifth
Amended and Restated Security and Collateral Agency Agreement dated as of May
___, 2006, as the same may be amended, extended or replaced from time to time),
but we acknowledge and agree that you are not responsible for any delays in
shipment caused by courier or any other actions or inactions of the courier,
including, without limitation, any loss of any loan documents; however, because
the Commitment expires on _______________, 200_, we ask that you deliver the
loan documents to the courier no later than _______________, 200_.

Please have the courier bill us by using our acct #__________. If you should
have any questions, or should feel the need for additional documentation, please
do not hesitate to call _______________.

                      PULTE MORTGAGE LLC, a Delaware limited liability company

                      By:___________________________________________________
                      Name: ________________________________________________
                      Title: _______________________________________________

                                     - 32 -

<PAGE>

                                                                       EXHIBIT 4
                                                           TO SECURITY AGREEMENT

(Direct Investor)
Date:____________
Name of Delivery Service:____________________________________
Airbill No.:____________________

                   FORM OF WHOLE LOAN SALE TRANSMITTAL LETTER
                        [LETTERHEAD OF COLLATERAL AGENT]

[Approved Investor]
_________________________
_________________________

       Re:      Pulte Mortgage LLC; Pulte Funding, Inc.
                Sale of Mortgage Loans

       Attached please find those Mortgage Loans listed separately on the
attached schedule, which Mortgage Loans are owned by PULTE MORTGAGE LLC ("PMC")
and/or PULTE FUNDING, INC. ("PFI") and are being delivered to you for purchase.

The Mortgage Loans comprise a portion of the collateral under that certain Sixth
Amended and Restated Revolving Credit Agreement dated as of May __, 2006 by and
among PMC, JPMorgan Chase Bank, N.A., as Agent, and the lenders named therein
and that certain Second Amended and Restated Loan Agreement dated as of August
19, 2005, as amended, among PMC, PFI, JPMorgan Chase Bank, N.A., Calyon New York
Branch and others (collectively, the "Secured Parties"). Each of the Mortgage
Loans is subject to a security interest in favor of the undersigned (the
"Collateral Agent") on behalf of the Secured Parties, which security interest
shall be automatically released upon your remittance of the full amount of the
purchase price of such Mortgage Loans (as set forth on the schedule attached
hereto) by wire transfer to the following account:

                         WIRE INSTRUCTIONS TO CASH AND COLLATERAL ACCOUNT

                                       JPMorgan Chase Bank, N.A.
                                       ABA 021-000-21
                                       DDA# 1928368
                                       Ref: Pulte

       Pending your purchase of each Mortgage Loan and until payment therefor is
received, the aforesaid security interest therein will remain in full force and
effect, and you shall hold possession of such Collateral and the documentation
evidencing same as custodian, agent and bailee for and on behalf of the Secured
Parties. In the event any Mortgage Loan is unacceptable for purchase, return the
rejected item directly to the Collateral Agent at the address set forth below.
The Mortgage Loan must be so returned or sales proceeds remitted in full no
later than forty-five (45) calendar days from the date hereof. In no event shall
any Mortgage Loan be returned to or sales proceeds remitted to PMC or PFI. If
you are unable to comply with the above instructions, please so advise the
undersigned immediately.

                                     - 33 -

<PAGE>

       NOTE: BY ACCEPTING THE MORTGAGE LOANS DELIVERED TO YOU WITH THIS LETTER,
YOU CONSENT TO BE THE CUSTODIAN, AGENT AND BAILEE FOR THE SECURED PARTIES ON THE
TERMS DESCRIBED IN THIS LETTER. THE UNDERSIGNED, AS COLLATERAL AGENT, REQUESTS
THAT YOU ACKNOWLEDGE RECEIPT OF THE ENCLOSED MORTGAGE LOANS AND THIS LETTER BY
SIGNING AND RETURNING THE ENCLOSED COPY OF THIS LETTER TO THE UNDERSIGNED;
HOWEVER, YOUR FAILURE TO DO SO DOES NOT NULLIFY SUCH CONSENT.

                        Sincerely,

                        LaSalle Bank National Association, as Collateral Agent

                        By: ________________________________________
                        Title:______________________________________

                        Address: ___________________________________

                                 ___________________________________

                                 ___________________________________

      The undersigned each agrees to and acknowledges the terms of this letter
and, notwithstanding any contrary understanding with or instructions to you, the
addressee of this letter, each of the undersigned instructs you to act according
to the instructions set forth in this letter. These instructions cannot be
altered except by written instructions executed by Collateral Agent.

                    PULTE MORTGAGE LLC, a Delaware limited liability company

                    By: __________________________________________________
                    Name: ________________________________________________
                    Title: _______________________________________________

                    PULTE FUNDING INC., a Michigan corporation

                    By: __________________________________________________
                    Name: ________________________________________________
                    Title: _______________________________________________

ACKNOWLEDGEMENT OF RECEIPT

[Approved Investor]

By: __________________________________________________
Name: ________________________________________________

                                     - 34 -

<PAGE>

Title: _______________________________________________
Date: ________________________________________________

                                     - 35 -

<PAGE>

                                                                       EXHIBIT 5
                                                           TO SECURITY AGREEMENT
                                                                (Pool Formation)

              FORM OF WAREHOUSE-RELATED SECURITY TRANSMITTAL LETTER
                          [COLLATERAL AGENT LETTERHEAD]

Date:___________________

[Certificating Custodian]
_________________________
_________________________

       Re: Pulte Mortgage LLC;
           Shipment of Mortgage Loans for Pool Formation

      Attached please find those Mortgage Loans listed separately on the
attached schedule, which are owned by PULTE MORTGAGE LLC, a Delaware limited
liability company (the "Company") and are being delivered to you, as
custodian/trustee (the "Certificating Custodian"), for certification in
connection with the formation of a mortgage pool supporting the issuance of a
mortgage-backed security (the "Warehouse-Related Security") described as
follows: ______________________________.

      The Mortgage Loans comprise a portion of the Collateral under (and as the
term "Collateral" and capitalized terms not otherwise defined herein are defined
in) that certain Sixth Amended and Restated Revolving Credit Agreement dated as
of May __, 2006, by and among the Company, JPMorgan Chase Bank, N.A., as Agent,
and the Lenders named therein. Each of the Mortgage Loans is subject to a
security interest in favor of the undersigned ("Collateral Agent") for the
benefit of the Secured Parties, which security interest shall be automatically
released upon the issuance of the Warehouse-Related Security in accordance with
the terms of the prescribed GNMA, FNMA or FHLMC form enclosed herewith.

      Pending issuance of the Warehouse-Related Security, the aforesaid security
interest in each Mortgage Loan will remain in full force and effect, and you
shall hold such Collateral as custodian, agent and bailee for and on behalf of
the Secured Parties. In the event any Mortgage Loan is unacceptable for pool
formation, return the rejected item directly to the undersigned, as Collateral
Agent, at the address set forth below. Each Mortgage Loan must be so returned or
the Warehouse-Related Security issued no later than forty-five (45) calendar
days from the date hereof. In no event shall any Mortgage Loan be returned to or
proceeds relating thereto be remitted to the Company. If you are unable to
comply with the above instructions, please so advise the undersigned
immediately.

      NOTE: BY ACCEPTING THE MORTGAGE LOANS DELIVERED TO YOU WITH THIS LETTER,
YOU CONSENT TO BE THE CUSTODIAN, AGENT AND BAILEE FOR THE SECURED PARTIES ON THE
TERMS DESCRIBED IN THIS LETTER. THE UNDERSIGNED, AS COLLATERAL AGENT, REQUESTS
THAT YOU ACKNOWLEDGE RECEIPT OF THE ENCLOSED MORTGAGE LOANS AND THIS LETTER BY
SIGNING AND RETURNING THE

                                     - 36 -

<PAGE>

ENCLOSED COPY OF THIS LETTER TO THE UNDERSIGNED; HOWEVER, YOUR FAILURE TO DO SO
DOES NOT NULLIFY SUCH CONSENT.

                         Sincerely,

                         LASALLE BANK NATIONAL ASSOCIATION, as Collateral Agent

                         By: __________________________________________
                         Title: _______________________________________

                         Address: _____________________________________
                                  _____________________________________
                                  _____________________________________

ACKNOWLEDGEMENT OF RECEIPT

[Certificating Custodian]

By:__________________________________________
Name:________________________________________
Title:_______________________________________

Date: _______________________________________

                                     - 37 -

<PAGE>

                                                                       EXHIBIT 6
                                                           TO SECURITY AGREEMENT

                           FORM OF CUSTODIAL AGREEMENT
                     (With Operating Instructions Attached)

                                                             ___________, 200___

_____________________________
_____________________________
_____________________________

       Re: Pulte Mortgage LLC

Ladies and Gentlemen:

      The undersigned, LaSalle Bank National Association (the "Collateral
Agent") acts in the capacity as Collateral Agent pursuant to: (1) that certain
Sixth Amended and Restated Revolving Credit Agreement dated as of May ___, 2006
(as amended from time to time, the "Credit Agreement", and as capitalized terms
not otherwise defined herein are used with the same meaning as in the Credit
Agreement) by and among PULTE MORTGAGE LLC (the "Company"), the lenders
participating therein (collectively, the "Lenders"), and JPMORGAN CHASE BANK,
N.A., as agent for the Lenders (the "Credit Agent"), and (2) that certain Fifth
Amended and Restated Security and Collateral Agency Agreement (the "Security
Agreement") dated concurrently therewith among the Collateral Agent, the
Company, and the Credit Agent.

      The Collateral Agent represents and confirms that it has the power and
authority under the Credit Agreement and the Security Agreement to execute this
Custodial Agreement. The Collateral Agent may execute any of its duties
hereunder by or through agents or attorneys-in-fact of whose appointment you
have been notified in writing.

      The Collateral Agent hereby appoints you and you hereby accept appointment
to act as agent, custodian and bailee for the benefit of the Secured Parties (as
defined in the Security Agreement) (in such capacity, the "Approved MBS
Custodian"). In such capacity, you agree to accept delivery only on a free basis
of certain mortgage-backed securities delivered to you from time to time
identified in a letter in the form attached hereto as Exhibit A (all such
mortgage-backed securities delivered to you and so identified being referred to
herein as "Subject Securities"). This Custodial Agreement governs your rights
and responsibilities as Approved MBS Custodian with respect to all Subject
Securities.

      The Collateral Agent hereby directs you, as Approved MBS Custodian, to
hold or dispose of Subject Securities deposited with you only in accordance with
the instructions of a person described as an "Authorized Collateral Agent
Representative" on a schedule from time to time delivered to you by the
Collateral Agent (the initial list of such persons being attached hereto as
Schedule I) or otherwise as expressly permitted hereunder, including without
limitation the Company's right to direct the sale or disposition of the Subject
Securities as described in the following paragraph. You are authorized, directed
and instructed to act upon all instructions from persons reasonably believed by
you to be

                                     - 38 -

<PAGE>

genuine and authorized. Any instruction given hereunder may, in your discretion,
be by telegraph, cable, facsimile or electronic communication which is received
by you.

      All Subject Securities are to be held by you in a custodial account
(Account No. __________) maintained with you (the "MBS Custodial Account").
Unless and until you have received written notice to the contrary from the
Collateral Agent at the direction of the Required Lenders (which notice may be
by facsimile transmission) following a Default, you may from time to time
deliver Subject Securities at the direction of the Company to, but only to,
Approved Investors (as listed on a schedule of "Approved Investors" delivered to
you from time to time by an Authorized Collateral Agent Representative) against
payment of the purchase price therefor. Notwithstanding the preceding sentence,
even after your receipt of notice from the Collateral Agent that a Default
exists, you may deliver Subject Securities at the direction of the Company, but
only to Approved Investors pursuant to then-existing Approved Investor
Commitments. The proceeds of the sale or other disposition of all Subject
Securities are to be held by you in an account (Account No. __________)
maintained with you (the "Custodian Settlement Account") and transferred by the
end of each Business Day an account maintained in the Company's name at JPMorgan
Chase Bank, N.A. and designated by the Credit Agent from time to time by notice
to you (the "Designated Account"). The initial Designated Account is as follows:

                          JPMorgan Chase Bank, N.A.
                          ABA 021-000-21
                          DDA# 1928368
                          Ref: Pulte

      By executing this Custodial Agreement the Company confirms and the
Collateral Agent and the Company notify you that the Company has assigned and
granted to the Collateral Agent and/or the Credit Agent a security interest in
and lien upon all now existing and hereafter arising right, title and interest
of the Company in the MBS Custodial Account, the Custodian Settlement Account
and the Designated Account and in any and all investments and proceeds at any
time held therein.

      You shall be under no duty to take or omit to take any action with respect
to Subject Securities, except as specifically set forth in this Agreement and
the Operating Instructions attached hereto as Exhibit B, unless specifically
otherwise directed by the Collateral Agent and agreed to by you in writing. In
the event that you shall be uncertain as to your duties or rights hereunder, you
shall be entitled to refrain from taking any action until you shall be directed
otherwise by an order of a court of competent jurisdiction. In case you should
agree to our request and on our behalf to appear in, prosecute or defend any
legal or equitable proceeding either in your own name or in the name of your
nominee, you shall first be indemnified to your satisfaction (other than against
your gross negligence and willful misconduct).

      By accepting delivery of any Subject Security, you shall be deemed to have
agreed to hold such Subject Security as Approved MBS Custodian hereunder, free
and clear of all liens, claims, interests and rights of offset in your favor or
in favor of persons claiming through you. You may accept certified checks in
payment for Subject Securities delivered on the Company's instruction and you
shall not be responsible for the risks of collectability of any such checks. YOU
ARE HEREBY IRREVOCABLY INSTRUCTED BY THE COMPANY AND THE COLLATERAL AGENT THAT
ALL PROCEEDS RECEIVED FROM THE SALE OR OTHER DISPOSITION OF SUBJECT SECURITIES,
UNTIL OTHERWISE NOTIFIED IN WRITING BY THE CREDIT AGENT, SHALL BE WIRED TO THE
DESIGNATED ACCOUNT AS PROVIDED ABOVE.

                                     - 39 -

<PAGE>

      You will provide to the Collateral Agent and the Credit Agent on a daily
basis at or before 9:30 a.m. (Chicago time) a report of the prior day's activity
with respect to the MBS Custodial Account and the Custodian Settlement Account.

      You shall not be liable or accountable for any act or omission of brokers,
dealers or agents in connection with this Custodial Agreement. In carrying out
your duties hereunder, you may use such methods or agencies as you determine in
your sole discretion, including your own facilities.

      You shall maintain regular business records documenting all instructions
transmitted to you through any authorized means and any response by you. You are
authorized to electronically record any telephone communications with the
Company or the Collateral Agent or Credit Agent arising out of this Custodial
Agreement. Your records shall be determinative of the form, content and time of
all the Company's and Collateral Agent's and Credit Agent's instructions and any
response from you. The record of each instruction and any response thereto shall
be retained by you for at least ninety (90) days following the date of the
instruction. Any claim against you for failure to properly follow an instruction
transmitted by the Company or the Collateral Agent or Credit Agent must be made
in writing and received by you within ninety (90) days after the date such
instruction was received by you.

      You shall give the Subject Securities that come into your possession under
this Custodial Agreement the same physical care and safeguards as are afforded
similar property owned by you; provided, however, your responsibility hereunder
is limited to losses occasioned directly by the gross negligence or willful
misconduct of your employees, to the extent of the market value of the Subject
Securities at the date of the discovery of such loss. With respect to any
Subject Securities which you deliver for us to a third party, and with respect
to such delivery, you shall be deemed no more than an "intermediary" as
referenced in Section 8-306(3) of the New York Uniform Commercial Code, and the
only warranty given by you shall be the warranty provided in said Section
8-306(3). In no event shall you be liable for any indirect, special or
consequential loss, even if you have been advised of the possibility of such
loss. You may, at your option, make arrangements for insuring yourselves against
loss from any cause, but you shall not be under any obligation to insure for our
benefit.

      None of the Subject Securities held in the MBS Custodial Account, the
funds held at any time in the Custodian Settlement Account, the Subject
Securities or any proceeds of the sale or other disposition thereof will be
subject to any right, charge, security interest, lien, encumbrance or claim of
any kind in your or your creditors' favor. Any claims for the payment of fees
with respect to the safe custody or administration of Subject Securities or for
compensation, expenses, commitments made by you upon instructions of the
Collateral Agent, or the Credit Agent, reimbursement of taxes incurred by you
for the account of the Collateral Agent or Credit Agent, any penalties incurred
by or levied or assessed against you resulting from the Collateral Agent's or
Credit Agent's improper or incorrect instructions, or other liabilities of the
Collateral Agent or Credit Agent to you, and for indemnity against any claim or
liability to which you are subjected by reason of any registration of Subject
Securities shall be enforceable solely against the Company and none of the
Collateral Agent, the Credit Agent or any Secured Party shall have any
responsibility therefor (except to the extent any of the foregoing are due to
the gross negligence or willful misconduct of the Collateral Agent, the Credit
Agent or any Secured Party, as applicable). The Collateral Agent and the Company
agree to make no claim against you except for any such claims or liabilities
arising, or claimed to have arisen, as a result of your gross negligence or
willful misconduct.

      The Operating Instructions attached hereto are hereby made part hereof and
any and all capitalized terms defined herein shall have the same meaning when
used therein.

                                     - 40 -

<PAGE>

      This Custodial Agreement contains the whole of the understanding between
you and the Collateral Agent concerning the subject matter hereof and no
provision hereof shall be modified or altered except in a writing signed by both
you and the Collateral Agent.

      This Custodial Agreement shall be governed by the laws of the State of New
York and shall be binding upon the Collateral Agent and upon its successors and
assigns and shall inure to your benefit and your successors and assigns and
shall be deemed continuing until terminated by either the Collateral Agent or
you upon at least ninety (90) days prior written notice to the other.

      This letter is made in triplicate and will become an agreement between you
and the Collateral Agent upon your acceptance hereof in the space provided below
at your offices in the State of New York.

                     LASALLE BANK NATIONAL ASSOCIATION, as Collateral Agent

                     By: _______________________________________________
                     Name:______________________________________________
                     Title:_____________________________________________

AGREED TO AND ACCEPTED:

_______________________________,
as Approved MBS Custodian

By: _______________________________________________
Name:______________________________________________
Title:_____________________________________________

                        ACKNOWLEDGEMENT AND AUTHORIZATION

      The Company approves the foregoing Custodial Agreement and authorizes the
Approved MBS Custodian to act in accordance with the terms thereof. The Company
agrees to be bound by the terms of the Custodial Agreement (including all
Exhibits thereto) to the same extent as if a party thereto. The Company agrees
to indemnify the Approved MBS Custodian for, and hold the Approved MBS Custodian
harmless against, any loss, liability or expense in connection with, arising out
of or in any way related to the transaction contemplated and relationship
established by the Custodial Agreement, or any action or omission by the
Approved MBS Custodian in connection with the Custodial Agreement, or any agent,
broker or dealer employed by the Approved MBS Custodian hereunder, including the
reasonable costs and expenses incurred in defending any such claim of liability,
except that the Company shall not be liable for (i) any loss, liability or
expense that is determined by a judgment of a court of competent jurisdiction
that is binding on the Approved MBS Custodian, final and not subject to review
on appeal, to be the direct result of acts or omissions on the Approved MBS
Custodian's part

                                     - 41 -

<PAGE>

constituting gross negligence or willful misconduct, or (ii) any claim that is
based on the Approved

                                     - 42 -

<PAGE>

MBS Custodian's warranty as provided in Section 8-306(3) of the New York Uniform
Commercial Code.

                     PULTE MORTGAGE LLC, a Delaware limited liability company

                     By: _______________________________________________
                     Name:______________________________________________
                     Title:_____________________________________________

                                     - 43 -

<PAGE>

                                                                       EXHIBIT A
                                                          TO CUSTODIAL AGREEMENT

                    FORM OF LETTER TO APPROVED MBS CUSTODIAN

To:  _________________________,
  as Approved MBS Custodian

Re: Pulte Mortgage LLC;
    Custodial and Collateral Agency Instructions

Ladies and Gentlemen:

      Reference is made to the attached schedule relating to a
letter/certification to a transfer agent/trustee for the issuance of the
Security described more particularly therein, which Security is supported by a
pool of residential mortgage loans and/or mortgage-backed securities including
mortgage loans and/or mortgage-backed securities in which the undersigned as
collateral agent (in such capacity, the "Collateral Agent"), acting under that
certain Fifth Amended and Restated Security and Collateral Agency Agreement
dated as of May ____, 2006, as amended, extended or replaced from time to time,
holds a first priority perfected security interest. The attached schedule is (i)
Delivery Schedule Form 11705 in the case of GNMA Securities, (ii) Delivery
Schedule Form 996 in the case of FHLMC Securities, (iii) Delivery Schedule Form
2014 in the case of FNMA Securities, or (iv) a form containing substantially
similar information in the case of any other Securities. Pursuant to the
letter/certification, the transfer agent/trustee has been instructed to deliver
such Security to you. You are hereby notified that the Collateral Agent and the
Secured Parties named therein have a first perfected security interest in the
Security and in all proceeds of the sale or other disposition thereof and in all
accounts into which said proceeds may be deposited.

      This letter will confirm your agreement to hold such Security as a
"Subject Security" under and on terms and conditions set forth more particularly
in that certain Custodial Agreement, dated as of _______________, 200_ between
you and the Collateral Agent.

                         Very truly yours,

                         LASALLE BANK NATIONAL ASSOCIATION, as Collateral Agent

                         By:________________________________

      The undersigned agrees to and acknowledges the terms of this letter and,
notwithstanding any contrary understanding with or instructions to you, the
addressee of this letter, the undersigned instructs you to act according to the
instructions set forth in this letter. These instructions cannot be altered
except by written instructions executed by Collateral Agent.

                                     - 44 -

<PAGE>

                    PULTE MORTGAGE LLC, a Delaware limited liability company

                     By: _______________________________________________
                     Name:______________________________________________
                     Title:_____________________________________________

                                     - 45 -

<PAGE>

                                                                       EXHIBIT B
                                                          TO CUSTODIAL AGREEMENT

                             OPERATING INSTRUCTIONS

      These Operating Instructions are attached to and made a part of the
Custodial Agreement between LaSalle Bank National Association and
___________________, dated as of _______________, 200_ (as amended from time to
time, the "Custodial Agreement"). Terms defined therein shall have their same
meanings when used herein.

      1. From time to time GNMA, FNMA and FHLMC Subject Securities will be
issued at the request of the Company and credited to your account with The
Federal Reserve Bank of New York ("FRBNY") (in the case of FNMA and FHLMC
Subject Securities) or your account with the Participants Trust Company ("PTC")
(in the case of GNMA Subject Securities) (in each case, to be held by you for
the account of the Collateral Agent) in accordance with the Code of Federal
Regulations (in the case of FNMA and FHLMC Subject Securities) or the rules of
PTC (in the case of GNMA Subject Securities). Upon your receipt of confirmation
that such Subject Securities have been deposited into your account with FRBNY
(in the case of FNMA and FHLMC Subject Securities) or your account with PTC (in
the case of GNMA Subject Securities), you shall promptly issue to the Collateral
Agent and the Company your confirmation that (1) you have received such
confirmation of the Fedwire (in the case of FNMA and FHLMC Subject Securities,
which confirmation will include the number of Subject Securities deposited into
your account with FRBNY) or from PTC (in the case of GNMA Subject Securities),
(2) you have made appropriate entries on your books reflecting the interests of
the Company as beneficial owner and the Collateral Agent as secured party with
respect to such Subject Securities, and (3) there are no security interests or
any rights or claims of any third party in such Subject Securities in your favor
or known to you which have priority over the security interest of the Collateral
Agent in such Subject Securities. You shall have no obligation to ensure or
verify that Securities identified in transmittal letters (in the form of Exhibit
A to the Custodial Agreement) are in fact credited to your account(s), but you
shall be obligated only to report your actual receipt of Subject Securities to
the Collateral Agent and the Company in accordance with the provision of this
Instruction 1.

      2. With respect to the delivery or transfer of Subject Securities which
you hold for the account of the Collateral Agent, you are hereby authorized to
act only upon instructions from the Collateral Agent or, to the extent permitted
by the Custodial Agreement, by the Company. Upon notification to you by the
Collateral Agent at the direction of the Required Lenders following a Default,
no third party, including without limitation the Company, may direct you to make
any delivery or transfer of such Subject Securities other than Subject
Securities to be delivered pursuant to then-existing Approved Investor
Commitments.

      3. The proceeds of redemptions, collections and other receipts, including
dividend and interest income, shall be credited to the Custodial Settlement
Account upon collection or payment.

      4. You are to notify the Collateral Agent and the Company upon receipt of
notice by you of any call for conversion, redemption, subscription rights or
similar proceeding affecting the Subject Securities held in the relevant account
(any of the foregoing being referred to herein as "Account Proceedings"), and
shall take such action in respect thereof as you may be directed in writing by
the Collateral Agent; provided, however, that you shall have no duty or
responsibility to notify the

                                     - 46 -

<PAGE>

Company or the Collateral Agent of any Account Proceedings which do not appear
in The Wall Street Journal (New York Edition), Financial Daily Called Bond
Service, The Kenney Services or official notifications from the Depository Trust
Company or such other publications which you may deem reasonable from time to
time. All solicitation fees payable to you as agent in connection with such
event will be retained by you unless specifically agreed to the contrary by you.

      5. You are authorized and empowered in the name and on behalf of the
Collateral Agent and the Company to execute any certificates of ownership or
other reports which you are or may hereafter be required to execute and furnish
under any regulation of the Internal Revenue Service, or other authority of the
United States, insofar as the same are required in connection with any property
which is now or may hereafter be in your possession by virtue of the Custodial
Agreement and these Operating Instructions, claiming no exemptions on behalf of
the Collateral Agent or the Company. In the preparation of such reports, the
status of the Collateral Agent is to be described as a bank, trust company or
financial institution, as the case may be, domiciled in the United States. The
Collateral Agent agrees to notify you immediately in writing of any change in
such status.

      6. All mail communications which are to be furnished or forwarded
hereunder to the Collateral Agent or the Company shall be addressed to such
party at the last address on your records, provided that in case you in your
sole discretion shall determine that an emergency exists, you may use such other
means of communication as you shall deem advisable.

      7. You are under no duty to supervise, recommend or advise the Collateral
Agent relative to the investment, purchase, sale, retention or other disposition
of any property held hereunder unless specifically provided for by the Custodial
Agreement.

      8. With respect to any direction to receive securities in transactions not
placed through you, you shall have no duty or responsibility to advise the
Company of non-receipt, or to take any steps to obtain delivery of securities
from any brokers or dealers. All dealer concessions made to you will be retained
by you unless specifically agreed to the contrary by you.

      9. Notwithstanding anything herein to the contrary, unless instructions
are received from the Collateral Agent, specifying a different destination than
the address listed on your records for the Collateral Agent, within ten (10)
days of the receipt of any termination notice, you shall have the right to
transfer all securities and other property held by you or any depositary in
connection with the Custodial Agreement or registered in your name to the
Collateral Agent at the address listed on your records.

                                     - 47 -

<PAGE>

                                                                      SCHEDULE I
                                                          TO CUSTODIAL AGREEMENT

                   AUTHORIZED COLLATERAL AGENT REPRESENTATIVES

                                     - 48 -

<PAGE>

                                                                       EXHIBIT 7
                                                           TO SECURITY AGREEMENT

             COLLATERAL TRANSMITTAL -- INITIAL MORTGAGE INFORMATION*

1.  CUSTOMER NAME ____________________________________________

2.  LOAN NUMBER ______________________________________________

3.  MORTGAGOR ________________________________________________
                              SURNAME ONLY

4.  AP STATUS CODE ___________________________________________

5.  DEPOSIT DATE _____________________________________________

6.  ORIGINAL NOTE AMOUNT $____________________________________

7.  OUTSTANDING PRINCIPAL BALANCE (Investment Loans only) $______________

8.  ACQUISITION COST $________________________________________

9.  TAKE-OUT VALUE $__________________________________________

10. NOTE DATE ________________________________________________

11. NOTE RATE ________________________________________________

12. LOAN TYPE (i.e. a group category (e.g. GNMA 15, FNMA/FHLMC 30, etc.)
    set forth on Exhibit D to the Credit Agreement) _____________

13. FICO SCORE _______________________________________________

14. LIEN POSITION ____________________________________________

15. OCCUPIED STATUS __________________________________________

* Information may be reformatted for transmittal electronically. For
  Mortgage Loans pledged under the Prior Facility, Items 12 through 15 to be
  provided within 45 days after the Effective Date.

                                     - 49 -<PAGE>

                                                                   EXHIBIT 10(b)

              SIXTH AMENDED AND RESTATED REVOLVING CREDIT AGREEMENT

                                  by and among

                               PULTE MORTGAGE LLC,

                            THE LENDERS PARTY HERETO,

                                       and

                           JPMORGAN CHASE BANK, N.A.,
                             AS ADMINISTRATIVE AGENT

                                       And

                          J.P. MORGAN SECURITIES INC.,
                      AS LEAD ARRANGER AND SOLE BOOKRUNNER

                                       And

                       LASALLE BANK NATIONAL ASSOCIATION,
                               AS COLLATERAL AGENT

                            dated as of May __, 2006

<PAGE>

                                TABLE OF CONTENTS

<TABLE>
<S>                                                                                                            <C>
Article I DEFINITIONS.................................................................................          1
Article II THE CREDITS................................................................................         31
       2.1    Commitment, Sublimits and Types of Advances.............................................         31
       2.2    LIBOR Advances..........................................................................         33
       2.3    Buy Down Loans..........................................................................         33
       2.4    Swingline Advances......................................................................         33
       2.5    Fees....................................................................................         34
       2.6    Method of Requesting New Advances.......................................................         35
       2.7    Changes to Aggregate Commitment.........................................................         35
       2.8    Principal Payments......................................................................         36
       2.9    Changes in Interest Rate, etc...........................................................         37
       2.10   Rates Applicable After Default..........................................................         37
       2.11   Method of Payment.......................................................................         37
       2.12   Noteless Agreement; Evidence of Indebtedness............................................         37
       2.13   Telephonic Notices......................................................................         38
       2.14   Interest Payment Dates; Interest and Fee Basis..........................................         38
       2.15   Notification by the Agent...............................................................         38
       2.16   Lending Installations...................................................................         38
       2.17   Non-Receipt of Funds by the Agent.......................................................         39
Article III CHANGE IN CIRCUMSTANCES...................................................................         39
       3.1    Yield Protection........................................................................         39
       3.2    Changes in Capital Adequacy Regulations.................................................         40
       3.3    Availability of Types of Advances.......................................................         40
       3.4    Taxes...................................................................................         40
       3.5    Mitigation Obligations; Replacement of Lenders..........................................         41
Article IV CONDITIONS PRECEDENT; WITHHOLDING TAX EXEMPTION............................................         42
       4.1    Effectiveness...........................................................................         42
       4.2    Each Advance............................................................................         43
Article V REPRESENTATIONS AND WARRANTIES..............................................................         43
       5.1    Existence and Standing..................................................................         43
       5.2    Authorization and Validity..............................................................         44
       5.3    No Conflict; Government Consent.........................................................         44
       5.4    Financial Statements....................................................................         44
       5.5    Material Adverse Change.................................................................         44
       5.6    Taxes...................................................................................         44
       5.7    Litigation and Contingent Obligations...................................................         45
       5.8    Subsidiaries............................................................................         45
       5.9    ERISA...................................................................................         45
       5.10   Accuracy of Information.................................................................         45
       5.11   Regulation U............................................................................         45
       5.12   Material Agreements.....................................................................         45
       5.13   Compliance With Laws....................................................................         46
       5.14   Ownership of Properties.................................................................         46
       5.15   Plan Assets; Prohibited Transactions....................................................         46
       5.16   Investment Company Act..................................................................         46
       5.17   Public Utility Holding Company Act......................................................         46
       5.18   GNMA, FHA, VA, FNMA, and FHLMC Eligibility..............................................         46
       5.19   Approved Investor Commitments...........................................................         46
       5.20   Accuracy of Representations and Warranties..............................................         47
       5.21   No Defaults.............................................................................         47
       5.22   USA Patriot Act Notice..................................................................         47
Article VI COVENANTS..................................................................................         47
       6.1    Financial Reporting.....................................................................         47
</TABLE>

                                       i

<PAGE>

<TABLE>
<S>                                                                                                            <C>
       6.2    Use of Proceeds.........................................................................         49
       6.3    Notice of Default.......................................................................         49
       6.4    Conduct of Business.....................................................................         50
       6.5    Taxes...................................................................................         50
       6.6    Insurance...............................................................................         50
       6.7    Compliance with Laws....................................................................         50
       6.8    Maintenance of Properties...............................................................         50
       6.9    Inspection..............................................................................         51
       6.10   Dividends...............................................................................         51
       6.11   Intentionally Omitted...................................................................         51
       6.12   Merge...................................................................................         51
       6.13   Sale of Assets..........................................................................         51
       6.14   Investments and Acquisitions............................................................         51
       6.15   Liens...................................................................................         52
       6.16   Affiliates..............................................................................         54
       6.17   Financial Covenants.....................................................................         54
       6.18   Compliance with Security Agreement......................................................         54
       6.19   Recourse Servicing......................................................................         55
       6.20   Federal Agency Approvals................................................................         55
       6.21   Approved Investor Commitments...........................................................         55
       6.22   Negative Pledges........................................................................         55
       6.23   Keeping of Records and Books of Account.................................................         55
       6.24   Hedging Program.........................................................................         55
       6.25   Agreements to Pledge Mortgage Loans.....................................................         56
Article VII DEFAULTS..................................................................................         56
Article VIII COLLATERAL, ACCELERATION AND OTHER REMEDIES..............................................         58
       8.1    Security and Collateral Agency Agreement................................................         58
       8.2    AP Mortgages............................................................................         58
       8.3    Release of Collateral...................................................................         58
       8.4    Cash and Collateral Account; Settlement Account; Reconciliation Process.................         59
       8.5    Termination.............................................................................         60
       8.6    Acceleration............................................................................         60
       8.7    Other Remedies..........................................................................         60
       8.8    Application of Proceeds.................................................................         61
       8.9    Preservation of Rights..................................................................         62
       8.10   Actions Under Acknowledgement Agreements................................................         62
       8.11   Transition from Prior Facility..........................................................         63
Article IX AMENDMENTS; WAIVERS; GENERAL PROVISIONS....................................................         63
       9.1    Amendments and Waivers..................................................................         63
       9.2    Survival of Representations.............................................................         64
       9.3    Governmental Regulation.................................................................         64
       9.4    Headings................................................................................         64
       9.5    Entire Agreement........................................................................         64
       9.6    Several Obligations; Benefits of this Agreement.........................................         64
       9.7    Expenses; Indemnification...............................................................         64
       9.8    Nonliability of Lenders.................................................................         65
       9.9    Severability of Provisions..............................................................         65
       9.10   Numbers of Documents....................................................................         65
       9.11   Accounting..............................................................................         66
       9.12   Confidentiality.........................................................................         66
       9.13   Nonreliance.............................................................................         66
       9.14   Disclosure..............................................................................         67
Article X THE AGENT AND THE COLLATERAL AGENT..........................................................         67
       10.1   Appointment; Nature of Relationship.....................................................         67
</TABLE>

                                       ii

<PAGE>

<TABLE>
<S>                                                                                                            <C>
       10.2   Powers..................................................................................         67
       10.3   General Immunity........................................................................         67
       10.4   No Responsibility for Loans, Recitals, etc..............................................         67
       10.5   Action on Instructions of Lenders.......................................................         68
       10.6   Employment of Agents and Counsel........................................................         68
       10.7   Reliance on Documents; Counsel..........................................................         68
       10.8   Agent's Reimbursement and Indemnification...............................................         68
       10.9   Notice of Default.......................................................................         69
       10.10  Rights as a Lender......................................................................         69
       10.11  Lender Credit Decision..................................................................         69
       10.12  Successor Agent.........................................................................         69
       10.13  Delegation to Affiliates................................................................         70
       10.14  Collateral Releases.....................................................................         70
Article XI SETOFF; RATABLE PAYMENTS...................................................................         70
       11.1   Setoff..................................................................................         70
       11.2   Ratable Payments........................................................................         70
       11.3   Custodial Accounts......................................................................         70
Article XII ASSIGNMENTS; PARTICIPATIONS; COMMITMENT INCREASES.........................................         71
       12.1   Successors and Assigns..................................................................         71
       12.2   Participations..........................................................................         71
       12.3   Assignments.............................................................................         72
       12.4   Intentionally Omitted...................................................................         72
       12.5   Dissemination of Information............................................................         73
       12.6   Tax Treatment...........................................................................         73
Article XIII NOTICES..................................................................................         73
       13.1   Notices.................................................................................         73
       13.2   Change of Address.......................................................................         73
Article XIV COUNTERPARTS..............................................................................         73
Article XV CHOICE OF LAW, CONSENT TO JURISDICTION, WAIVER OF JURY TRIAL...............................         73
       15.1   CHOICE OF LAW...........................................................................         73
       15.2   CONSENT TO JURISDICTION.................................................................         74
       15.3   WAIVER OF JURY TRIAL....................................................................         74
RECITALS..............................................................................................         23
</TABLE>

                                      iii

<PAGE>

              SIXTH AMENDED AND RESTATED REVOLVING CREDIT AGREEMENT

      This SIXTH AMENDED AND RESTATED REVOLVING CREDIT AGREEMENT dated as of May
__, 2006 is among PULTE MORTGAGE LLC, a Delaware limited liability company (the
"Borrower"), the Banks identified on the signature pages hereof (together with
any successors and assigns thereof, hereinafter referred to individually as a
"Lender" and collectively as the "Lenders"), and JPMORGAN CHASE BANK, N.A., a
national banking association, as Administrative Agent for the Lenders.

                                    RECITALS

      Borrower, JPMorgan Chase Bank, N.A. (Individually and as Administrative
Agent) and the Lenders are party to that certain Fifth Amended And Restated
Revolving Credit Agreement dated as of June 30, 2004 (as amended, the "Prior
Agreement").

      The Borrower has requested that the termination date of the Prior
Agreement be extended and that certain changes be made to the Prior Agreement
and the Agent and the Lenders have agreed to do so.

      The Revolving Credit Facility made available to the Borrower pursuant to
this Agreement shall be used for residential mortgage loan origination and
acquisition, for mortgage servicing origination and for other general corporate
purposes. In consideration of the foregoing and for other good and valuable
consideration, the parties hereto agree as follows:

                                    ARTICLE I
                                   DEFINITIONS

      As used in this Agreement:

      "Acknowledgement Agreements" means, as of any date, acknowledgement
agreements executed by the Collateral Agent, the Borrower and FNMA or FHLMC
recognizing and consenting to any security interest subsequently created, at the
Borrower's sole election, in the Pledged Servicing.

      "Acquisition" means any transaction, or any series of related
transactions, consummated on or after the date of this Agreement, by which the
Borrower or any of its Subsidiaries (i) acquires any going business or all or
substantially all of the assets of any firm, corporation or limited liability
company, or division thereof, whether through purchase of assets, merger or
otherwise or (ii) directly or indirectly acquires (in one transaction or as the
most recent transaction in a series of transactions) at least a majority (in
number of votes) of the securities of a corporation which have ordinary voting
power for the election of directors (other than securities having such power
only by reason of the happening of a contingency) or a majority (by percentage
or voting power) of the outstanding ownership interests of a partnership or
limited liability company.

      "Additional Required Mortgage Documents" means the instruments and
documents described in Schedule B to the Security Agreement.

      "Advance" means a borrowing hereunder consisting of the aggregate amount
of the several Loans made on the same Borrowing Date.

<PAGE>

      "Affiliate" of any Person means any other Person directly or indirectly
controlling, controlled by or under common control with such Person. A Person
shall be deemed to control another Person if the controlling Person possesses,
directly or indirectly, the power to direct or cause the direction of the
management or policies of the controlled Person, whether through ownership of
stock, by contract or otherwise.

      "Affiliated Special Ventures" means entities which are Affiliates of the
Borrower engaged in the mortgage business and in which both the Borrower and
another Person have made equity Investments (e.g. a limited liability company
engaged in the mortgage banking business and owned in part by each of the
Borrower and an unrelated third party).

      "Agent" means JPMorgan Chase Bank, N.A., in its capacity as contractual
representative of the Lenders pursuant to Article X, and not in its individual
capacity as a Lender, and any successor Agent appointed pursuant to Article X.

      "Aggregate Commitment" means, as of any date, the aggregate of the
Lenders' then-current Commitments under this Agreement, as reduced or increased
from time to time in accordance with Section 2.7 of this Agreement. The
Aggregate Commitment as of the date hereof is $405,000,000, as shown on Schedule
1.

      "Aggregate Servicing Value" means, as of any date, an amount equal to (A)
the sum of (1) the then-current Servicing Take-Out Value of all Eligible
Mortgage Servicing Rights set forth in the most recent Servicing Rights
Certificate, plus (2) the then-current amount of Eligible Servicing Sale
Receivables set forth in the most recent Servicing Rights Certificate, minus (B)
the sum of the following, without duplication (1) any applicable reductions from
the total amount of the Take-Out Value of Eligible Mortgage Servicing Rights and
Eligible Sale Receivables set forth in (A) above which result from any payment
made on account of any Eligible Servicing Rights which are sold or the receipt
of any Eligible Servicing Sale Receivable if the applicable sold Eligible
Mortgage Servicing Rights or Servicing Sale Receivables are removed from the
Borrowing Base in accordance with Paragraph 6(c) of the Security Agreement, (2)
any applicable reductions in the amount of Take-Out Value of Eligible Mortgage
Servicing Rights set forth in (A) above which are set forth in a Servicing
Transfer Report, and (3) any applicable reductions in the amount of Take-Out
Value of Eligible Mortgage Servicing Rights and Eligible Sale Receivables set
forth in (A) above which are set forth in a Reduced Servicing Notice, plus (C)
any applicable increases in the amount of Eligible Sale Receivables described in
(A) above which are set forth in a Servicing Transfer Report; provided, however,
if the Agent or the Collateral Agent at any time determines that the amount of
the Servicing Take-Out Value of all Eligible Mortgage Servicing Rights or the
amount of Eligible Servicing Sale Receivables is less than the amount set forth
in (A) above and such discrepancy has not already been accounted for pursuant to
(B) above (e.g. because the Agent or the Collateral Agent has determined that
certain Pledged Servicing or Pledged Servicing Sale Receivables no longer meet
the applicable eligibility criteria, then the Agent or Collateral Agent, as
applicable, shall notify the Borrower of the amount by which the Servicing
Take-Out Value of all Eligible Mortgage Servicing Rights or the amount of
Eligible Servicing Sale Receivables, as applicable, should accordingly be
reduced, and the Servicing Take-Out Value of Eligible Mortgage Servicing Rights
or the amount of Eligible Servicing Sale Receivables, as applicable, shall be so
reduced.

      "Agreement" means this credit agreement, as it may be amended or modified
and in effect from time to time.

                                       2

<PAGE>

      "Agreement Accounting Principles" means GAAP, applied in a manner
consistent with that used in preparing the financial statements referred to in
Section 5.4.

      "Agreement to Pledge" means a written pledge substantially in the form of
Exhibit E to this Agreement executed by the Borrower and delivered by facsimile,
electronically or by another means acceptable to Agent and Borrower to the
Collateral Agent, specifically identifying all Mortgage Loans with respect to
which the Required Mortgage Documents are not being delivered on or before the
Pledge Date of such Mortgage Loan.

      "AP Mortgage" means, on any date, any Mortgage Loan which has been
identified in an Agreement to Pledge and for which the Collateral Agent has not
received the Required Mortgage Documents for such Mortgage Loan by such date.

      "Applicable Margin" means, as of any day with respect to various portions
of the Advances outstanding on such day, the following percentages per annum
which shall be added to the LIBOR Rate for such day to determine the interest
rate applicable to such portions of the Advances. The portion of the Advances to
which a specific percentage applies shall be determined by matching various
components of the Borrowing Base for such day to outstanding Advances in the
following order until all the outstanding Advances have been matched with one of
such Borrowing Base components:

<TABLE>
<CAPTION>
  Borrowing Base Component Matched to Advances Outstanding            Applicable Margin
------------------------------------------------------------          -----------------
<S>                                                                   <C>
First, in an amount equal to the Gestation Borrowing Base                  0.525%

Then, in an amount equal to the Non-Gestation Borrowing Base                0.75%

Finally, in an amount equal to the Servicing Borrowing Base                 0.90%
</TABLE>

      "Approved Investor" means, as of any time, any of the institutions listed
on Schedule 2 attached hereto and any other institution approved in writing by
the Agent (with prompt notice to the Lenders), such approval not to be
unreasonably withheld; provided that (i) the Agent shall give the Lenders
immediate notice of the approval of any institution not listed on Schedule 2,
and if any Lender objects to such approval within three (3) Business Days after
such notice then such institution shall cease to be an Approved Investor at the
election of the Required Lenders, and (ii) any such institutions listed on
Schedule 2 or previously approved by the Agent may be eliminated as an Approved
Investor (or as an Approved Investor of a specific type) by written notice to
the Borrower from the Agent, which elimination notice shall be given only for
reasonable cause and any commitments issued by any such formerly-Approved
Investor after such elimination shall not constitute Approved Investor
Commitments, but commitments of such formerly-Approved Investor existing at the
time of such elimination shall continue to be Approved Investor Commitments.

      "Approved Investor Commitment" means a commitment, issued by an Approved
Investor of the required type, to purchase Mortgage Loans, to exchange
Securities for Mortgage Loans or to purchase Securities.

      "Approved MBS Custodian" is defined in Paragraph 7(b) of the Security
Agreement.

                                       3

<PAGE>

      "Approved Recourse Servicing" means , as of any time, any of the Recourse
Servicing described on Exhibit M and any other Recourse Servicing reasonably
approved by the Agent; provided that (i) the Agent shall give the Lenders
immediate notice of the approval of any Recourse Servicing not listed on Exhibit
M, and if any Lender objects to such approval within three (3) Business Days
after such notice then such Recourse Servicing shall cease to be Approved
Recourse Servicing at the election of the Required Lenders, and (ii) any such
Recourse Servicing listed on Exhibit M or previously approved by the Agent may
be eliminated as Approved Recourse Servicing by written notice to the Borrower
from the Agent, in which case the Borrower shall not allow any Mortgage Loans
thereafter generated or acquired by the Borrower to be subject to any such
formerly-Approved Recourse Servicing.

      "Approved Servicing Purchaser" means any of the entities listed on Exhibit
L hereto and any other Servicing Purchaser approved by the Required Lenders.

      "Approved Servicing Sale Agreement" means any of the sale agreements
listed on Exhibit L hereto and any other agreements approved by the Agent for
the sale of Pledged Servicing from the Borrower to an Approved Servicing
Purchaser.

      "ARM Mortgage Loan" means a Mortgage Loan which bears interest at a rate
that may be adjusted at one or more times during the term of such Mortgage Loan.

      "Arranger" means J.P. Morgan Securities Inc., and its successors.

      "Article" means an article of this Agreement unless another document is
specifically referenced.

      "Assignment" means a duly executed assignment for the benefit of the
Lenders of a Mortgage, of the indebtedness secured thereby, and of all documents
and rights related to the Mortgage Loan secured by such Mortgage in accordance
with the requirements of the Security Agreement.

      "Authorized Officer" means any of the president, chairman, chief financial
officer, treasurer or other officer of the Borrower, acting singly.

      "Available Deposits" means those free collected balances maintained in
accounts in the name of the Borrower (or held by the Borrower in trust for third
parties) with a Lender (after deducting float and balances required by such
Lender under its normal practices to compensate such Lender for the maintenance
of such accounts and taking into consideration reserve requirements applicable
to such accounts) and which balances are not included in determining "Available
Deposits" under any other arrangements between such Lender and the Borrower.

      "Basic Eligibility Requirements" means a Pledged Item with respect to
which each of the following statements is accurate and complete in all material
respects:

            (i) The Borrower is the legal and equitable owner and holder of such
      Pledged Item and has full power and authority to pledge such Pledged Item.
      Such Pledged Item and each commitment of a Person to purchase Mortgage
      Loans and Securities from the Borrower (including Approved Investor
      Commitments) has been duly and validly issued to the Borrower, and each
      Pledged Item constitutes Eligible Collateral, has been duly and validly
      pledged to the Collateral Agent for the benefit of the Secured Parties and
      is subject to no Lien other than the lien of the Security Agreement in
      favor of the Agent for the benefit of the Lenders.

                                       4

<PAGE>

            (ii) Each requirement of any federal, state or local law including,
      without limitation, usury, truth-in-lending (including without limitation
      compliance with the limitations established by Section 32 of Regulation
      Z), real estate settlement procedures, consumer credit protection, equal
      credit opportunity or disclosure laws applicable to such Pledged Item, has
      been complied with in all material respects.

            (iii) With respect to each Pledged Item which is a Pledged Mortgage:

                  (1) it is a Residential Mortgage Loan that has been duly
            executed and delivered by the parties thereto at a closing,

                  (2) it is valid and enforceable in accordance with its terms,
            without defense or offset, subject to bankruptcy and similar laws
            and other general restrictions on creditors' rights and equitable
            principles (whether raised in an equity proceeding or an action at
            law),

                  (3) the property covered by said Mortgage Loan is free and
            clear of all Liens except those in favor of the Borrower subject
            only to (a) the Lien of current real property taxes and assessments
            not yet due and payable; (b) covenants, conditions and restrictions,
            rights of way, easements and other matters of the public record, as
            of the date of recording, as are acceptable to mortgage lending
            institutions generally and specifically referred to in a lender's
            title insurance policy delivered to the originator of said Mortgage
            Loan and (i) referred to or otherwise considered in the appraisal
            made for the originator of said Mortgage Loan or (ii) which do not
            materially adversely affect the appraised value of such property as
            set forth in such appraisal; (c) other matters to which like
            properties are commonly subject which do not materially interfere
            with the benefits of the security intended to be provided by said
            Mortgage Loan or the use, enjoyment, value or marketability of the
            related property; and (d) if said Mortgage Loan is a second priority
            Lien, a first Lien to the extent permitted under the other
            eligibility criteria for said Mortgage Loan,

                  (4) it has been correctly described in the Collateral
            Transmittal submitted to the Collateral Agent in respect of such
            Pledged Mortgage,

                  (5) it has been fully funded to the mortgagor or to an escrow
            or closing agent by wire transfer, transmittal through the
            "Automated Clearing House" or any similar private clearing house for
            interbank transfers of funds, cashier's check or a company check,

                  (6) the Collateral Agent has in its possession (other than
            with respect to Pledged Mortgages which are then the subject of an
            Agreement to Pledge) all Required Mortgage Documents other than
            those documents and instruments which are in the possession of the
            Borrower pursuant to a Trust Receipt or in the possession of a
            Person to whom delivery was made pursuant to an Investor Transmittal
            Letter,

                  (7) it has been or will be promptly duly recorded where
            necessary and complies with all applicable state or local recording,
            registration and filing laws and regulations in all material
            respects,

                                       5

<PAGE>

                  (8) there are no defenses, counterclaims or offsets of any
            nature whatsoever with respect to such Pledged Mortgage or the
            indebtedness evidenced and secured thereby or with respect to any
            Required Mortgage Document and, other than the related Required
            Mortgage Documents and Additional Required Mortgage Documents, there
            are no instruments or documents evidencing, securing or guaranteeing
            payment of the indebtedness constituting such Pledged Mortgage,

                  (9) each Assignment (a) has been duly authorized by all
            necessary corporate action by the Borrower, duly executed and
            delivered by the assignor thereunder and is the legal, valid and
            binding obligation of such assignor enforceable in accordance with
            its terms, subject to bankruptcy and similar laws and other general
            restrictions on creditors' rights and equitable principles, and (b)
            complies with all applicable laws including all applicable
            recording, filing and registration laws and regulations and upon
            insertion by the Agent or Collateral Agent of the name of the
            assignee thereunder and the information needed to properly identify
            the Pledged Mortgage, as described in the Security Agreement, will
            be adequate and legally sufficient for the purpose intended to be
            accomplished thereby, including, without limitation, the assignment
            of the rights, powers and benefits of the applicable mortgagee,

                  (10) upon insertion of such information into each Assignment
            and the recordation thereof, and assuming the possession of the
            Required Mortgage Documents by the Collateral Agent and filing of
            Uniform Commercial Code financing statements in proper form in the
            applicable filing offices, the Collateral Agent, for the benefit of
            the Lenders, will have a valid and perfected first priority security
            interest in such Pledged Item and all proceeds, products and profits
            derived therefrom, including, without limitation, all moneys, goods,
            insurance proceeds and other tangible or intangible property
            received upon liquidation thereof, subject to applicable bankruptcy,
            insolvency, reorganization, moratorium and other laws affecting the
            enforcement of creditors' rights generally and to general principles
            of equity,

                  (11) the Borrower has complied in all material respects with
            all laws, rules and regulations in respect of such Pledged Mortgage
            if it is insured by FHA or guaranteed by VA and the related
            insurance or guarantee is in full force and effect. Such Mortgage
            Loan complies in all material respects with all applicable
            requirements for purchase under the GNMA standard form of selling
            contract for FHA insured and VA guaranteed loans and any supplement
            thereto then in effect,

                  (12) except to the extent an appraisal is neither required by
            any law or any governmental rule, regulation, policy, guideline or
            direction nor any Approved Investor that may purchase such Pledged
            Mortgage, the Borrower has received an appraisal on the property
            underlying such Pledged Mortgage, which appraisal shall be in
            conformity with the applicable requirements of any law or any
            governmental rule, regulation, policy, guideline or directive
            (whether or not having the force of law), or any interpretation
            thereof, including, without limitation, the provisions of Title XI
            of the Financial Institutions Reform, Recovery and Enforcement Act
            of 1989, as amended, reformed or otherwise modified from time to
            time, and any rules promulgated to implement such provisions,

                                       6

<PAGE>

                  (13) all fire and casualty policies covering the premises
            encumbered by each Pledged Mortgage (a) name the Borrower as the
            insured under a standard mortgagee clause not less favorable in
            coverage to the mortgagee than is customarily used in the state
            where such premises is located, (b) are in full force and effect,
            and (c) afford insurance against fire and such other risks as are
            usually insured against in the broad form of extended coverage
            insurance from time to time available, as well as insurance against
            flood hazards as required by FHA or VA, and

                  (14) except for Qualifying HELOC Loans, it is not a revolving
            credit facility.

            (iv) There shall be no breach of the covenants contained in
      Paragraph 13 of the Security Agreement and there shall be no breach of any
      of the following covenants (the sole remedy for which shall be the removal
      of such Pledged Item as Eligible Collateral):

                  (1) The Borrower shall not (a) amend or modify, or waive any
            of the terms and conditions of, or settle or compromise any claim in
            respect of, any Pledged Item or any rights related to any of the
            foregoing, if such amendment, modification or waiver materially and
            adversely affects the Collateral Value of such Pledged Item, or
            impairs the marketability of such Pledged Item or (b) release any
            security or obligor, or, through any other activity or inactivity,
            cause any Pledged Mortgage which shall have been eligible for
            purchase to become ineligible for purchase in accordance with the
            Approved Investor Commitment related to such Pledged Mortgage.

                  (2) The Borrower shall not sell, assign, transfer or otherwise
            dispose of, or grant any option with respect to, or pledge or
            otherwise encumber (except pursuant to the Security Agreement), any
            of the Collateral or any interest therein, except as provided in
            Section 8.3 with respect to releases of Pledged Items.

                  (3) The Borrower is the servicer for and shall service all
            Pledged Mortgages in accordance with the requirements of the
            Approved Investor Commitments. The Borrower shall service all
            Mortgage Loans which are the subject of Pledged Securities in
            accordance with the standard requirements of the Federal Agency
            issuing or guaranteeing such Securities and all applicable FHA and
            VA requirements. The Borrower shall perform all of its obligations
            under the Servicing Agreements governing Pledged Servicing in
            accordance with the standard requirements of FNMA and FHLMC.

                  (4) The Borrower shall hold all escrow funds collected in
            respect of Pledged Items in trust, without commingling the same with
            any other fund, and apply the same for the purposes for which such
            funds were collected provided that such obligation with respect to
            Pledged Mortgages shall not arise until 30 days after the
            origination or acquisition of the applicable Mortgage Loan.

                  (5) The Borrower shall observe and perform all of its
            obligations in connection with each Approved Investor Commitment
            related to any Pledged Mortgage or Pledged Security in all material
            respects. Within forty-eight (48) hours after a request therefor by
            the Agent, a copy of each Approved Investor Commitment certified by
            the Borrower, or if requested by the Agent at any time after a
            Default has occurred, the originals of such Approved Investor
            Commitments shall be delivered to the Agent.

                                       7

<PAGE>

                  (6) The Borrower shall promptly notify the Agent and the
            Collateral Agent if and when the Borrower receives any prepayment
            (which term excludes the principal portion of scheduled monthly
            payments made on a Mortgage Loan) arising from or relating to any
            Pledged Mortgage and at the Borrower's option either hold the same
            in trust, as security for the Lenders, until such Mortgage Loan is
            removed from the Borrowing Base in accordance with this Agreement or
            remit to the Agent such prepayments (and all interest and earnings
            thereon or with respect thereto) for application to the Advances,
            provided that the Borrower must so remit such amount if a Default
            has occurred and is continuing under this Agreement.

                  (7) The Borrower shall do, execute, acknowledge and deliver,
            or cause to be done, executed, acknowledged and delivered, all such
            other acts, instruments and transfers (including, without
            limitation, Assignments) as the Agent or the Collateral Agent may
            reasonably request from time to time in order to create and maintain
            a perfected first priority security interest in the Collateral in
            favor of the Lenders and to create, maintain and preserve the
            security and benefits intended to be afforded by this Agreement,
            subject to no prior or equal security interest, lien, charge or
            encumbrance, or agreement purporting to grant to any Person a
            security interest in the Collateral.

                  (8) The Borrower shall promptly notify the Agent and the
            Collateral Agent of the occurrence of any event which would cause
            any Eligible Collateral to become Ineligible Collateral. "Borrower"
            means Pulte Mortgage LLC, a Delaware limited liability company, and
            its permitted successors and assigns.

      "Borrowing Base" means, as of any date, subject to the Borrowing Base
Sublimits, the sum of the amounts determined by applying the following
percentages to the Collateral Values of the following categories of Eligible
Collateral, without duplication as any asset is converted from one category to
another and except for Eligible Mortgage Servicing Rights which are valued based
upon the Servicing Take-Out Value of such rights and Eligible Servicing Sale
Receivables which are valued based on the amount of such receivables, as
described below (and the Borrower, by including any Pledged Item in any
computation of the Borrowing Base, shall be deemed to represent and warrant to
the Agent, the Collateral Agent and the Lenders that such Pledged Item
constitutes Eligible Collateral):

            (i) ninety-nine percent (99%) of the Collateral Value of Eligible
      Conforming Mortgage Loans which constitute Gestation Collateral or
      Eligible Securities;

            (ii) ninety-eight percent (98%) of the Collateral Value of Eligible
      Conforming Mortgage Loans which do not constitute Gestation Collateral;

            (iii) ninety-eight percent (98%) of the Collateral Value of Eligible
      Conforming Jumbo Mortgage Loans;

            (iv) ninety-five percent (95%) of the Collateral Value of Eligible
      Conforming Super Jumbo Mortgage Loans;

                                       8

<PAGE>

            (v) ninety-five percent (95%) of the Collateral Value of Eligible
      Non-Conforming Mortgage Loans (including without limitation Eligible
      Non-Conforming Jumbo Mortgage Loans and Eligible Non-Conforming Super
      Jumbo Mortgage Loans);

            (vi) seventy-five percent (75%) of the Collateral Value of Eligible
      Investment Loans, provided that the Collateral Value of Eligible
      Investment Loans shall be determined and adjusted for any additions or
      deletions to such category of Collateral only on one day in each month,
      pursuant to a monthly Eligible Investment Loan report to be prepared by
      Borrower and such Collateral Value shall remain in effect for purposes of
      calculating the Borrowing Base until the next such monthly determination
      and adjustment; and

            (vii) eighty percent (80%) of Aggregate Servicing Value;

provided that, if the Agent has elected to use the market value of any item of
Eligible Collateral as its Collateral Value pursuant to clause (D) of section
(ii) of the definition of Collateral Value, the percentage applied to such
Collateral Value for purposes of calculating the advance rates reflected in the
Borrowing Base shall be the lesser of ninety-seven percent (97%) or the
applicable percentage stated in clauses (i) through (vii) of this definition.

In connection with the Borrowing Base, the Agent is hereby authorized by the
Lenders to grant temporary waivers of strict compliance by the Borrower with the
eligibility requirements regarding qualification of any Collateral as Eligible
Collateral or with the Lending Sublimits and Borrowing Base Sublimits when the
Agent deems it appropriate, in its sole discretion, (i) as to all matters (other
than (y) those described in the definition "Basic Eligibility Requirements"
(except that temporary waivers may be granted for any of clauses (iii)(6), (9)
or (10) or (iv) of such definition) or (z) those described in the definition of
"Residential Mortgage Loan"), if the aggregate amount of deviation from strict
compliance, based on the Collateral Value so included in the Borrowing Base and
the amount of excess permitted over the Lending Sublimits or Borrowing Base
Sublimits does not exceed $10,000,000 at any time, or (ii) as to any matter, up
to any amount for up to three (3) Business Days, if the satisfaction of such
eligibility requirements or sublimits cannot be independently determined because
of events beyond the reasonable control of the Borrower (i.e. natural disasters,
transmission failures, etc.), provided that, if such determination cannot be
made for more than one (1) Business Day, the Borrower certifies in writing that
all such eligibility requirements and sublimits are in fact satisfied.

      "Borrowing Base Certificate" means a system generated report, initially in
the form attached hereto as Exhibit G, prepared by the Collateral Agent to
reflect the Collateral Value Determination at the times required by (and as such
term is defined in) the Security Agreement, the form of which report may be
modified from time to time by the Collateral Agent.

      "Borrowing Base Sublimits" is defined in Section 2.1.3.

      "Borrowing Date" means a date on which an Advance is made hereunder.

      "Borrowing Notice" is defined in Section 2.6.

      "Business Day" means (i) with respect to any borrowing, payment or rate
selection of LIBOR Advances, a day (other than a Saturday or Sunday) on which
banks generally are open in Houston and New York for the conduct of
substantially all of their commercial lending activities, interbank wire
transfers can be made on the Fedwire system and dealings in United States
dollars are carried on in the

                                       9

<PAGE>

London interbank market and (ii) for all other purposes, a day (other than a
Saturday or Sunday) on which banks generally are open in Houston for the conduct
of substantially all of their commercial lending activities and interbank wire
transfers can be made on the Fedwire system.

      "Buy-Down Agreement" means a written agreement between the Borrower and a
Lender setting forth the terms and conditions under which such Lender has agreed
to a reduced interest rate on account of LIBOR Loans or Swingline Loans
outstanding hereunder based upon Available Deposits maintained by the Borrower
with such Lender.

      "Buy-Down Lender" is defined in Section 2.3.

      "Buy-Down Rate" means 0.525 percent (52.5 basis points) per annum.

      "Capitalized Lease" of a Person means any lease of Property by such Person
as lessee which would be capitalized on a balance sheet of such Person prepared
in accordance with Agreement Accounting Principles.

      "Capitalized Lease Obligations" of a Person means the amount of the
obligations of such Person under Capitalized Leases which would be shown as a
liability on a balance sheet of such Person prepared in accordance with
Agreement Accounting Principles.

      "Cash and Collateral Agreement" is defined in Section 8.4.

      "Cash Equivalent Investments" means (i) short-term obligations of, or
fully guaranteed by, the United States of America, (ii) commercial paper rated
A-1 or better by S&P or P-1 or better by Moody's, (iii) demand deposit accounts
maintained in the ordinary course of business, and (iv) certificates of deposit
issued by, money market funds of, and time deposits with commercial banks
(whether domestic or foreign) having capital and surplus in excess of
$100,000,000; provided in each case that the same provides for payment of both
principal and interest (and not principal alone or interest alone) and is not
subject to any contingency regarding the payment of principal or interest.

      "Change in Control" means (i) Parent shall cease to be a wholly-owned
direct or indirect Subsidiary of Pulte Homes (it being understood that a name
change of Pulte Homes shall not of itself constitute a violation of this
requirement); or (ii) Parent shall cease to own, free and clear of all Liens or
other encumbrances, at least 100% of the outstanding shares of voting stock of
the Borrower on a fully diluted basis.

      "Code" means the Internal Revenue Code of 1986, as amended, reformed or
otherwise modified from time to time.

      "Collateral" means all right, title and interest of the Borrower, of every
kind and nature, in and to all of the following property, assets and rights of
the Borrower wherever located, whether now existing or hereafter arising, and
whether now or hereafter owned, acquired by or accruing or owing to the
Borrower, and all proceeds and products thereof:

            (i) all Pledged Mortgages and Pledged Securities, whether Eligible
      Collateral or Ineligible Collateral, including all Required Mortgage
      Documents related thereto;

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<PAGE>

            (ii) any commitments or other agreements issued by any private
      mortgage insurer or by the FHA or VA to insure or guarantee any Pledged
      Mortgage;

            (iii) all Approved Investor Commitments to purchase Pledged
      Securities or Pledged Mortgages (or any Securities to be issued based on
      such Pledged Mortgages) from the Borrower;

            (iv) any options to sell or purchase Securities, future contracts,
      or any other interest rate protection products which directly or
      indirectly protect the Borrower against reductions in value of such
      Pledged Mortgages or Pledged Securities due to changes in mortgage
      interest rates;

            (v) the Settlement Account, the Cash and Collateral Account, and all
      uncollected deposits into the Settlement Account and the Cash and
      Collateral Account, together with any Custodian Settlement Accounts then
      in existence with Approved MBS Custodians, as described in Paragraph 7(c)
      of the Security Agreement, and all uncollected deposits in such accounts;

            (vi) all Pledged Servicing identified by the Borrower from time to
      time and included in Collateral including without limitation all rights of
      the Borrower to sell or assign its interest therein and all amounts
      payable to the Borrower thereunder arising out of any termination thereof,
      and all files, surveys, certificates, correspondence, appraisals, computer
      programs (excluding programs owned and licensed to the Borrower by third
      parties), tapes, disks, cards, accounting records and other records and
      data of the Borrower related to the Mortgage Loans covered by such Pledged
      Servicing;

            (vii) all Pledged Servicing Sale Receivables including without
      limitation all rights of the Borrower related to such receivables;

            (viii) all cash and Cash Equivalents;

            (ix) all Servicing Hedge Contracts;

            (x) all property related to the foregoing, including without
      limitation, the right to service Pledged Mortgages while owned by the
      Borrower, all accounts and general intangibles of whatsoever kind so
      related and all documents or instruments delivered to the Collateral Agent
      in respect of any Pledged Item, including, without limitation, the right
      to receive all insurance proceeds and condemnation awards which may be
      payable in respect of the premises encumbered by any Pledged Mortgage; and

            (xi) all proceeds and products of any of the foregoing.

      "Collateral Agent" means LaSalle Bank National Association in its capacity
as contractual representative of the Lenders pursuant to the Security Agreement,
and any successor Collateral Agent appointed pursuant to Paragraph 19 of the
Security Agreement.

      "Collateral Agent Review Procedure" means the required review steps set
forth in Exhibit "1" to the Security Agreement.

      "Collateral Transmittal" means a transmittal from the Borrower to the
Collateral Agent in electronic form (or in written form delivered by fax in the
event that the Borrower is unable -- due to a

                                       11

<PAGE>

system failure or other event beyond the Borrower's control -- to transmit such
information electronically) and, if required by the Collateral Agent, written
form containing the following information for the following submissions or
special treatment of different types of Collateral: (i) the information
described on Exhibit D for each AP Mortgage covered by any Agreement to Pledge,
(ii) the information described on Exhibit D (other than the entry thereon for
"AP Status Code") for each Pledged Mortgage not covered by an Agreement to
Pledge, (iii) change of any Pledged Mortgage from wet to dry (open) status, dry
to gestation status, open to shipped status, shipped to paid and any
cancellation of wet status, (iv) the information described on Exhibit 3 to the
Security Agreement for each Pledged Mortgage to be treated as a Gestation
Mortgage Loan, (v) whether the Mortgage Loan is to be funded by wire or check or
(vi) such information as may be required from time to time by the Collateral
Agent for any Pledged Security.

      "Collateral Value" means, with respect to each of the following assets
included in Eligible Collateral on any given day, a value determined as follows:

            (i) Each Security shall be valued based upon the Collateral Value of
      the underlying Pledged Mortgages as otherwise determined hereunder; and

            (ii) Each Pledged Mortgage shall be valued at the lowest of (A) the
      unpaid principal balance of such Mortgage Loan on its Pledge Date (or, in
      the case of Eligible Investment Loans only, on the date of the most recent
      monthly report from the Borrower with respect to Eligible Investment
      Loans), or (B) the net acquisition cost (including any discounts and
      excluding any servicing released premium) of such Mortgage Loan, if
      acquired by the Borrower, or (C) the weighted average purchase price
      (expressed as a percentage of par) committed to under those Approved
      Investor Commitments which could cover such Mortgage Loan applied to the
      unpaid principal balance of such Mortgage Loan on its Pledge Date or (D)
      market value, as determined by the Agent in its sole discretion, as and
      when the Agent, in its sole discretion, chooses to calculate market value.
      The values described in (A), (B) and (C) of the preceding sentence shall
      be as determined by the Borrower as of the Pledge Date of the applicable
      Pledged Mortgage and reported to the Collateral Agent.

      "Collection and Paying Agreement" means that certain Collection and Paying
Agreement dated as of August 23, 2002 among Borrower, Agent, the Collateral
Agent, Pulte Funding, Inc. and Calyon New York Branch, as amended by an
Amendment No. 1 thereto dated as of August 19, 2005.

      "Commitment" means, for each Lender, the obligation of such Lender to make
Loans not exceeding the amount set forth as its "Commitment" on Schedule 1
attached hereto or as set forth in any Notice of Assignment relating to any
assignment that has become effective pursuant to Section 12.3.2, as such amount
may be modified from time to time pursuant to the terms hereof.

      "Commitment Percentage" means, for each Lender as of any date, the
percentage of the Aggregate Commitment represented by such Lender's Commitment,
as it may be amended from time to time, which initially shall be as set forth on
Schedule 1.

      "Conforming Mortgage Loan" means a first priority Residential Mortgage
Loan which (i) either is insured by the FHA or guaranteed by the VA or which
fully conforms to all underwriting and other requirements for sale to FNMA or
FHLMC and (ii) if said Mortgage Loan has a loan-to-value ratio which is greater
than eighty percent (80%), said Mortgage Loan is covered by a policy of private
mortgage insurance acceptable to FNMA.

                                       12

<PAGE>

      "Consolidated Tangible Net Worth" means, as of any date of determination
thereof, Net Worth, less the sum of the following (without duplication): (a) the
book value of all Investments in the Borrower's non-consolidated Affiliates, (b)
any other assets of the Borrower and its consolidated Subsidiaries which would
be treated as intangibles under Agreement Accounting Principles (other than
capitalized mortgage servicing rights) including, without limitation, any
write-up of assets, good-will, research and development costs, trade-marks,
trade names, copyrights, patents and unamortized debt discount and expenses, (c)
loans or other extensions of credit to officers of the Borrower or of any of its
Subsidiaries or Affiliates other than Mortgage Loans made to such Persons in the
ordinary course of business, (d) the Investment of the Borrower in Joliet
Mortgage Reinsurance Company (determined in accordance with Agreement Accounting
Principles as required by the definition of Investment herein), and(e) the
Investment of the Borrower in Pulte Funding, Inc. or similar funding vehicles in
excess of $4,000,000.

      "Contingent Obligation" of a Person means any agreement, undertaking or
arrangement by which such Person assumes, guarantees, endorses, contingently
agrees to purchase or provide funds for the payment of, or otherwise becomes or
is contingently liable upon, the obligation or liability of any other Person, or
agrees to maintain the net worth or working capital or other financial condition
of any other Person, or otherwise assures any creditor of such other Person
against loss, including, without limitation, any comfort letter, operating
agreement, take-or-pay contract or the obligations of any such Person as general
partner of a partnership with respect to the liabilities of the partnership.

      "Controlled Group" means all members of a controlled group of corporations
and all trades or businesses (whether or not incorporated) under common control
which, together with the Borrower or any of its Subsidiaries, are treated as a
single employer under Section 414 of the Code.

      "Custodian Settlement Accounts" is defined in the Security Agreement.

      "Deduction" means, at any time, the amount by which a Pledged Servicing
Sale Receivable may, under the terms of the applicable servicing sale agreement,
be reduced (e.g. due to the fact that any of the Mortgage Loans covered by the
applicable sold servicing rights do not meet the eligibility criteria set forth
in the applicable servicing sale agreement), whether such reduction is by way of
deduction, set-off, credit, or otherwise.

      "Default" means an event described in Article VII.

      "Effective Date" is defined in Section 4.1.

      "Eligible Collateral" means, as of any date, all Eligible Non-Conforming
Mortgage Loans, Eligible Non-Conforming Jumbo Mortgage Loans, Eligible
Non-Conforming Super Jumbo Mortgage Loans, Eligible Conforming Mortgage Loans,
Eligible Conforming Jumbo Mortgage Loans, Eligible Conforming Super Jumbo
Mortgage Loans, Eligible Investment Loans, Eligible Mortgage Servicing Rights,
Eligible Servicing Sale Receivables and Eligible Securities.

      "Eligible Conforming Jumbo Mortgage Loan" means an Eligible Mortgage Loan
which: (i) is a Jumbo Mortgage Loan; (ii) is a Conforming Mortgage Loan in all
respects except for its original principal balance; and (iii) is either (x)
included in a group of Eligible Conforming Jumbo Mortgage Loans covered by a
Qualifying Rate Hedge or (y) subject to an Approved Investor Commitment issued
by an Approved Investor.

                                       13

<PAGE>

      "Eligible Conforming Mortgage Loan" means an Eligible Mortgage Loan which:
(i) is a Conforming Mortgage Loan; and (ii) is subject to an Approved Investor
Commitment.

      "Eligible Conforming Super Jumbo Mortgage Loan" means an Eligible Mortgage
Loan which (i) is a Super Jumbo Mortgage Loan, (ii) is a Conforming Mortgage
Loan in all respects except for its original principal balance; and (iii) is
either (x) included in a group of Eligible Conforming Super Jumbo Mortgage Loans
covered by a Qualifying Rate Hedge or (y) subject to an Approved Investor
Commitment issued by an Approved Investor.

      "Eligible Investment Loan" means a Pledged Mortgage which (i) is a first
priority Mortgage Loan; (ii) is not an AP Mortgage; (iii) meets the Basic
Eligibility Requirements; (iv) if such Pledged Mortgage had an original
principal balance that exceeded 80% of the appraised value of the real estate
and improvements securing such Pledged Mortgage, was covered by a policy of
private mortgage insurance acceptable to FNMA at origination which is still in
full force and effect; and (v) has no monthly installment principal and/or
interest which is more than 59 days past due.

      "Eligible Mortgage Loan" means any Pledged Mortgage:

            (i) which meets the Basic Eligibility Requirements;

            (ii) which has no monthly installment of principal and/or interest
      which is more than 59 days past due;

            (iii) has been included in the Borrowing Base for (1) 180 days or
      less after the Pledge Date thereof in the case of a Conforming Mortgage
      Loan or a Conforming Jumbo Mortgage Loan or a Non-Conforming Mortgage Loan
      (other than a Conforming Super Jumbo Mortgage Loan), (2) 90 days or less
      after the Pledge Date thereof in the case of a Conforming Super Jumbo
      Mortgage Loan and (3) 60 days or less after the Pledge Date thereof in the
      case of a Negatively Amortizing Loan;

            (iv) has been originated less than (1) 180 days prior to its Pledge
      Date in the case of a Conforming Mortgage Loan or a Conforming Jumbo
      Mortgage Loan and (2) 90 days prior to its Pledge Date in the case of a
      Non-Conforming Mortgage Loan or any Super Jumbo Mortgage Loan;

            (v) for which, if it is an AP Mortgage:

                  (1) the Borrower expects such AP Mortgage to close on the
            Pledge Date and become a valid lien securing actual indebtedness by
            funding to the order of the mortgagor thereunder, has not learned of
            any information to the contrary and has not received any returned
            proceeds of such AP Mortgage from the escrow or closing agent for
            such Pledged Mortgage;

                  (2) if an AP Mortgage is not closed and funded as required
            pursuant to clause (v) (1) above, the Borrower shall so notify the
            Collateral Agent as soon as the Borrower becomes aware of that fact
            but in any event no later than 12:00 noon the next Business Day,
            unless the AP Mortgage has closed and funded by that time, and the
            Collateral Agent shall delete said AP Mortgage from the Borrowing
            Base;

                                       14

<PAGE>

                  (3) if an AP Mortgage was previously included in the Borrowing
            Base and was subsequently deleted as required pursuant to clause (v)
            (2) above, such AP Mortgage has not been submitted for inclusion in
            the Borrowing Base for a total of more than three times;

                  (4) the Collateral Agent has received the Required Mortgage
            Documents within nine (9) Business Days after the date of the
            related Agreement to Pledge;

                  (5) the Collateral Value attributable to all AP Mortgages
            included in any category of the Borrowing Base does not exceed sixty
            percent (60%) of the Aggregate Commitment during the first and last
            five Business Days in any calendar month, and

                  (6) the Collateral Value attributable to all AP Mortgages
            included in any category of the Borrowing Base does not exceed
            twenty-five percent (25%) of the Aggregate Commitment for any day
            other than the first and last five Business Days of any calendar
            month;

            (vi) which, if subject to an Investor Transmittal Letter or Trust
      Receipt and if said Pledged Mortgage was:

                  (1) withdrawn by the Borrower for purposes of correcting
            clerical or other non-substantive documentation problems: (i) the
            promissory note and other documents relating to said Pledged
            Mortgage were returned to the Collateral Agent within fifteen
            business days from the date of withdrawal, (ii) said Pledged
            Mortgage was released to the Borrower pursuant to a Trust Receipt
            and (iii) the Collateral Value of said Pledged Mortgage when added
            to the Collateral Value of all other Pledged Mortgages which have
            been similarly released to the Borrower does not exceed one percent
            (1%) of the Aggregate Commitment; or

                  (2) shipped by the Collateral Agent directly to an Approved
            Investor for purchase pursuant to an Investor Transmittal Letter
            which is a "Whole Loan Sale Transmittal Letter" substantially in the
            form of Exhibit "4" to the Security Agreement, the full purchase
            price therefor has been received by the Collateral Agent (or said
            Pledged Mortgage has been returned to the Collateral Agent) within
            forty-five (45) business days (or ninety (90) days for deliveries to
            state bond agencies) from the date of shipment by the Collateral
            Agent; or

                  (3) shipped by the Collateral Agent directly to a custodian
            for purposes of formation of a pool supporting a Security, the
            Security is issued and sold and the purchase price therefor has been
            received by the Collateral Agent (or said Pledged Mortgage has been
            returned to the Collateral Agent) within forty-five (45) business
            days (or ninety (90) days for deliveries to state bond agencies)
            from the date of shipment by the Collateral Agent; and

            (vii) which has not previously been included in the Borrowing Base,
      then shipped to an investor and returned, for whatever reason, to the
      Collateral Agent.

      "Eligible Mortgage Servicing Rights" means, as of any date, all Eligible
Pledged Servicing: (i) which is not subject to any security interest securing
any Debt other than the Obligations; (ii) except

                                       15

<PAGE>

for any Pledged Servicing which constitutes Recourse Servicing (other than
Approved Recourse Servicing) or a Subservicing Agreement; (iii) which meets the
Basic Eligibility Requirements; and (iv) which has not been released from
Collateral pursuant to Section 8.3 prior to such date.

      "Eligible Non-Conforming Jumbo Mortgage Loan" means an Eligible
Non-Conforming Mortgage Loan that is a Jumbo Mortgage Loan.

      "Eligible Non-Conforming Mortgage Loan" means an Eligible Mortgage Loan
which is a Non-Conforming Mortgage Loan.

      "Eligible Non-Conforming Super Jumbo Mortgage Loan" means an Eligible
Non-Conforming Mortgage Loan that is a Super Jumbo Mortgage Loan.

      "Eligible Pledged Servicing" means any Pledged Servicing with respect to
which each of the following statements is accurate and complete:

            (i) Such Pledged Servicing is subject to an accepted Acknowledgment
      Agreement.

            (ii) Such Pledged Servicing does not constitute Recourse Servicing
      other than Approved Recourse Servicing.

            (iii) The Borrower is the legal and equitable owner and holder of
      such Pledged Servicing and the rights thereunder and has full power and
      authority to grant a security interest in such Collateral. Such Pledged
      Servicing has been duly and validly made subject to the lien of the
      Security Agreement and is subject to, and will continue to be subject to,
      no Lien other than the liens created pursuant to the Security Agreement
      and any rights reserved to the other party under such Pledged Servicing or
      the related Acknowledgement Agreement.

            (iv) The Servicing Agreement governing such Pledged Servicing has
      been duly executed and delivered by the parties thereto, is not a
      Subservicing Agreement and is valid and enforceable in accordance with its
      terms, without defense or offset, subject to bankruptcy and similar laws
      and other general restrictions on creditors' rights and equitable
      principles (whether raised in an equity proceeding or an action at law).

            (v) No default, nor any event which with notice or lapse of time or
      both would become a default, has occurred and is continuing under the
      Servicing Agreement governing such Pledged Servicing and no action has
      been taken to terminate such Servicing Agreement.

            (vi) No mortgage installment of principal and/or interest with
      respect to the Mortgage Loans serviced under the applicable Servicing
      Agreement are more than 59 days past due.

            (vii) The Borrower has complied, and will continue to comply, in all
      material respects, with all laws, rules and regulations, including but not
      limited to all applicable FNMA, GNMA or FHLMC requirements, as the case
      may be, in respect of such Servicing Agreement.

            (viii) Such Pledged Servicing has been included in Eligible
      Collateral for 150 days or less.

                                       16

<PAGE>

      "Eligible Servicing Sale Receivables" means Pledged Servicing Sale
Receivables as to which:

            (i) the Agent and Collateral Agent have received a complete executed
      copy of the related purchase agreement;

            (ii) if requested by the Agent, the Agent and Collateral Agent have
      received written confirmation from the Servicing Purchaser as to the
      amount of such Pledged Servicing Sale Receivables;

            (iii) the Servicing Purchaser of the applicable sold Servicing
      Agreements is an Approved Servicing Purchaser, and the applicable sale
      agreement is an Approved Servicing Sale Agreement;

            (iv) the counterparties to the applicable sold Servicing Agreements
      are either GNMA, FNMA or FHLMC;

            (v) the Agent has reasonably determined that the counterparties to
      the sold Servicing Agreements have or will consent to the sale of such
      Servicing Agreements to the Servicing Purchaser, if such consent is
      required;

            (vi) the Borrower has assigned its rights to such Pledged Servicing
      Sale Receivables to the Collateral Agent for the benefit of the Secured
      Parties pursuant to an assignment in form and content satisfactory to the
      Agent;

            (vii) the Servicing Purchaser of the applicable sold Servicing
      Agreements has executed an agreement (and, if the applicable Approved
      Servicing Sale Agreement provides for repeated servicing sales under the
      same agreement, such updates to such agreement as the Agent may reasonably
      request) in form and content satisfactory to the Agent pursuant to which
      such Servicing Purchaser has agreed to (A) pay such Pledged Servicing Sale
      Receivable directly to the Agent for the benefit of the Secured Parties,
      and (B) provide simultaneous written notice to the Agent and the
      Collateral Agent of any claims made against or notices given to the
      Borrower which would constitute an offset to or reduction in the amount of
      such Pledged Servicing Sale Receivable;

            (viii) no portion of such Pledged Servicing Sale Receivable or any
      other Pledged Servicing Sale Receivable owed by the applicable Servicing
      Purchaser is more than ten days past due (as determined under the
      applicable Approved Servicing Sale Agreements);

            (ix) such Pledged Servicing Sale Receivable is not evidenced by
      chattel paper or an instrument of any kind;

            (x) the Servicing Purchaser with respect to such Pledged Servicing
      Sale Receivable is not insolvent or the subject of any bankruptcy or
      insolvency proceedings of any kind and has not made an assignment for the
      benefit of creditors or consented to or suffered the appointment of a
      receiver, trustee, liquidator, custodian or the like for it or for a
      significant portion of its assets or affairs;

                                       17

<PAGE>

            (xi) the Borrower has observed and complied with all laws of the
      jurisdiction in which the applicable Servicing Purchaser is located that,
      if not observed and complied with, would deny to the Borrower access to
      the courts of such jurisdiction; and

            (xii) such Pledged Servicing Sale Receivable has been included in
      Eligible Collateral for 150 days or less;

provided, however, that (1) Eligible Servicing Sale Receivables shall not
include any "holdback" amounts or deferred installments of the purchase price
payable by the applicable Servicing Purchaser which are not payable to the
Borrower within 150 days after the initial payment to the Borrower for the sale
of the applicable Servicing Agreements to such Servicing Purchaser, and (2)
Eligible Servicing Sale Receivables shall be reduced by the amount of any
Deductions (to the extent not already deducted from Eligible Servicing Sale
Receivables pursuant to the preceding provisions), whether claimed by the
applicable Servicing Purchaser, reported by the Borrower, or otherwise
determined by the Agent or Collateral Agent.

      "Eligible Security" means any Pledged Security: (i) which is covered by an
Approved Investor Commitment; and (ii) for which the Collateral Agent shall have
received such evidence as may be required under the Security Agreement to
confirm the existence of the security interest in favor of the Collateral Agent
for the benefit of the Lenders in such Pledged Security.

      "Environmental Laws" means any and all federal, state, local and foreign
statutes, laws, judicial decisions, regulations, ordinances, rules, judgments,
orders, decrees, plans, injunctions, permits, concessions, grants, franchises,
licenses, agreements and other governmental restrictions relating to (i) the
protection of the environment, (ii) the effect of the environment on human
health, (iii) emissions, discharges or releases of pollutants, contaminants,
hazardous substances or wastes into surface water, ground water or land, or (iv)
the manufacture, processing, distribution, use, treatment, storage, disposal,
transport or handling of pollutants, contaminants, hazardous substances or
wastes or the clean-up or other remediation thereof

      "ERISA" means the Employee Retirement Income Security Act of 1974, as
amended from time to time, and any rule or regulation issued thereunder.

      "Excess Pool Proceeds" is defined in Paragraph 6(d) of the Security
Agreement.

      "Excluded Taxes" means, with respect to the Agent, any Lender, or any
other recipient of any payment to be made by or on account of any obligation of
the Borrower hereunder, (a) income or franchise taxes imposed on (or measured
by) its net income by the United States of America, or by the jurisdiction under
the laws of which such recipient is organized or in which its principal office
is located or, in the case of any Lender, in which its applicable lending office
is located, (b) any branch profits taxes imposed by the United States of America
or any similar tax imposed by any other jurisdiction in which the Borrower is
located and (c) in the case of a Foreign Lender (other than an assignee pursuant
to a request by the Borrower under Section 3.5), any withholding tax that is
imposed on amounts payable to such Foreign Lender at the time such Foreign
Lender becomes a party to this Agreement (or designates a new lending office) or
is attributable to such Foreign Lender's failure to comply with Section 3.4(e)),
except to the extent that such Foreign Lender (or its assignor, if any) was
entitled, at the time of designation of a new lending office (or assignment), to
receive additional amounts from the Borrower with respect to such withholding
tax pursuant to Section 3.4(a).

                                       18

<PAGE>

      "Exhibit" refers to an exhibit to this Agreement, unless another document
is specifically referenced.

      "Facility Fee Rate" means 0.125 percent (12.5 basis points) per annum.

      "Federal Agency" means FHLMC, FNMA, GNMA, FHA or VA.

      "Federal Funds Effective Rate" means, for any day, an interest rate per
annum equal to the weighted average of the rates on overnight Federal funds
transactions with members of the Federal Reserve System arranged by Federal
funds brokers on such day, as published for such day (or, if such day is not a
Business Day, for the immediately preceding Business Day) by the Federal Reserve
Bank of New York, or, if such rate is not so published for any day which is a
Business Day, the average of the quotations at approximately 10 a.m. (New York
City time) on such day on such transactions received by the Agent from three
Federal funds brokers of recognized standing selected by the Agent in its sole
discretion.

      "Fees" is defined in Section 2.5.

      "FHA" means the Federal Housing Administration or other agency,
corporation or instrumentality of the United States to which the powers and
duties of the Federal Housing Administration have been transferred.

      "FHA-Approved Mortgagee" means an institution that is approved by the FHA
to act as a servicer and mortgagee of record with respect to a Mortgage Loan
insured by the FHA.

      "FHLMC" means the Federal Home Loan Mortgage Corporation or other agency,
corporation or instrumentality of the United States to which the powers and
duties of the Federal Home Loan Mortgage Corporation have been transferred.

      "FHLMC-Approved Lender" means an institution that is approved by the FHLMC
to act as a lender in connection with the origination of any Mortgage Loan
purchased by the FHLMC.

      "FHLMC Security" means a security representing an undivided fractional
interest in a pool of Mortgage Loans, which security is issued and guaranteed as
to full and timely payment of interest and full collection of principal by
FHLMC.

      "FICO" means the "delinquency predictor" model established by Fair Isaac
Co. and shown on a credit report prepared by Equifax, Experian, Trans Union, or
any other authorized national agency.

      "FNMA" means the Federal National Mortgage Association or other agency,
corporation or instrumentality of the United States to which the powers and
duties of the Federal National Mortgage Association have been transferred.

      "FNMA-Approved Lender" means an institution that is approved by the FNMA
to act as a lender in connection with the origination of any Mortgage Loan
purchased by the FNMA.

      "FNMA Security" means a security representing an undivided fractional
interest in a pool of Mortgage Loans, which security is issued and guaranteed as
to full and timely payment of principal and interest by FNMA.

                                       19

<PAGE>

      "Foreign Lender" means any Lender that is organized under the laws of a
jurisdiction other than that in which the Borrower is located. For purposes of
this definition, the United States of America, each State thereof and the
District of Columbia shall be deemed to constitute a single jurisdiction.

      "Funded Debt" means as of any date of determination thereof, the sum of
all obligations of the Borrower for borrowed money, including but not limited to
money borrowed from any Parent, Subsidiary or Affiliate of the Borrower, whether
or not evidenced by a promissory note.

      "GAAP" means generally accepted accounting principles as in effect from
time to time, consistently applied.

      "GAAP Carrying Value" means, with respect to any asset of the Borrower,
the value at which such asset is carried on the books of the Borrower in
accordance with GAAP. Any changes in the methodology used for adjusting such
book value shall be subject to the prior approval of the Agent.

      "Gestation Borrowing Base" means, for any day, that portion of the
Borrowing Base on such day attributable to Gestation Collateral.

      "Gestation Collateral" means that portion of the Collateral which consists
of Gestation Mortgage Loans (identified by the Borrower in accordance with
Paragraph 2(d) of the Security Agreement) and Securities issued in exchange for
Gestation Mortgage Loans.

      "Gestation Mortgage Loans" means, as of any date, any Pledged Mortgages
which the Borrower has identified as fully qualified for initial certification
for the purpose of creating a pool of Mortgage Loans to support the issuance of
a Security and with respect to which the Borrower has requested that the
Collateral Agent either (i) acting in its capacity as pool custodian, initially
certify for inclusion in such a pool or (ii) acting in its capacity as
Collateral Agent, ship to a Federal Agency to obtain initial certification by
such Federal Agency for inclusion in such a pool.

      "GNMA" means the Government National Mortgage Association or other agency,
corporation or instrumentality of the United States as to which the powers and
duties of the Governmental National Mortgage Association have been transferred.

      "GNMA Security" means a security representing an undivided fractional
interest in a pool of Mortgage Loans, which security is issued by the Borrower
and guaranteed as to full and timely payment of principal and interest by GNMA
without regard as to whether the Borrower collects any payments on such Mortgage
Loans.

      "Governmental Authority" means the government of the United States of
America, any other nation or any political subdivision thereof, whether state or
local, and any agency, authority, instrumentality, regulatory body, court,
central bank or other entity exercising executive, legislative, judicial,
taxing, regulatory or administrative powers or functions of or pertaining to
government.

      "Hedging Program" means a program for hedging interest rate risks of the
Borrower, which program shall provide, without limitation, that all Servicing
Hedge Agreements will be entered into or placed with one or more financial
institutions, futures commission merchants or clearing houses acceptable to the
Lenders in their reasonable discretion and with whom the Borrower has written,
assignable agreements.

                                       20

<PAGE>

      "Indebtedness" of a Person means such Person's (i) obligations for
borrowed money, (ii) obligations representing the deferred purchase price of
Property or services (other than accounts payable arising in the ordinary course
of such Person's business payable on terms customary in the trade), (iii)
obligations, whether or not assumed, secured by Liens or payable out of the
proceeds or production from Property now or hereafter owned or acquired by such
Person, (iv) obligations which are evidenced by notes, acceptances, or other
instruments, (v) Capitalized Lease Obligations, (vi) Contingent Obligations,
(vii) Letters of Credit, (viii) Sale and Leaseback Transactions, (ix) any
financing inherent in any Servicing Hedge Agreement, (x) obligations of such
Person to purchase securities or other Property arising out of or in connection
with the sale of the same or substantially similar securities or Property, and
(xi) any other obligation for borrowed money or other financial accommodation
which in accordance with Agreement Accounting Principles would be shown as a
liability on the consolidated balance sheet of such Person.

      "Indemnified Taxes" means Taxes other than Excluded Taxes.

      "Ineligible Collateral" means any Pledged Item that does not at the time
constitute Eligible Collateral.

      "Investment" of a Person means any loan, advance (other than commission,
travel and similar advances to officers and employees made in the ordinary
course of business), extension of credit (other than accounts receivable arising
in the ordinary course of business on terms customary in the trade) or
contribution of capital by such Person; stocks, bonds, mutual funds, partnership
interests, notes, debentures or other securities owned by such Person; any
deposit accounts and certificate of deposit owned by such Person; and structured
notes, derivative financial instruments and other similar instruments or similar
contracts owned by such Person. The amount of any Investment shall be determined
in accordance with Agreement Accounting Principles.

      "Investor Transmittal Letter" means either a "Whole Loan Sale Transmittal
Letter" or a "Warehouse-Related MBS Transmittal Letter" substantially in the
form of Exhibits "4" and "5" to the Security Agreement.

      "JPMC" means JPMorgan Chase Bank, N.A., in its individual capacity and its
successors.

      "Jumbo Mortgage Loan" means a Residential Mortgage Loan which is a
Conforming Mortgage Loan in all respects except for its original principal
balance, provided that such original principal balance was less than or equal to
$750,000.

      "Lenders" means the lending institutions listed on the signature pages of
this Agreement and their respective successors and assigns.

      "Lending Installation" means, with respect to a Lender or the Agent, the
office, branch, subsidiary or affiliate of such Lender or the Agent listed on
the signature pages hereof or on a Schedule or otherwise selected by such Lender
or the Agent pursuant to Section 2.16.

      "Lending Sublimits" is defined in Section 2.1.1.

      "Letter of Credit" of a Person means a letter of credit or similar
instrument which is issued upon the application of such Person or upon which
such Person is an account party or for which such Person is in any way liable.

                                       21

<PAGE>

      "Leverage Ratio" means, at any time, the ratio of (i) Funded Debt, plus
the sum of the face amount of all letters of credit issued by the Borrower and
outstanding at such time, to (ii) Consolidated Tangible Net Worth at such time.

      "LIBOR Advance" means an Advance which bears interest at the LIBOR Rate.

      "LIBOR Base Rate" means, for any day, the rate appearing on Page 3750 of
the Dow Jones Market Service (or on any successor or substitute page of such
Service, or any successor to or substitute for such Service, providing rate
quotations comparable to those currently provided on such page of such Service,
as determined by the Agent from time to time for purposes of providing
quotations of interest rates applicable to dollar deposits in the London
interbank market) at approximately 11:00 a.m., London time on that day, as the
rate for delivery on that day of one (1) month U.S. dollar deposits of One
Million Dollars ($1,000,000). In the event that such rate is not available at
such time for any reason, then the LIBOR Base Rate for the relevant day shall be
the rate at which one (1) month dollar deposits of One Million Dollars
($1,000,000) are offered by the principal London office of the Agent in
immediately available funds in the London interbank market at approximately
11:00 a.m., London time on that day.

      "LIBOR Loan" means a Loan which bears interest at the LIBOR Rate.

      "LIBOR Rate" means, a floating rate, to be determined and adjusted on a
daily basis, equal to the sum of (i) the LIBOR Base Rate for such day plus (ii)
the Applicable Margin with respect to the related portion of the outstanding
Advances on such day as determined in accordance with the definition of
"Applicable Margin".

      "Lien" means any lien (statutory or other), mortgage, pledge,
hypothecation, assignment, deposit arrangement, encumbrance or preference,
priority or other security agreement or preferential arrangement of any kind or
nature whatsoever (including, without limitation, the interest of a vendor or
lessor under any conditional sale, Capitalized Lease or other title retention
agreement).

      "Loan" means, with respect to a Lender, such Lender's loan made pursuant
to Article II (or any conversion or continuation thereof).

      "Loan Documents" means this Agreement, any Notes issued pursuant to
Section 2.12, the Security Agreement, the Buy-Down Agreements, the Collection
and Paying Agreement, and the other documents and agreements contemplated hereby
and executed by the Borrower or another Person in favor of the Agent or any
Lender.

      "Material Adverse Effect" means a material adverse effect on (i) the
business, Property, financial condition, or results of operations of the
Borrower and its Subsidiaries taken as a whole, (ii) the ability of the Borrower
to perform its obligations under the Loan Documents, or (iii) the validity or
enforceability of any of the Loan Documents or the rights or remedies of the
Agent or the Lenders thereunder.

      "Material Indebtedness" is defined in Section 7.5.

      "Maximum Aggregate Commitment" means $600,000,000.

      "Moody's" means Moody's Investors Service, Inc. or any successor to its
business.

                                       22

<PAGE>

      "Mortgage" means a mortgage, deed of trust, security deed or similar
instrument purporting to create a first or second lien or similar interest in
real estate and improvements thereon.

      "Mortgage Loan" means a loan of money evidenced by a Mortgage Note and
secured by a Mortgage.

      "Mortgage Note" means a note evidencing the indebtedness secured by a
Mortgage.

      "Multi-employer Plan" means a Plan maintained pursuant to a collective
bargaining agreement or any other arrangement to which the Borrower or any
member of the Controlled Group is a party to which more than one employer is
obligated to make contributions. "Negatively Amortizing Loan" means a Mortgage
Loan in which any portion of the interest due on such Mortgage Loan could be
accrued and added to the principal balance thereof.

      "Net Worth" means as of any date of determination thereof, the net worth
of the Borrower and its Subsidiaries on a consolidated basis as determined in
accordance with Agreement Accounting Principles.

      "Non-Agency Mortgage Loan" means any Mortgage Loan which is a
Non-Conforming Mortgage Loan, a Conforming Jumbo Mortgage Loan or a Conforming
Super Jumbo Mortgage Loan.

      "Non-Conforming Mortgage Loan" means a Residential Mortgage Loan (other
than a Conforming Mortgage Loan, except as provided below with respect to
certain Conforming Jumbo Mortgage Loans and Conforming Super Jumbo Mortgage
Loans) that either qualifies as one of the following special types of Mortgage
Loan or includes all of the following characteristics:

            (a) does not conform to the conventional underwriting standards of
      FNMA, FHLMC or GNMA but is either underwritten in accordance with the
      guidelines of an Approved Investor (other than FNMA, FHLMC or GNMA)
      guidelines or is subject to an interest rate protection agreement
      acceptable to Agent;

            (b) is a first or second priority Mortgage Loan;

            (c) may be a Non-Owner Occupied Loan;

            (d) has an original principal amount which is less than or equal to
      $750,000 (except that Conforming Jumbo Mortgage Loans and Conforming Super
      Jumbo Mortgage Loans that have been excluded from calculation of the
      Borrowing Base because they would cause the Borrowing Base Sublimit
      applicable to such Mortgage Loans to be exceeded may be included as
      Non-Conforming Mortgage Loans, provided that the Borrowing Base Sublimit
      applicable to Non-Conforming Mortgage Loans is not thereby exceeded);

            (e) is underwritten in accordance with the Borrower's underwriting
      guidelines;

            (f) is either (x) included in a group of Eligible Non-Conforming
      Mortgage Loans covered by a Qualifying Rate Hedge or (y) subject to an
      Approved Investor Commitment issued by an Approved Investor;

                                       23

<PAGE>

            (f) is covered by private mortgage insurance if the loan to value
      ratio exceeds 80%, unless it is as a Qualifying Negatively Amortizing Loan
      or a Qualifying HLTV Loan;

            (h) is a Qualifying Negatively Amortizing Loan;

            (i) is a Qualifying HLTV Loan;

            (j) is a Qualifying Non-Conforming Second Lien;

            (k) is a Qualifying Under-560 Mortgage Loan; or

            (l) is a Qualifying HELOC Loan.

      "Non-Gestation Borrowing Base" means, for any day, that portion of the
Borrowing Base attributable to Eligible Collateral which is not Gestation Loan
Collateral, Eligible Mortgage Servicing Rights or Eligible Servicing Sale
Receivables.

      "Non-Owner Occupied Loan" means a Residential Mortgage Loan secured by a
Single Family Residence at which the owner does not maintain his or her primary
place of residence.

      "Note" means any promissory note issued at the request of a Lender
pursuant to Section 2.12(iv) in substantially the form of Exhibit A attached
hereto, including any amendment, modification, renewal or replacement of any
such promissory note.

      "Notice of Assignment" is defined in Section 12.3.2.

      "Obligations" means all unpaid principal of and accrued and unpaid
interest on the Loans, all accrued and unpaid fees and all expenses,
reimbursements, indemnities and other obligations of the Borrower to the Lenders
or to any Lender, the Agent, the Collateral Agent or any indemnified party
arising under the Loan Documents.

      "Other Taxes" means any and all present or future stamp or documentary
taxes or any other excise or property taxes, charges or similar levies arising
from any payment made hereunder or from the execution, delivery or enforcement
of, or otherwise with respect to, this Agreement.

      "Parent" means Pulte Home Corporation, a Michigan corporation.

      "Participants" is defined in Section 12.2.1.

      "Payment Date" means the first day of each calendar month.

      "PBGC" means the Pension Benefit Guaranty Corporation, or any successor
thereto.

      "Permitted Pulte Holder" means (i) either of William J. Pulte and James
Grosfeld, (ii) any of their respective Affiliates, parents, spouses,
descendants, and spouses of descendants, or (iii) any trusts or other entities
controlled by Mr. Pulte or Mr. Grosfeld and their respective estates, heirs,
administrators or personal representatives.

                                       24

<PAGE>

      "Person" means any natural person, corporation, firm, joint venture,
partnership, association, limited liability company, enterprise, trust or other
entity or organization, or any government or political subdivision or any
agency, department or instrumentality thereof

      "Plan" means an employee pension benefit plan which is covered by Title IV
of ERISA or subject to the minimum funding standards under Section 412 of the
Code as to which the Borrower or any member of the Controlled Group may have any
liability.

      "Pledge Date" means the date on which a Mortgage Loan, Security Pledge
Servicing or Pledged Servicing Sale Receivable is first delivered in pledge to
the Collateral Agent or is otherwise made subject to a security interest in
favor of the Agent or Collateral Agent for the benefit of the Lenders, provided
that (i) the date of delivery of a Mortgage Loan covered by an Agreement to
Pledge shall be deemed to be the date of delivery of such Agreement to Pledge
even after subsequent delivery of the related Required Mortgage Documents, (ii)
the "Pledge Date" for all Collateral previously held by the Collateral Agent
under the Prior Facilities shall be deemed to be the date on which such
Collateral was first delivered to the Collateral Agent under the Prior
Facilities even though such date is prior to the date of this Agreement and
(iii) any AP Mortgage which has been deleted and resubmitted as permitted
pursuant to clause (v)(3) of the definition of Eligible Mortgage Loan, shall
have a Pledge Date which is the date the Agreement to Pledge was so resubmitted.

      "Pledged Item" means any Pledged Mortgage, Pledged Security, Pledged
Servicing or Pledged Servicing Sale Receivable.

      "Pledged Mortgage" means all Mortgage Loans that are from time to time
delivered (or, in the case of AP Mortgages, are committed to be delivered) to
the Collateral Agent pursuant to this Agreement and the Security Agreement.

      "Pledged Security" means all Securities that are from time to time
delivered to the Collateral Agent pursuant to this Agreement and the Security
Agreement.

      "Pledged Servicing" means, with respect to any Servicing Agreements with
FNMA, GNMA or FHLMC, those loan pools subject to any such Servicing Agreement
which (a) do not contain any (i) Mortgage Loans that are Collateral, (ii)
commercial Mortgage Loans, or (iii) Mortgage Loans held for investment by the
Borrower, the Parent or any of their respective Subsidiaries, and (b) have been
specifically identified by the Borrower for inclusion in Collateral by executing
and delivering to the Agent (i) an Acknowledgement Agreement covering such
Pledged Servicing from FNMA, GNMA or FHLMC, as the case may be and (ii) an
amendment, in form and substance satisfactory to the Agent, to the UCC-1
financing statements described in Section 4.1(viii).

      "Pledged Servicing Sale Receivables" means Servicing Sale Receivables
which are from time to time designated by the Borrower and pledged to the
Collateral Agent for the benefit of the Lenders in accordance with this
Agreement and the Security Agreement.

      "Prior Agreement" is defined in the recitals of this Agreement.

      "Prior Facility" means the facility contemplated by the Prior Agreement.

      "Property" of a Person means any and all property, whether real, personal,
tangible, intangible, or mixed, of such Person, or other assets owned, leased or
operated by such Person.

                                       25

<PAGE>

      "Pulte Change of Control" means the occurrence of any of the following
events: (i) the consummation of any consolidation, share exchange or merger of
Pulte Homes in which Pulte Homes is not the continuing or surviving corporation
or pursuant to which Pulte Homes' voting stock would be converted into cash,
securities or other property, other than, in any case, a merger of Pulte Homes
in which the holders of voting stock of Pulte Homes immediately prior to the
merger have the same or greater proportionate ownership, directly or indirectly,
of the voting stock of the surviving corporation immediately after such merger
as they had of the voting stock of Pulte Homes immediately before such merger;
or (ii) the filing of a report by any Person, including Affiliates of Pulte
Homes (other than Pulte Homes, its Subsidiaries, employee stock ownership plans
or employee benefit plans of Pulte Homes or its Subsidiaries, or a Permitted
Pulte Holder) on Schedule 13D or 14D-1 (or any successor schedule, form or
report under the Exchange Act) disclosing that such Person (for the purpose of
this definition of "Pulte Change in Control" only, the term "Person" shall
include a "person" within the meaning of Section 13(d)(3) and Section 14(d)(2)
of the Exchange Act or any successor provision to either of the foregoing) has
become the beneficial owner (as the term "beneficial owner" is defined under
Rule 13d-3 or any successor rule or regulation promulgated under the Exchange
Act) of 50% or more of Pulte Homes' voting stock; provided, however, that a
Person shall not be deemed the beneficial owner of, or to own beneficially (A)
any securities tendered pursuant to a tender or exchange offer made on behalf of
such Person or any of such Person's Affiliates until such tendered securities
are accepted for purchase or exchange thereunder or (B) any securities if such
beneficial ownership (1) arises solely as a result of a revocable proxy
delivered in response to a proxy or consent solicitation made pursuant to, and
in accordance with, the applicable rules and regulations under the Exchange Act,
and (2) is not also then reportable on Schedule 13D (or any successor schedule,
form or report) under the Exchange Act. A change of the legal name of Pulte
Homes shall not of itself (absent the occurrence of one of the events described
in the preceding sentence) constitute a Pulte Change of Control.

      "Pulte Homes" means Pulte Homes, Inc., the sole shareholder of Pulte
Diversified Companies, Inc., which is in turn the sole shareholder of the
Parent.

      "Purchasers" is defined in Section 12.3.1.

      "Qualifying HELOC Loan" means a Residential Mortgage Loan which is a
revolving home equity line of credit which at the time of its origination had a
FICO score of at least 620.

      "Qualifying HLTV Loan" means a Residential Mortgage Loan which (i) had an
original principal balance that (together with, if it is a second priority
Mortgage Loan, the principal balance of the related senior Mortgage Loan as of
the time of the funding of the second Mortgage Loan) exceeded 100% of the
appraised value of the real estate and improvements securing such Mortgage Loan
but did not exceed 107% of such appraised value, and (ii) is subject to an
Approved Investor Commitment issued by an Approved Investor.

      "Qualifying Negatively Amortizing Loan" means a first-priority Residential
Mortgage Loan which (i) is a Negatively Amortizing Loan; (ii) had a FICO score
of at least 620 at the time of origination; (iii) had an original principal
balance that was less than 95% of the appraised value of the real estate and
improvements securing such mortgage loan. Any Qualifying Negatively Amortizing
Loan with a FICO score of less than 660 or a loan-to-value ratio of greater than
90% is referred to herein as "Low End Qualifying Negatively Amortizing Loan".

      "Qualifying Non-Conforming Second Lien" means a Residential Mortgage Loan
which (i) is a second priority Mortgage Loan, (ii) had a FICO score of at least
less than 600 and greater than or equal

                                       26

<PAGE>

to 560 at the time of origination, (iii) was originated in conjunction with a
first priority Mortgage Loan and (iv) is subject to an Approved Investor
Commitment issued by an Approved Investor.

      Qualifying Rate Hedge" means, as of any date, with respect to any group of
Non-Agency Mortgage Loans having a similar rate type and duration (e.g., 15
year, 30 year or ARMs), that the impact of changes in interest rates on such
group of Non-Agency Mortgage Loans is mitigated by interest rate hedging
products of a type consistent with both the effective duration of such group of
Non-Agency Mortgage Loans and the Borrower's overall Hedging Program.

      "Qualifying Under-560 Mortgage Loan" means a Residential Mortgage Loan
which (i) had a FICO score less than 560 at the time of origination and (ii) is
subject to an Approved Investor Commitment issued by an Approved Investor.

      "Rate Management Transaction" means any transaction (including an
agreement with respect thereto) now existing or hereafter entered into between
the Borrower and any Person which is a rate swap, basis swap, forward rate
transaction, commodity swap, commodity option, equity or equity index swap,
equity or equity index option, bond option, interest rate option, foreign
exchange transaction, cap transaction, floor transaction, collar transaction,
forward transaction, currency swap transaction, cross-currency rate swap
transaction, currency option or any other similar transaction (including any
option with respect to any of these transactions) or any combination thereof,
whether linked to one or more interest rates, foreign currencies, commodity
prices, equity prices or other financial measures.

      "Rate Management Obligations" of a Person means any and all obligations of
such Person, whether absolute or contingent and howsoever and whensoever
created, arising, evidenced or acquired (including all renewals, extensions and
modifications thereof and substitutions therefor), under (i) any and all Rate
Management Transactions, and (ii) any and all cancellations, buy backs,
reversals, terminations or assignments of any Rate Management Transactions.

      "Reconciled Non-Servicing Proceeds" is defined in Paragraph 6(c) of the
Security Agreement.

      "Recourse Servicing" means any servicing rights under a Servicing
Agreement which obligates the Borrower either to repurchase Mortgage Loans upon
default by the borrower thereunder or to indemnify any party having an interest
in such Mortgage Loans against any loss arising from such a default for reasons
other than a breach of any representations or warranties regarding the condition
of such Mortgage Loans at origination which were made by the Borrower as
originator of such Mortgage Loans.

      "Reduced Servicing Notice" is defined in Section 6.1(xiii).

      "Regulation U" means Regulation U of the Board of Governors of the Federal
Reserve System as from time to time in effect and any successor or other
regulation or official interpretation of said Board of Governors relating to the
extension of credit by banks for the purpose of purchasing or carrying margin
stocks applicable to member banks of the Federal Reserve System.

      "Regulation Z" means Regulation Z of the Board of Governors of the Federal
Reserve System as from time to time in effect and any successor thereto or other
regulation or official interpretation of said Board of Governors relating to
truth-in-lending.

                                       27

<PAGE>

      "Reportable Event" means a reportable event as defined in Section 4043 of
ERISA and the regulations issued under such section, with respect to a Plan,
excluding, however, such events as to which the PBGC has by regulation waived
the requirement of Section 4043(a) of ERISA that it be notified within 30 days
of the occurrence of such event, provided, however, that a failure to meet the
minimum funding standard of Section 412 of the Code and of Section 302 of ERISA
shall be a Reportable Event regardless of the issuance of any such waiver of the
notice requirement in accordance with either Section 4043(a) of ERISA or Section
412(d) of the Code.

      "Required Lenders" means Lenders in the aggregate having at least 66 2/3%
of the Aggregate Commitment or, if the Aggregate Commitment has been terminated,
Lenders in the aggregate holding at least 66 2/3% of the aggregate unpaid
principal amount of the outstanding Advances.

      "Required Mortgage Documents" means the instruments and documents
described in Schedule A to the Security Agreement, as applicable to a particular
Mortgage Loan, which are required to be delivered to the Collateral Agent.

      "Residential Mortgage Loan" means a Mortgage Loan secured by a Mortgage on
a Single Family Residence, which is not a construction loan or a rehabilitation
loan.

      "S&P" means Standard & Poor's Ratings Services, a division of The
McGraw-Hill Companies, Inc. or any successor to its business.

      "Sale and Leaseback Transaction" means any sale or other transfer of
Property by any Person with the intent to lease such Property as lessee.

      "Schedule" refers to a specific schedule to this Agreement, unless another
document is specifically referenced.

      "Section" means a numbered section of this Agreement, unless another
document is specifically referenced.

      "Secured Obligations" means, collectively, (i) the Obligations and (ii)
all Rate Management Obligations owing to one or more Lenders.

      "Secured Parties" is defined in Recital B of the Security Agreement.

      "Security or Securities" means any FHLMC Security, FNMA Security or GNMA
Security.

      "Security Agreement" means the Fifth Amended and Restated Security and
Collateral Agency Agreement as of even date herewith, substantially in the form
of Exhibit "I" attached hereto, by and among the Borrower, the Agent, and the
Collateral Agent, pursuant to which a security interest is created in favor of
the Collateral Agent for the Lenders under this Agreement in certain Collateral
to be pledged pursuant to this Agreement, as the same may, from time to time, be
further supplemented, modified or amended.

      "Servicing Agreement" means a written contract of the Borrower with
another Person to act on behalf of such other Person to, among other things,
receive payments in respect of Mortgage Loans and to service Mortgage Loans.

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      "Servicing Borrowing Base" means, for any day, that portion of the
Borrowing Base attributable to Eligible Mortgage Servicing Rights and Eligible
Servicing Sale Receivables.

      "Servicing Hedge Agreement" means an agreement, device or arrangement
providing for payments which are related to fluctuations of interest rates,
exchange rates or forward rates, including, but not limited to,
dollar-denominated or cross-currency interest rate exchange agreements, forward
currency exchange agreements, interest rate floor, cap or collar protection
agreements, forward rate currency or interest rate options, puts and warrants.

      "Servicing Portfolio" means all Mortgage Loans then being serviced by the
Borrower either for its own account with respect to Pledged Items or for others
under Servicing Agreements (excluding Subservicing Agreements).

      "Servicing Purchaser" means a Person which has purchased Servicing
Agreements from the Borrower.

      "Servicing Rights Certificate" is defined in Section 6.1(xiii).

      "Servicing Sale Receivables" means funds due to the Borrower from a
Servicing Purchaser in connection with a sale of Servicing Agreements from the
Borrower to such Servicing Purchaser.

      "Servicing Take-Out Value" means, with respect to any Mortgage Loan
serviced by the Borrower pursuant to a Servicing Agreement constituting Eligible
Mortgage Servicing Rights, the amount to be paid by the Approved Servicing
Purchaser under the applicable Approved Servicing Sale Agreement for the rights
to service such Mortgage Loan.

      "Servicing Transfer Report" is defined in Section 6.1(xiv).

      "Settlement Account" means the account which may be established pursuant
to Section 8.4.

      "Single Employer Plan" means a Plan maintained by the Borrower or any
member of the Controlled Group for employees of the Borrower or any member of
the Controlled Group.

      "Single Family Residence" means a one to four family dwelling unit, which
may be a condominium unit but which shall not be a mobile home, manufactured
housing (the general definition of which is that the majority of the structure
is constructed and assembled elsewhere and delivered to the site) or a dwelling
unit in a cooperative apartment building.

      "Subservicing Agreement" means a Servicing Agreement between the Borrower
and a Person which does not own the Mortgage Loans being serviced thereunder but
only has servicing or other non-ownership rights with respect thereto, pursuant
to which the Borrower subservices loans for others.

      "Subsidiary" of a Person means (i) any corporation more than 50% of the
outstanding securities having ordinary voting power of which shall at the time
be owned or controlled, directly or indirectly, by such Person or by one or more
of its Subsidiaries or by such Person and one or more of its Subsidiaries, or
(ii) any partnership, limited liability company, association, joint venture or
similar business organization more than 50% of the ownership interests having
ordinary voting power of which shall at the time be so owned or controlled.
Unless otherwise expressly provided, all references herein to a "Subsidiary"
shall mean a Subsidiary of the Borrower.

                                       29

<PAGE>

      "Substantial Portion" means, with respect to the Property of the Borrower
and its Subsidiaries, Property which (i) represents more than 10% of the
consolidated assets of the Borrower and its Subsidiaries as would be shown in
the consolidated financial statements of the Borrower and its Subsidiaries as at
the beginning of the twelve-month period ending with the month in which such
determination is made, and (ii) is responsible for more than 10% of the
consolidated net income of the Borrower and its Subsidiaries as reflected in the
financial statements referred to in clause (i) above.

      "Super Jumbo Mortgage Loan" means a Residential Mortgage Loan which is a
Conforming Mortgage Loan in all respects except for its original principal
balance, provided that such original principal balance was in excess of $750,000
but was not more than $2,000,000.

      "Swingline Advance" means an Advance made by the Swingline Lender under
the special availability provisions described in Section 2.4.

      "Swingline Commitment" means the obligation of the Swingline Lender to
make Swingline Loans not exceeding the amount set forth as its "Swingline
Commitment" on Schedule 1 hereto, as such amount may be modified from time to
time pursuant to the terms hereof.

      "Swingline Lender" means JPMorgan Chase Bank, N.A.

      "Swingline Loan" means a Loan that is a Swingline Advance.

      "Taxes" means any and all present or future taxes, duties, levies,
imposts, deductions, charges or withholdings, and any and all liabilities with
respect to the foregoing.

      "Termination Date" means May __, 2009 or any earlier date on which the
Aggregate Commitment is reduced to zero or otherwise terminated pursuant to the
terms hereof.

      "Transferee" is defined in Section 12.5.

      "Trust Receipt" means a trust receipt substantially in the form of Exhibit
2 to the Security Agreement.

      "Type" means, with respect to any Advance, its nature as a LIBOR Advance
or Swingline Advance.

      "Unfunded Liabilities" means the amount (if any) by which the present
value of all vested and unvested accrued benefits under all Single Employer
Plans exceeds the fair market value of all such Plan assets allocable to such
benefits, all determined as of the then most recent valuation date for such
Plans using PBGC actuarial assumptions for single employer plan terminations.

      "Unmatured Default" means an event which but for the lapse of time or the
giving of notice, or both, would constitute a Default.

      "VA" means the Veterans Administration or other agency, corporation or
instrumentality of the United States as to which the powers and duties of the
Veterans Administration have been transferred.

      "VA-Approved Lender" means an institution that is approved by the VA to
act as a lender in connection with the origination of any Mortgage Loan
guaranteed by the VA.

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<PAGE>

      "Wholly-Owned Subsidiary" of a Person means (i) any Subsidiary all of the
outstanding voting securities of which shall at the time be owned or controlled,
directly or indirectly, by such Person or one or more Wholly-Owned Subsidiaries
of such Person, or by such Person and one or more Wholly-Owned Subsidiaries of
such Person, or (ii) any partnership, limited liability company, association,
joint venture or similar business organization 100% of the ownership interests
having ordinary voting power of which shall at the time be so owned or
controlled.

      The foregoing definitions shall be equally applicable to both the singular
and plural forms of the defined terms.

                                   ARTICLE II
                                   THE CREDITS

      2.1 Commitment, Sublimits and Types of Advances.

            2.1.1 Commitment and Lending Sublimits. From and including the date
of this Agreement and prior to the Termination Date, each Lender severally
agrees, on the terms and conditions set forth in this Agreement (including the
lending sublimits (the "Lending Sublimits") set forth below), to make Loans to
the Borrower from time to time; provided that, on any date, after giving effect
to such Loans and all other loans that the Borrower has requested be made on
such date under this Agreement:

                  (1) the aggregate principal balance then outstanding under all
            Loans then held by such Lender shall not exceed the amount of such
            Lender's then-current Commitment;

                  (2) the aggregate principal balance of all outstanding
            Swingline Loans held by any Swingline Lender on any date shall not
            exceed such Swingline Lender's Swingline Commitment; and

                  (3) the aggregate principal balance of all outstanding
            Advances under this Agreement on such date shall not exceed the
            lesser of (i) the Aggregate Commitment and (ii) the Borrowing Base.

Subject to the terms of this Agreement, the Borrower may borrow, repay and
reborrow at any time prior to the Termination Date. The Commitments to lend
hereunder shall expire on the Termination Date.

            2.1.2 Borrowing Base Sublimits by Category. The maximum amount that
can be credited toward the Borrowing Base from certain categories of Eligible
Collateral shall be limited so that the Borrowing Base value attributable to:

            (i)   Eligible Conforming Super Jumbo Mortgage Loans shall not
                  exceed twenty percent (20%) of the Aggregate Commitment;

            (ii)  Eligible Investment Loans shall not exceed five percent (5%)
                  of the Aggregate Commitment;

            (iii) Aggregate Servicing Value shall not exceed ten percent (10%)
                  of the Aggregate Commitment; and

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<PAGE>

            (iv)  Eligible Non-Conforming Mortgage Loans, Eligible Investment
                  Loans and Aggregate Servicing Value in the aggregate, shall
                  not exceed fifty percent (50%) of the Aggregate Commitment;
                  provided however that notwithstanding the foregoing, during
                  each month of December and each month of January, the
                  aggregate Borrowing Base value attributable to such three
                  types of Eligible Collateral may exceed such 50% sublimit so
                  long as the aggregate Borrowing Base value attributable to
                  such three types of Eligible Collateral does not at any time
                  exceed sixty percent (60%) of the Aggregate Commitment.

            2.1.3 Borrowing Base Sublimits by Asset Type. The maximum amount
that can be credited toward the Borrowing Base from certain types of Collateral
shall be limited (collectively with the limits set forth in Section 2.1.2, the
"Borrowing Base Sublimits") so that the Borrowing Base value attributable to:

            (i)   Eligible Conforming Jumbo Mortgage Loans and Eligible
                  Conforming Super Jumbo Mortgage Loans, in the aggregate, shall
                  not exceed thirty five percent (35%) of the Aggregate
                  Commitment (subject to the inclusion of any such Mortgage
                  Loans in excess of this Borrowing Base Sublimit as Eligible
                  Non-Conforming Mortgage Loans);

            (ii)  Eligible Non-Conforming Jumbo Mortgage Loans and Eligible
                  Non-Conforming Super Jumbo Mortgage Loans, in the aggregate,
                  shall not exceed forty percent (40%) of the Aggregate
                  Commitment:,

            (iii) Qualifying Negatively Amortizing Loans shall not exceed ten
                  percent (10%) of the Aggregate Commitment, provided further
                  that (i) Non-Owner Occupied Mortgage Loans shall not
                  constitute more than fifteen percent (15%) of such Qualifying
                  Negatively Amortizing Loans, based on principal balances and
                  (ii) Low End Qualifying Negatively Amortizing Loans, which
                  shall be included in calculating such 10% sublimit, shall also
                  not exceed a sub-sublimit of five percent (5%) of the
                  Aggregate Commitment;

            (iv)  Non-Owner Occupied Mortgage Loans shall not exceed twenty
                  percent (20%) of the Aggregate Commitment;

            (v)   Qualifying HLTV Loans shall not exceed five percent (5%) of
                  the Aggregate Commitment;

            (vi)  Qualifying Under-560 Mortgage Loans shall not exceed five
                  percent (5%) of the Aggregate Commitment; and

            (vii) Qualifying Non-Conforming Second Liens shall not exceed two
                  percent (2%) of the Aggregate Commitment.

            2.1.4 Types of Advances. Each Advance hereunder shall consist of one
or more LIBOR Advances or Swingline Advances requested by the Borrower in
accordance with Section 2.6. LIBOR Advances shall be available as provided in
Section 2.2 and Swingline Advances shall be available as provided in Section
2.4.

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<PAGE>

      2.2 LIBOR Advances. Subject to the terms and conditions herein (including
the Lending Sublimits) the Borrower may request LIBOR Advances from the Lenders
on a pro rata basis in accordance with each such Lender's Commitment Percentage.
LIBOR Advances shall bear interest at a floating rate equal to the LIBOR Rate.

      2.3 Buy Down Loans. Notwithstanding anything contained in this Agreement,
the Borrower and any individual Lender (a "Buy-Down Lender") may notify the
Agent in writing that the Borrower and such Buy-Down Lender have entered into a
Buy-Down Agreement with respect to all Loans from time to time outstanding and
held by such Buy-Down Lender, and, that, pursuant to said Buy-Down Agreement,
the interest rate applicable to such Loans during any interest calculation
period shall be the Buy-Down Rate with respect to such Loans and shall be based
on the assumption that the Borrower shall maintain sufficient Available Deposits
with such Buy-Down Lender. The Agent shall (until otherwise notified by the
Borrower and Buy-Down Lender to the contrary) accrue interest on such Loans at
the Buy-Down Rate and the Borrower shall pay such interest in accordance with
Section 2.14. The Agent shall have no obligation to verify the amount of any
Available Deposits supporting the pricing of such Loans held by any Buy-Down
Lender, including without limitation, any deficiency fees or other amounts
payable to such Lender by the Borrower under the applicable Buy-Down Agreement.
The Borrower shall pay all deficiency fees or other amounts payable under its
Buy-Down Agreement with each Buy-Down Lender directly to such Buy-Down Lender
within ten (10) calendar days of receipt of a billing statement from such
Buy-Down Lender. Any Buy-Down Lender may elect not to make demand for the
payment of deficiency fees accruing in respect of any shortage of Available
Deposits from time to time and it is expressly agreed and understood that: (1)
any such deficiency fee shall not, by reason of such failure of such Buy-Down
Lender or otherwise, be deemed to have been waived by such Buy-Down Lender
(except as such waiver is expressly acknowledged in writing by such Buy-Down
Lender from time to time), and (2) all deficiency fees accrued and unpaid
hereunder and not so expressly waived, whether or not previously declared due
and owing by any such Buy-Down Lender, shall automatically be due and payable in
full upon the Termination Date.

      2.4 Swingline Advances.

            2.4.1 General. Subject to the terms and conditions herein (including
the Lending Sublimits), the Borrower may request Swingline Advances from the
Swingline Lender. On any Borrowing Date each Swingline Advance requested by the
Borrower shall be funded to the Borrower by the Swingline Lender and in such
amounts as designated in the Borrowing Notice.

            2.4.2 Swingline Advances to Pay Amounts Due to Swingline Lender. If
any amounts are advanced by the Swingline Lender to cover checks or wire
transfers from Borrower accounts maintained with the Swingline Lender when there
are insufficient funds in such accounts to cover the applicable check or wire
transfer and sufficient funds are not deposited in the applicable account before
the close of business on the day on which the applicable check or wire transfer
request is honored, then the Borrower shall be deemed to have requested, and the
Swingline Lender may (but shall not be obligated to) elect to make, a Swingline
Advance to pay such overdraft amount (even if after giving effect to such a
Swingline Advance the aggregate amount of all outstanding Swingline Advances
would exceed the Swingline Commitment); provided however, that (i) the Swingline
Lender shall not make any such Swingline Advance to the extent such Advance
would cause (x) the aggregate unpaid principal amount outstanding under this
Agreement to exceed the Borrowing Base or (y) the aggregate principal balance of
all outstanding Advances under this Agreement to exceed the Aggregate
Commitment, and

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<PAGE>

(ii) the reallocations of any such Swingline Advances among the Lenders shall be
as set forth in Section 2.4.3.

            2.4.3 Reallocation of Swingline Advances. The Swingline Lender may
by written notice given to the Agent not later than 10:00 a.m., New York City
time, on any Business Day require the Lenders to acquire participations on such
Business Day in all or a portion of the Swingline Advances outstanding. Such
notice shall specify the aggregate amount of Swingline Advances in which Lenders
will participate. Following receipt of such a notice, the Administrative Agent
will give notice thereof to each Lender by 12:30 p.m., New York City time,
specifying in such notice such Lender's Commitment Percentage of such Swingline
Loan. Each Lender hereby absolutely and unconditionally agrees, upon receipt of
notice as provided above, to pay to the Agent, for the account of the Swingline
Lender, by 3:00 p.m., New York City time, such Lender's Commitment Percentage of
such Swingline Advances. Each Lender acknowledges and agrees that its obligation
to acquire participations in Swingline Advances pursuant to this paragraph is
absolute and unconditional and shall not be affected by any circumstance
whatsoever, including the occurrence and continuance of a Default or reduction
or termination of the Commitments, and that each such payment shall be made
without any offset, abatement, withholding or reduction whatsoever. Each Lender
shall comply with its obligation under this paragraph by wire transfer of
immediately available funds, in the same manner as provided in Section 2.6 with
respect to Loans made by such Lender (and Section 2.6 shall apply, mutatis
mutandis, to the payment obligations of the Lenders), and the Agent shall
promptly pay to the Swingline Lender the amounts so received by it from the
Lenders. The Agent shall notify the Borrower of any participations in any
Swingline Advances acquired pursuant to this paragraph, and thereafter payments
in respect of such Swingline Advances shall be made to the Agent and not to the
Swingline Lender. Any amounts received by the Swingline Lender from the Borrower
(or other party on behalf of the Borrower) in respect of a Swingline Advances
after receipt by the Swingline Lender of the proceeds of a sale of
participations therein shall be promptly remitted to the Agent; any such amounts
received by the Administrative Agent shall be promptly remitted by the Agent to
the Lenders that shall have made their payments pursuant to this paragraph and
to the Swingline Lender, as their interests may appear; provided that any such
payment so remitted shall be repaid to the Swingline Lender or to the Agent, as
applicable, if and to the extent such payment is required to be refunded to the
Borrower for any reason. If any Lender fails to provide its funds to the Agent
to repay its share of any Swingline Advances when due (including any such
failure caused by a fed funds wire delay), then that Lender shall also be
obligated to pay to the Agent for the account of the Swingline Lender interest
on the unpaid balance of principal so due to the Swingline Lender at the Federal
Funds Effective Rate from such due date until three (3) Business Days after such
due date, and at the Federal Funds Effective Rate plus two percent (2%) from
three (3) Business Days after such due date until the date of payment of such
principal sum. The purchase of participations in a Swingline Loan pursuant to
this paragraph shall not relieve the Borrower of any default in the payment
thereof.

      2.5 Fees. The Borrower shall pay the following fees (the "Fees"):

            2.5.1 Facility Fees. A facility fee based on the Aggregate
Commitment from time to time from and after the date hereof, calculated at the
Facility Fee Rate, expressed as a per diem rate on the actual Aggregate
Commitment for each day during the preceding full or partial calendar quarter,
payable in arrears, on the last day of each calendar quarter and on the
Termination Date. This fee shall be paid to the Agent and allocated among the
Lenders on a pro rata basis in accordance with their respective Commitments
during such quarter.

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<PAGE>

            2.5.2 Amendment Fee. An amendment fee of $2,500 to each Lender for
each material waiver or amendment (as determined in the sole and absolute
discretion of the Agent) to this Agreement other than amendments made to
increase or reduce the Aggregate Commitment under Section 2.7 of this Agreement
(provided that with respect to each waiver or amendment, such fee shall only be
due to Lenders that sign such waiver or amendment by the date requested by the
Agent).

            2.5.3 Agent Fees. Any fees payable to the Agent pursuant to the
Borrower's letter agreement with the Agent dated April 7, 2006.

            2.5.4 Collateral Agent Fees. Any fees payable to Collateral Agent
for its services rendered pursuant to the Security Agreement as agreed to by the
Borrower and charged by Collateral Agent from time to time.

            2.5.5 Fees Payable in connection with Buy-Down Loans. The Borrower
shall pay any fees and other charges when due to any Buy-Down Lender under a
Buy-Down Agreement as described in Section 2.3.

      2.6 Method of Requesting New Advances. The Borrower shall give the Agent
irrevocable notice in the form attached hereto as Exhibit B and made a part
hereof (a "Borrowing Notice") not later than (i) 5:00 p.m. (New York City time)
on the proposed Borrowing Date for each Swingline Advance, and (ii) noon (New
York City time) on the proposed Borrowing Date for each LIBOR Advance,
specifying:

      (a)   the Borrowing Date, which shall be a Business Day, of such Advance,

      (b)   the aggregate amount of such Advance, which, in the case of a LIBOR
            Advance, shall be in an amount equal to $5,000,000 or a whole
            multiple of $1,000,000 in excess thereof, or, in the case of a
            Swingline Advance, shall be in a minimum amount of $100,000, but
            need not be in multiples of $100,000 if in excess thereof; and

      (c)   the Type of Advance selected.

Not later than 3:00 p.m. (New York City time) on each Borrowing Date, each
Lender shall make available its Loan comprising the LIBOR Advance requested, in
funds immediately available in New York City to the Agent at its address
specified pursuant to Article XIII. Swingline Advances shall be made available
to the Borrower promptly after the Borrowing Notice is received prior to the
close of business. The Agent will make the funds so received from the Lenders
available to the Borrower at the Agent's aforesaid address.

      2.7 Changes to Aggregate Commitment.

            2.7.1 Reductions to Aggregate Commitment. The Borrower may from time
to time permanently reduce the Aggregate Commitment in whole, or in part ratably
among the Lenders in integral multiples of $5,000,000, upon at least five (5)
Business Days written notice to the Agent, which notice shall specify the amount
of any such reduction. On or before the effective date of any such reduction,
the Borrower shall, if necessary, repay sufficient Loans to prevent the
remaining outstanding Loans hereunder, after giving effect to such permanent
reduction, from exceeding the Lending Sublimits. Upon any reduction of the
Aggregate Commitment, upon the election of the Swingline

                                       35

<PAGE>

Lender, the reduction in such Lender's Commitment may also reduce its Swingline
Commitment on a pro rata basis.

            2.7.2 Temporary Increases in Aggregate Commitment. The Borrower
shall have the right to temporarily increase the Aggregate Commitment from its
then-current level to an amount not greater than the Maximum Aggregate
Commitment and for a period not in excess of 45 days, by obtaining an additional
Commitment or Commitments from one or more of the Lenders, provided that such
Lender has agreed, in its sole discretion, to provide such an additional
Commitment and provided further that the Borrower shall not be permitted to
temporarily increase the Aggregate Commitment more than four (4) times in any
calendar year. Each such increase shall be evidenced by an amendment in the form
attached hereto as Exhibit K, which amendment shall be executed by the Borrower,
the Agent and each Lender increasing its Commitment thereby. Each such amendment
shall amend Schedule 1 to the extent necessary to reflect the changes in the
Commitments hereunder, and the Agent shall promptly deliver a copy of such
amendment to each Lender. On the Business Day that any such increase becomes
effective, all outstanding LIBOR Advances shall be reallocated among the Lenders
in accordance with the Lenders' respective Commitment Percentages.

            2.7.3 Permanent Increases to Aggregate Commitment. The Borrower
shall have the right to permanently increase the Aggregate Commitment to an
amount not greater than the Maximum Aggregate Commitment by obtaining additional
Commitments, either from one or more of the Lenders or from another lending
institution provided that (A) such Lender or other lending institution has
agreed, in its sole discretion, to provide such additional Commitment, (B) the
Agent has approved the identity of any such new Lender, such approval not to be
unreasonably withheld, (C) any such new Lender assumes all of the rights and
obligations of a "Lender" hereunder, and (D) the Borrower may so permanently
increase the Aggregate Commitment not more than two (2) times between the
Effective Date and the date eighteen (18) months after the Effective Date. Each
such increase shall be evidenced by an amendment in the form attached hereto as
Exhibit N and shall only require the written signatures of the Agent, the
Borrower and Lender being added or increasing its Commitment. In addition, each
such amendment shall revise Schedule 1 reflecting such increase and the Agent
shall promptly distribute such amendment and revised Schedule to each of the
Lenders and the Borrower. On the Business Day that any such increase becomes
effective, all outstanding LIBOR Advances shall be reallocated among the Lenders
(including any newly added Lenders) in accordance with the Lenders' respective
revised Commitment Percentages.

      2.8 Principal Payments.

            2.8.1 Optional Principal Payments. The Borrower may from time to
time pay, without penalty or premium, (i) all outstanding LIBOR Advances, or, in
a minimum aggregate amount of $500,000 or any integral multiple of $100,000 in
excess thereof, any portion of the outstanding LIBOR Advances or (ii) all or any
portion of the outstanding Swingline Advances on any Business Day.

            2.8.2 Required Payments Related to Borrowing Base. On any date that
the aggregate unpaid principal amount outstanding under this Agreement is in
excess of the then-current Borrowing Base, the Borrower shall, prior to the
close of business on such date, either deliver sufficient Eligible Collateral to
eliminate such excess or make a mandatory payment to the Agent for the benefit
of the Lenders in the amount of such excess. Any such payment shall be allocated
in accordance with the Lenders' respective outstanding Loans with such payments
applied to principal.

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<PAGE>

            2.8.3 Settlement Account Payments. Prior to the occurrence of a
Default, to the extent the amounts in the Settlement Account are not needed to
keep the Borrowing Base equal to or greater than the aggregate unpaid principal
amount outstanding under this Agreement, the Borrower may withdraw or otherwise
direct the application of such amounts. Upon the occurrence of a Default (and
during the continuance thereof), the Agent may declare a portion of the
principal balance of the Loans, equal to any amounts then on deposit in the
Settlement Account and any deposits made in the Settlement Account during the
continuance of such Default, to be due and payable without demand (unless
previously declared due and payable). Such amount shall be withdrawn from the
Settlement Account by the Agent and shall be applied to the Obligations.

            2.8.4 Final Payment on Termination Date. Any outstanding Advances
and all other unpaid Obligations, unless required to be paid earlier pursuant to
the terms hereof, shall be paid in full by the Borrower on the Termination Date.

            2.8.5 Pulte Change in Control. If a Pulte Change in Control shall
occur, all Commitments shall be terminated and all amounts outstanding under
this Agreement shall become due and payable upon the election of the Required
Lenders.

      2.9 Changes in Interest Rate, etc. Each LIBOR Advance shall bear interest
on the outstanding principal amount thereof, for each day from and including the
date such Advance is made but excluding the date it is paid at a rate per annum
equal to the LIBOR Rate for such day. Changes in the rate of interest on each
LIBOR Advance will take effect daily with each change in the LIBOR Rate and
Applicable Margin.

      2.10 Rates Applicable After Default. During the continuance of a Default
the Required Lenders may, at their option, by notice to the Borrower (which
notice may be revoked at the option of the Required Lenders notwithstanding any
provision of Section 9.1 requiring unanimous consent of the Lenders to
reductions in interest rates) declare that each LIBOR Advance shall bear
interest at the rate otherwise applicable to such LIBOR Advance (which rate
includes the Applicable Margin) plus 2% per annum provided that, during the
continuance of a Default under Section 7.6 or 7.7, such increased interest rate
shall be applicable to all LIBOR Advances without any election or action on the
part of the Agent or any Lender.

      2.11 Method of Payment. All payments of the Obligations hereunder shall be
made, without setoff, deduction, or counterclaim, in immediately available funds
to the Agent at the Agent's address specified pursuant to Article XIII, or at
any other Lending Installation of the Agent specified in writing by the Agent to
the Borrower, on the date when due by (i) 12:30 p.m. (New York City time) with
respect to all LIBOR Advances and (ii) 5:00 p.m. (New York City time) with
respect to Swingline Advances and all such payments shall be applied in
accordance with Section 2.8. Each payment delivered to the Agent for the account
of any Lender shall be delivered promptly by the Agent to such Lender in the
same type of funds that the Agent received at its address specified pursuant to
Article XIII or at any Lending Installation specified in a notice received by
the Agent from such Lender. The Agent is hereby authorized to charge the account
of the Borrower maintained with JPMC for each payment of principal, interest and
fees as it becomes due hereunder.

      2.12 Noteless Agreement; Evidence of Indebtedness.

            (i) Each Lender shall maintain in accordance with its usual practice
      an account or accounts evidencing the indebtedness of the Borrower to such
      Lender resulting from each Loan

                                       37

<PAGE>

      made by such Lender from time to time, including the amounts of principal
      and interest payable and paid to such Lender from time to time hereunder.

            (ii) Subject to Section 2.3, the Agent shall also maintain accounts
      in which it will record (a) the amount of each Loan made hereunder, (b)
      the amount of any principal or interest due and payable or to become due
      and payable from the Borrower to each Lender hereunder and (c) the amount
      of any sum received by the Agent hereunder from the Borrower and each
      Lender's share thereof.

            (iii) The entries maintained in the accounts maintained pursuant to
      paragraphs (i) and (ii) above shall be prima facie evidence of the
      existence and amounts of the Obligations therein recorded; provided,
      however, that the failure of the Agent or any Lender to maintain such
      accounts or any error therein shall not in any manner affect the
      obligation of the Borrower to repay the Obligations in accordance with
      their terms.

            (iv) Any Lender may request that its Loans be evidenced by a Note.
      In such event, the Borrower shall prepare, execute and deliver to such
      Lender a Note payable to the order of such Lender. Thereafter, the Loans
      evidenced by such Note and interest thereon shall at all times (including
      after any assignment pursuant to Section 12.3) be represented by one or
      more Notes payable to the order of the payee named therein or any assignee
      pursuant to Section 12.3, except to the extent that any such Lender or
      assignee subsequently returns any such Note for cancellation and requests
      that such Loans once again be evidenced as described in paragraphs (i) and
      (ii) above.

      2.13 Telephonic Notices. The Borrower hereby authorizes the Lenders and
the Agent to extend Advances and to transfer funds based on telephonic notices
made by any person or persons the Agent or any Lender in good faith believes to
be acting on behalf of the Borrower, it being understood that the foregoing
authorization is specifically intended to allow Borrowing Notices to be given
telephonically. The Borrower agrees to deliver promptly to the Agent a written
confirmation, if such confirmation is requested by the Agent or any Lender, of
each telephonic notice signed by an Authorized Officer. If the written
confirmation differs in any material respect from the action taken by the Agent
and the Lenders, the records of the Agent and the Lenders shall govern absent
manifest error.

      2.14 Interest Payment Dates; Interest and Fee Basis. Subject to Section
2.3, interest accrued on each Advance shall be payable on each Payment Date,
commencing with the first such date to occur after the date hereof and at
maturity. Interest and Fees shall be calculated for actual days elapsed on the
basis of a 360-day year. Interest shall be payable for the day an Advance is
made but not for the day of any payment on the amount paid if payment is
received at the place of payment prior to the time required for payment as set
forth in Section 2.11. If any payment of principal of or interest on an Advance
shall become due on a day which is not a Business Day, such payment shall be
made on the next succeeding Business Day and, in the case of a principal
payment, such extension of time shall be included in computing interest in
connection with such payment.

      2.15 Notification by the Agent. Promptly after receipt thereof, the Agent
will notify each Lender of the contents of each Aggregate Commitment reduction
notice, Borrowing Notice, and repayment notice received by it hereunder.

      2.16 Lending Installations. Each Lender may book its Loans at any Lending
Installation selected by such Lender and may change its Lending Installation
from time to time. All terms of this

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<PAGE>

Agreement shall apply to any such Lending Installation and the Loans and any
Notes issued hereunder shall be deemed held by each Lender for the benefit of
such Lending Installation. Each Lender may, by written notice to the Agent and
the Borrower in accordance with Article XIII, designate replacement or
additional Lending Installation through which Loans will be made by it and for
whose account Loan payments are to be made.

      2.17 Non-Receipt of Funds by the Agent. Unless the Borrower or a Lender,
as the case may be, notifies the Agent prior to the date on which it is
scheduled to make payment to the Agent of (i) in the case of a Lender, the
proceeds of a Loan or an Advance or (ii) in the case of the Borrower, a payment
of principal (including but not limited to situations in which the Borrower
informs the Agent that the Agent will be receiving proceeds of Collateral on a
specific date and that the Borrower intends to use such proceeds to make a
payment of principal), interest or Fees to the Agent for the account of the
Lenders, that it does not intend to make such payment, the Agent may assume that
such payment has been made. The Agent may, but shall not be obligated to, make
the amount of such payment available to the intended recipient in reliance upon
such assumption. If such Lender or the Borrower, as the case may be, has not in
fact made such payment to the Agent, the recipient of such payment shall, on
demand by the Agent, repay to the Agent the amount so made available together
with interest thereon in respect of each day during the period commencing on the
date such amount was so made available by the Agent until the date the Agent
recovers such amount at a rate per annum equal to (x) in the case of payment due
from a Lender, the Federal Funds Effective Rate for such day for the first three
days and, thereafter, either the interest rate provided for in Section 2.3 if
the payment relates to a Swingline Advance or, in all other cases, the interest
rate applicable to the relevant Loan or (y) in the case of payment due from the
Borrower, the interest rate applicable to the relevant Loan.

                                  ARTICLE III
                             CHANGE IN CIRCUMSTANCES

      3.1 Yield Protection. If, on or after the date of this Agreement, the
adoption of any law or any governmental or quasi-governmental rule, regulation,
policy, guideline or directive (whether or not having the force of law), or any
change in the interpretation or administration thereof by any governmental or
quasi-governmental authority, central bank or comparable agency charged with the
interpretation or administration thereof, or compliance by any Lender or
applicable Lending Installation with any request or directive (whether or not
having the force of law) of any such authority, central bank or comparable
agency:

            (i) subjects any Lender or any applicable Lending Installation to
      any Taxes or changes the basis of taxation of payments (other than with
      respect to Excluded Taxes) to any Lender in respect of its LIBOR Loans, or

            (ii) imposes or increases or deems applicable any reserve,
      assessment, insurance charge, special deposit or similar requirement
      against assets of, deposits with or for the account of, or credit extended
      by, any Lender or any applicable Lending Installation, or

            (iii) imposes any other condition the result of which is to increase
      the cost to any Lender or any applicable Lending Installation of making,
      funding or maintaining its LIBOR Loans or reduces any amount receivable by
      any Lender or any applicable Lending Installation in connection with its
      LIBOR Loans, or requires any Lender or any applicable Lending Installation
      to make any payment calculated by reference to the amount of its LIBOR
      Loans held or interest received by it, by an amount deemed material by
      such Lender,

                                       39

<PAGE>

and the result of any of the foregoing is to increase the cost to such Lender or
applicable Lending Installation of making or maintaining its LIBOR Loans or
Commitment or to reduce the return received by such Lender or applicable Lending
Installation in connection with such LIBOR Loans or Commitment, then, within 15
days of demand by such Lender, the Borrower shall pay such Lender such
additional amount or amounts as will compensate such Lender for such increased
cost or reduction in an amount received.

      3.2 Changes in Capital Adequacy Regulations. If a Lender determines the
amount of capital required or expected to be maintained by such Lender, any
Lending Installation of such Lender or any corporation controlling such Lender
is increased as a result of a Change, then, within 15 days of demand by such
Lender, the Borrower shall pay such Lender the amount necessary to compensate
for any shortfall in the rate of return on the portion of such increased capital
which such Lender determines is attributable to this Agreement, its Loans or its
Commitment to make Loans hereunder (after taking into account such Lender's
policies as to capital adequacy). "Change" means (i) any change after the date
of this Agreement in the Risk-Based Capital Guidelines or (ii) any adoption of
or change in any other law, governmental or quasi-governmental rule, regulation,
policy, guideline, interpretation, or directive (whether or not having the force
of law) after the date of this Agreement which affects the amount of capital
required or expected to be maintained by any Lender or any Lending Installation
or any corporation controlling any Lender. "Risk-Based Capital Guidelines" means
(i) the risk-based capital guidelines in effect in the United States on the date
of this Agreement, including transition rules, and (ii) the corresponding
capital regulations promulgated by regulatory authorities outside the United
States implementing the July 1988 report of the Basle Committee on Banking
Regulation and Supervisory Practices Entitled "International Convergence of
Capital Measurements and Capital Standards," including transition rules, and any
amendments to such regulations adopted prior to the date of this Agreement.

      3.3 Availability of Types of Advances. If any Lender determines that
maintenance of its LIBOR Loans at a suitable Lending Installation would violate
any applicable law, rule, regulation, or directive, whether or not having the
force of law, or if the Required Lenders determine that (i) deposits of a type
and maturity appropriate to match fund LIBOR Advances are not available or (ii)
the interest rate applicable to a Type of Advance does not accurately reflect
the cost of making or maintaining such Advance, then the Agent shall suspend the
availability of the affected Type of Advance and require any Advances of the
affected Type to be repaid.

      3.4 Taxes. (a) Any and all payments by or on account of any obligation of
the Borrower hereunder shall be made free and clear of and without deduction for
any Indemnified Taxes or Other Taxes; provided that if the Borrower shall be
required to deduct any Indemnified Taxes or Other Taxes from such payments, then
(i) the sum payable shall be increased as necessary so that after making all
required deductions (including deductions applicable to additional sums payable
under this Section) the Agent or Lender (as the case may be) receives an amount
equal to the sum it would have received had no such deductions been made, (ii)
the Borrower shall make such deductions and (iii) the Borrower shall pay the
full amount deducted to the relevant Governmental Authority in accordance with
applicable law.

      (b) In addition, the Borrower shall pay any Other Taxes to the relevant
Governmental Authority in accordance with applicable law.

      (c) The Borrower shall indemnify the Agent and each Lender, within 10 days
after written demand therefor, for the full amount of any Indemnified Taxes or
Other Taxes paid by the Agent or such Lender, as the case may be, on or with
respect to any payment by or on account of any obligation

                                       40

<PAGE>

of the Borrower hereunder (including Indemnified Taxes or Other Taxes imposed or
asserted on or attributable to amounts payable under this Section) and any
penalties, interest and reasonable expenses arising therefrom or with respect
thereto, whether or not such Indemnified Taxes or Other Taxes were correctly or
legally imposed or asserted by the relevant Governmental Authority. A
certificate prepared in good faith and setting forth in reasonable detail the
basis and amount of such payment or liability delivered to the Borrower by a
Lender, or by the Agent on its own behalf or on behalf of a Lender, shall be
conclusive absent manifest error.

      (d) As soon as practicable after any payment of Indemnified Taxes or Other
Taxes by the Borrower to a Governmental Authority, the Borrower shall deliver to
the Agent the original or a certified copy of a receipt issued by such
Governmental Authority evidencing such payment, a copy of the return reporting
such payment or other evidence of such payment reasonably satisfactory to the
Agent.

      (e) Any Foreign Lender that is entitled to an exemption from or reduction
of withholding tax under the law of the jurisdiction in which the Borrower is
located, or any treaty to which such jurisdiction is a party, with respect to
payments under this Agreement shall deliver to the Borrower (with a copy to the
Agent), at the time or times prescribed by applicable law, such properly
completed and executed documentation prescribed by applicable law or reasonably
requested by the Borrower as will permit such payments to be made without
withholding or at a reduced rate.

      (f) If the Agent or a Lender determines, in its sole discretion, that it
has received a refund of any Taxes or Other Taxes as to which it has been
indemnified by the Borrower or with respect to which the Borrower has paid
additional amounts pursuant to this Section 3.4, it shall pay over such refund
to the Borrower (but only to the extent of indemnity payments made, or
additional amounts paid, by the Borrower under this Section 3.4 with respect to
the Taxes or Other Taxes giving rise to such refund), net of all out-of-pocket
expenses of the Agent or such Lender and without interest (other than any
interest paid by the relevant Governmental Authority with respect to such
refund); provided, that the Borrower, upon the request of the Agent or such
Lender, agrees to repay the amount paid over to the Borrower (plus any
penalties, interest or other charges imposed by the relevant Governmental
Authority) to the Agent or such Lender in the event the Agent or such Lender is
required to repay such refund to such Governmental Authority. This Section shall
not be construed to require the Agent or any Lender to make available its tax
returns (or any other information relating to its taxes which it deems
confidential) to the Borrower or any other Person.

            3.5 Mitigation Obligations; Replacement of Lenders. (a) If any
Lender requests compensation under Section 3.1 or Section 3.2, or if the
Borrower is required to pay any additional amount to any Lender or any
Governmental Authority for the account of any Lender pursuant to Section 3.4,
then such Lender shall use reasonable efforts to designate a different lending
office for funding or booking its Loans hereunder or to assign its rights and
obligations hereunder to another of its offices, branches or affiliates, if, in
the judgment of such Lender, such designation or assignment (i) would eliminate
or reduce amounts payable pursuant to such Sections in the future and (ii) would
not subject such Lender to any unreimbursed cost or expense and would not
otherwise be disadvantageous to such Lender. The Borrower hereby agrees to pay
all reasonable costs and expenses incurred by any Lender in connection with any
such designation or assignment.

      (b) If any Lender requests compensation under Section 3.1 or Section 3.2,
or if the Borrower is required to pay any additional amount to any Lender or any
Governmental Authority for the account of any Lender pursuant to Section 3.4, or
if any Lender defaults in its obligation to fund Loans hereunder,

                                       41

<PAGE>

then the Borrower may, at its sole expense and effort, upon notice to such
Lender and the Agent, require such Lender to assign and delegate, without
recourse (in accordance with and subject to the restrictions contained in
Section 12.3), all its interests, rights and obligations under this Agreement to
an assignee that shall assume such obligations (which assignee may be another
Lender, if a Lender accepts such assignment); provided that (i) the Borrower
shall have received the prior written consent of the Agent, which consent shall
not unreasonably be withheld, (ii) such Lender shall have received payment of an
amount equal to the outstanding principal of its Loans and participations in
Swingline Advances, accrued interest thereon, accrued fees and all other amounts
payable to it hereunder, from the assignee (to the extent of such outstanding
principal and accrued interest and fees) or the Borrower (in the case of all
other amounts) and (iii) in the case of any such assignment resulting from a
claim for compensation under Section 3.1 or Section 3.2 or payments required to
be made pursuant to Section 3.4, such assignment will result in a reduction in
such compensation or payments. A Lender shall not be required to make any such
assignment and delegation if, prior thereto, as a result of a waiver by such
Lender or otherwise, the circumstances entitling the Borrower to require such
assignment and delegation cease to apply.

                                   ARTICLE IV
                 CONDITIONS PRECEDENT; WITHHOLDING TAX EXEMPTION

      4.1 Effectiveness. This Agreement shall not be effective and no Lender
shall be required to make the initial Advance hereunder until a date (the
"Effective Date") upon which the Borrower has furnished or caused to be
furnished to the Agent:

            (i) Copies of the articles or certificate of organization of the
      Borrower, together with all amendments, certified by the appropriate
      governmental officer in its jurisdiction of organization.

            (ii) Copies, certified by the Secretary or Assistant Secretary of
      the Borrower, of its operating or other management agreement and of
      resolutions of its members and of any other body authorizing the execution
      of the Loan Documents to which the Borrower is a party.

            (iii) An incumbency certificate, executed by the Secretary or
      Assistant Secretary of the Borrower, which shall identify by name and
      title and bear the signatures of the Authorized Officers and any other
      officers of the Borrower authorized to sign the Loan Documents to which
      the Borrower is a party, upon which certificate the Agent and the Lenders
      shall be entitled to rely until informed of any change in writing by the
      Borrower.

            (iv) A good standing certificate for the Borrower from the Secretary
      of State of its state of organization.

            (v) A certificate, signed by the chief financial officer of the
      Borrower, stating that on the initial Borrowing Date no Default or
      Unmatured Default has occurred and is continuing.

            (vi) A written opinion of the Borrower's counsel, addressed to the
      Lenders in a form acceptable to Agent.

            (vii) Any Notes requested by a Lender pursuant to Section 2.12
      payable to the order of each such requesting Lender.

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<PAGE>

            (viii) A fully executed Security Agreement, together with such
      executed UCC-1 financing statements as the Agent may reasonably request.

            (ix) Copies of the existing Acknowledgment Agreements with respect
      to the Pledged Servicing, to be updated to reflect the current amendment
      and restatement of the Facility in form and substance satisfactory to the
      Agent within sixty (60) days after the Effective Date.

            (x) Payment of all Fees due and payable on or before the Effective
      Date.

            (xi) A copy of the Positions Report for the calendar month
      immediately preceding the Effective Date, together with such detail
      regarding the Borrower's hedges as the Agent may have reasonably
      requested.

            (xii) Such other documents as any Lender or its counsel may have
      reasonably requested.

      4.2 Each Advance. The Lenders shall not be required to make any Advance
(other than an Advance that, after giving effect thereto and to the application
of the proceeds thereof, does not increase the aggregate amount of outstanding
Advances), unless on the applicable Borrowing Date:

            (i) There exists no Default or Unmatured Default.

            (ii) The representations and warranties contained in Article V are
      true and correct in all material respects as of such Borrowing Date except
      to the extent any such representation or warranty is stated to relate
      solely to an earlier date, in which case such representation or warranty
      shall have been true and correct in all material respects on and as of
      such earlier date.

            (iii) All legal matters incident to the making of such Advance shall
      be reasonably satisfactory to the Lenders and their counsel.

      Each Borrowing Notice with respect to each such Advance shall constitute a
representation and warranty by the Borrower that each Pledged Item included in
the Borrowing Base constitutes Eligible Collateral, and that after giving effect
to the amount of the Advance being requested, (a) the conditions contained in
Sections 4.2(i) and (ii) have been satisfied, (b) the Borrower has provided the
Collateral Agent with the true and correct information including the GAAP
Carrying Values (correctly calculated in accordance with the provisions of this
Agreement) necessary to calculate the Collateral Value for all Eligible
Collateral, (c) the then current Borrowing Base is equal to or greater than the
aggregate unpaid principal amount outstanding under this Agreement and (d) no
Lending Sublimit or Borrowing Base Sublimit has been exceeded.

                                   ARTICLE V
                         REPRESENTATIONS AND WARRANTIES

      The Borrower represents and warrants to the Lenders that:

      5.1 Existence and Standing. Each of the Borrower and its Subsidiaries is a
corporation, partnership (in the case of Subsidiaries only) or limited liability
company duly and properly incorporated or organized, as the case may be, validly
existing and (to the extent such concept applies to such entity) in good
standing under the laws of its jurisdiction of incorporation or organization
and,

                                       43

<PAGE>

except for the State of Rhode Island, has all requisite authority to conduct its
business in each jurisdiction in which its business is conducted. The failure of
Borrower and its Subsidiaries to be authorized to conduct business in Rhode
Island could not reasonably be expected to have a Material Adverse Effect.

      5.2 Authorization and Validity. The Borrower has the power and authority
to execute and deliver the Loan Documents and to perform its obligations
thereunder. The execution and delivery by the Borrower of the Loan Documents and
the performance of its obligations thereunder have been duly authorized by
proper limited liability company proceedings, and the Loan Documents to which
the Borrower is a party constitute legal, valid and binding obligations of the
Borrower enforceable against the Borrower in accordance with their terms, except
as enforceability may be limited by bankruptcy, insolvency or similar laws
affecting the enforcement of creditors' rights generally and by general
principles of equity.

      5.3 No Conflict; Government Consent. Neither the execution and delivery by
the Borrower of the Loan Documents nor the consummation of the transactions
therein contemplated, nor compliance with the provisions thereof will violate
(i) any law, rule, regulation, order, writ, judgment, injunction, decree or
award binding on the Borrower or any of its Subsidiaries if any such violation
could reasonably be expected to have a material adverse effect on the business
or financial condition of the Borrower and its Subsidiaries taken as a whole or
(ii) the Borrower's or any Subsidiary's articles or certificate of
incorporation, partnership agreement, certificate of partnership, articles or
certificate of organization, by-laws, or operating or other management
agreement, as the case may be, or (iii) the provisions of any indenture,
instrument or agreement to which the Borrower or any of its Subsidiaries is a
party or is subject, or by which it, or its Property, is bound, or conflict with
or constitute a default thereunder if any such violation, conflict or default
could reasonably be expected to have a material adverse effect on the business
or financial condition of the Borrower and its Subsidiaries taken as a whole, or
result in, or require, the creation or imposition of any Lien in, of or on the
Property of the Borrower or a Subsidiary pursuant to the terms of any such
indenture, instrument or agreement. No order, consent, adjudication, approval,
license, authorization, or validation of, or filing, recording or registration
with, or exemption by, or other action in respect of any governmental or public
body or authority, or any subdivision thereof, which has not been obtained by
the Borrower or any of its Subsidiaries, is required to be obtained by the
Borrower or any of its Subsidiaries in connection with the execution and
delivery of the Loan Documents, the borrowings under this Agreement, the payment
and performance by the Borrower of the Obligations or the legality, validity,
binding effect or enforceability of any of the Loan Documents (other than
filings to perfect the Liens granted pursuant to the Security Agreement).

      5.4 Financial Statements. The December 31, 2005 consolidated financial
statements of the Borrower and its Subsidiaries heretofore delivered to the
Lenders were prepared in accordance with GAAP in effect on the date such
statements were prepared and fairly present the consolidated financial condition
and operations of the Borrower and its Subsidiaries at such date and the
consolidated results of their operations for the period then ended.

      5.5 Material Adverse Change. Since December 31, 2005, there has been no
change in the business, Property, financial condition or results of operations
of the Borrower and its Subsidiaries which could reasonably be expected to have
a Material Adverse Effect.

      5.6 Taxes. The Borrower and, to its knowledge, its Subsidiaries have filed
all United States federal tax returns and all other tax returns which are
required to be filed and have paid all taxes due

                                       44

<PAGE>

pursuant to said returns or pursuant to any assessment received by the Borrower
or any of its Subsidiaries, except such taxes, if any, as are being contested in
good faith by appropriate proceedings and as to which adequate reserves have
been provided in accordance with Agreement Accounting Principles and as to which
no Lien exists. No material tax liens have been filed and no material claims are
being asserted with respect to any such taxes. The charges, accruals and
reserves on the books of the Borrower and the Subsidiaries in respect of any
taxes or other governmental charges are adequate. Each of the Borrower and each
of its Subsidiaries that is a limited liability company qualifies for
disregarded entity tax treatment under United States federal tax law.

      5.7 Litigation and Contingent Obligations. Except as set forth on Schedule
"3" hereto and as otherwise disclosed in the Borrower's annual financial
statements referred to in Section 5.4, there is no litigation, arbitration,
governmental investigation, proceeding or inquiry pending or, to the knowledge
of any of their executive officers, threatened against or affecting the Borrower
or any of its Subsidiaries which (i) in the Borrower's reasonable judgment have
a reasonable possibility of being determined adversely to the Borrower or any
Subsidiary, and (ii) if so determined adversely to the Borrower or any
Subsidiary, as the case may be, would be reasonably likely to, singly or in the
aggregate, have a material adverse effect on the financial condition, or on the
respective properties or operations, of the Borrower and its Subsidiaries taken
as a whole or the transactions contemplated by this Agreement, the Security
Agreement and the Notes. Other than any liability incident to any litigation,
arbitration or proceeding which could not reasonably be expected to have a
Material Adverse Effect, the Borrower has no material contingent obligations not
provided for or disclosed in the financial statements referred to in Section
5.4.

      5.8 Subsidiaries. Schedule "4" hereto contains an accurate list of all
Subsidiaries of the Borrower as of the date of this Agreement, setting forth
their respective jurisdictions of organization and the percentage of their
respective capital stock or other ownership interests owned by the Borrower or
other Subsidiaries. All of the issued and outstanding shares of capital stock or
other ownership interests of such Subsidiaries have been (to the extent such
concepts are relevant with respect to such ownership interests) duly authorized
and issued and are fully paid and non-assessable.

      5.9 ERISA. The Unfunded Liabilities of all Single Employer Plans do not in
the aggregate exceed $500,000. Neither the Borrower nor any other member of the
Controlled Group has incurred, or is reasonably expected to incur, any
withdrawal liability to Multi-employer Plans in excess of $500,000 in the
aggregate. Each Plan complies in all material respects with all applicable
requirements of law and regulations, no Reportable Event has occurred with
respect to any Plan, neither the Borrower nor any other members of the
Controlled Group has withdrawn from any Plan or initiated steps to do so, and no
steps have been taken to reorganize or terminate any Plan.

      5.10 Accuracy of Information. No information, exhibit or report furnished
by the Borrower or any of its Subsidiaries to the Agent or to any Lender in
connection with the negotiation of, or compliance with, the Loan Documents
contained any material misstatement of fact or omitted to state a material fact
or any fact necessary to make the statements contained therein not misleading.

      5.11 Regulation U. Margin stock (as defined in Regulation U) constitutes
less than 25% of the value of those assets of the Borrower and its Subsidiaries
which are subject to any limitation on sale, pledge, or other restriction
hereunder.

      5.12 Material Agreements. Neither the Borrower nor any Subsidiary is a
party to any agreement or instrument or subject to any charter or other
corporate restriction which could reasonably

                                       45

<PAGE>

be expected to have a Material Adverse Effect. Neither the Borrower nor any
Subsidiary is in default in the performance, observance or fulfillment of any of
the obligations, covenants or conditions contained in (i) any agreement to which
it is a party, which default could reasonably be expected to have a Material
Adverse Effect or (ii) any agreement or instrument evidencing or governing
Indebtedness or any Rate Management Transaction.

      5.13 Compliance With Laws. The Borrower and its Subsidiaries have complied
with all applicable statutes, rules, regulations, orders and restrictions of any
domestic or foreign government or any instrumentality or agency thereof, having
jurisdiction over the conduct of their respective businesses or the ownership of
their respective Property except for any failure to comply with any of the
foregoing which could not reasonably be expected to have a Material Adverse
Effect.

      5.14 Ownership of Properties. Except as set forth on Schedule "5" hereto,
on the date of this Agreement, the Borrower and its Subsidiaries will have good
title, free of all Liens other than those permitted by Section 6.15, to all of
the Property and assets reflected in the financial statements provided to the
Agent as owned by the Borrower and its Subsidiaries.

      5.15 Plan Assets; Prohibited Transactions. The Borrower is not an entity
deemed to hold "plan assets" within the meaning of 29 C.F.R. Section 2510.3-101
of an employee benefit plan (as defined in Section 3(3) of ERISA) which is
subject to Title I of ERISA or any plan (within the meaning of Section 4975 of
the Code), and neither the execution of this Agreement nor the making of Loans
hereunder gives rise to a prohibited transaction within the meaning of Section
406 of ERISA or Section 4975 of the Code.

      5.16 Investment Company Act. Neither the Borrower nor any Subsidiary is an
"investment company" or a company "controlled" by an "investment company",
within the meaning of the Investment Company Act of 1940, as amended.

      5.17 Public Utility Holding Company Act. Neither the Borrower nor any
Subsidiary is a "holding company" or a "subsidiary company" of a "holding
company", or an "affiliate" of a "holding company" or of a "subsidiary company"
of a "holding company", within the meaning of the Public Utility Holding Company
Act of 1935, as amended.

      5.18 GNMA, FHA, VA, FNMA, and FHLMC Eligibility. The Borrower is: (i) an
FHA-Approved Mortgagee in good standing, a VA-Approved Lender, a FHLMC-Approved
Lender and a FNMA-Approved Lender and meets all eligible requirements of law and
governmental regulation so as to be eligible to originate, purchase, hold and
service Mortgage Loans insured by FHA or supporting any Security; (ii) an
approved seller and servicer in good standing of Mortgage Loans to each Federal
Agency; and (iii) an approved issuer and servicer in good standing of Securities
for FHLMC, FNMA and GNMA and meets all FHLMC, FNMA and GNMA requirements,
requirements of law and governmental regulations so as to be able to issue
Securities and to originate and service the Mortgage Loans that secure such
Securities.

      5.19 Approved Investor Commitments. The forms of Approved Investor
Commitment with respect to Mortgage Loans, other than Conforming Mortgage Loans,
which were delivered to the Agent on the Effective Date are still valid and
currently in use and, except to the extent new forms or changes to the existing
forms of Approved Investor Commitment have been delivered to the Agent,
represent the only forms of Approved Investor Commitment used by the Borrower
for such purposes.

                                       46

<PAGE>

      5.20 Accuracy of Representations and Warranties. The representations and
warranties of the Borrower contained in each other document delivered in
connection with this Agreement are, or when such document is delivered will be,
true and correct in all material respects when made.

      5.21 No Defaults. No Default or Unmatured Default has occurred and is
continuing.

      5.22 USA Patriot Act Notice. Each Lender and the Administrative Agent (for
itself and not on behalf of any Lender) hereby notifies the Borrower that
pursuant to the requirements of the USA Patriot Act (Title III of Pub. L. 107-56
(signed into law October 26, 2001)) (the "Act"), it is required to obtain,
verify and record information that identifies the Borrower, which information
includes the name and address of the Borrower and other information that will
allow such Lender or the Administrative Agent, as applicable, to identify the
Borrower in accordance with the Act.

                                   ARTICLE VI
                                    COVENANTS

      During the term of this Agreement, unless the Required Lenders shall
otherwise consent in writing:

      6.1 Financial Reporting. The Borrower will maintain, for itself and each
Subsidiary, a system of accounting established and administered in accordance
with generally accepted accounting principles, and furnish to the Lenders:

            (i) Within 120 days after the close of each of its fiscal years, an
      unqualified audit report certified by independent certified public
      accountants, reasonably acceptable to the Lenders, prepared in accordance
      with Agreement Accounting Principles on a consolidated basis for itself
      and the Subsidiaries, including balance sheets as of the end of such
      period, related profit and loss and changes in shareholders' equity
      statements, and a statement of cash flows, accompanied by any management
      letter prepared by said accountants.

            (ii) Within 15 days after the close of each month of each of its
      fiscal years, for itself and its Subsidiaries, consolidated unaudited
      balance sheets as at the close of each such period and consolidated profit
      and loss statements (showing a breakout of servicing sales gains
      attributed to servicing originated in prior periods), a change in
      shareholders equity statement for the period from the beginning of such
      fiscal year to the end of such month, all certified (subject to normal
      year-end adjustments) by an Authorized Officer.

            (iii) Together with the financial statements required under Sections
      6.1(i) and (ii), a compliance certificate in substantially the form of
      Exhibit "F" hereto signed by an Authorized Officer showing the
      calculations necessary to determine compliance with this Agreement as
      currently in effect (regardless of whether this Agreement was in effect at
      the date for which such financial statements were prepared) and that no
      Default or Unmatured Defaults exists, or if any Default or Unmatured
      Default exists, stating the nature and status thereof.

            (iv) As soon as available but in any event within fifteen (15) days
      after the end of each calendar month, a servicing report and analysis
      which shall show the status of all mortgages serviced by the Borrower
      including those which are delinquent, all in such form and detail and
      including such additional information as the Agent may reasonably request.
      Such

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      servicing report shall show separately information concerning any
      mortgages or securities with respect to which there is recourse to the
      Borrower.

            (v) As soon as available but in any event within fifteen (15) days
      after the end of each month, a secondary marketing report for such month
      reasonably satisfactory to the Agent (each such report, a "Positions
      Report"), which shall include a schedule setting forth (A) the components
      of the Borrower's Hedging Program as of the end of such month, (B) the
      Approved Investor Commitments as of the end of such month, (C) the amount
      of Non-Agency Mortgage Loans in each group having a similar rate type and
      duration as of the end of such month and (D) the Qualifying Rate Hedges
      applicable to the various groups of Non-Agency Mortgage Loans as of the
      end of such month. The Positions Report shall be presented on a consistent
      basis and shall be included with the monthly statements delivered pursuant
      to Subsection 6.1(ii) above. If the Borrower at any time determines that
      the Qualifying Rate Hedges with respect to any group of Non-Agency
      Mortgage Loans, taken together with the Approved Investor Commitments
      applicable to such group of Non-Agency Mortgage Loans, does not fully
      cover such group of Non-Agency Mortgage Loans, then the Borrower shall
      immediately notify the Agent of such fact.

            (vi) Within five (5) Business Days after request of Agent, copies of
      all documents submitted in connection with any audits by any of FNMA,
      FHLMC or GNMA; within ten (10) Business Days after request of Agent,
      copies of all compliance and audit reports received from any of FNMA,
      FHLMC or GNMA; and promptly upon receipt, a copy of any notice from (i)
      any Federal Agency to the effect that it is or is contemplating
      withdrawing its approval of the Borrower as a FHA-Approved Mortgagee,
      FHLMC-Approved Lender, FNMA-Approved Lender or VA-Approved Lender or as an
      approved seller and servicer for FNMA, FHLMC or GNMA or (ii) any private
      mortgage insurer which insures any of the Collateral to the effect that it
      is contemplating withdrawing its approval of the Borrower as an approved
      originator of insured Mortgage Loans.

            (vii) Within 270 days after the close of each fiscal year, a
      statement of the Unfunded Liabilities of each Single Employer Plan,
      certified as correct by an actuary enrolled under ERISA.

            (viii) As soon as possible and in any event within 10 days after the
      Borrower knows that any Reportable Event has occurred with respect to any
      Plan, a statement, signed by an Authorized Officer, describing said
      Reportable Event and the action which the Borrower proposes to take with
      respect thereto.

            (ix) As soon as possible and in any event within 10 days after
      receipt by the Borrower, a copy of (a) any notice or claim to the effect
      that the Borrower or any of its Subsidiaries is or may be liable to any
      Person as a result of the release by the Borrower, any of its
      Subsidiaries, or any other Person of any toxic or hazardous waste or
      substance into the environment, and (b) any notice alleging any violation
      of any federal, state or local environmental, health or safety law or
      regulation by the Borrower or any of its Subsidiaries, which, in either
      case, could reasonably be expected to have a Material Adverse Effect.

            (x) Promptly upon the furnishing thereof to the shareholders of the
      Borrower, copies of all financial statements, reports and proxy statements
      so furnished.

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<PAGE>

            (xi) Promptly upon the filing thereof, copies of all registration
      statements and annual, quarterly, monthly or other regular reports which
      the Borrower or any of its Subsidiaries files with the Securities and
      Exchange Commission.

            (xii) Such other information (including non-financial information)
      as the Agent or any Lender may from time to time reasonably request.

            (xiii) Within fifteen (15) days after the end of each month, the
      Borrower shall deliver to the Agent and the Collateral Agent a report
      (each such report, a "Servicing Rights Certificate") setting forth (A) the
      Servicing Take-Out Value of the Eligible Mortgage Servicing Rights as of
      the end of such month, which amount shall be computed in accordance with
      the values contemplated for such servicing under the terms of a valid
      Approved Servicing Sale Agreement and in accordance with FAS 140 with
      appropriate deductions, if any, necessary to account for any capitalized
      servicing rights which may be shown on the Borrower's balance sheet but
      which do not constitute Eligible Mortgage Servicing Rights (whether due to
      failure to satisfy all of the eligibility requirements of the effect of
      borrowing base sublimits, or otherwise), and (B) the amount of the
      Eligible Servicing Sale Receivables as of the end of such month; which
      report shall be presented on a consistent basis and in accordance with
      GAAP. If title to any servicing rights constituting Eligible Mortgage
      Servicing Rights is to be transferred by the Borrower and the sum of the
      resulting initial purchase price payment to be made directly to the Cash
      and Collateral Account (if any) and Eligible Servicing Sale Receivable (if
      any) will be less than the Servicing Take-Out Value of the Eligible
      Mortgage Servicing Rights so sold, the Borrower shall deliver a report (a
      "Servicing Transfer Report") to the Agent and the Collateral Agent on or
      prior to the date of transfer of title to the Eligible Mortgage Servicing
      Rights indicating (i) the amount of the resulting reduction in the
      Servicing Take-Out Value, (ii) the amount of the initial purchase price
      payment to be made if such payment is to be made to the Cash and
      Collateral Account, and (iii) the amount of the resulting Eligible
      Servicing Sale Receivable, if any (which report shall be certified as to
      fairness of presentation, Agreement Accounting Principles and consistency
      by an Authorized Officer). If the Borrower at any time determines that the
      amount of the Take-Out Value of Eligible Mortgage Servicing Rights or the
      amount of Eligible Servicing Sale Receivables is less than the amounts of
      such Collateral that are then included in the calculation of Aggregate
      Servicing Value (e.g. because the Borrower has determined that certain
      Pledged Servicing or Servicing Sale Receivables no longer meet the
      applicable eligibility criteria), then the Borrower shall immediately
      notify the Agent and the Collateral Agent of the applicable change (a
      "Reduced Servicing Notice").

            (xiv) Upon request from time to time from the Agent, copies of the
      forms of Approved Investor Commitments that the Borrower is then utilizing
      for its Approved Investors.

      6.2 Use of Proceeds. The Borrower will, and will cause each Subsidiary to,
only use the proceeds of the Advances for the purposes described in the recitals
hereto, to pay interest, Fees, expenses and other Obligations, to pay
Indebtedness of the Borrower existing on the date hereof and to repay
outstanding Advances. The Borrower will not, nor will it permit any Subsidiary
to, use any of the proceeds of the Advances to purchase or carry any "margin
stock" (as defined in Regulation U) or to make any Acquisition (other than those
permitted by Section 6.14) or to make any Acquisition for which the board of
directors of the Person being acquired has not consented to such Acquisition.

      6.3 Notice of Default. The Borrower will, and will cause each Subsidiary
to, give prompt notice in writing to the Lenders of the occurrence of any
Default or Unmatured Default and of any other

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<PAGE>

development, financial or otherwise, which could reasonably be expected to have
a Material Adverse Effect.

      6.4 Conduct of Business. The Borrower will, and will cause each Subsidiary
to, carry on and conduct its business in substantially the same manner and in
substantially the same fields of enterprise as it is presently conducted. The
Borrower will, and will cause each Subsidiary which is a material part of the
Borrower's overall business operations to, do all things necessary to remain
duly incorporated or organized, validly existing and (to the extent such concept
applies to such entity) in good standing as a domestic corporation, partnership
or limited liability company in its jurisdiction of incorporation or
organization, as the case may be, and maintain all requisite authority to
conduct its business in each jurisdiction in which its business is conducted.
The Borrower will use best efforts to adhere in all material respects to
customary practices and standards in the industry insofar as adherence to such
practices and standards would require the Borrower to cause obligors whose
indebtedness is secured by Pledged Mortgages to comply with their obligations
under such Pledged Mortgages with respect to the real estate securing such
indebtedness, including without limitation, the payment of all taxes and
insurance premiums related thereto and maintenance of such real estate in
compliance with all laws.

      6.5 Taxes. The Borrower will, and will cause each Subsidiary to, timely
file complete and correct United States federal and applicable foreign, state
and local tax returns required by law and pay when due all taxes, assessments
and governmental charges and levies upon it or its income, profits or Property,
except those which are being contested in good faith by appropriate proceedings
and with respect to which adequate reserves have been set aside in accordance
with Agreement Accounting Principles. At any time that the Borrower or any of
its Subsidiaries is organized as a limited liability company, each such limited
liability company will qualify for disregarded entity tax treatment under United
States federal tax law.

      6.6 Insurance. The Borrower will, and will cause each Subsidiary to,
maintain with financially sound and reputable insurance companies insurance on
all their Property in such amounts and covering such risks as is consistent with
sound business practice, and the Borrower will furnish to any Lender upon
request full information as to the insurance carried. The Borrower will at all
times, upon request of the Agent, furnish to the Agent copies of its, and each
of its Subsidiaries', current Mortgage Bankers Blanket Bond and of its, and each
of its Subsidiaries', insurance policy containing errors and omissions coverage
or mortgage impairment coverage, and such Bonds and policies, to the extent
possible, shall each provide that it is not cancelable without thirty (30) days
prior written notice to the Agent.

      6.7 Compliance with Laws. The Borrower will, and will cause each
Subsidiary to, comply with all laws, rules, regulations, orders, writs,
judgments, injunctions, decrees or awards to which it may be subject, including,
without limitation, all Environmental Laws, non-compliance with which could,
singly or in the aggregate, reasonably be expected to have a material adverse
effect on the business or financial condition of the Borrower and its
Subsidiaries taken as a whole, unless the same shall be contested by the
Borrower or such Subsidiary, as the case may be, in good faith and by
appropriate proceedings and such contest shall operate to stay the material
adverse effect of any such non-compliance.

      6.8 Maintenance of Properties. The Borrower will, and will cause each
Subsidiary to, do all things necessary to maintain, preserve, protect and keep
its Property in good repair, working order and

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<PAGE>

condition, and make all necessary and proper repairs, renewals and replacements
so that its business carried on in connection therewith may be properly
conducted at all times.

      6.9 Inspection. Upon reasonable prior notice, the Borrower will, and will
cause each Subsidiary to, permit the Agent, the Collateral Agent and the
Lenders, by their respective representatives and agents, to inspect any of the
Property, books and financial records of the Borrower and each Subsidiary, to
examine and make copies of the books of accounts and other financial records of
the Borrower and each Subsidiary, and to discuss the affairs, finances and
accounts of the Borrower and each Subsidiary with, and to be advised as to the
same by, their respective officers at such reasonable times and intervals as the
Agent, the Collateral Agent or any Lender may designate; provided that the
Secured Parties shall exercise the foregoing rights in a manner which is not
unreasonably disruptive to the business or operations of the Borrower.

      6.10 Dividends. The Borrower will not, nor will it permit any Subsidiary
to, declare or pay any dividends or make any distributions on its capital stock
(other than dividends payable in its own capital stock or cash distributions
from any Subsidiary to the Borrower) or redeem, repurchase or otherwise acquire
or retire any of its capital stock at any time outstanding, (collectively,
"Restricted Payments") if any Default continues or if after giving effect to the
making of any such Restricted Payment a Default or an Unmatured Default would
exist.

      6.11 Intentionally Omitted.

      6.12 Merge. The Borrower will not, nor will it permit any Subsidiary to,
merge or consolidate with or into any other Person, except that a Subsidiary may
merge into the Borrower or a Wholly-Owned Subsidiary. The Borrower may, after
prior written notice to the Agent and Lenders, take such action with respect to
any Subsidiary which is not a material part of the Borrower's overall business
operations.

      6.13 Sale of Assets. The Borrower will not, nor will it permit any
Subsidiary to, lease, sell or otherwise dispose of its Property, to any other
Person, except:

            (i) Sales of Mortgage Loans, Securities and Servicing Rights in the
      ordinary course of business.

            (ii) Leases, sales or other dispositions of its Property that,
      together with all other Property of the Borrower and its Subsidiaries
      previously leased, sold or disposed of (other than Mortgage Loans and
      Securities in the ordinary course of business) as permitted by this
      Section during the twelve-month period ending with the month in which any
      such lease, sale or other disposition occurs, do not constitute a
      Substantial Portion of the Property of the Borrower and its Subsidiaries.

            (iii) Transfers of a Subsidiary's assets to another Subsidiary or to
      the Borrower.

      6.14 Investments and Acquisitions. The Borrower will not, nor will it
permit any Subsidiary to, make or suffer to exist any Investments (including
without limitation, loans and advances to, and other Investments in,
Subsidiaries), or commitments therefor, or to create any Subsidiary or to become
or remain a partner in any partnership or joint venture, or to make any
Acquisition of any Person, except:

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<PAGE>

            (i) Cash Equivalent Investments.

            (ii) Existing Investments in Subsidiaries and other Investments in
      existence on the date hereof and described in Schedule "4" hereto.

            (iii) Investments in the ordinary course of the Borrower's mortgage
      banking business to purchase: (a) Mortgage Loans, collateralized mortgage
      obligations and Securities (and in connection with commitments to purchase
      the same); (b) servicing rights and mortgage servicing contracts of
      another Person engaged in mortgage-related businesses; and (c) real estate
      acquired by foreclosure.

            (iv) Investments in the ordinary course of the Borrower's mortgage
      banking business in the form of Rate Management Transactions to the extent
      permitted pursuant to the provisions of this Agreement.

            (v) Investments in Affiliated Special Ventures.

            (vi) Investments in Joliet Mortgage Reinsurance Company.

            (vii) Investments in the aggregate in Pulte Funding, Inc., a
      wholly-owned subsidiary of the Borrower.

            (viii) Investments other than those described in the preceding
      clauses (i)-(vii), so long as the aggregate amount of all such other
      Investments does not exceed $1,000,000.

      6.15 Liens. The Borrower will not, nor will it permit any Subsidiary to,
create, incur, or suffer to exist any Lien in, of or on the Property of the
Borrower or any of its Subsidiaries, except:

            (i) Liens for taxes, assessments or governmental charges or levies
      on its Property if the same shall not at the time be delinquent or
      thereafter can be paid without penalty, or are being contested in good
      faith and by appropriate proceedings and for which adequate reserves in
      accordance with Agreement Accounting Principles shall have been set aside
      on its books.

            (ii) Liens imposed by law, such as carriers', warehousemen's and
      mechanics' liens and other similar liens arising in the ordinary course of
      business which secure payment of obligations not more than 60 days past
      due or which are being contested in good faith by appropriate proceedings
      and for which adequate reserves shall have been set aside on its books.

            (iii) Liens arising out of pledges or deposits under worker's
      compensation laws, unemployment insurance, old age pensions, or other
      social security or retirement benefits, or similar legislation.

            (iv) Utility easements, building restrictions and such other
      encumbrances or charges against real property as are of a nature generally
      existing with respect to properties of a similar character and which do
      not in any material way affect the marketability of the same or interfere
      with the use thereof in the business of the Borrower or the Subsidiaries.

            (v) Liens existing on the date hereof and described in Schedule "5"
      hereto.

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<PAGE>

            (vi) Liens in favor of the Agent and the Collateral Agent, for the
      benefit of the Lenders, granted pursuant to the Security Agreement.

            (vii) Liens incidental to the conduct of the Borrower's mortgage
      related businesses or the ownership of its property or arising out of
      transactions entered in the ordinary course of the Borrower's mortgage
      related businesses which do not secure Indebtedness and do not, in the
      aggregate, materially detract from the value of its properties in the
      aggregate or materially impair the use thereof in the ordinary course of
      the Borrower" business. (viii) Liens (not otherwise permitted hereunder)
      which secure obligations (as to the Borrower and all Subsidiaries)
      incidental to forward delivery contracts or repurchase agreements in the
      ordinary course of the Borrower's mortgage related businesses.

            (ix) Deposits to secure the performance of bids, trade contracts
      (other than for borrowed money), leases, statutory obligations, surety and
      appeal bonds, performance bonds and other obligations of a like nature
      incurred in the ordinary course of business.

            (x) Liens of Liens of landlords, arising solely by operation of law
      and which are not avoidable as a matter of law, on fixtures and moveable
      property located on premises leased in the ordinary course of business,
      provided, that the rental payments secured thereby are not yet due.

            (xi) Liens arising out of judgments or awards against the Borrower
      or any Subsidiary with respect to which the Borrower or such Subsidiary is
      prosecuting an appeal or proceeding for review and the Borrower or such
      Subsidiary is maintaining adequate reserves in accordance with Agreement
      Accounts' Principles.

            (xii) Liens upon real and/or tangible personal property, which
      property was acquired after December 31, 2005 (by purchase, construction
      or otherwise) by the Borrower or its Subsidiaries, each of which Liens
      either (A) existed on such property before the time of its acquisition and
      was not created in anticipation thereof at the request or direction of the
      Borrower, or (B) was created solely for the purpose of securing
      Indebtedness representing, or incurred to finance, refinance or refund,
      the cost (including the cost of construction) of the respective property;
      provided, that no such Lien shall extend to or cover any property of the
      Borrower or such Subsidiary other than the respective property so acquired
      and improvements thereon.

            (xiii) Liens on assets of corporations which become Subsidiaries
      after the date of this Agreement; provided, that (i) such Liens existed at
      the time such corporation became a Subsidiary and were not created in
      anticipation thereof, (ii) any such Lien is not spread to cover any
      property or assets of such corporation after the time such corporation
      becomes a Subsidiary (other than any such spreading resulting from
      "after-acquired property" clauses in existence on the date such
      corporation became a Subsidiary) and (iii) the amount of Indebtedness
      secured thereby is not increased;

            (xiv) Subject to the requirements of Section 6.18, Liens on Mortgage
      Loans and Securities owned by the Borrower or its Subsidiaries (other than
      Mortgage Loans or Securities constituting Collateral) to secure
      Indebtedness incurred from sources other than the Lenders for the purpose
      of originating or acquiring Mortgage Loans or Securities.

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      6.16 Affiliates. The Borrower will not, and will not permit any Subsidiary
to, (i) enter into any transaction (including, without limitation, the purchase
or sale of any Property or service) with any Affiliate except in the ordinary
course of business and pursuant to the reasonable requirements of the Borrower's
or such Subsidiary's business and upon fair and reasonable terms no less
favorable in any material respect to the Borrower or such Subsidiary than the
Borrower or such Subsidiary would obtain in a comparable arms-length
transaction, (ii) make any loans or advances to any Affiliates with financial
terms more advantageous to such Affiliate than the terms of loans and advances
made to the Borrower (or the applicable Subsidiary) from such Affiliate, or
(iii) make any net loans or advances to any Affiliate which would cause any
violation of Section 6.17.1 or 6.17.2; or, while any Default or Unmatured
Default is continuing, make any payments, loans or advances of any type to any
Affiliate.

      6.17 Financial Covenants.

            6.17.1 Leverage Ratio. The Borrower will not permit the Leverage
Ratio, at any time, to exceed 15.0 to 1.0.

            6.17.2 Net Worth. The Borrower will at all times maintain a
Consolidated Tangible Net Worth of at least Fifty Million Dollars ($50,000,000),
provided that such minimum amount shall be reset on January 31, 2007 and each
January 31 thereafter to be the greater of (i) $50,000,000 and (ii) eighty-five
percent (85%) of the numerical average of the month-end Consolidated Tangible
Net Worth as reported in the monthly statements provided by the Borrower under
Section 6.1 as of the last day of each of the twelve (12) calendar months in the
preceding calendar year.

            6.17.3 Indebtedness. The Borrower will not permit the aggregate
Indebtedness of the Borrower and its Subsidiaries to exceed at any time the sum
of the following:

            (i) one hundred percent (100%) of the value of the Borrower's
      unrestricted cash and Cash Equivalent Investments and other "short term
      investments";

            (ii) ninety-five percent (95%) of the value of the Borrower's
      "mortgage loans held for sale"; and

            (iii) eighty percent (80%) of the Aggregate Servicing Value.

      Terms set forth in quotes in this Section shall have the meanings given
such terms in the Borrower's consolidated financial statements.

            6.17.4 Maintenance of Net Income. Allow the Borrower and its
consolidated Subsidiaries to suffer, as of the end of any calendar quarter, an
aggregate net loss (as determined under Agreement Accounting Principles) over
the course of the immediately preceding four calendar quarters; provided that
any equity contribution made to the Borrower by the Parent within 30 days after
generation of the financial statements for a given quarter shall (for purposes
of this Section 6.17.4 be considered net income earned by the Borrower during
the quarter immediately preceding the date of such contribution (i.e., equity
contributions in the amount of net losses can "cure" such losses for purpose of
this Section ).

      6.18 Compliance with Security Agreement. The Borrower will not fail to
perform in any material respect any of its obligations under the Security
Agreement or enter into similar security agreements for Mortgage Loans not
included in Collateral with any Person other than the Collateral

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Agent; provided, however, that this Section shall not (i) prohibit the Borrower
from entering into other custodial agreements relating to the possession of
Mortgage Loans not included in Collateral so long as such agreements are not
made for the purpose of or in connection with the granting of a security
interest in such Mortgage Loans, or (ii) prohibit the Affiliate of the
Collateral Agent which acts in a custodial capacity in connection with the
certification of Mortgage Loans for exchange by a Federal Agency from acting in
such custodial capacity in conformance with the terms of the Security Agreement.
Security interests in Mortgage Loans given for confirmatory purposes in
connection with the sale of such Mortgage Loans by the Borrower to investors
shall not be considered agreements "made for the purpose of or in connection
with the granting of a security interest in such Mortgage Loans" within the
meaning of the preceding sentence. The Borrower will direct the Collateral Agent
to ship Collateral only to Approved Investors or otherwise consistent with the
provisions of the Loan Documents; provided, however, the Borrower may direct the
Collateral Agent to ship Collateral to Pulte Funding, Inc. if the release of
such Collateral is in accordance with the provisions of Section 8.3 of this
Agreement and such release does not result in a breach of Section 8.3 of this
Agreement.

      6.19 Recourse Servicing. The Borrower will not at any time be a party to
any Servicing Agreements constituting Recourse Servicing other than Approved
Recourse Servicing.

      6.20 Federal Agency Approvals. The Borrower (i) will maintain its status
as a FHA Approved Mortgagee, remain eligible to obtain VA guaranties of Mortgage
Loans and remain approved by each Federal Agency as a seller/servicer and (ii)
will not permit any Federal Agency which insures any material portion of the
Mortgage Loans owned or serviced by the Borrower to withdraw its approval of the
Borrower.

      6.21 Approved Investor Commitments. The Borrower shall maintain (A)
Approved Investor Commitments which cover all Pledged Mortgages (other than
Pledged Mortgages which are then included in a group of Pledged Mortgages
covered by a Qualifying Rate Hedge or which are Eligible Investment Loans) and
(B) Approved Servicing Sale Agreements which cover all Eligible Mortgage
Servicing Rights.

      6.22 Negative Pledges. The Borrower shall not enter into any agreement
pursuant to which it agrees (i) not to grant a lien to third parties unless such
provision allows for the lien of the Agent, the Collateral Agent and the Lenders
contemplated under the Loan Documents or (ii) to grant another creditor a pari
passu security interest in and to the Collateral when a security interest is
granted to the Agent, the Collateral Agent and the Lenders pursuant to the Loan
Documents.

      6.23 Keeping of Records and Books of Account. The Borrower shall keep or
cause to be kept adequate records and books of account in which complete entries
will be made in accordance with Agreement Accounting Principles, consistently
applied (except for changes concurred in by the Borrower's independent auditors)
reflecting all financial transactions of the Borrower and its Subsidiaries.

      6.24 Hedging Program. The Borrower shall at all times maintain a Hedging
Program which represents a reasonable means for the Borrower to hedge certain
interest rate risks associated with the mortgage banking business, and is a
customary and standard Hedging Program comparable to that of other similarly
situated mortgage banking companies.

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      6.25 Agreements to Pledge Mortgage Loans. Borrower shall not pledge to any
Person, or grant a security interest in favor of any Person in, any Mortgage
other than the security interest granted to the Collateral Agent for the benefit
of the Lenders pursuant to the Security Agreement.

                                  ARTICLE VII
                                    DEFAULTS

      The occurrence of any one or more of the following events shall constitute
a Default:

      7.1 Any representation or warranty made or deemed made by or on behalf of
the Borrower or any of its Subsidiaries to the Lenders or the Agent under or in
connection with this Agreement, any Loan, or any certificate or information
delivered in connection with this Agreement or any other Loan Document shall be
materially false on the date as of which made (it being understood that if any
of the representations and warranties made pursuant to the definition of
"Borrowing Base" are not true and correct as of any date with respect to any
Pledged Item, such Pledged Item shall be removed from Eligible Collateral as the
sole remedy for such failure).

      7.2 Nonpayment of principal of any Loan when due (including but not
limited to payments required pursuant to Section 2.8.2, Section 2.8.4 and
Section 2.8.5), or nonpayment of interest upon any Loan or of any Fee under any
of the Loan Documents within five Business Days after the same becomes due or
nonpayment of any amount, other than principal or interest or Fees, payable
under this Agreement shall not be paid when due and payable and shall remain
unpaid for five (5) Business Days after written notice to the Borrower of such
nonpayment.

      7.3 The breach by the Borrower of any of the terms or provisions of
Sections 6.2, 6.4, 6.10, 6.11, 6.12, 6.13, 6.15, 6.17, or 6.20 and 6.25.

      7.4 The breach by the Borrower (other than a breach which constitutes a
Default under another Section of this Article VII) of any of the terms or
provisions of this Agreement which is not remedied within thirty days after the
earlier to occur of (i) receipt of written notice from the Agent or any Lender
of such breach or (ii) the date that the Borrower obtains knowledge of such
breach.

      7.5 Failure of the Borrower or any of its Subsidiaries, Pulte Homes, or
the Parent to pay when due any Indebtedness (provided that for purposes of this
Section 7.5, the definition of "Indebtedness" shall include, in addition to all
amounts and items described in the definition of "Indebtedness" set forth in
Article I of this Agreement, exposure under Rate Management Transactions)
aggregating in excess of $10,000,000 ("Material Indebtedness"); or the default
by the Borrower or any of its Subsidiaries in the performance beyond the
applicable grace period with respect thereto, if any of any term, provision or
condition contained in any agreement under which any such Material Indebtedness
was created or is governed, or any other event shall occur or condition exist,
the effect of which default or event is to cause, or to permit the holder or
holders of such Material Indebtedness to cause, such Material Indebtedness to
become due prior to its stated maturity, and in either case any applicable
notice or cure period has expired and such default has not been waived in
writing by the holder of such Material Indebtedness; or any Material
Indebtedness of the Borrower, any of its Subsidiaries, Pulte Homes, or the
Parent shall be declared to be due and payable or required to be prepaid or
repurchased (other than by a regularly scheduled payment) prior to the stated
maturity thereof, and any applicable notice or cure period has expired and such
default has not been waived in writing by the holder of such Material
Indebtedness, or the Borrower or any of its Subsidiaries shall not pay, or admit
in writing its inability to pay, its debts generally as they become due.

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<PAGE>

      7.6 The Borrower or any of its Subsidiaries shall (i) have an order for
relief entered with respect to it under the Federal bankruptcy laws as now or
hereafter in effect, (ii) make an assignment for the benefit of creditors, (iii)
apply for, seek, consent to, or acquiesce in, the appointment of a receiver,
custodian, trustee, examiner, liquidator or similar official for it or any
Substantial Portion of its Property, (iv) institute any proceeding seeking an
order for relief under the Federal bankruptcy laws as now or hereafter in effect
or seeking to adjudicate it a bankrupt or insolvent, or seeking dissolution,
winding up, liquidation, reorganization, arrangement, adjustment or composition
of it or its debts under any law relating to bankruptcy, insolvency or
reorganization or relief of debtors or fail to file an answer or other pleading
denying the material allegations of any such proceeding filed against it, (v)
take any corporate, partnership or other action to authorize or effect any of
the foregoing actions set forth in this Section 7.6 or (vi) fail to contest in
good faith any appointment or proceeding described in Section 7.7.

      7.7 Without the application, approval or consent of the Borrower or any of
its Subsidiaries, a receiver, trustee, examiner, liquidator or similar official
shall be appointed for the Borrower or any of its Subsidiaries or any
Substantial Portion of its Property, or a proceeding described in Section
7.6(iv) shall be instituted against the Borrower or any of its Subsidiaries and
such appointment continues undischarged or such proceeding continues undismissed
or unstayed for a period of 45 consecutive days.

      7.8 Any court, government or governmental agency shall condemn, seize or
otherwise appropriate, or take custody or control of all or any portion of the
Property of the Borrower and its Subsidiaries which, when taken together with
all other Property of the Borrower and its Subsidiaries so condemned, seized,
appropriated, or taken custody or control of, during the twelve-month period
ending with the month in which any such action occurs, constitutes a Substantial
Portion.

      7.9 The Borrower or any of its Subsidiaries shall fail within 30 days to
pay, bond or otherwise discharge one or more (i) judgments or orders for the
payment of money in excess of the aggregate $10,000,000, or (ii) non-monetary
judgments or orders which, individually or in the aggregate, could reasonably be
expected to have a Material Adverse Effect, which judgments, in any case, is/are
not stayed on appeal or otherwise being appropriately contested in good faith.

      7.10 Any Change in Control shall occur.

      7.11 The occurrence of any "default", as defined in any Loan Document
(other than this Agreement) or the breach of any of the terms or provisions of
any Loan Document (other than this Agreement), which default or breach continues
beyond any period of grace therein provided.

      7.12 The Security Agreement shall for any reason fail to create a valid
and perfected first priority security interest in any collateral purported to be
covered thereby, except as permitted by the terms of the Security Agreement, or
the Security Agreement shall fail to remain in full force or effect or any
action shall be taken to discontinue or to assert the invalidity or
unenforceability of the Security Agreement, or the Borrower shall fail to comply
with any of the terms or provisions of the Security Agreement and such failure
to comply is not cured within thirty days after written notice to the Borrower
of such failure to comply.

      7.13 The Unfunded Liabilities of all Single Employer Plans shall exceed in
the aggregate $10,000,000 or any Reportable Event shall occur in connection with
any Plan and as a result of such event or condition, together with all other
such events or conditions, the Borrower or any Affiliate could reasonably incur
a liability in excess of $10,000,000 to a Plan or the PBGC (or any combination
of the foregoing).

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<PAGE>

      7.14 The Borrower or any other member of the Controlled Group shall have
been notified by the sponsor of a Multi-employer Plan that it has incurred
withdrawal liability to such Multi-employer Plan in an amount which, when
aggregated with all other amounts required to be paid to Multi-employer Plans by
the Borrower or any other member of the Controlled Group as withdrawal liability
(determined as of the date of such notification), exceeds $10,000,000 or
requires payments exceeding $500,000 per annum.

      7.15 The Borrower or any other member of the Controlled Group shall have
been notified by the sponsor of a Multiemployer Plan that such Multiemployer
Plan is in reorganization or is being terminated, within the meaning of Title IV
of ERISA, if as a result of such reorganization or termination the aggregate
annual contributions of the Borrower and the other members of the Controlled
Group (taken as a whole) to all Multiemployer Plans which are then in
reorganization or being terminated have been or will be increased over the
amounts contributed to such Multiemployer Plans for the respective plan years of
each such Multiemployer Plan immediately preceding the plan year in which the
reorganization or termination occurs by an amount exceeding $10,000,000.

      7.16 The Borrower or any of its Subsidiaries shall (i) be the subject of
any proceeding or investigation pertaining to the release by the Borrower or any
of its Subsidiaries or any other Person of any toxic or hazardous waste or
substance into the environment, or (ii) violate any Environmental Law, which, in
the case of an event described in clause (i) and (ii), could reasonably be
expected to have a Material Adverse Effect.

      7.17 The representations and warranties set forth in "Section 5.15 Plan
Assets; Prohibited Transactions" shall at any time not be true and correct.

      7.18 Any of this Agreement, the Notes or the Security Agreement shall, at
any time after its execution and delivery, for any reason cease to be in full
force and effect (unless such occurrence is in accordance with its terms or
after payment thereof) or shall be declared to be null and void, or the validity
or enforceability thereof shall be contested by the Borrower, or the Borrower
shall deny that it has any further liability or obligation thereunder.

                                  ARTICLE VIII
                   COLLATERAL, ACCELERATION AND OTHER REMEDIES

      8.1 Security and Collateral Agency Agreement. Pursuant to the Security
Agreement, a security interest in and a continuing lien upon the Collateral has
been created in favor of the Collateral Agent for the benefit of the Lenders.

      8.2 AP Mortgages. The Borrower agrees that while it is in possession of
any Required Mortgage Documents for an AP Mortgage, it will hold same in trust
and as agent and bailee for the Collateral Agent, without authority to make any
other disposition thereof, or of the proceeds thereof, except as may be
otherwise permitted in writing by the Collateral Agent. The Borrower assumes the
responsibility for loss or destruction of any such Required Mortgage Documents
until the same are delivered to the Collateral Agent.

      8.3 Release of Collateral. Upon the request of the Borrower delivered from
time to time to the Agent and the Collateral Agent in connection with the
proposed sale of any Collateral, the Agent shall authorize the Collateral Agent
to release Collateral specified in such notice from the lien of this Agreement,
if, but only if, (i) at the time of such release no Default shall have occurred
and then be

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continuing, (ii) the Borrowing Base, after giving effect to such release, is at
least equal to the aggregate principal amount of loans outstanding under this
Agreement or any payment under Section 2.8 which may be required as a result of
such release has been made and (iii) the release of such Collateral will not
create a violation of any Lending Sublimit or Borrowing Base Sublimit.

      8.4 Cash and Collateral Account; Settlement Account; Reconciliation
Process.

            (i) The Borrower has established in its name a "cash and collateral"
      account with JPMorgan Chase Bank, N.A. as Account #1928368 (the "Cash and
      Collateral Account") into which shall be deposited all cash proceeds from
      the sale of any Pledged Item and of certain collateral under the "CP
      Facility", all as described in the Collection and Paying Agreement. Only
      JPMorgan Chase Bank, N.A. shall have access to the Cash and Collateral
      Account.

            (ii) There may hereafter be established with the Agent, for the
      benefit of the Secured Parties, a separate "cash collateral" account of
      the Borrower ("Settlement Account") into which shall, in certain
      circumstances, be deposited certain cash proceeds from the Cash and
      Collateral Account as described herein and in the Collection and Paying
      Agreement. The Settlement Account shall be included in the Collateral and
      the Borrower hereby pledges and assigns to the Agent for the benefit of
      the Secured Parties and grants to the Agent for the benefit of the Secured
      Parties, a first priority security interest in the Settlement Account to
      secure payment of the Secured Obligations. Only the Agent shall have
      access to the Settlement Account.

            (iii) No later than 4:30 p.m. (New York City time) each Business Day
      the Borrower shall notify the Agent and the Collateral Agent of the amount
      of Reconciled Non-Security Proceeds deposited into the Cash and Collateral
      Account since the report of Reconciled Non-Security Proceeds on the prior
      Business Day, and (so long as no Default is continuing and the Borrowing
      Base is equal to or greater than the total outstanding Loans) the Agent
      shall transfer such newly deposited Reconciled Non-Security Proceeds into
      the Borrower's operating account or apply them as otherwise directed by
      the Borrower. Any Excess Pool Proceeds shall (so long as no Default is
      continuing and the Borrowing Base is equal to or greater than the total
      outstanding Loans) also be transferred into the Borrower's operating
      account or applied as otherwise directed by the Borrower. If the Borrowing
      Base is not equal to or greater than the total outstanding Loans, then the
      Agent shall apply the necessary amount of the Reconciled Non-Security
      Proceeds and/or Excess Pool Proceeds against the outstanding Loans so that
      the Borrowing Base equals the total outstanding Loans. Such application
      shall be made first to repay any outstanding Overadvances (as defined in
      Paragraph 6(d) of the Security Agreement) and then to repay then
      outstanding Loans in the order and in the amounts directed by the Borrower
      or, in the absence of such direction, in the following order: (i) first,
      to Swingline Loans until paid in full, (ii) second, to LIBOR Loans
      (including interest thereon) until paid in full. With respect to LIBOR
      Loans, such amounts shall be applied to interest on LIBOR Loans which have
      been repaid before being applied to principal of other LIBOR Loans .

            (iv) Upon the occurrence of a Default (and during the continuance
      thereof) all amounts then on deposit in the Cash and Collateral Account or
      the Settlement Account which constitute Collateral or the proceeds
      thereof, and any deposits made in the Cash and Collateral Account or the
      Settlement Account which constitute Collateral or the proceeds thereof
      during the continuance of such Default, shall be immediately withdrawn by
      the Agent from the Cash and Collateral Account and the Settlement Account
      and applied to outstanding Loans in proportion to the Lenders' respective
      outstanding Loans and (with respect to the Lenders) in

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      conjunction with the procedures described in Section 2.6, with such
      payments applied first to accrued interest and fees and thereafter to
      principal.

      8.5 Termination. If all Commitments under this Agreement shall have
expired or been terminated pursuant to the express terms hereof and no
Obligations shall be outstanding, the Agent shall promptly deliver or cause to
be delivered all cash standing to the credit of the Cash and Collateral Account
and the Settlement Account and all Pledged Items to the Borrower. The receipt by
the Borrower of any cash in the Cash and Collateral Account and the Settlement
Account and of all Pledged Items returned or delivered to the Borrower pursuant
to any provision of this Agreement, together with UCC-3 termination statements
executed by the Agent, shall be a complete and full acquittance for the Pledged
Items so delivered.

      8.6 Acceleration. If any Default described in Section 7.6 or 7.7 occurs
with respect to the Borrower, the obligations of the Lenders to make Loans
hereunder shall automatically terminate and the Obligations shall immediately
become due and payable without any election or action on the part of the Agent
or any Lender. If any other Default occurs, the Required Lenders (or the Agent
with the consent of the Required Lenders) may (i) terminate or suspend the
obligations of the Lenders to make Loans hereunder and they shall, upon notice
to the Borrower, terminate or be suspended, and/or (ii) declare the Obligations
to be due and payable, whereupon the Obligations shall become immediately due
and payable, without presentment, demand, protest or notice of any kind, all of
which the Borrower hereby expressly waives.

      8.7 Other Remedies.

            (i) Unless a Default shall have occurred and then be continuing, the
      Borrower shall be entitled to receive and collect directly all sums
      payable to the Borrower in respect of the Collateral except proceeds from
      the sale thereof.

            (ii) Upon the occurrence of a Default, the Agent and the Collateral
      Agent, on behalf of the Lenders, shall be entitled to all the rights and
      remedies hereunder and in the Security Agreement, subject to the
      limitations and requirements of Paragraph 16 thereof, and all other rights
      or remedies at law or in equity existing or conferred upon the Lenders by
      other jurisdictions or other applicable law.

            (iii) Following the occurrence and during the continuance of a
      Default, no Lender shall be obligated to fund any Loan hereunder.

            (iv) Following the occurrence a Default, the Borrower agrees that
      the Borrower and the Agent shall, if the Agent shall request implement
      certain procedures with respect to the Borrower's funding of AP Mortgages,
      all at the Borrower's sole expense. Such procedures may include, but are
      not limited to: (i) reducing the advance rate against any Eligible
      Collateral for purposes of determining the Collateral Value component of
      the Borrowing Base, (ii) requiring that if AP Mortgages are funded with
      wire transfers, such wire transfers originate from a controlled account
      maintained by the Agent and may only be released upon the secondary
      authorization of the Agent, (iii) requiring the closing agents for such AP
      Mortgages to enter into escrow or other agreements regarding the monies
      used to fund such AP Mortgages, and (iv) requiring the Borrower to provide
      the Agent and the Lenders with such information regarding the funding of
      such AP Mortgages as the Agent may reasonably request. The Borrower, at
      its expense, shall from time to time execute and deliver to the Agent or
      the Collateral Agent all

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      such assignments, certificates, supplemental documents, and financing
      statements, and shall do all other acts or things, as the Agent may
      reasonably request in order to more fully implement such procedures.

            (v) The Borrower waives, to the extent permitted by law, any right
      to require the Agent or any Lender to (i) proceed against any Person, (ii)
      proceed against or exhaust any of the Collateral or pursue its rights and
      remedies as against the Collateral in any particular order or (iii) pursue
      any other remedy in its power.

            (vi) The Agent on behalf of the Lenders may, but shall not be
      obligated to, advance any sums or do any act or thing necessary to uphold
      and enforce the lien and priority of, or the security intended to be
      afforded by, any Pledged Item, including, without limitation, payment of
      delinquent taxes or assessments and insurance premiums. The Borrower shall
      provide any and all information required by the Agent to administer this
      Agreement or collect on the Collateral. All advances, charges, costs and
      expenses, including reasonable attorneys fees, incurred or paid by the
      Agent in exercising any right, power or remedy conferred by this
      Agreement, or in the enforcement hereof (or by any Lender acting on
      instruction of the Required Lenders in the enforcement hereof), together
      with interest thereon at the rate per annum of 2% plus the LIBOR Rate from
      the time of payment until repaid, shall become a part of the Obligations.

            (vii) Following the occurrence of a Default and the acceleration of
      the Obligations the Agent shall be entitled to receive and collect all
      sums payable to the Borrower in respect of the Collateral and (a) the
      Agent, at the request of the Required Lenders, may in its own name or in
      the name of the Borrower or otherwise, demand, sue for, collect or receive
      any money or property at any time payable or receivable on account of or
      in exchange for any of the Collateral, (b) the Borrower shall receive and
      hold in trust for the Lenders any amounts thereafter received by the
      Borrower upon or in respect of any of the Collateral, advising the Agent
      as to the source of such funds and, if the Agent so requests at the
      direction of the Required Lenders, forthwith paying such amounts to the
      Agent, and (c) any and all amounts so received and collected by the Agent
      either directly or from the Borrower shall be deposited in the Cash and
      Collateral Account or the Settlement Account.

      8.8 Application of Proceeds. After a Default and acceleration of the
Obligations, the proceeds of any sale or enforcement of all or any part of the
Collateral pursuant to the Security Agreement and the balance of any moneys in
the Cash and Collateral Account or the Settlement Account shall be applied by
the Agent:

            FIRST, to the extent that any such proceeds arise from a sale of any
      Pledged Servicing, to the payment of any amounts due by the Borrower to
      the other party to the Servicing Agreements governing such Pledged
      Servicing, as a condition to the transfer of the Borrower's interest in
      any such Pledged Servicing, pursuant to the terms of such Servicing
      Agreements, including without limitation all amounts described in the
      Acknowledgement Agreements;

            SECOND, to the extent not already repaid from the proceeds of the
      Collateral by the Collateral Agent, to the payment of all costs and
      expenses of such sale or enforcement, including reasonable compensation to
      the Agent's agents and counsel, and all expenses, liabilities and advances
      made or incurred by the Agent or any Lender acting on instructions of the
      Required Lenders in connection therewith;

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<PAGE>

            THIRD, to the extent not already repaid from the proceeds of the
      Collateral by the Collateral Agent, to the payment of all costs and
      expenses incurred by the Collateral Agent under the Security Agreement;

            FOURTH, to the payment of the outstanding principal balance of, and
      all accrued and unpaid interest on and Fees attributable to, all Loans
      under this Agreement, ratably according to the amount so due to each
      Lender until such amounts are paid in full;

            FIFTH, to the extent proceeds remain after application under the
      preceding subparagraphs, to the payment of all remaining Obligations,
      until such amounts are paid in full;

            SIXTH, to the extent that any such proceeds arise from a sale of any
      Pledged Servicing and remain after satisfying the prior amounts in full,
      to the payment of all sums due to any party to the Servicing Agreement
      governing such Pledged Servicing which, by the terms of the applicable
      Acknowledgment Agreement, are subordinated in priority of payment to the
      amounts payable to the Agent and the Lenders, as described above; and

            SEVENTH, to the payment to the Borrower, or to its successors or
      assigns, or as a court of competent jurisdiction may direct, of any
      surplus then remaining from such proceeds.

      The Agent shall have absolute discretion as to the time of application of
any such proceeds, moneys or balances in accordance with this Agreement. If the
proceeds of any such sale are insufficient to cover the costs and expenses of
such sale, as aforesaid, and the payment in full of the Obligations, the
Borrower shall remain liable for any deficiency.

      8.9 Preservation of Rights. No delay or omission of the Lenders or the
Agent to exercise any right under the Loan Documents shall impair such right or
be construed to be a waiver of any Default or an acquiescence therein, and the
making of a Loan notwithstanding the existence of a Default or the inability of
the Borrower to satisfy the conditions precedent to such Loan shall not
constitute any waiver or acquiescence. Any single or partial exercise of any
such right shall not preclude other or further exercise thereof or the exercise
of any other right, and no waiver, amendment or other variation of the terms,
conditions or provisions of the Loan Documents whatsoever shall be valid unless
in writing signed by the Lenders required pursuant to Section 9.1, and then only
to the extent in such writing specifically set forth. All remedies contained in
the Loan Documents or by law afforded shall be cumulative and all shall be
available to the Agent and the Lenders until the Obligations have been paid in
full.

      8.10 Actions Under Acknowledgement Agreements. If the Borrower elects to
include Pledged Servicing in Collateral, the Borrower shall be deemed to have
appointed the Agent as the Borrower's attorney-in-fact, effective as of the date
of any Default (and during the continuance thereof) for the purpose of taking
all actions on behalf of the Borrower contemplated or required under the terms
of the Acknowledgement Agreements with respect to such Pledged Servicing and
executing any instruments which the Agent may deem necessary or advisable to
accomplish the purposes hereof, which appointment as attorney-in-fact is
irrevocable and coupled with an interest. Without limiting the generality of the
foregoing, the Agent shall have the right and power to receive, endorse and
collect all checks made payable to the order of the Borrower representing any
payment on account of the principal of or interest on any of the Mortgage Loans
covered by such Pledged Servicing or on account of the terms of the Servicing
Agreements governing such Pledged Servicing and to give full discharge for the
same.

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      8.11 Transition from Prior Facility. The Pledge Date and all other
relevant delivery dates and time periods with respect to the determination of
Eligible Collateral shall be calculated to include any delivery dates or holding
periods prior to the Effective Date during which Collateral was being held by
the Collateral Agent (or was the subject of an Agreement to Pledge), had been
delivered to an Approved Investor or had been redelivered to the Borrower under
the Prior Facility.

                                   ARTICLE IX
                     AMENDMENTS; WAIVERS; GENERAL PROVISIONS

      9.1 Amendments and Waivers. Other than (a) Commitment increases pursuant
to Section 2.10 (which may be accomplished solely by the Borrower, the Agent and
the subject Lender) and (b) temporary waivers of Collateral eligibility
permitted pursuant to the definition of "Borrowing Base" (which may be
accomplished solely by the Agent), the Required Lenders (or the Agent with the
consent in writing of the Required Lenders) and the Borrower may enter into
agreements supplemental hereto for the purpose of adding or modifying any
provisions to the Loan Documents or changing in any manner the rights of the
Lenders or the Borrower hereunder or waiving any Default hereunder; provided,
however, that no such supplemental agreement shall, without the consent of each
Lender directly or indirectly affected thereby:

           (i)    Extend the final maturity of any Loan or postpone any
                  regularly scheduled payment of principal of any Loan or
                  forgive all or any portion of the principal amount thereof, or
                  reduce the rate or extend the time of payment of, or forgive,
                  interest or fees thereon.

           (ii)   Reduce the percentage specified in the definition of Required
                  Lenders.

           (iii)  Extend the Termination Date, or reduce the amount of or extend
                  the payment date for the mandatory payments required under
                  Section 2.11, or increase the amount of the Aggregate
                  Commitment or of the Commitment of any Lender hereunder (other
                  than in accordance with Section 2.10).

           (iv)   Amend this Section 9.1.

           (v)    Release any guarantor of any Advance or, except as provided
                  herein or in the Security Agreement, release any Collateral.

           (vi)   Amend the definition of "Borrowing Base," "Gestation Borrowing
                  Base," "Warehouse Borrowing Base," or "Collateral Value".

           (vii)  Permit the Borrower to assign its rights under this Agreement
                  or amend or waive any restriction on the Borrower's ability to
                  assign its rights or obligations under any of the Loan
                  Documents.

           (viii) Amend or waive any Lending Sublimits or Borrowing Base
                  Sublimits.

           (ix)   Amend or waive any provision herein regarding the
                  indemnification of the Agent, the Collateral Agent or any
                  Lender.

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<PAGE>

            (x)   Amend or waive any provision herein regarding the allocation
                  among the Lenders of any payments or proceeds received by the
                  Agent hereunder.

No amendment of any provision of this Agreement relating to the Agent or the
Collateral Agent shall be effective without the written consent of the Agent or
the Collateral Agent, as the case may be. In addition, the consent of the
Collateral Agent shall be required for the effectiveness of any amendment
referred to in Section 9.1 (iv), (v), (vi), (viii) and/or (ix) above. The Agent
may waive payment of the fee required under Section 12.3.2 without obtaining the
consent of any other party to this Agreement.

      9.2 Survival of Representations. All representations and warranties of the
Borrower contained in this Agreement shall survive the making of the Loans
herein contemplated.

      9.3 Governmental Regulation. Anything contained in this Agreement to the
contrary notwithstanding, no Lender shall be obligated to extend credit to the
Borrower in violation of any limitation or prohibition provided by any
applicable statute or regulation.

      9.4 Headings. Section headings in the Loan Documents are for convenience
of reference only, and shall not govern the interpretation of any of the
provisions of the Loan Documents.

      9.5 Entire Agreement. The Loan Documents embody the entire agreement and
understanding among the Borrower, the Agent, the Collateral Agent and the
Lenders and supersede all prior agreements and understandings among the
Borrower, the Agent and the Lenders relating to the subject matter thereof,
other than the fee letter described in Section 2.5.3 and any other agreement
entered into in connection with the fees described in Section 2.5.

      9.6 Several Obligations; Benefits of this Agreement. The respective
obligations of the Lenders hereunder are several and not joint and no Lender
shall be the partner or agent of any other (except to the extent to which the
Agent is authorized to act as such). The failure of any Lender to perform any of
its obligations hereunder shall not relieve any other Lender from any of its
obligations hereunder. This Agreement shall not be construed so as to confer any
right or benefit upon any Person other than the parties to this Agreement and
their respective successors and assigns, provided, however, that the parties
hereto expressly, agree that (i) the Arranger shall enjoy the benefits of the
provisions of Sections 9.7, 9.8 and 10.11 to the extent specifically set forth
therein and shall have the right to enforce such provisions on its own behalf
and in its own name to the same extent as if it were a party to this Agreement
and (ii) the Collateral Agent shall enjoy the benefits of the provisions of
Sections 9.1, 9.7 and 9.8 to the extent specifically set forth therein and shall
have the right to enforce such provisions on its own behalf and in its own name
to the same extent as if it were a party to this Agreement.

      9.7 Expenses; Indemnification. (i) The Borrower shall reimburse the Agent,
the Arranger and the Collateral Agent for any reasonable out-of-pocket expenses
(including reasonable attorneys' fees and time charges of attorneys for the
Agent, the Arranger and the Collateral Agent) paid or incurred by the Agent, the
Arranger or the Collateral Agent in connection with the preparation,
negotiation, execution, delivery, syndication, review, amendment, modification,
and administration of the Loan Documents. The Borrower also agrees to reimburse
the Agent, the Arranger, the Collateral Agent and the Lenders for any
out-of-pocket expenses (including attorneys' fees and time charges of attorneys
for the Agent, the Arranger, the Collateral Agent and the Lenders) paid or
incurred by the Agent, the Arranger, the Collateral Agent or any Lender in
connection with the collection and enforcement of the Loan Documents. Expenses
being reimbursed by the Borrower under this Section include, without limitation,
reasonable costs and expenses incurred in connection with the reports described
in the

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following two sentences. The Borrower acknowledges that the Agent may prepare
and distribute to the Lenders annual audit reports (and shall distribute copies
to each Lender that requests a copy in writing of any such report actually
prepared by the Agent) pertaining to the Borrower's assets for internal use by
the Agent from information furnished to it by or on behalf of the Borrower,
after the Agent has exercised its rights of inspection pursuant to this
Agreement. The Borrower acknowledges that the Agent may, in certain
extraordinary circumstances, prepare and distribute other audit reports to the
Lenders (and shall distribute copies to each Lender that requests a copy in
writing of any report actually prepared by the Agent) pertaining to the
Borrower's assets for internal use by the Agent from information furnished to it
by or on behalf of the Borrower, after the Agent has exercised its rights of
inspection pursuant to this Agreement. The Borrower acknowledges that the
foregoing two sentences shall not limit the Agent's right to prepare additional
audit reports at its own expense from time to time.

            (ii) The Borrower hereby further agrees to indemnify the Agent, the
Arranger, the Collateral Agent and each Lender, their respective affiliates, and
each of their directors, officers and employees against all losses, claims,
damages, penalties, judgments, liabilities and expenses (including, without
limitation, all expenses of litigation or preparation therefor whether or not
the Agent, the Arranger, the Collateral Agent, any Lender or any affiliate is a
party thereto) which any of them may pay or incur arising out of or relating to
this Agreement, the other Loan Documents, the transactions contemplated hereby
or the direct or indirect application or proposed application of the proceeds of
any Loan hereunder except to the extent that they have resulted from the gross
negligence or willful misconduct of the party seeking indemnification. The
obligations of the Borrower under this Section 9.7 shall survive the termination
of this Agreement.

      9.8 Nonliability of Lenders. The relationship between the Borrower on the
one hand and the Lenders, the Agent and the Collateral Agent on the other hand
shall be solely that of borrower and lender. Neither the Agent, the Arranger,
the Collateral Agent nor any Lender shall have any fiduciary responsibilities to
the Borrower. Neither the Agent, the Arranger, the Collateral Agent nor any
Lender undertakes any responsibility to the Borrower to review or inform the
Borrower of any matter in connection with any phase of the Borrower's business
or operations. The Borrower agrees that neither the Agent, the Arranger, the
Collateral Agent nor any Lender shall have liability to the Borrower (whether
sounding in tort, contract or otherwise) for losses suffered by the Borrower in
connection with, arising out of, or in any way related to, the transactions
contemplated and the relationship established by the Loan Documents, or any act,
omission or event occurring in connection therewith, unless such losses resulted
from the gross negligence or willful misconduct of the party from which recovery
is sought. Neither the Agent, the Arranger, the Collateral Agent nor any Lender
shall have any liability with respect to, and the Borrower hereby waives,
releases and agrees not to sue for, any special, indirect or consequential
damages suffered by the Borrower in connection with, arising out of, or in any
way related to the Loan Documents or the transactions contemplated thereby.

      9.9 Severability of Provisions. Any provision in any Loan Document that is
held to be inoperative, unenforceable, or invalid in any jurisdiction shall, as
to that jurisdiction, be inoperative, unenforceable, or invalid without
affecting the remaining provisions in that jurisdiction or the operation,
enforceability, or validity of that provision in any other jurisdiction, and to
this end the provisions of all Loan Documents are declared to be severable.

      9.10 Numbers of Documents. All statements, notices, closing documents, and
requests hereunder shall be furnished to the Agent with sufficient counterparts
so that the Agent may furnish one to each of the Lenders.

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      9.11 Accounting. Except as provided to the contrary herein, all accounting
terms used herein shall be interpreted and all accounting determinations
hereunder shall be made in accordance with Agreement Accounting Principles,
except that any calculation or determination which is to be made on a
consolidated basis shall be made for the Borrower and all its Subsidiaries,
including those Subsidiaries, if any, which are unconsolidated on the Borrower's
audited financial statements.

      9.12 Confidentiality. The Agent and each of the Lenders agrees to maintain
the confidentiality of the Information (as defined below), except that
Information may be disclosed (a) to its and its Affiliates' directors, officers,
employees and agents, including accountants, legal counsel and other advisors
(it being understood that the Persons to whom such disclosure is made will be
informed of the confidential nature of such Information and instructed to keep
such Information confidential), (b) to the extent requested by any regulatory
authority, (c) to the extent required by applicable laws or regulations or by
any subpoena or similar legal process, (d) to any other party to this Agreement,
(e) in connection with the exercise of any remedies hereunder or any suit,
action or proceeding relating to this Agreement or the enforcement of rights
hereunder, (f) subject to an agreement containing provisions substantially the
same as those of this Section, to (i) any assignee of or Participant in, or any
prospective assignee of or Participant in, any of its rights or obligations
under this Agreement or (ii) any actual or prospective counterparty (or its
advisors) to any swap or derivative transaction relating to the Borrower and its
obligations, (g) with the consent of the Borrower or (h) to the extent such
Information (i) becomes publicly available other than as a result of a breach of
this Section or (ii) becomes available to the Agent or any Lender on a
non-confidential basis from a source other than the Borrower. For the purposes
of this Section, "Information" means all information received from the Borrower
relating to the Borrower or its business, other than any such information that
is available to the Agent or any Lender on a non-confidential basis prior to
disclosure by the Borrower; provided that, in the case of information received
from the Borrower after the date hereof, such information is clearly identified
at the time of delivery as confidential. Any Person required to maintain the
confidentiality of Information as provided in this Section shall be considered
to have complied with its obligation to do so if such Person has exercised the
same degree of care to maintain the confidentiality of such Information as such
Person would accord to its own confidential information.

      EACH LENDER ACKNOWLEDGES THAT INFORMATION AS DEFINED IN SECTION 9.12
FURNISHED TO IT PURSUANT TO THIS AGREEMENT MAY INCLUDE MATERIAL NON-PUBLIC
INFORMATION CONCERNING THE BORROWER AND ITS RELATED PARTIES OR THEIR RESPECTIVE
SECURITIES, AND CONFIRMS THAT IT HAS DEVELOPED COMPLIANCE PROCEDURES REGARDING
THE USE OF MATERIAL NON-PUBLIC INFORMATION AND THAT IT WILL HANDLE SUCH MATERIAL
NON-PUBLIC INFORMATION IN ACCORDANCE WITH THOSE PROCEDURES AND APPLICABLE LAW,
INCLUDING FEDERAL AND STATE SECURITIES LAWS.

      ALL INFORMATION, INCLUDING REQUESTS FOR WAIVERS AND AMENDMENTS, FURNISHED
BY THE BORROWER OR THE AGENT PURSUANT TO, OR IN THE COURSE OF ADMINISTERING,
THIS AGREEMENT WILL BE SYNDICATE-LEVEL INFORMATION, WHICH MAY CONTAIN MATERIAL
NON-PUBLIC INFORMATION ABOUT THE BORROWER AND ITS AFFILIATES AND THEIR
RESPECTIVE SECURITIES. ACCORDINGLY, EACH LENDER REPRESENTS TO THE BORROWER AND
THE AGENT THAT IT HAS IDENTIFIED IN ITS ADMINISTRATIVE QUESTIONNAIRE A CREDIT
CONTACT WHO MAY RECEIVE INFORMATION THAT MAY CONTAIN MATERIAL NON-PUBLIC
INFORMATION IN ACCORDANCE WITH ITS COMPLIANCE PROCEDURES AND APPLICABLE LAW.

      9.13 Nonreliance. Each Lender hereby represents that it is not relying on
or looking to any margin stock (as defined in Regulation U of the Board of
Governors of the Federal Reserve System) for the repayment of the Loans provided
for herein.

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      9.14 Disclosure. The Borrower and each Lender hereby (i) acknowledge and
agree that Bank One and/or its Affiliates from time to time may hold investments
in, make other loans to or have other relationships with the Borrower and its
Affiliates, and (ii) waive any liability of Bank One or such Affiliate to the
Borrower or any Lender, respectively, arising out of or resulting from such
investments, loans or relationships other than liabilities arising out of the
gross negligence or willful misconduct of Bank One or its Affiliates.

                                   ARTICLE X
                       THE AGENT AND THE COLLATERAL AGENT

      10.1 Appointment; Nature of Relationship. JPMorgan Chase Bank, N.A. is
hereby appointed by each of the Lenders as its contractual representative
(herein referred to as the "Agent") hereunder and under each other Loan
Document, and each of the Lenders irrevocably authorizes the Agent to act as the
contractual representative of such Lender with the rights and duties expressly
set forth herein and in the other Loan Documents. The Agent is hereby authorized
to enter into the Security Agreement thereby appointing the Collateral Agent to
act on behalf of the Lenders and all obligations of the Lenders under the
Security Agreement shall be binding upon each Lender as if such Lender had
executed the Security Agreement. The Agent agrees to act as such contractual
representative upon the express conditions contained in this Article X.
Notwithstanding the use of the defined term "Agent" throughout the Agreement, it
is expressly understood and agreed that the Agent shall have not have any
fiduciary responsibilities to any Lender by reason of this Agreement or any
other Loan Document and that the Agent is merely acting as the representative of
the Lenders with only those duties as are expressly set forth in this Agreement
and the other Loan Documents. In its capacity as the Lenders' contractual
representative, the Agent (i) does not hereby assume any fiduciary duties to any
of the Lenders, (ii) is a "representative" of the Lenders within the meaning of
the term "secured party" as defined in the Illinois Uniform Commercial Code as
in effect from time to time and (iii) is acting as an independent contractor,
the rights and duties of which are limited to those expressly set forth in this
Agreement and the other Loan Documents. Each of the Lenders hereby agrees to
assert no claim against the Agent on any agency theory or any other theory of
liability for breach of fiduciary duty, all of which claims each Lender hereby
waives.

      10.2 Powers. The Agent shall have and may exercise such powers under the
Loan Documents as are specifically delegated to the Agent by the terms of each
thereof, together with such powers as are reasonably incidental thereto. The
Agent shall have no implied duties to the Lenders, or any obligation to the
Lenders to take any action thereunder except any action specifically provided by
the Loan Documents to be taken by the Agent.

      10.3 General Immunity. Neither the Agent nor any of its directors,
officers, agents or employees shall be liable to the Borrower, the Lenders or
any Lender for any action taken or omitted to be taken by it or them hereunder
or under any other Loan Document or in connection herewith or therewith, whether
sounding in tort, contract or otherwise except to the extent such action or
inaction arises from the gross negligence or willful misconduct of such Person.

      10.4 No Responsibility for Loans, Recitals, etc. Neither the Agent nor any
of its directors, officers, agents or employees shall be responsible for or have
any duty to ascertain, inquire into, or verify (i) any statement, warranty or
representation made in connection with any Loan Document or any borrowing
hereunder; (ii) the performance or observance of any of the covenants or
agreements of any obligor under any Loan Document, including, without
limitation, any agreement by an obligor to furnish information directly to each
Lender; (iii) the satisfaction of any condition specified in Article IV, except

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receipt of items required to be delivered solely to the Agent; (iv) the
existence or possible existence of any Default or Unmatured Default; (v) the
validity, enforceability, effectiveness, sufficiency or genuineness of any Loan
Document or any other instrument or writing furnished in connection therewith;
(vi) the value, sufficiency, creation, perfection or priority of any Lien in any
collateral security; or (vii) the financial condition of the Borrower or any
guarantor of any of the Obligations or of any of the Borrower's or any such
guarantor's respective Subsidiaries. The Agent shall have no duty to disclose to
the Lenders information that is not required to be furnished by the Borrower to
the Agent at such time, but is voluntarily furnished by the Borrower to the
Agent (either in its capacity as Agent or in its individual capacity).

      10.5 Action on Instructions of Lenders. The Agent shall in all cases be
fully protected in acting, or in refraining from acting, hereunder and under any
other Loan Document in accordance with written instructions signed by the
Required Lenders, and such instructions and any action taken or failure to act
pursuant thereto shall be binding on all of the Lenders. The Lenders hereby
acknowledge that the Agent shall be under no duty to take any discretionary
action permitted to be taken by it pursuant to the provisions of this Agreement
or any other Loan Document unless it shall be requested in writing to do so by
the Required Lenders. The Agent shall be fully justified in failing or refusing
to take any action hereunder and under any other Loan Document unless it shall
first be indemnified to its satisfaction by the Lenders pro rata against any and
all liability, cost and expense that it may incur by reason of taking or
continuing to take any such action.

      10.6 Employment of Agents and Counsel. The Agent may execute any of its
duties as Agent hereunder and under any other Loan Document by or through
employees, agents, and attorneys-in-fact and shall not be answerable to the
Lenders, except as to money or securities received by it or its authorized
agents, for the default or misconduct of any such agents or attorneys-in-fact
selected by it with reasonable care. The Agent shall be entitled to advice of
counsel concerning the contractual arrangement between the Agent and the Lenders
and all matters pertaining to the Agent's duties hereunder and under any other
Loan Document.

      10.7 Reliance on Documents; Counsel. The Agent shall be entitled to rely
upon any Note, notice, consent, certificate, affidavit, letter, telegram,
statement, paper or document believed by it to be genuine and correct and to
have been signed or sent by the proper person or persons, and, in respect to
legal matters, upon the opinion of counsel selected by the Agent, which counsel
may be employees of the Agent.

      10.8 Agent's Reimbursement and Indemnification. The Lenders agree to
reimburse and indemnify the Agent ratably in proportion to their respective
Commitments (or, if the Commitments have been terminated, in proportion to their
Commitments immediately prior to such termination) (i) for any amounts not
reimbursed by the Borrower for which the Agent is entitled to reimbursement by
the Borrower under the Loan Documents, (ii) for any other expenses incurred by
the Agent on behalf of the Lenders, in connection with the preparation,
execution, delivery, administration and enforcement of the Loan Documents
(including, without limitation, for any expenses incurred by the Agent in
connection with any dispute between the Agent and any Lender or between two or
more of the Lenders) and (iii) for any liabilities, obligations, losses,
damages, penalties, actions, judgments, suits, costs, expenses or disbursements
of any kind and nature whatsoever which may be imposed on, incurred by or
asserted against the Agent in any way relating to or arising out of the Loan
Documents or any other document delivered in connection therewith or the
transactions contemplated thereby (including, without limitation, for any such
amounts incurred by or asserted against the Agent in connection with any dispute
between the Agent and any Lender or between two or more of the Lenders), or the
enforcement

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of any of the terms of the Loan Documents or of any such other documents,
provided that no Lender shall be liable for any of the foregoing to the extent
any of the foregoing is found in, a final non-appealable judgment by a court of
competent jurisdiction to have resulted from the gross negligence or willful
misconduct of the Agent. The obligations of the Lenders under this Section 10.8
shall survive payment of the Obligations and termination of this Agreement.

      10.9 Notice of Default. The Agent shall not be deemed to have knowledge or
notice of the occurrence of any Default or Unmatured Default hereunder unless
the Agent has received written notice from a Lender or the Borrower referring to
this Agreement describing such Default or Unmatured Default and stating that
such notice is a "notice of default". In the event that the Agent receives such
a notice, the Agent shall give prompt notice thereof to the Lenders.

      10.10 Rights as a Lender. In the event the Agent is a Lender, the Agent
shall have the same rights and powers hereunder and under any other Loan
Document with respect to its Commitment and its Loans as any Lender and may
exercise the same as though it were not the Agent, and the term "Lender" or
"Lenders" shall, at any time when the Agent is a Lender, unless the context
otherwise indicates, include the Agent in its individual capacity. The Agent and
its Affiliates may accept deposits from, lend money to, and generally engage in
any kind of trust, debt, equity or other transaction, in addition to those
contemplated by this Agreement or any other Loan Document, with the Borrower or
any of its Subsidiaries in which the Borrower or such Subsidiary is not
restricted hereby from engaging with any other Person. The Agent, in its
individual capacity, is not obligated to be or remain a Lender.

      10.11 Lender Credit Decision. Each Lender acknowledges that it has,
independently and without reliance upon the Agent, the Arranger or any other
Lender and based on the financial statements prepared by the Borrower and such
other documents and information as it has deemed appropriate, made its own
credit analysis and decision to enter into this Agreement and the other Loan
Documents. Each Lender also acknowledges that it will, independently and without
reliance upon the Agent, the Arranger or any other Lender and based on such
documents and information as it shall deem appropriate at the time, continue to
make its own credit decisions in taking or not taking action under this
Agreement and the other Loan Documents.

      10.12 Successor Agent. The Agent may resign at any time by giving written
notice thereof to the Lenders and the Borrower, such resignation to be effective
upon the appointment of a successor Agent or, if no successor Agent has been
appointed, ninety days after the retiring Agent gives notice of its intention to
resign. Upon any such resignation, the Required Lenders shall have the right to
appoint, on behalf of the Borrower and the Lenders, a successor Agent; provided,
however, that such appointment, unless made during the continuance of a Default
or an Unmatured Default, shall be subject to the consent of the Borrower, which
consent shall not be unreasonably withheld. If no successor Agent shall have
been so appointed by the Required Lenders within thirty days after the resigning
Agent's giving notice of its intention to resign, then the resigning Agent may
appoint, on behalf of the Borrower and the Lenders, a successor Agent; provided,
however, that such appointment, unless made during the continuance of a Default
or an Unmatured Default, shall be subject to the consent of the Borrower, which
consent shall not be unreasonably withheld. Notwithstanding the previous
sentence, the Agent may at any time without the consent of the Borrower or any
Lender, appoint any of its Affiliates which is a commercial bank as a successor
Agent hereunder. If the Agent has resigned and no successor Agent has been
appointed, the Lenders may perform all the duties of the Agent hereunder and the
Borrower shall make all payments in respect of the Obligations to the applicable
Lender and for all other purposes shall deal directly with the Lenders. No
successor Agent shall be deemed to be appointed hereunder until such successor
Agent has accepted the appointment. Any such successor

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Agent shall be a commercial bank having capital and retained earnings of at
least $500,000,000. Upon the acceptance of any appointment as Agent hereunder by
a successor Agent, such successor Agent shall thereupon succeed to and become
vested with all the rights, powers, privileges and duties of the resigning
Agent. Upon the effectiveness of the resignation of the Agent, the resigning
Agent shall be discharged from its duties and obligations hereunder and under
the Loan Documents. After the effectiveness of the resignation of an Agent, the
provisions of this Article X shall continue in effect for the benefit of such
Agent in respect of any actions taken or omitted to be taken by it while it was
acting as the Agent hereunder and under the other Loan Documents.

      10.13 Delegation to Affiliates. The Borrower and the Lenders agree that
the Agent may delegate any of its duties under this Agreement to any of its
Affiliates. Any such Affiliate (and such Affiliate's directors, officers, agents
and employees) which performs duties in connection with this Agreement shall be
entitled to the same benefits of the indemnification, waiver and other
protective provisions to which the Agent is entitled under Articles IX and X.

      10.14 Collateral Releases. The Lenders hereby empower and authorize the
Agent to execute and deliver to the Borrower on their behalf any agreements,
documents or instruments as shall be necessary or appropriate to effect any
releases of Collateral which shall be permitted by the terms hereof or of any
other Loan Document or which shall otherwise have been approved by the Required
Lenders (or, if required by the terms of Section 9.1, all of the Lenders) in
writing.

                                   ARTICLE XI
                            SETOFF; RATABLE PAYMENTS

      11.1 Setoff. In addition to, and without limitation of, any rights of the
Lenders under applicable law, if the Borrower becomes insolvent, however
evidenced, or any Default occurs, any and all deposits (including all account
balances, whether provisional or final and whether or not collected or
available), any amounts owed under Rate Management Transactions, and any other
Indebtedness at any time held or owing by any Lender or any Affiliate of any
Lender to or for the credit or account of the Borrower may be offset and applied
toward the payment of the Obligations owing to such Lender, whether or not the
Obligations, or any part hereof, shall then be due.

      11.2 Ratable Payments. If any Lender, whether by setoff or otherwise, has
payment made to it upon its Loans (other than payments received pursuant to
Section 3.1, 3.2, 3.4 or 3.5) in a greater proportion than that received by any
other Lender, such Lender agrees, promptly upon demand, to purchase a portion of
the Loans held by the other Lenders so that after such purchase each Lender will
hold its ratable proportion of Loans. If any Lender, whether in connection with
setoff or amounts which might be subject to setoff or otherwise, receives
collateral or other protection for its Obligations or such amounts which may be
subject to setoff, such Lender agrees, promptly upon demand, to take such action
necessary such that all Lenders share in the benefits of such collateral ratably
in proportion to their Loans. In case any such payment is disturbed by legal
process, or otherwise, appropriate further adjustments shall be made.

      11.3 Custodial Accounts. The Borrower agrees that funds received and held
by the Borrower as custodian for FNMA, GNMA or other mortgage pools which are
deposited into accounts with any Lender shall be clearly identified as custodial
accounts, and each Lender agrees that each provision of the foregoing
subsections of this Article XI shall not apply to such custodial accounts. The
Borrower shall not deposit any of its general funds in any custodial accounts or
otherwise commingle funds in any custodial accounts.

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                                  ARTICLE XII
                ASSIGNMENTS; PARTICIPATIONS; COMMITMENT INCREASES

      12.1 Successors and Assigns. The terms and provisions of the Loan
Documents shall be binding upon and inure to the benefit of the Borrower and the
Lenders and their respective successors and assigns, except that (i) the
Borrower shall not have the right to assign its rights or obligations under the
Loan Documents and (ii) and assignment by any Lender must be made in compliance
with Section 12.3. The parties to this Agreement acknowledge that clause (ii) of
this Section 12.1 relates only to absolute assignments and does not prohibit
assignments creating security interests, including, without limitation, any
pledge or assignment by any Lender of all or any portion of its rights under
this Agreement and any Note to a Federal Reserve Bank; provided, however, that
no such pledge or assignment creating a security interest shall release the
transferor Lender from its obligations hereunder unless and until the parties
hereto have complied with the provisions of Section 12.3. The Agent may treat
the Person which made any Loan or which holds any Note as the owner thereof for
all purposes hereof unless and until such Person complies with Section 12.3,
provided, however, that the Agent may in its discretion (but shall not be
required to) follow instructions from the Person which made any Loan or which
holds any Note to direct payments relating to such Loan or Note to another
Person. Any assignee of the rights to any Loans or any Note agrees by acceptance
of such transfer or assignment to be bound by all the terms and provisions of
the Loan Documents. Any request, authority or consent of any Person, who at the
time of making such request or giving such authority or consent is the owner of
the Rights to any Loan (whether or not a Note has been issued in evidence
thereof), shall be conclusive and binding on any subsequent holder, or assignee
of the rights to such Loan.

      12.2 Participations.

            12.2.1 Permitted Participants; Effect. Any Lender may, in the
ordinary course of its business and in accordance with applicable law, at any
time sell to one or more banks or other entities ("Participants") participating
interests in any Loan owing to such Lender, any Note held by such Lender, any
Commitment of such Lender or any other interest of such Lender under the Loan
Documents. In the event of any such sale by a Lender of participating interests
to a Participant, such Lender's obligations under the Loan Documents shall
remain unchanged, such Lender shall remain solely responsible to the other
parties hereto for the performance of such obligations, such Lender shall remain
the owner of its Loans and the holder of any Note issued to it in evidence
thereof for all purposes under the Loan Documents, all amounts payable by the
Borrower under this Agreement shall be determined as if such Lender had not sold
such participating interests, and the Borrower and the Agent shall continue to
deal solely and directly with such Lender in connection with such Lender's
rights and obligations under the Loan Documents.

            12.2.2 Voting Rights. Each Lender shall retain the sole right to
approve, without the consent of any Participant, any amendment, modification or
waiver of any provision of the Loan Documents other than any amendment,
modification or waiver with respect to any Loan or Commitment in which such
Participant has an interest which forgives principal, interest or fees or
reduces the interest rate or fees payable with respect to any such Loan or
Commitment, extends the Termination Date, postpones any date fixed for any
regularly-scheduled payment of principal of, or interest or fees on, any such
Loan or Commitment, releases any guarantor of any such Loan or releases all or
substantially all of the Collateral (other than as expressly permitted pursuant
to the Loan Documents).

            12.2.3 Benefit of Setoff. The Borrower agrees that each Participant
shall be deemed to have the right of setoff provided in Section 11.1 in respect
of its participating interest in amounts owing

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under the Loan Documents to the same extent as if the amount of its
participating interest were owing directly to it as a Lender under the Loan
Documents, provided that each Lender shall retain the right of setoff provided
in Section 11.1 with respect to the amount of participating interests sold to
each Participant. The Lenders agree to share with each Participant, and each
Participant, by exercising the right of setoff provided in Section 11.1, agrees
to share with each Lender, any amount received pursuant to the exercise of its
right of setoff, such amounts to be shared in accordance with Section 11.2 as if
each Participant were a Lender.

      12.3 Assignments.

            12.3.1 Permitted Assignments. Any Lender may, in the ordinary course
of its business and in accordance with applicable law, at any time assign to one
or more banks or other entities ("Purchasers") all or any part of its rights and
obligations under the Loan Documents. Such assignment shall be substantially in
the form of Exhibit J hereto or in such other form as may be agreed to by the
parties thereto. The consent of the Borrower and the Agent shall be required
prior to an assignment becoming effective with respect to a Purchaser which is
not a Lender or an Affiliate thereof, provided, however, that if a Default has
occurred and is continuing, the consent of the Borrower shall not be required.
Such consents of the Agent and the Borrower shall not be unreasonably withheld
or delayed. Each such assignment shall (unless it is to a Lender or an Affiliate
thereof or each of the Borrower and the Agent otherwise consents) be in an
amount not less than the lesser of (i) $10,000,000 or (ii) the remaining amount
of the assigning Lender's Commitment (calculated as at the date of such
assignment).

            12.3.2 Effect; Effective Date. Upon (i) delivery to the Agent of a
notice of assignment, substantially in the form attached as Annex "I" to Exhibit
J hereto (a "Notice of Assignment"), together with any consents required by
Section 12.3.1, and (ii) payment of a $3,500 fee to the Agent for processing
such assignment, such assignment shall become effective on the effective date
specified in such Notice of Assignment. The Notice of Assignment shall contain a
representation by the Purchaser to the effect that none of the consideration
used to make the purchase of the Commitment and Loans under the applicable
assignment agreement are "plan assets" as defined under ERISA and that the
rights and interests of the Purchaser in and under the Loan Documents will not
be "plan assets" under ERISA. On and after the effective date of such
assignment, such Purchaser shall for all purposes be a Lender party to this
Agreement and any other Loan Document executed by or on behalf of the Lenders
and shall have all the rights and obligations of a Lender under the Loan
Documents, to the same extent as if it were an original party hereto, and no
further consent or action by the Borrower, the Lenders or the Agent shall be
required to release the transferor Lender with respect to the percentage of the
Aggregate Commitment and Loans assigned to such Purchaser. Upon the consummation
of any assignment to a Purchaser pursuant to this Section 12.3.2, the transferor
Lender, the Agent and the Borrower shall, if the transferor Lender or the
Purchaser desires that its Loans be evidenced by Notes, make appropriate
arrangements so that new Notes or, as appropriate replacement Notes are issued
to such transferor Lender and new Notes or, as appropriate, replacement Notes,
are issued to such Purchaser, in each case in principal amounts reflecting their
respective Commitments, as adjusted pursuant to such assignment. In addition,
within a reasonable time after the effective date of any assignment, the Agent
shall, and is hereby authorized and directed to, revise Schedule "1' reflecting
the revised commitments and percentages of each of the Lenders and shall
distribute such revised Schedule "1' to each of the Lenders and the Borrower,
whereupon such revised Schedule shall replace the old Schedule and become part
of this Agreement.

      12.4 Intentionally Omitted.

                                       72
<PAGE>

      12.5 Dissemination of Information. The Borrower authorizes each Lender to
disclose to any Participant or Purchaser or any other Person acquiring an
interest in the Loan Documents by operation of law (each a "Transferee") and any
prospective Transferee any and all information in such Lender's possession
concerning the creditworthiness of the Borrower and its Subsidiaries, including
without limitation any information contained in any reports regarding the
Borrower; provided that each Transferee and prospective Transferee agrees to be
bound by Section 9.12 of this Agreement.

      12.6 Tax Treatment. If any interest in any Loan Document is transferred to
any Transferee which is organized under the laws of any jurisdiction other than
the United States or any State thereof, the transferor Lender shall cause such
Transferee, concurrently with the effectiveness of such transfer, to comply with
the provisions of Section 3.4(e).

                                  ARTICLE XIII
                                     NOTICES

      13.1 Notices. Except as otherwise permitted by Section 2.13 with respect
to borrowing notices, all notices, requests and other communications to any
party hereunder shall be in writing (including bank wire, facsimile transmission
or similar writing) and shall be given to such party: (x) in the case of the
Borrower, the Agent or any Lender, at its address or facsimile number set forth
on the signature pages hereof, (y) in the case of the Collateral Agent, at its
address or facsimile number set forth on the signature pages of the Security
Agreement or (z) in the case of any party, at such other address or facsimile
number as such party may hereafter specify for the purpose by notice to the
Agent and the Borrower in accordance with the provisions of this Section 13.1.
Each such notice, request or other communication shall be effective (i) if given
by facsimile transmission., when transmitted to the facsimile number specified
in this Section and confirmation of receipt is received, (ii) if given by mail,
72 hours after such communication is deposited in the mails with first class
postage prepaid, addressed as aforesaid or (iii) if given by any other means,
when delivered at the address specified in this Section; provided that notices
to the Agent under Article 11 shall not be effective until received.

      13.2 Change of Address. The Borrower, the Agent, the Collateral Agent and
any Lender may each change the address for service of notice upon it by a notice
in writing to the other parties hereto.

                                  ARTICLE XIV
                                  COUNTERPARTS

      This Agreement may be executed in any number of counterparts, all of which
taken together shall constitute one agreement, and any of the parties hereto may
execute this Agreement by signing any such counterpart. This Agreement shall be
effective when it has been executed by the Borrower, the Agent and the Lenders
and each party has notified the Agent by facsimile transmission or telephone,
that it has taken such action.

                                   ARTICLE XV
          CHOICE OF LAW, CONSENT TO JURISDICTION, WAIVER OF JURY TRIAL

      15.1 CHOICE OF LAW. THE LOAN DOCUMENTS (OTHER THAN THOSE CONTAINING A
CONTRARY EXPRESS CHOICE OF LAW PROVISION) SHALL BE CONSTRUED IN ACCORDANCE WITH
THE INTERNAL LAWS (AND NOT THE LAW OF CONFLICTS) OF THE STATE OF NEW YORK, BUT
GIVING EFFECT TO FEDERAL LAWS APPLICABLE TO NATIONAL BANKS.

                                       73
<PAGE>

      15.2 CONSENT TO JURISDICTION. THE BORROWER HEREBY IRREVOCABLY SUBMITS TO
THE NON-EXCLUSIVE JURISDICTION OF ANY UNITED STATES FEDERAL OR NEW YORK STATE
COURT SITTING IN NEW YORK CITY IN ANY ACTION OR PROCEEDING ARISING OUT OF OR
RELATING TO ANY LOAN DOCUMENTS AND THE BORROWER HEREBY IRREVOCABLY AGREES THAT
ALL CLAIMS IN RESPECT OF SUCH ACTION OR PROCEEDING MAY BE HEARD AND DETERMINED
IN ANY SUCH COURT AND IRREVOCABLY WAIVES ANY OBJECTION IT MAY NOW OR HEREAFTER
HAVE AS TO THE VENUE OF ANY SUCH SUIT, ACTION OR PROCEEDING BROUGHT IN SUCH A
COURT OR THAT SUCH COURT IS AN INCONVENIENT FORUM. NOTHING HEREIN SHALL LIMIT
THE RIGHT OF THE AGENT OR ANY LENDER TO BRING PROCEEDINGS AGAINST THE BORROWER
IN THE COURTS OF ANY OTHER JURISDICTION. ANY JUDICIAL PROCEEDING BY THE BORROWER
AGAINST THE AGENT OR ANY LENDER OR ANY AFFILIATE OF THE AGENT OR ANY LENDER
INVOLVING, DIRECTLY OR INDIRECTLY, ANY MATTER IN ANY WAY ARISING OUT OF, RELATED
TO, OR CONNECTED WITH ANY LOAN DOCUMENT SHALL BE BROUGHT ONLY IN A COURT IN NEW
YORK, NEW YORK.

      15.3 WAIVER OF JURY TRIAL. THE BORROWER, THE AGENT AND EACH LENDER HEREBY
WAIVE TRIAL BY JURY IN ANY JUDICIAL PROCEEDING INVOLVING, DIRECTLY OR
INDIRECTLY, ANY MATTER (WHETHER SOUNDING IN TORT, CONTRACT OR OTHERWISE) IN ANY
WAY ARISING OUT OF, RELATED TO, OR CONNECTED WITH ANY LOAN DOCUMENT OR THE
RELATIONSHIP ESTABLISHED THEREUNDER.

                                       74
<PAGE>

      IN WITNESS WHEREOF, the Borrower, the Lenders and the Agent have executed
this Agreement as of the date first above written.

                        PULTE MORTGAGE LLC

                        By:    ________________________________________________
                        Name:  ________________________________________________
                        Title: ________________________________________________

                        Address for Notices:

                        7475 South Joliet Street
                        Englewood, Colorado 80112
                        Attn: Chief Financial Officer
                        Telephone No.: (303) 493-2900
                        Facsimile No.: (303) 493-4900

                                       75
<PAGE>

                        JPMORGAN CHASE BANK, N.A.,
                        individually and as Agent

                        By: ________________________________________________
                        Name: R. Britt Langford
                        Title: Senior Vice President

                        Address for Notices Regarding Fundings:

                        1111 Fannin, 12th Floor
                        Houston, TX  77002
                        Attn: Bea Delgado
                        Telephone No.: (713) 427-6455
                        Facsimile No.: (713) 427-6453

                        Address for Other Notices:

                        JP Morgan Chase Bank, N.A.
                        707 Travis Street, 6N91
                        Houston, TX 77002
                        Attn: R. Britt Langford, Senior Vice President
                        Telephone No.: (713) 216-2301
                        Facsimile No.: (713) 216-1567

                                       76
<PAGE>

                        BOA LENDING L.L.P.

                        By:  Bank of America, N.A., its agent

                        By:    ________________________________________________
                        Name:  ________________________________________________
                        Title: ________________________________________________

                        Address for Notices:

                        901 Main Street
                        66th Floor
                        Dallas, Texas 75202
                        Attention:  Elizabeth Kurilecz
                        Telephone No.:  (214) 209-0975
                        Facsimile No.:  (214) 209-1027

                                       77
<PAGE>

                        CALYON NEW YORK BRANCH

                        By:    ________________________________________________
                        Name:  ________________________________________________
                        Title: ________________________________________________

                        By:    ________________________________________________
                        Name:  ________________________________________________
                        Title: ________________________________________________

                        Address for Notices:

                        2200 Ross Avenue
                        Suite 4400W
                        Dallas, Texas 75201
                        Attention:  Robert Nelson
                        Telephone No.:  (214) 220-2333
                        Facsimile No.:  (214) 220-2323

                                       78
<PAGE>

                        WASHINGTON MUTUAL BANK, FA

                        By:    ________________________________________________
                        Name:  ________________________________________________
                        Title: ________________________________________________

                        Address for Notices:

                        _______________________________
                        _______________________________
                        Attn: Rodney Davis
                        Telephone No.: (312) 782-3728
                        Facsimile No.: (312) ___-____

                                       79
<PAGE>

                        LASALLE BANK NATIONAL ASSOCIATION

                        By:    ________________________________________________
                        Name:  ________________________________________________
                        Title: ________________________________________________

                        Address for Notices:

                        135 South LaSalle Street, Suite 1731
                        Chicago, Illinois 60603
                        Attn: Bonnie Althoff
                        Telephone No.: (312) 904-1623
                        Facsimile No.: (312) 904-2982

                                       80
<PAGE>

                        COMERICA BANK

                        By:    ________________________________________________
                        Name:  ________________________________________________
                        Title: ________________________________________________

                        Address for Notices:

                        One Detroit Center
                        500 Woodward Avenue
                        Detroit, Michigan 48226
                        Attn: Paul Dufault
                        Telephone No.: (313) 222-9036
                        Facsimile No.: (313) 222-9295

                                       81
<PAGE>

                         NATIONAL CITY BANK OF KENTUCKY

                        By:    ________________________________________________
                        Name:  ________________________________________________
                        Title: ________________________________________________

                        Address for Notices:

                        101 South Fifth Street, 6th Floor
                        Louisville, Kentucky 40202
                        Attn: Charles Ezell
                        Telephone No.: (502) 581-4152
                        Facsimile No.: (502) 581-4154

                                       82
<PAGE>

                        BNP PARIBAS

                        By:    ________________________________________________
                        Name:  ________________________________________________
                        Title: ________________________________________________

                        Address for Notices:

                        ______________________________
                        ______________________________
                        Attn: Duane Helkowski
                        Telephone No.: (212) 841-2940
                        Facsimile No.: (212) ___-____

                                       83
<PAGE>

                        THE BANK OF TOKYO-MITSUBISHI UFJ, LTD.,
                        CHICAGO BRANCH

                        By:    ________________________________________________
                        Name:  ________________________________________________
                        Title: ________________________________________________

                        Address for Notices:

                        227 West Monroe Street, Suite 2300
                        Chicago, Illinois 60606
                        Attn: Tom Denio
                        Telephone No.: (312) 696-4665
                        Facsimile No.: (312) 696-4535

                                       84
<PAGE>

                        SUN TRUST BANK

                        By:    ________________________________________________
                        Name:  ________________________________________________
                        Title: ________________________________________________

                        Address for Notices:

                        ________________________________________
                        ________________________________________
                        ________________________________________
                        Attn: ___________________________________
                        Telephone No: (___) ___-____
                        Facsimile No.: (___) ___-____

                                       85
<PAGE>

                        WELLS FARGO BANK, N.A.

                        By:    ________________________________________________
                        Name:  ________________________________________________
                        Title: ________________________________________________

                        Address for Notices:
                        1740 Broadway
                        #C7301-031
                        Denver, Colorado 80274
                        Attention: Randall Schmidt
                        Telephone No.: (303) 863-6033
                        Facsimile No.: (303) 863-6670

                                       86
<PAGE>

                                   SCHEDULE 1

                     COMMITMENTS AND COMMITMENT PERCENTAGES

<TABLE>
<CAPTION>

                                                              (A)                       (B)                       (C)
                                                                                     COMMITMENT
                                                                                     PERCENTAGE
                                                                                    (A/Aggregate                SWINGLINE
            LENDER                                         COMMITMENT                 Commitment)               COMMITMENT
                                                          ------------              -------------              -----------
<S>                                                       <C>                       <C>                        <C>
JPMorgan Chase Bank, N.A.                                 $ 65,000,000                 16.049383               $65,000,000
BOA Lending L.L.P.                                        $ 60,000,000                 14.814815
Calyon New York Branch                                    $ 50,000,000                 12.345679
Washington Mutual Bank, FA                                $ 50,000,000                 12.345679
LaSalle Bank National Association                         $ 35,000,000                  8.641975
Comerica Bank                                             $ 30,000,000                  7.407407
National City Bank of Kentucky                            $ 30,000,000                  7.407407
BNP Paribas                                               $ 25,000,000                  6.172840
The Bank of Tokyo-Mitsubishi UFJ, Ltd., Chicago Branch    $ 25,000,000                  6.172840
Sun Trust Bank                                            $ 20,000,000                  4.938272
Wells Fargo, N.A.                                         $ 15,000,000                  3.703703
                                                          ------------                  --------
                                                          $405,000,000                       100
                                                          ============                  ========
</TABLE>

<PAGE>

                                   SCHEDULE 2
                           LIST OF APPROVED INVESTORS

FHLMC - Federal Home Loan Mortgage Corporation (Freddie Mac)

FNMA - Federal National Mortgage Association (Fannie Mae)

GNMA - Government National Mortgage Association (Ginnie Mae) - Current Investor

GNMA- Government National Mortgage Association (Ginnie Mae) - Old Citicorp Pools

American Home Mortgage
Astoria Federal Mortgage Corporation
Aurora Loan Services, Inc.
Bank of America Mortgage
Bank One Home Loan Services
Charter One Financial
Chase Financial Corporation
Chase Manhattan Mortgage Corporation
Citicorp Mortgage, Inc.
Commercial Federal Mortgage Corporation
Countrywide Home Loans, Inc.
Countrywide Home Loans, Inc. - Texas Veterans Land Board Loans
Credit Suisse First Boston - CSFB
EMC Mortgage Corporation -  Bear Stearns
E-Trade Financial Corporation
Fidelity Bankshares, Inc.
First Franklin Financial
First Horizon Mortgage
First Nationwide Mortgage Corporation
First Union Mortgage Corporation
Fleet Mortgage Corporation
GMAC Mortgage Corporation
GreenPoint
HomeSide Lending, Inc.
HSBC Mortgage Corporation (USA)
Independent National Mortgage Corporation (Indy Mac)
InterFirst Mortgage
JPMorgan Mortgage Acquisition Corp.
National City Mortgage Corporation
Opteum Financial Services
Principal Financial Group
Pulte Corporation
Regions Mortgage, Inc.
Resource Bankshares Mortgage Group
Washington Mutual/ALTA Residential Mortgage Trust

                                       1
<PAGE>

Wells Fargo Home Mortgage, Inc.
Zions Bancorporation

                              HOUSING BOND PROGRAMS

Colorado Housing Finance Authority
Sold servicing released to Inter Mountain Mortgage

Dakota County Bond (Minnesota)
Sold servicing released to Knutson Mortgage Corporation

Florida Housing Finance Agency
Sold servicing released to Leader Mortgage Company

Housing Financing Authority of Broward County (Florida)
Sold servicing released to Leader Mortgage Company

Illinois Housing Development Authority
Sold servicing released to Dovenmuehle Mortgage, Inc.

Maryland Housing Opportunities Commission (HOC)
Sold servicing released to Citizens Bank

Minnesota Housing Financing Agency
Sold servicing released to FBS Mortgage Corporation

Nevada State Housing Bond Authority
Servicing released to Leader Mortgage Company

New Jersey Housing Finance Agency
Servicing retained then transferred to Aurora Financial Group

North Carolina Housing Finance Agency
Sold servicing released to United Federal Bank

The Industrial Development Authority of the County of Pima, Arizona
Servicing retained then transferred to Mortgage Clearing Corporation

The Industrial Development Authority of the County of Maricopa, Arizona
Sold servicing released to Leader Mortgage Corporation

Pinellas County Finance Authority
Sold servicing released to Leader Mortgage Company

Texas Department of Housing and Community Affairs (TDHCA)
Sold servicing released to First Nationwide Mortgage Corporation

                                       2
<PAGE>

Texas Veterans Land Board and Non-VLB loans
Sold servicing released to First Nationwide Mortgage Corporation

New Mexico Housing Authority

Sold servicing released to Charter Bank

                                       3
<PAGE>

                                   SCHEDULE 3
                      LITIGATION AND CONTINGENT LIABILITIES

                                      NONE

<PAGE>

                                   SCHEDULE 4
                       SUBSIDIARIES AND OTHER INVESTMENTS
                           (SEE SECTIONS 5.8 AND 6.14)

<TABLE>
<CAPTION>
       INVESTMENT                       OWNED                      AMOUNT OF          PERCENT        JURISDICTION OF
          IN                             BY                       INVESTMENT         OWNERSHIP         ORGANIZATION
------------------------------    ------------------             -------------       ---------       ---------------
<S>                               <C>                            <C>                 <C>             <C>
PCIC Corporation                  Pulte Mortgage LLC             $  105,261.09         100%             Michigan

Joliet MTG Reinsurance Company    Pulte Mortgage LLC             $6,851,737.98         100%             Vermont

Pulte Funding Inc.                Pulte Mortgage LLC             $2,782,616.77         100%             Michigan

DEL Webb Mortgage LLC             Pulte Mortgage LLC             $1,121,722.20         100%             Delaware
</TABLE>

<PAGE>

                                   SCHEDULE 5
                             INDEBTEDNESS AND LIENS

                          (SEE SECTIONS 5.14 AND 6.15)

<TABLE>
<CAPTION>
                                                                                     MATURITY AND
  INDEBTEDNESS               INDEBTEDNESS                  PROPERTY                   AMOUNT OF
  INCURRED BY                  OWED TO                ENCUMBERED (IF ANY)            INDEBTEDNESS
------------------           ------------             -------------------            ------------
<S>                          <C>                      <C>                            <C>               <C>
Pulte Mortgage LLC           Steelcase                Cubicle partitions                $30,287         10/06
</TABLE>

<PAGE>

                                    EXHIBIT A

                                      NOTE

                                                                    May __, 2006

      Pulte Mortgage LLC, a Delaware limited liability company (the "Borrower"),
promises to pay to the order of ______ (the "Lender") the lesser of the Lender's
Commitment under the Agreement (as hereinafter defined) or the aggregate unpaid
principal amount of all Loans made by the Lender to the Borrower pursuant to
Article II of the Agreement in immediately available funds at the main office of
JPMorgan Chase Bank, N.A., as Agent, together with interest on the unpaid
principal amount hereof at the rates and on the dates set forth in the
Agreement. The Borrower shall pay the principal of and accrued and unpaid
interest on the Loans in full on the Termination Date.

      The Lender shall, and is hereby authorized to, record on the schedule
attached hereto, or to otherwise record in accordance with its usual practice,
the date and amount of each Loan and the date and amount of each principal
payment hereunder.

      This Note is one of the Notes issued pursuant to, and is entitled to the
benefits of, the Sixth Amended and Restated Revolving Credit Agreement dated as
of May __, 2006 (which, as it may be amended or modified and in effect from time
to time, is herein called the "Agreement"), among the Borrower, the lenders
party thereto, including the Lender, and JPMorgan Chase Bank, N.A., as Agent, to
which Agreement reference is hereby made for a statement of the terms and
conditions governing this Note, including the terms and conditions under which
this Note may be prepaid or its maturity date accelerated. This Note is secured
pursuant to the Security Agreement, all as more specifically described in the
Agreement, and reference is made thereto for a statement of the terms and
provisions thereof Capitalized terms used herein and not otherwise defined
herein are used with the meanings attributed to them in the Agreement.

      This Note is to be governed by and construed and enforced in accordance
with the laws of the State of New York.

                                      PULTE MORTGAGE LLC

                                      By:  ____________________________________
                                      Name: ___________________________________
                                      Title: __________________________________

<PAGE>

                   SCHEDULE OF LOANS AND PAYMENTS OF PRINCIPAL
                          TO NOTE OF PULTE MORTGAGE LLC
                               DATED MAY __, 2006

<TABLE>
<CAPTION>
                             PRINCIPAL                 PRINCIPAL
                             AMOUNT OF                   AMOUNT                  UNPAID
DATE                           LOAN                       PAID                   BALANCE
----                         ---------                 ----------                -------
<S>                          <C>                       <C>                       <C>
</TABLE>

<PAGE>

                                    EXHIBIT B
                            FORM OF BORROWING NOTICE

Date:

JPMorgan Chase Bank, N.A.
1111 Fannin, 12th Floor
Houston, Tx. 77002
Attn: Wanda Carr
Ph: (713) 427-6391
Fax: (713) 427-6449

Ladies and Gentlemen:

      Reference is made to that certain Sixth Amended and Restated Revolving
Credit Agreement dated as of May ____, 2006 (as amended, extended and replaced
from time to time, the "Credit Agreement") among the Borrower, JPMorgan Chase
Bank, N.A., as agent and certain other Lenders. Any term defined in the Credit
Agreement and used in this Borrowing Notice shall have the meaning given to it
in the Credit Agreement.

      The Borrower hereby requests Loans in the amount set forth below to be
made on ____, 20___ (or, if such day is not a Business Day, on the next Business
Day).

            LIBOR Advance
            (REQUEST TO BE RECEIVED BY 12 P.M. (NEW YORK TIME): $___________

            Swingline Advance
            (REQUEST TO BE RECEIVED BY 5:00 P.M. (NEW YORK TIME): $__________

            Total Advance                                         $__________

      Concurrently herewith, the Borrower is delivering to the Agent, its
designated custodian or the Lenders the Required Mortgage Documents, the
Additional Required Mortgage Documents (if any), and/or a Agreement to Pledge
for the Mortgage Loans.

      The Borrower represents and warrants that after giving effect to the
requested Loans, the Collateral Value of the Borrowing Base will equal or exceed
the aggregate principal balance of the Loans outstanding under the Credit
Agreement and such balance will not exceed the Aggregate Commitment.

      The Borrower hereby grants to the Agent and Lenders a security interest in
all such new Collateral they are hereby made subject to the security interest to
the Lender created by the Agreement, effective immediately.

      The proceeds of the Loans should be deposited in the Borrower's operating
account number _____________ with JPMorgan Chase Bank, N.A..

<PAGE>

      The Borrower acknowledges that the Agent and Lenders will rely on the
truth of each statement in this request and its attachments in funding the
requested Loans.

      The Borrower confirms that the representations and warranties of the
Borrower contained in the Loan Documents are accurate and complete in all
material respects as if made on and as of the date of the funding of the
requested Loans and that no Default has occurred.

<PAGE>

      All items that the Borrower is required to furnish to the Agent, its
designated custodian or the Lenders for the requested Loans and otherwise have
been delivered, or will be delivered before the requested Loans are funded, in
all respects as required by the Agreement and the other Loan Documents. All
Required Mortgage Documents and Additional Required Mortgage Documents (if any)
submitted to the Lender with this Borrowing Notice conform in all material
respects with all applicable requirements of the Credit Agreement and the other
Loan Documents.

                                  PULTE MORTGAGE LLC

                                  By: ______________________________________
                                  Name:  ___________________________________
                                  Title:  __________________________________

<PAGE>

                                    EXHIBIT C

                             [INTENTIONALLY OMITTED]

<PAGE>

                                    EXHIBIT D

                             COLLATERAL TRANSMITTAL*

1.    CUSTOMER NAME _____________________________________

2.    LOAN NUMBER _______________________________________
      AND "MIN" (IF APPLICABLE) _________________________

3.    MORTGAGOR _________________________________________
                SURNAME ONLY

4.    AP STATUS CODE ____________________________________

5.    PLEDGE DATE _______________________________________

6.    ORIGINAL NOTE AMOUNT $_____________________________

7.    OUTSTANDING PRINCIPAL BALANCE (Investment Loans only) $_________________

8.    ACQUISITION COST $_________________________________

9.    TAKE-OUT VALUE $___________________________________

10.   NOTE DATE _________________________________________

11.   NOTE RATE _________________________________________

12.   LOAN TYPE _________________________________________

13.   FICO SCORE ________________________________________

14.   LIEN POSITION _____________________________________

15.   OCCUPIED STATUS ___________________________________

* Information may be reformatted for transmittal electronically. For Mortgage
  Loans pledged under the Prior Facility, Items 12 through 15 to be provided
  within 45 days after the Effective Date.

<PAGE>

                                    EXHIBIT E
                               AGREEMENT TO PLEDGE

                      SECURITY AGREEMENT AS PROVIDED FOR BY
                     THE UNIFORM COMMERCIAL CODE OF ILLINOIS

      Pulte Mortgage LLC (the "Borrower") pursuant to that certain Sixth Amended
and Restated Revolving Credit Agreement dated as of May __, 2006 (as amended,
extended and replaced from time to time, the "Credit Agreement") among the
Borrower, JPMorgan Chase Bank, N.A., as agent, and certain other Lenders, and
pursuant to that certain Fifth Amended and Restated Security and Collateral
Agency Agreement among the Borrower, the Agent, the Lenders and LaSalle Bank
National Association (the "Collateral Agent") for new value this day received,
and as security for the payment of any and all indebtedness and obligations of
the Borrower under the Credit Agreement, hereby creates and grants to the
Collateral Agent for the benefit of the Lenders under the Credit Agreement a
security interest in and to the mortgage loans identified as AP Mortgages by the
inclusion of an "AP Status Code" on the Borrower's Collateral Transmittals on
the date indicated below which provide the information concerning the AP
Mortgages required by the Credit Agreement. All capitalized terms used herein
shall have the meanings given to them in the Credit Agreement.

                                  PULTE MORTGAGE LLC

                                  By: ______________________________________
                                  Name:  ___________________________________
                                  Title:  __________________________________

Dated: _________ , 200___.

<PAGE>

                                    EXHIBIT F
                             COMPLIANCE CERTIFICATE

To:   The Lenders parties to the
      Credit Agreement Described Below

      This Compliance Certificate is furnished pursuant to that certain Sixth
Amended and Restated Revolving Credit Agreement dated as of May __, 2006 (as
amended, modified, renewed or extended from time to time, the "Agreement") among
the Pulte Mortgage LLC (the "Borrower"), the lenders party thereto and JPMorgan
Chase Bank, N.A., as Agent for the Lenders. Unless otherwise defined herein,
capitalized terms used in this Compliance Certificate have the meanings ascribed
thereto in the Agreement.

      THE UNDERSIGNED HEREBY CERTIFIES THAT:

      1. I am the duly elected ____ of the Borrower;

      2. I have reviewed the terms of the Agreement and I have made, or have
caused to be made under my supervision, a detailed review of the transactions
and conditions of the Borrower and its Subsidiaries during the accounting period
covered by the attached financial statements;

      3. The examinations described in paragraph 2 did not disclose, and I have
no knowledge of, the existence of any condition or event which constitutes a
Default or Unmatured Default during or at the end of the accounting period
covered by the attached financial statements or as of the date of this
Certificate, except as set forth below; and

      4. Schedule I attached hereto sets forth financial data and computations
evidencing the Borrower's compliance with certain covenants of the Agreement,
all of which data and computations are true, complete and correct to the best of
the knowledge and belief (after reasonable investigation) of the officer of the
Borrower executing this certificate.

      Described below are the exceptions, if any, to paragraph 3 by listing, in
detail, the nature of the condition or event, the period during which it has
existed and the action which the Borrower has taken, is taking, or proposes to
take with respect to each such condition or event:

______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________

      The foregoing certifications, together with the computations set forth in
Schedule I hereto and the financial statements delivered with this Certificate
in support hereof, are made and delivered this ____ day of__________, 20__.

                               ___________________

<PAGE>

                      SCHEDULE I TO COMPLIANCE CERTIFICATE

                       Compliance as of _____ , 200__ with
                         Provisions of ___ and ______ of
                                  the Agreement

<PAGE>

                                    EXHIBIT G

                           BORROWING BASE CERTIFICATE

<PAGE>

                                    EXHIBIT H

                             [INTENTIONALLY OMITTED]

<PAGE>

                                    EXHIBIT I
                               SECURITY AGREEMENT

<PAGE>

                                    EXHIBIT J

                            ASSIGNMENT AND ASSUMPTION

      This Assignment and Assumption (the "Assignment and Assumption") is dated
as of the Effective Date set forth below and is entered into by and between
[Insert name of Assignor] (the "Assignor") and [Insert name of Assignee] (the
"Assignee"). Capitalized terms used but not defined herein shall have the
meanings given to them in the Credit Agreement identified below (as amended, the
"Credit Agreement"), receipt of a copy of which is hereby acknowledged by the
Assignee. The Standard Terms and Conditions set forth in Annex 1 attached hereto
are hereby agreed to and incorporated herein by reference and made a part of
this Assignment and Assumption as if set forth herein in full.

      For an agreed consideration, the Assignor hereby irrevocably sells and
assigns to the Assignee, and the Assignee hereby irrevocably purchases and
assumes from the Assignor, subject to and in accordance with the Standard Terms
and Conditions and the Credit Agreement, as of the Effective Date inserted by
the Administrative Agent as contemplated below (i) all of the Assignor's rights
and obligations in its capacity as a Lender under the Credit Agreement and any
other documents or instruments delivered pursuant thereto to the extent related
to the amount and percentage interest identified below of all of such
outstanding rights and obligations of the Assignor under the respective
facilities identified below (including any letters of credit, guarantees, and
swingline loans included in such facilities) and (ii) to the extent permitted to
be assigned under applicable law, all claims, suits, causes of action and any
other right of the Assignor (in its capacity as a Lender) against any Person,
whether known or unknown, arising under or in connection with the Credit
Agreement, any other documents or instruments delivered pursuant thereto or the
loan transactions governed thereby or in any way based on or related to any of
the foregoing, including contract claims, tort claims, malpractice claims,
statutory claims and all other claims at law or in equity related to the rights
and obligations sold and assigned pursuant to clause (i) above (the rights and
obligations sold and assigned pursuant to clauses (i) and (ii) above being
referred to herein collectively as the "Assigned Interest"). Such sale and
assignment is without recourse to the Assignor and, except as expressly provided
in this Assignment and Assumption, without representation or warranty by the
Assignor.

      1. Assignor:  __________________

      2. Assignee:  _________________________________________________________
                    [and is an Affiliate/Approved Fund of [identify Lender] ]

      3. Borrower:  Pulte Mortgage LLC

      4. Administrative Agent: JPMorgan Chase Bank, N.A., as the administrative
agent under the Credit Agreement

      5. Credit Agreement: The Sixth Amended and Restated Revolving Credit
Agreement dated as of May __, 2006 among Pulte Mortgage LLC, the Lenders parties
thereto, JPMorgan Chase Bank, N.A., as Administrative Agent.

<PAGE>

      6. Assigned Interest:

<TABLE>
<CAPTION>
                                   Aggregate Amount of          Amount of
                                Commitment/Loans for all     Commitment/Loans    Percentage Assigned of
Facility Assigned                        Lenders                 Assigned            Commitment/Loans
-----------------               ------------------------     ----------------    -----------------------
<S>                             <C>                          <C>                 <C>
                                $                            $                                          %
-----------------               ------------------------     ----------------    -----------------------
                                $                            $                                          %
-----------------               ------------------------     ----------------    -----------------------
                                $                            $                                          %
</TABLE>

Effective Date: _______ __, 20___ [TO BE INSERTED BY ADMINISTRATIVE AGENT AND
WHICH SHALL BE THE EFFECTIVE DATE OF RECORDATION OF TRANSFER IN THE REGISTER
THEREFOR.]

The Assignee agrees to deliver to the Administrative Agent a completed
Administrative Questionnaire in which the Assignee designates one or more Credit
Contacts to whom all syndicate-level information (which may contain material
non-public information about the Borrower and its related parties or their
respective securities) will be made available and who may receive such
information in accordance with the Assignee's compliance procedures and
applicable laws, including Federal and state securities laws.

The terms set forth in this Assignment and Assumption are hereby agreed to:

                                                      ASSIGNOR

                                                      [NAME OF ASSIGNOR]

                                            By: ______________________________
                                                      Title:

                                                      ASSIGNOR

                                                      [NAME OF ASSIGNOR]

                                            By: ______________________________
                                                      Title:

<PAGE>

Consented to and accepted:

JPMORGAN CHASE BANK, N.A., as
  Administrative Agent

By ____________________________
  Title:

Consented to:

PULTE MORTGAGE LLC

By ____________________________
  Title:

<PAGE>

                                                                         ANNEX 1

                        STANDARD TERMS AND CONDITIONS FOR
                            ASSIGNMENT AND ASSUMPTION

      1. Representations and Warranties.

      1.1 Assignor. The Assignor (a) represents and warrants that (i) it is the
legal and beneficial owner of the Assigned Interest, (ii) the Assigned Interest
is free and clear of any lien, encumbrance or other adverse claim and (iii) it
has full power and authority, and has taken all action necessary, to execute and
deliver this Assignment and Assumption and to consummate the transactions
contemplated hereby; and (b) assumes no responsibility with respect to (i) any
statements, warranties or representations made in or in connection with the
Credit Agreement or any other Loan Document, (ii) the execution, legality,
validity, enforceability, genuineness, sufficiency or value of the Loan
Documents or any collateral thereunder, (iii) the financial condition of the
Borrower, any of its Subsidiaries or Affiliates or any other Person obligated in
respect of any Loan Document or (iv) the performance or observance by the
Borrower, any of its Subsidiaries or Affiliates or any other Person of any of
their respective obligations under any Loan Document.

      1.2. Assignee. The Assignee (a) represents and warrants that (i) it has
full power and authority, and has taken all action necessary, to execute and
deliver this Assignment and Assumption and to consummate the transactions
contemplated hereby and to become a Lender under the Credit Agreement, (ii) it
satisfies the requirements, if any, specified in the Credit Agreement that are
required to be satisfied by it in order to acquire the Assigned Interest and
become a Lender, (iii) from and after the Effective Date, it shall be bound by
the provisions of the Credit Agreement as a Lender thereunder and, to the extent
of the Assigned Interest, shall have the obligations of a Lender thereunder,
(iv) it has received a copy of the Credit Agreement, together with copies of the
most recent financial statements delivered pursuant to Section 6.1 thereof, as
applicable, and such other documents and information as it has deemed
appropriate to make its own credit analysis and decision to enter into this
Assignment and Assumption and to purchase the Assigned Interest on the basis of
which it has made such analysis and decision independently and without reliance
on the Administrative Agent or any other Lender, and (v) if it is a Foreign
Lender, attached to the Assignment and Assumption is any documentation required
to be delivered by it pursuant to the terms of the Credit Agreement, duly
completed and executed by the Assignee; and (b) agrees that (i) it will,
independently and without reliance on the Administrative Agent, the Assignor or
any other Lender, and based on such documents and information as it shall deem
appropriate at the time, continue to make its own credit decisions in taking or
not taking action under the Loan Documents, and (ii) it will perform in
accordance with their terms all of the obligations which by the terms of the
Loan Documents are required to be performed by it as a Lender.

      2. Payments. From and after the Effective Date, the Administrative Agent
shall make all payments in respect of the Assigned Interest (including payments
of principal, interest, fees and other amounts) to the Assignor for amounts
which have accrued to but excluding the Effective Date and to the Assignee for
amounts which have accrued from and after the Effective Date.

<PAGE>

      3. General Provisions. This Assignment and Assumption shall be binding
upon, and inure to the benefit of, the parties hereto and their respective
successors and assigns. This Assignment and Assumption may be executed in any
number of counterparts, which together shall constitute one instrument. Delivery
of an executed counterpart of a signature page of this Assignment and Assumption
by telecopy shall be effective as delivery of a manually executed counterpart of
this Assignment and Assumption. This Assignment and Assumption shall be governed
by, and construed in accordance with, the law of the State of New York.

<PAGE>

                                   SCHEDULE 1
                             TO ASSIGNMENT AGREEMENT

1.  Description and Date of Credit Agreement:

2.  Date of Assignment Agreement: __________ , 200_

3.  Amounts (As of Date of Item 2 above):

<TABLE>
<CAPTION>
                                                   Primary            Swingline
                                                  Commitment          Commitment
                                                  ----------          ----------
<S>                                               <C>                 <C>
a. Total of Commitments
   (Loans)* under
   Credit Agreement                                $_____              $_____

b. Assignee's Percentage of each
   Facility purchased under the
   Assignment Agreement**                           _____%              _____%

c. Amount of Assigned Share in each
   Facility purchased under
   the Assignment Agreement                        $_____              $_____

4. Assignee's Aggregate (Loan Amount)*
   Commitment Amount Purchased Hereunder:          $_____              $_____

5. Proposed Effective Date:                                             ______
</TABLE>

Accepted and Agreed:

[NAME OF ASSIGNOR]                           [NAME OF ASSIGNEE]
By: _____________________________            By: _______________________________
Title: __________________________            Title: ____________________________

*     If a Commitment has been terminated, insert outstanding Loans in place of
      Commitment

**    Percentage taken to 10 decimal places

<PAGE>

                ATTACHMENT TO SCHEDULE 1 TO ASSIGNMENT AGREEMENT

                        ADMINISTRATIVE INFORMATION SHEET

         Attach Assignor's Administrative Information Sheet, which must
           include notice addresses for the Assignor and the Assignee
                            (Sample form shown below)

                              ASSIGNOR INFORMATION

CONTACT:

Name: ___________________________    Telephone No.: ___________________________
Fax No.: ________________________    Telex No.: _______________________________
                                     Answerback: ______________________________

PAYMENT INFORMATION:

Name & ABA # of Destination Bank: ___________________________________________
                                    ___________________________________________

Account Name & Number for Wire Transfer: ____________________________________
                                    ___________________________________________

Other Instructions:  ________________________________________________________
_______________________________________________________________________________

ADDRESS FOR NOTICES FOR ASSIGNOR: ____________________________________________
                                    __________________________________________
                                    __________________________________________

                              ASSIGNEE INFORMATION

CREDIT CONTACT:

Name: ___________________________    Telephone No.: ___________________________
Fax No.: ________________________    Telex No.: _______________________________
                                     Answerback: ______________________________

KEY OPERATIONS CONTACTS:

Booking Installation: _____________  Booking Installation: ____________________
Name: _____________________________  Name: ____________________________________
Telephone No.: ____________________  Telephone No.: ___________________________
Fax No.: __________________________  Fax No.: _________________________________

<PAGE>

Telex No.: ________________________  Telex No.: _______________________________
Answerback: _______________________  Answerback: ______________________________

PAYMENT INFORMATION:

Name & ABA # of Destination Bank: ___________________________________________
                                    ___________________________________________

Account Name & Number for Wire Transfer: ____________________________________
                                    ___________________________________________

Other Instructions:  ________________________________________________________
_______________________________________________________________________________

ADDRESS FOR NOTICES FOR ASSIGNOR: ____________________________________________
                                    __________________________________________
                                    __________________________________________

<PAGE>

                     JP MORGAN CHASE BANK, N.A. INFORMATION

     Assignee will be called promptly upon receipt of the signed agreement.

INITIAL FUNDING CONTACT:                 SUBSEQUENT OPERATIONS CONTACT:

Name: Wanda Carr                         Name: Rosemary Cadena
Telephone No.: (713) 427-6391            Telephone No.: (713) 427-6468
Fax No.: (713) 427-6449                  Fax No.: (713) 427-6449

INITIAL FUNDING STANDARDS:

Libor - floating daily

JPMORGAN CHASE BANK, N.A.           JPMorgan Chase Bank, N.A., ABA # 021-000-021
WIRE INSTRUCTIONS:                  Account No. 00100381681
                                    Re: Pulte

ADDRESS FOR NOTICES FOR             1111 Fannin, 12th Floor
JPMORGAN CHASE BANK, N.A.:          Houston, TX  77002

<PAGE>

                                     ANNEX I
                             TO ASSIGNMENT AGREEMENT

                                     NOTICE
                                  OF ASSIGNMENT

                                                                  _______ , 200_

To:    PULTE MORTGAGE LLC
       ______________________________
       ______________________________

       [NAME OF AGENT]

From:  [NAME OF ASSIGNOR] (the "Assignor")

       [NAME OF ASSIGNEE] (the "Assignee")

            1. We refer to that Credit Agreement (the "Credit Agreement")
described in Item 1 of Schedule 1 attached hereto ("Schedule 1"). Capitalized
terms used herein and not otherwise defined herein shall have the meanings
attributed to them in the Credit Agreement.

            2. This Notice of Assignment (this "Notice") is given and delivered
to *[the Borrower and]* the Agent pursuant to Section 12.3.2 of the Credit
Agreement.

            3. The Assignor and the Assignee have entered into an Assignment
Agreement, dated as of ___, 200_ (the "Assignment"), pursuant to which, among
other things, the Assignor has sold, assigned, delegated and transferred to the
Assignee, and the Assignee has purchased, accepted and assumed from the Assignor
the percentage interest specified in Item 3 of Schedule 1 of all outstandings,
rights and obligations under the Credit Agreement relating to the facilities
listed in Item 3 of Schedule 1. The Effective Date of the Assignment shall be
the later of the date specified in Item 5 of Schedule 1 or two Business Days (or
such shorter period as agreed to by the Agent) after this Notice of Assignment
and any consents and fees required by Sections [12.3.1 and 12.3.2] of the Credit
Agreement have been delivered to the Agent, provided that the Effective Date
shall not occur if any condition precedent agreed to by the Assignor and the
Assignee has not been satisfied.

*To be included only if consent must be obtained from the Borrower pursuant to
Section 12.3.1 of the Credit Agreement.

            4. The Assignor and the Assignee hereby give to the Borrower and the
Agent notice of the assignment and delegation referred to herein. The Assignor
will confer with the Agent before the date specified in Item 5 of Schedule 1 to
determine if the Assignment Agreement will become effective on such date
pursuant to Section 3 hereof, and will confer with the Agent to determine the
Effective Date pursuant to Section 3 hereof if it occurs thereafter. The
Assignor shall notify the Agent if the Assignment Agreement does not become
effective on any proposed Effective Date as a result of the failure to satisfy
the conditions precedent agreed to by the Assignor and the Assignee. At the
request

<PAGE>

of the Agent, the Assignor will give the Agent written confirmation of the
satisfaction of the conditions precedent.

            5. The Assignor or the Assignee shall pay to the Agent on or before
the Effective Date the processing fee of $3,500 required by Section 12.3.2 of
the Credit Agreement.

            6. If Notes are outstanding on the Effective Date, the Assignor and
the Assignee request and direct that the Agent prepare and cause the Borrower to
execute and deliver new Notes or, as appropriate, replacement notes, to the
Assignor and the Assignee. The Assignor and, if applicable, the Assignee each
agree to deliver to the Agent the original Note received by it from the Borrower
upon its receipt of a new Note in the appropriate amount.

            7. The Assignee advises the Agent that notice and payment
instructions are set forth in the attachment to Schedule 1.

            8. The Assignee hereby represents and warrants that none of the
funds, monies, assets or other consideration being used to make the purchase
pursuant to the Assignment are "plan assets" as defined under ERISA and that its
rights, benefits, and interests in and under the Loan Documents will not be
"plan assets" under ERISA.

            9. The Assignee authorizes the Agent to act as its agent under the
Loan Documents in accordance with the terms thereof. The Assignee acknowledges
that the Agent has no duty to supply information with respect to the Borrower or
the Loan Documents to the Assignee until the Assignee becomes a party to the
Credit Agreement.*

* May be eliminated if Assignee is a party to the Credit Agreement prior to the
  Effective Date.

NAME OF ASSIGNOR                               NAME OF ASSIGNEE

By: ___________________________                By: ____________________________

Title: ________________________                Title: _________________________

ACKNOWLEDGED [AND CONSENTED TO]                ACKNOWLEDGED [AND CONSENTED TO]
BY [NAME OF AGENT]                             BY: PULTE MORTGAGE LLC

By: ___________________________                By: ____________________________
Title: ________________________                Name: __________________________
                                               Title: _________________________

                 [Attach photocopy of Schedule 1 to Assignment]

<PAGE>

                                    EXHIBIT K

                                     FORM OF
                          AMENDMENT TO CREDIT AGREEMENT

      This _____ Amendment to Credit Agreement ("Amendment") is made as of
____,______ by and among PULTE MORTGAGE LLC, a Delaware limited liability
company (the "Borrower"), ______ (the "Increasing Lender"), and JPMORGAN CHASE
BANK, N.A. ("Agent") as administrative agent.

                                    RECITALS

      A. The Borrower, the Agent and certain other lenders are parties to that
certain Sixth Amended and Restated Revolving Credit Agreement dated as of May
__, 2006 (as amended from time to time, the "Credit Agreement"). All capitalized
terms used in this Amendment and not otherwise defined shall have the meanings
ascribed to such terms in the Credit Agreement.

      B. The Borrower desires to amend the Credit Agreement to temporarily
increase the Aggregate Commitment and the Increasing Lender is willing to
provide the full amount of such temporary increase on the terms stated herein.

      NOW, THEREFORE, in consideration of the foregoing Recitals and for other
good and valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, the parties hereto agree as follows:

                                   AGREEMENTS

      1. Temporary Increase. As of the "Effective Date" (as defined below), the
Aggregate Commitment shall be increased from $_____ to $____ by an increase in
the Increasing Lender's Commitment from $____ to $____. Upon the Effective Date,
after giving effect to such increase, the Lenders' respective Commitment
Percentages shall be shown on revised Schedule "1" attached to this Amendment.
Such increase shall end on ____ (the "Reduction Date"). Upon the Reduction Date,
the Increasing Lender's Commitment shall be reduced by $____ to the amount in
effect immediately prior to the Effective Date. After giving effect to such
reduction and subject to any intervening changes in the Aggregate Commitment and
the Lenders' respective Commitment Percentages shall be returned to the
percentages in effect immediately prior to the Effective Date.

      2. Reduction Date Adjustment. On the Reduction Date the Borrower shall
repay the amount, if any, by which the aggregate principal amount of the then
outstanding Loans exceeds the reduced Aggregate Commitment. The Agent shall
allocate such principal repayment among the Lenders so that each Lender's share
of all Loans as of the end of the business on the Reduction Date is equal to
such Lender's new Commitment Percentage after giving effect to such reduction in
the Aggregate Commitment.

      3. Effective Date. The "Effective Date" shall be deemed to have occurred
on the date that all of the following conditions have been fulfilled:

<PAGE>

      (i) this Amendment has been fully executed and delivered;

      (ii) if requested by the Increasing Lender, the Borrower has executed and
delivered to the Increasing Lender an amended and restated Note in the amount of
its increased Commitment; and

      (iii) the Borrower has paid any upfront fee due to the Increasing Lender
with respect to such increase in its Commitment.

      4. Miscellaneous.

      (i) The Borrower represents and warrants to the Lenders that (i) after
giving effect to this Amendment, no Default or Unmatured Default exists, (ii)
the Credit Agreement is in full force and effect, and (iii) the Borrower has no
defenses or offsets to, or claims or counterclaims, relating to, its obligations
under the Credit Agreement.

      (ii) All of the obligations of the parties to the Credit Agreement, as
amended hereby, are hereby ratified and confirmed. All references in the Loan
Documents to the "Credit Agreement" henceforth shall be deemed to refer to the
Credit Agreement as amended by this Amendment.

      (iii) Nothing contained in this Amendment shall be construed to disturb,
discharge, cancel, impair or extinguish the indebtedness evidenced by the
existing Notes and secured by the Loan Documents or waive, release, impair, or
affect the liens arising under the Loan Documents or the validity or priority
thereof.

      (iv) In the event of a conflict or inconsistency between the provisions of
the Loan Documents and the provisions of this Amendment, the provisions of this
Amendment shall govern. The provisions of this Amendment, the Credit Agreement,
the Security Agreement and the other Loan Documents are in full force and effect
except as amended herein and the Loan Documents as so amended are ratified and
confirmed hereby by the Borrower.

      (v) The Borrower agrees to reimburse the Agent and the Increasing Lender
for all reasonable out-of-pocket expenses (including legal fees and expenses)
incurred in connection with the preparation, negotiation and consummation of
this Amendment.

      (vi) This Amendment shall be effective as of the date that the Agent has
received executed counterparts of this Amendment from the Borrower and the
Increasing Lender.

      (vii) This Amendment may be executed in counterparts which, taken
together, shall constitute a single document.

      IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
duly executed by their duly authorized officers, all as of the day and year
written below:

                               PULTE MORTGAGE LLC, a Delaware limited
                               liability company

                               By: _________________________________________

<PAGE>

                               Name: ________________________________________

                               Title: _______________________________________

                               Date: ________________________________________

                               JPMORGAN CHASE BANK, N.A., as Agent

                               By: _________________________________________

                               Name: ________________________________________

                               Title: _______________________________________

                               Date: ________________________________________

                               INCREASING LENDER

                               By: _________________________________________

                               Name: ________________________________________

                               Title: _______________________________________

                               Date: ________________________________________

<PAGE>

                                   SCHEDULE 1

                         LENDERS' COMMITMENT PERCENTAGES

<TABLE>
<CAPTION>
                                                 COMMITMENT
                                                 PERCENTAGE
                         COMMITMENT              (INCLUDES
BANK NAME                  AMOUNT                SWINGLINE)
---------                ----------              ----------
<S>                      <C>                     <C>
---------                ----------              ----------
---------                ----------              ----------
   Total
</TABLE>

<PAGE>

                                    EXHIBIT L

APPROVED SERVICING PURCHASERS.

1. JPMorgan Chase Bank. N.A., as successor to/assignee of Chase Manhattan
Mortgage Corporation

APPROVED SERVICING SALE AGREEMENTS.

1.    Mortgage Loan Servicing Purchase and Sale Agreement dated July 25, 2003
      between JPMorgan Chase Bank. N.A., as successor/assignee to Chase
      Manhattan Mortgage Corporation and Pulte Mortgage LLC, as amended through
      and including an Eighth Amendment thereto dated November 22, 2005 and as
      it may hereafter be amended from time to time.

<PAGE>

                                    EXHIBIT M

                           APPROVED RECOURSE SERVICING

FNMA Bridge Loan Program

FNMA Condominium Program

<PAGE>

                                    EXHIBIT N

                   FORM OF AMENDMENT FOR A PERMANENT INCREASE
                           TO THE AGGREGATE COMMITMENT

      This AMENDMENT (this "Amendment") is made as of the _______ day of _______
, 200__ by and among PULTE MORTGAGE LLC, a Delaware limited liability company
(the "Borrower"), JPMORGAN CHASE BANK, N.A., as agent under the "Credit
Agreement" (as defined below) (the "Agent") and ______________ (the
"Supplemental Lender").

                                    RECITALS

      A. The Borrower, the Agent and certain other Lenders, as described
therein, are parties to a Sixth Amended and Restated Revolving Credit Agreement
dated as of May __, 2006 (as amended from time to time, the "Credit Agreement").
All terms used herein and not otherwise defined shall have the same meaning
given to them in the Credit Agreement.

      B. Pursuant to Section 2.10(c) of the Credit Agreement, the Borrower has
the right to increase the Aggregate Commitment on a permanent basis by obtaining
increased Commitments upon satisfaction of certain conditions. This Amendment
requires only the signature of the Borrower, the Agent and the Supplemental
Lender so long as the Aggregate Commitment is not increased above $600,000,000.

      C. The Supplemental Lender is either (a) an existing Lender which is
increasing its Commitment or (b) a new Lender which is a lending institution
whose identity the Agent will approve by its signature below.

                                   AGREEMENTS

      1. Permanent Increase. In consideration of the foregoing, such
Supplemental Lender, from and after the date hereof shall have a Commitment of
$__ resulting in a new Aggregate Commitment of $__ as of the date hereof, and if
it is a new Lender, the Supplemental Lender hereby assumes all of the rights and
obligations of a Lender under the Credit Agreement.

      2. Effective Date. The effective date of this Amendment shall be deemed to
have occurred on the date that all of the following conditions have been
fulfilled:

            (i) this Amendment has been fully executed and delivered;

            (ii) if requested by the Supplemental Lender, the Borrower has
      executed and delivered to the Supplemental Lender a new or an amended and
      restated Note in the form attached to the Credit Agreement as Exhibit A to
      evidence the increased Commitment of the Supplemental Lender; and

            (iii) the Borrower has paid any upfront fee due to the Supplemental
      Lender with respect to such new or increased Commitment.

      3. Miscellaneous.

<PAGE>

                        (i) The Borrower represents and warrants to the Lenders
            that (i) after giving effect to this Amendment, no Default or
            Unmatured Default exists, (ii) the Credit Agreement is in full force
            and effect, and (iii) the Borrower has no defenses or offsets to, or
            claims or counterclaims, relating to, its obligations under the
            Credit Agreement.

                        (ii) All of the obligations of the parties to the Credit
            Agreement, as amended hereby, are hereby ratified and confirmed. All
            references in the Loan Documents to the "Credit Agreement"
            henceforth shall be deemed to refer to the Credit Agreement as
            amended by this Amendment.

                        (iii) Nothing contained in this Amendment shall be
            construed to disturb, discharge, cancel, impair or extinguish the
            indebtedness evidenced by the existing Notes and secured by the Loan
            Documents or waive, release, impair, or affect the liens arising
            under the Loan Documents or the validity or priority thereof.

                        (iv) In the event of a conflict or inconsistency between
            the provisions of the Loan Documents and the provisions of this
            Amendment, the provisions of this Amendment shall govern. The
            provisions of this Amendment, the Credit Agreement, the Security
            Agreement and the other Loan Documents are in full force and effect
            except as amended herein and the Loan Documents as so amended are
            ratified and confirmed hereby by the Borrower.

                        (v) The Borrower agrees to reimburse the Agent and the
            Supplemental Lender for all reasonable out-of-pocket expenses
            (including legal fees and expenses) incurred in connection with the
            preparation, negotiation and consummation of this Amendment.

                        (vi) This Amendment shall be effective as of the date
            that the Agent has received executed counterparts of this Amendment
            from the Borrower and the Supplemental Lender.

                        (vii) This Amendment may be executed in counterparts
            which, taken together, shall constitute a single document.

      IN WITNESS WHEREOF, the Agent, the Borrower and the Supplemental Lender
have executed this Amendment as of the date shown above.

                              PULTE MORTGAGE LLC

                              By: ________________________________
                                  Its:  ________________________________

                              JPMORGAN CHASE BANK, N.A., as Agent

                              By: ________________________________
                                  Its:  ________________________________

                              [SUPPLEMENTAL LENDER]

                              By: ________________________________
                                  Its:  ________________________________

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