Document:

MASTER
      REPURCHASE AGREEMENT

    

    Dated
      as of January 5, 2006

    

    

    Among:

    

    

    

    NEW
      YORK MORTGAGE FUNDING, LLC, 

    as
      Seller,

    

    THE
      NEW YORK MORTGAGE COMPANY, LLC, 

    as
      Seller,

    

    NEW
      YORK MORTGAGE TRUST, INC., 

    as
      Seller

    

    and

    

    GREENWICH
      CAPITAL FINANCIAL PRODUCTS, INC., 

    as
      Buyer

    

    

    

    

    
      

      

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    TABLE
      OF CONTENTS

    

    
      	
              1.

            	
              APPLICABILITY

            	
              1

            
	
              2.

            	
              DEFINITIONS
                AND ACCOUNTING MATTERS

            	
              1

            
	
              3.

            	
              THE
                TRANSACTIONS

            	
              16

            
	
              4.

            	
              PAYMENT
                AND TRANSFER

            	
              20

            
	
              5.

            	
              TAXES;
                TAX TREATMENT

            	
              20

            
	
              6.

            	
              MARGIN
                MAINTENANCE

            	
              21

            
	
              7.

            	
              INCOME
                PAYMENTS

            	
              22

            
	
              8.

            	
              SECURITY
                INTEREST; BUYER’S APPOINTMENT AS ATTORNEY-IN-FACT

            	
              22

            
	
              9.

            	
              CONDITIONS
                PRECEDENT

            	
              25

            
	
              10.

            	
              RELEASE
                OF PURCHASED LOANS

            	
              28

            
	
              11.

            	
              RELIANCE

            	
              29

            
	
              12.

            	
              REPRESENTATIONS
                AND WARRANTIES

            	
              29

            
	
              13.

            	
              COVENANTS
                OF SELLER

            	
              33

            
	
              14.

            	
              REPURCHASE
                DATE PAYMENTS

            	
              40

            
	
              15.

            	
              REPURCHASE
                OF PURCHASED LOANS

            	
              40

            
	
              16.

            	
              SUBSTITUTION

            	
              41

            
	
              17.

            	
              ACCELERATION
                OF REPURCHASE DATE

            	
              41

            
	
              18.

            	
              EVENTS
                OF DEFAULT

            	
              41

            
	
              19.

            	
              REMEDIES

            	
              45

            
	
              20.

            	
              DELAY
                NOT WAIVER; REMEDIES ARE CUMULATIVE

            	
              47

            
	
              21.

            	
              NOTICES
                AND OTHER COMMUNICATIONS

            	
              47

            
	
              22.

            	
              USE
                OF EMPLOYEE PLAN ASSETS

            	
              47

            
	
              23.

            	
              INDEMNIFICATION
                AND EXPENSES.

            	
              47

            
	
              24.

            	
              WAIVER
                OF REDEMPTION AND DEFICIENCY RIGHTS

            	
              49

            
	
              25.

            	
              REIMBURSEMENT

            	
              49

            
	
              26.

            	
              FURTHER
                ASSURANCES

            	
              49

            
	
              27.

            	
              TERMINATION

            	
              49

            
	
              28.

            	
              SEVERABILITY

            	
              49

            
	
              29.

            	
              BINDING
                EFFECT; GOVERNING LAW

            	
              50

            
	
              30.

            	
              AMENDMENTS

            	
              50

            
	
              31.

            	
              SUCCESSORS
                AND ASSIGNS

            	
              50

            
	
              32.

            	
              SURVIVAL

            	
              50

            
	
              33.

            	
              CAPTIONS

            	
              50

            
	
              34.

            	
              COUNTERPARTS

            	
              50

            
	
              35.

            	
              SUBMISSION
                TO JURISDICTION; WAIVERS

            	
              50

            
	
              36.

            	
              WAIVER
                OF JURY TRIAL

            	
              51

            
	
              37.

            	
              ACKNOWLEDGEMENTS

            	
              51

            

    

     

    
      
        
        

      

      
        i

        
          

        

      

      
        
        

      

    

    
      	
              38.

            	
              HYPOTHECATION
                OR PLEDGE OF PURCHASED ITEMS.

            	
              51

            
	
              39.

            	
              ASSIGNMENTS;
                PARTICIPATIONS.

            	
              52

            
	
              40.

            	
              SINGLE
                AGREEMENT

            	
              52

            
	
              41.

            	
              INTENT

            	
              53

            
	
              42.

            	
              CONFIDENTIALITY

            	
              53

            
	
              43.

            	
              SERVICING

            	
              53

            
	
              44.

            	
              PERIODIC
                DUE DILIGENCE REVIEW

            	
              54

            
	
              45.

            	
              SET-OFF

            	
              55

            
	
              46.

            	
              ENTIRE
                AGREEMENT

            	
              55

            

    

    

    
      	
              SCHEDULES

            	 
	 	 
	
              SCHEDULE
                1-A

            	
              Representations
                and Warranties re: Residential Loans

            
	 	 
	
              SCHEDULE
                1-B

            	
              Representations
                and Warranties re: Small Balance Commercial Loans

            
	 	 
	
              SCHEDULE
                2

            	
              Filing
                Jurisdictions and Offices

            
	 	 
	
              SCHEDULE
                3

            	
              Relevant
                States

            
	 	 
	
              SCHEDULE
                4

            	
              Subsidiaries

            
	 	 
	
              SCHEDULE
                5

            	
              Litigation

            
	 	 
	
              EXHIBITS

            	 
	 	 
	
              EXHIBIT
                A

            	
              Form
                of Quarterly Certification

            
	
               

            	 
	
              EXHIBIT
                B

            	
              Form
                of Custodial Agreement

            
	 	 
	
              EXHIBIT
                C

            	
              Form
                of Opinion of Counsel to the Seller

            
	 	 
	
              EXHIBIT
                D

            	
              Form
                of Notice of Transaction Notice

            
	 	 
	
              EXHIBIT
                E

            	
              Underwriting
                Guidelines

            
	 	 
	
              EXHIBIT
                F

            	
              Required
                Fields for Servicing Transmission

            
	 	 
	
              EXHIBIT
                G

            	
              Required
                Fields for Loan Data Transmission

            
	 	 
	
              EXHIBIT
                H

            	
              Form
                of Market Value Certificate

            
	 	 
	
              EXHIBIT
                I

            	
              Form
                of Confidentiality Agreement

            
	 	 
	
              EXHIBIT
                J

            	
              Form
                of Instruction Letter

            
	 	 
	
              EXHIBIT
                K

            	
              Third
                Party Underwriting Guidelines

            

    

    

    
      
        
        

      

      
        ii

        
          

        

      

      
        
        

      

    

    

    MASTER
      REPURCHASE AGREEMENT, dated as of January 5, 2006, among New York Mortgage
      Funding, LLC, a Delaware limited liability company, The New York Mortgage
      Company, LLC, a New York limited liability company and New York Mortgage Trust,
      Inc., a Maryland corporation (each, a “Seller”,
      and
      jointly and severally, the “Sellers”)
      and
      Greenwich Capital Financial Products, Inc., a Delaware corporation
      (“Buyer”,
      which
      term shall include any “Principal”
as
      defined and provided for in Annex I), or as agent pursuant hereto (“Agent”),

     

    1. APPLICABILITY

    

    Buyer
      may, from time to time, upon the terms and conditions set forth herein, agree
      to
      enter into transactions in which a Seller transfers to Buyer Eligible Loans
      against the transfer of funds by Buyer, with a simultaneous agreement by Buyer
      to transfer to such Seller Purchased Loans at a date certain, against the
      transfer of funds by such Seller. Each such transaction shall be referred to
      herein as a “Transaction”,
      and,
      unless otherwise agreed in writing, shall be governed by this
      Agreement.

     

    2. DEFINITIONS
      AND ACCOUNTING MATTERS 

    

    (a) Defined
      Terms.
      As used
      herein, the following terms have the following meanings (all terms defined
      in
      this Section 2 or in other provisions of this Agreement in the singular to
      have
      the same meanings when used in the plural and vice versa):

    

    “Accepted
      Servicing Practices”
shall
      mean with respect to any Loan, those accepted and prudent mortgage servicing
      practices (including collection procedures) of prudent mortgage lending
      institutions which service mortgage loans of the same type as the Loans in
      the
      jurisdiction where the related Mortgaged Property is located, and which are
      in
      accordance with Fannie Mae servicing practices and procedures for MBS pool
      mortgages, as defined in the Fannie Mae servicing guides including future
      updates, and in a manner at least equal in quality to the servicing the
      Subservicer or any Seller’s designee, as the case may be, provides to mortgage
      loans which they own in their own portfolio.

    

    “Additional
      Purchased Loans”
shall
      have the meaning specified in Section 6(a) hereof.

    

    “Adjustable
      Rate Loan”
shall
      mean a Loan which provides for the adjustment of the Mortgage Interest Rate
      payable in respect thereto.

    

    “Adjustment
      Date”
shall
      mean with respect to each Adjustable Rate Loan, the date set forth in the
      related Note on which the Mortgage Interest Rate on the Loan is adjusted in
      accordance with the terms of the Note.

    

    “Affiliate”
shall
      mean, with respect to any Person, any other Person which, directly or
      indirectly, controls, is controlled by, or is under common control with, such
      Person. For purposes of this definition, “control” (together with the
      correlative meanings of “controlled by” and “under common control with”) means
      possession, directly or indirectly, of the power (a) to vote 10% or more of
      the
      securities (on a fully diluted basis) having ordinary voting power for the
      directors or managing general partners (or their equivalent) of such Person,
      or
      (b) to direct or cause the direction of the management or policies of such
      Person, whether through the ownership of voting securities, by contract, or
      otherwise.

    

    “Agent”
shall
      mean Buyer or any successor.

    

    “Agreement”
shall
      mean this Master Repurchase Agreement (including all exhibits, schedules and
      other addenda hereto or thereto), as
      supplemented by the Pricing Side Letter, as it may be amended, further
      supplemented or otherwise modified from time to time.

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    “ALTA”
shall
      mean the American Land Title Association.

    

    “AM
      Funded Wet Loan”
shall
      mean Wet Loans that will be funded before 12:00 p.m. (New York City time) on
      any
      Business Day.

    

    “Applicable
      Margin”
shall
      have the meaning set forth in the Pricing Side Letter.

    

    “Appraised
      Value”
shall
      mean the value set forth in an appraisal made in connection with the origination
      of the related Loan as the value of the Mortgaged Property (or the related
      Cooperative Unit in the case of a Cooperative Loan).

    

    “Assignment
      of Mortgage”
shall
      mean, with respect to any Mortgage, an assignment of the Mortgage, notice of
      transfer or equivalent instrument in recordable form, sufficient under the
      laws
      of the jurisdiction wherein the related Mortgaged Property is located to reflect
      the assignment of the Mortgage to Buyer.

    

    “Attorney
      Bailee Letter”
shall
      have the meaning assigned to such term in the Custodial Agreement.

    

    “Bankruptcy
      Code”
shall
      mean the United States Bankruptcy Code of 1978, as amended from time to
      time.

    

    “Best’s”
shall
      mean Best’s Key Rating Guide, as the same shall be amended from time to
      time.

    

    “Breakage
      Costs”
shall
      have the meaning assigned thereto in Section 3(h) herein.

    

    “Business
      Day”
shall
      mean any day other than (i) a Saturday or Sunday, (ii) a day on which the New
      York Stock Exchange, the Federal Reserve Bank of New York, the Custodian or
      banking and savings and loan institutions in the State of New York, Connecticut
      or the City of New York or the city or state in which the Custodian’s offices
      are located are closed, or (iii) a day on which trading in securities on the
      New
      York Stock Exchange or any other major securities exchange in the United States
      is not conducted.

    

    “Capital
      Lease Obligations”
shall
      mean, for any Person, all obligations of such Person to pay rent or other
      amounts under a lease of (or other agreement conveying the right to use)
      Property to the extent such obligations are required to be classified and
      accounted for as a capital lease on a balance sheet of such Person under GAAP,
      and, for purposes of this Agreement, the amount of such obligations shall be
      the
      capitalized amount thereof, determined in accordance with GAAP.

    

    “Cash
      Equivalents”
shall
      mean (a) securities with maturities of 90 days or less from the date of
      acquisition issued or fully guaranteed or insured by the United States
      Government or any agency thereof, (b) certificates of deposit and eurodollar
      time deposits with maturities of 90 days or less from the date of acquisition
      and overnight bank deposits of any commercial bank having capital and surplus
      in
      excess of $500,000,000, (c) repurchase obligations of any commercial bank
      satisfying the requirements of clause (b) of this definition, having a term
      of
      not more than seven days with respect to securities issued or fully guaranteed
      or insured by the United States Government, (d) commercial paper of a domestic
      issuer rated at least A-1 or the equivalent thereof by Standard and Poor’s
      Ratings Group (“S&P”) or P-1 or the equivalent thereof by Moody’s Investors
      Service, Inc. (“Moody’s”) and in either case maturing within 90 days after the
      day of acquisition, (e) securities with maturities of 90 days or less from
      the
      date of acquisition issued or fully guaranteed by any state, commonwealth or
      territory of the United States, by any political subdivision or taxing authority
      of any such state, commonwealth or territory or by any foreign government,
      the
      securities of which state, commonwealth, territory, political subdivision,
      taxing authority or foreign government (as the case may be) are rated at least
      A
      by S&P or A by Moody’s, (f) securities with maturities of 90 days or less
      from the date of acquisition backed by standby letters of credit issued by
      any
      commercial bank satisfying the requirements of clause (b) of this definition
      or,
      (g) shares of money market mutual or similar funds which invest exclusively
      in
      assets satisfying the requirements of clauses (a) through (f) of this
      definition.

    

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

    “Change
      of Control”
shall
      mean with respect to any Seller, the acquisition by any Person, or two or more
      Persons acting in concert, of beneficial ownership (within the meaning of Rule
      13d-3 of the Securities and Exchange Commission under the Securities Exchange
      Act of 1934, as amended) of outstanding shares of voting stock of such Person
      at
      any time if after giving effect to such acquisition (i) such Person or Persons
      owns twenty percent (20%) or more of such outstanding voting stock or (ii)
      Steven B. Schnall does not own more than fifty percent (50%) of such outstanding
      voting stock.

    

    “Code”
shall
      mean the Internal Revenue Code of 1986, as amended from time to
      time.

    

    “Collection
      Account”
shall
      mean the following account established by the Sellers in accordance with Section
      13(ii) for the benefit of Buyer, “Greenwich Capital Financial Products, Inc. -
      P&I account - Account # ________”.

    

    “Combined
      Aggregate Purchase Price”
shall
      mean $249,000,000.

    

    “Commonly
      Controlled Entity”
shall
      mean an entity, whether or not incorporated, which is under common control
      with
      a Seller within the meaning of Section 4001 of ERISA or is part of a group
      which
      includes a Seller and which is treated as a single employer under Section 414
      of
      the Code.

    

    “Confirmation”
shall
      have the meaning assigned thereto in Section 3(a) hereof.

    

    “Contractual
      Obligation”
shall
      mean as to any Person, any material provision of any agreement, instrument
      or
      other undertaking to which such Person is a party or by which it or any of
      its
      property is bound or any material provision of any security issued by such
      Person.

    

    “Cooperative
      Corporation”
shall
      mean with respect to any Cooperative Loan, the cooperative apartment corporation
      that holds legal title to the related Cooperative Project and grants occupancy
      rights to units therein to stockholders through Proprietary Leases or similar
      arrangements.

    

    “Cooperative
      Loan”
shall
      mean a Loan that is secured by a first lien on and perfected security interest
      in Cooperative Shares and the related Proprietary Lease granting exclusive
      rights to occupy the related Cooperative Unit in the building owned by the
      related Cooperative Corporation.

    

    “Cooperative
      Project”
shall
      mean, with respect to any Cooperative Loan, all real property and improvements
      thereto and rights therein and thereto owned by a Cooperative Corporation
      including without limitation the land, separate dwelling units and all common
      elements.

    

    “Cooperative
      Shares”
shall
      mean, with respect to any Cooperative Loan, the shares of stock issued by a
      Cooperative Corporation and allocated to a Cooperative Unit and represented
      by a
      stock certificate.

    

    “Cooperative
      Unit”
shall
      mean, with respect to a Cooperative Loan, a specific unit in a Cooperative
      Project.

    

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

    “Custodial
      Agreement”
shall
      mean the Amended and Restated Custodial Agreement, dated as of January 5, 2006,
      among Sellers, Buyer, Custodian, and LaSalle Bank, National Association as
      Disbursement Agent, as the same shall be modified and supplemented and in effect
      from time to time.

    

    “Custodian”
shall
      mean LaSalle Bank, National Association, or its successors and permitted
      assigns.

    

    “Custodian
      Loan Transmission”
shall
      have the meaning assigned thereto in the Custodial Agreement.

    

    “Default”
shall
      mean an Event of Default or any event, that, with the giving of notice or the
      passage of time or both, would become an Event of Default.

    

    “Disbursement
      Account”
shall
      mean the account established by Buyer pursuant to which funds shall be disbursed
      to fund any Wet Loan.

    

    “Dollars”
or
      “$”
shall
      mean lawful money of the United States of America.

    

    “Dry
      Loan”
shall
      mean a first lien Loan which is underwritten in accordance with the Underwriting
      Guidelines and as to which the related Mortgage File contains all required
      Loan
      Documents.

    

    “Due
      Date”
shall
      mean the day of the month on which the Monthly Payment is due on a Loan,
      exclusive of any days of grace.

    

    “Due
      Diligence Review”
shall
      mean the performance by Buyer of any or all of the reviews permitted under
      Section 44 hereof with respect to any or all of the Loans or the Sellers or
      related parties, as desired by Buyer from time to time.

    

    “Effective
      Date”
shall
      mean the date upon which the conditions precedent set forth in Section 9(a)
      have
      been satisfied.

    

    “Electronic
      Tracking Agreement”
shall
      mean the Second Amended and Restated Electronic Tracking Agreement, dated as
      of
      January 5, 2006 among Buyer, Sellers, MERSCORP, Inc. and MERS.

    

    “Electronic
      Transmission”
shall
      mean the delivery of information in an electronic format acceptable to the
      applicable recipient thereof. An Electronic Transmission shall be considered
      written notice for all purposes hereof (except when a request or notice by
      its
      terms requires execution).

    

    “Eligible
      Loan”
shall
      have the meaning assigned thereto in the Pricing Side Letter.

    

    “ERISA”
shall
      mean the Employee Retirement Income Security Act of 1974, as amended from time
      to time.

    

    “ERISA
      Affiliate”
shall
      mean any corporation or trade or business that is a member of any group of
      organizations (i) described in Section 414(b) or (c) of the Code of which a
      Seller is a member and (ii) solely for purposes of potential liability under
      Section 302(c)(11) of ERISA and Section 412(c)(11) of the Code and the lien
      created under Section 302(f) of ERISA and Section 412(n) of the Code, described
      in Section 414(m) or (o) of the Code of which a Seller is a member.

    

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

    “Escrow
      Letter”
shall
      mean, with respect to any Wet Loan that becomes subject to a Transaction before
      the end of the applicable rescission period, an escrow agreement or letter,
      which is fully assignable to the Buyer, stating that in the event of a
      Rescission or if for any other reason the Loan fails to fund on a given day,
      the
      party conducting the closing is holding all funds which would have been
      disbursed on behalf of the Mortgagor as agent for and for the benefit of the
      Buyer and such funds shall be returned to the related Seller not later than
      one
      Business Day after the date of Rescission or other failure of the Loan to fund
      on a given day.

    

    “Escrow
      Payments”
shall
      mean, with respect to any Loan, the amounts constituting ground rents, taxes,
      assessments, water charges, sewer rents, municipal charges, mortgage insurance
      premiums, fire and hazard insurance premiums, condominium charges, and any
      other
      payments required to be escrowed by the Mortgagor with the Mortgagee pursuant
      to
      the terms of any Note or Mortgage or any other document.

    

    “Event
      of Default”
shall
      have the meaning provided in Section 18 hereof.

    

    “Exception”
shall
      have the meaning assigned thereto in the Custodial Agreement.

    

    “Exception
      Report”
shall
      mean the exception report prepared by the Custodian pursuant to the Custodial
      Agreement.

    

    “Fannie
      Mae”
shall
      mean Fannie Mae, or any successor thereto.

    

    “Freddie
      Mac”
shall
      mean Freddie Mac, or any successor thereto.

    

    “GAAP”
shall
      mean generally accepted accounting principles in effect from time to time in
      the
      United States of America.

    

    “Governmental
      Authority”
shall
      mean with respect to any Person, any nation or government, any state or other
      political subdivision, agency or instrumentality thereof, any entity exercising
      executive, legislative, judicial, regulatory or administrative functions of
      or
      pertaining to government and any court or arbitrator having jurisdiction over
      such Person, any of its Subsidiaries or any of its properties.

    

    “Gross
      Margin”
shall
      mean with respect to each Adjustable Rate Loan, the fixed percentage amount
      set
      forth in the related Note and the Loan Schedule that is added to the Index
      on
      each Adjustment Date in accordance with the terms of the related Note to
      determine the new Mortgage Interest Rate for such Loan.

    

    “Guarantee”
shall
      mean, as to any Person, any obligation of such Person directly or indirectly
      guaranteeing any Indebtedness of any other Person or in any manner providing
      for
      the payment of any Indebtedness of any other Person or otherwise protecting
      the
      holder of such Indebtedness against loss (whether by virtue of partnership
      arrangements, by agreement to keep-well, to purchase assets, goods, securities
      or services, or to take-or-pay or otherwise), provided that the term “Guarantee”
shall not include (i) endorsements for collection or deposit in the ordinary
      course of business, (ii) obligations to make servicing advances for delinquent
      taxes and insurance, or other obligations in respect of a Mortgaged Property,
      to
      the extent required by the Buyer, or (iii) liabilities held through joint and
      several liability among any of the Sellers. The amount of any Guarantee of
      a
      Person shall be deemed to be an amount equal to the stated or determinable
      amount of the primary obligation in respect of which such Guarantee is made
      or,
      if not stated or determinable, the maximum reasonably anticipated liability
      in
      respect thereof as determined by such Person in good faith. The terms
“Guarantee” and “Guaranteed” used as verbs shall have correlative
      meanings.

    

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

    “Income”
shall
      mean, with respect to any Purchased Loan at any time, any principal and/or
      interest thereon and all dividends, sale proceeds (including, without
      limitation, any proceeds from the securitization of such Purchased Loan or
      other
      disposition thereof) and other collections and distributions thereon (including,
      without limitation, any proceeds received in respect of mortgage insurance),
      but
      not including any commitment fees, origination fees and/or servicing fees
      accrued in respect of periods on or after the initial Purchase Date with respect
      to such Purchased Loan.

    

    “Indebtedness”
shall
      mean, for any Person: (a) obligations created, issued or incurred by such Person
      for borrowed money (whether by loan, the issuance and sale of debt securities
      or
      the sale of Property to another Person subject to an understanding or agreement,
      contingent or otherwise, to repurchase such Property from such Person); (b)
      obligations of such Person to pay the deferred purchase or acquisition price
      of
      Property or services, other than trade accounts payable (other than for borrowed
      money) arising, and accrued expenses incurred, in the ordinary course of
      business so long as such trade accounts payable are payable within 90 days
      of
      the date the respective goods are delivered or the respective services are
      rendered; (c) indebtedness of others secured by a Lien on the Property of such
      Person, whether or not the respective indebtedness so secured has been assumed
      by such Person; (d) obligations (contingent or otherwise) of such Person in
      respect of letters of credit or similar instruments issued or accepted by banks
      and other financial institutions for account of such Person; (e) Capital Lease
      Obligations of such Person; (f) obligations of such Person under repurchase
      agreements or like arrangements; (g) indebtedness of others Guaranteed by such
      Person; (h) all obligations of such Person incurred in connection with the
      acquisition or carrying of fixed assets by such Person; (i) indebtedness of
      general partnerships of which such Person is a general partner; and (j) any
      other indebtedness of such Person by a note, bond, debenture or similar
      instrument.

    

    “Index”
shall
      mean with respect to each Adjustable Rate Loan, the index identified on the
      related Loan Schedule and set forth in the related Note for the purpose of
      calculating the interest rate thereon.

    

    “Instruction
      Letter”
shall
      mean a letter agreement between each related Seller and each Subservicer
      substantially in the form of Exhibit J attached hereto, in which such Persons
      acknowledge the Buyer’s ownership interest in the Loans, and agree to remit any
      collections with respect to the Loans as Buyer may so direct from time to time,
      which Instruction Letter may be delivered by Buyer to such Subservicer in its
      sole discretion.

    

    “Insurance
      Proceeds”
shall
      mean with respect to each Loan, proceeds of insurance policies insuring the
      Loan
      or the related Mortgaged Property.

    

    “Insured
      Closing Letter”
shall
      mean, with respect to any Wet Loan that becomes subject to a Transaction before
      the end of the applicable rescission period, a letter of indemnification from
      an
      Approved Title Insurance Company, in any jurisdiction where insured closing
      letters are permitted under applicable law and regulation, addressed to the
      related Seller, which is fully assignable to the Buyer, with coverage that
      is
      customarily acceptable to Persons engaged in the origination of mortgage loans,
      identifying the Settlement Agent covered thereby, which may be in the form
      of a
      blanket letter.

    

    “Interest
      Period”
shall
      mean, with respect to any Transaction, (i) initially, the period commencing
      on
      the related Purchase Date with respect to such Transaction and ending on the
      calendar day prior to the next succeeding Repurchase Date, and (ii) thereafter,
      each period commencing on the Repurchase Date of a month and ending on the
      calendar day prior to the Repurchase Date of the next succeeding month.
      Notwithstanding the foregoing, no Interest Period may end after the Termination
      Date.

    

    “Interest
      Rate Adjustment Date”
means
      with respect to each Adjustable Rate Loan, the date, specified in the related
      Note and the Loan Schedule, on which the Mortgage Interest Rate is
      adjusted.

    

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

    

    “Interest
      Rate Protection Agreement”
shall
      mean with respect to any or all of the Purchased Loans, any interest rate swap,
      cap or collar agreement or any other applicable hedging arrangements providing
      for protection against fluctuations in interest rates or the exchange of nominal
      interest obligations, either generally or under specific contingencies entered
      into by a Seller and reasonably acceptable to Buyer.

    

    “Investment
      Company Act”
shall
      mean the Investment Company Act of 1940, as amended, including all rules and
      regulations promulgated thereunder.

    

    “LIBO
      Base Rate”
shall
      mean with respect to each day on which a Transaction is outstanding (or if
      such
      day is not a Business Day, the next succeeding Business Day), the rate per
      annum
      equal to the rate published by Bloomberg or if such rate is not available,
      the
      rate appearing at page 3750 of the Telerate Screen, as one-month LIBOR on such
      date, and if such rate shall not be so quoted, the rate per annum at which
      the
      Buyer is offered Dollar deposits at or about 11:00 A.M., New York City time,
      on
      such date by prime banks in the interbank eurodollar market where the eurodollar
      and foreign currency and exchange operations in respect of its Transactions
      are
      then being conducted for delivery on such day for a period of one month and
      in
      an amount comparable to the amount of the Transactions to be outstanding on
      such
      day.

    

    “LIBO
      Rate”
shall
      mean with respect to each Interest Period pertaining to a Transaction, a rate
      (reset on a monthly basis) per annum determined by Buyer in its sole discretion
      in accordance with the following formula (rounded upwards to the nearest l/100th
      of one percent), which rate as determined by Buyer shall be conclusive absent
      manifest error by Buyer:

     

    
      	
              LIBO
                Base Rate

            
	
              1.00
                - LIBO Reserve Requirements

            

    

    

    The
      LIBO
      Rate shall be calculated on each Purchase Date and Repurchase Date commencing
      with the first Purchase Date.

    

    “LIBO
      Reserve Requirements”
shall
      mean for any Interest Period for any Transaction, the aggregate (without
      duplication) of the rates (expressed as a decimal fraction) of reserve
      requirements applicable to the Buyer in effect on such day (including, without
      limitation, basic, supplemental, marginal and emergency reserves under any
      regulations of the Board of Governors of the Federal Reserve System or other
      Governmental Authority having jurisdiction with respect thereto), dealing with
      reserve requirements prescribed for eurocurrency funding (currently referred
      to
      as “Eurocurrency Liabilities” in Regulation D of such Board) maintained by a
      member bank of such Governmental Authority. As of the Effective Date, the LIBO
      Reserve Requirements shall be deemed to be zero.

    

    “Lien”
shall
      mean any mortgage, lien, pledge, charge, security interest or similar
      encumbrance.

    

    “Loan”
shall
      mean a mortgage loan or a Cooperative Loan which the Custodian has been
      instructed to hold for the Buyer pursuant to the Custodial Agreement, and which
      loan includes, without limitation, (i) a Note, the related Mortgage and all
      other Loan Documents and (ii) all right, title and interest of the related
      Seller in and to the Mortgaged Property covered by such Mortgage.

    

    “Loan
      Data Transmission”
shall
      mean a computer tape or other electronic medium generated by or on behalf of
      the
      related Seller and delivered or transmitted to the Buyer and Custodian which
      provides information relating to the Purchased Loans, including the information
      set forth in the Loan Schedule, in a format acceptable to the
      Buyer.

    

    “Loan
      Documents”
shall
      have the meaning assigned thereto in the Custodial Agreement.

    

    
      
        
        

      

      
        7

        
          

        

      

      
        
        

      

    

    “Loan
      List”
shall
      mean the hard copy report provided by the related Seller which shall include
      with respect to each Loan to be included in a Transaction: (i) the Loan number,
      (ii) the Mortgagor’s name, (iii) the original principal amount of the Loan, (iv)
      the current principal balance of the Loan and (v) whether the Loan is a MERS
      Loan.

    

    “Loan
      Schedule”
shall
      mean a hard copy or electronic format incorporating the fields identified on
      Exhibit
      G,
      any
      other information required by Buyer and any other additional information to
      be
      provided pursuant to the Custodial Agreement.

    

    “Loan-to-Value
      Ratio”
or
      “LTV”
shall
      mean with respect to any Loan, the ratio of the outstanding principal amount
      of
      such Loan at the time of origination to the lesser of (a) the Appraised Value
      of
      the related Mortgaged Property at origination of such Loan and (b) if the
      related Mortgaged Property was purchased within twelve (12) months of the
      origination of such Loan, the purchase price of the related Mortgaged
      Property.

    

    “Margin
      Call”
shall
      have the meaning assigned thereto in Section 6(a) hereof.

    

    “Margin
      Deficit”
shall
      have the meaning assigned thereto in Section 6(a) hereof.

    

    “Margin
      Notice Deadline”
shall
      mean the deadline set forth in the applicable Pricing Side Letter for giving
      notice requiring same-day satisfaction of margin maintenance obligations as
      provided in Section 6 hereof.

    

    “Market
      Value”
shall
      mean the value, determined by the Buyer in its sole reasonable discretion,
      of
      the Loans if sold in their entirety to a single third-party purchaser. The
      Buyer’s determination of Market Value shall be conclusive upon the parties,
      absent manifest error on the part of the Buyer. The Buyer shall have the right
      to mark to market the Loans on a daily basis which Market Value with respect
      to
      one or more of the Loans may be determined to be zero. The Sellers acknowledge
      that the Buyer’s determination of Market Value is for the limited purpose of
      determining the value of Purchased Loans which are subject to Transactions
      hereunder without the ability to perform customary purchaser’s due diligence and
      is not necessarily equivalent to a determination of the fair market value of
      the
      Loans achieved by obtaining competing bids in an orderly market in which the
      originator/servicer is not in default under a revolving debt facility and the
      bidders have adequate opportunity to perform customary loan and servicing due
      diligence. The Market Value shall be deemed to be zero with respect to each
      Loan
      which is not an Eligible Loan.

    

    “Material
      Adverse Effect”
shall
      mean a material adverse effect on (a) the property, business, operations,
      financial condition or prospects of a Seller, (b) the ability of a Seller to
      perform its obligations under any of the Program Documents to which it is a
      party, (c) the validity or enforceability of any of the Program Documents,
      (d)
      the rights and remedies of the Buyer under any of the Program Documents, (e)
      the
      timely repurchase of the Purchased Loans or payment of other amounts payable
      in
      connection therewith or (f) the Purchased Items.

    

    “Maximum
      Aggregate Purchase Price”
shall
      mean the sum of the Combined Aggregate Purchase Price and the NYMC Exclusive
      Aggregate Purchase Price, which shall be $250,000,000.

    

    “Maximum
      Mortgage Interest Rate”
shall
      mean with respect to each Adjustable Rate Loan, a rate that is set forth on
      the
      related Loan Schedule and in the related Note and is the maximum interest rate
      to which the Mortgage Interest Rate on such Loan may be increased on any
      Adjustment Date.

    

    
      
        
        

      

      
        8

        
          

        

      

      
        
        

      

    

    “MERS”
shall
      mean Mortgage Electronic Registration Systems, Inc., a Delaware corporation,
      or
      any successor in interest thereto.

    

    “MERS
      Identification Number”
shall
      mean the eighteen digit number permanently assigned to each MERS
      Loan.

    

    “MERS
      Loan”
shall
      mean any Loan as to which the related Mortgage or Assignment of Mortgage has
      been recorded in the name of MERS, as agent for the holder from time to time
      of
      the Note, and which is identified as a MERS Loan on the related Loan
      List.

    

    “Mixed-Use
      Loan”
shall
      mean any first lien Loan secured by a mixed use property to a Mortgagor of
“A”
or “Alt-A” credit quality.

    

    “Monthly
      Payment”
shall
      mean the scheduled monthly payment of principal and interest on a Loan as
      adjusted in accordance with changes in the Mortgage Interest Rate pursuant
      to
      the provisions of the Note for an Adjustable Rate Loan.

    

    “Mortgage”
shall
      mean with respect to a Loan, the mortgage, deed of trust or other instrument,
      which creates a first lien on either (i) with respect to a Loan other than
      a
      Cooperative Loan, the fee simple or leasehold estate in such real property
      or
      (ii) with respect to a Cooperative Loan, the Proprietary Lease and related
      Cooperative Shares, which in either case secures the Note.

    

    “Mortgage
      File”
shall
      have the meaning assigned thereto in the Custodial Agreement.

    

    “Mortgage
      Interest Rate”
means
      the annual rate of interest borne on a Note, which shall be adjusted from time
      to time with respect to Adjustable Rate Loans.

    

    “Mortgaged
      Property”
shall
      mean the real property (including all improvements, buildings, fixtures,
      building equipment and personal property thereon and all additions, alterations
      and replacements made at any time with respect to the foregoing) and all other
      collateral securing repayment of the debt evidenced by a Note.

    

    “Mortgagee”
shall
      mean the record holder of a Note secured by a Mortgage.

    

    “Mortgagor”
shall
      mean the obligor or obligors on a Note, including any person who has assumed
      or
      guaranteed the obligations of the obligor thereunder.

    

    “Multiemployer
      Plan”
shall
      mean a multiemployer plan defined as such in Section 3(37) of ERISA to which
      contributions have been or are required to be made by a Seller or any ERISA
      Affiliate and that is covered by Title IV of ERISA.

    

    “Multi-Family
      Loan”
shall
      mean any first lien Loan secured by a five-to-eight family residential property
      to a Mortgagor of “A” or “Alt-A” credit quality.

    

    “MV
      Margin Amount”
means,
      with respect to any Transaction, as of any date of determination, the amount
      obtained by application of the MV Margin Percentage to the Repurchase Price
      (reduced by the amount of any accrued and unpaid Price Differential) for such
      Transaction as of such date.

    

    “MV
      Margin Percentage”
shall
      have the meaning assigned thereto in the Pricing Side Letter.

    

    
      
        
        

      

      
        9

        
          

        

      

      
        
        

      

    

    “Negative
      Amortization”
shall
      mean with respect to each Negative Amortization Loan, that portion of interest
      accrued at the Mortgage Interest Rate in any month which exceeds the Monthly
      Payment on the related Loan for such month and which, pursuant to the terms
      of
      the Note, is added to the principal balance of the Loan.

    

    “Negative
      Amortization Loan”
shall
      mean each Loan that may be subject to Negative Amortization.

    

    “Net
      Income”
shall
      mean, for any period, the net income of NYMT for such period as determined
      in
      accordance with GAAP.

    

    “Net
      Worth”
shall
      mean, with respect to any Person, the excess of total assets of such Person,
      over total liabilities of such Person, determined in accordance with
      GAAP.

    

    “Note”
shall
      mean, with respect to any Loan, the related promissory note together with all
      riders thereto and amendments thereof or other evidence of indebtedness of
      the
      related Mortgagor.

    

    “NYMC”
shall
      mean The New York Mortgage Company, LLC or any successor thereto.

    

    “NYMF”
shall
      mean New York Mortgage Funding, LLC or any successor thereto.

    

    “NYMT”
shall
      mean New York Mortgage Trust, Inc.

    

    “NYMC
      Exclusive Aggregate Purchase Price”
shall
      mean $1,000,000.

    

    “Obligations”
shall
      mean (a) all of Sellers’ obligation to pay the Repurchase Price on the
      Repurchase Date and other obligations and liabilities of Sellers to Buyer,
      its
      Affiliates, the Custodian or any other Person arising under, or in connection
      with, the Program Documents or directly related to the Purchased Loans, whether
      now existing or hereafter arising; (b) any and all sums paid by Buyer or on
      behalf of Buyer pursuant to the Program Documents in order to preserve any
      Purchased Loan or its interest therein; (c) in the event of any proceeding
      for
      the collection or enforcement of any of Sellers’ indebtedness, obligations or
      liabilities referred to in clause (a), the reasonable expenses of retaking,
      holding, collecting, preparing for sale, selling or otherwise disposing of
      or
      realizing on any Purchased Loan, or of any exercise by Buyer or any Affiliate
      of
      Buyer of its rights under the Program Documents, including without limitation,
      reasonable attorneys’ fees and disbursements and court costs; and (d) all of
      Sellers’ indemnity obligations to Buyer pursuant to the Program
      Documents.

    

    “Par
      Margin Amount”
means,
      with respect to any Transaction, as of any date of determination, the amount
      obtained by application of the Par Margin Percentage to the Repurchase Price
      (reduced by the amount of any accrued and unpaid Price Differential) for such
      Transaction as of such date.

    

    “Par
      Margin Percentage”
shall
      have the meaning assigned thereto in the Pricing Side Letter.

    

    “Participants”
shall
      have the meaning assigned thereto in Section 39 hereof.

    

    “Payment
      Adjustment Date”
With
      respect to each Negative Amortization Loan, the date on which Monthly Payments
      shall be adjusted. A Payment Adjustment Date with respect to a Negative
      Amortization Loan shall occur on the dates specified on the Loan Data
      Transmission.

    

    “PBGC”
shall
      mean the Pension Benefit Guaranty Corporation or any entity succeeding to any
      or
      all of its functions under ERISA.

    

    
      
        
        

      

      
        10

        
          

        

      

      
        
        

      

    

    “Permitted
      Exceptions”
shall
      mean the following exceptions to lien priority: (i) the lien of current real
      property taxes and assessments not yet due and payable; (ii) covenants,
      conditions and restrictions, rights of way, easements and other matters of
      the
      public record as of the date of recording acceptable to mortgage lending
      institutions generally and specifically referred to in the lender’s title
      insurance policy delivered to the originator of the Loan and (A) referred to
      or
      otherwise considered in the appraisal (if any) made for the originator of the
      Loan or (B) which do not adversely affect the appraised value of the Mortgaged
      Property set forth in such appraisal; and (iii) 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 the Mortgage or the use,
      enjoyment, value or marketability of the related Mortgaged
      Property.

    

    “Person”
shall
      mean any individual, corporation, company, voluntary association, partnership,
      joint venture, limited liability company, trust, unincorporated association
      or
      government (or any agency, instrumentality or political subdivision
      thereof).

    

    “Plan”
shall
      mean an employee benefit or other plan established or maintained by either
      any
      Seller or any ERISA Affiliate and that is covered by Title IV of ERISA, other
      than a Multiemployer Plan.

    

    “PMI
      Policy”
or
      “Primary
      Insurance Policy”
shall
      mean a policy of primary mortgage guaranty insurance issued by a Qualified
      Insurer.

    

    “PM
      Funded Wet Loans”
shall
      mean Wet Loans that will be funded after 12:00 p.m. (New York City time) but
      on
      or prior to 4:30 p.m. (New York City time) on any Business Day. 

    

    “Post-Default
      Rate”
shall
      mean, in respect of the Repurchase Price for any Transaction or any other amount
      under this Agreement, or any other Program Document that is not paid when due
      to
      the Buyer (whether at stated maturity, by acceleration or mandatory prepayment
      or otherwise), a rate per annum during the period from and including the due
      date to but excluding the date on which such amount is paid in full equal to
      2%
      per annum, plus (a)(i) the Pricing Rate otherwise applicable to such Loan or
      other amount, or (ii) if no Pricing Rate is otherwise applicable, the LIBO
      Rate
      plus (b) the Applicable Margin.

    

    “Price
      Differential”
shall
      mean, with respect to each Transaction as of any date of determination, the
      aggregate amount obtained by daily application of the Pricing Rate (or during
      the continuation of an Event of Default, by daily application of the
      Post-Default Rate) for such Transaction to the Purchase Price for such
      Transaction on a 360-day-per-year basis for the actual number of days elapsed
      during the period commencing on (and including) the Purchase Date and ending
      on
      (but excluding) the date of determination (reduced by any amount of such Price
      Differential in respect of such period previously paid by the related Seller
      to
      Buyer with respect to such Transaction).

    

    “Pricing
      Rate”
shall
      mean the per annum percentage rate for determination of the Price Differential
      as set forth in the Pricing Side Letter.

    

    “Pricing
      Side Letter”
shall
      mean that certain Pricing Side Letter, dated as of January 5, 2006, among
      Sellers and Buyer, as the same may be amended, supplemented or modified from
      time to time.

    

    “Principal”
shall
      have the meaning assigned thereto in Annex I.

    

    “Program
      Documents”
shall
      mean this Agreement, the Custodial Agreement, any Servicing Agreement, the
      Pricing Side Letter, the Servicing Side Letter, any assignment of an Interest
      Rate Protection Agreement, the Electronic Tracking Agreement, any Instruction
      Letters and any other agreement entered into by a Seller, on the one hand,
      and
      the Buyer and/or any of its Affiliates or Subsidiaries (or Custodian on its
      behalf) on the other, in connection herewith or therewith.

    

    
      
        
        

      

      
        11

        
          

        

      

      
        
        

      

    

    “Property”
shall
      mean any right or interest in or to property of any kind whatsoever, whether
      real, personal or mixed and whether tangible or intangible.

    

    “Proprietary
      Lease”
shall
      mean the lease on a Cooperative Unit evidencing the possessory interest of
      the
      owner of the Cooperative Shares in such Cooperative Unit.

    

    “Purchase
      Date”
shall
      mean, with respect to each Transaction, the date on which Purchased Loans are
      sold by the related Seller to the Buyer hereunder.

    

    “Purchase
      Price”
shall
      have the meaning assigned thereto in the Pricing Side Letter.

    

    “Purchased
      Items”
shall
      have the meaning assigned thereto in Section 8 hereof.

    

    “Purchased
      Loans”
shall
      mean any of the following assets sold by a Seller to Buyer in a Transaction:
      the
      Loans, together with the related Records, Servicing Rights, such Seller’s rights
      under any related Interest Rate Protection Agreement, such Seller’s rights under
      any Escrow Letters and Insured Closing Letters with respect to the Loans. Such
      Seller’s rights under any takeout commitment related to the Loans and other
      Purchased Items, such other property, rights, titles or interest as are
      specified on a related Transaction Notice, and all instruments, chattel paper,
      and general intangibles comprising or relating to all of the foregoing. The
      term
“Purchased Loans” with respect to any Transaction at any time shall also include
      Additional Purchased Loans delivered pursuant to Section 6(a) hereof and
      Substitute Loans delivered pursuant to Section 16 hereof.

    

    “Qualified
      Insurer”
shall
      mean an insurance company duly qualified as such under the laws of each state
      in
      which any Mortgaged Property is located, duly authorized and licensed in each
      such state to transact the applicable insurance business and to write the
      insurance provided, and approved as an insurer by Fannie Mae and Freddie Mac
      and
      whose claims paying ability is rated in the two highest rating categories by
      any
      of the rating agencies with respect to primary mortgage insurance and in the
      two
      highest rating categories by Best’s with respect to hazard and flood
      insurance.

    

    “Qualified
      Originator”
shall
      mean (a) NYMC and (b) any other originator of Loans previously approved by
      Buyer; provided,
      that
      Buyer shall have the right to reject an originator (in its sole discretion)
      by
      delivering written notice to Sellers fifteen (15) days prior to ceasing to
      accept Loans originated by such person.

    

    “Reacquired
      Loans”
shall
      have the meaning assigned thereto in Section 16.

    

    “Regulations
      T, U and X”
shall
      mean Regulations T, U and X of the Board of Governors of the Federal Reserve
      System (or any successor), as the same may be modified and supplemented and
      in
      effect from time to time.

    

    “REIT”
shall
      mean a real estate investment trust, as defined in Section 856 of the
      Code.

    

    “Reportable
      Event”
shall
      mean any of the events set forth in Section 4043(b) of ERISA, other than those
      events as to which the thirty day notice period is waived under subsections
      .13,
      .14, .16, .18, .19 or .20 of PBGC Reg. § 2615.

    

    
      
        
        

      

      
        12

        
          

        

      

      
        
        

      

    

    “Repurchase
      Date”
shall
      mean the date occurring on (i) the seventh (7th)
      day of
      each month following the related Purchase Date (or if such date is not a
      Business Day, the following Business Day), (ii) any other Business Day set
      forth
      in the related Transaction Notice and/or the related Confirmation, or (iii)
      the
      date determined by application of Section 19, as applicable.

    

    “Repurchase
      Price”
shall
      mean the price at which Purchased Loans are to be transferred from Buyer to
      the
      related Seller upon termination of a Transaction, which will be determined
      in
      each case (including Transactions terminable upon demand) as the sum of the
      outstanding Purchase Price for such Purchased Loans and the Price Differential
      as of the date of such determination.

    

    “Required
      Documents”
shall
      have the meaning set forth in the Custodial Agreement.

    

    “Requirement
      of Law”
shall
      mean as to any Person, the certificate of incorporation and by-laws or other
      organizational or governing documents of such Person, and any law, treaty,
      rule
      or regulation or determination of an arbitrator or a court or other Governmental
      Authority, in each case applicable to or binding upon such Person or any of
      its
      property or to which such Person or any of its property is subject.

    

    “Rescission”
shall
      mean the right of a Mortgagor to rescind the related Note and related documents
      pursuant to applicable law.

    

    “Responsible
      Officer”
shall
      mean, as to any Person, the chief executive officer or, with respect to
      financial matters, the chief financial officer of such Person; provided, that
      in
      the event any such officer is unavailable at any time he or she is required
      to
      take any action hereunder, Responsible Officer shall mean any officer authorized
      to act on such officer’s behalf as demonstrated by a certificate of corporate
      resolution.

    

    “Restricted
      Payments”
shall
      mean with respect to any Person, collectively, all dividends or other
      distributions of any nature (cash, securities, assets or otherwise), and all
      payments, by virtue of redemption or otherwise, on any class of equity
      securities (including, without limitation, warrants, options or rights therefor)
      issued by such Person, whether such securities are now or may hereafter be
      authorized or outstanding and any distribution in respect of any of the
      foregoing, whether directly or indirectly.

    

    “Servicer”
shall
      mean each related Seller, as applicable, in its capacity as servicer or master
      servicer of the Loans.

    

    “Servicing
      Agreement”
shall
      have the meaning provided in Section 43(c) hereof.

    

    “Servicing
      File”
shall
      mean with respect to each Loan, the file retained by the related Seller (in
      its
      capacity as Servicer) or the Subservicer consisting of all documents that a
      prudent originator and servicer would have, including copies of the Loan
      Documents, all documents necessary to document and service the Loans and any
      and
      all documents required to be delivered pursuant to any of the Program
      Documents.

    

    “Servicing
      Records”
shall
      have the meaning assigned thereto in Section 43(b) hereof.

    

    “Servicing
      Rights”
shall
      mean contractual, possessory or other rights of the related Seller or any other
      Person, whether arising under the Servicing Agreement, the Custodial Agreement
      or otherwise, to administer or service a Purchased Loan or to possess related
      Servicing Records.

    

    “Servicing
      Side Letter”
shall
      mean that certain Servicing Side Letter, dated as of January 5, 2006, among
      Sellers, Servicer and Buyer, as the same may be amended, supplemented or
      modified from time to time.

    

    
      
        
        

      

      
        13

        
          

        

      

      
        
        

      

    

    “Servicing
      Transmission”
shall
      mean a computer-readable magnetic or other electronic format acceptable to
      the
      parties containing the information identified on Exhibit F.

    

    “Settlement
      Agent”
shall
      have the meaning assigned thereto in the Custodial Agreement.

    

    “Single
      Employer Plan”
shall
      mean any Plan which is covered by Title IV of ERISA, but which is not a
      Multiemployer Plan.

    

    “Small
      Balance Commercial Loan”
means
      any Loan that is a Multi-Family Loan, a Mixed-Use Loan or is otherwise secured
      by a small commercial property. 

    

    “Subservicer”
shall
      have the meaning provided in Section 43(c) hereof.

    

    “Subsidiary”
shall
      mean, with respect to any Person, any corporation, partnership or other entity
      of which at least a majority of the securities or other ownership interests
      having by the terms thereof ordinary voting power to elect a majority of the
      board of directors or other persons performing similar functions of such
      corporation, partnership or other entity (irrespective of whether or not at
      the
      time securities or other ownership interests of any other class or classes
      of
      such corporation, partnership or other entity shall have or might have voting
      power by reason of the happening of any contingency) is at the time directly
      or
      indirectly owned or controlled by such Person or one or more Subsidiaries of
      such Person or by such Person and one or more Subsidiaries of such
      Person.

    

    “Substitute
      Loans”
has
      the
      meaning assigned thereto in Section 16.

    

    “Takeout
      Commitment”
shall
      mean, with respect to any Loan, an irrevocable commitment issued by a Takeout
      Investor in favor of the related Seller pursuant to which such Takeout Investor
      agrees to purchase such Loan at a specific price on a forward delivery basis
      acceptable to the Buyer in its sole discretion.

    

    “Takeout
      Investor”
shall
      mean a third party, acceptable to Buyer, which has agreed to purchase Loans
      pursuant to a Takeout Commitment.

    

    “Tangible
      Net Worth”
shall
      mean, with respect to any Person, as of any date of determination, the
      consolidated Net Worth of such Person and its Subsidiaries, less the
      consolidated net book value of all assets of such Person and its Subsidiaries
      (to the extent reflected as an asset in the balance sheet of such Person or
      any
      Subsidiary at such date) which will be treated as intangibles under GAAP,
      including, without limitation, such items as deferred financing expenses,
      deferred taxes, net leasehold improvements, good will, trademarks, trade names,
      service marks, copyrights, patents, licenses and unamortized debt discount
      and
      expense; provided, that residual securities issued by such Person or its
      Subsidiaries shall not be treated as intangibles for purposes of this
      definition.

    

    “Termination
      Date”
shall
      mean December 4, 2006, or such earlier date on which this Agreement shall
      terminate in accordance with the provisions hereof or by operation of
      law.

    

    “Total
      Indebtedness”
shall
      mean with respect to any Person, for any period, the aggregate Indebtedness
      of
      such Person and its Subsidiaries during such period, less the amount of any
      nonspecific consolidated balance sheet reserves maintained in accordance with
      GAAP.

    

    “Transaction”
has
      the
      meaning assigned thereto in Section 1.

    

    
      
        
        

      

      
        14

        
          

        

      

      
        
        

      

    

    “Transaction
      Notice”
shall
      mean a written request by a Seller in the form of Exhibit
      D
      hereto,
      to enter into a Transaction, in a form to be mutually agreed upon among Sellers
      and Buyer, which is delivered to Buyer.

    

    “Trust
      Preferred Obligations”
shall
      mean (i) the $25
      million NYM Preferred Trust I securities with maturity on March 15, 2035, and
      (ii) the $20 million NYM Preferred Trust II securities with maturity on October
      30, 2035.

    

    “Trust
      Receipt”
shall
      have the meaning provided in the Custodial Agreement.

    

    “Underwriting
      Guidelines”
shall
      mean (i) the underwriting guidelines of the related Seller attached as
Exhibit
      E
      hereto
      in effect as of the date of this Agreement, and (ii)
      certain
      acquisition guidelines of the third parties listed in Exhibit
      K
      hereof
      in accordance with which NYMC acquires Loans,
      as the
      same may be amended, supplemented or otherwise modified from time to time in
      accordance with terms of this Agreement, and which have been approved in writing
      by Buyer.

    

    “Uniform
      Commercial Code”
shall
      mean the Uniform Commercial Code as in effect on the date hereof in the State
      of
      New York; provided that if by reason of mandatory provisions of law, the
      perfection or the effect of perfection or non-perfection of the security
      interest in any Purchased Items is governed by the Uniform Commercial Code
      as in
      effect in a jurisdiction other than New York, “Uniform Commercial Code” shall
      mean the Uniform Commercial Code as in effect in such other jurisdiction for
      purposes of the provisions hereof relating to such perfection or effect of
      perfection or non-perfection.

    

    “USC”
shall
      mean the United States Code, as amended.

    

    “Wet
      Loan”
shall
      mean a wet-funded first lien Loan which is underwritten in accordance with
      the
      Underwriting Guidelines and does not contain all the required Loan Documents
      in
      the Mortgage File, which in order to be deemed an Eligible Loan shall have
      the
      following additional characteristics:

    

    (a)
       the
      proceeds thereof have been funded (or, on the Purchase Date supported by a
      Transaction Notice are being funded) by wire transfer or cashier’s check,
      cleared check or draft or other form of immediately available funds to the
      Settlement Agent for such Wet Loan;

    

    (b)
       the
      related Seller expects such Wet Loan to close and become a valid lien securing
      actual indebtedness by funding to the order of the Mortgagor
      thereunder;

    

    (c)
       the
      proceeds thereof have not been returned to the Buyer from the Settlement Agent
      for such Wet Loan;

    

    (d)
       the
      related Seller has not learned that such Wet Loan will not be closed and funded
      to the order of the Mortgagor; 

    

    (e)
       upon
      recordation such Loan will constitute a first lien Loan on the premises
      described therein; and

    

    (f) the
      related Seller has obtained an Escrow Letter and an Insured Closing Letter
      with
      respect to such Wet Loan.

    

    (b) Accounting
      Terms and Determinations.
      Except
      as otherwise expressly provided herein, all accounting terms used herein shall
      be interpreted, and all financial statements and certificates and reports as
      to
      financial matters required to be delivered to the Buyer hereunder shall be
      prepared, in accordance with GAAP.

    

    
      
        
        

      

      
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    (c) Interpretation.
      The
      following rules of this subsection (c) apply unless the context requires
      otherwise. A gender includes all genders. Where a word or phrase is defined,
      its
      other grammatical forms have a corresponding meaning. A reference to a
      subsection, Section, Annex or Exhibit is, unless otherwise specified, a
      reference to a Section of, or annex or exhibit to, this Agreement. A reference
      to a party to this Agreement or another agreement or document includes the
      party’s successors and permitted substitutes or assigns. A reference to an
      agreement or document (including any Program Document) is to the agreement
      or
      document as amended, modified, novated, supplemented or replaced, except to
      the
      extent prohibited thereby or any Program Document and in effect from time to
      time in accordance with the terms thereof. A reference to legislation or to
      a
      provision of legislation includes a modification or re-enactment of it, a
      legislative provision substituted for it and a regulation or statutory
      instrument issued under it. A reference to writing includes a facsimile
      transmission and any means of reproducing words in a tangible and permanently
      visible form. A reference to conduct includes, without limitation, an omission,
      statement or undertaking, whether or not in writing. The words “hereof”,
“herein”, “hereunder” and similar words refer to this Agreement as a whole and
      not to any particular provision of this Agreement. The term “including” is not
      limiting and means “including without limitation”. In the computation of periods
      of time from a specified date to a later specified date, the word “from” means
“from and including”, the words “to” and “until” each mean “to but excluding”,
      and the word “through” means “to and including”.

    

    Except
      where otherwise provided in this Agreement, any determination, consent,
      approval, statement or certificate made or confirmed in writing with notice
      to
      the related Seller by Buyer or an authorized officer of Buyer provided for
      in
      this Agreement is conclusive and binds the parties in the absence of manifest
      error. A reference to an agreement includes a security interest, guarantee,
      agreement or legally enforceable arrangement whether or not in writing related
      to such agreement.

    

    A
      reference to a document includes an agreement (as so defined) in writing or
      a
      certificate, notice, instrument or document, or any information recorded in
      computer disk form. Where a Seller is required to provide any document to Buyer
      under the terms of this Agreement, the relevant document shall be provided
      in
      writing or printed form unless Buyer requests otherwise. At the request of
      Buyer, the document shall be provided in computer disk form or both printed
      and
      computer disk form.

    

    This
      Agreement is the result of negotiations among, and has been reviewed by counsel
      to, Buyer and Sellers, and is the product of all parties. In the interpretation
      of this Agreement, no rule of construction shall apply to disadvantage one
      party
      on the ground that such party proposed or was involved in the preparation of
      any
      particular provision of this Agreement or this Agreement itself. Except where
      otherwise expressly stated, Buyer may give or withhold, or give conditionally,
      approvals and consents and may form opinions and make determinations at its
      absolute discretion. Any requirement of good faith, discretion or judgment
      by
      Buyer shall not be construed to require Buyer to request or await receipt of
      information or documentation not immediately available from or with respect
      to
      Sellers, a servicer of the Purchased Loans, any other Person or the Purchased
      Loans themselves.

     

    3. THE
      TRANSACTIONS

    

    (a) Subject
      to the terms and conditions of the Program Documents, Buyer may, from time
      to
      time in its sole discretion, enter into Transactions with an aggregate Purchase
      Price for all Purchased Loans acquired by Buyer not to exceed the Maximum
      Aggregate Purchase Price. Unless otherwise agreed, a Seller shall request that
      Buyer enter into a Transaction by delivering (i) a Transaction Notice
      substantially in the form of Exhibit D hereto (a “Transaction
      Notice”),
      appropriately completed, and a Loan Data Transmission to Buyer and Custodian,
      and (ii) the Mortgage File to Custodian for each Loan proposed to be included
      in
      such Transaction. In the case of Dry Loans, the Transaction Notice and the
      Mortgage File must be received no later than 5:00 p.m. (New York City time)
      two
      (2) Business Days prior to the requested Purchase Date, and the Loan Data
      Transmission must be received no later than 11:00 a.m. (New York City time)
      on
      the requested Purchase Date. In the case of Wet Loans, the Transaction Notice
      and the Loan Data Transmission must be received no later than 5:00 p.m. (New
      York City time) one (1) Business Day prior to the requested Purchase Date,
      in
      the case of AM Funded Wet Loans, and no later than 3:00 p.m. (New York City
      time) on the requested Purchase Date, in the case of PM Funded Wet Loans. Each
      such Transaction Notice shall clearly indicate those Loans that are intended
      to
      be Wet Loans and Dry Loans and include a Loan List in respect of the Eligible
      Loans that the related Seller proposes to include in the related Transaction,
      and shall specify the proposed Purchase Date, Purchase Price, Pricing Rate
      and
      Repurchase Date. The related Seller agrees to immediately report to Custodian
      and the Buyer by electronic transmission within one (1) Business Day of
      discovery that any Wet Loans that were previously subject to a Transaction
      do
      not close for any reason including, but not limited to, a Rescission. In the
      event that the parties hereto desire to enter into a Transaction, the Buyer
      shall deliver to the related Seller, in electronic or other format, a
“Confirmation” specifying such terms prior to entering into such Transaction,
      including, without limitation, the Purchase Date, the Purchase Price, the
      Pricing Rate therefor and the Repurchase Date. Any such Confirmation and the
      related Transaction Notice, together with this Agreement, shall constitute
      conclusive evidence of the terms agreed to between Buyer and the related Seller
      with respect to the Transaction to which the Confirmation relates. By entering
      in to a Transaction with the Buyer, the related Seller consents to the terms
      set
      forth in the related Confirmation. In the event of any conflict between this
      Agreement and a Confirmation, the terms of the Confirmation shall control with
      respect to the related Transaction. It is acknowledged and agreed that,
      notwithstanding any other provision of this Agreement to the contrary, the
      facility provided under this Agreement is an uncommitted facility and the Buyer
      shall have no obligation to enter into any Transactions hereunder. Buyer or
      any
      Seller may, at any time, terminate this Agreement by providing written notice
      to
      all other parties hereto. Within thirty (30) Business Days of receipt of such
      notice, Sellers agree to repurchase any Loans subject to Transactions hereunder
      and to pay all other Obligations then owing to Buyer pursuant to this Agreement
      and any other Program Documents. Buyer shall have a right of first refusal,
      with
      a last look, prior to the sale of any Purchased Loan following receipt of such
      notice. Notwithstanding the foregoing, no Seller other than NYMC shall be
      entitled to enter into any Transactions in respect of the NYMC Exclusive
      Aggregate Purchase Price, and in no event shall the aggregate purchase price
      of
      Transactions outstanding with respect to NYMF and NYMT exceed the Combined
      Aggregate Purchase Price.

    

    
      
        
        

      

      
        16

        
          

        

      

      
        
        

      

    

    (b) Pursuant
      to the Custodial Agreement, the Custodian shall review any Required Documents
      delivered prior to 12:00 p.m. (New York City time) on any Business Day on the
      same day. Not later than 3:00 p.m. (New York City time) on each Business Day,
      the Custodian shall deliver to the Buyer, via Electronic Transmission acceptable
      to the Buyer, the Custodian Loan Transmission and an Exception Report showing
      the status of all Loans then held by the Custodian, including but not limited
      to
      the Wet Loans and Dry Loans which are subject to Exceptions, and the time the
      related Loan Documents have been released pursuant to Sections 5(a) or 5(b)
      of
      the Custodial Agreement. In addition, the Custodian shall deliver to the Buyer
      no later than 4:00 p.m. (New York City time) by facsimile transmission on each
      Purchase Date, one or more Trust Receipts (as defined in the Custodial
      Agreement) relating to either Wet Loans or Dry Loans. The original copies of
      such Trust Receipts shall be delivered to JPMorgan Chase Bank at Four New York
      Plaza, Ground Floor, Outsourcing Department, New York, New York 10004,
      Attention: Jennifer John for the account of Greenwich Capital Markets, telephone
      number (212) 623-5953), as agent for the Buyer by overnight delivery using
      a
      nationally recognized insured overnight delivery service.

    

    
      
        
        

      

      
        17

        
          

        

      

      
        
        

      

    

    (c) Upon
      a
      Seller’s request to enter into a Transaction pursuant to Section 3(a), Buyer
      shall, in its sole discretion, assuming all conditions precedent set forth
      in
      this Section 3 and in Sections 9(a) and (b) have been met, and provided no
      Default shall have occurred and be continuing, not later than 5:00 p.m. (New
      York City time) on the requested Purchase Date purchase the Eligible Loans
      included in the related Transaction Notice by transferring, via wire transfer
      (pursuant to wire transfer instructions provided by the related Seller on or
      prior to such Purchase Date), the Purchase Price.

    

    (d) Anything
      herein to the contrary notwithstanding, if, on or prior to the determination
      of
      any LIBO Base Rate:

    

    (i) the
      Buyer
      determines, which determination shall be conclusive, that quotations of interest
      rates for the relevant deposits referred to in the definition of “LIBO Base
      Rate” in Section 2 are not being provided in the relevant amounts or for the
      relevant maturities for purposes of determining rates of interest for
      Transactions as provided herein; or

    

    (ii) the
      Buyer
      determines, which determination shall be conclusive, that the Applicable Margin
      plus the relevant rate of interest referred to in the definition of “LIBO Base
      Rate” in Section 2 upon the basis of which the rate of interest for Transactions
      is to be determined is not likely adequately to cover the cost to the Buyer
      of
      purchasing and holding Loans hereunder; or

    

    (iii) it
      becomes unlawful for Buyer to enter into Transactions with a Pricing Rate based
      on the LIBO Base Rate;

    

    then
      the
      Buyer shall give the related Seller prompt notice thereof and, so long as such
      condition remains in effect, the Buyer shall be under no obligation to purchase
      Loans hereunder, and such Seller shall, at its option, either repurchase such
      Loans or pay a Pricing Rate at a rate per annum as determined by the Buyer
      taking into account the increased cost to the Buyer of purchasing and holding
      the Loans.

    

    (e) The
      related Seller shall repurchase Purchased Loans from Buyer on each related
      Repurchase Date. Each obligation to repurchase exists without regard to any
      prior or intervening liquidation or foreclosure with respect to any Purchased
      Loan. The related Seller is obligated to obtain the Purchased Loans from Buyer
      or its designee (including the Custodian) at Sellers’ expense on (or after) the
      related Repurchase Date.

    

    (f) Provided
      that the applicable conditions in Sections 9(a) and (b) have been satisfied,
      a
      Seller may request that a Purchased Loan that is repurchased by such Seller
      on
      the Repurchase Date become subject to a new Transaction by delivering notice
      of
      such request to Buyer with a copy to Custodian not later than 11:00 a.m. New
      York City time at least two (2) Business Day prior to any such Repurchase Date.
      Upon Buyer agreeing in its sole discretion to enter into such proposed
      Transaction, Buyer shall purchase the related Eligible Loans pursuant to the
      procedures set forth in Section 3(c). For each new Transaction, unless otherwise
      agreed, (y) the accrued and unpaid Price Differential shall be settled in cash
      on each related Repurchase Date, and (z) the Pricing Rate shall be as set forth
      in the Pricing Side Letter.

    

    (g) If
      a
      Seller intends to repurchase any Loans on any day which is not a Repurchase
      Date, such Seller shall give two (2) Business Days’ prior written notice thereof
      to the Buyer. If such notice is given, the Repurchase Price specified in such
      notice shall be due and payable on the date specified therein, together with
      the
      Price Differential to such date on the amount prepaid. Such early repurchases
      shall be in an aggregate principal amount of at least $100,000.

    

    
      
        
        

      

      
        18

        
          

        

      

      
        
        

      

    

    (h) If
      a
      Seller repurchases Purchased Loans on any day which is not a Repurchase Date
      for
      such Purchased Loans, such Seller shall indemnify Buyer and hold Buyer harmless
      from any losses, costs and/or expenses which Buyer may sustain or incur arising
      from (a) the re-employment of funds obtained by Buyer to perform hereunder
      or
      from (b) fees payable to terminate the deposits from which such funds were
      obtained (“Breakage
      Costs”),
      in
      each case for the remainder of the applicable thirty (30) day period. Buyer
      shall deliver to such Seller a statement setting forth the amount and basis
      of
      determination of any Breakage Costs in such detail as determined in good faith
      by Buyer to be adequate, it being agreed that such statement and the method
      of
      its calculation shall be adequate and shall be conclusive and binding upon
      such
      Seller, absent manifest error. The provisions of this Section 3(h) shall survive
      termination of this Agreement and the repurchase of all Purchased Loans subject
      to Transactions hereunder.

    

    (i) If
      any
      Requirement of Law (other than with respect to any amendment made to the Buyer’s
      certificate of incorporation and by-laws or other organizational or governing
      documents) or any change in the interpretation or application thereof or
      compliance by the Buyer with any request or directive (whether or not having
      the
      force of law) from any central bank or other Governmental Authority made
      subsequent to the date hereof:

    

    (i) shall
      subject the Buyer to any tax of any kind whatsoever with respect to this
      Agreement or any Loans purchased pursuant to it (excluding net income taxes)
      or
      change the basis of taxation of payments to the Buyer in respect
      thereof;

    

    (ii) shall
      impose, modify or hold applicable any reserve, special deposit, compulsory
      advance or similar requirement against assets held by deposits or other
      liabilities in or for the account of Transactions or extensions of credit by,
      or
      any other acquisition of funds by any office of the Buyer which is not otherwise
      included in the determination of the LIBO Base Rate hereunder;

    

    (iii) shall
      impose on the Buyer any other condition;

    

    and
      the
      result of any of the foregoing is to increase the cost to the Buyer, by an
      amount which the Buyer deems to be material, of effecting or maintaining
      purchases hereunder, or to reduce any amount receivable hereunder in respect
      thereof, then, in any such case, such Seller shall promptly pay the Buyer such
      additional amount or amounts as will compensate the Buyer for such increased
      cost or reduced amount receivable thereafter incurred.

    

    If
      the
      Buyer shall have determined that the adoption of or any change in any
      Requirement of Law (other than with respect to any amendment made to the Buyer’s
      certificate of incorporation and by-laws or other organizational or governing
      documents) regarding capital adequacy or in the interpretation or application
      thereof or compliance by the Buyer or any corporation controlling the Buyer
      with
      any request or directive regarding capital adequacy (whether or not having
      the
      force of law) from any Governmental Authority made subsequent to the date hereof
      shall have the effect of reducing the rate of return on the Buyer’s or such
      corporation’s capital as a consequence of its obligations hereunder to a level
      below that which the Buyer or such corporation (taking into consideration the
      Buyer’s or such corporation’s policies with respect to capital adequacy) by an
      amount deemed by the Buyer to be material, then from time to time, the Seller
      shall promptly pay to the Buyer such additional amount or amounts as will
      thereafter compensate the Buyer for such reduction.

    

    If
      the
      Buyer becomes entitled to claim any additional amounts pursuant to this
      subsection, it shall promptly notify the related Seller of the event by reason
      of which it has become so entitled. A certificate as to any additional amounts
      payable pursuant to this subsection submitted by the Buyer to the related Seller
      shall be conclusive in the absence of manifest error.

     

    
      
        
        

      

      
        19

        
          

        

      

      
        
        

      

    

    4. PAYMENT
      AND TRANSFER

    

    (a) Payments.
      Except
      to the extent otherwise provided herein, all payments to be made by Sellers
      under this Agreement shall be made in Dollars, in immediately available funds,
      without deduction, set-off or counterclaim, to the Buyer at the following
      account maintained by the Buyer at JPMorgan Chase Bank Account Number 140095961,
      For the A/C of Greenwich Capital Financial Products, Inc., ABA# 021000021,
      Attn:
      Brett Kibbe, not later than 1:00 p.m., New York City time, on the date on which
      such payment shall become due (each such payment made after such time on such
      due date to be deemed to have been made on the next succeeding Business Day).
      The Sellers acknowledge that they have no rights of withdrawal from the
      foregoing account.

    

    (b) Computations.
      The
      Pricing Differential shall be computed on the basis of a 360-day year for the
      actual days elapsed (including the first day but excluding the last day)
      occurring in the period for which payable.

     

    5. TAXES;
      TAX TREATMENT

    

    (a) All
      payments made by any Seller under this Agreement shall be made free and clear
      of, and without deduction or withholding for or on account of, any present
      or
      future taxes, levies, imposts, deductions, charges or withholdings, and all
      liabilities (including penalties, interest and additions to tax) with respect
      thereto imposed by any Governmental Authority, excluding income taxes, branch
      profits taxes, franchise taxes or any other tax imposed on the net income by
      the
      United States, a state or a foreign jurisdiction under the laws of which the
      Buyer is organized or of its applicable lending office, or any political
      subdivision thereof (collectively, “Taxes”),
      all
      of which shall be paid by such Seller for its own account not later than the
      date when due. If any Seller is required by law or regulation to deduct or
      withhold any Taxes from or in respect of any amount payable hereunder, it shall:
      (a) make such deduction or withholding; (b) pay the amount so deducted or
      withheld to the appropriate Governmental Authority not later than the date
      when
      due; (c) deliver to Buyer, promptly, original tax receipts and other evidence
      satisfactory to Buyer of the payment when due of the full amount of such Taxes;
      and (d) pay to the Buyer such additional amounts as may be necessary so that
      such Buyer receives, free and clear of all Taxes, a net amount equal to the
      amount it would have received under this Agreement, as if no such deduction
      or
      withholding had been made.

    

    (b) In
      addition, the Sellers agree to pay to the relevant Governmental Authority in
      accordance with applicable law any current or future stamp or documentary taxes
      or any other excise or property taxes, charges or similar levies (including,
      without limitation, mortgage recording taxes, transfer taxes and similar fees)
      imposed by the United States or any taxing authority thereof or therein that
      arise from any payment made hereunder or from the execution, delivery or
      registration of, or otherwise with respect to, this Agreement (“Other
      Taxes”).

    

    (c) The
      Sellers agree to indemnify the Buyer for the full amount of Taxes (including
      additional amounts with respect thereto) and Other Taxes, and the full amount
      of
      Taxes of any kind imposed by any jurisdiction on amounts payable under this
      Section 5, and any liability (including penalties, interest and expenses)
      arising therefrom or with respect thereto, provided that the Buyer shall have
      provided the Sellers with evidence, reasonably satisfactory to the Sellers,
      of
      payment of Taxes or Other Taxes, as the case may be.

    

    (d) Any
      Buyer
      that
      is not
      incorporated under the laws of the United States, any State thereof, or the
      District of Columbia
      (a
“Foreign
      Buyer”)
      shall
      provide the Sellers with properly completed United States Internal Revenue
      Service (“IRS”)
      Form
      W-8BEN or W-8ECI or any successor form prescribed by the IRS, certifying that
      such Foreign Buyer is entitled to benefits under an income tax treaty to which
      the United States is a party which reduces the rate of withholding tax on
      payments of interest or certifying that the income receivable pursuant to this
      Agreement is effectively connected with the conduct of a trade or business
      in
      the United States on or prior to the date upon which each such Foreign Buyer
      becomes a Buyer. Each Foreign Buyer will resubmit the appropriate form on the
      earliest of (A) the third anniversary of the prior submission or (B) on or
      before the expiration of thirty (30) days after there is a “change in
      circumstances” with respect to such Foreign Buyer as defined in Treas. Reg.
      Section 1.1441(e)(4)(ii)(D). For any period with respect to which a Foreign
      Buyer has failed to provide the Sellers with the appropriate form or other
      relevant document pursuant to this Section 5(d) (unless such failure is due
      to a
      change in treaty, law, or regulation occurring subsequent to the date on which
      a
      form originally was required to be provided), such Foreign Buyer shall not
      be
      entitled to any “gross-up” of Taxes or indemnification under Section 5(c) with
      respect to Taxes imposed by the United States; provided,
      however,
      that
      should a Foreign Buyer, which is otherwise exempt from a withholding tax, become
      subject to Taxes because of its failure to deliver a form required hereunder,
      the Sellers shall take such steps as such Foreign Buyer shall reasonably request
      to assist such Foreign Buyer to recover such Taxes.

    

    
      
        
        

      

      
        20

        
          

        

      

      
        
        

      

    

    (e) Without
      prejudice to the survival or any other agreement of Sellers hereunder, the
      agreements and obligations of Sellers contained in this Section 5 shall survive
      the termination of this Agreement. Nothing contained in this Section 5 shall
      require Buyer to make available any of its tax returns or other information
      that
      it deems to be confidential or proprietary.

    

    (f) Each
      party to this Agreement acknowledges that it is its intent for purposes of
      U.S.
      federal, state and local income and franchise taxes to treat each Transaction
      as
      indebtedness of the related Seller that is secured by the Purchased Loans and
      that the Purchased Loans are owned by the related Seller in the absence of
      an
      Event of Default by such Seller. All parties to this Agreement agree to such
      treatment and agree to take no action inconsistent with this treatment, unless
      required by law.

     

    6. MARGIN
      MAINTENANCE

    

    (a) If
      at any
      time either (i) the aggregate Market Value of all Purchased Loans subject to
      all
      Transactions is less than the aggregate MV Margin Amount for all such
      Transactions, or (ii) the aggregate unpaid principal balance of the Purchased
      Loans for all Transactions is less than the aggregate Par Margin Amount for
      all
      such Transactions (either such event, a “Margin
      Deficit”),
      then
      the Buyer may, by notice to the related Seller, require such Seller in such
      Transactions to transfer to the Buyer cash or, at the Buyer’s option (and
      provided such Seller has additional Eligible Loans), additional Eligible Loans
      (“Additional
      Purchased Loans”)
      within
      one (1) Business Day of such notice by Buyer, so that both (x) the cash and
      aggregate Market Value of the Purchased Loans, including any such Additional
      Purchased Loans, will thereupon equal or exceed such aggregate MV Margin Amount,
      and (y) the cash and unpaid principal balance of such Purchased Loans, including
      any such Additional Purchased Loans and Purchased Loans, will therefore equal
      or
      exceed such aggregate Par Margin Amount (either requirement, a “Margin
      Call”
);
      provided
      that if
      such Seller transfers cash, Buyer shall deposit such cash into a non-interest
      bearing account until the next succeeding Repurchase Date.

    

    (b) Notice
      required pursuant to Section 6(a) may be given by any means provided in
      Section 21 hereof. Any notice given on a Business Day preceding the Margin
      Notice Deadline shall be met, and the related Margin Call satisfied, no later
      than 5:00 p.m. New York City time on the same Business Day. Any notice given
      on
      a Business Day following the Margin Notice Deadline shall be met, and the
      related Margin Call satisfied, no later than 5:00 p.m. New York City time on
      the
      following Business Day. The failure of Buyer, on any one or more occasions,
      to
      exercise its rights under this Section 6, shall not change or alter the terms
      and conditions to which this Agreement is subject or limit the right of Buyer
      to
      do so at a later date. Sellers and Buyer each agree that a failure or delay
      by
      Buyer to exercise its rights hereunder shall not limit or waive Buyer’s rights
      under this Agreement or otherwise existing by law or in any way create
      additional rights for any Seller.

     

    
      
        
        

      

      
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    7. INCOME
      PAYMENTS

    

    Where
      a
      particular term of a Transaction extends over the date on which Income is paid
      in respect of any Purchased Loan subject to that Transaction, such Income shall
      be the property of Buyer. Notwithstanding the foregoing, and provided no Default
      has occurred and is continuing, Buyer agrees that the related Seller shall
      be
      entitled to receive an amount equal to all Income received in respect of the
      Purchased Loans, whether by Buyer, Custodian or any servicer or any other
      Person, which is not otherwise received by such Seller, to the full extent
      it
      would be so entitled if the Purchased Loans had not been sold to Buyer;
provided
      that any
      Income received by Such Seller while the related Transaction is outstanding
      shall be deemed to be held by such Seller solely in trust for Buyer pending
      the
      repurchase on the related Repurchase Date; provided further
      that
      such Seller shall hold all such Income in the Collection Account. Provided
      no
      Default has occurred, Buyer shall, as the parties may agree with respect to
      any
      Transaction (or, in the absence of any such agreement, as Buyer shall reasonably
      determine in its sole discretion), on the Repurchase Date following the date
      any
      Income is received by Buyer (or a servicer on its behalf) either (i) transfer
      (or permit the servicer to transfer) to the related Seller such Income with
      respect to any Purchased Loans subject to such Transaction, or (ii) if a Margin
      Deficit then exists, apply the Income payment to reduce the amount, if any,
      to
      be transferred to Buyer by such Seller upon termination of such Transaction.
      Buyer shall not be obligated to take any action pursuant to the preceding
      sentences (A) to the extent that such action would result in the creation of
      a
      Margin Deficit, unless prior thereto or simultaneously therewith the related
      Seller transfers to Buyer cash or Additional Purchased Loans sufficient to
      eliminate such Margin Deficit, or (B) if an Event of Default with respect to
      such Seller has occurred and is then continuing at the time such Income is
      paid.

     

    8. SECURITY
      INTEREST; BUYER’S APPOINTMENT AS ATTORNEY-IN-FACT

    

    (a) Sellers
      and Buyer intend that the Transactions hereunder be sales to Buyer of the
      Purchased Loans and not loans from Buyer to Sellers secured by the Purchased
      Loans. However, in order to preserve Buyer’s rights under this Agreement in the
      event that a court or other forum recharacterizes the Transactions hereunder
      as
      other than sales, and as security for Sellers’ performance of all of the
      Obligations, each Seller hereby grants Buyer a fully perfected first priority
      security interest in the following property, whether now existing or hereafter
      acquired: (i) all Loans identified on a Transaction Notice delivered by such
      Seller to the Buyer and the Custodian from time to time, (ii) all related Loan
      Documents, including without limitation all promissory notes, and all Records,
      and any other collateral pledged or otherwise relating to any such Loans,
      together with all files, material documents, instruments, surveys (if
      available), certificates, correspondence, appraisals, computer records, computer
      storage media, Loan accounting records and other books and records relating
      thereto, (iii) all mortgage guaranties and insurance (issued by governmental
      agencies or otherwise) and any mortgage insurance certificate or other document
      evidencing such mortgage guaranties or insurance relating to any Loans and
      all
      claims and payments thereunder, (iv) all other insurance policies and insurance
      proceeds relating to any Loans or the related Mortgaged Property, (v) all
      Interest Rate Protection Agreements relating to any or all of the foregoing,
      (vi) any purchase agreements or other agreements or contracts relating to or
      constituting any or all of the foregoing, (vii) all purchase commitments or
      Take-Out Commitments relating to or constituting any or all of the foregoing,
      (viii) all “accounts”, “chattel paper”, “commercial tort claims”, “deposit
      accounts”, “documents,” “equivalent”, “general intangibles”, “goods”,
“instruments”, “inventory”, “investment property”, “letter of credit rights”,
      and “securities’ accounts” as each of those terms is defined in the Uniform
      Commercial Code and all cash and Cash Equivalents and all products and proceeds
      relating to or constituting any or all of the foregoing, (ix) such Seller’s
      interests under any Escrow Letters and Insured Closing Letters with respect
      to
      any Purchased Loans, (x) all interests in real property owned by each Seller
      or
      collateralizing any such Loans, and (xi) any and all replacements,
      substitutions, distributions on or proceeds of any or all of the foregoing
      (collectively the “Purchased
      Items”).
      Each
      Seller acknowledges and agrees that its rights with respect to the Purchased
      Items (including without limitation, any security interest such Seller may
      have
      in the Purchased Loans and any other collateral granted to such Seller pursuant
      to any other agreement) are and shall continue to be at all times junior and
      subordinate to the rights of Buyer hereunder.

    

    
      
        
        

      

      
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    (b) At
      any
      time and from time to time, upon the written request of the Buyer, and at the
      sole expense of the Sellers, the Sellers will promptly and duly execute and
      deliver, or will promptly cause to be executed and delivered, such further
      instruments and documents and take such further action as the Buyer may
      reasonably request for the purpose of obtaining or preserving the full benefits
      of this Agreement and of the rights and powers herein granted, including,
      without limitation, the filing of any financing or continuation statements
      under
      the Uniform Commercial Code in effect in any jurisdiction with respect to the
      Purchased Items and the liens created hereby. The Sellers also hereby authorize
      the Buyer to file any such financing or continuation statement without the
      signature of the Sellers to the extent permitted by applicable law. A carbon,
      photographic or other reproduction of this Agreement shall be sufficient as
      a
      financing statement for filing in any jurisdiction. This Agreement shall
      constitute a security agreement under applicable law.

    

    (c) No
      Seller
      shall (i) change the location of its chief executive office/chief place of
      business from that specified in Section 12(m) hereof, (ii) change its name,
      identity or corporate structure (or the equivalent) or change the location
      where
      it maintains its records with respect to the Purchased Items, or (iii)
      reincorporate or reorganize under the laws of another jurisdiction unless it
      shall have given the Buyer at least 30 days prior written notice thereof and
      shall have delivered to the Buyer all Uniform Commercial Code financing
      statements and amendments thereto as the Buyer shall request and taken all
      other
      actions deemed reasonably necessary by the Buyer to continue its perfected
      status in the Purchased Items with the same or better priority.

    

    (d) Sellers
      hereby irrevocably constitute and appoint Buyer and any officer or agent
      thereof, with full power of substitution, as its true and lawful
      attorney-in-fact with full irrevocable power and authority in the place and
      stead of each Seller and in the name of each Seller or in its own name, from
      time to time in Buyer’s discretion, for the purpose of carrying out the terms of
      this Agreement, including without limitation, protecting, preserving and
      realizing upon the Purchased Items, to take any and all appropriate action
      and
      to execute any and all documents and instruments which may be necessary or
      desirable to accomplish the purposes of this Agreement, including without
      limitation, to protect, preserve and realize upon the Purchased Items, to file
      such financing statement or statements relating to the Purchased Loans and
      the
      Purchased Items without such Seller’s signature thereon as Buyer at its option
      may deem appropriate, and, without limiting the generality of the foregoing,
      such Seller hereby gives Buyer the power and right, on behalf of such Seller,
      without assent by, but with notice to, such Seller, if an Event of Default
      shall
      have occurred and be continuing, to do the following:

    

    (i) in
      the
      name of such Seller, or in its own name, or otherwise, to take possession of
      and
      endorse and collect any checks, drafts, notes, acceptances or other instruments
      for the payment of moneys due with respect to any Purchased Loans and to file
      any claim or to take any other action or proceeding in any court of law or
      equity or otherwise deemed appropriate by Buyer for the purpose of collecting
      any and all such moneys due with respect to any Purchased Loans whenever
      payable;

    

    (ii) to
      pay or
      discharge taxes and Liens levied or placed on or threatened against the
      Purchased Loans;

    

    
      
        
        

      

      
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    (iii) (A)
      to
      direct any party liable for any payment under any Purchased Loans to make
      payment of any and all moneys due or to become due thereunder directly to Buyer
      or as Buyer shall direct; (B) to ask or demand for, collect, receive payment
      of
      and receipt for, any and all moneys, claims and other amounts due or to become
      due at any time in respect of or arising out of any Purchased Loans; (C) to
      sign
      and endorse any invoices, assignments, verifications, notices and other
      documents in connection with any Purchased Loans; (D) to commence and prosecute
      any suits, actions or proceedings at law or in equity in any court of competent
      jurisdiction to collect the Purchased Loans or any proceeds thereof and to
      enforce any other right in respect of any Purchased Loans; (E) to defend any
      suit, action or proceeding brought against Seller with respect to any Purchased
      Loans; (F) to settle, compromise or adjust any suit, action or proceeding
      described in clause (E) above and, in connection therewith, to give such
      discharges or releases as Buyer may deem appropriate; and (G) generally, to
      sell, transfer, pledge and make any agreement with respect to or otherwise
      deal
      with any Purchased Loans as fully and completely as though Buyer were the
      absolute owner thereof for all purposes, and to do, at Buyer’s option and
      Sellers’ joint and several expense, at any time, and from time to time, all acts
      and things which Buyer deems necessary to protect, preserve or realize upon
      the
      Purchased Loans and the Purchased Items and Buyer’s Liens thereon and to effect
      the intent of this Agreement, all as fully and effectively as Sellers might
      do.

    

    Each
      Seller hereby ratifies all that said attorneys shall lawfully do or cause to
      be
      done by virtue hereof. This power of attorney is a power coupled with an
      interest and shall be irrevocable.

    

    Each
      Seller also authorizes Buyer, if an Event of Default shall have occurred, from
      time to time, to execute, in connection with any sale provided for in Section
      19
      hereof, any endorsements, assignments or other instruments of conveyance or
      transfer with respect to the Purchased Loans.

    

    (e) The
      powers conferred on Buyer hereunder are solely to protect Buyer’s interests in
      the Purchased Loans and shall not impose any duty upon it to exercise any such
      powers. Buyer shall be accountable only for amounts that it actually receives
      as
      a result of the exercise of such powers, and neither it nor any of its officers,
      directors, employees or agents shall be responsible to any Seller for any act
      or
      failure to act hereunder, except for its or their own gross negligence or
      willful misconduct.

    

    (f) If
      any
      Seller fails to perform or comply with any of its agreements contained in the
      Program Documents and the Buyer may itself perform or comply, or otherwise
      cause
      performance or compliance, with such agreement, the reasonable out-of-pocket
      expenses of the Buyer incurred in connection with such performance or
      compliance, together with interest thereon at a rate per annum equal to the
      Post-Default Rate, shall be payable by the Sellers to the Buyer on demand and
      shall constitute Obligations.

    

    (g) The
      Buyer’s duty with respect to the custody, safekeeping and physical preservation
      of the Purchased Items in its possession, under Section 9-207 of the Uniform
      Commercial Code or otherwise, shall be to deal with it in the same manner as
      the
      Buyer deals with similar property for its own account. Neither the Buyer nor
      any
      of its directors, officers or employees shall be liable for failure to demand,
      collect or realize upon all or any part of the Purchased Items or for any delay
      in doing so or shall be under any obligation to sell or otherwise dispose of
      any
      Purchased Items upon the request of the related Seller or
      otherwise.

    

    (h) All
      authorizations and agencies herein contained with respect to the Purchased
      Items
      are irrevocable and powers coupled with an interest.

     

    
      
        
        

      

      
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    9. CONDITIONS
      PRECEDENT

    

    (a) As
      conditions precedent to the initial Transaction, Buyer shall have received
      on or
      before the date on which such initial Transaction is consummated the following,
      in form and substance satisfactory to Buyer and duly executed by each party
      thereto (as applicable):

    

    (i) Program
      Documents.
      The
      Program Documents duly executed and delivered by each party thereto and being
      in
      full force and effect, free of any modification, breach or waiver.

    

    (ii) Organizational
      Documents.
      A good
      standing certificate and certified copies of the charter and by-laws (or
      equivalent documents) of each Seller, in each case dated as of a recent date,
      but in no event more than ten (10) days prior to the date of such initial
      Transaction and of all corporate or other authority for each Seller with respect
      to the execution, delivery and performance of the Program Documents and each
      other document to be delivered by such Seller from time to time in connection
      herewith (and the Buyer may conclusively rely on such certificate until it
      receives notice in writing from such Seller to the contrary).

    

    (iii) Incumbency
      Certificate.
      An
      incumbency certificate of the secretary of each Seller certifying the names,
      true signatures and titles of such Seller’s representatives duly authorized to
      request Transactions hereunder and to execute the Program Documents and the
      other documents to be delivered thereunder.

    

    (iv) Legal
      Opinion.
      A legal
      opinion of counsel to the Sellers, substantially in the form attached hereto
      as
      Exhibit C.

    

    (v) Filings,
      Registrations, Recordings.
      (i) Any
      documents (including, without limitation, financing statements) required to
      be
      filed, registered or recorded in order to create, in favor of the Buyer, a
      perfected, first-priority security interest in the Purchased Items, subject
      to
      no Liens other than those created hereunder, shall have been properly prepared
      and executed for filing (including the applicable county(ies) if the Buyer
      determines such filings are necessary in its reasonable discretion),
      registration or recording in each office in each jurisdiction in which such
      filings, registrations and recordations are required to perfect such
      first-priority security interest; and (ii) UCC lien searches, dated as of a
      recent date, in no event more than fourteen (14) days prior to the date of
      such
      initial Transaction, in such jurisdictions as shall be applicable to the Sellers
      and the Purchased Items, the results of which shall be satisfactory to the
      Buyer.

    

    (vi) Fees
      and Expenses.
      The
      Buyer shall have received all fees and expenses required to be paid by the
      Sellers on or prior to the initial Purchase Date, which fees and expenses may
      be
      netted out of any purchase proceeds paid by the Buyer hereunder.

    

    (vii) Financial
      Statements.
      The
      Buyer shall have received the financial statements referenced in Section
      12(b).

    

    (viii) Underwriting
      Guidelines.
      The
      Buyer and the Sellers shall have agreed upon the Sellers’ current Underwriting
      Guidelines for Loans and the Buyer shall have received a copy thereof certified
      by a Responsible Officer of each Seller.

    

    (ix) Consents,
      Licenses, Approvals, etc.
      The
      Buyer shall have received copies certified by the Sellers of all consents,
      licenses and approvals, if any, required in connection with the execution,
      delivery and performance by each Seller of, and the validity and enforceability
      of, the Loan Documents, which consents, licenses and approvals shall be in
      full
      force and effect.

    

    
      
        
        

      

      
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    (x) Insurance.
      The
      Buyer shall have received evidence in form and substance satisfactory to the
      Buyer showing compliance by the Sellers as of such initial Purchase Date with
      Section 13(v) hereof.

    

    (xi) Collection
      Account.
      Evidence of the establishment of the Collection Account.

    

    (xii) Other
      Documents.
      The
      Buyer shall have received such other documents as the Buyer or its counsel
      may
      reasonably request.

    

    (b) Each
      Transaction pursuant to this Agreement (including the initial Transaction)
      is
      subject to the following further conditions precedent, both immediately prior
      to
      any Transaction and also after giving effect thereto and to the intended use
      thereof:

    

    (i) No
      Default or Event of Default shall have occurred and be continuing.

    

    (ii) Both
      immediately prior to entering into such Transaction and also after giving effect
      thereto and to the intended use of the proceeds thereof, the representations
      and
      warranties made by the Sellers in Section 12 and in Schedule
      1-A
      or
Schedule
      1-B
      hereof,
      as applicable, and in each of the other Program Documents, shall be true and
      complete on and as of the Purchase Date in all material respects (in the case
      of
      the representations and warranties in Section 12(w), 12(x) and Schedule
      1-A
      or
Schedule
      1-B,
      as
      applicable, solely with respect to Loans which have not been repurchased by
      Sellers) with the same force and effect as if made on and as of such date (or,
      if any such representation or warranty is expressly stated to have been made
      as
      of a specific date, as of such specific date). At the request of the Buyer,
      the
      Buyer shall have received an officer’s certificate signed by a Responsible
      Officer of the Seller certifying as to the truth and accuracy of the above,
      which certificate shall specifically include a statement that such Seller is
      in
      compliance with all governmental licenses and authorizations and is qualified
      to
      do business and in good standing in all required jurisdictions.

    

    (iii) The
      then
      aggregate outstanding Purchase Price for all Purchased Loans, when added to
      the
      Purchase Price for the requested Transaction, shall not exceed the Maximum
      Aggregate Purchase Price.

    

    (iv) Subject
      to the Buyer’s right to perform one or more Due Diligence Reviews pursuant to
      Section 44 hereof, the Buyer shall have completed its Due Diligence Review
      of
      the Loan Documents for each Purchase and such other documents, records,
      agreements, instruments, Mortgaged Properties or information relating to such
      Purchases as the Buyer in its reasonable discretion deems appropriate to review
      and such review shall be satisfactory to the Buyer in its reasonable
      discretion.

    

    (v) Buyer
      or
      its designee shall have received on or before the day of a Transaction with
      respect to any Purchased Loans (unless otherwise specified in this Agreement)
      the following, in form and substance satisfactory to Buyer and (if applicable)
      duly executed:

    

    
      	 	
              (A)

            	
              The
                Transaction Notice and Loan Data Transmission with respect to such
                Purchased Loans, delivered pursuant to Section
                3(a);

            

    

    

    
      	 	
              (B)

            	
              The
                Trust Receipt with respect to such Purchased Loans, with the Loan
                Data
                Transmission attached; and

            

    

    

    
      
        
        

      

      
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              (C)

            	
              Such
                certificates, customary opinions of counsel or other documents as
                Buyer
                may reasonably request, provided that such opinions of counsel shall
                not
                be required routinely in connection with each Transaction but shall
                only
                be required from time to time as deemed necessary by Buyer in its
                commercially reasonable judgment.

            

    

    

    (vi) In
      the
      event that the Loans to be purchased would cause the aggregate outstanding
      principal balance of Purchased Loans secured by Mortgaged Property from any
      state to exceed 10% of the aggregate outstanding principal balance of Loans
      pledged hereunder, then the Sellers shall, upon request by the Buyer, deliver
      an
      opinion of counsel acceptable to the Buyer in such state, substantially in
      the
      form of items number 11 and 12 of Exhibit
      C;
      provided that no such opinion shall be required if the Loans in such state
      are
      originated on forms that are acceptable to Fannie Mae and Freddie
      Mac.

    

    (vii) With
      respect to any Loan that was funded in the name of or acquired by a Qualified
      Originator which is an Affiliate of the Sellers, the Buyer may, in its sole
      discretion, require the Sellers to provide evidence sufficient to satisfy the
      Buyer that such Loan was acquired in a legal sale, including without limitation,
      an opinion, in form and substance and from an attorney, in both cases,
      acceptable to the Buyer in its sole discretion, that such Loan was acquired
      in a
      legal sale.

    

    (viii) None
      of
      the following shall have occurred and/or be continuing:

    

    (i) an
      event
      or events resulting in the inability of the Buyer to finance its purchases
      of
      assets with traditional counterparties at rates which would have been reasonable
      prior to the occurrence of such event or events or a material adverse change
      in
      the financial condition of the Buyer which affects (or can reasonably be
      expected to affect) materially and adversely the ability of the Buyer to fund
      its obligations under or otherwise comply with the terms of this Agreement;
      or

    

    (ii) any
      other
      event beyond the control of the Buyer which the Buyer reasonably determines
      may
      result in the Buyer’s inability to perform its obligations under this Agreement
      including, without limitation, acts of God, strikes, lockouts, riots, acts
      of
      war or terrorism, epidemics, nationalization, expropriation, currency
      restrictions, fire, communication line failures, computer viruses, power
      failures, earthquakes, or other disasters of a similar nature to the
      foregoing.

    

    (ix) If
      any
      Loans to be purchased hereunder were acquired by a Seller, such Loans shall
      conform to such Seller’s Underwriting Guidelines or the Buyer shall have
      received Underwriting Guidelines for such Loans acceptable to the Buyer in
      its
      discretion.

    

    (x) The
      Buyer
      shall have received all information requested from the Sellers relating to
      Interest Rate Protection Agreements pursuant to Section 13(y), and the Buyer
      shall have determined that such Interest Rate Protection Agreements adequately
      protect the Sellers from interest rate fluctuations.

    

    (xi) If
      the
      Subservicer is other than Cenlar FSB, the Buyer shall have received, (1) in
      the
      case of Dry Loans, no later than 10:00 a.m. three (3) Business Days prior to
      the
      requested Purchase Date, (2) in the case of AM Funded Wet Loans, no later than
      5:00 p.m. one (1) Business Day prior to the requested Purchase Date, or (3)
      in
      the case of PM Funded Wet Loans, no later than 3 p.m. on the requested Purchase
      Date, an Instruction Letter, executed by the Sellers, with the related Servicing
      Agreement attached thereto, which such Servicing Agreement shall be in form
      and
      substance acceptable to Buyer.

    

    
      
        
        

      

      
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    (xii) 
      In no
      event shall Buyer be required to enter into (A) more than one (1) Transaction
      with respect to Dry Loans, or two (2) Transactions with respect to Wet Loans
      in
      any one (1) Business Day, nor (B) any Transaction for which the Purchase Price
      would be less than $1,000,000, or such lesser amount otherwise approved by
      Buyer
      on a case-by-case basis.

    

    (xiii) Buyer
      shall have determined that all actions necessary or, in the opinion of Buyer,
      desirable to maintain the Buyer’s perfected interest in the Purchased Loans and
      other Purchased Items have been taken, including, without limitation, duly
      executed and filed Uniform Commercial Code financing statements on Form
      UCC-1.

    

    (xiv) Sellers
      shall have paid to Buyer all fees and expenses owed to Buyer in accordance
      with
      this Agreement and any other Program Document.

    

    (xv) Buyer
      or
      its designee shall have received any other documents reasonably requested by
      Buyer.

    

    (xvi) There
      is
      no Margin Deficit at the time immediately prior to entering into a new
      Transaction.

    

    (xvii) Each
      secured party (including any party that has a precautionary security interest
      in
      a Loan) has released all of its right, title and interest in, to and under
      such
      Loan (including, without limitation, any security interest that such secured
      party or secured party’s agent may have by virtue of its possession, custody or
      control thereof) and has filed Uniform Commercial Code termination statements
      in
      respect of any Uniform Commercial Code filings made in respect of such Loan,
      and
      each such release and Uniform Commercial Code termination statement has been
      delivered to the Buyer prior to each Transaction and to the Custodian as part
      of
      the Mortgage File.

     

    10. RELEASE
      OF PURCHASED LOANS

    

    Upon
      timely payment in full of the Repurchase Price and all other Obligations (if
      any) then owing with respect to a Purchased Loan, unless a Default or Event
      of
      Default shall have occurred and be continuing, then (a) Buyer shall be deemed
      to
      have terminated any security interest that Buyer may have in such Purchased
      Loan
      and any Purchased Items solely related to such Purchased Loan and (b) with
      respect to such Purchased Loan, Buyer shall direct Custodian to release such
      Purchased Loan and any Purchased Items solely related to such Purchased Loan
      to
      the applicable Seller unless such release and termination would give rise to
      or
      perpetuate a Margin Deficit. Except as set forth in Section 16, a Seller shall
      give at least two (2) Business Days prior written notice to Buyer if such
      repurchase shall occur on any date other than the Repurchase Date in Section
      3(h).

    

    If
      such
      release and termination gives rise to or perpetuates a Margin Deficit, Buyer
      shall notify Sellers of the amount thereof and Sellers shall thereupon satisfy
      the Margin Call in the manner specified in Section 6.

     

    
      
        
        

      

      
        28

        
          

        

      

      
        
        

      

    

    11. RELIANCE

    

    With
      respect to any Transaction, Buyer may conclusively rely upon, and shall incur
      no
      liability to Sellers in acting upon, any request or other communication that
      Buyer reasonably believes to have been given or made by a person authorized
      to
      enter into a Transaction on Sellers’ behalf.

     

    12. REPRESENTATIONS
      AND WARRANTIES

    

    Each
      Seller represents and warrants to the Buyer that throughout the term of this
      Agreement:

    

    (a) Existence.
      Each
      Seller, (a) is a corporation or limited liability company, as applicable, duly
      organized, validly existing and in good standing under the laws of the state
      of
      its organization (b) has all requisite corporate or other power, and has all
      governmental licenses, authorizations, consents and approvals, necessary to
      own
      its assets and carry on its business as now being or as proposed to be
      conducted, except where the lack of such licenses, authorizations, consents
      and
      approvals would not be reasonably likely to have a Material Adverse Effect,
      (c)
      is qualified to do business and is in good standing in all other jurisdictions
      in which the nature of the business conducted by it makes such qualification
      necessary, except where failure so to qualify would not be reasonably likely
      (either individually or in the aggregate) to have a Material Adverse Effect,
      and
      (d) is in compliance in all material respects with all Requirements of
      Law.

    

    (b) Financial
      Condition.
      The
      Seller has heretofore furnished to the Buyer a copy of its audited consolidated
      balance sheets and the audited consolidated balance sheets of its consolidated
      Subsidiaries, each as at December 31, 2004 with the opinion thereon of Deloitte
      & Touche LLP, a copy of which has been provided to Buyer. The Seller has
      also heretofore furnished to the Buyer the related consolidated statements
      of
      income and retained earnings and of cash flows for the Seller and its
      consolidated Subsidiaries for the one year period ending December 31, 2004,
      setting forth comparative form the figures for the previous year. All such
      financial statements are complete and correct in all material respects and
      fairly present the consolidated financial condition of the Seller and its
      Subsidiaries and the consolidated results of their operations for the fiscal
      year ended on said date, all in accordance with GAAP applied on a consistent
      basis. Since December 31, 2004 there has been no development or event nor any
      prospective development or event which has had or should reasonably be expected
      to have a Material Adverse Effect.

    

    (c) Litigation.
      Except
      as set forth on Schedule
      5
      attached
      hereto, there are no actions, suits, arbitrations, investigations or proceedings
      pending or, to its knowledge, threatened against the Seller or any of its
      Subsidiaries or Affiliates or affecting any of the property thereof before
      any
      Governmental Authority, (i) as to which individually or in the aggregate there
      is a reasonable likelihood of an adverse decision which would be reasonably
      likely to have a Material Adverse Effect or (ii) which questions the validity
      or
      enforceability of any of the Program Documents or any action to be taken in
      connection with the transactions contemplated thereby and there is a reasonable
      likelihood of a Material Adverse Effect or adverse decision.

    

    (d) No
      Breach.
      Neither
      (a) the execution and delivery of the Program Documents, or (b) the consummation
      of the transactions therein contemplated in compliance with the terms and
      provisions thereof will conflict with or result in a breach of the charter
      or
      by-laws of the Seller, or any applicable law, rule or regulation, or any order,
      writ, injunction or decree of any Governmental Authority, or other material
      agreement or instrument to which the Seller, or any of its Subsidiaries, is
      a
      party or by which any of them or any of their property is bound or to which
      any
      of them or their property is subject, or constitute a default under any such
      material agreement or instrument, or (except for the Liens created pursuant
      to
      this Agreement) result in the creation or imposition of any Lien upon any
      property of the Seller or any of its Subsidiaries, pursuant to the terms of
      any
      such agreement or instrument.

    

    
      
        
        

      

      
        29

        
          

        

      

      
        
        

      

    

    (e) Action.
      The
      Seller has all necessary corporate or other power, authority and legal right
      to
      execute, deliver and perform its obligations under each of the Program Documents
      to which it is a party; the execution, delivery and performance by the Seller
      of
      each of the Program Documents to which it is a party has been duly authorized
      by
      all necessary corporate or other action on its part; and each Program Document
      has been duly and validly executed and delivered by the Seller and constitutes
      a
      legal, valid and binding obligation of the Seller, enforceable against the
      Seller in accordance with its terms.

    

    (f) Approvals.
      No
      authorizations, approvals or consents of, and no filings or registrations with,
      any Governmental Authority, or any other Person, are necessary for the
      execution, delivery or performance by the Seller of the Program Documents to
      which it is a party or for the legality, validity or enforceability thereof,
      except for filings and recordings in respect of the Liens created pursuant
      to
      this Agreement.

    

    (g) Margin
      Regulations.
      Neither
      the Sale of any Loan pursuant to a Transaction hereunder, nor the use of the
      proceeds thereof, will violate or be inconsistent with the provisions of
      Regulation T, U or X.

    

    (h) Taxes.
      The
      Seller and its Subsidiaries have filed all Federal income tax returns and all
      other material tax returns that are required to be filed by them and have paid
      all taxes due pursuant to such returns or pursuant to any assessment received
      by
      any of them, except for any such taxes, if any, that are being appropriately
      contested in good faith by appropriate proceedings diligently conducted and
      with
      respect to which adequate reserves have been provided. The charges, accruals
      and
      reserves on the books of the Seller and its Subsidiaries in respect of taxes
      and
      other governmental charges are, in the opinion of the Seller, adequate. Any
      taxes, fees and other governmental charges payable by Seller in connection
      with
      a Transaction and the execution and delivery of the Program Documents have
      been
      paid.

    

    (i) Investment
      Company Act.
      Neither
      the Seller nor any of its Subsidiaries is an “investment company”, or a company
“controlled” by an “investment company”, within the meaning of the Investment
      Company Act of 1940, as amended. The Seller is not subject to any Federal or
      state statute or regulation which limits its ability to incur
      indebtedness.

    

    (j) No
      Legal Bar.
      The
      execution, delivery and performance of this Agreement, the other Program
      Documents, the sales hereunder and the use of the proceeds thereof will not
      violate any Requirement of Law or Contractual Obligation of the Seller or of
      any
      of its Subsidiaries and will not result in, or require, the creation or
      imposition of any Lien (other than the Liens created hereunder) on any of its
      or
      their respective properties or revenues pursuant to any such Requirement of
      Law
      or Contractual Obligation.

    

    (k) Compliance
      with Law.
      No
      practice, procedure or policy employed or proposed to be employed by Seller
      in
      the conduct of its business violates any law, regulation, judgment, agreement,
      regulatory consent, order or decree applicable to it which, if enforced, would
      result in either a Material Adverse Effect with respect to Seller.

    

    (l) No
      Default.
      Neither
      the Seller nor any of its Subsidiaries is in default under or with respect
      to
      any of its Contractual Obligations in any respect which should reasonably be
      expected to have a Material Adverse Effect. No Default or Event of Default
      has
      occurred and is continuing.

    

    
      
        
        

      

      
        30

        
          

        

      

      
        
        

      

    

    (m) Chief
      Executive Office; Chief Operating Office.
      The
      Seller’s chief executive office and chief operating office on the Effective Date
      is located at 1301 Avenue of the Americas, 7th
      Floor,
      New York, New York 10019. 

    

    (n) Location
      of Books and Records.
      The
      location where the Seller keeps its books and records including all computer
      tapes and records relating to the Purchased Items is its chief executive office
      or chief operating office or the offices of the Custodian.

    

    (o) True
      and Complete Disclosure.
      The
      information, reports, financial statements, exhibits and schedules furnished
      in
      writing by or on behalf of the Seller or any of its Subsidiaries to the Buyer
      in
      connection with the negotiation, preparation or delivery of this Agreement
      and
      the other Program Documents or included herein or therein or delivered pursuant
      hereto or thereto, when taken as a whole, do not contain any untrue statement
      of
      material fact or omit to state any material fact necessary to make the
      statements herein or therein, in light of the circumstances under which they
      were made, not misleading. All written information furnished after the date
      hereof by or on behalf of the Seller or any of its Subsidiaries to the Buyer
      in
      connection with this Agreement and the other Program Documents and the
      transactions contemplated hereby and thereby will be true, complete and accurate
      in every material respect, or (in the case of projections) based on reasonable
      estimates, on the date as of which such information is stated or certified.
      There is no fact known to a Responsible Officer that, after due inquiry, could
      reasonably be expected to have a Material Adverse Effect that has not been
      disclosed herein, in the other Program Documents or in a report, financial
      statement, exhibit, schedule, disclosure letter or other writing furnished
      to
      the Buyer for use in connection with the transactions contemplated hereby or
      thereby.

    

    (p) Tangible
      Net Worth; Liquidity.
      NYMT’s
      Tangible Net Worth (increased for purposes of determining such amount by the
      outstanding principal amount of the Trust Preferred Obligations) is not less
      than $100,000,000, or such higher amount provided under any other repurchase,
      financing, credit or other similar facility entered into by the Sellers. NYMT
      has at all times Cash Equivalents in an amount not less than $5,000,000. The
      ratio of NYMT’s Total Indebtedness to Tangible Net Worth is not greater than
      20:1. The Sellers shall at all times have cash, Cash Equivalents and unused
      borrowing capacity on unencumbered assets that could be drawn against (taking
      into account required haircuts) under committed warehouse and repurchase
      facilities in an amount equal to not less than $10,000,000. NYMT shall have
      after-tax Net Income of at least $1.00 for each fiscal quarter.

    

    (q) ERISA.
      Each
      Plan to which the Seller or its Subsidiaries make direct contributions, and,
      to
      the knowledge of the Seller, each other Plan and each Multiemployer Plan, is
      in
      compliance in all material respects with, and has been administered in all
      material respects in compliance with, the applicable provisions of ERISA, the
      Code and any other Federal or State law. No event or condition has occurred
      and
      is continuing as to which the Seller would be under an obligation to furnish
      a
      report to the Buyer under Section 13(a)(v) hereof.

    

    (r) Licenses.
      The
      Buyer will not be required as a result of purchasing the Loans to be licensed,
      registered or approved or to obtain permits or otherwise qualify (i) to do
      business in any state in which it currently so required or (ii) under any state
      or other jurisdiction’s consumer lending, fair debt collection or other
      applicable state or other jurisdiction’s statute or regulation.

    

    (s) Relevant
      States.
      Schedule
      3
      sets
      forth all of the states or other jurisdictions (the “Relevant
      States”)
      in
      which the Seller originates Loans in its own name or through brokers on the
      date
      of this Agreement.

    

    
      
        
        

      

      
        31

        
          

        

      

      
        
        

      

    

    (t) True
      Sales.
      Any and
      all interest of a Qualified Originator in, to and under any Mortgage funded
      in
      the name of or acquired by such Qualified Originator or seller which is an
      Affiliate of the Seller has been sold, transferred, conveyed and assigned to
      the
      Seller pursuant to a legal sale and such Qualified Originator retains no
      interest in such Loan, and if so requested by the Buyer, such sale is covered
      by
      an opinion of counsel to that effect in form and substance acceptable to the
      Buyer.

    

    (u) No
      Burdensome Restrictions.
      No
      Requirement of Law or Contractual Obligation of the Seller or any of its
      Subsidiaries has a Material Adverse Effect.

    

    (v) Subsidiaries.
      All of
      the Subsidiaries of the Seller at the date hereof are listed on Schedule
      4
      to this
      Agreement.

    

    (w) Origination
      and Acquisition of Loans.
      The
      Loans were originated or acquired by the Seller, and the origination and
      collection practices used by the Seller or Qualified Originator, as applicable,
      with respect to the Loans have been, in all material respects legal, proper,
      prudent and customary in the residential mortgage loan origination and servicing
      business, and in accordance with the Underwriting Guidelines. With respect
      to
      Loans acquired by the Seller, all such Loans are in conformity with the
      Underwriting Guidelines. Each of the Loans complies with the representations
      and
      warranties listed in Schedule
      1-A
      or
Schedule
      1-B
      hereto,
      as applicable.

    

    (x) No
      Adverse Selection.
      The
      Seller used no selection procedures that identified the Loans as being less
      desirable or valuable than other comparable Loans owned by the
      Seller.

    

    (y) Seller
      Solvent; Fraudulent Conveyance.
      As of
      the date hereof and immediately after giving effect to each Transaction, the
      fair value of the assets of the Seller is greater than the fair value of the
      liabilities (including, without limitation, contingent liabilities if and to
      the
      extent required to be recorded as a liability on the financial statements of
      the
      Seller in accordance with GAAP) of the Seller and the Seller is and will be
      solvent, is and will be able to pay its debts as they mature and does not and
      will not have an unreasonably small capital to engage in the business in which
      it is engaged and proposes to engage. Seller does not intend to incur, or
      believe that it has incurred, debts beyond its ability to pay such debts as
      they
      mature. Seller is not contemplating the commencement of insolvency, bankruptcy,
      liquidation or consolidation proceedings or the appointment of a receiver,
      liquidator, conservator, trustee or similar official in respect of Seller or
      any
      of its assets. Seller is not transferring any Loans with any intent to hinder,
      delay or defraud any of its creditors.

    

    (z) No
      Broker.
      Seller
      has not dealt with any broker, investment banker, agent, or other person, except
      for Buyer, who may be entitled to any commission or compensation in connection
      with the sale of Purchased Loans pursuant to this Agreement; provided,
      that if
      Seller has dealt with any broker, investment banker, agent, or other person,
      except for Buyer, who may be entitled to any commission or compensation in
      connection with the sale of Purchased Loans pursuant to this Agreement, such
      commission or compensation shall have been paid in full by Seller.

    

    (aa) MERS.
      The
      Seller is a member
      of
      MERS in good standing.

    

    (bb) Insured
      Closing Letter.
      As of
      the date hereof and as of the date of each delivery of a Wet Loan, the
      Settlement Agent has obtained an Insured Closing Letter, closing protection
      letter or similar authorization letter from a nationally recognized title
      insurance company approved by the Buyer, copies of which shall be delivered
      by
      the Seller to the Custodian prior to the Purchase Date.

    

    
      
        
        

      

      
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    (cc) Escrow
      Agreement.
      As of
      the date hereof and as of the date of each delivery of a Wet Loan, the
      Settlement Agent has executed an escrow agreement or letter stating that in
      the
      event of a Rescission of or if for any reason the Loan fails to fund on a given
      day, the party conducting the closing is holding all funds which would have
      been
      disbursed on behalf of the Mortgagor as agent for the benefit of the Buyer
      and
      such funds shall be redeposited in the Disbursement Account for benefit of
      the
      Buyer not later than one Business Day after the date of Rescission or other
      failure of the Loan to fund on a given day.

     

    13. COVENANTS
      OF SELLER

    

    Each
      Seller covenants and agrees with Buyer that during the term of this
      Agreement:

    

    (a) Financial
      Statements and Other Information; Financial Covenants.

    

    Seller
      shall deliver to the Buyer:

    

    (i) As
      soon
      as available and in any event within forty-five (45) days after the end of
      each
      of the first three quarterly fiscal periods of each fiscal year of NYMT, a
      certification in the form of Exhibit
      A,
      duly
      executed by NYMT, together with the consolidated balance sheets of NYMT as
      at
      the end of such period, setting forth in comparative form the figures for the
      previous year, accompanied by a certificate of a Responsible Officer of NYMT,
      which certificate shall state that said consolidated financial statements fairly
      present the consolidated financial condition and results of operations of NYMT
      in accordance with GAAP, consistently applied, as at the end of, and for, such
      period (subject to normal year-end audit adjustments);

    

    (ii) From
      time
      to time such other information regarding the financial condition, operations,
      or
      business of the Seller as the Buyer may reasonably request; and

    

    (iii) As
      soon
      as reasonably possible, and in any event within thirty (30) days after a
      Responsible Officer knows, or with respect to any Plan or Multiemployer Plan
      to
      which the Seller, or any Subsidiaries of the Seller makes direct contributions,
      has reason to believe, that any of the events or conditions specified below
      with
      respect to any Plan or Multiemployer Plan has occurred or exists, a statement
      signed by a senior financial officer of the Seller setting forth details
      respecting such event or condition and the action, if any, that the Seller
      or
      its ERISA Affiliate proposes to take with respect thereto (and a copy of any
      report or notice required to be filed with or given to PBGC by the Seller or
      an
      ERISA Affiliate with respect to such event or condition):

     

    a. any
      reportable event, as defined in Section 4043(b) of ERISA and the regulations
      issued thereunder, with respect to a Plan, as to which PBGC has not by
      regulation or otherwise waived the requirement of Section 4043(a) of ERISA
      that
      it be notified within thirty (30) days of the occurrence of such event (provided
      that a failure to meet the minimum funding standard of Section 412 of the Code
      or Section 302 of ERISA, including, without limitation, the failure to make
      on
      or before its due date a required installment under Section 412(m) of the Code
      or Section 302(e) of ERISA, shall be a reportable event regardless of the
      issuance of any waivers in accordance with Section 412(d) of the Code); and
      any
      request for a waiver under Section 412(d) of the Code for any Plan;

    

    
      
        
        

      

      
        33

        
          

        

      

      
        
        

      

    

    b. the
      distribution under Section 4041(c) of ERISA of a notice of intent to terminate
      any Plan or any action taken by the Seller or an ERISA Affiliate to terminate
      any Plan;

    

    c. the
      institution by PBGC of proceedings under Section 4042 of ERISA for the
      termination of, or the appointment of a trustee to administer, any Plan, or
      the
      receipt by the Seller or any ERISA Affiliate of a notice from a Multiemployer
      Plan that such action has been taken by PBGC with respect to such Multiemployer
      Plan;

    

    d. the
      complete or partial withdrawal from a Multiemployer Plan by the Seller or any
      ERISA Affiliate that results in liability under Section 4201 or 4204 of ERISA
      (including the obligation to satisfy secondary liability as a result of a
      purchaser default) or the receipt by the Seller or any ERISA Affiliate of notice
      from a Multiemployer Plan that it is in reorganization or insolvency pursuant
      to
      Section 4241 or 4245 of ERISA or that it intends to terminate or has terminated
      under Section 4041A of ERISA;

    

    e. the
      institution of a proceeding by a fiduciary of any Multiemployer Plan against
      the
      Seller or any ERISA Affiliate to enforce Section 515 of ERISA, which proceeding
      is not dismissed within 30 days; and

    

    f. the
      adoption of an amendment to any Plan that, pursuant to Section 401(a)(29) of
      the
      Code or Section 307 of ERISA, would result in the loss of tax-exempt status
      of
      the trust of which such Plan is a part if the Seller or an ERISA Affiliate
      fails
      to timely provide security to such Plan in accordance with the provisions of
      said Sections.

    

    The
      Seller will furnish to the Buyer, at the time it furnishes each set of financial
      statements pursuant to paragraphs (a) and (b) above, a certificate of a
      Responsible Officer of the Seller to the effect that, to the best of such
      Responsible Officer’s knowledge, the Seller during such fiscal period or year
      has observed or performed all of its covenants and other agreements, and
      satisfied every material condition, contained in this Agreement and the other
      Program Documents to be observed, performed or satisfied by it, and that such
      Responsible Officer has obtained no knowledge of any Default or Event of Default
      except as specified in such certificate (and, if any Default or Event of Default
      has occurred and is continuing, describing the same in reasonable detail and
      describing the action the Seller has taken or proposes to take with respect
      thereto).

    

    (b) Litigation.
      The
      Seller will promptly, and in any event within seven (7) calendar days after
      service process on any of the following, give to the Buyer notice of all legal
      or arbitrable proceedings affecting the Seller or any of its Subsidiaries that
      questions or challenges the validity or enforceability of any of the Program
      Documents or as to which there is a reasonable likelihood of an adverse
      determination would result in a Material Adverse Effect.

    

    (c) Existence,
      Etc.
      Each of
      the Seller and its Subsidiaries will:

    

    (i) preserve
      and maintain its legal existence and all of its material rights, privileges,
      licenses and franchises;

    

    (ii) comply
      with the requirements of all applicable laws, rules, regulations and orders
      of
      Governmental Authorities (including, without limitation, truth in lending,
      real
      estate settlement procedures and all environmental laws) if failure to comply
      with such requirements would be reasonably likely (either individually or in
      the
      aggregate) to have a Material Adverse Effect;

    

    
      
        
        

      

      
        34

        
          

        

      

      
        
        

      

    

    (iii) keep
      adequate records and books of account, in which complete entries will be made
      in
      accordance with GAAP consistently applied;

    

    (iv) not
      move
      its chief executive office or chief operating office from the addresses referred
      to in Section 12(m) unless it shall have provided the Buyer 30 days prior
      written notice of such change;

    

    (v) pay
      and
      discharge all taxes, assessments and governmental charges or levies imposed
      on
      it or on its income or profits or on any of its Property prior to the date
      on
      which penalties attach thereto, except for any such tax, assessment, charge
      or
      levy the payment of which is being contested in good faith and by proper
      proceedings and against which adequate reserves are being maintained;
      and

    

    (vi) permit
      representatives of the Buyer, during normal business hours upon three (3)
      Business Days’ prior written notice at a mutually desirable time or at any time
      during the continuance of an Event of Default, to examine, copy and make
      extracts from its books and records, to inspect any of its Properties, and
      to
      discuss its business and affairs with its officers, all to the extent reasonably
      requested by the Buyer.

    

    (d) Prohibition
      of Fundamental Changes.
      Seller
      shall not at any time, directly or indirectly, (i) enter into any transaction
      of
      merger or consolidation or amalgamation, or liquidate, wind up or dissolve
      itself (or suffer any liquidation, winding up or dissolution) or sell all or
      substantially all of its assets, provided, that Borrower may merge or
      consolidate with (a) any wholly owned subsidiary of the Borrower, or (b) any
      other Person if the Borrower is the surviving corporation; and provided further,
      that if after giving effect thereto, no default would exist hereunder without
      Buyer’s prior consent; or (ii) form or enter into any partnership, joint
      venture, syndicate or other combination which would have a Material Adverse
      Effect with respect to Seller; provided, that the Seller may merge or
      consolidate with (a) any wholly owned subsidiary of the Seller, or (b) any
      other
      person if the Seller is the surviving corporation; and provided further, that
      if
      after giving effect to such merger or consolidation, no default would exist
      hereunder;

    

    (e) Margin
      Deficit.
      If at
      any time there exists a Margin Deficit, the Seller shall cure the same in
      accordance with Section 6 hereof.

    

    (f) Notices.
      Seller
      shall give notice to Buyer promptly in writing of any of the
      following:

    

    (i) Upon
      the
      Seller becoming aware of, and in any event within one (1) Business Day after
      the
      occurrence of any Default, Event of Default or any event of default or default
      under any Program Document or other material agreement of the
      Seller;

    

    (ii) upon,
      and
      in any event within three (3) Business Days after, service of process on the
      Seller or any of its Subsidiaries, or any agent thereof for service of process,
      in respect of any legal or arbitrable proceedings affecting the Seller or any
      of
      its Subsidiaries (i) that questions or challenges the validity or enforceability
      of any of the Program Documents or (ii) in which the amount in controversy
      exceeds $1,000,000;

    

    
      
        
        

      

      
        35

        
          

        

      

      
        
        

      

    

    (iii) upon
      the
      Seller becoming aware of any default related to any Purchased Items, any
      Material Adverse Effect and any event or change in circumstances which should
      reasonably be expected to have a Material Adverse Effect;

    

    (iv) upon
      the
      Seller becoming aware during the normal course of its business that the
      Mortgaged Property in respect of any Loan or Loans with an aggregate unpaid
      principal balance of at least $1,000,000 has been damaged by waste, fire,
      earthquake or earth movement, windstorm, flood, tornado or other casualty,
      or
      otherwise damaged so as to materially and adversely affect the value of such
      Loan;

    

    (v) upon
      the
      entry of a judgment or decree against the Seller or any of its Subsidiaries
      in
      an amount in excess of $1,000,000;

    

    (vi) any
      material change in the insurance coverage required of Seller or any other Person
      pursuant to any Program Document, with copy of evidence of same
      attached;

    

    (vii) any
      material dispute, licensing issue, litigation, investigation, proceeding or
      suspension between Seller or its Subsidiaries, on the one hand, and any
      Governmental Authority or any other Person; and

    

    (viii) any
      material change in accounting policies or financial reporting practices of
      Seller or its Subsidiaries.

    

    Each
      notice pursuant to this Section 13(f) (other than (vi) above) shall be
      accompanied by a statement of a Responsible Officer of the Seller, setting
      forth
      details of the occurrence referred to therein and stating what action the Seller
      has taken or proposes to take with respect thereto.

    

    (g) Servicing.
      Except
      as provided in Section 43, the Seller shall not permit any Person other than
      the
      Seller to service Loans without the prior written consent of the Buyer, which
      consent shall not be unreasonably withheld.

    

    (h) Underwriting
      Guidelines.
      Seller
      shall not permit any material modifications to be made to the Underwriting
      Guidelines that will impact either the Buyer or the Purchased Loans without
      the
      prior consent of Buyer (such consent not to be unreasonably withheld). Seller
      agrees to deliver to Buyer copies of the Underwriting Guidelines in the event
      that any changes are made to the Underwriting Guidelines following the Closing
      Date; provided that Seller may deliver such copies by Electronic
      Transmission.

    

    (i) Lines
      of Business.
      Seller
      shall not engage to any substantial extent in any line or lines of business
      activity other than the businesses generally carried on by it as of the
      Effective Date.

    

    (j) Transactions
      with Affiliates.
      The
      Seller will not (i) enter into any transaction, including, without limitation,
      any purchase, sale, lease or exchange of property or the rendering of any
      service, with any Affiliate unless such transaction is (a) otherwise permitted
      under this Agreement, (b) in the ordinary course of the Seller’s business and
      (c) upon fair and reasonable terms no less favorable to the Seller than it
      would
      obtain in a comparable arm’s length transaction with a Person which is not an
      Affiliate, or (ii) make a payment that is not otherwise permitted by this
      Section 13(j) to any Affiliate.

    

    (k) Defense
      of Title.
      Seller
      warrants and will defend the right, title and interest of Buyer in and to all
      Purchased Items against all adverse claims and demands of all Persons
      whomsoever.

    

    
      
        
        

      

      
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    (l) Preservation
      of Purchased Items.
      Seller
      shall do all things necessary to preserve the Purchased Items so that such
      Purchased Items remain subject to a first priority perfected security interest
      hereunder. Without limiting the foregoing, Seller will comply with all
      applicable laws, rules and regulations of any Governmental Authority applicable
      to Seller or relating to the Purchased Items and cause the Purchased Items
      to
      comply with all applicable laws, rules, regulations of any such Governmental
      Authority. Seller will not allow any default to occur for which Seller is
      responsible under any Purchased Items or any Program Documents and Seller shall
      fully perform or cause to be performed when due all of its obligations under
      any
      Purchased Items or the Program Documents.

    

    (m) No
      Assignment.
      Except
      as permitted herein, Seller shall not sell, assign, transfer or otherwise
      dispose of, or grant any option with respect to, or pledge, hypothecate or
      grant
      a security interest in or lien on or otherwise encumber (except pursuant to
      the
      Program Documents), any of the Purchased Loans or any interest therein,
provided
      that
      this Section 13(m) shall not prevent any contribution, assignment, transfer
      or
      conveyance of Purchased Loans in accordance with the Program
      Documents.

    

    (n) Limitation
      on Sale of Assets.
      Seller
      shall not convey, sell, lease, assign, transfer or otherwise dispose of
      (collectively, “Transfer”), all or substantially all of its Property, business
      or assets (including, without limitation, receivables and leasehold interests)
      whether now owned or hereafter acquired or allow any Subsidiary to Transfer
      substantially all of its assets to any Person; provided, that the Seller may
      after prior written notice to the Buyer allow such action with respect to any
      Subsidiary which is not a material part of the Seller’s overall business
      operations.

    

    (o) Limitation
      on Distributions.
      Without
      the Buyer’s consent, the Seller shall not make any payment on account of, or set
      apart assets for a sinking or other analogous fund for the purchase, redemption,
      defeasance, retirement or other acquisition of, any stock or senior or
      subordinate debt of the Seller, whether now or hereafter outstanding, or make
      any other distribution in respect thereof, either directly or indirectly,
      whether in cash or property or in obligations of the Seller; provided that,
      prior to the occurrence of a Default or Event of Default, NYMT shall be
      permitted to (i) make distributions that are required to be made pursuant to
      the
      Code in order to maintain its status as a REIT, and (ii) make distributions
      in
      connection with Trust Preferred Obligations.

    

    (p) Maintenance
      of Liquidity.
      The
      Seller shall insure that, at all times, NYMT has Cash Equivalents in an amount
      of not less than $5,000,000. The Seller shall insure that it has Cash
      Equivalents and unused borrowing capacity on unencumbered assets that could
      be
      drawn against (taking into account required haircuts) under committed warehouse
      and repurchase facilities in an amount equal to not less than
      $10,000,000.

    

    (q) Maintenance
      of Tangible Net Worth.
      The
      Seller shall not permit NYMT’s Tangible Net Worth (increased for purposes of
      determining such amount by the outstanding principal amount of the Trust
      Preferred Obligations) at any time to be less than $100,000,000, or such higher
      amount provided under any other repurchase, financing, credit or other similar
      facility entered into by Seller.

    

    (r) Maintenance
      of Ratio of Total Indebtedness to Tangible Net Worth.
      The
      Seller shall not permit the ratio of NYMT’s Total Indebtedness to Tangible Net
      Worth at any time to be greater than 20:1; and NYMT shall have after-tax Net
      Income of at least $1.00 for each fiscal quarter.

    

    (s) Restricted
      Payments.
      The
      Seller shall not make any Restricted Payments following an Event of
      Default.

    

    
      
        
        

      

      
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    (t) Servicing
      Transmission.
      The
      Seller shall provide to the Buyer on a monthly basis no later than 11:00 a.m.
      New York City time two (2) Business Days prior to each Repurchase Date (or
      such
      other day requested by Buyer) (i) the Servicing Transmission, on a loan-by-loan
      basis and in the aggregate, with respect to the Loans serviced hereunder by
      the
      Seller which were funded prior to the first day of the current month,
      summarizing the Seller’s delinquency and loss experience with respect to Loans
      serviced by the Seller (including, in the case of the Loans, the following
      categories: current, 30-59, 60-89, 90-119, 120-149 and 150+) and (ii) any other
      information reasonably requested by the Buyer with respect to the
      Loans.

    

    (u) No
      Amendment or Compromise.
      Without
      Buyer’s prior written consent, none of Seller or those acting on Seller’s behalf
      shall amend or modify, or waive any term or condition of, or settle or
      compromise any claim in respect of, any item of the Purchased Loans, any related
      rights or any of the Program Documents, provided that Seller may amend or modify
      a Loan if such amendment or modification does not affect the amount or timing
      of
      any payment of principal or interest, extend its scheduled maturity date, modify
      its interest rate, or constitute a cancellation or discharge of its outstanding
      principal balance and does not materially and adversely affect the security
      afforded by the real property, furnishings, fixtures, or equipment securing
      the
      Loan.

    

    (v) Maintenance
      of Property; Insurance.
      The
      Seller shall keep all property useful and necessary in its business in good
      working order and condition. The Seller shall maintain errors and omissions
      insurance and/or mortgage impairment insurance and blanket bond coverage in
      such
      amounts as are in effect on the Effective Date (as disclosed to Buyer in
      writing) and shall not reduce such coverage without the written consent of
      the
      Buyer, and shall also maintain such other insurance with financially sound
      and
      reputable insurance companies, and with respect to property and risks of a
      character usually maintained by entities engaged in the same or similar business
      similarly situated, against loss, damage and liability of the kinds and in
      the
      amounts customarily maintained by such entities.

    

    (w) Further
      Identification of Purchased Items.
      The
      Seller will furnish to the Buyer from time to time statements and schedules
      further identifying and describing the Purchased Items and such other reports
      in
      connection with the Purchased Items as the Buyer may reasonably request, all
      in
      reasonable detail.

    

    (x) Loan
      Determined to be Defective.
      Upon
      discovery by Seller or the Buyer of any breach of any representation or warranty
      listed on Schedule
      1-A
      or
Schedule
      1-B
      hereto
      applicable to any Loan, the party discovering such breach shall promptly give
      notice of such discovery to the other.

    

    (y) Interest
      Rate Protection Agreements.
      Upon
      the Buyer’s request, the Seller shall deliver to the Buyer any and all
      information relating to Interest Rate Protection Agreements.

    

    (z) Certificate
      of a Responsible Officer of the Seller.
      At the
      time that the Seller delivers financial statements to the Buyer in accordance
      with Section 13(a) hereof, the Seller shall forward to the Buyer a certificate
      of a Responsible Officer of the Seller which demonstrates that the Seller is
      in
      compliance with the covenants set forth in Sections 13(p), (q), (r) and
      (aa).

    

    (aa) Alternative
      Purchase or Collateral.
      The
      Seller shall not cause any Eligible Loan which is at any time purchased
      hereunder to be subsequently purchased or used as collateral pursuant to any
      other financing, note purchase, loan warehouse, repurchase or similar facility
      maintained by the Seller with any third party without the express written
      consent of the Buyer, unless such Loan is no longer an Eligible
      Loan.

    

    
      
        
        

      

      
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    (bb) Maintenance
      of Papers, Records and Files.
      Seller
      shall acquire, and Seller shall build, maintain and have available, a complete
      file in accordance with lending industry custom and practice for each Purchased
      Loan. Seller will maintain all such Records not in the possession of Custodian
      in good and complete condition in accordance with industry practices and
      preserve them against loss or destruction.

    

    (i) Seller
      shall collect and maintain or cause to be collected and maintained all Records
      relating to the Purchased Loans in accordance with industry custom and practice,
      including those maintained pursuant to the preceding subsection, and all such
      Records shall be in Custodian’s possession unless Buyer otherwise approves.
      Seller will not cause or authorize any such papers, records or files that are
      an
      original or an only copy to leave Custodian’s possession, except for individual
      items removed in connection with servicing a specific Loan, in which event
      Seller will obtain or cause to be obtained a receipt from the Custodian for
      any
      such paper, record or file.

    

    (ii) For
      so
      long as Buyer has an interest in or lien on any Purchased Loan, Seller will
      hold
      or cause to be held all related Records in trust for Buyer. Seller shall notify,
      or cause to be notified, every other party holding any such Records of the
      interests and liens granted hereby.

    

    (iii) Upon
      reasonable advance notice from Custodian or Buyer, Seller shall (x) make any
      and
      all such Records available to Custodian or Buyer to examine any such Records,
      either by its own officers or employees, or by agents or contractors, or both,
      and make copies of all or any portion thereof, (y) permit Buyer or its
      authorized agents to discuss the affairs, finances and accounts of Seller with
      its respective chief operating officer and chief financial officer and to
      discuss the affairs, finances and accounts of Seller with its independent
      certified public accountants.

    

    (cc) Maintenance
      of Licenses.
      Seller
      shall (i) maintain all licenses, permits or other approvals necessary for Seller
      to conduct its business and to perform its obligations under the Program
      Documents, (ii) remain in good standing under the laws of each state in which
      it
      conducts business or any Mortgage Property is located, and (iii) shall conduct
      its business strictly in accordance with applicable law.

    

    (dd) Taxes,
      Etc.
      The
      Seller shall pay and discharge or cause to be paid and discharged, when due,
      all
      taxes, assessments and governmental charges or levies imposed upon the Seller
      or
      upon its income and profits or upon any of its property, real, personal or
      mixed
      (including without limitation, the Purchased Loans) or upon any part thereof,
      as
      well as any other lawful claims which, if unpaid, might become a Lien upon
      such
      properties or any part thereof, except for any such taxes, assessments and
      governmental charges, levies or claims as are appropriately contested in good
      faith by appropriate proceedings diligently conducted and with respect to which
      adequate reserves are provided. The Seller shall file on a timely basis all
      federal, and material state and local tax and information returns, reports
      and
      any other information statements or schedules required to be filed by or in
      respect of it.

    

    (ee) Use
      of
      Custodian.
      Without
      the prior written consent of Buyer, Seller shall use no third party custodian
      as
      document custodian other than the Custodian with respect to third party
      purchasers, prospective third party purchasers, lenders and prospective third
      party lenders with respect to loans of the same type as the Purchased
      Loans.

    

    (ff) Change
      of Fiscal Year.
      Seller
      will not at any time, directly or indirectly, except upon ninety (90) days’
prior written notice to Buyer, change the date on which Seller’s fiscal year
      begins from Seller’s current fiscal year beginning date.

    

    
      
        
        

      

      
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    (gg) Delivery
      of Servicing Rights.
      With
      respect to the Servicing Rights of each related Loan, Seller shall deliver
      such
      Servicing Rights to Buyer on the related Purchase Date. With
      respect to the Servicing Records and the physical servicing of the Purchased
      Loans, the Seller shall deliver such items to the designee of Buyer, within
      (75)
      days of a Purchase Date, unless otherwise stated in writing by Buyer; provided
      that on each Repurchase Date that is subject to a new Transaction, such delivery
      requirement is deemed restated for such new Transaction (and the immediately
      preceding delivery requirement is deemed to be rescinded) in the absence of
      directions to the contrary from Buyer, and a new 75-day period is deemed to
      commence as of such Repurchase Date. Seller’s transfer of the Servicing Rights
      and Servicing Records under this Section shall be in accordance with customary
      standards in the industry.

    

    (hh) Establishment
      of Collection Account.
      Prior
      to the initial Purchase Date, Seller shall establish the Collection Account
      for
      the sole and exclusive benefit of the Buyer. The Seller shall segregate all
      amounts collected on account of the Purchased Loans, to be held in trust for
      the
      benefit of the Buyer, and shall remit such collections in accordance with the
      Buyer’s written instructions. No amounts deposited into such account shall be
      removed without the Buyer’s prior written consent. The Seller shall follow the
      instructions of Buyer with respect to the Purchased Loans and deliver to Buyer
      any information with respect to the Purchased Loans reasonably requested by
      Buyer. Seller shall deposit or credit to the Collection Account all items to
      be
      deposited or credited thereto irrespective of any right of setoff or
      counterclaim arising in favor of it (or any third party claiming through it)
      under any other agreement or arrangement.

    

    (ii) MERS. 
      Seller
      will comply in all material respects with the rules and procedures of MERS
      in
      connection with the servicing of the MERS Loans for as long as such Purchased
      Loans are registered with MERS.

     

    14. REPURCHASE
      DATE PAYMENTS

    

    On
      each
      Repurchase Date, Sellers shall remit or shall cause to be remitted to Buyer
      the
      Repurchase Price together with any other Obligations then due and
      payable.

     

    15. REPURCHASE
      OF PURCHASED LOANS

    

    Upon
      discovery by a Seller of a breach of any of the representations and warranties
      set forth on Schedule
      1-A
      or
Schedule
      1-B
      to this
      Agreement, as applicable, Sellers
      shall give prompt written notice thereof to Buyer. Upon any such discovery
      by
      Buyer, Buyer will notify Sellers. It is understood and agreed that the
      representations and warranties set forth in Schedule
      1-A
      and
Schedule
      1-B
      with
      respect to the Purchased Loans shall survive delivery of the respective Mortgage
      Files to the Custodian and shall inure to the benefit of Buyer. The fact that
      Buyer has conducted or has failed to conduct any partial or complete due
      diligence investigation in connection with its purchase of any Purchased Loan
      shall not affect Buyer’s right to demand repurchase as provided under this
      Agreement. Sellers shall, within two (2) Business Days of the earlier of a
      Seller’s discovery or a Seller receiving notice with respect to any Purchased
      Loan of (i) any breach of a representation or warranty contained in Schedule
      1-A
      or
Schedule
      1-B,
      as
      applicable, or (ii) any failure to deliver any of the items required to be
      delivered as part of the Mortgage File within the time period required for
      delivery pursuant to the Custodial Agreement, promptly cure such breach or
      delivery failure in all material respects. If within two (2) Business Days
      after
      the earlier of a Seller’s discovery of such breach or delivery failure or a
      Seller receiving notice thereof that such breach or delivery failure has not
      been remedied by Sellers, Sellers shall promptly upon receipt of written
      instructions from Buyer, at Buyer’s option, either (i) repurchase such Purchased
      Loan at a purchase price equal to the Repurchase Price with respect to such
      Purchased Loan by wire transfer to the account designated by Buyer, or (ii)
      transfer comparable Substitute Loans to Buyer, as provided in Section 16
      hereof.

     

    
      
        
        

      

      
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    16. SUBSTITUTION

    

    Sellers
      may, subject to agreement with and acceptance by Buyer upon one (1) Business
      Day’s notice, substitute other assets which are substantially the same as the
      Purchased Loans (the “Substitute
      Loans”)
      for
      any Purchased Loans. Such substitution shall be made by transfer to Buyer of
      such Substitute Loans and transfer to Sellers of such Purchased Loans (the
      “Reacquired
      Loans”)
      along
      with the other information to be provided with respect to the applicable
      Substitute Loan as described in the form of Transaction Notice. Upon
      substitution, the Substitute Loans shall be deemed to be Purchased Loans, the
      Reacquired Loans shall no longer be deemed Purchased Loans, Buyer shall be
      deemed to have terminated any security interest that Buyer may have had in
      the
      Reacquired Loans and any Purchased Items solely related to such Reacquired
      Loans
      to Sellers unless such termination and release would give rise to or perpetuate
      a Margin Deficit. Concurrently with any termination and release described in
      this Section 16, Buyer shall execute and deliver to Sellers upon request and
      Buyer hereby authorizes Sellers to file and record such documents as Sellers
      may
      reasonably deem necessary or advisable in order to evidence such termination
      and
      release.

     

    17. ACCELERATION
      OF REPURCHASE DATE

    

    The
      Buyer
      may, at any time, terminate this Agreement by providing written notice to the
      Sellers. Within thirty (30) calendar days of receipt of such notice, the Sellers
      agree to repurchase all Purchased Loans at the Repurchase Price and to satisfy
      all of its Obligations hereunder.

     

    18. EVENTS
      OF DEFAULT

    

    Each
      of
      the following events shall constitute an Event of Default (an “Event of
      Default”) hereunder:

    

    (a) Sellers
      fail to transfer the Purchased Loans to Buyer on the applicable Purchase Date
      (provided Buyer has tendered the related Purchase Price);

    

    (b) Sellers
      either fail to repurchase the Purchased Loans on the applicable Repurchase
      Date
      or fail to perform its obligations under Section 6;

    

    (c) Sellers
      shall default in the payment of any other amount payable by it hereunder or
      under any other Program Document after notification by the Buyer of such
      default, and such default shall have continued unremedied for three Business
      Days.

    

    (d) any
      representation, warranty or certification made or deemed made herein or in
      any
      other Program Document by a Seller or any certificate furnished to the Buyer
      pursuant to the provisions thereof, shall prove to have been false or misleading
      in any material respect as of the time made or furnished (other than the
      representations and warranties set forth in Schedule
      1-A
      or
Schedule
      1-B,
      which
      shall be considered solely for the purpose of determining the Market Value
      of
      the Loans; unless (i) such Seller shall have made any such representations
      and
      warranties with knowledge that they were materially false or misleading at
      the
      time made or (ii) any such representations and warranties have been determined
      by the Buyer in its sole discretion to be materially false or misleading on
      a
      regular basis).

    

    (e) the
      Sellers shall fail to comply with the requirements of Section 13(c)(i),
      Section 13(d), Section 13(f)(i) or (iii), Sections 13(k) through
      13(r) or Section 13(v) hereof; or the Sellers shall default in the
      performance of its obligations under Section 13(e) hereof, and such default
      shall continue unremedied for a period of one (1) Business Day; or the Sellers
      shall otherwise fail to observe or perform any other agreement contained in
      this
      Agreement or any other Program Document and such failure to observe or perform
      shall continue unremedied for a period of five (5) Business Days.

    

    
      
        
        

      

      
        41

        
          

        

      

      
        
        

      

    

    (f) any
      final, judgment or judgments or order or orders for the payment of money in
      excess of $2,000,000 in the aggregate (to the extent that it is, in the
      reasonable determination of Buyer, uninsured and provided that any insurance
      or
      other credit posted in connection with an appeal shall not be deemed insurance
      for these purposes) shall be rendered against any Seller or any of Seller’s
      Subsidiaries by one or more courts, administrative tribunals or other bodies
      having jurisdiction over them and the same shall not be discharged (or
      provisions shall not be made for such discharge), satisfied, or bonded, or
      a
      stay of execution thereof shall not be procured, within sixty (60) days from
      the
      date of entry thereof and neither Seller nor any of Sellers’ Subsidiaries, as
      applicable, shall not, within said period of sixty (60) days, appeal therefrom
      and cause the execution thereof to be stayed during such appeal;

    

    (g) any
      Seller shall admit in writing its inability to, or intention not to, perform
      any
      of such Seller’s Obligations, or Buyer shall have determined in good faith that
      a Seller is unable to meet its commitments;

    

    (h) any
      Seller or any of Sellers’ Subsidiaries files a voluntary petition in bankruptcy,
      seeks relief under any provision of any bankruptcy, reorganization, moratorium,
      delinquency, arrangement, insolvency, readjustment of debt, dissolution or
      liquidation law of any jurisdiction whether now or subsequently in effect;
      or
      consents to the filing of any petition against it under any such law; or
      consents to the appointment of or taking possession by a custodian, receiver,
      conservator, trustee, liquidator, sequestrator or similar official for any
      Seller or any of Sellers’ Subsidiaries, or of all or any part of any Seller’s or
      such Sellers’ Subsidiaries’ Property; or makes an assignment for the benefit of
      any Seller or Sellers’ Subsidiaries’ creditors;

    

    (i) A
      custodian, receiver, conservator, liquidator, trustee, sequestrator or similar
      official for any Seller, or any of Sellers’ Subsidiaries, or of any of Sellers’
or any of Sellers’ Subsidiaries’ respective Property (as a debtor or creditor
      protection procedure), is appointed or takes possession of such Property; or
      a
      Seller or any of Sellers’ Subsidiaries generally fails to pay Sellers’ or
      Sellers’ Subsidiaries’ debts as they become due; or any Seller or any of
      Sellers’ Subsidiaries is adjudicated bankrupt or insolvent; or an order for
      relief is entered under the Federal Bankruptcy Code, or any successor or similar
      applicable statute, or any administrative insolvency scheme, against any Seller
      or any of Sellers’ Subsidiaries; or any of Sellers’ or Sellers’ Subsidiaries’
Property is sequestered by court or administrative order; or a petition is
      filed
      against any Seller or any of Sellers’ Subsidiaries under any bankruptcy,
      reorganization, arrangement, insolvency, readjustment of debt, dissolution,
      moratorium, delinquency or liquidation law of any jurisdiction, whether now
      or
      subsequently in effect;

    

    (j) Any
      Governmental Authority or any person, agency or entity acting or purporting
      to
      act under governmental authority shall have taken any action to condemn, seize
      or appropriate, or to assume custody or control of, all or any substantial
      part
      of the Property of any Seller or any of Sellers’ Subsidiaries or shall have
      taken any action to displace the management of any Seller or any of Sellers’
Subsidiaries or to curtail its authority in the conduct of the business of
      any
      Seller or any of Sellers’ Subsidiaries, or takes any action in the nature of
      enforcement to remove, limit or restrict the approval of any Seller or any
      of
      Sellers’ Subsidiaries as an issuer, buyer or a seller/servicer of Loans or
      securities backed thereby, and such action provided for in this subsection
      (j)
      shall not have been discontinued or stayed within thirty (30) days;

    

    
      
        
        

      

      
        42

        
          

        

      

      
        
        

      

    

    (k) Any
      Program Document shall for whatever reason (including an event of default
      thereunder) be terminated, this Agreement shall for any reason cease to create
      a
      valid, first priority security interest or ownership interest upon transfer
      in
      any of the Purchased Loans or Purchased Items purported to be covered hereby
      or
      any of any Seller’s material obligations (including Sellers’ Obligations
      hereunder shall cease to be in full force and effect, or the enforceability
      thereof shall be contested by the Sellers;

    

    (l) Any
      Material Adverse Effect shall have occurred, in each case as determined by
      Buyer
      in its sole discretion, or the existence of any other condition which, in
      Buyer’s sole discretion, constitutes a material impairment of any Seller’s
      ability to perform its obligations under this Agreement or any other Program
      Document;

    

    (m) (i)
      any
      Person shall engage in any “prohibited transaction” (as defined in Section 406
      of ERISA or Section 4975 of the Code) involving any Plan, (ii) any material
      “accumulated funding deficiency” (as defined in Section 302 of ERISA), whether
      or not waived, shall exist with respect to any Plan or any Lien in favor of
      the
      PBGC or a Plan shall arise on the assets of the Buyer or any Commonly Controlled
      Entity, (iii) a Reportable Event shall occur with respect to, or proceedings
      shall commence to have a trustee appointed, or a trustee shall be appointed,
      to
      administer or to terminate, any Single Employer Plan, which Reportable Event
      or
      commencement of proceedings or appointment of a trustee is, in the reasonable
      opinion of the Buyer, likely to result in the termination of such Plan for
      purposes of Title IV of ERISA, (iv) any Single Employer Plan shall terminate
      for
      purposes of Title IV of ERISA, (v) the Seller or any Commonly Controlled Entity
      shall, or in the reasonable opinion of the Buyer is likely to, incur any
      liability in connection with a withdrawal from, or the insolvency or
      reorganization of, a Multiemployer Plan or (vi) any other event or condition
      shall occur or exist with respect to a Plan; and in each case in clauses (i)
      through (vi) above, such event or condition, together with all other such events
      or conditions, if any, could reasonably be expected to have a Material Adverse
      Effect;

    

    (n) A
      Change
      of Control of any Seller shall have occurred without the prior consent of the
      Buyer or a material change in the management of any Seller shall have occurred
      which has not been approved by Buyer;

    

    (o) Any
      Seller shall grant, or suffer to exist, any Lien on any Purchased Items except
      the Liens contemplated hereby; or the Liens contemplated hereby shall cease
      to
      be first priority perfected Liens on the Purchased Items in favor of the Buyer
      or shall be Liens in favor of any Person other than Buyer;

    

    (p) Buyer
      shall reasonably request, specifying the reasons for such request, reasonable
      information, and/or written responses to such requests, regarding the financial
      well-being of Seller and such reasonable information and/or responses shall
      not
      have been provided within three (3) Business Days of such request;

    

    (q) Any
      Seller or any Subsidiary or Affiliate of a Seller shall default under, or fail
      to perform as required under, or shall otherwise breach the terms of any
      instrument, agreement or contract between a Seller or such other entity, on
      the
      one hand, and the Buyer or any of the Buyer’s Affiliates on the other; or any
      Seller or any Subsidiary or Affiliate of any Seller shall default under, or
      fail
      to perform as requested under, the terms of any repurchase agreement, loan
      and
      security agreement or similar credit facility or agreement for borrowed funds
      entered into by the Seller or such other entity and any third party, which
      default or failure entitles any party to require acceleration or prepayment
      of
      any indebtedness thereunder; 

    

    (r) NYMC’s
      membership in MERS is terminated for any reason;

    

    
      
        
        

      

      
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    (s) The
      Subservicer shall default under the related Servicing Agreement and such default
      shall have a Material Adverse Effect on the collectability, enforceability
      or
      payment performance on any of the Loans and the Sellers shall have failed to
      transfer servicing of the affected Loans to another servicer within thirty
      (30)
      days of the date of such default; 

    

    (t) The
      failure of NYMT to continue to be (i) qualified as a REIT as defined in Section
      856 of the Code and (ii) entitled to a dividend paid deduction under Section
      857
      of the Code with respect to dividends paid by it with respect to each taxable
      year for which it claims a deduction on its Form 1120 - REIT filed with the
      United States Internal Revenue Service for such year, or the entering into
      by
      NYMT of any material “prohibited transactions” as defined in Sections 857(b) and
      856(c) of the Code; or

    

    (u) The
      failure of NYMT to satisfy any of the following asset or income tests and the
      Buyer has delivered notice of an Event of Default to the Seller with respect
      thereto:

    

    (i) At
      the
      close of each taxable year, at least 75 percent of gross income consists of
      (A)
“rents from real property” within the meaning of Section 856(c)(3)(A) of the
      Code, (B) interest on obligations secured by mortgages on real property or
      on
      interests in real property, within the meaning of Section 856(c)(3)(B) of the
      Code, (C) gain from the sale or other disposition of real property (including
      interests in real property and interests in mortgages on real property) which
      is
      not property described in Section 1221(a)(1) of the Code, within the meaning
      of
      Section 856(c)(3)(C) of the Code, (D) dividends or other distributions on,
      and
      gain (other than gain from “prohibited transactions” within the meaning of
      Section 857(b)(6)(B)(iii) of the Code) from the sale or other disposition of,
      transferable shares (or transferable certificates of beneficial interest) in
      other qualifying REITs within the meaning of Section 856(d)(3)(D) of the Code,
      and (E) amounts described in Sections 856(c)(3)(E) through 856(c)(3)(I) of
      the
      Code;

    

    (ii) At
      the
      close of each taxable year, at least 95 percent of NYMT’s gross income consists
      of (A) the items of income described in paragraph 1 hereof (other than those
      described in Section 856(c)(3)(I) of the Code), (B) gain realized from the
      sale
      or other disposition of stock or securities which are not property described
      in
      Section 1221(a)(1) of the Code, (C) interest, (D) dividends, in each case within
      the meaning of Section 856(c)(2) of the Code;

    

    (iii) At
      the
      close of each quarter of NYMT’s taxable year, at least 75 percent of the value
      of NYMT’s total assets (as determined in accordance with Treasury Regulations
      Section 1.856-2(d)) has consisted of and will consist of real estate assets
      within the meaning of Sections 856(c)(4) and 856(c)(5)(B) of the Code, cash
      and
      cash items (including receivables which arise in the ordinary course of NYMT’s
      operations, but not including receivables purchased from another person), and
      Government Securities; or

    

    (iv) At
      the
      close of each quarter of each of NYMT’s taxable years, (A) not more than 25
      percent of NYMT’s total asset value will be represented by securities (other
      than those described in paragraph 3), (B) not more than 20 percent of NYMT’s
      total asset value will be represented by securities of one or more taxable
      REIT
      subsidiaries, and (C) (1) not more than 5 percent of the value of NYMT’s total
      assets will be represented by securities of any one issuer (other than
      Government Securities and securities of taxable REIT subsidiaries), and (2)
      NYMT
      will not hold securities possessing more than 10 percent of the total voting
      power or value of the outstanding securities of any one issuer (other than
      Government Securities, securities of taxable REIT subsidiaries, and securities
      of a qualified REIT subsidiary within the meaning of Section 856(i) of the
      Code).

     

    
      
        
        

      

      
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    19. REMEDIES

    

    Upon
      the
      occurrence of an Event of Default, Buyer, at its option (which option shall
      be
      deemed to have been exercised immediately upon the occurrence of an Event of
      Default pursuant to Section 18(g), (h), (i) or (j) hereof), shall have the
      right
      to exercise any or all of the following rights and remedies:

    

    (a) a)  The
      Repurchase Date for each Transaction hereunder shall, if it has not already
      occurred, be deemed immediately to occur (provided that, in the event that
      the
      Purchase Date for any Transaction has not yet occurred as of the date of such
      exercise or deemed exercise, such Transaction shall be deemed immediately
      canceled). Sellers’ obligations hereunder to repurchase all Purchased Loans at
      the Repurchase Price therefor on the Repurchase Date in such Transactions shall
      thereupon become immediately due and payable; all Income then on deposit in
      the
      Collection Account and all Income paid after such exercise or deemed exercise
      shall be remitted to and retained by Buyer and applied to the aggregate
      Repurchase Price and any other amounts owing by Sellers hereunder; Sellers
      shall
      immediately deliver to Buyer or its designee any and all original papers,
      Servicing Records and files relating to the Purchased Loans subject to such
      Transaction then in Sellers’ possession and/or control; and all right, title and
      interest in and entitlement to such Purchased Loans and Servicing Rights thereon
      shall be deemed transferred to Buyer or its designee.

    

    (ii) Buyer
      shall have the right to (A) sell, on or following the Business Day following
      the
      date on which the Repurchase Price became due and payable pursuant to Section
      19(a)(i) without notice or demand of any kind, at a public or private sale
      and
      at such price or prices as Buyer may reasonably deem satisfactory any or all
      Purchased Loans and/or (B) in its sole discretion elect, in lieu of selling
      all
      or a portion of such Purchased Loans, to give Sellers credit for such Purchased
      Loans in an amount equal to the Market Value of the Purchased Loans against
      the
      aggregate unpaid Repurchase Price and any other amounts owing by Sellers
      hereunder. Sellers shall remain liable to Buyer for any amounts that remain
      owing to Buyer following a sale and/or credit under the preceding sentence.
      The
      proceeds of any disposition of Purchased Loans shall be applied first
      to the
      reasonable costs and expenses incurred by Buyer in connection with or as a
      result of an Event of Default; second
      to
      Breakage Costs, costs of cover and/or related hedging transactions; third
      to the
      aggregate Repurchase Prices; and fourth
      to all
      other Obligations.

    

    (iii) Buyer
      shall have the right to terminate this Agreement and declare all obligations
      of
      Sellers to be immediately due and payable, by a notice in accordance with
      Section 21 hereof.

    

    (iv) The
      parties recognize that it may not be possible to purchase or sell all of the
      Purchased Loans on a particular Business Day, or in a transaction with the
      same
      purchaser, or in the same manner because the market for such Purchased Loans
      may
      not be liquid. In view of the nature of the Purchased Loans, the parties agree
      that liquidation of a Transaction or the underlying Purchased Loans does not
      require a public purchase or sale and that a good faith private purchase or
      sale
      shall be deemed to have been made in a commercially reasonable manner.
      Accordingly, Buyer may elect the time and manner of liquidating any Purchased
      Loan and nothing contained herein shall obligate Buyer to liquidate any
      Purchased Loan on the occurrence of an Event of Default or to liquidate all
      Purchased Loans in the same manner or on the same Business Day or constitute
      a
      waiver of any right or remedy of Buyer. Notwithstanding the foregoing, the
      parties to this Agreement agree that the Transactions have been entered into
      in
      consideration of and in reliance upon the fact that all Transactions hereunder
      constitute a single business and contractual obligation and that each
      Transaction has been entered into in consideration of the other
      Transactions.

    

    
      
        
        

      

      
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    (v) To
      the
      extent permitted by applicable law, the Sellers waive all claims, damages and
      demands they may acquire against the Buyer arising out of the exercise by the
      Buyer of any of its rights hereunder, other than those claims, damages and
      demands arising from the gross negligence or willful misconduct of the Buyer.
      If
      any notice of a proposed sale or other disposition of Purchased Items shall
      be
      required by law, such notice shall be deemed reasonable and proper if given
      at
      least 10 days before such sale or other disposition.

    

    (b) Sellers
      hereby acknowledge, admit and agree that Sellers’ obligations under this
      Agreement are recourse obligations of Sellers to which Sellers pledge their
      full
      faith and credit. In addition to its rights hereunder, Buyer shall have the
      right to proceed against any of Seller’s assets which may be in the possession
      of Buyer, any of Buyer’s Affiliates or their respective designees (including the
      Custodian), including the right to liquidate such assets and to set-off the
      proceeds against monies owed by Sellers to Buyer pursuant to this Agreement.
      Buyer may set off cash, the proceeds of the liquidation of the Purchased Loans
      and Additional Purchased Loans, any other Purchased Items and their proceeds
      and
      all other sums or obligations owed by Buyer to Sellers against all of Sellers’
obligations to Buyer, whether under this Agreement, under a Transaction, or
      under any other agreement between the parties, or otherwise, whether or not
      such
      obligations are then due, without prejudice to Buyer’s right to recover any
      deficiency.

    

    (c) Buyer
      shall have the right to obtain physical possession of the Servicing Records
      and
      all other files of Sellers relating to the Purchased Loans and all documents
      relating to the Purchased Loans which are then or may thereafter come into
      the
      possession of Sellers or any third party acting for Sellers and Sellers shall
      deliver to Buyer such assignments as Buyer shall request.

    

    (d) Buyer
      shall have the right to direct all Persons servicing the Purchased Loans to
      take
      such action with respect to the Purchased Loans as Buyer determines
      appropriate.

    

    (e) Buyer
      shall, without regard to the adequacy of the security for the Obligations,
      be
      entitled to the appointment of a receiver by any court having jurisdiction,
      without notice, to take possession of and protect, collect, manage, liquidate,
      and sell the Purchased Loans and any other Purchased Items or any portion
      thereof, collect the payments due with respect to the Purchased Loans and any
      other Purchased Items or any portion thereof, and do anything that Buyer is
      authorized hereunder or by law to do. Sellers shall pay all costs and expenses
      incurred by Buyer in connection with the appointment and activities of such
      receiver.

    

    (f) Buyer
      may, at its option, enter into one or more Interest Rate Protection Agreements
      covering all or a portion of the Purchased Loans, and the Sellers shall be
      responsible for all damages, judgments, costs and expenses of any kind which
      may
      be imposed on, incurred by or asserted against the Buyer relating to or arising
      out of such Interest Rate Protection Agreements; including without limitation
      any losses resulting from such Interest Rate Protection Agreements.

    

    (g) In
      addition to all the rights and remedies specifically provided herein, Buyer
      shall have all other rights and remedies provided by applicable federal, state,
      foreign, and local laws, whether existing at law, in equity or by statute,
      including, without limitation, all rights and remedies available to a purchaser
      or a secured party, as applicable, under the Uniform Commercial
      Code.

    

    Except
      as
      otherwise expressly provided in this Agreement, Buyer shall have the right
      to
      exercise any of its rights and/or remedies without presentment, demand, protest
      or further notice of any kind other than as expressly set forth herein, all
      of
      which are hereby expressly waived by Sellers.

    

    
      
        
        

      

      
        46

        
          

        

      

      
        
        

      

    

    Buyer
      may
      enforce its rights and remedies hereunder without prior judicial process or
      hearing, and Sellers hereby expressly waive, to the extent permitted by law,
      any
      right Sellers might otherwise have to require Buyer to enforce its rights by
      judicial process. Sellers also waive, to the extent permitted by law, any
      defense Sellers might otherwise have to the Obligations, arising from use of
      nonjudicial process, enforcement and sale of all or any portion of the Purchased
      Loans and any other Purchased Items or from any other election of remedies.
      Sellers recognize that nonjudicial remedies are consistent with the usages
      of
      the trade, are responsive to commercial necessity and are the result of a
      bargain at arm’s length.

    

    Sellers
      shall cause all sums received by it with respect to the Purchased Loans to
      be
      deposited with such Person as Buyer may direct after receipt thereof. Sellers
      shall be liable to Buyer for the amount of all expenses (plus interest thereon
      at a rate equal to the Post-Default Rate), and Breakage Costs including, without
      limitation, all costs and expenses incurred within thirty (30) days of the
      Event
      of Default in connection with hedging or covering transactions related to the
      Purchased Loans, conduit advances and payments for mortgage
      insurance.

     

    20. DELAY
      NOT WAIVER; REMEDIES ARE CUMULATIVE

    

    No
      failure on the part of Buyer to exercise, and no delay in exercising, any right,
      power or remedy hereunder shall operate as a waiver thereof, nor shall any
      single or partial exercise by Buyer of any right, power or remedy hereunder
      preclude any other or further exercise thereof or the exercise of any other
      right, power or remedy. All rights and remedies of Buyer provided for herein
      are
      cumulative and in addition to any and all other rights and remedies provided
      by
      law, the Program Documents and the other instruments and agreements contemplated
      hereby and thereby, and are not conditional or contingent on any attempt by
      Buyer to exercise any of its rights under any other related document. Buyer
      may
      exercise at any time after the occurrence of an Event of Default one or more
      remedies, as they so desire, and may thereafter at any time and from time to
      time exercise any other remedy or remedies.

     

    21. NOTICES
      AND OTHER COMMUNICATIONS

    

    Except
      as
      otherwise expressly permitted by this Agreement, all notices, requests and
      other
      communications provided for herein and under the Custodial Agreement (including,
      without limitation, any modifications of, or waivers, requests or consents
      under, this Agreement) shall be given or made in writing (including, without
      limitation, by telex or telecopy) delivered to the intended recipient at the
      “Address for Notices” specified below its name on the signature pages hereof);
      or, as to any party, at such other address as shall be designated by such party
      in a written notice to each other party. Except as otherwise provided in this
      Agreement and except for notices given by the Sellers under Section 3(a)
      (which shall be effective only on receipt), all such communications shall be
      deemed to have been duly given when transmitted by telex or telecopier or
      personally delivered or, in the case of a mailed notice, upon receipt, in each
      case given or addressed as aforesaid.

     

    22. USE
      OF EMPLOYEE PLAN ASSETS

    

    No
      assets
      of an employee benefit plan subject to any provision of the Employee Retirement
      Income Security Act of 1974, as amended (“ERISA”)
      shall
      be used by either party hereto in a Transaction.

     

    23. INDEMNIFICATION
      AND EXPENSES.

    

    (a) The
      Sellers agree to, on a joint and several basis, hold the Buyer, and its
      Affiliates and their officers, directors, employees, agents and advisors (each
      an “Indemnified Party”) harmless from and indemnify any Indemnified Party
      against all liabilities, losses, damages, judgments, costs and expenses of
      any
      kind which may be imposed on, incurred by or asserted against such Indemnified
      Party (collectively, the “Costs”) relating to or arising out of this Agreement,
      any other Program Document or any transaction contemplated hereby or thereby,
      or
      any amendment, supplement or modification of, or any waiver or consent under
      or
      in respect of, this Agreement, any other Program Document or any transaction
      contemplated hereby or thereby, that, in each case, results from anything other
      than any Indemnified Party’s gross negligence or willful misconduct. Without
      limiting the generality of the foregoing, the Sellers agree to hold any
      Indemnified Party harmless from and indemnify such Indemnified Party against
      all
      Costs with respect to all Loans relating to or arising out of any violation
      or
      alleged violation of any environmental law, rule or regulation or any consumer
      credit laws, including without limitation laws with respect to unfair or
      deceptive lending practices and predatory lending practices, the Truth in
      Lending Act and/or the Real Estate Settlement Procedures Act, that, in each
      case, results from anything other than such Indemnified Party’s gross negligence
      or willful misconduct. In any suit, proceeding or action brought by an
      Indemnified Party in connection with any Loan for any sum owing thereunder,
      or
      to enforce any provisions of any Loan, the Sellers will save, indemnify and
      hold
      such Indemnified Party harmless from and against all expense, loss or damage
      suffered by reason of any defense, set-off, counterclaim, recoupment or
      reduction of liability whatsoever of the account debtor or obligor thereunder,
      arising out of a breach by any Seller of any obligation thereunder or arising
      out of any other agreement, indebtedness or liability at any time owing to
      or in
      favor of such account debtor or obligor or its successors from the Sellers.
      The
      Sellers also agree to reimburse an Indemnified Party as and when billed by
      such
      Indemnified Party for all such Indemnified Party’s costs and expenses incurred
      in connection with the enforcement or the preservation of such Indemnified
      Party’s rights under this Agreement, any other Program Document or any
      transaction contemplated hereby or thereby, including without limitation the
      reasonable fees and disbursements of its counsel. The Sellers hereby acknowledge
      that, the obligations of the Sellers under this Agreement are joint and several
      recourse obligations of the Sellers.

    

    
      
        
        

      

      
        47

        
          

        

      

      
        
        

      

    

    (b) The
      Sellers agree, on a joint and several basis, to pay as and when billed by the
      Buyer all of the out-of pocket costs and expenses incurred by the Buyer in
      connection with the development, preparation and execution of, and any
      amendment, supplement or modification to, this Agreement, any other Program
      Document or any other documents prepared in connection herewith or therewith,
      including, without limitation, the fees and expenses of Buyer’s counsel which
      will be independent from and not included in the aggregate limitation specified
      in subclause (i) of this subsection. The Sellers agree to pay as and when billed
      by the Buyer all of the out-of-pocket costs and expenses incurred in connection
      with the consummation and administration of the transactions contemplated hereby
      and thereby including, without limitation, (i) all the reasonable fees,
      disbursements and expenses of counsel to the Buyer, but limited to no greater
      than $10,000 in the aggregate during the term of this Agreement and (ii) all
      the
      due diligence, inspection, testing and review costs and expenses incurred by
      the
      Buyer with respect to Purchased Items under this Agreement, including, but
      not
      limited to, those costs and expenses incurred by the Buyer pursuant to Sections
      23, 39 and 44 hereof. Sellers also agree not to assert any claim against Buyer
      or any of its Affiliates, or any of their respective officers, directors,
      employees, attorneys and agents, on any theory of liability, for special,
      indirect, consequential or punitive damages arising out of or otherwise relating
      to the Program Documents, the actual or proposed use of the proceeds of the
      Transactions, this Agreement or any of the transactions contemplated hereby
      or
      thereby. THE FOREGOING INDEMNITY AND AGREEMENT NOT TO ASSERT CLAIMS EXPRESSLY
      APPLIES, WITHOUT LIMITATION, TO THE NEGLIGENCE (BUT NOT GROSS NEGLIGENCE OR
      WILLFUL MISCONDUCT) OF THE INDEMNIFIED PARTIES.

    

    (c) If
      Sellers fail to pay when due any costs, expenses or other amounts payable under
      this Agreement, including, without limitation, reasonable fees and expenses
      of
      counsel and indemnities, such amount may be paid on behalf of Sellers by Buyer,
      in its sole discretion and Sellers shall remain liable for any such payments
      by
      Buyer. No such payment by Buyer shall be deemed a waiver of any of Buyer’s
      rights under the Program Documents.

    

    
      
        
        

      

      
        48

        
          

        

      

      
        
        

      

    

    (d) Without
      prejudice to the survival of any other agreement of Sellers hereunder, the
      covenants and obligations of Sellers contained in this Section 23 shall survive
      the payment in full of the Repurchase Price and all other amounts payable
      hereunder and delivery of the Purchased Loans by Buyer against full payment
      therefor.

     

    24. WAIVER
      OF REDEMPTION AND DEFICIENCY RIGHTS

    

    Sellers
      hereby expressly waive, to the fullest extent permitted by law, every statute
      of
      limitation on a deficiency judgment, any reduction in the proceeds of any
      Purchased Items as a result of restrictions upon Buyer or Custodian contained
      in
      the Program Documents or any other instrument delivered in connection therewith,
      and any right that it may have to direct the order in which any of the Purchased
      Items shall be disposed of in the event of any disposition pursuant
      hereto.

     

    25. REIMBURSEMENT

    

    All
      sums
      reasonably expended by Buyer in connection with the exercise of any right or
      remedy provided for herein shall be and remain Sellers’ obligation (unless and
      to the extent that any Seller is the prevailing party in any dispute, claim
      or
      action relating thereto). Sellers agree to pay, with interest at the
      Post-Default Rate to the extent that an Event of Default has occurred, the
      reasonable out-of-pocket expenses and reasonable attorneys’ fees incurred by
      Buyer and/or Custodian in connection with the preparation, negotiation,
      enforcement (including any waivers), administration and amendment of the Program
      Documents (regardless of whether a Transaction is entered into hereunder),
      the
      taking of any action, including legal action, required or permitted to be taken
      by Buyer (without duplication to Buyer) and/or Custodian pursuant thereto,
      any
“due diligence” or loan agent reviews conducted by Buyer or on its behalf or by
      refinancing or restructuring in the nature of a “workout.”

     

    26. FURTHER
      ASSURANCES

    

    Sellers
      agree to do such further acts and things and to execute and deliver to Buyer
      such additional assignments, acknowledgments, agreements, powers and instruments
      as are reasonably required by Buyer to carry into effect the intent and purposes
      of this Agreement and the other Program Documents, to perfect the interests
      of
      Buyer in the Purchased Items or to better assure and confirm unto Buyer its
      rights, powers and remedies hereunder and thereunder.

     

    27. TERMINATION

    

    This
      Agreement shall remain in effect until the Termination Date. However, no such
      termination shall affect Sellers’ outstanding obligations to Buyer at the time
      of such termination. Sellers’ obligations under Section 3(h), 3(i) Section 5,
      Section 12 and Section 23 and any other reimbursement or indemnity obligation
      of
      Sellers to Buyer pursuant to this Agreement or any other Program Documents
      shall
      survive the termination hereof.

     

    28. SEVERABILITY

    

    If
      any
      provision of any Program Document is declared invalid by any court of competent
      jurisdiction, such invalidity shall not affect any other provision of the
      Program Documents, and each Program Document shall be enforced to the fullest
      extent permitted by law.

     

    
      
        
        

      

      
        49

        
          

        

      

      
        
        

      

    

    29. BINDING
      EFFECT; GOVERNING LAW

    

    This
      Agreement shall be binding and inure to the benefit of the parties hereto and
      their respective successors and assigns, except that Sellers may not assign
      or
      transfer any of its respective rights or obligations under this Agreement or
      any
      other Program Document without the prior written consent of Buyer. THIS
      AGREEMENT SHALL BE CONSTRUED IN ACCORDANCE WITH, AND GOVERNED BY, THE LAWS
      OF
      THE STATE OF NEW YORK, WITHOUT GIVING EFFECT TO THE CONFLICT OF LAWS PRINCIPLES
      THEREOF (EXCEPT FOR SECTION 5-1401 OF THE NEW YORK GENERAL OBLIGATIONS
      LAW).

     

    30. AMENDMENTS

    

    Except
      as
      otherwise expressly provided in this Agreement, any provision of this Agreement
      may be modified or supplemented only by an instrument in writing signed by
      the
      Sellers and the Buyer and any provision of this Agreement may be waived by
      the
      Buyer.

     

    31. SUCCESSORS
      AND ASSIGNS

    

    This
      Agreement shall be binding upon and inure to the benefit of the parties hereto
      and their respective successors and permitted assigns.

     

    32. SURVIVAL

    

    The
      obligations of the Sellers under Sections 3(h), 3(i), 5, 23 and 25 hereof and
      any other reimbursement or indemnity obligation of Sellers to Buyer pursuant
      to
      this Agreement or any other Program Document shall survive the repurchase of
      the
      Loans hereunder and the termination of this Agreement. In addition, each
      representation and warranty made, or deemed to be made by a request for a
      purchase, herein or pursuant hereto shall survive the making of such
      representation and warranty, and the Buyer shall not be deemed to have waived,
      by reason of purchasing any Loan, any Default that may arise by reason of such
      representation or warranty proving to have been false or misleading,
      notwithstanding that the Buyer may have had notice or knowledge or reason to
      believe that such representation or warranty was false or misleading at the
      time
      such purchase was made.

     

    33. CAPTIONS

    

    The
      table
      of contents and captions and section headings appearing herein are included
      solely for convenience of reference and are not intended to affect the
      interpretation of any provision of this Agreement.

     

    34. COUNTERPARTS

    

    This
      Agreement may be executed in any number of counterparts, all of which taken
      together shall constitute one and the same instrument, and any of the parties
      hereto may execute this Agreement by signing any such counterpart.

     

    35. SUBMISSION
      TO JURISDICTION; WAIVERS

    

    EACH
      PARTY HERETO HEREBY IRREVOCABLY AND UNCONDITIONALLY:

    

    (A)
       SUBMITS
      FOR ITSELF AND ITS PROPERTY IN ANY LEGAL ACTION OR PROCEEDING RELATING TO THIS
      AGREEMENT AND/OR ANY OTHER PROGRAM DOCUMENT, OR FOR RECOGNITION AND ENFORCEMENT
      OF ANY JUDGMENT IN RESPECT THEREOF, TO THE NON-EXCLUSIVE GENERAL JURISDICTION
      OF
      THE COURTS OF THE STATE OF NEW YORK, THE FEDERAL COURTS OF THE UNITED STATES
      OF
      AMERICA FOR THE SOUTHERN DISTRICT OF NEW YORK, AND APPELLATE COURTS FROM ANY
      THEREOF;

    

    
      
        
        

      

      
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    (B)
       CONSENTS
      THAT ANY SUCH ACTION OR PROCEEDING MAY BE BROUGHT IN SUCH COURTS AND, TO THE
      EXTENT PERMITTED BY LAW, WAIVES ANY OBJECTION THAT IT MAY NOW OR HEREAFTER
      HAVE
      TO THE VENUE OF ANY SUCH ACTION OR PROCEEDING IN ANY SUCH COURT OR THAT SUCH
      ACTION OR PROCEEDING WAS BROUGHT IN AN INCONVENIENT COURT AND AGREES NOT TO
      PLEAD OR CLAIM THE SAME;

    

    (C)
       AGREES
      THAT SERVICE OF PROCESS IN ANY SUCH ACTION OR PROCEEDING MAY BE EFFECTED BY
      MAILING A COPY THEREOF BY REGISTERED OR CERTIFIED MAIL (OR ANY SUBSTANTIALLY
      SIMILAR FORM OF MAIL), POSTAGE PREPAID, TO ITS ADDRESS SET FORTH UNDER ITS
      SIGNATURE BELOW OR AT SUCH OTHER ADDRESS OF WHICH THE BUYER SHALL HAVE BEEN
      NOTIFIED; AND

    

    (D)
       AGREES
      THAT NOTHING HEREIN SHALL AFFECT THE RIGHT TO EFFECT SERVICE OF PROCESS IN
      ANY
      OTHER MANNER PERMITTED BY LAW OR SHALL LIMIT THE RIGHT TO SUE IN ANY OTHER
      JURISDICTION.

     

    36. WAIVER
      OF JURY TRIAL

    

    EACH
      OF THE SELLERS AND THE BUYER HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT
      PERMITTED BY APPLICABLE LAW, ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL
      PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT, ANY OTHER LOAN DOCUMENT
      OR THE TRANSACTIONS CONTEMPLATED HEREBY OR THEREBY.

     

    37. ACKNOWLEDGEMENTS

    

    The
      Sellers hereby acknowledges that:

    

    (a) it
      has
      been advised by counsel in the negotiation, execution and delivery of this
      Agreement and the other Program Documents to which it is a party;

    

    (b) the
      Buyer
      has no fiduciary relationship to the Sellers; and

    

    (c) no
      joint
      venture exists among or between the Buyer and the Sellers.

     

    38. HYPOTHECATION
      OR PLEDGE OF PURCHASED ITEMS. 

    

    The
      Buyer
      shall have free and unrestricted use of all Loans and Purchased Items and
      nothing in this Agreement shall preclude the Buyer from engaging in repurchase
      transactions with the Loans and Purchased Items or otherwise pledging,
      repledging, transferring, hypothecating, or rehypothecating the Loans and
      Purchased Items. Nothing contained in this Agreement shall obligate the Buyer
      to
      segregate any Loans or Purchased Items delivered to the Buyer by the
      Sellers.

     

    
      
        
        

      

      
        51

        
          

        

      

      
        
        

      

    

    39. ASSIGNMENTS;
      PARTICIPATIONS.

    

    (a) The
      Sellers may assign any of its rights or obligations hereunder only with the
      prior written consent of the Buyer. The Buyer may assign or transfer to any
      bank
      or other financial institution that makes or invests in repurchase agreements
      or
      loans or any Affiliate of the Buyer all or any of its rights under this
      Agreement and the other Program Documents.

    

    (b) The
      Buyer
      may, in accordance with applicable law, at any time sell to one or more Buyers
      or other entities (“Participants”) participating interests in this Agreement,
      its agreement to purchase Loans, or any other interest of the Buyer hereunder
      and under the other Program Documents. In the event of any such sale by the
      Buyer of participating interests to a Participant, the Buyer’s obligations under
      this Agreement to the Sellers shall remain unchanged, the Buyer shall remain
      solely responsible for the performance thereof and the Sellers shall continue
      to
      deal solely and directly with the Buyer in connection with the Buyer’s rights
      and obligations under this Agreement and the other Program Documents. The
      Sellers agree that if amounts outstanding under this Agreement are due or
      unpaid, or shall have been declared or shall have become due and payable upon
      the occurrence of an Event of Default, each Participant shall be deemed to
      have
      the right of set-off in respect of its participating interest in amounts owing
      under this Agreement to the same extent as if the amount of its participating
      interest were owing directly to it as a Buyer under this Agreement; provided,
      that such Participant shall only be entitled to such right of set-off if it
      shall have agreed in the agreement pursuant to which it shall have acquired
      its
      participating interest to share with the Buyer the proceeds thereof. The Buyer
      also agrees that each Participant shall be entitled to the benefits of Sections
      3(h), 3(i) and 23 with respect to its participation in the Loans and Purchased
      Items outstanding from time to time; provided, that the Buyer and all
      Participants shall be entitled to receive no greater amount in the aggregate
      pursuant to such Sections than the Buyer would have been entitled to receive
      had
      no such transfer occurred.

    

    (c) The
      Buyer
      may furnish any information concerning the Sellers or any of its Subsidiaries
      in
      the possession of Buyer from time to time to assignees and Participants
      (including prospective assignees and Participants) only after notifying the
      Sellers in writing and securing signed confidentiality statements (a form of
      which is attached hereto as Exhibit I) and only for the sole purpose of
      evaluating assignments or participations and for no other purpose.

    

    (d) The
      Sellers agree to cooperate with the Buyer in connection with any such assignment
      and/or participation, to execute and deliver replacement notes, and to enter
      into such restatements of, and amendments, supplements and other modifications
      to, this Agreement and the other Program Documents in order to give effect
      to
      such assignment and/or participation. The Sellers further agrees to furnish
      to
      any Participant identified by the Buyer to the Sellers copies of all reports
      and
      certificates to be delivered by the Sellers to the Buyer hereunder, as and
      when
      delivered to the Buyer.

     

    40. SINGLE
      AGREEMENT

    

    Sellers
      and Buyer acknowledge that, and have entered hereinto and will enter into each
      Transaction hereunder in consideration of and in reliance upon the fact that,
      all Transactions hereunder constitute a single business and contractual
      relationship and have been made in consideration of each other. Accordingly,
      each Seller and Buyer each agree (i) to perform all of its obligations in
      respect of each Transaction hereunder, and that a default in the performance
      of
      any such obligations shall constitute a default by it in respect of all
      Transactions hereunder, and (ii) that payments, deliveries and other transfers
      made by any of them in respect of any Transaction shall be deemed to have been
      made in consideration of payments, deliveries and other transfers in respect
      of
      any other Transaction hereunder, and the obligations to make any such payments,
      deliveries and other transfers may be applied against each other and
      netted.

     

    
      
        
        

      

      
        52

        
          

        

      

      
        
        

      

    

    41. INTENT

    

    Each
      Seller and Buyer recognize that each Transaction is a “repurchase agreement” as
      that term is defined in Section 101 of Title 11 of the USC, and a “securities
      contract” as that term is defined in Section 741 of Title 11 of the
      USC.

    

    It
      is
      understood that Buyer’s right to liquidate the Purchased Loans delivered to it
      in connection with the Transactions hereunder or to accelerate or terminate
      this
      Agreement or otherwise exercise any other remedies pursuant to Section 19 hereof
      is a contractual right to liquidate, accelerate or terminate such Transaction
      as
      described in Sections 555 and 559 of Title 11 of the USC.

     

    42. CONFIDENTIALITY

    

    The
      Program Documents and their respective terms, provisions, supplements and
      amendments, and transactions and notices thereunder, are proprietary to Buyer
      and shall be held by Sellers in strict confidence and shall not be disclosed
      to
      any third party without the consent of Buyer except for (i) disclosure to a
      Seller’s direct and indirect parent companies, directors, attorneys, agents or
      accountants, provided that such attorneys or accountants likewise agree to
      be
      bound by this covenant of confidentiality, or are otherwise subject to
      confidentiality restrictions or (ii) upon prior written notice to Buyer,
      disclosure required by law, rule, regulation or order of a court or other
      regulatory body or (iii) upon prior written notice to Buyer, disclosure to
      any
      approved hedge counterparty to the extent necessary to obtain any Interest
      Rate
      Protection Agreement hereunder or (iv) any disclosures or filing required under
      Securities and Exchange Commission (“SEC”)
      or
      state securities’ laws; provided
      that in
      the case of (ii), (iii) and (iv), Sellers shall take reasonable actions to
      provide Buyer with prior written notice; provided further
      that in
      the case of (iv), the Sellers shall not file any of the Program Documents other
      than the Agreement with the SEC or state securities office unless Sellers shall
      have provided at least thirty (30) days (or such lesser time as may be demanded
      by the SEC or state securities office) prior written notice of such filing
      to
      Buyer; provided further
      that
      notwithstanding anything to the contrary herein, no party shall file or
      otherwise disclose the Pricing Side Letter. Notwithstanding anything herein
      to
      the contrary, each party (and each employee, representative, or other agent
      of
      each party) may disclose to any and all persons, without limitation of any
      kind,
      the tax treatment and tax structure of the transaction and all materials of
      any
      kind (including opinions or other tax analyses) that are provided to it relating
      to such tax treatment and tax structure. For this purpose, tax treatment and
      tax
      structure shall not include (i) the identity of any existing or future party
      (or
      any Affiliate of such party) to this Agreement or (ii) any specific pricing
      information or other commercial terms, including the amount of any fees,
      expenses, rates or payments arising in connection with the transactions
      contemplated by this Agreement. 

     

    43. SERVICING

    

    (a) 
      The
      Sellers covenant to maintain or cause the servicing of the Loans to be
      maintained in conformity with Accepted Servicing Practices. In the event that
      the preceding language is interpreted as constituting one or more servicing
      contracts, each such servicing contract shall terminate automatically upon
      the
      earliest of (i) an Event of Default, or (ii) the date on which all the
      Obligations have been paid in full, or (iii) the transfer of servicing to any
      entity approved by the Buyer and the assumption thereof by such
      entity.

    

    (b) During
      the period any Seller is servicing the Loans, (i) such Seller agrees that Buyer
      is the owner of all servicing records, including but not limited to any and
      all
      servicing agreements, files, documents, records, data bases, computer tapes,
      copies of computer tapes, proof of insurance coverage, insurance policies,
      appraisals, other closing documentation, payment history records, and any other
      records relating to or evidencing the servicing of such Loans (the “Servicing
      Records”), and (ii) such Seller grants the Buyer a security interest in all
      servicing fees and rights relating to the Loans and all Servicing Records to
      secure the obligation of such Seller or its designee to service in conformity
      with this Section 43 and any other obligation of such Seller to the Buyer.
      Each
      Seller covenants to and shall cause any Subservicer to safeguard such Servicing
      Records and to deliver them promptly to the Buyer or its designee (including
      the
      Custodian) at the Buyer’s request. It is understood and agreed by the parties
      that prior to an Event of Default, the related Seller or any Subservicer, as
      applicable, shall retain the servicing fees with respect to the
      Loans.

    

    
      
        
        

      

      
        53

        
          

        

      

      
        
        

      

    

    (c) If
      the
      Loans are serviced by any third party servicer (such third party servicer,
      the
“Subservicer”)
      other
      than Cenlar FSB, the Sellers shall provide a copy of the related servicing
      agreement with a properly executed Instruction Letter to the Buyer at least
      three (3) Business Days prior to the applicable Purchase Date or the date on
      which the Subservicer shall begin subservicing the Loans, which shall be in
      the
      form and substance acceptable to Buyer (the “Servicing
      Agreement”)
      and
      shall have obtained the written consent of the Buyer for such Subservicer to
      subservice the Loans. Initially, the Subservicer shall be Cenlar
      FSB.

    

    (d) The
      Sellers agrees that, in the event any Seller is servicing the Loans, upon the
      occurrence of an Event of Default, the Buyer may terminate such Seller in its
      capacity as servicer and terminate any Servicing Agreement and transfer such
      servicing to the Buyer or its designee, at no cost or expense to the Buyer.
      In
      addition, the Sellers shall provide to the Buyer an Instruction Letter from
      the
      Seller to the effect that upon the occurrence of an Event of Default, the Buyer
      may cause the Seller to terminate any Subservicer or Servicing Agreement and
      direct that collections with respect to the Loans be remitted in accordance
      with
      the Buyer’s instructions. The Sellers agrees to cooperate with the Buyer in
      connection with the transfer of servicing.

    

    (e) After
      the
      Purchase Date, until the Repurchase Date, the Sellers will have no right to
      modify or alter the terms of the Loan or consent to the modification or
      alteration of the terms of any Loan, and the Seller will have no obligation
      or
      right to repossess any Loan or substitute another Loan, except as provided
      in
      any Custodial Agreement.

    

    (f) The
      Sellers shall permit the Buyer to inspect upon reasonable prior written notice
      at a mutually convenient time, the Sellers’ or their Affiliate’s servicing
      facilities, as the case may be, for the purpose of satisfying the Buyer that
      the
      Sellers or their Affiliate, as the case may be, has the ability to service
      the
      Loans as provided in this Agreement. In addition, with respect to any
      Subservicer which is not an Affiliate of the Seller, the Seller shall use its
      best efforts to enable the Buyer to inspect the servicing facilities of such
      Subservicer.

     

    44. PERIODIC
      DUE DILIGENCE REVIEW

    

    The
      Sellers acknowledge that the Buyer has the right to perform continuing due
      diligence reviews with respect to the Loans, for purposes of verifying
      compliance with the representations, warranties, covenants and specifications
      made hereunder or under any other Program Document, or otherwise, and the Seller
      agrees that upon reasonable (but no less than one (1) Business Day’s) prior
      notice to the Seller, the Buyer or its authorized representatives will be
      permitted during normal business hours to examine, inspect, make copies of,
      and
      make extracts of, the Mortgage Files, the Servicing Records and any and all
      documents, records, agreements, instruments or information relating to such
      Loans in the possession, or under the control, of the Seller and/or the
      Custodian. The Sellers also shall make available to the Buyer a knowledgeable
      financial or accounting officer for the purpose of answering questions
      respecting the Mortgage Files and the Loans. Without limiting the generality
      of
      the foregoing, the Sellers acknowledge that the Buyer shall purchase Loans
      from
      the Sellers based solely upon the information provided by the Sellers to the
      Buyer in the Loan Data Transmission and the representations, warranties and
      covenants contained herein, and that the Buyer, at its option, has the right,
      at
      any time to conduct a partial or complete due diligence review on some or all
      of
      the Purchased Loans, including, without limitation, ordering new credit reports,
      new appraisals on the related Mortgaged Properties and otherwise re-generating
      the information used to originate such Loan. The Buyer may underwrite such
      Loans
      itself or engage a third party underwriter to perform such underwriting. The
      Sellers agree to cooperate with the Buyer and any third party underwriter in
      connection with such underwriting, including, but not limited to, providing
      the
      Buyer and any third party underwriter with access to any and all documents,
      records, agreements, instruments or information relating to such Loans in the
      possession, or under the control, of the Sellers. In addition, the Buyer has
      the
      right to perform continuing Due Diligence Reviews of the Sellers, their
      Affiliates, directors, and their respective Subsidiaries and the officers,
      employees and significant shareholders thereof. The Sellers and Buyer further
      agree that all out-of-pocket costs and expenses incurred by the Buyer in
      connection with the Buyer’s activities pursuant to this Section 44 shall be paid
      by the Sellers.

     

    
      
        
        

      

      
        54

        
          

        

      

      
        
        

      

    

    45. SET-OFF

    

    In
      addition to any rights and remedies of the Buyer provided by this Agreement
      and
      by law, the Buyer shall have the right, without prior notice to the Sellers,
      any
      such notice being expressly waived by the Sellers to the extent permitted by
      applicable law, upon any amount becoming due and payable by the Sellers
      hereunder (whether at the stated maturity, by acceleration or otherwise) to
      set-off and appropriate and apply against such amount any and all Property
      and
      deposits (general or special, time or demand, provisional or final), in any
      currency, and any other collateral, credits, indebtedness or claims, in each
      case whether direct or indirect, absolute or contingent, matured or unmatured,
      at any time held or owing by the Buyer or any Affiliate thereof to or for the
      credit or the account of the Sellers or any Affiliate of Sellers. The Buyer
      may
      set-off cash, the proceeds of the liquidation of any Purchased Items and all
      other sums or obligations owed by the Buyer or its Affiliates to Sellers or
      any
      of Sellers’ Affiliates against all of Sellers’ obligations or any of Seller’s
      Affiliates’ obligations to the Buyer or its Affiliates, whether under this
      Agreement or under any other agreement between the parties or between Seller
      and
      any Affiliate of the Buyer, or otherwise, whether or not such obligations are
      then due, without prejudice to the Buyer’s or its Affiliate’s right to recover
      any deficiency. The Buyer agrees promptly to notify the Sellers after any such
      set-off and application made by the Buyer; provided that the failure to give
      such notice shall not affect the validity of such set-off and
      application.

     

    46. JOINT
      AND SEVERAL LIABILITY; CROSS-DEFAULT

    

    The
      Sellers hereby acknowledge and agree that they are jointly and severally liable
      to the Buyer for all representations, warranties, covenants, obligations and
      liabilities of each of the Sellers hereunder and under the Program Documents.
      The Sellers further acknowledge and agree that any Default, Event of Default
      or
      breach of a representation, warranty or covenant by any Seller under this
      Agreement is hereby considered a Default, Event of Default or breach by each
      Seller.

    

    
      
        
        

      

      
        55

        
          

        

      

      
        
        

      

    

    47. ENTIRE
      AGREEMENT

    

    This
      Agreement and the other Program Documents embody the entire agreement and
      understanding of the parties hereto and thereto and supersede any and all prior
      agreements, arrangements and understandings relating to the matters provided
      for
      herein and therein. No alteration, waiver, amendments, or change or supplement
      hereto shall be binding or effective unless the same is set forth in writing
      by
      a duly authorized representative of each party hereto.

    

    [SIGNATURE
      PAGE FOLLOWS]

    

    
      
        
        

      

      
        56

        
          

        

      

      
        
        

      

    

    IN
      WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly
      executed and delivered as of the day and year first above written.

    

    

    
      	
              NEW
                YORK MORTGAGE FUNDING, LLC,
                a
                Delaware limited liability company,

              as
                Seller

               

               

               

               

              By: /s/
                Joseph V. Fierro

              Name: Joseph
                V. Fierro

              Title: Chief
                Operating Officer

               

               

              Address
                for Notices:

               

              1301
                Avenue of the Americas, 7th
                Floor

              New
                York, New York 10019

              Attention:
                Steven B. Schnall, CEO

              Telecopier
                No: (212) 655-6269

              Telephone
                No: (212) 634-9449

            	 	
              THE
                NEW YORK MORTGAGE COMPANY, LLC,
                a
                New York limited liability company,

              as
                Seller

               

               

               

               

              
                By: /s/
                  Joseph V. Fierro

                Name: Joseph
                  V. Fierro

                Title: Chief
                  Operating Officer

              

               

               

              Address
                for Notices:

               

              1301
                Avenue of the Americas, 7th
                Floor

              New
                York, New York 10019

              Attention:
                Steven B. Schnall, CEO

              Telecopier
                No: (212) 655-6269

              Telephone
                No: (212) 634-9449

            
	 	 	 
	
              GREENWICH
                CAPITAL FINANCIAL PRODUCTS, INC.,
                a
                Delaware corporation, as Buyer and Agent, as applicable

               

               

               

              
                By: /s/
                  Anthony Palmisano

                Name: Anthony
                  Palmisano

                Title: Managing
                  Director

              

               

              Address
                for Notices:

              600
                Steamboat Road

              Greenwich,
                Connecticut 06830

              Attention:
                

              Telecopier
                No:

              Telephone
                No.:

               

              With
                a copy to:

               

              Attention:
                General Counsel 

              Telecopier
                No.: (203) 618-2132

              Telephone
                No.: (203) 625-2700

            	 	
              NEW
                YORK MORTGAGE TRUST, INC.,
                a Maryland corporation,as Seller

               

               

               

              
                By:
                  /s/ David A. Akre

                Name: David
                  A. Akre

                Title: Vice
                  Chairman/Co-Chief Executive Officer

              

               

              Address
                for Notices:

               

              1301
                Avenue of the Americas, 7th
                Floor

              New
                York, New York 10019

              Attention:
                David Akre, CEO

              Telecopier
                No: (212) 655-6269

              Telephone
                No: (212) 634-2338

            

    

    

    
      [Signature
        Page to Master Repurchase Agreement]

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    ANNEX
      I

    

    BUYER
      ACTING AS AGENT

    

    This
      Annex I forms a part of the Master Repurchase Agreement dated as of January
      5,
      2006, (the “Agreement”)
      among
      The New York Mortgage Company, LLC, New York Mortgage Funding, LLC, New York
      Mortgage Trust, Inc., and Greenwich Capital Financial Products, Inc. This Annex
      I sets forth the terms and conditions governing all transactions in which the
      Buyer selling assets or buying assets, as the case may be (“Agent”),
      in a
      Transaction is acting as agent for one or more third parties (each, a
“Principal”).
      Capitalized terms used but not defined in this Annex I shall have the meanings
      ascribed to them in the Agreement.

    

    
      	
              1.

            	
              Additional
                Representations.
                Agent hereby makes the following representations, which shall continue
                during the term of any Transaction: Principal has duly authorized
                Agent to
                execute and deliver the Agreement and the other Program Documents
                on its
                behalf, has the power to so authorize Agent and to enter into the
                Transactions contemplated by the Agreement and the other Program
                Documents
                and to perform the obligations of Seller or the Buyer, as the case
                may be,
                under such Transactions, and has taken all necessary action to authorize
                such execution and delivery by Agent and such performance by
                it.

            

    

    

    
      	
              2.

            	
              Identification
                of Principals.
                Agent agrees (a) to provide the other party, prior to the date on
                which
                the parties agree to enter into any Transaction under the Agreement,
                with
                a written list of Principals for which it intends to act as Agent
                (which
                list may be amended in writing from time to time with the consent
                of the
                other party) and (b) to provide the other party, before the close
                of
                business on the next business day after orally agreeing to enter
                into a
                Transaction, with notice of the specific Principal or Principals
                for whom
                it is acting in connection with such Transaction. If (i) Agent fails
                to
                identify such Principal or Principals prior to the close of business
                on
                such next business day or (ii) the other party shall determine in
                its sole
                discretion any Principal or Principals identified by Agent are not
                acceptable to it, the other party may reject and rescind any Transaction
                with such Principal or Principals, return to Agent any Purchased
                Loans or
                portion of the Purchase Price, as the case may be, previously transferred
                to the other party and refuse any further performance under such
                Transaction, and Agent shall immediately return to the other party
                any
                portion of the Purchase Price or Purchased Loans, as the case may
                be,
                previously transferred to Agent in connection with such Transaction;
                provided, however, that (A) the other party shall promptly (and in
                any
                event within one business day) notify Agent of its determination
                to reject
                and rescind such Transaction and (B) to the extent that any performance
                was rendered by any party under any Transaction rejected by the other
                party, and such party shall remain entitled to any Price Differential
                or
                other amounts that would have been payable to it with respect to
                such
                performance if such Transaction had not been rejected. The other
                party
                acknowledges that Agent shall not have any obligation to provide
                it with
                confidential information regarding the financial status of its Principals;
                Agent agrees, however, that it will assist the other party in obtaining
                from Agent’s Principals such Information regarding the financial status of
                such Principals as the other party may reasonably
                request.

            

    

    

    
      	
              3.

            	
              Limitation
                of Agent’s Liability.
                The parties expressly acknowledge that if the representations of
                Agent
                under the Agreement, including this Annex I, are true and correct
                in all
                material respects during the term of any Transaction and Agent otherwise
                complies with the provisions of this Annex I, then (a) Agent’s obligations
                under the Agreement shall not include a guarantee of performance
                by its
                Principal or Principals; provided that Agent shall remain liable
                for
                performance pursuant to Section 10 of the Agreement, and (b) the
                other
                party’s remedies shall not include a right of setoff in respect of rights
                or obligations, if any, of Agent arising in other transactions in
                which
                Agent is acting as principal.

            

    

    

    
      
        
        

      

      
        Annex.
          I -2

        
          

        

      

      
        
        

      

    

    
      	
              4.

            	
              Multiple
                Principals.

            

    

    

    
      	 	
              (a)

            	
              In
                the event that Agent proposes to act for more than one Principal
                hereunder, Agent and the other party shall elect whether (i) to treat
                Transactions under the Agreement as transactions entered into on
                behalf of
                separate Principals or (ii) to aggregate such Transactions as if
                they were
                transactions by a single Principal. Failure to make such an election
                in
                writing shall be deemed an election to treat Transactions under the
                Agreement as transactions on behalf of a single
                Principal.

            

    

    

    
      	 	
              (b)

            	
              In
                the event that Agent and the other party elect (or are deemed to
                elect) to
                treat Transactions under the Agreement as transactions on behalf
                of
                separate Principals, the parties agree that (i) Agent will provide
                the
                other party, together with the notice described in Section 2(b) of
                this
                Annex I, notice specifying the portion of each Transaction allocable
                to
                the account of each of the Principals for which it is acting (to
                the
                extent that any such Transaction is allocable to the account of more
                than
                one Principal); (ii) the portion of any individual Transaction allocable
                to each Principal shall be deemed a separate Transaction under the
                Agreement; (iii) the margin maintenance obligations of Seller under
                Section 6(a) of the Agreement shall be determined on a
                Transaction-by-Transaction basis (unless the parties agree to determine
                such obligations on a Principal-by-Principal basis); and (iv) Buyer’s
                remedies under the Agreement upon the occurrence of an Event of Default
                shall be determined as if Agent had entered into a separate Agreement
                with
                the other party on behalf of each of its
                Principals.

            

    

    

    
      	 	
              (c)

            	
              In
                the event that Agent and the other party elect to treat Transactions
                under
                the Agreement as if they were transactions by a single Principal,
                the
                parties agree that (i) Agent’s notice under Section 2(b) of this Annex I
                need only identify the names of its Principals but not the portion
                of each
                Transaction allocable to each Principal’s account; (ii) the margin
                maintenance obligations of Seller under Section 6(a) of the Agreement
                shall, subject to any greater requirement imposed by applicable law,
                be
                determined on an aggregate basis for all Transactions entered into
                by
                Agent on behalf of any Principal; and (iii) Buyer’s remedies upon the
                occurrence of an Event of Default shall be determined as if all Principals
                were a single Buyer.

            

    

    

    
      	 	
              (d)

            	
              Notwithstanding
                any other provision of the Agreement (including, without limitation,
                this
                Annex I), the parties agree that any Transactions by Agent on behalf
                of an
                employee benefit plan under ERISA shall be treated as Transactions
                on
                behalf of separate Principals in accordance with Section 4(b) of
                this
                Annex I (and all margin maintenance obligations of the parties shall
                be
                determined on a Transaction-by-Transaction
                basis).

            

    

    

    
      
        
        

      

      
        Annex.
          I -3

        
          

        

      

      
        
        

      

    

    
      	
              5.

            	
              Interpretation
                of Terms.
                All references to “Buyer” in the Agreement shall, subject to the
                provisions of this Annex I (including, among other provisions, the
                limitations on Agent’s liability in Section 3 of this Annex 1), be
                construed to reflect that (i) each Principal shall have, in connection
                with any Transaction or Transactions entered into by Agent on its
                behalf,
                the rights, responsibilities, privileges and obligations of a “Buyer”,
                directly entering into such Transaction or Transactions with the
                other
                party under the Agreement, and (ii) Agent’s Principal or Principals have
                designated Agent as their sole agent for performance of Buyer’s
                obligations to Seller, and for receipt of performance by Seller of
                its
                obligations to Buyer, in connection with any Transaction or Transactions
                under the Agreement (including, among other things, as Agent for
                each
                Principal in connection with transfers of Loans, securities, cash
                or other
                property and as agent for giving and receiving all notices under
                the
                Agreement). Both Agent and its Principal or Principals shall be deemed
                “parties” to the Agreement and all references to a “party” or “either
                party” in the Agreement shall be deemed revised
                accordingly.

            

    

    

    

    
      
        
        

      

      
        Annex.
          I -4

        
          

        

      

      
        
        

      

    

    

    Schedule
      1-A

    

    REPRESENTATIONS
      AND WARRANTIES RE: RESIDENTIAL LOANS

    

    Eligible
      Loans

    

    As
      to
      each Purchased Loan that is secured by residential property and is subject
      to a
      Transaction hereunder (and the related Mortgage, Note, Assignment of Mortgage
      and Mortgaged Property), the related Seller shall be deemed to make the
      following representations and warranties to Buyer as of the Purchase Date and
      as
      of each date such Loan is subject to a Transaction:

    

    (a) Loans
      as Described.
      The
      information set forth in the Loan Schedule with respect to the Loan is complete,
      true and correct in all material respects.

    

    (b) Payments
      Current.
      The
      first Monthly Payment shall have been made prior to the second scheduled Monthly
      Payment becoming due.

    

    (c) No
      Outstanding Charges.
      There
      are no defaults in complying with the terms of the Mortgage securing the Loan,
      and all taxes, governmental assessments, insurance premiums, water, sewer and
      municipal charges, leasehold payments or ground rents which previously became
      due and owing have been paid, or an escrow of funds has been established in
      an
      amount sufficient to pay for every such item which remains unpaid and which
      has
      been assessed but is not yet due and payable. Neither any Seller nor the
      Qualified Originator from which the related Seller acquired the Loan has
      advanced funds (provided that any Loan which is a Negative Amortization Loan
      shall not be deemed to have funds), or induced, solicited or knowingly received
      any advance of funds by a party other than the Mortgagor, directly or
      indirectly, for the payment of any amount required under the Loan, except for
      interest accruing from the date of the Note or date of disbursement of the
      proceeds of the Loan, whichever is more recent, to the day which precedes by
      one
      month the Due Date of the first installment of principal and interest
      thereunder.

    

    (d) Original
      Terms Unmodified.
      The
      terms of the Note and Mortgage have not been impaired, waived, altered or
      modified in any respect, from the date of origination; except by a written
      instrument which has been recorded, if necessary to protect the interests of
      the
      Buyer, and which has been delivered to the Custodian and the terms of which
      are
      reflected in the Loan Schedule. The substance of any such waiver, alteration
      or
      modification has been approved by the title insurer, to the extent required
      by
      the title insurance policy, and its terms are reflected on the Loan Schedule.
      No
      Mortgagor in respect of the Loan has been released, in whole or in part, except
      in connection with an assumption agreement approved by the title insurer, to
      the
      extent required by such policy, and which assumption agreement is part of the
      Mortgage File delivered to the Custodian and the terms of which are reflected
      in
      the Loan Schedule.

    

    (e) No
      Defenses.
      The
      Loan is not subject to any right of rescission, setoff, counterclaim or defense,
      including without limitation the defense of usury, nor will the operation of
      any
      of the terms of the Note or the Mortgage, or the exercise of any right
      thereunder, render either the Note or the Mortgage unenforceable, in whole
      or in
      part and no such right of rescission, set-off, counterclaim or defense has
      been
      asserted with respect thereto, and no Mortgagor in respect of the Loan was
      a
      debtor in any state or Federal bankruptcy or insolvency proceeding at the time
      the Loan was originated.

    

    
      
        
        

      

      
        Sch
          1A - 1

        
          

        

      

      
        
        

      

    

    (f) Hazard
      Insurance.
      The
      Mortgaged Property is insured by a fire and extended perils insurance policy,
      issued by a Qualified Insurer, and such other hazards as are customary in the
      area where the Mortgaged Property is located, and to the extent required by
      the
      Seller as of the date of origination consistent with the Underwriting
      Guidelines, against earthquake and other risks insured against by Persons
      operating like properties in the locality of the Mortgaged Property, in an
      amount not less than the greatest of (i) 100% of the replacement cost of all
      improvements to the Mortgaged Property, (ii) the outstanding principal balance
      of the Loan with respect to each first lien Loan, (iii) the amount necessary
      to
      avoid the operation of any co-insurance provisions with respect to the Mortgaged
      Property, and consistent with the amount that would have been required as of
      the
      date of origination in accordance with the Underwriting Guidelines or (iv)
      the
      amount necessary to fully compensate for any damage or loss to the improvements
      that are a part of such property on a replacement cost basis. If any portion
      of
      the Mortgaged Property is in an area identified by any federal Governmental
      Authority as having special flood hazards, and flood insurance is available,
      a
      flood insurance policy meeting the current guidelines of the Federal Insurance
      Administration is in effect with a generally acceptable insurance carrier,
      in an
      amount representing coverage not less than the least of (1) the outstanding
      principal balance of the Loan, (2) the full insurable value of the Mortgaged
      Property, and (3) the maximum amount of insurance available under the Flood
      Disaster Protection Act of 1973, as amended. All such insurance policies
      (collectively, the “hazard insurance policy”) contain a standard mortgagee
      clause naming the Seller, its successors and assigns (including without
      limitation, subsequent owners of the Loan), as mortgagee, and may not be
      reduced, terminated or canceled without 30 days’ prior written notice to the
      mortgagee. No such notice has been received by the Seller. All premiums due
      and
      owing on such insurance policy have been paid. The related Mortgage obligates
      the Mortgagor to maintain all such insurance and, at such Mortgagor’s failure to
      do so, authorizes the mortgagee to maintain such insurance at the Mortgagor’s
      cost and expense and to seek reimbursement therefor from such Mortgagor. Where
      required by state law or regulation, the Mortgagor has been given an opportunity
      to choose the carrier of the required hazard insurance, provided the policy
      is
      not a “master” or “blanket” hazard insurance policy covering a condominium, or
      any hazard insurance policy covering the common facilities of a planned unit
      development. The hazard insurance policy is the valid and binding obligation
      of
      the insurer and is in full force and effect. The Seller has not engaged in,
      and
      has no knowledge of the Mortgagor’s having engaged in, any act or omission which
      would impair the coverage of any such policy, the benefits of the endorsement
      provided for herein, or the validity and binding effect of either including,
      without limitation, no unlawful fee, commission, kickback or other unlawful
      compensation or value of any kind has been or will be received, retained or
      realized by any attorney, firm or other Person, and no such unlawful items
      have
      been received, retained or realized by the Seller.

    

    (g) Compliance
      with Applicable Laws.
      Any and
      all requirements of any federal, state or local law including, without
      limitation, usury, truth-in-lending, all applicable predatory and abusive
      lending, real estate settlement procedures, consumer credit protection, equal
      credit opportunity or disclosure laws applicable to the origination and
      servicing of such Loan have been complied with, the consummation of the
      transactions contemplated hereby will not involve the violation of any such
      laws
      or regulations, and the Seller shall maintain or shall cause its agent to
      maintain in its possession, available for the inspection of the Buyer, and
      shall
      deliver to the Buyer, upon two Business Days’ request, evidence of compliance
      with all such requirements.

    

    (h) No
      Satisfaction of Mortgage.
      The
      Mortgage has not been satisfied, canceled, subordinated or rescinded, in whole
      or in part, and the Mortgaged Property has not been released from the lien
      of
      the Mortgage, in whole-or in part, nor has any instrument been executed that
      would effect any such release, cancellation, subordination or rescission other
      than in the case of a release of a portion of the land comprising a Mortgaged
      Property or a release of a blanket Mortgage which release will not cause the
      Loan to fail to satisfy the Underwriting Guidelines. The Seller has not waived
      the performance by the Mortgagor of any action, if the Mortgagor’s failure to
      perform such action would cause the Loan to be in default, nor has the Seller
      waived any default resulting from any action or inaction by the
      Mortgagor.

    

    
      
        
        

      

      
        Sch
          1A - 2

        
          

        

      

      
        
        

      

    

    (i) Location
      and Type of Mortgaged Property.
      The
      Mortgaged Property is located in the state identified in the Loan Schedule
      and
      consists of a single parcel of real property with a detached single family
      residence erected thereon, or a two- to four-family dwelling, or an individual
      condominium unit in a condominium project, or an individual unit in a planned
      unit development or a de minimis planned unit development, provided, however,
      that any condominium unit or planned unit development shall conform with the
      applicable Fannie Mae and Freddie Mac requirements regarding such dwellings,
      that a de minimus percentage of the Loans may be Cooperative Loans and that
      no
      residence or dwelling is a mobile home or a manufactured dwelling. Except for
      Mixed Use Loans, no portion of the Mortgaged Property is used for commercial
      purposes.

    

    (j) Valid
      Lien.
      The
      Mortgage (including any Negative Amortization which may arise thereunder) is
      a
      valid, subsisting, enforceable and perfected first lien and first priority
      security interest with respect to each Loan on the real property included in
      the
      Mortgaged Property, including all buildings on the Mortgaged Property and all
      installations and mechanical, electrical, plumbing, heating and air conditioning
      systems located in or annexed to such buildings, and all additions, alterations
      and replacements made at any time with respect to the foregoing and with respect
      to Cooperative Loans, including the Proprietary Lease and the Cooperative
      Shares. The lien of the Mortgage is subject only to:

    

    (1) the
      lien
      of current real property taxes and assessments not yet due and
      payable;

    

    (2) covenants,
      conditions and restrictions, rights of way, easements and other matters of
      the
      public record as of the date of recording acceptable to prudent mortgage lending
      institutions generally and specifically referred to in the lender’s title
      insurance policy delivered to the originator of the Loan and (a) referred to
      or
      otherwise considered in the appraisal made for the originator of the Loan or
      (b)
      which do not adversely affect the Appraised Value of the related Mortgaged
      Property set forth in such appraisal; and

    

    (3) 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 the
      Mortgage or the use, enjoyment, value or marketability of the related Mortgaged
      Property. 

    

    Any
      security agreement, chattel mortgage or equivalent document related to and
      delivered in connection with the Loan establishes and creates a valid,
      subsisting and enforceable first lien and first priority security interest
      on
      the property described therein and the Seller has full right to pledge and
      assign the same to the Buyer. The Mortgaged Property was not, as of the date
      of
      origination of the Loan, subject to a mortgage, deed of trust, deed to secure
      debt or other security instrument creating a lien subordinate to the lien of
      the
      Mortgage.

    

    (k) Validity
      of Mortgage Documents.
      The
      Note and the Mortgage and any other agreement executed and delivered by a
      Mortgagor or guarantor, if applicable, in connection with a Loan are genuine,
      and each is the legal, valid and binding obligation of the maker thereof
      enforceable in accordance with its terms. All parties to the Note, the Mortgage
      and any other such related agreement had legal capacity to enter into the Loan
      and to execute and deliver the Note, the Mortgage and any such agreement, and
      the Note, the Mortgage and any other such related agreement have been duly
      and
      properly executed by such related parties. No fraud, error, omission,
      misrepresentation, negligence or similar occurrence with respect to a Loan
      has
      taken place on the part of any Person, including, without limitation, the
      Mortgagor, any appraiser, any builder or developer, or any other party involved
      in the origination of the Loan. The Seller has reviewed all of the documents
      constituting the Servicing File and has made such inquiries as it deems
      necessary to make and confirm the accuracy of the representations set forth
      herein.

    

    (l) Full
      Disbursement of Proceeds.
      The
      proceeds of the Loan have been fully disbursed and there is no further
      requirement for future advances thereunder, and any and all requirements as
      to
      completion of any on-site or off-site improvement and as to disbursements of
      any
      escrow funds therefor have been complied with; provided that a de minimus
      percentage of the Loans may have escrow holdbacks, as indicated on the related
      Loan Schedule. All costs, fees and expenses incurred in making or closing the
      Loan and the recording of the Mortgage were paid, and the Mortgagor is not
      entitled to any refund of any amounts paid or due under the Note or
      Mortgage.

    

    
      
        
        

      

      
        Sch
          1A - 3

        
          

        

      

      
        
        

      

    

    (m) Ownership.
      The
      Seller is the sole owner and holder of the Loan. All Loans acquired by the
      Seller from third parties (including affiliates) were acquired in a true and
      legal sale pursuant to which such third party sold, transferred, conveyed and
      assigned to the Seller all of its right, title and interest in, to and under
      such Loan and retained no interest in such Loan. In connection with such sale,
      such third party received reasonably equivalent value and fair consideration
      and, in accordance with GAAP and for federal income tax purposes, reported
      the
      sale of such Loan to the Seller as a sale of its interests in such Loan. The
      Loan is not assigned or pledged, and the Seller has good, indefeasible and
      marketable title thereto, and has full right to transfer, pledge and assign
      the
      Loan to the Buyer free and clear of any encumbrance, equity, participation
      interest, lien, pledge, charge, claim or security interest, and has full right
      and authority subject to no interest or participation of, or agreement with,
      any
      other party, to assign, transfer and pledge each Loan pursuant to this Agreement
      and following the pledge of each Loan, the Buyer will hold such Loan free and
      clear of any encumbrance, equity, participation interest, lien, pledge, charge,
      claim or security interest except any such security interest created pursuant
      to
      the terms of this Agreement.

    

    (n) Doing
      Business.
      All
      parties which have had any interest in the Loan, whether as mortgagee, assignee,
      pledgee or otherwise, are (or, during the period in which they held and disposed
      of such interest, were) (i) in compliance with any and all applicable licensing
      requirements of the laws of the state wherein the Mortgaged Property is located,
      and (ii) either (A) organized under the laws of such state, (B) qualified to
      do
      business in such state, (C) a federal savings and loan association, a savings
      bank or a national bank having a principal office in such state or (D) not
      doing
      business in such state.

    

    (o) LTV.
      As of
      the date of origination of the Loan, the LTV and is as identified on the Loan
      Schedule.

    

    (p) Title
      Insurance.
      The
      Loan is covered by either (i) an attorney’s opinion of title and abstract of
      title, the form and substance of which is acceptable to prudent mortgage lending
      institutions making mortgage loans in the area wherein the Mortgaged Property
      is
      located or (ii) an ALTA lender’s title insurance policy or other generally
      acceptable form of policy or insurance acceptable to Fannie Mae or Freddie
      Mac
      and each such title insurance policy is issued by a title insurer acceptable
      to
      Fannie Mae or Freddie Mac and qualified to do business in the jurisdiction
      where
      the Mortgaged Property is located, insuring the Seller, its successors and
      assigns, as to the first priority lien of the Mortgage in the original principal
      amount of the Loan (including, to the extent a Note provides for Negative
      Amortization, the maximum amount of Negative Amortization in accordance with
      the
      Mortgage), subject only to the exceptions contained in clauses (1), (2) and
      (3)
      of paragraph (j) of this Part I of Schedule 1-A, and in the case of Adjustable
      Rate Loans, against any loss by reason of the invalidity or unenforceability
      of
      the lien resulting from the provisions of the Mortgage providing for adjustment
      to the Mortgage Interest Rate and Monthly Payment and Negative Amortization.
      Where required by state law or regulation, the Mortgagor has been given the
      opportunity to choose the carrier of the required mortgage title insurance.
      Additionally, such lender’s title insurance policy affirmatively insures ingress
      and egress and against encroachments by or upon the Mortgaged Property or any
      interest therein. The title policy does not contain any special exceptions
      (other than the standard exclusions) for zoning and uses and has been marked
      to
      delete the standard survey exception or to replace the standard survey exception
      with a specific survey reading. The Seller, its successors and assigns, are
      the
      sole insureds of such lender’s title insurance policy, and such lender’s title
      insurance policy is valid and remains in full force and effect and will be
      in
      force and effect upon the consummation of the transactions contemplated by
      this
      Agreement. No claims have been made under such lender’s title insurance policy,
      and no prior holder or servicer of the related Mortgage, including the Seller,
      has done, by act or omission, anything which would impair the coverage of such
      lender’s title insurance policy, including, without limitation, no unlawful fee,
      commission, kickback or other unlawful compensation or value of any kind has
      been or will be received, retained or realized by any attorney, firm or other
      Person, and no such unlawful items have been received, retained or realized
      by
      the Seller.

    

    
      
        
        

      

      
        Sch
          1A - 4

        
          

        

      

      
        
        

      

    

    (q) No
      Defaults.
      There
      is no default, breach, violation or event of acceleration existing under the
      Mortgage or the Note and no event has occurred which, with the passage of time
      or with notice and the expiration of any grace or cure period, would constitute
      a default, breach, violation or event of acceleration, and neither the Seller
      nor its predecessors have waived any default, breach, violation or event of
      acceleration. 

    

    (r) No
      Mechanics’ Liens.
      At
      origination, there were no mechanics’ or similar liens or claims which have been
      filed for work, labor or material (and no rights are outstanding that under
      the
      law could give rise to such liens) affecting the Mortgaged Property which are
      or
      may be liens prior to, or equal or coordinate with the lien of the
      Mortgage.

    

    (s) Location
      of Improvements; No Encroachments.
      All
      improvements which were considered in determining the Appraised Value of the
      Mortgaged Property lie wholly within the boundaries and building restriction
      lines of the Mortgaged Property, and no improvements on adjoining properties
      encroach upon the Mortgaged Property. No improvement located on or being part
      of
      the Mortgaged Property is in violation of any applicable zoning and building
      law, ordinance or regulation.

    

    (t) Origination;
      Payment Terms.
      The
      Loan was originated by or in conjunction with a mortgagee approved by the
      Secretary of Housing and Urban Development pursuant to Sections 203 and 211
      of
      the National Housing Act, a savings and loan association, a savings bank, a
      commercial bank, credit union, insurance company or similar banking institution
      which is supervised and examined by a federal or state authority. Principal
      payments on the Loan commenced no more than sixty (60) days after funds were
      disbursed in connection with the Loan. The Mortgage Interest Rate is adjusted,
      with respect to Adjustable Rate Loans, on each Interest Rate Adjustment Date
      to
      equal the Index plus the Gross Margin (rounded up or down to the nearest .125
      %), subject to the Mortgage Interest Rate Cap. With respect to each Negative
      Amortization Loan, the related Note requires a Monthly Payment which is
      sufficient during the period following each Payment Adjustment Date, to fully
      amortize the outstanding principal balance as of the first day of such period
      (including any Negative Amortization) over the then remaining term of such
      Note
      and to pay interest at the related Mortgage Interest Rate; provided, that the
      Monthly Payment shall not increase to an amount that exceeds 107.5% of the
      amount of the Monthly Payment that was due immediately prior to the Payment
      Adjustment Date; provided, further, that the payment adjustment cap shall not
      be
      applicable with respect to the adjustment made to the Monthly Payment that
      occurs in a year in which the Loan has been outstanding for a multiple of five
      (5) years and in any such year the Monthly Payment shall be adjusted to fully
      amortize the Loan over the remaining term. The Due Date of the first payment
      under the Note is no more than 60 days from the date of the Note.

    

    (u) Customary
      Provisions.
      The
      Note has a stated maturity. The Mortgage contains customary and enforceable
      provisions such as to render the rights and remedies of the holder thereof
      adequate for the realization against the Mortgaged Property of the benefits
      of
      the security provided thereby, including, (i) in the case of a Mortgage
      designated as a deed of trust, by trustee’s sale, and (ii) otherwise by judicial
      foreclosure. Upon default by a Mortgagor on a Loan and foreclosure on, or
      trustee’s sale of, the Mortgaged Property pursuant to the proper procedures, the
      holder of the Loan will be able to deliver good and merchantable title to the
      Mortgaged Property. There is no homestead or other exemption available to a
      Mortgagor which would interfere with the right to sell the Mortgaged Property
      at
      a trustee’s sale or the right to foreclose the Mortgage.

    

    
      
        
        

      

      
        Sch
          1A - 5

        
          

        

      

      
        
        

      

    

    (v) Conformance
      with Underwriting Guidelines and Agency Standards.
      The
      Loan was underwritten in accordance with the applicable Underwriting Guidelines.
      The Note and Mortgage are on forms similar to those used by Freddie Mac or
      Fannie Mae and the Seller has not made any representations to a Mortgagor that
      are inconsistent with the mortgage instruments used.

    

    (w) Occupancy
      of the Mortgaged Property.
      As of
      the Purchase Date the Mortgaged Property is either vacant or lawfully occupied
      under applicable law. All inspections, licenses and certificates required to
      be
      made or issued with respect to all occupied portions of the Mortgaged Property
      and, with respect to the use and occupancy of the same, including but not
      limited to certificates of occupancy and fire underwriting certificates, have
      been made or obtained from the appropriate authorities. The Seller has not
      received written notification from any governmental authority that the Mortgaged
      Property is in material non-compliance with such laws or regulations, is being
      used, operated or occupied unlawfully or has failed to have or obtain such
      inspection, licenses or certificates, as the case may be. The Seller has not
      received notice of any violation or failure to conform with any such law,
      ordinance, regulation, standard, license or certificate. Except as otherwise
      set
      forth in the Loan Schedule, the Mortgagor represented at the time of origination
      of the Loan that the Mortgagor would occupy the Mortgaged Property as the
      Mortgagor’s primary residence.

    

    (x) No
      Additional Collateral.
      The
      Note is not and has not been secured by any collateral except the lien of the
      corresponding Mortgage and the security interest of any applicable security
      agreement or chattel mortgage referred to in clause (j) above.

    

    (y) Deeds
      of Trust.
      In the
      event the Mortgage constitutes a deed of trust, a trustee, authorized and duly
      qualified under applicable law to serve as such, has been properly designated
      and currently so serves and is named in the Mortgage, and no fees or expenses
      are or will become payable by the Custodian or the Buyer to the trustee under
      the deed of trust, except in connection with a trustee’s sale after default by
      the Mortgagor.

    

    (z) Delivery
      of Mortgage Documents.
      If the
      Loan is a Dry Loan, the Note, the Mortgage, the Assignment of Mortgage (other
      than for a MERS Loan) and any other documents required to be delivered under
      the
      Custodial Agreement for each Loan have been delivered to the Custodian. The
      Seller or its agent is in possession of a complete, true and materially accurate
      Mortgage File in compliance with the Custodial Agreement, except for such
      documents the originals of which have been delivered to the
      Custodian.

    

    (aa) Transfer
      of Loans.
      The
      Assignment of Mortgage is in recordable form and is acceptable for recording
      under the laws of the jurisdiction in which the Mortgaged Property is
      located.

    

    (bb) Due-On-Sale.
      The
      Mortgage contains an enforceable provision for the acceleration of the payment
      of the unpaid principal balance of the Loan in the event that the Mortgaged
      Property is sold or transferred without the prior written consent of the
      mortgagee thereunder.

    

    (cc) No
      Buydown Provisions; No Graduated Payments or Contingent
      Interests.
      The
      Loan does not contain provisions pursuant to which Monthly Payments are paid
      or
      partially paid with funds deposited in any separate account established by
      the
      Seller, the Mortgagor, or anyone on behalf of the Mortgagor, or paid by any
      source other than the Mortgagor nor does it contain any other similar provisions
      which may constitute a “buydown” provision. The Loan is not a graduated payment
      mortgage loan and the Loan does not have a shared appreciation or other
      contingent interest feature.

    

    
      
        
        

      

      
        Sch
          1A - 6

        
          

        

      

      
        
        

      

    

    (dd) Consolidation
      of Future Advances.
      Any
      future advances made to the Mortgagor prior to the origination of the Loan
      have
      been consolidated with the outstanding principal amount secured by the Mortgage,
      and the secured principal amount, as consolidated, bears a single interest
      rate
      and single repayment term. The lien of the Mortgage securing the consolidated
      principal amount is expressly insured as having first lien priority by a title
      insurance policy, an endorsement to the policy insuring the mortgagee’s
      consolidated interest or by other title evidence acceptable to Fannie Mae and
      Freddie Mac. The consolidated principal amount does not exceed the original
      principal amount of the Loan plus any Negative Amortization.

    

    (ee) Mortgaged
      Property Undamaged.
      The
      Mortgaged Property (and with respect to any Cooperative Loan, the Cooperative
      Unit) is undamaged by waste, fire, earthquake or earth movement, windstorm,
      flood, tornado or other casualty so as to affect adversely the value of the
      Mortgaged Property as security for the Loan or the use for which the premises
      were intended and each Mortgaged Property is in good repair. There have not
      been
      any condemnation proceedings with respect to the Mortgaged Property and the
      Seller has no knowledge of any such proceedings.

    

    (ff) Collection
      Practices; Escrow Deposits: Interest Rate Adjustments.
      The
      origination and collection practices used by the originator, each servicer
      of
      the Loan and the Seller with respect to the Loan have been in all material
      respects in compliance with Accepted Servicing Practices, applicable laws and
      regulations, and have been in all respects legal and proper. With respect to
      escrow deposits and Escrow Payments, all such payments are in the possession
      of,
      or under the control of, the Seller and there exist no deficiencies in
      connection therewith for which customary arrangements for repayment thereof
      have
      not been made. All Escrow Payments have been collected in full compliance with
      state and federal law. An escrow of funds is not prohibited by applicable law
      and has been established in an amount sufficient to pay for every item that
      remains unpaid and has been assessed but is not yet due and payable. No escrow
      deposits or Escrow Payments or other charges or payments due the Seller have
      been capitalized under the Mortgage or the Note. All Mortgage Interest Rate
      adjustments have been made in strict compliance with state and federal law
      and
      the terms of the related Note. Any interest required to be paid pursuant to
      state, federal and local law has been properly paid and credited.

    

    (gg) Conversion
      to Fixed Interest Rate.
      With
      respect to Adjustable Rate Loans, the Loan is not convertible to a fixed
      interest rate Loan unless otherwise disclosed to Buyer on the related Loan
      Schedule.

    

    (hh) Other
      Insurance Policies.
      No
      action, inaction or event has occurred and no state of facts exists or has
      existed that has resulted or will result in the exclusion from, denial of,
      or
      defense to coverage under any applicable special hazard insurance policy, PMI
      Policy or bankruptcy bond, irrespective of the cause of such failure of
      coverage. In connection with the placement of any such insurance, no commission,
      fee, or other compensation has been or will be received by the Seller or by
      any
      officer, director, or employee of the Seller or any designee of the Seller
      or
      any corporation in which the Seller or any officer, director, or employee had
      a
      financial interest at the time of placement of such insurance.

    

    (ii) Servicepersons’
      Civil Relief Act.
      The
      Mortgagor has not notified the Seller, and the Seller has no knowledge, of
      any
      relief requested or allowed to the Mortgagor under the Servicepersons’ Civil
      Relief Act.

    

    (jj) Appraisal.
      The
      Mortgage File contains an appraisal of the related Mortgaged Property signed
      prior to the approval of the Loan application by a qualified appraiser, duly
      appointed by the Seller or the Qualified Originator, who had no interest, direct
      or indirect in the Mortgaged Property or in any loan made on the security
      thereof, and whose compensation is not affected by the approval or disapproval
      of the Loan, and the appraisal and appraiser both satisfy the requirements
      of
      Fannie Mae or Freddie Mac and Title XI of the Federal Institutions Reform,
      Recovery, and Enforcement Act of 1989 as amended and the regulations promulgated
      thereunder, all as in effect on the date the Loan was originated.

    

    
      
        
        

      

      
        Sch
          1A - 7

        
          

        

      

      
        
        

      

    

    (kk) Disclosure
      Materials.
      The
      Mortgagor has executed a statement to the effect that the Mortgagor has received
      all disclosure materials required by applicable law with respect to the making
      of adjustable rate mortgage loans, and the Seller maintains such statement
      in
      the Mortgage File.

    

    (ll) Construction
      or Rehabilitation of Mortgaged Property.
      No Loan
      was made in connection with the construction or rehabilitation of a Mortgaged
      Property or facilitating the trade-in or exchange of a Mortgaged
      Property.

    

    (mm) No
      Defense to Insurance Coverage.
      No
      action has been taken or failed to be taken, no event has occurred and no state
      of facts exists or has existed on or prior to the Purchase Date (whether or
      not
      known to the Seller on or prior to such date) which has resulted or will result
      in an exclusion from, denial of, or defense to coverage under any private
      mortgage insurance (including, without limitation, any exclusions, denials
      or
      defenses which would limit or reduce the availability of the timely payment
      of
      the full amount of the loss otherwise due thereunder to the insured) whether
      arising out of actions, representations, errors, omissions, negligence, or
      fraud
      of the Seller, the related Mortgagor or any party involved in the application
      for such coverage, including the appraisal, plans and specifications and other
      exhibits or documents submitted therewith to the insurer under such insurance
      policy, or for any other reason under such coverage, but not including the
      failure of such insurer to pay by reason of such insurer’s breach of such
      insurance policy or such insurer’s financial inability to pay.

    

    (nn) Capitalization
      of Interest.
      The
      Note does not by its terms provide for the capitalization or forbearance of
      interest.

    

    (oo) No
      Equity Participation.
      No
      document relating to the Loan provides for any contingent or additional interest
      in the form of participation in the cash flow of the Mortgaged Property or
      a
      sharing in the appreciation of the value of the Mortgaged Property. The
      indebtedness evidenced by the Note is not convertible to an ownership interest
      in the Mortgaged Property or the Mortgagor and the Seller has not financed
      nor
      does it own directly or indirectly, any equity of any form in the Mortgaged
      Property or the Mortgagor.

    

    (pp) Withdrawn
      Loans.
      If the
      Loan has been released to the Seller pursuant to a Request for Release as
      permitted under Section 5 of the Custodial Agreement, then the promissory note
      relating to the Loan was returned to the Custodian within 10 days (or if such
      tenth day was not a Business Day, the next succeeding Business
      Day).

    

    (qq) No
      Exception.
      Other
      than as noted by the Custodian on the Exception Report; no Exception exists
      (as
      defined in the Custodial Agreement) with respect to the Loan which would
      materially adversely affect the Loan or the Buyer’s security interest, granted
      by the Seller, in the Loan as determined by the Buyer in its sole
      discretion.

    

    (rr) Qualified
      Originator.
      The
      Loan has been originated by, and, if applicable, purchased by the Seller from,
      a
      Qualified Originator.

    

    (ss) Mortgage
      Submitted for Recordation.
      The
      Mortgage (other than for a MERS Loan) has been submitted for recordation in
      the
      appropriate governmental recording office of the jurisdiction where the
      Mortgaged Property is located.

    

    (tt) Reserved.

    

    
      
        
        

      

      
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          1A - 8

        
          

        

      

      
        
        

      

    

    (uu) Acceptable
      Investment.
      No
      specific circumstances or conditions exist with respect to the Mortgage, the
      Mortgaged Property, the Mortgagor or the Mortgagor’s credit standing that should
      reasonably be expected to (i) cause private institutional investors which invest
      in Loans similar to the Loan to regard the Loan as an unacceptable investment,
      (ii) cause the Loan to be more likely to become past due in comparison to
      similar Loans, or (iii) adversely affect the value or marketability of the
      Loan
      in comparison to similar Loans;

    

    (vv) Environmental
      Matters.
      The
      Mortgaged Property is free from any and all toxic or hazardous substances and
      there exists no violation of any local, state or federal environmental law,
      rule
      or regulation;

    

    (ww) Ground
      Leases.
      With
      respect to each ground lease to which the Mortgaged Property is subject (a
      “Ground Lease”): (i) the Mortgagor is the owner of a valid and subsisting
      interest as tenant under the Ground Lease; (ii) the Ground Lease is in full
      force and effect, unmodified and not supplemented by any writing or otherwise;
      (iii) all rent, additional rent and other charges reserved therein have been
      paid to the extent they are payable to the date hereof; (iv) the Mortgagor
      enjoys the quiet and peaceful possession of the estate demised thereby, subject
      to any sublease; (v) the Mortgagor is not in default under any of the terms
      thereof and there are no circumstances which, with the passage of time or the
      giving of notice or both, would constitute an event of default thereunder;
      (vi)
      the lessor under the Ground Lease is not in default under any of the terms
      or
      provisions thereof on the part of the lessor to be observed or performed; (vii)
      the lessor under the Ground Lease has satisfied all of its repair or
      construction obligations, if any, to date pursuant to the terms of the Ground
      Lease; (viii) the remaining term of the Ground Lease extends not less than
      ten
      (10) years following the maturity date of such Loan; and (ix) the execution,
      delivery and performance of the Mortgage do not require the consent (other
      than
      those consents which have been obtained and are in full force and effect) under,
      and will not contravene any provision of or cause a default under, the Ground
      Lease;

    

    (xx) Value
      of Mortgaged Property.
      The
      Seller has no knowledge of any circumstances existing that should reasonably
      be
      expected to adversely affect the value or the marketability of the Mortgaged
      Property or the Loan or to cause the Loan to prepay during any period materially
      faster or slower than the Loans originated by the Seller generally;

    

    (yy) HOEPA.
      No Loan
      is (a) subject to the provisions of the Homeownership and Equity Protection
      Act
      of 1994 as amended (“HOEPA”), (b) a “high cost” mortgage loan, “covered”
mortgage loan, “high risk home” mortgage loan, or “predatory” mortgage loan or
      any other comparable term, no matter how defined under any federal, state or
      local law, (c) subject to any comparable federal, state or local statutes or
      regulations, or any other statute or regulation providing for heightened
      regulatory scrutiny or assignee liability to holders of such mortgage loans,
      or
      (d) a High Cost Loan or Covered Loan, as applicable (as such terms are defined
      in the current Standard & Poor’s LEVELS® Glossary Revised, Appendix
      E);

    

    (zz) No
      Predatory Lending.
      No
      predatory, abusive or deceptive lending practices, including but not limited
      to,
      the extension of credit to a mortgagor without regard for the mortgagor’s
      ability to repay the Loan and the extension of credit to a mortgagor which
      has
      no tangible net benefit to the mortgagor, were employed in connection with
      the
      origination of the Loan;

    

    (aaa) Georgia
      Mortgage Loans.
      No Loan
      which is secured by a Mortgaged Property which is located in the state of
      Georgia was originated prior to March 7, 2004; and

    

    
      
        
        

      

      
        Sch
          1A - 9

        
          

        

      

      
        
        

      

    

    (bbb) Cooperative
      Loans.
      With
      respect to each Cooperative Loan, each original UCC financing statement,
      continuation statement or other governmental filing or recordation necessary
      to
      create or preserve the perfection and priority of the first priority lien and
      security interest in the Cooperative Shares and Proprietary Lease has been
      timely and properly made. Any security agreement, chattel mortgage or equivalent
      document related to the Cooperative Loan and delivered to the Seller or its
      designee establishes in the Seller a valid and subsisting perfected first lien
      on and security interest in the Mortgaged Property described therein, and the
      Seller has full right to sell and assign the same.

    

    (ccc) MERS
      Loans.
      With
      respect to each MERS Loan, a Mortgage Identification Number has been assigned
      by
      MERS and such Mortgage Identification Number is accurately provided on the
      Loan
      Schedule. The related Assignment of Mortgage to MERS has been duly and properly
      recorded. With respect to each MERS Loan, Seller has not received any notice
      of
      liens or legal actions with respect to such Loan and no such notices have been
      electronically posted by MERS.

    

    (ddd) Eligibility
      Criteria.
      The
      Loan is an Eligible Loan and complies with all other eligibility requirements
      set forth in the Pricing Side Letter.

    

    
      
        
        

      

      
        Sch
          1A - 10

        
          

        

      

      
        
        

      

    

    Schedule
      1-A

    

    REPRESENTATIONS
      AND WARRANTIES RE: SMALL
      BALANCE COMMERCIAL LOANS

    

    Eligible
      Loans

    

    As
      to
      each Purchased Loan that is a Small Balance Commercial Loan and is subject
      to a
      Transaction hereunder (and the related Mortgage, Note, Assignment of Mortgage
      and Mortgaged Property), the related Seller shall be deemed to make the
      following representations and warranties to Buyer as of the Purchase Date and
      as
      of each date such Loan is subject to a Transaction:

    

    (a) Loan
      Schedule.
      The
      information set forth in the Loan Schedule is complete, true and correct in
      all
      material respects as of the date set forth therein.

    

    (b) Whole
      Loan; Ownership of Loans.
      Each
      Loan is a whole loan and not a participation interest in a mortgage loan.
      Immediately prior to the transfer to the Buyer, the Seller has good title to,
      and is the sole owner of, each Loan and has full right, power and authority
      to
      sell, transfer, pledge and assign each of the Loans to the Buyer free and clear
      of any and all pledges, liens, charges, security interests and/or other
      encumbrances. The Seller and each prior holder of the Loan, if any, was
      qualified and appropriately licensed (or was exempt from such qualification
      or
      license) to transact business in the jurisdiction in which the related Mortgaged
      Property is located at the time such entity had possession of the Note except
      where the failure to be qualified or licensed would not have a material adverse
      effect on the Loans. The sale of the Loans to the Buyer does not require the
      Seller to obtain any governmental or regulatory approval or consent that has
      not
      been obtained. None of the Mortgage Loan Documents restricts the Seller’s right
      to transfer the Loan to the Buyer.

    

    (c) Lien;
      Valid Assignment.
      No Loan
      is a second lien Loan. The Mortgage related to and delivered in connection
      with
      each Loan constitutes a valid and, subject to the exceptions set forth below,
      enforceable first priority lien upon the related Mortgaged Property, prior
      to
      all other liens and encumbrances, except for (i) the lien for current real
      estate taxes and assessments not yet past due and payable, (ii) covenants,
      conditions and restrictions, rights of way, easements and other matters that
      are
      of public record and/or are referred to in the related lender’s title insurance
      policy, (iii) exceptions and exclusions specifically referred to in such
      lender’s title insurance policy, and (iv) other matters to which like properties
      are commonly subject, none of which matters referred to in clauses (ii), (iii)
      or (iv), individually or in the aggregate, materially interferes with the
      security intended to be provided by such Mortgage, the value or current use
      or
      operation of the Mortgaged Property or the current ability of the Mortgaged
      Property to generate operating income sufficient to service the Loan debt (the
      foregoing items (i) through (iv) being herein referred to as the “Permitted
      Encumbrances”).
      The
      related Assignment of Mortgage executed and delivered to the Custodian in blank,
      is otherwise in recordable form and constitutes a legal, valid and binding
      assignment, and, assuming that the assignee has the capacity to acquire such
      Mortgage, sufficient to convey to the assignee named therein all of the
      assignor’s right, title and interest in, to and under such Mortgage.
      Notwithstanding the fact that the Seller shall not be required to file Uniform
      Commercial Code financing statements or continuation statements, such Mortgage,
      together with any separate security agreements, chattel mortgages or equivalent
      instruments, establishes and creates a valid and, subject to the exceptions
      set
      forth in this paragraph (c) above, enforceable security interest in favor of
      the
      holder thereof in all of the related Mortgagor’s personal property used in the
      operation of the related Mortgaged Property. 

    

    
      
        
        

      

      
        Sch
          1B - 1

        
          

        

      

      
        
        

      

    

    (d) Assignment
      of Leases and Rents.
      The
      assignment of leases, rents and profits or similar document or instrument in
      connection with each Loan and executed by the related Mortgagor, assigning
      to
      the mortgagee all of the income, rents and profits derived from the ownership,
      operation leasing or disposition of all or a portion of each Mortgaged Property,
      in the form which was duly executed, acknowledged and delivered, and as amended,
      modified, renewed or extended through the date hereof and from time to time
      hereafter (each an “Assignment of Leases and Rents” ) establishes
      and creates a valid and, subject to the exceptions set forth in paragraph (c)
      above, enforceable first priority collateral assignment in the related
      Mortgagor’s interest in all leases, sub-leases, licenses or other agreements
      pursuant to which any person is entitled to occupy, use or possess all or any
      portion of the real property subject to the related Mortgage, subject to legal
      limitations of general applicability to mortgage loans similar to the Loans,
      and
      the Mortgagor and each assignor of such Assignment of Leases and Rents to the
      Seller have the full right to assign the same. Other than with respect to MERS
      Loans, the related assignment of any Assignment of Leases and Rents not included
      in a Mortgage, deed of trust, deed to secure debt or similar document that
      secures, in whole or in part, the related Mortgaged property and creates a
      Mortgage, has been executed and delivered to the Custodian in blank, is
      otherwise in recordable form and constitutes a legal, valid and binding
      assignment, sufficient to convey to the assignee named therein (assuming that
      the assignee has the capacity to acquire such Assignment of Leases and Rents)
      all of the assignor’s right, title and interest in, to and under such Assignment
      of Leases and Rents.

    

    (e) Mortgage
      Status; Waivers and Modifications.
      No
      Mortgage has been satisfied, cancelled, rescinded or (except for Permitted
      Encumbrances) subordinated in whole or in part, and the related Mortgaged
      Property has not been released from the lien of such Mortgage, in whole or
      in
      part, nor has any instrument been executed that would effect any such
      satisfaction, cancellation, subordination (except for Permitted Encumbrances),
      rescission or release, in any manner that, in each case, materially and
      adversely affects the value of the related Mortgaged Property except for any
      partial reconveyances of real property that are included in the related Mortgage
      File. None of the terms of any Note, Mortgage or Assignment of Leases and Rents
      has been impaired, waived, altered or modified, in each case in any material
      respect. Any non-material waivers, alterations or modifications with respect
      to
      any Loan are evidenced by written instruments, all of which are included in
      the
      related Mortgage File.

    

    (f) Condition
      of Property; Condemnation.
      The
      Mortgaged Property for each Loan is in good repair and condition and free of
      any
      structural deficiencies or deferred maintenance that would influence the
      originator’s decision to originate any such Loan or the Buyer’s decision to
      purchase such Loan.

    

    As
      of the
      date of its origination, there was no proceeding pending for the total or
      partial condemnation of any related Mortgaged Property that materially affects
      the value thereof, there is no pending proceeding for the total or partial
      condemnation of the related Mortgaged Property that materially affects the
      value
      thereof. To the best of Seller’s knowledge (based on surveys and/or title
      insurance obtained in connection with the origination of the Loans), as of
      the
      date of the origination of each Loan, all of the material improvements on the
      related Mortgaged Property that were considered in determining the value of
      the
      Mortgaged Property lay wholly within the boundaries of such property, except
      for
      encroachments that are insured against by the lender’s title insurance policy
      referred to herein or that do not materially and adversely affect the value
      or
      marketability of such Mortgaged Property, and no improvements on adjoining
      properties materially encroached upon such Mortgaged Property so as to
      materially and adversely affect the value or marketability of such Mortgaged
      Property, except those encroachments that are insured against by the Title
      Policy referred to herein.

    

    (g) Title
      Insurance.
      Each
      Mortgaged Property is covered by an American Land Title Association (or an
      equivalent form of) lender’s title insurance policy or
      pro
      forma policy (the
      “Title
      Policy”)
      in the
      original principal amount of the related Loan after all advances of principal.
      Each Title Policy insures the Seller and its successors and assigns that the
      related Mortgage is a valid first priority lien on such Mortgaged Property,
      subject only to the Permitted Encumbrances stated therein (or a marked up title
      insurance commitment or pro forma policy marked as binding and counter-signed
      by
      the title insurer or its authorized agent on which the required premium has
      been
      paid exists which evidences that such Title Policy will be issued). Each Title
      Policy (or, if it has yet to be issued, the coverage to be provided thereby)
      is
      in full force and effect, all premiums thereon have been paid, no material
      claims have been made thereunder and no claims have been paid thereunder.
      Neither the Seller nor any prior holder under the related Mortgage has done,
      by
      act or omission, anything that would materially impair the coverage under such
      Title Policy. The insurer issuing such Title Policy is qualified to do business
      in the jurisdiction in which the related Mortgaged Property is located. Such
      Title Policy contains no exclusions for or affirmatively insures (other than
      in
      jurisdictions where affirmative insurance is unavailable), (i) access to public
      roads, and (ii) against material losses due to encroachments of any part of
      the
      building thereon over easements.

    

    
      
        
        

      

      
        Sch
          1B - 2

        
          

        

      

      
        
        

      

    

    (h) No
      Holdbacks.
      The
      proceeds of each Loan have been fully disbursed and there is no obligation
      for
      future advances with respect thereto. With respect to each Loan, any and all
      requirements as to completion of any on-site or off-site improvement and as
      to
      disbursements of any funds escrowed for such purpose that were to have been
      complied with on or before the related Purchase Date have been complied with,
      or
      any such funds so escrowed have not been released. All costs, fees and expenses
      incurred in making or closing the Loan and the recording of the Mortgage have
      been paid, and the Mortgagor is not entitled to any refund or any amounts paid
      or due to the Mortgagee pursuant to the Note or Mortgage. 

    

    (i) Mortgage
      Provisions.
      The
      Note or Mortgage for each Loan, together with applicable state law, contains
      customary and enforceable provisions (subject to the exceptions set forth in
      paragraph (c) above), including foreclosure, such as to render the rights and
      remedies of the holder thereof adequate for the practical realization against
      the related Mortgaged Property of the principal benefits of the security
      intended to be provided thereby. The related Mortgage Loan Documents provide
      for
      the appointment of a receiver of rents following an event of default under
      such
      Mortgage Loan Documents, to the extent available under applicable
      law.

    

    (j) Trustee
      under Deed of Trust.
      If any
      Mortgage is a deed of trust, (a) a trustee, duly qualified under applicable
      law
      to serve as such, is properly designated and serving under such Mortgage, and
      (b) no fees or expenses are payable to such trustee by the Seller, the Buyer
      or
      any transferee thereof except in connection with a trustee’s sale after default
      by the related Mortgagor or in connection with any full or partial release
      of
      the related Mortgaged Property or related security for the related
      Loan.

    

    (k) Environmental
      Conditions.
      Each
      Loan will be covered by an environmental insurance policy issued by Zurich
      American Insurance Company or a comparable insurance company acceptable to
      the
      Buyer in its reasonable discretion. Such insurance policy shall cover losses
      resulting from an environmental condition on a Mortgaged Property after the
      default of the related Mortgagor and the insured amount under each such
      insurance policy, in the aggregate, will be at least equal to 125% of the
      aggregate principal balance of all Loans financed by the Buyer pursuant to
      this
      Agreement. In the event that the originator has obtained an environmental site
      assessment meeting ASTM standards and assessing all hazards generally assessed
      for similar properties (as of the date of such assessment), including type,
      use
      and tenants for such similar properties (“Environmental
      Report”)
      or a
      Phase I and/or Phase II environmental report with respect to any Mortgaged
      Property in connection with the origination of any Loan, the Seller shall
      provide such reports to the Buyer.

    

    With
      respect to each Mortgaged Property for which an Environmental Report was
      prepared, other than as disclosed in such Environmental Report, to the best
      of
      Seller’s knowledge, (X) no Hazardous Material is present on such Mortgaged
      Property, such that (1) the value, use or operations of such Mortgaged Property
      is materially and adversely affected, or (2) under applicable federal, state
      or
      local law and regulations, (i) such Hazardous Material could be required to
      be
      eliminated, remediated or otherwise responded to at a cost or in a manner
      materially and adversely affecting the value, use or operations of the Mortgaged
      Property before such Mortgaged Property could be altered, renovated, demolished
      or transferred or (ii) the presence of such Hazardous Material could (upon
      action by the appropriate governmental authorities) subject the owner of such
      Mortgaged Property, or the holders of a security interest therein, to liability
      for the cost of eliminating, remediating or otherwise responding to such
      Hazardous Material or the hazard created thereby at a cost or in a manner
      materially and adversely affecting the value, use or operations of the Mortgaged
      Property, and (Y) such Mortgaged Property is in material compliance with all
      applicable federal, state and local laws and regulations pertaining to Hazardous
      Materials or environmental hazards, any noncompliance with such laws or
      regulations does not have a material adverse effect on the value, use or
      operations of such Mortgaged Property and neither the Seller nor, to the best
      of
      the Seller’s knowledge, the related Mortgagor or any current tenant thereon, has
      received any notice of any violation or potential violation of any such law
      or
      regulation. With respect to any condition disclosed in the Environmental Report,
      which condition constituted a violation of applicable laws or regulations or
      would materially and adversely affect the value, use or operations of the
      related Mortgaged Property if not remedied, such condition has either been
      satisfactorily remedied, consistent with prudent multi-family, commercial or
      mixed-use mortgage lending practices (as applicable), or the applicable loan
      documents contain provisions which address such condition to the satisfaction
      of
      the Seller, consistent with prudent multi-family, commercial and or mixed-use
      mortgage lending practices (as applicable), and adequate funding or resources,
      consistent with prudent multi-family, commercial or mixed-use mortgage lending
      practices (as applicable), were available to remedy or otherwise respond to
      such
      condition.

    

    
      
        
        

      

      
        Sch
          1B - 3

        
          

        

      

      
        
        

      

    

    Each
      Mortgage requires the related Mortgagor to comply with all applicable federal,
      state and local environmental laws and regulations.

    

    “Hazardous
      Materials”
means
      gasoline, petroleum products, explosives, radioactive materials, polychlorinated
      biphenyls or related or similar materials, and any other substance, material
      or
      waste as may be defined as a hazardous or toxic substance, material or waste
      by
      a federal, state or local environmental law, ordinance, rule, regulation or
      order, including without limitation, the Comprehensive Environmental Response,
      Compensation and Liability Act of 1980, as amended (42 U.S.C. §§ 9601
et
      seq.),
      the
      Hazardous Materials Transportation Act, as amended (49 U.S.C. §§ 1801
et
      seq.),
      the
      Resource Conservation and Recovery Act, as amended (42 U.S.C. §§ 6901
et
      seq.),
      the
      Federal Water Pollution Control Act, as amended (33 U.S.C. §§ 1251 et
      seq.),
      the
      Clean Air Act, as amended (42 U.S.C. §§ 7401 et seq.), and any regulations
      promulgated pursuant thereto.

    

    (l) Loan
      Document Status.
      Each
      Note, Mortgage and other agreement that evidences or secures such Loan and
      that
      was executed by or on behalf of the related Mortgagor is the legal, valid and
      binding obligation of the maker thereof (subject to any non-recourse provisions
      contained in any of the foregoing agreements and any applicable state
      anti-deficiency or market value limit deficiency legislation), enforceable
      in
      accordance with its terms, except with respect to provisions relating to default
      interest, yield maintenance charges and prepayment premiums and as such
      enforcement may be limited by bankruptcy, insolvency, reorganization or other
      similar laws affecting the enforcement of creditors’ rights generally, and by
      general principles of equity (regardless of whether such enforcement is
      considered in a proceeding in equity or at law) and, to the best of Seller’s
      knowledge, there is no valid defense, counterclaim or right of offset or
      rescission available to the related Mortgagor with respect to such Note,
      Mortgage or other agreements.

    

    (m) Insurance.
      Each
      Mortgaged Property is required (or the holder of the Mortgage can require)
      pursuant to the related Mortgage to be, and at origination the originator
      received evidence that such Mortgaged Property was, insured by (i) a fire and
      extended perils insurance policy providing coverage against loss or damage
      sustained by reason of fire, lightning, hail, windstorm (except with respect
      to
      the Loans set forth in a written notice to the Buyer upon the Buyer’s request),
      explosion, riot, riot attending a strike, civil commotion, aircraft, vehicles
      and smoke, and, to the extent required as of the date of origination by the
      originator of such Loan consistent with its normal multi-family, commercial
      or
      mixed use mortgage lending practices (as applicable), against other risks
      insured against by persons operating like properties in the locality of the
      Mortgaged Property, in an amount not less than the lesser of the principal
      balance of the related Loan and the replacement cost of the improvements on
      the
      Mortgaged Property, and with no provisions for a deduction for depreciation
      in
      respect of awards for the reconstruction of the improvements, and not less
      than
      the amount necessary to avoid the operation of any co-insurance provisions
      with
      respect to the Mortgaged Property; and (ii) a flood insurance policy (if any
      portion of buildings or other structures (excluding parking) on the Mortgaged
      Property are located in an area identified by the Federal Emergency Management
      Agency (“FEMA”)
      as a
      special flood hazard area (which “special flood hazard area” does not include
      areas designated by FEMA as Zones B, C or X)). With respect to each Mortgaged
      Property, such Mortgaged Property is required pursuant to the related Mortgage
      to be (or the holder of the Mortgage can require that the Mortgaged Property
      be), and at origination the originator received evidence that such Mortgaged
      Property was, insured by a multi-family, commercial or mixed use general
      liability insurance policy (as applicable) in amounts as are generally required
      by multi-family, commercial or mixed use mortgage lenders (as applicable) for
      similar properties, and in any event not less than $1 million per occurrence.
      Under such insurance policies either (i) the originator and
      its
      successors and assigns is
      named
      as mortgagee under a standard mortgagee clause or (ii) the originator
      and
      its
      successors and assigns
      is named
      as an additional insured, and is entitled to receive prior notice as the holder
      of the Mortgage of termination or cancellation. No such notice has been
      received, including any notice of nonpayment of premiums, that has not been
      cured. Each Mortgage obligates the related Mortgagor to maintain or cause to
      be
      maintained all such insurance and, upon such Mortgagor’s failure to do so,
      authorizes the holder of the Mortgage to maintain or to cause to be maintained
      such insurance at the Mortgagor’s cost and expense and to seek reimbursement
      therefor from such Mortgagor. Each Loan provides that casualty insurance
      proceeds will be applied either to the restoration or repair of the related
      Mortgaged Property or to the reduction of the principal amount of the Loan.
      Each
      Mortgage provides that any related insurance proceeds, other than for a total
      loss or taking, will be applied either to the repair or restoration of all
      or
      part of the related Mortgaged Property, with the mortgagee or a trustee
      appointed by the mortgagee having the right to hold and disburse such proceeds
      as the repair or restoration progresses (except in such cases where a provision
      entitling another party to hold and disburse such proceeds would not be viewed
      as commercially unreasonable by a prudent multi-family, commercial or mixed-use
      mortgage lender(as applicable)), or to the payment of the outstanding principal
      balance of the Loan together with any accrued interest thereon, and any
      insurance proceeds in respect of a total or substantially total loss or taking
      may be applied either to payment of outstanding principal and interest on the
      Loan (except as otherwise provided by law) or to rebuilding of the Mortgaged
      Property.

    

    
      
        
        

      

      
        Sch
          1B - 4

        
          

        

      

      
        
        

      

    

    (n) Taxes
      and Assessments and Ground Lease Rents.
      There
      are no delinquent taxes, assessments or other outstanding charges affecting
      any
      Mortgaged Property that are or may become a lien of priority equal to or higher
      than the lien of the related Mortgage. For purposes of this representation
      and
      warranty, real property taxes and assessments shall be considered delinquent
      commencing from the date on which interest or penalties would be first payable
      thereon. There are no delinquent rents on any ground leases for any Mortgaged
      Property.

    

    (o) Mortgagor
      Bankruptcy.
      No
      Mortgagor is a debtor in any state or federal bankruptcy or insolvency
      proceeding and no Mortgaged Property or any portion thereof is subject to a
      plan
      in any such proceeding.

    

    (p) Leasehold
      Estate.
      Each
      Mortgaged Property consists of the related Mortgagor’s fee simple estate in real
      estate (the “Fee
      Interest”)
      or the
      related Loan is secured in whole or in part by the interest of the related
      Mortgagor as a lessee under a ground lease of the Mortgaged Property (a
“Ground
      Lease”),
      and
      if secured in whole or in part by a Ground Lease, either (1) the ground lessor’s
      fee interest is subordinated to the lien of the Mortgage and the Mortgage will
      not be subject to any lien or encumbrances on the ground lessor’s fee interest,
      other than Permitted Encumbrances, and the holder of the Mortgage is permitted
      to foreclose the ground lessor’s fee interest within a commercially reasonable
      time period or (2) the following apply to such Ground Lease:

    

    
      
        
        

      

      
        Sch
          1B - 5

        
          

        

      

      
        
        

      

    

    1. Such
      Ground Lease or a memorandum thereof has been or will be duly recorded; such
      Ground Lease (or the related estoppel letter or lender protection agreement
      between the originator and related lessor) permits the interest of the lessee
      thereunder to be encumbered by the related Mortgage; does not restrict the
      use
      of the related Mortgaged Property by the lessee or its permitted successors
      and
      assigns in a manner that would materially and adversely affect the security
      provided by the related Mortgage; and there has been no material change in
      the
      payment terms of such Ground Lease since the origination of the related Loan,
      with the exception of material changes reflected in written instruments that
      are
      a part of the related Mortgage File;

    

    2. The
      lessee’s interest in such Ground Lease is not subject to any liens or
      encumbrances superior to, or of equal priority with, the related Mortgage,
      other
      than the ground lessor’s related fee interest and Permitted
      Encumbrances;

    

    3. The
      Mortgagor’s interest in such Ground Lease is assignable to the Buyer and its
      successors and assigns upon notice to, but (except in the case where such
      consent cannot be unreasonably withheld) without the consent of, the lessor
      thereunder (or, if such consent is required, it has been obtained prior to
      the
      related Purchase Date) and, in the event that it is so assigned, is further
      assignable by the Buyer and its successors and assigns upon notice to, but
      without the need to obtain the consent of, such lessor (except in the case
      where
      such consent cannot be unreasonably withheld);

    

    4. Such
      Ground Lease is in full force and effect, and the Seller has received no notice
      that an event of default has occurred thereunder, and, to the best of Seller’s
      knowledge, there exists no condition that, but for the passage of time or the
      giving of notice, or both, would result in an event of default under the terms
      of such Ground Lease;

    

    5. Such
      Ground Lease, or an estoppel letter or other agreement, requires the lessor
      under such Ground Lease to give notice of any material default by the lessee
      to
      the mortgagee (concurrent with notice given to the lessee), provided that the
      mortgagee has provided the lessor with notice of its lien in accordance with
      the
      provisions of such Ground Lease, and such Ground Lease, or an estoppel letter
      or
      other agreement, further provides that no notice of termination given under
      such
      Ground Lease is effective against the mortgagee unless a copy has been delivered
      to the mortgagee. The Seller has provided the lessor under the Ground Lease
      with
      notice of the Seller’s lien on the Mortgaged Property in accordance with the
      provisions of such Ground Lease;

    

    6. A
      mortgagee is permitted a reasonable opportunity (including, where necessary,
      sufficient time to gain possession of the interest of the lessee under such
      Ground Lease) to cure any default under such Ground Lease, which is curable
      after the receipt of notice of any such default, before the lessor thereunder
      may terminate such Ground Lease by reason of such default;

    

    7. Such
      Ground Lease has an original term, along with any extensions set forth in such
      Ground Lease, not less than 10 years beyond the full amortization term of the
      Loan;

    

    
      
        
        

      

      
        Sch
          1B - 6

        
          

        

      

      
        
        

      

    

    8. Under
      the
      terms of such Ground Lease and the related Mortgage, taken together, any related
      insurance proceeds, other than for a total loss or taking, will be applied
      either to the repair or restoration of all or part of the related Mortgaged
      Property, with the mortgagee or a trustee appointed by the mortgagee having
      the
      right to hold and disburse such proceeds as the repair or restoration progresses
      (except in such cases where a provision entitling another party to hold and
      disburse such proceeds would not be viewed as commercially unreasonable by
      a
      prudent multi-family, commercial or mixed-use mortgage lender (as applicable)),
      or to the payment of the outstanding principal balance of the Loan together
      with
      any accrued interest thereon, and any insurance proceeds in respect of a total
      or substantially total loss or taking may be applied either to payment of
      outstanding principal and interest on the Loan (except as otherwise provided
      by
      law) or to rebuilding of the Mortgaged Property;

    

    9. Such
      Ground Lease does not impose any restrictions on subletting which would be
      viewed, as of the date of origination of the related Loan, as commercially
      unreasonable by the Seller; and such Ground Lease contains a covenant that
      the
      lessor thereunder is not permitted, in the absence of an uncured default, to
      disturb the possession, interest or quiet enjoyment of any subtenant of the
      lessee, or in any manner, which would materially and adversely affect the
      security provided by the related Mortgage;

    

    10. Such
      Ground Lease or an estoppel or other agreement requires the lessor to enter
      into
      a new lease with the Seller or its successors or assigns under terms which
      do
      not materially vary from the economic terms of the Ground Lease, in the event
      of
      a termination of the Ground Lease by reason of a default by the Mortgagor under
      the Ground Lease, including rejection of the Ground Lease in a bankruptcy
      proceeding; and

    

    11. Such
      Ground Lease may not be materially amended, modified or, except in the case
      of a
      default, cancelled or terminated without the prior written consent of the holder
      of the Loan, and any such action without such consent is not binding on such
      holder, including any increase in the amount of rent payable by the lessee
      thereunder during the term of the Loan. 

    

    (q) Escrow
      Deposits.
      All
      escrow deposits and payments relating to each Loan that are required to be
      deposited or paid have been so deposited or paid, and those escrow deposits
      and
      payments are under control of the Seller or its agents.

    

    (r) No
      Fraud.
      In the
      origination and servicing of the Loan, neither the Seller nor any Affiliate
      thereof participated in any fraud or intentional material misrepresentation
      with
      respect to the Loan. No Mortgagor is guilty of defrauding or making a material
      misrepresentation to the Seller with respect to the origination of the
      Loan.

    

    (s) Advancement
      of Funds by the Seller.
      The
      Seller has not advanced funds, or induced, solicited or knowingly received
      any
      advance of funds from a party other than the owner of the related Mortgaged
      Property (or any tenant required to make its lease payments directly to the
      holder of the related Loan), directly or indirectly, for the payment of any
      amount required by such Loan.

    

    (t) No
      Mechanics’ Liens.
      As of
      the date the Loan was originated and as of the related Purchase Date, each
      Mortgaged Property is free and clear of any and all mechanics’ and materialmen’s
      liens that are prior or equal to the lien of the related Mortgage and no rights
      are outstanding that under law could give rise to any such lien that would
      be
      prior or equal to the lien of the related Mortgage except, in each case, for
      liens insured against by the Title Policy referred to herein, or, if any such
      liens existing as of the related Purchase Date are not insured against by the
      Title Policy referred to herein, such liens will not have a material adverse
      effect on the value of the related Mortgaged Property.

    

    
      
        
        

      

      
        Sch
          1B - 7

        
          

        

      

      
        
        

      

    

    (u) Compliance
      With Laws.
      On the
      date of its origination, each Loan complied in all material respects with,
      or
      was exempt from, all requirements of federal, state or local law relating to
      the
      origination, funding and servicing of such Loan and assuming the Mortgage
      Interest Rate effective on the date of origination remains constant throughout
      the life of the Loan, the Loan complied with, or is exempt from, applicable
      state or federal laws, regulations or other requirements pertaining to usury.
      

    

    (v) Cross-collateralization.
      No Loan
      is cross-collateralized or cross-defaulted with any loan other than one or
      more
      other Loans.

    

    (w) Releases
      of Mortgaged Property.
      No Note
      or Mortgage requires the mortgagee to release all or any material portion of
      the
      related Mortgaged Property that was included in the valuation for such Mortgaged
      Property, and/or generates income, from the lien of the related Mortgage except
      upon payment in full of all amounts due under the related Loan, or upon
      satisfaction of the defeasance provisions of such Loan, other than the Loans
      that require the mortgagee to grant a release of a portion of the related
      Mortgaged Property upon (i) the satisfaction of certain legal and underwriting
      requirements where the portion of the related Mortgaged Property permitted
      to be
      released was not considered by the originator to be material in underwriting
      the
      Loan or, in the case of a substitution, where the Mortgagor is entitled to
      substitute a replacement parcel at its unilateral option upon the satisfaction
      of specified conditions, and/or (ii) the payment of a release price and
      prepayment consideration in connection therewith, consistent with the Seller’s
      normal multi-family, commercial or mixed-use mortgage lending practices (as
      applicable) (and in both (i) and (ii), any release of the Mortgaged Property
      has
      been reflected in the Loan Schedule). Except as described in the prior sentence
      (other than with respect to defeasance and substitution), no Loan permits the
      full or partial release or substitution of collateral unless (i) the mortgagor
      is entitled to substitute a replacement parcel at its unilateral option upon
      satisfaction of specified conditions, and (ii) the mortgagee or servicer can
      require the Mortgagor to provide an opinion of tax counsel to the effect that
      such release or substitution of collateral (x) would not constitute a
“significant modification” of such Loan within the meaning of Treas. Reg.
§1.1001-3 and (y) would not cause such Loan to fail to be a “qualified mortgage”
within the meaning of Section 860G(a)(3)(A) of the Code. The loan documents
      with
      respect to each Loan that permits the full or partial release or substitution
      of
      collateral require the related Mortgagor to bear the cost of such
      opinion.

    

    (x) No
      Equity Participation or Contingent Interest.
      No Loan
      is a negative amortization mortgage loan, contains any equity participation
      or
      provides for any contingent or additional interest in the form of participation
      in the cash flow of the related Mortgaged Property. Neither the Seller
      nor any
      Affiliate thereof has any obligation to make any capital contribution to the
      Mortgagor under the Loan or otherwise.

    

    (y) No
      Material Default.
      Other
      than payments due but not yet 60 or more days delinquent (and only to the extent
      past due Loans are permitted in the definition of Eligible Loan), there exists
      no material default, breach, violation or event giving the lender the right
      to
      accelerate the Loan (and, to the best of
      Seller’s
      knowledge, no event has occurred which, with the passage of time or the giving
      of notice, or both, would constitute any of the foregoing) under the documents
      evidencing or securing the Loan, in any such case to the extent the same
      materially and adversely affects the value of the Loan and the related Mortgaged
      Property. The Seller
      has not
      waived any material default, breach, violation or event of acceleration under
      any of such documents and under the terms of each Loan, each related Note,
      each
      related Mortgage and the other Mortgage Loan Documents, no person or party
      other
      than the mortgagee may declare an event of default or accelerate the related
      indebtedness under such Loan, Mortgage Note or Mortgage.

    

    
      
        
        

      

      
        Sch
          1B - 8

        
          

        

      

      
        
        

      

    

    (z) Local
      Law Compliance.
      To the
      best of Seller’s knowledge, based on due diligence performed by the originator
      at origination that would be considered reasonable by prudent multi-family,
      commercial or mixed-use mortgage lenders (as applicable) in the lending area
      where the Mortgaged Property is located, the improvements located on or forming
      part of each Mortgaged Property comply with applicable zoning laws and
      ordinances, or constitute a legal non-conforming use or structure or, if any
      such improvement does not so comply, such non-compliance does not materially
      and
      adversely affect the value of the related Mortgaged Property, such value as
      determined by the appraisal or internal or external market study performed
      at
      origination. The Mortgaged Property is lawfully occupied under applicable law;
      all inspections, licenses and certificates required in connection with the
      origination of any Loan with respect to the occupancy of the same, including
      but
      not limited to certificates of occupancy and fire underwriting certificates,
      have been made or obtained from the appropriate authorities.

    

    (aa) Junior
      Liens.
      Except
      as otherwise approved by the prior written consent of the Buyer, none of the
      Mortgage Loans permits the related Mortgaged Property to be encumbered by any
      lien (other than a Permitted Encumbrance) junior to or of equal priority with
      the lien of the related Mortgage.

    

    (bb) Actions
      Concerning Loans.
      To the
      best of Seller’s knowledge, there are no actions, suits or proceedings before
      any court, administrative agency or arbitrator concerning any Loan, Mortgagor
      or
      related Mortgaged Property that could reasonably be expected to adversely affect
      title to the Mortgaged Property or the validity or enforceability of the related
      Mortgage or that could reasonably be expected to materially and adversely affect
      the value of the Mortgaged Property as security for the Loan or the use for
      which the premises were intended and no such actions, suites or proceedings
      are
      pending before any court, and/or agency or arbitrator.

    

    (cc) Servicing.
      The
      servicing and collection practices used by the Servicer or any prior holder
      or
      servicer of each Loan have been in all material respects legal, proper and
      prudent and have met customary industry standards utilized by multi-family,
      commercial or mixed-use mortgage lending institutions (as applicable) in the
      area where the related Mortgaged Property is located. The servicer of such
      Loan
      has not assessed the Mortgagor any delinquent payment fees that are not
      specifically prescribed in the Mortgage or Note, including but not limited
      to
      demand letter charges, or assessed the Mortgagor interest on any advances made
      by the servicer.

    

    (dd) Licenses
      and Permits.
      To the
      best of Seller’s knowledge, based on due diligence that the originator
      customarily performs in the origination of comparable mortgage loans, as of
      the
      date of origination of each Loan, and to the best of Seller’s knowledge, based
      on servicing procedures customarily performed in the Servicer’s servicing of the
      Loans, the related Mortgagor was in possession of all material licenses, permits
      and franchises required by applicable law for the ownership and operation of
      the
      related Mortgaged Property as it was then operated.

    

    (ee) Collateral
      in Trust.
      The
      Note for each Loan is not secured by a pledge of any collateral that has not
      been assigned to the Buyer.

    

    (ff) Due
      on
      Sale/Due on Encumbrance.
      Each
      Loan contains a “due on sale” clause, which provides for the acceleration of the
      payment of the unpaid principal balance of the Loan if, without prior written
      consent of the holder of the Mortgage, the property subject to the Mortgage
      or
      any material portion thereof, is transferred, sold or encumbered by a junior
      mortgage or deed of trust; provided, however, that certain Loans provide a
      mechanism for the assumption of the loan by a third party upon the Mortgagor’s
      satisfaction of certain conditions precedent, and upon payment of a transfer
      fee, if any, or transfer of interests in the Mortgagor or constituent entities
      of the Mortgagor to a third party or parties related to the Mortgagor upon
      the
      Mortgagor’s satisfaction of certain conditions precedent.

    

    
      
        
        

      

      
        Sch
          1B - 9

        
          

        

      

      
        
        

      

    

    (gg) Recourse.
      Subject
      to the requirements and restrictions of governing law, each Loan with an
      original principal balance less than $1,000,000 provides for full recourse
      to
      the Mortgagor or the related guarantor. Each Loan with an original principal
      balance greater than $1,000,000 provides for recourse to the Mortgagor or the
      related guarantor of $1,000,000. Either the Mortgagor or a guarantor with
      respect to each Loan is a natural person.

    

    (hh) Underwriting
      Policies.
      Each
      Loan was either originated, purchased, acquired or arranged by the originator
      thereof, and each such origination, purchase, acquisition or arrangement of
      such
      Loan substantially complied in all material respects with the Loan Underwriting
      Guidelines in effect as of such Loan’s origination date.

    

    (ii) REMIC
      Eligibility.
      Each
      Loan is a “qualified mortgage” as such term is defined in Section 860G(a)(3) of
      the Code (without regard to Treasury Regulations Section 1.860G-2(f)(2), which
      treats certain defective mortgage loans as qualified mortgages). Each Mortgaged
      Property will qualify as foreclosure property within the meaning of Section
      856(e) of the Code if obtained by foreclosure or deed in lieu of
      foreclosure.

    

    (jj) Property
      Appraisal.
      Each
      Loan will contain an appraisal, which appraisal is signed by an appraiser,
      who,
      to the best of the Seller’s knowledge, had no interest, direct or indirect, in
      the Mortgaged Property or the Mortgagor or in any loan made or the security
      thereof, and whose compensation is not affected by the approval or disapproval
      of the Loan. Each appraisal of the Loan was made in accordance with the relevant
      provisions of the Financial Institutions Reform, Recovery and Enforcement Act
      of
      1989. Such appraisal conforms to Uniform Standards of Professional Appraisal
      Practice guidelines. For each Loan with an original principal balance greater
      than $1,000,000, the Seller has provided a full self-contained report written
      in
      summary format including three valuation approaches and for each Loan with
      an
      original principal balance less than $1,000,000, the Seller has provided either
      a full self-contained report written in summary format including three valuation
      approaches or a report in summary form prepared in the standard Freddie Mac
      format (FHLMC Form 71(B)) or form UCIAR-EP 7/90. 

    

    (kk) Yield
      Maintenance Premium.
      Subject
      to the requirements and restrictions of governing law, each yield maintenance
      premium is consistent with that charged by the Seller in its customary lending
      practices with respect to mortgage loans of the size and character of the
      Loans.

    

    (ll) Loan
      Provisions.
      No Loan
      contains a provision that by its terms would automatically or at the unilateral
      option of the Mortgagor cause such Loan not be a “qualified mortgage” as such
      term is defined in Section 860G(a)(3) of the Code.

    

    (mm) Defeasance
      and Assumption Costs.
      If the
      related Mortgage Loan Documents provide for defeasance, such documents provide
      that the related Mortgagor is responsible for the payment of all reasonable
      costs and expenses of Buyer incurred in connection with the defeasance of such
      Loan and the release of the related Mortgaged Property. The related Mortgage
      Loan Documents require the related Mortgagor to pay all reasonable costs and
      expenses of Buyer associated with the approval of an assumption of such
      Loan.

    

    (nn) Defeasance.
      No Loan
      provides that it can be defeased prior to the date that is two years after
      the
      related origination date.

    

    (oo) Confidentiality.
      There
      are no provisions in any Note, Mortgage or related loan documents with respect
      to any Loan, nor any other agreements or enforceable understandings with any
      Mortgagor, Mortgagor principal or guarantor, which restrict the dissemination
      of
      information regarding any Mortgagor, Mortgagor principal, guarantor or Mortgaged
      Property by the owner or holder of the Loan or requires such owner or holder
      to
      treat any information regarding any Mortgagor, Mortgagor principal, guarantor
      or
      Mortgaged Property as confidential; provided, however that state ad federal
      laws
      may specifically limit the use and/or dissemination of such
      information.

    

    
      
        
        

      

      
        Sch
          1B - 10

        
          

        

      

      
        
        

      

    

    (pp) Separate
      Tax Lots.
      Each
      Mortgaged Property contains one or more separate tax lots (or will constitute
      separate tax lots when the next tax maps are issued) or is subject to an
      endorsement under the related Title Policy.

    

    (qq) Status
      of Mortgage.
      The
      Mortgage has not been satisfied, cancelled, subordinated or rescinded, in whole
      or in part, and the Mortgaged Property has not been released from the lien
      of he
      Mortgage, in whole or in part, nor has any instrument been executed that would
      effect any such satisfaction, cancellation, subordination, rescission or
      release.

    

    (rr) Assignment
      of Mortgage.
      Other
      than with respect to MERS Loans, the related Assignment of Mortgage executed
      and
      delivered to the Custodian in blank, is otherwise in recordable form and
      constitutes a legal, valid and binding assignment, and, assuming that the
      assignee has the capacity to acquire such Mortgage, sufficient to convey to
      the
      assignee named therein all of the assignor’s right, title and interest in, to
      and under such Mortgage. The endorsement of the Note is valid, legal and
      enforceable under the laws of the jurisdiction in which the Mortgaged Property
      is located.

    

    (ss) Servicemembers’
      Civil Relief Act.
      The
      Mortgagor has not notified the Seller and the Seller has no knowledge of any
      relief requested or allowed to the Mortgagor under the Servicemembers’ Civil
      Relief Act or similar state laws.

    

    (tt) No
      Construction or Rehabilitation Loans.
      No Loan
      was made in connection with (A) the construction or rehabilitation of a
      Mortgaged Property or (B) facilitating the trade in or exchange of a Mortgaged
      Property.

    

    (uu) No
      Predatory or High Cost Loans.
      No Loan
      is (a) subject to the provisions of the Homeownership and Equity Protection
      Act
      of 1994 as amended, (b) a “high cost” mortgage loan, “covered” mortgage loan,
“high risk home” mortgage loan or “predatory” mortgage loan or any other
      comparable term, no matter how defined under any federal, state or local law,
      (c) subject to any comparable federal, state or local statutes or regulations,
      or any other statute or regulation providing for heightened regulatory scrutiny
      or assignee liability to holders of such mortgage loans, or (d) a High Cost
      Loan
      or Covered Loan, as applicable (as such terms are defined in the current
      Standard & Poor’s LEVELS® Glossary Revised, Appendix E).

    

    (vv) Compliance
      with Anti-Money Laundering Laws.
      The
      Seller has complied with all applicable anti-money laundering laws and
      regulations, including without limitation the USA PATRIOT Act of 2001
      (collectively, the “Anti-Money Laundering Laws”) if any, to the extent required
      by such Anti-Money Laundering Laws; the Seller has established an anti-money
      laundering compliance program. No Loan is subject to nullification pursuant
      to
      Executive Order 13224 (the “Executive Order”) or the regulations promulgated by
      the Office of Foreign Assets Control of the United States Department of the
      Treasury (the “OFAC Regulations”) or in violation of the Executive Order or the
      OFAC Regulations, and no Mortgagor is subject to the provisions of such
      Executive Order or the OFAC Regulations nor listed as a “blocked person” for
      purposes of the OFAC Regulations.

    

    (ww) Eligibility
      Criteria.
      The
      Loan is an Eligible Loan and complies with all other eligibility requirements
      set forth in the Pricing Side Letter.

    

    
      
        
        

      

      
        Sch
          1B - 11

        
          

        

      

      
        
        

      

    

    (xx) Wet
      Loans.
      With
      respect to each Wet Loan, the Seller has obtained an Escrow Letter and an
      Insured Closing Letter, and will provide a copy of such Escrow Letter and
      Insured Closing Letter to Buyer promptly upon request.

    

    
      
        
        

      

      
        Sch
          1B - 12

        
          

        

      

      
        
        

      

    

    

    Schedule
      2

    

    Filing
      Jurisdictions and Offices

    

    
      	
              New
                York Mortgage Funding, LLC

            	
              Delaware

            
	 	 
	
              The
                New York Mortgage Company, LLC

            	
              New
                York

            
	 	 
	
              New
                York Mortgage Trust, Inc.

            	
              Maryland

            

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    Schedule
      3

    

    Relevant
      States

    

    Alabama

    Alaska

    Arizona

    California

    Colorado

    Connecticut

    Delaware

    District
      of Columbia

    Florida

    Georgia

    Hawaii

    Idaho

    Illinois

    Indiana

    Iowa

    Kentucky

    Maine

    Maryland

    Massachusetts

    Michigan

    Minnesota

    Mississippi

    Missouri

    Montana

    Nebraska

    New
      Hampshire

    New
      Jersey

    New
      Mexico

    New
      York

    North
      Carolina

    Ohio

    Oklahoma

    Pennsylvania

    Rhode
      Island

    South
      Carolina

    South
      Dakota 

    Tennessee

    Texas

    Utah

    Vermont

    Virginia

    Washington

    West
      Virginia

    Wyoming

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    Schedule
      4

    

    Subsidiaries

    

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    Schedule
      5

    

    Litigation

    

    Wanek
      v. The New York Mortgage Company, LLC,
      No.:
      05-C-4774 (United States District Court for the Northern District of Illinois).
      

    

    Plaintiff
      has filed this purported class action against The New York Mortgage Company,
      LLC
      (“NYMC”) alleging violations of the Fair Credit Reporting Act, 15 U.S.C. § 1681
et
      seq.
      (“FCRA”). Plaintiff asserts that an NYMC mailing sent to him offering an FHA
      streamline refinance loan violated FCRA in two respects. First, plaintiff
      contends that the mailing failed to constitute a “firm offer of credit” under
      section 1681b of FCRA because it did not contain specific terms. Second,
      plaintiff asserts that the mailing did not contain the “clear and conspicuous”
disclosures mandated by section 1681m of FCRA regarding a consumer’s ability to
      prohibit the use of credit information in a transaction not initiated by the
      consumer.

    

    NYMC
      has
      moved to dismiss plaintiff’s Complaint on the ground that there is no longer a
      private right of action under section 1681m of FCRA that requires “clear and
      conspicuous” disclosures. As to the section 1681b claim that NYMC’s offer was
      not a “firm offer of credit,” given the specialized type of loan product
      involved, New York Mortgage asserts that the offer letter was sufficiently
      detailed for purposes of FCRA. NYMC has retained the Washington, DC law firm
      of
      Weiner Brodsky Sidman Kider PC, experts in the areas of regulatory compliance
      and consumer class action defense, to handle this litigation. The motion to
      dismiss has been fully briefed and is currently pending before the Court.
      Because this case is still in its early stages, we are unable to predict the
      outcome of the lawsuit or estimate the potential financial exposure to NYMC,
      if
      any.

    

    It
      is not
      possible for the Sellers to determine with certainty whether the legal
      proceedings listed above are or will be material to the Sellers. By disclosing
      these legal proceedings on this Schedule, the Sellers do not intend to imply,
      and are not admitting, that the legal proceedings are in fact material legal
      proceedings within the meaning of Item 103 of Regulation S-K under the federal
      securities laws or SEC Staff Accounting Release 99.

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    EXHIBIT
      A

    

    QUARTERLY
      CERTIFICATION

    

    I,
      _______________________, _______________________ of NEW YORK MORTGAGE TRUST,
      INC. (“NYMT”),
      do
      hereby certify that

    

    
      	 	
              (i)
                

            	
              each
                of New York Mortgage Funding, LLC, The New York Mortgage Company,
                LLC, and
                NYMT is in compliance with all provisions and terms of the Master
                Repurchase Agreement, dated as of January 5, 2006 by and among Greenwich
                Capital Financial Products, Inc., New York Mortgage Funding, LLC,
                The New
                York Mortgage Company, LLC, and New York Mortgage Trust,
                Inc.;

            

    

    

    
      	 	
              (ii)
                

            	
              no
                Default has occurred thereunder;

            

    

    

    
      	 	
              (iii)
                

            	
              there
                have not been any modifications to the Underwriting Guidelines that
                have
                not been approved by Buyer;

            

    

    

    
      	 	
              (iv)
                

            	
              all
                additional modifications to the Underwriting Guidelines since the
                date of
                the most recent disclosure to Buyer of any modification to the
                Underwriting Guidelines are set forth herewith;

            

    

    

    
      	 	
              (v)
                

            	
              NYMT’s
                Tangible Net Worth (increased for purposes of determining such amount
                by
                the outstanding principal amount of the Trust Preferred Obligations)
                is
                not less than $100,000,000, or such higher amount provided under
                any other
                repurchase, financing, credit or other similar facility entered into
                by
                the Sellers. NYMT has at all times Cash Equivalents in an amount
                not less
                than $5,000,000. The ratio of NYMT’s Total Indebtedness to Tangible Net
                Worth is not greater than 20:1. The Sellers has cash, Cash Equivalents
                and
                unused borrowing capacity on unencumbered assets that could be drawn
                against (taking into account required haircuts) under committed warehouse
                and repurchase facilities in an amount equal to not less than $10,000,000;
                and

            

    

    

    
      	 	
              (vi)

            	
              NYMT
                had after-tax Net Income of at least $1.00 for the preceding fiscal
                quarter.

            

    

    

    IN
      WITNESS WHEREOF, I have signed this certificate.

     

    
      	Date: ____________,
              200__	
               

              
                NEW
                  YORK MORTGAGE TRUST, INC.

                

                 

                 

                
                  

                

                Name:
                  

                Title:

              

            

    

    
 

    
      
        
        

      

      
        A-1-1

        
          

        

      

      
        
        

      

    

    EXHIBIT
      B

    

    FORM
      OF CUSTODIAL AGREEMENT

    

    
      
        
        

      

      
        A-1-2

        
          

        

      

      
        
        

      

    

    

    EXHIBIT
      C

    

    FORM
      OF OPINION OF COUNSEL TO THE SELLERS

     

    
      	 	(date)

    

     

    Greenwich
      Capital Financial Products, Inc.

    600
      Steamboat Road

    Greenwich,
      Connecticut 06830

    

    Dear
      Sirs
      and Mesdames:

    

    You
      have
      requested [our] [my] opinion, as counsel to New York Mortgage Funding, LLC,
      a
      Delaware limited liability company, The New York Mortgage Company, LLC, a New
      York limited liability company and New York Mortgage Trust, Inc., a Maryland
      corporation (collectively, the “Sellers”), with respect to certain matters in
      connection with that certain Master Repurchase Agreement, dated as of January
      5,
      2006 (the “Agreement”), by and among the Sellers and Greenwich Capital Financial
      Products, Inc. (the “Buyer”), being executed contemporaneously with a Custodial
      Agreement, dated as of January 5, 2006 (the “Custodial Agreement”), by and among
      the Sellers, LaSalle Bank, National Association (the “Custodian”), and the
      Buyer. Capitalized terms not otherwise defined herein have the meanings set
      forth in the Agreement.

    

    [We]
      [I]
      have examined the following documents:

    

    1.
       the
      Agreement;

    

    2.
       Custodial
      Agreement;

    

    3.
       Pricing
      Side Letter;

    

    4.
       the
      Amended and Restated Electronic Tracking Agreement;

    

    5.
       the
      Servicing Agreement;

    

    6. the
      Servicing Side Letter [insert other agreements]; and

    

    7.
       such
      other documents, records and papers as we have deemed necessary and relevant
      as
      a basis for this opinion.

    

    Documents
      1 through [6] above shall hereinafter be referred to as the “Program Documents”.
      To the extent [we] [I] have deemed necessary and proper, [we] [I] have relied
      upon the representations and warranties of the Seller contained in the
      Agreement. [We] [I] have assumed the authenticity of all documents submitted
      to
      me as originals, the genuineness of all signatures, the legal capacity of
      natural persons and the conformity to the originals of all
      documents.

    

    Based
      upon the foregoing, it is [our] [my] opinion that:

    

    [Opinions
      to be rendered for each Seller]

    

    12. The
      Seller is a corporation duly organized, validly existing and in good standing
      under the laws of the state of [state] and is qualified to transact business
      in,
      duly licensed and is in good standing under, the laws of each state in which
      any
      Mortgaged Property is located to the extent necessary to ensure the
      enforceability of each Loan and the servicing of each Loan pursuant to the
      Agreement.

    

    
      
        
        

      

      
        C-1

        
          

        

      

      
        
        

      

    

    13. The
      Seller has the corporate power to engage in the transactions contemplated by
      each of the Program Documents and the Custodial Agreement and all requisite
      corporate power, authority and legal right to execute and deliver each of the
      Program Documents and observe the terms and conditions of such instruments.
      The
      Seller has all requisite corporate power to enter into Transactions under the
      Agreement and to grant a security interest in the Purchased Items pursuant
      to
      the Agreement.

    

    14. The
      execution, delivery and performance by the Seller of each of the Program
      Documents, and the sale by the Seller of the Purchased Items under the Agreement
      have been duly authorized by all necessary corporate action on the part of
      the
      Seller. Each of the Program Documents have been executed and delivered by the
      Seller and are legal, valid and binding agreements enforceable in accordance
      with their respective terms against the Seller, subject to bankruptcy laws
      and
      other similar laws of general application affecting rights of creditors and
      subject to the application of the rules of equity, including those respecting
      the availability of specific performance, none of which will materially
      interfere with the realization of the benefits provided thereunder or with
      the
      Buyer’s security interest in the Loans.

    

    15. No
      consent, approval, authorization or order of, and no filing or registration
      with, any court or governmental agency or regulatory body is required on the
      part of the Seller for the execution, delivery or performance by the Seller
      of
      any of the Program Documents or for the borrowings by the Seller under the
      Agreement or the granting of a security interest to the Buyer in the Purchased
      Items, pursuant to the Agreement.

    

    16. The
      execution, delivery and performance by the Seller of, and the consummation
      of
      the transactions contemplated by each of the Program Documents do not and will
      not (a) violate any provision of the Seller’s charter or by-laws, (b) violate
      any applicable law, rule or regulation, (c) violate any order, writ, injunction
      or decree of any court or governmental authority or agency or any arbitral
      award
      applicable to the Seller of which I have knowledge (after due inquiry) or (d)
      result in a breach of, constitute a default under, require any consent under,
      or
      result in the acceleration or required prepayment of any indebtedness pursuant
      to the terms of, any agreement or instrument of which I have knowledge (after
      due inquiry) to which the Seller is a party or by which it is bound or to which
      it is subject, or (except for the Liens created pursuant to the Repurchase
      Agreement) result in the creation or imposition of any Lien upon any Property
      of
      the Seller pursuant to the terms of any such agreement or
      instrument.

    

    17. There
      is
      no action, suit, proceeding or investigation pending or, to the best of [our]
      [my] knowledge, threatened against the Seller which, in [our] [my] judgment,
      either in any one instance or in the aggregate, would be reasonably likely
      to
      result in any material adverse change in the properties, business or financial
      condition, or prospects of the Seller or in any material impairment of the
      right
      or ability of the Seller to carry on its business substantially as now conducted
      or in any material liability on the part of the Seller or which would draw
      into
      question the validity of any of the Program Documents or the Loans or of any
      action taken or to be taken in connection with the transactions contemplated
      thereby, or which would be reasonably likely to impair materially the ability
      of
      the Seller to perform under the terms of any of the Program Documents or the
      Loans.

    

    
      
        
        

      

      
        C-2

        
          

        

      

      
        
        

      

    

    18. The
      Agreement is effective to create, in favor of the Buyer, a valid security
      interest under the Uniform Commercial Code in all of the right, title and
      interest of the Seller in, to and under the Purchased Items as collateral
      security for the payment of the Secured Obligations (as defined in the
      Agreement), except that (a) such security interests will continue in the
      Purchased Items after their sale, exchange or other disposition only to the
      extent provided in Section 9-306 of the Uniform Commercial Code, (b) the
      security interests in Purchased Items in which the Seller acquires rights after
      the commencement of a case under the Bankruptcy Code in respect of the Seller
      may be limited by Section 552 of the Bankruptcy Code.

    

    19. When
      the
      Notes are delivered to the Custodian, endorsed in blank by a duly authorized
      officer of the Seller, the security interest referred to in paragraph 7 above
      in
      the Notes will constitute a fully perfected first priority security interest
      in
      all right, title and interest of the Seller therein, in the Loan evidenced
      thereby and in the Seller’s interest in the related Mortgaged
      Property.

    

    (a)  Upon
      the
      filing of financing statements on Form UCC-1 naming the Buyer as “Secured Party”
and the Seller as “Debtor”, and describing the Purchased Items, in the
      jurisdictions and recording offices listed on Schedule 1 attached hereto, the
      security interests referred to in paragraph 8 above will constitute fully
      perfected security interests under the Uniform Commercial Code in all right,
      title and interest of the Seller in, to and under such Purchased Items, which
      can be perfected by filing under the Uniform Commercial Code.

    

    (b)
       The
      UCC
      Search Report sets forth the proper filing offices and the proper debtors
      necessary to identify those Persons who have on file in the jurisdictions listed
      on Schedule 1 financing statements covering the Filing Collateral as of the
      dates and times specified on Schedule 2. Except for the matters listed on
      Schedule 2, the UCC Search Report identifies no Person who has filed in any
      Filing Office a financing statement describing the Filing Collateral prior
      to
      the effective dates of the UCC Search Report.

    

    20. Neither
      the Seller nor any of its Subsidiaries is an “investment company”, or a company
“controlled” by an “investment company”, within the meaning of the Investment
      Company Act of 1940, as amended. The Seller is not subject to any Federal or
      state statute or regulation which limits its ability to incur
      indebtedness.

    

    21. The
      Assignments of Mortgage are in recordable form, except for the insertion of
      the
      name of the assignee, and upon the name of the assignee being inserted, are
      acceptable for recording under the laws of the state where each related
      Mortgaged Property is located.

    

    22. The
      Seller is duly registered as a [____________] in each state in which Loans
      were
      originated to the extent such registration is required by applicable law, and
      has obtained all other licenses and governmental approvals in each jurisdiction
      to the extent that the failure to obtain such licenses and approvals would
      render any Loan unenforceable or would materially and adversely affect the
      ability of the Seller to perform any of its obligations under, or the
      enforceability of, the Program Documents.

    

    
      
        
        

      

      
        C-3

        
          

        

      

      
        
        

      

    

    23. Assuming
      that all other elements necessary to render a Loan legal, valid, binding and
      enforceable were present in connection with the execution, delivery and
      performance of each Loan (including completion of the entire Loan fully,
      accurately and in compliance with all applicable laws, rules and regulations)
      and assuming further that no action was taken in connection with the execution,
      delivery and performance of each Loan (including in connection with the sale
      of
      the related Mortgaged Property) that would give rise to a defense to the
      legality, validity, binding effect and enforceability of such Loan, nothing
      in
      the forms of such Loans, as attached hereto as Exhibit A, would render such
      Loans other than legal, valid, binding and enforceable.

    

    24. Assuming
      their validity, binding effect and enforceability in all other respects
      (including completion of the entire Loan fully, accurately and in compliance
      with all applicable laws, rules and regulations), the forms of Loans attached
      hereto as Exhibit A are in sufficient compliance with ________ law and Federal
      consumer protection laws so as not to be rendered void or voidable at the
      election of the Mortgagor thereunder.

    

    25. The
      Agreement is a “repurchase agreement” and a “securities contract” within the
      meaning of Bankruptcy Code Sections 101(47) and 741(7), and the rights of the
      Buyer contained in Section 9 thereof to setoff mutual debts and claims, and
      in
      Section 35 thereof to liquidate, terminate and accelerate the Agreement, in
      the
      event of the bankruptcy of the Seller will not be stayed, avoided, or otherwise
      limited by operation of any provision of the Bankruptcy Code or by order of
      a
      court or administrative agency in any proceeding thereunder, including without
      limitation the automatic stay provisions of Bankruptcy Code Section 362(a)
      pursuant to Sections 362(b)[(6) and] (7) thereof.

     

    
      	 	Very truly
              yours,

    

    

    
      
        
        

      

      
        C-4

        
          

        

      

      
        
        

      

    

    EXHIBIT
      D

    

    FORM
      OF
      TRANSACTION NOTICE

     

    
      	 	[insert
              date]

    

    

    Greenwich
      Capital Financial Products, Inc.

    600
      Steamboat Road

    Greenwich,
      Connecticut 06830

    Attention:
      _______________________

    

    Transaction
      Notice No.:_____________________

    

    Ladies/Gentlemen:

    

    Reference
      is made to the Master Repurchase Agreement, dated as of January 5, 2006 (the
      “Repurchase Agreement”; capitalized terms used but not otherwise defined herein
      shall have the meaning given them in the Repurchase Agreement), among New York
      Mortgage Funding, LLC, The New York Mortgage Company, LLC, New York Mortgage
      Trust, Inc. (each, and jointly and severally, the “Seller”) and Greenwich
      Capital Financial Products, Inc. (the “Buyer”).

    

    In
      accordance with Section 3(a) of the Repurchase Agreement, the undersigned Seller
      hereby requests that you, the Buyer, agree to enter into a Transaction with
      us
      in connection with our delivery of Loans on ____________________ [insert
      requested Purchase Date, which in the case of Dry Loans must be at least two
      (2)
      Business Days following the date of the request] (the “Purchase Date”), in
      connection with which we shall sell to you the Loans set forth on the Loan
      Schedule attached hereto. The Purchase Price shall be ______ [insert applicable
      Purchase Price pursuant to the terms of the Pricing Side Letter], the Pricing
      Rate shall be _____ [insert applicable Pricing Rate pursuant to the terms of
      the
      Pricing Side Letter], and the Seller agrees to repurchase such Loans on
      _________ [insert requested Repurchase Date] at the Repurchase
      Price.

    

    The
      Seller hereby certifies, as of such Purchase Date, that:

    

    1.
       no
      Default or Event of Default has occurred and is continuing on the date hereof
      nor will occur after giving effect to such Transaction as a result of such
      Transaction;

    

    2.
       each
      of
      the representations and warranties made by the Seller in or pursuant to the
      Program Documents is true and correct in all material respects on and as of
      such
      date (in the case of the representations and warranties in respect of Loans,
      solely with respect to Loans being purchased on the Purchase Date) as if made
      on
      and as of the date hereof (or, if any such representation or warranty is
      expressly stated to have been made as of a specific date, as of such specific
      date);

    

    3.
       the
      Seller is in compliance with all governmental licenses and authorizations and
      is
      qualified to do business and is in good standing in all required jurisdictions;
      and

    

    4.
       the
      Seller has satisfied all conditions precedent in Sections 9(a) and (b) of the
      Repurchase Agreement and all other requirements of the Program
      Documents.

    

    
      
        
        

      

      
        D-1

        
          

        

      

      
        
        

      

    

    The
      undersigned duly authorized officer of Seller further represents and warrants
      that (1) the documents constituting the Custodial File (as defined in the
      Custodial Agreement) with respect to the Loans that are the subject of the
      Transaction requested herein and more specifically identified on the mortgage
      loan schedule or computer readable magnetic transmission delivered to both
      the
      Buyer and the Custodian in connection herewith (the “Receipted Loans”) [with
      respect to Dry Loans: have been or are hereby submitted] [with respect to Wet
      Loans: shall be delivered, within _____ (__) days of the date of the execution
      of this Transaction Notice] to Custodian and such Required Documents are to
      be
      held by the Custodian for the Buyer, (2) all other documents related to such
      Receipted Loans (including, but not limited to, mortgages, insurance policies,
      loan applications and appraisals) have been or will be created and held by
      Seller in trust for Buyer, (3) all documents related to such Receipted Loans
      withdrawn from Custodian shall be held in trust by Seller for Buyer, and (4)
      upon Buyer’s wiring of the Purchase Price pursuant to Section 3(c) of the
      Repurchase Agreement, Buyer will have agreed to the terms of the Transaction
      as
      set forth herein and purchased the Receipted Loans from Seller.

    

    Seller
      hereby represents and warrants that (x) the Receipted Loans have an unpaid
      principal balance as of the date hereof of $__________ and (y) the number of
      Receipted Loans is ______.

    

    
      
        	 	
                Very
                  truly yours,

                

                

                

                By:                                                                   
                   

                Name:

                Title:

              

      

    

     

    
      
        
        

      

      
        D-2

        
          

        

      

      
        
        

      

    

    
    

    EXHIBIT
      E

    

    UNDERWRITING
      GUIDELINES

    

    [Underwriting
      guidelines to be attached]

    

    
      
        
        

      

      
        E-1

        
          

        

      

      
        
        

      

    

    EXHIBIT
      F

    

    REQUIRED
      FIELDS FOR SERVICING TRANSMISSION

    

    

    As
      agreed
      to among Buyer and Sellers

    

    
      
        
        

      

      
        F-1

        
          

        

      

      
        
        

      

    

    EXHIBIT
      G

    

    REQUIRED
      FIELDS FOR LOAN DATA TRANSMISSION

    

    

    

    As
      agreed
      to among Buyer and Sellers

    

    
      
        
        

      

      
        G-1

        
          

        

      

      
        
        

      

    

    

    EXHIBIT
      H

    

    FORM
      OF MARKET VALUE CERTIFICATION

    

    

    

    As
      agreed
      to among Buyer and Sellers

    

    
      
        
        

      

      
        H-1

        
          

        

      

      
        
        

      

    

    EXHIBIT
      I

    

    FORM
      OF CONFIDENTIALITY AGREEMENT

    

    In
      connection with your consideration of a possible or actual acquisition of a
      participating interest (the “Transaction”) in an advance, note or commitment of
      Greenwich Capital Financial Products, Inc. (“Buyer”) pursuant to a Master
      Repurchase Agreement between Buyer and The New York Mortgage Company, LLC,
      New
      York Mortgage Funding, LLC, New York Mortgage Trust (the “Seller”) dated January
      5, 2006, you have requested the right to review certain non-public information
      regarding the Seller that is in the possession of Buyer. In consideration of,
      and as a condition to, furnishing you with such information and any other
      information (whether communicated in writing or communicated orally) delivered
      to you by Buyer or its affiliates, directors, officers, employees, advisors,
      agents or “controlling persons” (within the meaning of the Securities Exchange
      Act of 1934, as amended (the “1934 Act”)) (such affiliates and other persons
      being herein referred to collectively as Buyer “Representatives”) in connection
      with the consideration of a Transaction (such information being herein referred
      to as “Evaluation Material”), Buyer hereby requests your agreement as
      follows:

    

    1. The
      Evaluation Material will be used solely for the purpose of evaluating a possible
      Transaction with Buyer involving you or your affiliates, and unless and until
      you have completed such Transaction pursuant to a definitive agreement between
      you or any such affiliate and Buyer, such Evaluation Material will be kept
      strictly confidential by you and your affiliates, directors, officers,
      employees, advisors, agents or controlling persons (such affiliates and other
      persons being herein referred to collectively as “your Representatives”), except
      that the Evaluation Material or portions thereof may be disclosed to those
      of
      your Representatives who need to know such information for the purpose of
      evaluating a possible Transaction with Buyer (it being understood that prior
      to
      such disclosure your Representatives will be informed of the confidential nature
      of the Evaluation Material and shall agree to be bound by this Agreement).
      You
      agree to be responsible for any breach of this Agreement by your
      Representatives.

    

    2. The
      term
“Evaluation Material” does not include any information which (i) at the time of
      disclosure or thereafter is generally known by the public (other than as a
      result of its disclosure by you or your Representatives) or (ii) was or becomes
      available to you on a nonconfidential basis from a person not otherwise bound
      by
      a confidential agreement with Buyer or its Representatives or is not otherwise
      prohibited from transmitting the information to you. As used in this Agreement,
      the term “person” shall be broadly interpreted to include, without limitation,
      any corporation, company, joint venture, partnership or individual.

    

    3. In
      the
      event that you receive a request to disclose all or any part of the information
      contained in the Evaluation Material under the terms of a valid and effective
      subpoena or order issued by a court of competent jurisdiction, you agree to
      (i)
      immediately notify Buyer and the Seller of the existence, terms and
      circumstances surrounding such a request, (ii) consult with the Seller on the
      advisability of taking legally available steps to resist or narrow such request,
      and (iii) if disclosure of such information is required, exercise your best
      efforts to obtain an order or other reliable assurance that confidential
      treatment will be accorded to such information.

    

    4. Unless
      otherwise required by law in the opinion of your counsel, neither you nor your
      Representative will, without our prior written consent, disclose to any person
      the fact that the Evaluation Material has been made available to
      you.

    

    
      
        
        

      

      
        I-1

        
          

        

      

      
        
        

      

    

    5. You
      agree
      not to initiate or maintain contact (except for those contacts made in the
      ordinary course of business) with any officer, director or employee of the
      Seller regarding the business, operations, prospects or finances of the Seller
      or the employment of such officer, director or employee, except with the express
      written permission of the Seller.

    

    6. You
      understand and acknowledge that the Seller is not making any representation
      or
      warranty, express or implied, as to the accuracy or completeness of the
      Evaluation Material or any other information provided to you by Buyer. The
      Seller, its respective affiliates or Representatives, nor any of its respective
      officers, directors, employees, agents or controlling persons (within the
      meaning of the 1934 Act) shall have any liability to you or any other person
      (including, without limitation, any of your Representatives) resulting from
      your
      use of the Evaluation Material.

    

    7. You
      agree
      that neither Buyer or the Seller has not granted you any license, copyright,
      or
      similar right with respect to any of the Evaluation Material or any other
      information provided to you by Buyer.

    

    8. If
      you
      determine that you do not wish to proceed with the Transaction, you will
      promptly deliver to Buyer all of the Evaluation Material, including all copies
      and reproductions thereof in your possession or in the possession of any of
      your
      Representatives.

    

    9. Without
      prejudice to the rights and remedies otherwise available to the Seller, the
      Seller shall be entitled to equitable relief by way of injunction if you or
      any
      of your Representatives breach or threaten to breach any of the provisions
      of
      this Agreement. You agree to waive, and to cause your Representatives to waive,
      any requirement for the securing or posting of any bond in connection with
      such
      remedy.

    

    10. The
      validity and interpretation of this Agreement shall be governed by, and
      construed and enforced in accordance with, the laws of the State of New York
      applicable to agreements made and to be fully performed therein (excluding
      the
      conflicts of law rules). You submit to the jurisdiction of any court of the
      State of New York or the United States District Court for the Southern District
      of the State of New York for the purpose of any suit, action, or other
      proceeding arising out of this Agreement.

    

    11. The
      benefits of this Agreement shall inure to the respective successors and assigns
      of the parties hereto, and the obligations and liabilities assumed in this
      Agreement by the parties hereto shall be binding upon the respective successors
      and assigns.

    

    12. If
      it is
      found in a final judgment by a court of competent jurisdiction (not subject
      to
      further appeal) that any term or provision hereof is invalid or unenforceable,
      (i) the remaining terms and provisions hereof shall be unimpaired and shall
      remain in full force and effect and (ii) the invalid or unenforceable provision
      or term shall be replaced by a term or provision that is valid and enforceable
      and that comes closest to expressing the intention of such invalid or
      unenforceable term or provision.

    

    13. This
      Agreement embodies the entire agreement and understanding of the parties hereto
      and supersedes any and all prior agreements, arrangements and understandings
      relating to the matters provided for herein. No alteration, waiver, amendments,
      or change or supplement hereto shall be binding or effective unless the same
      is
      set forth in writing by a duly authorized representative of each party and
      may
      be modified or waived only by a separate letter executed by the Seller and
      you
      expressly so modifying or waiving such Agreement.

    

    
      
        
        

      

      
        I-2

        
          

        

      

      
        
        

      

    

    14. For
      the
      convenience of the parties, any number of counterparts of this Agreement may
      be
      executed by the parties hereto. Each such counterpart shall be, and shall be
      deemed to be, an original instrument, but all such counterparts taken together
      shall constitute one and the same Agreement.

    

    
      
        
        

      

      
        I-3

        
          

        

      

      
        
        

      

    

    

    Kindly
      execute and return one copy of this letter which will constitute our Agreement
      with respect to the subject matter of this letter.

     

     

    
      	 	
              GREENWICH
                CAPITAL FINANCIAL PRODUCTS, INC.

              

              By:                                                                            
                

               

            

    

    

    

    Confirmed
      and agreed to

    this
      _____ day of _____________, 200_.

    By:____________________________________

    Name

    Title:

    

    
      
        
        

      

      
        I-4

        
          

        

      

      
        
        

      

    

    

    EXHIBIT
      J

    

    FORM
      OF INSTRUCTION LETTER

    

    [Required
      fields to be provided by Buyer]

    

    __________
      __, 2006

    

    ___________________,
      as [Servicer/Subservicer]

    ____________________
      

    ____________________
      

    Attention:
      _______________

    

    
      	
            	Re:	
              Master
                Repurchase Agreement, dated as of December 30, by and among Greenwich
                Capital Financial Products, Inc., (“Buyer”),
                New York Mortgage Funding, LLC, The New York Mortgage Company, LLC
                and New
                York Mortgage Trust, Inc. (each, and jointly and severally, the
                “Seller”)

            

    

    

    Ladies
      and Gentlemen:

    

    Pursuant
      to the Master Repurchase Agreement, dated as of January 5, 2006 (the
“Repurchase
      Agreement”),
      between the Buyer and the Seller, you are hereby notified that: (i) the
      undersigned Seller has sold to the Buyer the assets described on Schedule
      1
      hereto
      (the “Eligible
      Assets”),
      (ii)
      each of the Eligible Assets is subject to a security interest in favor of the
      Buyer, and (iii) effective as of the delivery of this letter to the Servicer,
      unless otherwise notified by the Buyer in writing, any payments or distributions
      made with respect to such Eligible Assets shall be remitted immediately by
      the
      Servicer in accordance with the Buyer’s wiring instructions provided
      below:

    

    Account
      No.: [____________________]

    ABA
      No.:       [____________________] 

    Reference:     
      [____________________]

    

    The
      Subservicer also acknowledges its consent to terminate such Servicing Agreement
      upon notification by the Buyer of an occurrence of an Event of
      Default.

    

    Please
      acknowledge receipt of this instruction letter by signing in the signature
      block
      below and forwarding an executed copy to the Buyer promptly upon receipt. Any
      notices to the Buyer should be delivered to the following address: ___________
      Attention: _________, Telephone: ________, Facsimile: ________.

     

    
      
        
        

      

      
        J-1

        
          

        

      

      
        
        

      

    

     

    
      	 	
              Very
                truly yours,

              

              [SELLER]

               

              By:                                                                   
                 

               

              Name:

              Title:

            

    

    

    ACKNOWLEDGED:

    

    ___________________________________,
      as [Servicer]

    

    

    By:

    Name:
      

    Title:

    Telephone:

    Facsimile:

    
      
        
        

      

      
        J-2

        
          

        

      

      
        
        

      

    

    EXHIBIT
      K

    

    THIRD
      PARTY UNDERWRITING GUIDELINES

    

    PRIME

    

    Agency
      (FNMA/FHLMC)

    http://www.allregs.com/

    

    Chase
      Correspondent (03):

    http://www.chaseb2b.com/content/portal/body/Correspondent/OnLineGuidesFrame.html

    

    Ohio
      Savings (04) 

    https://www2.gemstoneohio.com/MtgMktg/products/matrix/group/ohio_matrix.pdf

    

    Thornburg
      (05)

    http://www.thornburgmortgage.com/PDFs/SELLERS%20GUIDE%20October%202005.pdf

    

    Citimortgage
      (10)

    https://correspondent.citimortgage.com/Correspondent/GetManual.do

    

    Aurora
      (11)

    https://www.alservices.com/Conduit/UI/SSL/SellersGuide/TOC.aspx

    

    Wells
      Fargo (12)

    https://ilnet.wellsfargo.com/ildocs/guidelines/lendersalliance/index.jsp

    

    Astoria
      Federal (15)

    https://www.astoriamortgage.com/policies_procedures/index.jsp

    

    Countrywide
      (33)

    https://cld.countrywide.com/cld/

    

    Indymac
      (43)

    https://new-e-mits.indymacb2b.com/eMITS/Frames.asp

    

    CSFB
      (49) 

    https://www.csfbconnect.com/UWGuidelines.asp

    

    Bayview
      Financial (51) - mixed use/mult-family

    http://www.silverhillfinancial.com/client_learning.jsp

    

    FHA

    http://www.hud.gov

    

    Connecticut
      Bond - CHFA

    http://www.chfa.org

    

    Delaware
      Bond - DSHA

    http://www2.state.de.us/dsha/research_frame.htm

    

    New
      Hampshire Bond - NHHFA

    http://www.nhhfa.org/

    

    
      
        
        

      

      
        K-1

        
          

        

      

      
        
        

      

    

    Pennsylvania
      Bond - PHFA

    http://www.phfa.org/

    

    Rhode
      Island Bond 

    http://www.rihousing.com/

    

    

    

    SUB-PRIME
      

    

    Countrywide
      Sub-prime (S-1) 

    https://cld.countrywide.com/cld/

    

    New
      Century (S-4) 

    https://www.newcentury.com/sellersGuide/index.jsp

    

    WMC
      (S-5)

    https://www.wmcdirect.com/default.asp

    

    Deutsche
      Bank (S-6)

    https://clg.db.com/pages/corrlend/home.html

    

    Impac
      Sub-prime (S-9)

    http://www.impacfundingcorp.com/SellerGuide2003/sellersguide.asp

    

    Novastar
      (S-11)

    http://www.novastaris.com/manuals/netbranch_manuals.asp

    

    Option
      One (S-12)

    http://oomc.com/acquisitions/acquisitions_uwpolicies.asp

    

    Decision
      One (S-13)

    https://www.d1online.com/content/d1_corr_guidelines.pdf

    

    

    ALT-A
      BULK INVESTORS

    

    Impac
      (9)

    Citigroup
      (10A)

    Nomura
      (16)

    Indymac
      (43)

    Bear
      Stearns (44)

    Wintergroup
      (45)

    UBS
      Warburg (46)

    Greenwich
      Capital (47)

    CSFB
      (49)

    Countrywide
      Securities (52)

    US
      Bank (54)

    Greenpoint
      Correspondent (55)

    Lehman
      Brothers Sec (56)

    RFC
      (58)

    WAMU
      Securities (59)

    Merrill
      Lynch (60)

    Goldman
      Sachs (62)

     

    
      
        
        

      

      
        K-2

        
          

        

      

      
        
        

      

    

    Morgan
      Stanley (63)

    WMC
      (S-5)

    Deutsche
      Bank (S-6)

    Option
      One (S-12)

    Wells
      Fargo Sub-prime (12SP)

    BB&T

    FNMA

    JP
      Morgan

    Opteum
      Funding

    Smith
      Barney

    Wachovia

    Bank
      of America

    Sovereign
      Securities

    CDC
      

    C-Bass

    

    
      
        
        

      

      
        K-3AMENDED
      AND RESTATED CUSTODIAL
      AGREEMENT

    

    

    By
      and Among

    

    

    THE
      NEW YORK MORTGAGE COMPANY, LLC

    as
      a Seller

    

    

    NEW
      YORK MORTGAGE FUNDING, LLC

    

    

    as
      a Seller

    

    

    NEW
      YORK MORTGAGE TRUST, INC.

    

    

    as
      a Seller

    

    

    LASALLE
      BANK, NATIONAL ASSOCIATION

    

    

    as
      Custodian and Disbursement Agent

    

    

    and

    

    

    GREENWICH
      CAPITAL FINANCIAL PRODUCTS, INC.

    

    

    as
      Buyer

    

    

    Dated
      as of January 5, 2006

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    TABLE
      OF CONTENTS

     

    Page

    

    
      	
              Section
                1.

            	
              Definitions.

            	
              1

            
	
              Section
                2.

            	
              Delivery
                of Mortgage File.

            	
              6

            
	
              Section
                3.

            	
              Mortgage
                Loan Transmission; Exception Report; Trust Receipt.

            	
              7

            
	
              Section
                4.

            	
              Obligations
                of the Custodian.

            	
              10

            
	
              Section
                5.

            	
              Release
                of Mortgage Loans.

            	
              11

            
	
              Section
                6.

            	
              Fees
                and Expenses of Custodian.

            	
              13

            
	
              Section
                7.

            	
              Removal
                or Resignation of Custodian.

            	
              13

            
	
              Section
                8.

            	
              Examination
                of Mortgage Files.

            	
              14

            
	
              Section
                9.

            	
              Insurance
                of Custodian.

            	
              14

            
	
              Section
                10.

            	
              Representations
                and Warranties.

            	
              14

            
	
              Section
                11.

            	
              Statements.

            	
              15

            
	
              Section
                12.

            	
              No
                Adverse Interest of Custodian.

            	
              15

            
	
              Section
                13.

            	
              Indemnification
                of Custodian.

            	
              15

            
	
              Section
                14.

            	
              Concerning
                the Custodian.

            	
              16

            
	
              Section
                15.

            	
              Term
                of Custodial Agreement.

            	
              17

            
	
              Section
                16.

            	
              Notices.

            	
              17

            
	
              Section
                17.

            	
              Governing
                Law.

            	
              17

            
	
              Section
                18.

            	
              Authorized
                Representatives.

            	
              17

            
	
              Section
                19.

            	
              Amendment.

            	
              17

            
	
              Section
                20.

            	
              Cumulative
                Rights.

            	
              18

            
	
              Section
                21.

            	
              Binding
                Upon Successors.

            	
              18

            
	
              Section
                22.

            	
              Entire
                Agreement; Severability.

            	
              18

            
	
              Section
                23.

            	
              Execution
                In Counterparts.

            	
              18

            
	
              Section
                24.

            	
              Tax
                Reports.

            	
              18

            
	
              Section
                25.

            	
              Assignment
                by the Buyer.

            	
              18

            
	
              Section
                26.

            	
              Transmission
                of Mortgage Files.

            	
              19

            

    

    

    
      
        
        

      

      
        i

        
          

        

      

      
        
        

      

    

    

    AMENDED
      AND RESTATED CUSTODIAL AGREEMENT

    

    AMENDED
      AND RESTATED CUSTODIAL AGREEMENT (this “Custodial
      Agreement”)
      dated
      as of January 5, 2006, made by and among:

    

    
      	 	
              (i)

            	
              THE
                NEW YORK MORTGAGE COMPANY, LLC, a New York limited liability company
                (“NYMC”);

            

    

    

    
      	 	
              (ii)

            	
              NEW
                YORK MORTGAGE FUNDING, LLC, a Delaware limited liability company
                (“NYMF”);

            

    

    

    
      	 	
              (iii)

            	
              NEW
                YORK MORTGAGE TRUST, INC., a Maryland corporation (“NYMT”,
                each of NYMC, NYMF and NYMT, a “Seller”
                and jointly and severally, the “Seller”
                or the “Sellers”);

            

    

    

    
      	 	
              (iv)

            	
              LASALLE
                BANK, NATIONAL ASSOCIATION, as custodian for the Buyer (in such capacity,
                the “Custodian”)
                and as disbursement agent for the Buyer (in such capacity, the
                “Disbursement
                Agent”);
                and

            

    

    

    
      	 	
              (v)

            	
              GREENWICH
                CAPITAL FINANCIAL PRODUCTS, INC., a Delaware corporation (the
                “Buyer”).

            

    

    

    RECITALS

    

    The
      Sellers and the Buyer are parties to the Master Repurchase Agreement, dated
      as
      of the date hereof (as amended, supplemented or otherwise modified and in effect
      from time to time, the “Master
      Repurchase Agreement”),
      pursuant to which the Buyer has agreed, subject to the terms and conditions
      of
      the Master Repurchase Agreement, to enter into Transactions (as defined therein)
      for the purchase and sale of Purchased Loans (as defined therein). This Amended
      and Restated Custodial Agreement shall replace that certain Custodial Agreement,
      dated as of May 1, 2004 among NYMC, the Custodian and the Buyer.

    

    It
      is a
      condition precedent to the effectiveness of the Master Repurchase Agreement
      that
      the parties hereto execute and deliver this Custodial Agreement to provide
      for
      the appointment of the Custodian as custodian hereunder. Accordingly, the
      parties hereto agree as follows:

     

    Section
      1. Definitions.

    

    Unless
      otherwise defined herein, terms defined in the Master Repurchase Agreement
      shall
      have their respective assigned meanings when used herein, and the following
      terms shall have the following meanings:

    

    “Acceptable
      Attorney”
shall
      mean any attorney-at-law to which the Custodian has sent an Attorney’s Bailee
      Letter, except for an attorney whom the Buyer has notified the Custodian and
      the
      Sellers in writing that such attorney is not reasonably satisfactory to the
      Buyer.

    

    “AM
      Funded Wet Loan”
shall
      mean Wet Loans that will be funded before 12:00 p.m. (New York City time) on
      any
      Business Day.

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    “Approved
      Purchaser”
shall
      mean any third party purchaser of a Mortgage Loan, except for any person whom
      the Buyer has notified the Custodian and the Sellers in writing that such person
      is not reasonably satisfactory to the Buyer.

    

    “Approved
      Title Insurance Company”
shall
      mean a title insurance company approved by the Buyer in its sole discretion,
      provided on a list delivered to the Custodian by the Buyer. The Custodian shall
      have no obligation to verify that a title insurance company is an Approved
      Title
      Insurance Company.

    

    “Assignment
      of Mortgage”
shall
      mean with respect to any Mortgage, an assignment of the Mortgage, notice of
      transfer or equivalent instrument in recordable form, reflecting the assignment
      and pledge of the Mortgage.

    

    “Attorney’s
      Bailee Letter”
shall
      mean a letter substantially in the form of Annex
      12
      hereto.

    

    “Authorized
      Representative”
shall
      have the meaning specified in Section 18 hereof.

    

    “Business
      Day”
shall
      mean any day other than (i) a Saturday or Sunday, (ii) a day on which the New
      York Stock Exchange, the Federal Reserve Bank of New York, the Custodian or
      banking and savings and loan institutions in the State of New York, Connecticut
      or California or the City of New York or the city or state in which the
      Custodian’s offices are located are closed, or (iii) a day on which trading in
      securities on the New York Stock Exchange or any other major securities exchange
      in the United States is not conducted.

    

    “Cooperative
      Loan”
      shall
      mean a Mortgage Loan that is secured by a first lien on and perfected security
      interest in Cooperative Shares and the related Proprietary Lease granting
      exclusive rights to occupy the related Cooperative Unit in the building owned
      by
      the related Cooperative Corporation.

    

    “Cooperative
      Project”
shall
      mean, with respect to any Cooperative Loan, all real property and improvements
      thereto and rights therein and thereto owned by a Cooperative Corporation
      including without limitation the land, separate dwelling units and all common
      elements.

    

    “Cooperative
      Shares”
shall
      mean, with respect to any Cooperative Loan, the shares of stock issued by a
      Cooperative Corporation and allocated to a Cooperative Unit and represented
      by a
      stock certificate.

    

    “Cooperative
      Unit”
shall
      mean, with respect to a Cooperative Loan, a specific unit in a Cooperative
      Project.

    

    “Custodial
      Delivery Failure”
shall
      have the meaning specified in Section 13 hereof.

    

    “Custodian
      Loan Transmission”
shall
      mean in the case of each Mortgage Loan, a computer-readable transmission in
      the
      form attached hereto as Annex 17. The Custodian shall incorporate all current
      data provided by the Seller to the Custodian into the Custodian Loan
      Transmission.

    

    “Dry
      Loan”
shall
      mean a first Mortgage Loan which is underwritten in accordance with the
      Underwriting Guidelines and as to which the related Mortgage File contains
      all
      required Mortgage Loan Documents.

    

    “Electronic
      Agent”
shall
      have the meaning assigned to such term in Section 2 of the Electronic Tracking
      Agreement.

    

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

    “Electronic
      Tracking Agreement”
shall
      mean the Electronic Tracking Agreement, dated as of the date hereof, among
      the
      Sellers, the Buyer, the Electronic Agent and MERS, as the same shall be amended,
      supplemented or otherwise modified from time to time.

    

    “Escrow
      Letter”
shall
      mean, with respect to any Wet Loan that becomes subject to a Transaction
      pursuant to the Master Repurchase Agreement before the end of the applicable
      rescission period, an escrow agreement or letter which is fully assignable
      to
      the Buyer, stating that in the event of a Rescission or if for any other reason
      such Wet Loan fails to fund on a given day, the party conducting the closing
      is
      holding all funds which would have been disbursed on behalf of the Mortgagor
      as
      agent for and for the benefit of the Buyer and such funds shall be returned
      to
      the Disbursement Agent not later than one Business Day after the date of
      Rescission or other failure of the Loan to fund on a given day.

    

    “Event
      of Default”
shall
      have the meaning provided in Section 18 of the Master Repurchase
      Agreement.

    

    “Exception”
shall
      mean, with respect to any Mortgage Loan, (a) any Exception identified on Annex
      13 hereto or as otherwise reasonably determined by the Buyer; or (b) with
      respect to which a Responsible Officer of the Custodian receives written notice
      or has actual knowledge of a lien or security interest in favor of a Person
      other than the Buyer with respect to such Mortgage Loan.

    

    “Exception
      Report”
means
      a
      list, in a format mutually acceptable to the Buyer, the Custodian and the
      Sellers, of Mortgage Loans delivered by the Custodian to the Buyer and the
      Sellers in an electronic format as provided in Section 3 hereof, reflecting
      the
      Mortgage Loans held by the Custodian for the benefit of the Buyer, which
      includes codes as described in Annex 13 indicating any Exceptions with respect
      to each Mortgage Loan listed thereon. Each Exception Report shall set forth
      (a)
      the Mortgage Loans being purchased by the Buyer on any applicable Purchase
      Date
      as well as the Mortgage Loans previously purchased by the Buyer and held by
      the
      Custodian hereunder, which such Mortgage Loans shall be listed separately from
      those purchased on the current Purchase Date, and (b) all Exceptions with
      respect thereto, with any updates thereto from the time last
      delivered.

    

    “Insured
      Closing Letter”
shall
      mean, with respect to any Wet Loan, a letter of indemnification from an Approved
      Title Insurance Company, in any jurisdiction where insured closing letters
      are
      permitted under applicable law and regulation, addressed to the related Seller,
      which is fully assignable to the Buyer, with coverage that is customarily
      acceptable to Persons engaged in the origination of mortgage loans, identifying
      the Settlement Agent covered thereby, which may be in the form of a blanket
      letter.

    

    “MERS”
shall
      mean Mortgage Electronic Registration Systems, Inc., a corporation organized
      and
      existing under the laws of the State of Delaware, or any successor
      thereto.

    

    “MERS
      Designated Mortgage Loan”
shall
      mean any Mortgage Loan as to which the related Mortgage or Assignment of
      Mortgage has been recorded in the name of MERS, as agent for the holder from
      time to time of the Mortgage Note and which is identified as a MERS Mortgage
      Loan on the related Mortgage Loan Transmission.

    

    “MERS
      Identification Number”
shall
      mean the eighteen digit number permanently assigned to each MERS Mortgage
      Loan.

    

    “Mortgage”
shall
      mean the mortgage, deed of trust or other instrument, which creates a first
      or
      second lien on the fee simple or leasehold estate in such real
      property.

    

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

    “Mortgage
      File”
shall
      mean, as to each Mortgage Loan, those documents listed in Section 2(a) of this
      Custodial Agreement that are delivered to the Custodian or which at any time
      come into the possession of the Custodian.

    

    “Mortgage
      Loan”
shall
      mean a mortgage loan or a Cooperative Loan which the Custodian has been
      instructed to hold for the Buyer pursuant to this Custodial Agreement, and
      which
      Mortgage Loan includes, without limitation, (i) a Mortgage Note, the related
      Mortgage and all other Mortgage Loan Documents and (ii) all right, title and
      interest of the related Seller in and to the Mortgaged Property (or, with
      respect to a Cooperative Loan, the Cooperative Shares and the related
      Proprietary Lease) covered by such Mortgage.

    

    “Mortgage
      Loan Documents”
shall
      mean, with respect to a Mortgage Loan, the documents comprising the Mortgage
      File for such Mortgage Loan.

    

    “Mortgage
      Loan Transmission”
shall
      mean a computer-readable transmission in a standardized text format
      delivered by the related Seller to the Buyer and the Custodian incorporating
      the
      fields identified on Annex
      1
      or as
      otherwise mutually agreed upon by the Buyer, the Seller and the
      Custodian.

    

    “Mortgage
      Note”
shall
      mean the original executed promissory note or other evidence of the indebtedness
      of a Mortgagor with respect to a Mortgage Loan.

    

    “Mortgaged
      Property”
means
      the real property (including all improvements, buildings, fixtures, building
      equipment and personal property affixed thereto and all additions, alterations
      and replacements made at any time with respect to the foregoing) and all other
      collateral securing repayment of the debt evidenced by a Mortgage
      Note.

    

    “Mortgagor”
means
      the obligor on a Mortgage Note.

    

    “Notice
      of Sale and Request for Release”
shall
      mean a notice to the Custodian and the Buyer in the form of Annex
      3
      hereto
      that certain of the Mortgage Loans are being sold and specifying the date of
      such sale and the amount of the Repurchase Price being paid off with the
      proceeds of such sale and requesting that certain documents with respect to
      such
      Mortgage Loans be delivered to the related third party purchaser.

    

    “Officer’s
      Certificate”
shall
      mean a certificate signed by a Responsible Officer of the Person delivering
      such
      certificate and delivered as required by this Custodial Agreement.

    

    “Opinion
      of Counsel”
shall
      mean a written opinion letter of counsel in form and substance reasonably
      acceptable to the party receiving such opinion letter.

    

    “PM
      Funded Wet Loans”
shall
      mean Wet Loans that will be funded after 12:00 p.m. (New York City time) but
      on
      or prior to 4:30 p.m. (New York City time) on any Business Day.

    

    “Program
      Documents”
shall
      have the meaning assigned thereto in the Master Repurchase
      Agreement.

    

    “Proprietary
      Lease”
shall
      mean the lease on a Cooperative Unit evidencing the possessory interest of
      the
      owner of the Cooperative Shares in such Cooperative Unit.

    

    “Purchase
      Advice”
shall
      mean the written notice provided by the related Seller to the Buyer that the
      Buyer will be receiving a wire transfer on such date.

    

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

    “Purchase
      Date”
means
      the date on which a Transaction is entered into pursuant to the Master
      Repurchase Agreement.

    

    “Repurchase
      Price”
shall
      have the meaning assigned thereto in the Master Repurchase
      Agreement.

    

    “Rescission”
shall
      mean the right of a Mortgagor to rescind the related Mortgage Note and related
      documents pursuant to applicable law and regulation.

    

    “Responsible
      Officer”
shall
      mean, as to any Person, the chief executive officer or, with respect to
      financial matters, the chief financial officer of such Person; provided,
      that in
      the event any such officer is unavailable at any time he or she is required
      to
      take any action hereunder, Responsible Officer shall mean any officer authorized
      to act on such officer’s behalf as demonstrated by a certificate of corporate
      resolution. With respect to the Custodian, Responsible Officer shall mean any
      managing director, director, associate, principal, vice president, assistant
      vice president, assistant secretary, assistant treasurer, trust officer or
      any
      other officer of the Custodian customarily performing functions similar to
      those
      performed by any of the above designated officers and also means, with respect
      to a particular corporate trust matter, any other officer to whom such matter
      is
      referred because of his knowledge of and familiarity with the particular
      subject.

    

    “Review
      Procedures”
shall
      have the meaning specified in Section 3(a) hereof.

    

    “Settlement
      Agent”
shall
      mean, with respect to any Wet Loan, the Person specified in the Notice of
      Borrowing (which may be a title company, escrow company or attorney in
      accordance with local law and practice in the jurisdiction where the related
      Wet
      Loan is being originated and which is not listed as an Unapproved Settlement
      Agent on Annex 15 attached hereto as revised from time to time by the Buyer)
      to
      which the proceeds of the related Advance are to be distributed by the Custodian
      in accordance with the instructions of the related Seller provided in the
      applicable Mortgage Loan Transmission.

    

    “Transaction”
shall
      have the meaning assigned thereto in the Master Repurchase
      Agreement.

    

    “Transaction
      Notice”
means
      a
      written request of a Seller to enter into a Transaction, in the form attached
      to
      the Master Repurchase Agreement which is delivered to Buyer and
      Custodian.

    

    “Transmittal
      Letter”
shall
      mean a letter substantially in the form of Annex
      11
      hereto.

    

    “Trust
      Receipt”
shall
      mean the trust receipt in the form annexed hereto as Annex
      2 delivered
      to the Buyer by the Custodian covering the Mortgage Loans subject to this
      Custodial Agreement from time to time.

    

    “Wet
      Loan”
shall
      mean a wet-funded first or second lien Mortgage Loan which is acceptable to
      the
      Buyer and does not contain all the required Mortgage Loan documents specified
      in
      Section 2(a) in the related Mortgage File, which has the following
      characteristics:

    

    (a) the
      proceeds thereof have been funded by wire transfer or cashier’s check, cleared
      check or draft or other form of immediately available funds to the Settlement
      Agent or funding Buyer for such Wet Loan;

    

    (b) such
      Wet
      Loan has closed on the disbursement date and become a valid first lien securing
      actual indebtedness by funding to the order of the Mortgagor
      thereunder;

    

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

    (c) the
      proceeds thereof have not been returned to the Buyer or its agent from the
      Settlement Agent for such Wet Loan;

    

    (d) no
      Seller
      has learned that such Wet Loan will not be closed and funded to the order of
      the
      Mortgagor;

    

    (e) upon
      recordation such Mortgage Loan will constitute a first or second lien on the
      premises described therein;

    

    (f) the
      related Seller has obtained an Escrow Letter and an Insured Closing Letter
      for
      such Wet Loan; and

    

    (g) any
      applicable Rescission period has passed and such Wet Loan is not subject to
      any
      right of Rescisison.

     

    Section
      2. Delivery
      of Mortgage File.

    

    (a) The
      Sellers shall from time to time deliver Mortgage Files to the Custodian to
      be
      held hereunder, which shall be reviewed by the Custodian as provided in Section
      3. With respect to each Transaction:

    

    (i) in
      the
      case of Dry Loans that are to be Purchased by the Buyer in a Transaction, the
      Sellers shall deliver (1) written notice, in the form of a Transaction Notice,
      to the Buyer and the Custodian with respect to such Dry Loans no later than
      5:00
      p.m. (New York City time) two (2) Business Days prior to the requested Purchase
      Date, (2) the related Mortgage Loan Transmission to the Buyer and the Custodian
      no later than 3:00 p.m. (New York City time) on the requested Purchase Date,
      and
      (3) the items set forth on Annex 16 hereto pertaining to such Dry Loans to
      the
      Custodian not later than 5:00 p.m. (New York City time) two (2) Business Days
      prior to the requested Purchase Date;

    

    (ii) in
      the
      case of AM Funded Wet Loans, with respect to such Wet Loans which are to be
      purchased by the Buyer in a Transaction, the Seller shall deliver (1) written
      notice, in the form of a Transaction Notice together with the related Mortgage
      Loan Transmission to the Buyer and the Custodian no later than 5:00 p.m. (New
      York City time) one (1) Business Day prior to the requested Purchase Date;
      and

    

    (iii) in
      the
      case of PM Funded Wet Loans, with respect to such Wet Loans which are to be
      purchased by the Buyer in a Transaction, the Seller shall deliver (1) written
      notice, in the form of a Transaction Notice together with the related Mortgage
      Loan Transmission to the Buyer and the Custodian to the Custodian, with respect
      to such Wet Loans which are to be purchased by the Buyer in a Transaction no
      later than 3:00 p.m. (New York City time) on the requested Purchase
      Date

    

    Notwithstanding
      anything herein to the contrary, in the event that more than 250 Mortgage Files
      are to be delivered the day prior to any Purchase Date, the Custodian shall
      have
      such additional time to complete its review of such Mortgage Files in excess
      of
      250 as agreed between the Custodian and the related Seller. In such event,
      the
      related Seller shall deliver the Mortgage Files to the Custodian so that the
      Custodian shall have the time required to complete its review and issue the
      required Trust Receipts on the Purchase Date.

    

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

    

    Following
      the Custodian’s review of the items specified above, the Custodian shall deliver
      to the Buyer a notice of intent to Issue Trust Receipt not later than 6:00
      p.m.
      (New York City time) on the day prior to the requested Purchase Date for any
      Wet
      Loans and not later than 12:00 noon (New York City time) on the requested
      Purchase Date for any Dry Loans.

    

    (b) From
      time
      to time, the Sellers shall forward to the Custodian additional original
      documents or additional documents evidencing any assumption, modification,
      consolidation or extension of a Mortgage Loan approved by the related Seller,
      or
      other documents with respect to a Mortgage Loan, in accordance with the terms
      of
      the Master Repurchase Agreement, and upon receipt of any such other documents,
      the Custodian shall hold such other documents for the Buyer
      hereunder.

    

    With
      respect to any documents which have been delivered or are being delivered to
      recording offices for recording and have not been returned to the related Seller
      in time to permit their delivery hereunder at the time required, in lieu of
      delivering such original documents, such Seller shall deliver to the Custodian
      a
      copy thereof certified by such Seller, originating lender, settlement agent,
      title company or escrow closing company as a true, correct and complete copy
      of
      the original which has been transmitted for recordation. Such Seller shall
      deliver such original documents to the Custodian promptly when they are received
      if the related Mortgage Loan is then subject to this Custodial
      Agreement.

    

    (c) With
      respect to any Mortgage Loan, if the Custodian has identified such Mortgage
      Loan
      as having any Exception or if any Seller has knowledge of any Exception, the
      Sellers shall promptly and diligently notify the Buyer of any such Exception
      and
      shall promptly and diligently attempt to cure any such Exception.

     

    Section
      3. Mortgage
      Loan Transmission; Exception Report; Trust Receipt.

    

    (a) If
      the
      Custodian has received a Mortgage File for a Mortgage Loan identified on the
      Mortgage Loan Transmission as provided in the preceding section, the Custodian
      shall review the documents required to be delivered pursuant to Section 2(a)
      above. The Custodian will deliver by electronic transmission, no later than
      5:30
      p.m.(New York City time) on each day to the Sellers and the Buyer separate
      Custodian Loan Transmissions with respect to Wet Loans and Dry Loans. The
      Custodian shall deliver each original Trust Receipt and Custodian Loan
      Transmission to JP Morgan Chase Bank at Four New York Plaza, Ground Floor,
      Outsourcing Department, New York, New York 10004, Attention: Jennifer John
      for
      the account of Greenwich Capital Financial Products, Inc. (telephone number
      (212) 623-5953) each Purchase Date, or day that mortgage files are released
      following any sale of the related Mortgage Loan, by overnight delivery using
      a
      nationally recognized overnight delivery service at the Seller’s expense. Not
      later than 5:30 p.m. (New York City time) on each Purchase Date, the Custodian
      shall deliver copies of each Trust Receipt via facsimile to the Buyer. Separate
      Trust Receipts shall be delivered with respect to Wet Loans and Dry Loans Each
      Trust Receipt and Custodian Loan Transmission subsequently delivered by the
      Custodian to the Buyer shall supersede and cancel the Trust Receipt and
      Custodian Loan Transmission previously delivered by the Custodian to the Buyer
      hereunder, and shall replace the then existing Custodian Loan Transmission
      and
      the then existing Trust Receipt; provided that any Wet Trust Receipt issued
      shall only supersede and previously Wet Trust Receipt, and any Dry Trust Receipt
      shall only supersede any previously issued Dry Trust Receipt.

    

    The
      delivery of each Trust Receipt and Custodian Loan Transmission to the Buyer
      shall be the Custodian’s representation that, other than the Exceptions listed:
      (i) all documents in respect of such Mortgage Loan required to be delivered
      at
      such time pursuant to Section 2(a) of this Custodial Agreement, and the
      documents listed in Sections (i), (ii), (iii), (iv) and (v) of Annex 16 (and
      if
      actually delivered to the Custodian the documents listed at Sections (vi) -
      (x)
      of Annex 16), have been delivered and are in the possession of the Custodian
      as
      part of the Mortgage File for such Mortgage Loan; (ii) all such documents have
      been reviewed by the Custodian in accordance with the review procedures attached
      hereto as Annex 4 (the “Review Procedures”) and appear on their face to be
      regular and to relate to such Mortgage Loan and to satisfy the requirements
      set
      forth in Section 2 of this Custodial Agreement; and (iii) each Mortgage Loan
      identified in such Custodian Loan Transmission is being held by the Custodian
      as
      bailee for the Buyer and/or its designees pursuant to this Custodial
      Agreement.

    

    
      
        
        

      

      
        7

        
          

        

      

      
        
        

      

    

    (b) In
      connection with any Trust Receipt and Custodian Loan Transmission delivered
      hereunder by the Custodian, the Custodian makes no representations as to and
      shall not be responsible to verify (A) the validity, legality, enforceability,
      due authorization, recordability, sufficiency, or genuineness of any of the
      documents contained in each Mortgage File or (B) the collectability,
      insurability, effectiveness or suitability of any such Mortgage Loan. Subject
      to
      the following sentence, the Sellers and the Buyer hereby give the Custodian
      notice that from and after the Purchase Date, the Buyer shall have a security
      interest in each Mortgage Loan identified on a Custodian Loan Transmission
      until
      such time that the Custodian receives written notice from the Buyer that the
      Buyer no longer has a security interest in such Mortgage Loan.

    

    (c) With
      respect to Wet Loans, the delivery of the Transaction Notice and Mortgage Loan
      Transmission to the Custodian by the related Seller shall be deemed to
      constitute required documents with respect to the related Wet Loan (and shall
      be
      deemed to be a certification by such Seller that such Mortgage Loan is a Wet
      Loan) and the documents specified in Section 2(a)(iii) above shall not be
      required to be delivered with respect to such Wet Loan on the related Purchase
      Date. Notwithstanding the foregoing, the related Seller shall deposit with
      the
      Custodian the documents described in Section 2(a)(iii) above for such Wet Loan
      as soon as possible and, in any event, within seven (7) Business Days after
      the
      date the Advance is made with respect to such Wet Loan. The Custodian shall
      notify the Buyer within one (1) Business Day via its daily reports of the
      failure by the Seller to deliver any document by the time provided in the
      previous sentence. Upon deposit of such documents with Custodian, Custodian
      shall review such documents in accordance with the Review Procedures, shall
      promptly notify Buyer if such documents do not comply with the requirements
      thereof and shall indicate on its records that Custodian maintains possession
      of
      such documents for Buyer hereunder. The Sellers hereby represent, warrant and
      covenant to Buyer and Custodian that the Sellers and any person or entity acting
      on behalf of the Sellers that has possession of any of the documents described
      in Section 2(a) above for such Wet Loan prior to the deposit thereof with
      Custodian will hold such documents in trust for Buyer.

    

    (d) The
      Disbursement Agent shall establish and maintain a disbursement account (the
      “Disbursement Account”) for and on behalf of the Buyer entitled “Greenwich
      Capital Financial Products, Inc., Account Number 722258.1 for Wet Loans.” All
      amounts remitted on account of Advances made by the Buyer to the Seller, which
      the Seller requests the Buyer to remit to the Disbursement Agent (which shall
      be
      remitted to in care of Rita Lopez, LaSalle Bank, National Association, 135
      South
      LaSalle Street, Suite 1625, Chicago, Illinois, 60603), shall be remitted no
      later than 9:30 a.m. (eastern time) with respect to the AM Funded Wet Loans
      and
      no later than 1:30 p.m. (eastern time) with respect to PM Funded Wet Loans,
      and
      shall be deposited in such Disbursement Account by the Disbursement Agent upon
      receipt. The Buyer shall not be required to remit any funds to the Disbursement
      Account, unless and until all conditions precedent set forth in the Master
      Repurchase Agreement have been satisfied. All related fees and expenses for
      the
      Disbursement Account shall be borne by the Seller. Upon request, the
      Disbursement Agent shall provide the Seller, or the Buyer, with the federal
      wire
      reference number for a particular payment made by the Disbursement Agent out
      of
      the Disbursement Account. The Disbursement Account shall be maintained for
      the
      sole benefit of the Buyer and the Disbursement Agent shall take direction as
      to
      the control of the Disbursement Account solely for the benefit of the Buyer.
      Neither the Seller nor any other person claiming on behalf of or through the
      Seller shall have any right or authority, whether express or implied, to close
      or make use of, or, except as expressly provided in the following sentence,
      withdraw any funds from, the Disbursement Account. The Buyer hereby authorizes
      the Disbursement Agent for purposes hereof, that unless the Disbursement Agent
      shall receive notice in writing from the Buyer to the contrary prior to
      disbursement of such funds, to disburse all funds received from the Buyer which
      are deposited to the Disbursement Account as directed by the Seller in its
      Mortgage Loan Transmission. To the extent that such notice not to disburse
      funds
      is received by the Disbursement Agent, any such funds in the Disbursement
      Account shall be promptly returned to the Buyer. Funds retained in the
      Disbursement Account shall remain uninvested and the Disbursement Agent shall
      not be liable for interest on such funds. The Disbursement Agent shall reconcile
      the Disbursement Account on a daily basis. The Disbursement Agent shall use
      reasonable efforts to identify all funds received in connection with the
      Rescission of any Mortgage Loan.

    

    
      
        
        

      

      
        8

        
          

        

      

      
        
        

      

    

    The
      Seller hereby represents that it shall be solely responsible for assuring that
      the information provided in the Mortgage Loan Transmission is
      correct.

    

    (e) 3.
      On each
      Purchase Date, the Disbursement Agent will disburse funds in the Disbursement
      Account to the Settlement Agents in accordance with the Wire Instruction Data
      in
      the Mortgage Loan Transmission by 10:30 a.m. (eastern time) with respect to
      AM
      Funded Wet Loans or by 4:30 p.m. (eastern time) with respect to PM Funded Wet
      Loans, provided, that (A) sufficient funds exist in the Disbursement Account;
      (B) The Disbursement Agent shall not knowingly disburse funds to the Seller
      as
      payee, unless otherwise authorized by the Buyer in writing to the Disbursement
      Agent; and (C) if a conflict exists between the instructions of the Buyer and
      the instructions of the Seller, the Disbursement Agent shall follow the Buyer’s
      instructions. The Disbursement Agent shall have no duty to verify or review
      any
      wire instructions (other than as necessary to send such wire) given to it
      hereunder.

    

    (ii) If
      any
      funds disbursed on any date in accordance with clause (i) of this Section 3(e)
      are returned to the Disbursement Account (A) the Disbursement Agent shall
      release such funds from the Disbursement Account in accordance with Section
      3(f), and (B) the Buyer shall, upon receipt of such amounts, apply the same
      to
      the prepayment of the Purchase Price relating to such Mortgage Loan or Mortgage
      Loans. The Seller shall instruct each Settlement Agent regarding funds disbursed
      to such Settlement Agent in accordance with the terms of the Master Repurchase
      Agreement. The Disbursement Agent shall provide to the Seller and Buyer not
      later than 2:00 p.m. (eastern time), on each Business Day a report of all
      Rescission amounts credited to the Disbursement Account by 2:00 p.m. (eastern
      time) on such Business Day.

    

    (f) Unless
      otherwise instructed by the Buyer in writing, before the close of business
      on
      each Business Day, the Disbursement Agent shall withdraw all collected amounts
      as of 5:30 p.m. (eastern time) then standing to the credit of the Disbursement
      Account related to Rescissions or other unfunded Mortgage Loans and forward
      such
      amounts to the following account maintained by the Buyer: JP Morgan Chase Bank,
      New York, for Greenwich Capital Financial Products, Inc., ABA # 021-000-021,
      Account # 140-0-95961, Attn: Mike Harris/New York Mortgage. The Buyer hereby
      agrees to wire to the Seller on such Business Day all amounts received by the
      Buyer from the Disbursement Account on such Business Day pursuant to this
      Section 3(f) which are not required to be paid to the Buyer in accordance with
      the Master Repurchase Agreement. The Seller will be obligated to cover any
      shortfalls related to the Disbursement Account if the Buyer’s requirement to pay
      the Purchase Price will not be sufficient to cover disbursements to the
      Settlement Agent due to a Rescission or other reason the Mortgage Loan expected
      to be funded with such funds did not close. In addition, in connection with
      any
      Wet Loan, the Seller shall be required to deposit in the Disbursement Account
      prior to the closing of such Mortgage Loan an amount equal to the excess of
      (i)
      the amount required to be remitted in connection with the closing of such
      Mortgage Loan over (ii) the amount to be paid as the Purchase Price by the
      Buyer
      pursuant to the Master Repurchase Agreement with respect to such Mortgage
      Loan.

    

    
      
        
        

      

      
        9

        
          

        

      

      
        
        

      

    

    (g) In
      connection with the funding of any Wet Loans, the Seller shall establish an
      Operating Account (“the Operating Account”) with the Disbursement Agent to be
      designated “New York Mortgage Operating Account, maintained by LaSalle Bank,
      National Association, in trust for New York Mortgage, Account Number 722257.1”.
      With respect to any Wet Loan to be funded in the morning on any Business Day
      (an
“AM Funded Wet Loan”), the Seller by delivery of the Mortgage Loan Transmission
      indicating thereon which Mortgage Loans are AM Funded Wet Loans requests that
      the Disbursement Agent, and the Disbursement Agent shall, transfer from the
      Operating Account to the Disbursement Account by 9:30 a.m. (eastern time) on
      the
      day of closing for such AM Funded Wet Loan all of the funds necessary to close
      such AM Funded Wet Loan to the extent of the balance of all funds in the
      Operating Account. With respect to any Wet Loan to be funded in the afternoon
      on
      any Business Day (a “PM Funded Wet Loan”), the Seller by delivery of the
      Mortgage Loan Transmission indicating thereon which Mortgage Loans are PM Funded
      Wet Loans requests that the Disbursement Agent, and the Disbursement Agent
      shall, transfer from the Operating Account to the Disbursement Account by 4:30
      p.m. (eastern time) on the day of closing for such PM Funded Wet Loan, to the
      extent of the balance of funds in the Operating Account, all of the funds
      necessary to close such PM Funded Wet Loan. Funds retained in the Operating
      Account shall remain uninvested and the Disbursement Agent shall not be liable
      for interest on such funds.

     

    Section
      4. Obligations
      of the Custodian.

    

    (a) The
      Custodian shall maintain continuous custody of all items constituting the
      Mortgage Files in secure facilities in accordance with customary standards
      for
      such custody and shall reflect in its records the interest of the Buyer therein.
      Each Mortgage Note (and Assignment of Mortgage) shall be maintained in fire
      resistant facilities.

    

    (b) With
      respect to the documents constituting each Mortgage File, the Custodian shall
      (i) act exclusively as the bailee of, and custodian for, the Buyer, (ii) hold
      all documents constituting such Mortgage File received by it for the exclusive
      use and benefit of the Buyer, and (iii) make disposition thereof only in
      accordance with the terms of this Custodial Agreement or with written
      instructions furnished by the Buyer; provided, however, that in the event of
      a
      conflict between the terms of this Custodial Agreement and the written
      instructions of the Buyer, the Buyer’s written instructions shall
      control.

    

    (c) In
      the
      event that (i) the Buyer, the Seller or the Custodian shall be served by a
      third
      party with any type of levy, attachment, writ or court order with respect to
      any
      Mortgage File or any document included within a Mortgage File or (ii) a third
      party shall institute any court proceeding by which any Mortgage File or a
      document included within a Mortgage File shall be required to be delivered
      otherwise than in accordance with the provisions of this Custodial Agreement,
      the party receiving such service shall promptly deliver or cause to be delivered
      to the other parties to this Custodial Agreement copies of all court papers,
      orders, documents and other materials concerning such proceedings. The Custodian
      shall, to the extent permitted by law or any court order continue to hold and
      maintain all the Mortgage Files that are the subject of such proceedings pending
      a final, nonappealable order of a court of competent jurisdiction permitting
      or
      directing disposition thereof. Upon final determination of such court, the
      Custodian shall dispose of such Mortgage File or any document included within
      such Mortgage File as directed by the Buyer which shall give a direction
      consistent with such determination. Expenses of the Custodian (including
      reasonable attorneys’ fees and related expenses) incurred as a result of such
      proceedings shall be borne by the Seller.

    

    (d) The
      Buyer
      hereby acknowledges that the Custodian shall not be responsible for the validity
      of the Buyer’s ownership interest or the validity and perfection of the Buyer’s
      security interest in the Purchased Loans under the Master Repurchase Agreement,
      other than the Custodian’s obligation to take possession of Mortgage Loans as
      set forth in Section 2 hereof.

    

    
      
        
        

      

      
        10

        
          

        

      

      
        
        

      

    

    (e) During
      the term of this Custodial Agreement, if the Custodian discovers any
      nonconformity with the review criteria in Annex 4 with respect to any Mortgage
      File, the Custodian shall, by means of the Exception Report, give written
      specification of such nonconformity to the Buyer and the Seller.

     

    Section
      5. Release
      of Mortgage Loans.

    

    (a) From
      time
      to time until the Custodian is otherwise notified in writing by an Authorized
      Representative of the Buyer, which notice shall be given by the Buyer only
      following the occurrence of an Event of Default, the Custodian is hereby
      authorized upon receipt of written request of the Seller to release Mortgage
      Files relating to Mortgage Loans in the possession of the Custodian to the
      Seller, or its designee, for the purpose of servicing or correcting documentary
      deficiencies relating thereto against a request for release of Mortgage Files
      and receipt (a “Request
      for Release and Receipt”)
      executed by the Seller in the form of Annex
      5
      hereto,
      and an electronic request in the form of Attachment 1 to Annex 5, which Request
      for Release and Receipt must also be executed by the Buyer in the event that
      more than one hundred (100) Mortgage Files would be released following such
      requested release. The Custodian shall promptly notify the Buyer of the
      occurrence of each such release of Mortgage Files and shall keep track of each
      such release of Mortgage Files. The Buyer hereby agrees to respond to a Request
      for Release and Receipt, via facsimile, no later than one (1) Business Day
      after
      the Buyer’s receipt thereof. The Seller or its designee shall return to the
      Custodian each Mortgage File previously released by the Custodian within ten
      (10) calendar days after receipt thereof other than for any Mortgage Loan which
      has been paid in full by the related Mortgagor or any Mortgage Loan as to which
      the related Mortgage File has been released pursuant to Section 5(c) to an
      Acceptable Attorney pursuant to an Attorney’s Bailee Letter. The Seller hereby
      further represents and warrants to the Buyer that any such request by the Seller
      for release of Mortgage Loans shall be solely for the purposes set forth in
      the
      Request for Release and Receipt and that the Seller has requested such release
      in compliance with all terms and conditions of such release set forth in the
      Master Repurchase Agreement.

    

    (b) 4. From
      time
      to time until otherwise notified in writing by the Buyer, which notice shall
      be
      given by the Buyer only following the occurrence of an Event of Default, the
      Custodian is hereby authorized upon receipt of written request of the Seller
      at
      least two (2) Business Days prior to the date of the anticipated sale, to
      release Mortgage Files in the possession of the Custodian to a third-party
      purchaser (subject to the written consent of the Buyer if such third party
      purchaser is not an Approved Purchaser) for the purpose of resale thereof
      against a Notice of Sale and Request for Release executed by the Seller and
      the
      Buyer (in its discretion) in the form of Annex
      3
      hereto.
      On such Notice of Sale and Request for Release, the Seller shall indicate the
      Mortgage Loans to be sold, such information to be provided in electronic medium
      acceptable to the Seller and the Custodian, the approximate amount of sale
      proceeds anticipated to be received, the date of such anticipated sale, the
      name
      and address of the third-party purchaser, whether the shipment is made pursuant
      to the sale of the Mortgage Loans to a third party or pursuant to the formation
      of a mortgage pool supporting a mortgage-backed or asset-backed security (an
      “MBS”), and the preferred method and date of delivery.

    

    (ii) Any
      transmittal of Mortgage Files for Mortgage Loans in the possession of the
      Custodian in connection with the sale thereof to a third-party purchaser will
      be
      under cover of a transmittal letter substantially in the form attached hereto
      as
Annex
      11
      duly
      completed by the Custodian and executed by the Custodian. Promptly upon receipt
      by Buyer of the full amount of the takeout proceeds (constituting not less
      than
      the “Payoff Amount”) into the account set forth in such transmittal letter, the
      Buyer shall notify the Custodian thereof in writing by 3:00 p.m. (eastern time)
      for proceeds received no later than 1:00 p.m. (eastern time) on such day. Any
      Payoff Amount sent by a third-party purchaser of Mortgage Loans shall be sent
      to
      the account designated by the Buyer. Any excess proceeds received by the Buyer
      shall be remitted to the Seller in accordance with the terms of the Master
      Repurchase Agreement.

    

    
      
        
        

      

      
        11

        
          

        

      

      
        
        

      

    

    (c) 5. From
      time
      to time until otherwise notified in writing by the Buyer, which notice shall
      be
      given by the Buyer only following the occurrence of an Event of Default, and
      as
      appropriate for the foreclosure of any of the Mortgage Loans, the Custodian
      is
      hereby authorized, upon receipt of a Request for Release and Receipt from the
      Seller to send to an Acceptable Attorney copies or originals of the Mortgage
      Files listed in the Request for Release and Receipt. The Custodian shall retain
      copies of all Mortgage Files forwarded to an Acceptable Attorney pursuant to
      the
      preceding sentence. The Custodian may destroy any such copies retained upon
      the
      earliest to occur of (A) the original Mortgage File is returned to the
      Custodian, (B) the foreclosure with respect to such Mortgage Loan is complete,
      (C) the date upon which such Mortgage Loan is released from the terms of this
      Custodial Agreement or (D) the original Mortgage File is not returned within
      180
      days of release. In accordance with the terms of the Attorney’s Bailee Letter,
      the Acceptable Attorney to whom such Mortgage Files are sent is instructed
      to
      acknowledge receipt of each such document by faxing to the Buyer and the
      Custodian a list of such Mortgage Files confirming that such Acceptable Attorney
      is holding the same as bailee of the Buyer under the applicable Attorney’s
      Bailee Letter, for receipt as soon as possible and in any event no later than
      three (3) Business Days following receipt thereof by such Acceptable Attorney.
      The Buyer may, by written notice to the Custodian and the Seller, respectively,
      exclude any attorney-at-law with whom the Buyer is not reasonably satisfied,
      from being an Acceptable Attorney. The Custodian shall promptly notify the
      Buyer
      that it has released any Mortgage File to an Acceptable Attorney.

    

    (ii) In
      accordance with each Attorney’s Bailee Letter, no later than three (3) Business
      Days prior to the foreclosure of any Mortgage Loan, the Acceptable Attorney
      party thereto shall notify the Seller of the scheduled date of foreclosure
      of
      each such Mortgage Loan (the “Scheduled
      Foreclosure Date”),
      and
      of any subsequent changes to the Scheduled Foreclosure Date. The Seller hereby
      agrees in any event to promptly notify the Custodian and Buyer in writing upon
      completion of any foreclosure. On the date of foreclosure, such Mortgage Loan
      shall be deemed deleted from any Trust Receipt then outstanding.

    

    (d) From
      time
      to time until the Custodian is otherwise notified by the Buyer, and with the
      prior written consent of the Buyer, the Seller may substitute for one or more
      Eligible Mortgage Loans constituting the Purchased Loans one or more substitute
      Eligible Mortgage Loans having aggregate Purchase Prices equal to or greater
      than the Purchase Prices of the Mortgage Loans being substituted for, or obtain
      the release of one or more Mortgage Loans constituting Purchased Loans
      hereunder; provided
      that,
      after giving effect to such substitution or release, no Margin Deficit will
      occur, which determination shall be made solely by the Buyer in accordance
      with
      the Master Repurchase Agreement. In connection with any such requested
      substitution or release, the Seller will provide notice to the Custodian and
      the
      Buyer no later than 12:00 p.m. (eastern time), on the date of such request,
      specifying the Mortgage Loans to be substituted for or released and the
      substitute Mortgage Loans to be purchased hereunder in substitution therefor,
      if
      any, and shall deliver with such notice a revised Mortgage Loan Transmission
      indicating any substitute Mortgage Loans. If the Custodian and Buyer have
      received notice in accordance with the preceding sentence, the Custodian will
      effect the requested substitution or release no later than 3:00 p.m. (eastern
      time), two (2) Business Days following the day on which such request was made
      after the Custodian has certified to the Buyer on such Business Day that the
      matters set forth in Section 3(a) hereof with respect to any substitute Mortgage
      Loans are true and correct. Each such substitution or release shall be deemed
      to
      be a representation and warranty by the Seller that any substitute Mortgage
      Loans are eligible for purchase under the Master Repurchase Agreement and that
      after giving effect to such substitution or release, no Margin Deficit shall
      occur.

    

    (e) So
      long
      as no Event of Default has occurred and is continuing and to the extent written
      notice has been provided to the Custodian, the Custodian and the Buyer shall
      take such steps as they may reasonably be directed from time to time by the
      Seller in writing, which the Seller deems necessary and appropriate, to transfer
      promptly and deliver to the Seller any Mortgage File in the possession of the
      Custodian relating to any Mortgage Loan previously purchased by Buyer but which
      the Seller, with the written consent of the Buyer, has notified the Custodian
      has ceased to be subject to the terms of the Master Repurchase Agreement, or
      any
      Mortgage Loan in respect of which the Seller has paid the applicable Repurchase
      Price in full. The Buyer agrees to reply promptly to any such request for
      transfer and delivery, and if any such request is received by 12:00 p.m.
      (eastern time), the Buyer agrees to reply on the Business Day following the
      Business Day such request is received.

     

    
      
        
        

      

      
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    Section
      6. Fees
      and Expenses of Custodian.

    

    The
      Custodian shall charge such fees for its services under this Custodial Agreement
      as are set forth in a separate agreement between the Custodian and the Seller,
      the payment of which fees, together with the Custodian’s expenses incurred in
      connection herewith, shall be solely the obligation of the Seller. The
      obligations of the Seller under this Section 6 shall survive the termination
      of
      this Custodial Agreement and the resignation or removal of the
      Custodian.

     

    Section
      7. Removal
      or Resignation of Custodian.

    

    (a) The
      Custodian may at any time resign and terminate its obligations under this
      Custodial Agreement upon at least 60 days’ prior written notice to the Seller
      and the Buyer. Promptly after receipt of notice of the Custodian’s resignation,
      the Seller shall appoint, by written instrument, a successor custodian, subject
      to written approval by the Buyer (which approval shall not be unreasonably
      withheld). One original counterpart of such instrument of appointment shall
      be
      delivered to each of the Buyer, the Seller, the Custodian and the successor
      custodian. If the successor Custodian shall not have been appointed within
      60
      days of the Custodian’s providing such notice, the Custodian may petition any
      court of competent jurisdiction to appoint a successor Custodian.

    

    (b) The
      Buyer
      or the Seller, (with the consent of the Buyer, which consent shall not be
      unreasonably withheld), upon at least 60 days’ prior written notice to the
      Custodian, may remove and discharge the Custodian (or any successor custodian
      thereafter appointed) from the performance of its obligations under this
      Custodial Agreement. Promptly after the giving of notice of removal of the
      Custodian, the Buyer shall appoint, by written instrument, a successor
      custodian, which appointment shall be reasonably acceptable to the Seller.
      One
      original counterpart of such instrument of appointment shall be delivered to
      each of the Buyer, the Seller, the Custodian and the successor
      custodian.

    

    (c) In
      the
      event of any such resignation or removal, the Custodian shall promptly upon
      the
      simultaneous surrender of any outstanding Trust Receipts held by Buyer, transfer
      to the successor custodian, as directed in writing, all the Mortgage Files
      being
      administered under this Custodial Agreement and, if the endorsements on the
      Mortgage Notes and the Assignments of Mortgage have been completed in the name
      of the Custodian, assign the Mortgages and endorse without recourse the Mortgage
      Notes to the successor Custodian or as otherwise directed by the Buyer. The
      cost
      of the shipment of Mortgage Files arising out of the resignation of the
      Custodian shall be at the expense of the Custodian unless such resignation
      is
      due to the nonpayment of its fees and expenses hereunder, in which case such
      expense shall be paid by the Seller; and any cost of shipment arising out of
      the
      removal of the Custodian by the Buyer or the Seller shall be at the expense
      of
      the party requesting such removal. The Seller shall be responsible for the
      fees
      and expenses of the successor custodian and the fees and expenses for endorsing
      the Mortgage Notes and assigning the Mortgages to the successor custodian if
      required pursuant to this paragraph.

     

    
      
        
        

      

      
        13

        
          

        

      

      
        
        

      

    

    Section
      8. Examination
      of Mortgage Files.

    

    Upon
      reasonable prior notice to the Custodian (which shall be two (2) Business Days
      or such shorter period of time agreed to by the Custodian and the Buyer) and
      at
      the Seller’s expense, the Buyer and each of its respective agents, accountants,
      attorneys and auditors will be permitted during normal business hours to examine
      the Mortgage Files, documents, records and other papers in the possession of
      or
      under the control of the Custodian relating to any or all of the Mortgage
      Loans.

     

    Section
      9. Insurance
      of Custodian.

    

    At
      its
      own expense, the Custodian shall maintain at all times during the existence
      of
      this Custodial Agreement and keep in full force and effect fidelity insurance,
      theft of documents insurance, forgery insurance and errors and omissions
      insurance. All such insurance shall be in amounts, with standard coverage and
      subject to deductibles, all as is customary for insurance typically maintained
      by banks which act as custodian of assets substantially similar to the Purchased
      Loans and act in a collateral agent capacity. Upon request, the Buyer or the
      Seller shall be entitled to receive a certificate of the respective insurer
      that
      such insurance is in full force and effect.

     

    Section
      10. Representations
      and Warranties.

    

    The
      Custodian represents and warrants to the Buyer that:

    

    (a) The
      Custodian is (i) a national banking association duly organized, validly existing
      and in good standing under laws of the United States and (ii) duly qualified
      and
      in good standing and in possession of all requisite authority, power, licenses,
      permits and franchises in order to execute, deliver and comply with its
      obligations under the terms of this Custodial Agreement.

    

    (b) The
      Custodian has all requisite right, power and authority to execute and deliver
      this Custodial Agreement and to perform all of its duties as the Custodian
      hereunder.

    

    (c) The
      execution, delivery and performance of this Custodial Agreement have been duly
      authorized by all necessary corporate action on the part of the Custodian,
      and
      neither the execution and delivery of this Custodial Agreement by the Custodian
      in the manner contemplated herein nor the Custodian’s performance of and
      compliance with the terms hereof will violate, contravene or create a default
      under any charter document or bylaw of the Custodian.

    

    (d) Neither
      the execution and delivery of this Custodial Agreement by the Custodian, nor
      its
      performance of and compliance with its obligations and covenants hereunder,
      require the consent or approval of any governmental authority or, if such
      consent or approval is required, it has been obtained.

    

    (e) This
      Custodial Agreement, when executed and delivered by the Custodian, will
      constitute valid, legal and binding obligations of the Custodian, enforceable
      against the Custodian in accordance with their respective terms, except as
      the
      enforcement thereof may be limited by applicable debtor relief laws and that
      certain equitable remedies may not be available regardless of whether
      enforcement is sought in equity or at law.

    

    (f) The
      Custodian is not an Affiliate of the Seller.

    

    
      
        
        

      

      
        14

        
          

        

      

      
        
        

      

    

    (g) At
      all
      times the Custodian shall be a corporation or association organized and doing
      business under the laws of the United States of America or of any State, shall
      be authorized under such laws to exercise corporate trust powers, subject to
      supervision or examination by the United States of America or any such State,
      and shall have (A) a short-term, unsecured debt rated at least P-1 by Moody’s
      Investors Service, Inc. (or such lower rating as may be acceptable to the Seller
      and the Buyer) and (y) a short-term deposit rating of at least A-1 from Standard
      & Poor’s Ratings Services (or such lower rating as may be acceptable to the
      Seller and the Buyer).

    

    (h) The
      Custodian shall at all times have a combined capital and surplus of at least
      $50,000,000 as set forth in its then most recent published annual report of
      condition.

     

    Section
      11. Statements.

    

    Upon
      the
      request of the Buyer or the Seller, the Custodian shall provide the Buyer or
      the
      Seller, as applicable, with a list of all the Mortgage Loans for which the
      Custodian holds a Mortgage File pursuant to this Custodial Agreement. Such
      list
      shall be in the form of a Custodian Loan Transmission and an Exception
      Report.

     

    Section
      12. No
      Adverse Interest of Custodian.

    

    By
      execution of this Custodial Agreement, the Custodian represents and warrants
      that it currently holds, and during the existence of this Custodial Agreement
      shall hold, no adverse interest, by way of security or otherwise, in any
      Mortgage Loan, and hereby waives and releases any such interest which it may
      have in any Mortgage Loan as of the date hereof. The Mortgage Loans shall not
      be
      subject to any security interest, lien or right to set-off by Custodian or
      any
      third party claiming through Custodian, and Custodian shall not pledge,
      encumber, hypothecate, transfer, dispose of, or otherwise grant any third party
      interest in, the Mortgage Loans.

     

    Section
      13. Indemnification
      of Custodian.

    

    The
      Seller agrees to reimburse, indemnify and hold the Custodian and its directors,
      officers, agents and employees harmless against any and all liabilities,
      obligations, losses, damages, penalties, actions, judgments, suits, costs,
      or
      out-of-pocket expenses of any kind or nature whatsoever, including reasonable
      attorney’s fees, that may be imposed on, incurred by, or asserted against it or
      them in any way relating to or arising out of this Custodial Agreement or any
      action taken or not taken by it or them hereunder unless such liabilities,
      obligations, losses, damages, penalties, actions, judgments, suits, costs,
      or
      out-of-pocket expenses were imposed on, incurred by or asserted against the
      Custodian because of the breach by the Custodian of its obligations hereunder,
      or caused by the negligence, lack of good faith or willful misconduct on the
      part of the Custodian or any of its directors, officers, agents or employees.
      The foregoing indemnification shall survive any resignation or removal of the
      Custodian or the termination or assignment of this Custodial
      Agreement.

    

    In
      the
      event that the Custodian fails to produce a Mortgage Note, Assignment of
      Mortgage or any other document related to a Mortgage Loan that was in its
      possession pursuant to Section 2 within two (2) Business Days after written
      request therefor by the Buyer or the Seller in accordance with the terms and
      conditions of this Custodial Agreement; provided
      that
      (i) Custodian previously delivered to the Buyer a Trust Receipt, Custodian
      Loan Transmission and an Exception Report which did not list such document
      as an
      Exception on the related Purchase Date; (ii) such document is not
      outstanding pursuant to a Request for Release and Receipt in the form annexed
      hereto as Annex 5;
      and
      (iii) such document was held by the Custodian on behalf of the Seller or
      the Buyer, as applicable (a “Custodial
      Delivery Failure”),
      then
      the Custodian shall (a) with respect to any missing Mortgage Note, promptly
      deliver to the Buyer or the Seller, upon request, a Lost Note Affidavit in
      the
      form of Annex
      9
      hereto
      and (b) with respect to any missing document related to such Mortgage Loan,
      including but not limited to a missing Mortgage Note, indemnify the Seller
      and
      Buyer in accordance with the succeeding paragraph of this Section 13.
      Notwithstanding the foregoing, in the event that the Custodian fails to produce
      a Mortgage Note with respect to a Mortgage Loan requested pursuant to Section
      5(b) hereof which was not otherwise released by the Custodian pursuant to the
      terms of this Custodial Agreement, the Custodian shall then promptly (but no
      later than two (2) Business Days following such request) provide the Buyer
      or
      the Seller, as applicable, with a Lost Note Affidavit. In the event that such
      original Mortgage Note is subsequently found and delivered to the Buyer or
      the
      Seller, as applicable, such party shall return the Lost Note Affidavit to the
      Custodian.

    

    
      
        
        

      

      
        15

        
          

        

      

      
        
        

      

    

    The
      Custodian agrees to indemnify and hold the Buyer and Seller, and their
      respective designees harmless against any and all liabilities, obligations,
      losses, damages, penalties, actions, judgments, suits, costs, or out-of-pocket
      expenses, including reasonable attorney’s fees, that may be imposed on, incurred
      by, or asserted against it or them in any way relating to or arising out of
      a
      Custodial Delivery Failure or the Custodian’s negligence, lack of good faith or
      misconduct or any breach of the conditions, representations or warranties
      contained herein. The foregoing indemnification shall survive any termination
      or
      assignment of this Custodial Agreement.

     

    Section
      14. Concerning
      the Custodian.

    

    In
      the
      absence of bad faith on the part of the Custodian, the Custodian may
      conclusively rely, as to the truth of the statements and the correctness of
      the
      opinions expressed therein, upon any request, instruction, certificate, opinion
      or other document furnished to the Custodian, reasonably believed by the
      Custodian to be genuine and to have been signed or presented by the proper
      party
      or parties and conforming to the requirements of this Custodial Agreement;
      but
      in the case of any Mortgage Loan Document or other request, instruction,
      document or certificate which by any provision hereof is specifically required
      to be furnished to the Custodian, the Custodian shall be under a duty to examine
      the same in accordance with the requirements of this Custodial
      Agreement.

    

    The
      Custodian undertakes to perform such duties and only such duties as are
      specifically set forth in this Custodial Agreement. The Custodian shall not
      have
      any duties or responsibilities except those expressly set forth in this
      Custodial Agreement.

    

    The
      Custodian shall not be liable for any error of judgment made in good faith
      by an
      officer or officers of the Custodian, unless it shall be conclusively determined
      by a court of competent jurisdiction that the Custodian was negligent in
      ascertaining the pertinent facts.

    

    The
      Custodian shall not be liable with respect to any action taken or omitted to
      be
      taken by it in good faith in accordance with any direction of the Seller or
      the
      Buyer given under this Custodial Agreement.

    

    None
      of
      the provisions of this Custodial Agreement shall require the Custodian to expend
      or risk its own funds or otherwise to incur any liability, financial or
      otherwise, in the performance of any of its duties hereunder, or in the exercise
      of any of its rights or powers if it shall have reasonable grounds for believing
      that repayment of such funds or indemnity satisfactory to it against such risk
      or liability is not assured to it.

    

    The
      Custodian may consult with counsel and the written advice or any written opinion
      of counsel shall be full and complete authorization and protection in respect
      of
      any action taken or omitted by it hereunder in good faith and in accordance
      with
      such advice or opinion of counsel.

    

    
      
        
        

      

      
        16

        
          

        

      

      
        
        

      

    

    Any
      entity into which the Custodian 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 Custodian shall be a party, or any entity succeeding
      to the business of the Custodian shall be the successor of the Custodian
      hereunder without the execution or filing of any paper with any parties hereto
      or any further act on the part of any of the parties hereto except where an
      instrument or transfer or assignment is required by law to effect such
      succession, anything herein to the contrary notwithstanding.

    

    In
      order
      to comply with its duties under the U.S.A. Patriot Act, the Custodian shall
      obtain and verify certain information and documentation from the other parties
      hereto, including, but not limited to, such party’s name, address, and other
      identifying information.

     

    Section
      15. Term
      of Custodial Agreement.

    

    Promptly
      after written notice from the Buyer of the termination of the Master Repurchase
      Agreement and payment in full of all amounts owing to the Buyer thereunder,
      the
      Custodian shall deliver all documents remaining in the Mortgage Files to the
      Seller, and this Custodial Agreement shall thereupon terminate.

     

    Section
      16. Notices.

    

    All
      demands, notices and communications hereunder shall be in writing and shall
      be
      deemed to have been duly given when received by the recipient party at the
      address shown on its signature page hereto, or at such other addresses as may
      hereafter be furnished to each of the other parties by like notice. Any such
      demand, notice or communication hereunder shall be deemed to have been received
      on the date delivered to or received at the premises of the addressee. Any
      demand, notice or communication hereunder shall be (i) sent by telecopy, (ii)
      delivered in person, or (iii) transmitted by a recognized private (overnight)
      courier service. The Custodian’s office is located at the address set forth on
      its signature page hereto, and each party hereto agrees to notify each other
      party if its address should change.

     

    Section
      17. Governing
      Law.

    

    This
      Custodial Agreement shall be construed in accordance with the laws of the State
      of New York, and the obligations, rights, and remedies of the parties hereunder
      shall be determined in accordance with such laws without regard to the conflict
      of laws doctrine applied in such state.

     

    Section
      18. Authorized
      Representatives.

    

    Each
      individual designated as an authorized representative of the Buyer or its
      successors or assigns, the Seller and the Custodian, respectively (an
“Authorized
      Representative”),
      is
      authorized to give and receive notices, requests and instructions and to deliver
      certificates and documents in connection with this Custodial Agreement on behalf
      of the Buyer, the Seller and the Custodian, as the case may be, and the specimen
      signature for each such Authorized Representative, initially authorized
      hereunder, is set forth on Annexes 6, 7 and 8 hereof, respectively. From time
      to
      time, the Buyer, the Seller or the Custodian or their respective successors
      or
      permitted assigns may, by delivering to the others a revised annex, change
      the
      information previously given pursuant to this Section 18, but each of the
      parties hereto shall be entitled to rely conclusively on the then current annex
      until receipt of a superseding annex.

     

    Section
      19. Amendment.

    

    This
      Custodial Agreement may be amended from time to time by written agreement signed
      by the Seller, the Buyer and the Custodian.

     

    
      
        
        

      

      
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    Section
      20. Cumulative
      Rights.

    

    The
      rights, powers and remedies of the Custodian and the Buyer under this Custodial
      Agreement shall be in addition to all rights, powers and remedies given to
      the
      Custodian and the Buyer by virtue of any statute or rule of law, the Master
      Repurchase Agreement or any other agreement, all of which rights, powers and
      remedies shall be cumulative and may be exercised successively or concurrently
      without impairing the Buyer’s ownership or security interest in the Purchased
      Loans.

     

    Section
      21. Binding
      Upon Successors.

    

    All
      rights of the Custodian, the Seller and the Buyer under this Custodial Agreement
      shall inure to the benefit of the Custodian, the Seller and the Buyer and their
      successors and permitted assigns.

     

    Section
      22. Entire
      Agreement; Severability.

    

    This
      Custodial Agreement and the other Program Documents contain the entire agreement
      with respect to the Purchased Loans among the Custodian, the Buyer and the
      Seller. If any of the provisions of this Custodial Agreement shall be held
      invalid or unenforceable, this Custodial 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.

     

    Section
      23. Execution
      In Counterparts.

    

    This
      Custodial Agreement may be executed in counterparts, each of which when so
      executed shall be deemed to be an original and all of which when taken together
      shall constitute one and the same agreement.

     

    Section
      24. Tax
      Reports.

    

    The
      Custodian shall not be responsible for the preparation or filing of any reports
      or returns relating to federal, state or local income taxes with respect to
      this
      Custodial Agreement, other than in respect of the Custodian’s compensation or
      for reimbursement of expenses.

     

    Section
      25. Assignment
      by the Buyer.

    

    The
      Buyer
      shall have free and unrestricted use of the Mortgage Loans and may engage in
      financing, repurchase, purchase and sale, sale, or similar transactions with
      the
      Mortgage Loans and otherwise pledge, repledge, transfer, hypothecate or
      rehypothecate the Mortgage Loans and all rights of the Buyer under the Master
      Repurchase Agreement (and this Custodial Agreement) to any assignee designated
      by the Buyer (each, an “Assignee”). The Seller hereby irrevocably consents to
      any such assignment. Upon receipt of written notice to the Custodian of any
      such
      assignment in the form attached hereto as Annex 10, the Custodian shall mark
      its
      records to reflect the pledge or assignment of the Mortgage Loans by the Buyer
      to the Assignee. The Custodian’s records shall reflect the pledge or assignment
      of the Mortgage Loans by the Buyer to the Assignee until such time as the
      Custodian receives written instructions from the Buyer with consent from the
      Assignee that the Mortgage Loans are no longer pledged or assigned by the Buyer
      to the Assignee, at which time the Custodian shall change its records to reflect
      the release of the pledge or assignment of the Mortgage Loans, and that the
      Custodian is holding the Mortgage Loans, as custodian for, and for the benefit
      of, the Buyer.

    

    
      
        
        

      

      
        18

        
          

        

      

      
        
        

      

    

    If
      the
      Buyer has notified the Custodian in writing of such assignment or pledge by
      delivery to the Custodian of a written notice in the form of Annex 10 hereto,
      then, upon delivery of notice in the form of Annex 14 by Assignee to the
      Custodian of the Buyer’s default, Assignee may, subject to any limitations in
      any agreement between Assignee and the Buyer, (i) require Custodian to act
      with
      respect to the related Mortgage Loans solely in the capacity of custodian for,
      and bailee of, Assignee, but nevertheless subject to and only in accordance
      with
      the terms of this Custodial Agreement, (ii) require Custodian to hold such
      Mortgage Loans for the exclusive use and benefit of Assignee, and (iii) assume
      the rights of the Buyer under this Agreement to furnish instructions to the
      Custodian as to the disposition of such Mortgage Loans and such rights shall
      be
      exercisable solely by Assignee. In addition, within three (3) Business Days
      of
      receipt of such notice to the Custodian in the form of Annex 14 and receipt
      by
      the Custodian of the Trust Receipt from the Assignee, the Custodian shall
      deliver, in accordance with the written instructions of the Assignee, a Trust
      Receipt issued in the name of the Assignee and to the place indicated in any
      such written direction from the Assignee. The Custodian shall assume that any
      assignment from the Buyer to Assignee is subject to no limitations that are
      not
      expressly set forth in this Custodial Agreement. Until such time as the
      Custodian receives notice in the form of Annex 14 from the Assignee that there
      exists an event of default with respect to a pledge or assignment of its
      interest in the Mortgage Loans and Mortgage Files, the Custodian shall take
      directions solely from Buyer.

     

    Section
      26. Transmission
      of Mortgage Files.

    

    Prior
      to
      any shipment of any Mortgage Files, or other loan documents hereunder, the
      Seller shall deliver to the Custodian written instructions as to the method
      of
      shipment and shipper(s) the Custodian is to utilize in connection with the
      transmission of Mortgage Files or other loan documents in the performance of
      the
      Custodian’s duties hereunder. The Seller shall arrange for the provision of such
      services at their sole cost and expense (or, at the Custodian’s option,
      reimburse the Custodian for all costs and expenses incurred by the Custodian
      consistent with such instructions) and will maintain such insurance against
      loss
      or damage to mortgage files or other loan documents as the Seller deems
      appropriate. Without limiting the generality of the provisions of Section 13
      above, it is expressly agreed that in no event shall the Custodian have any
      liability for any losses or damages to any person, including without limitation,
      the Seller, arising out of actions of the Custodian consistent with the
      instructions of the Seller. In the event the Custodian does not receive such
      written instructions, the Custodian shall be authorized and shall be indemnified
      as provided herein to utilize a nationally recognized courier
      service.

    

    [SIGNATURE
      PAGE FOLLOWS]

    

    
      
        
        

      

      
        19

        
          

        

      

      
        
        

      

    

    IN
      WITNESS WHEREOF, this Custodial Agreement was duly executed by the parties
      hereto as of the day and year first above written.

     

    
      	
              THE
                NEW YORK MORTGAGE COMPANY, LLC

            
	 
	 
	
              By: /s/
                Joseph V. Fierro

            
	
              
                Name: Joseph
                  V. Fierro

              

            
	
              
                Title: Chief
                  Operating Officer

              

            
	 
	 
	
              Address
                for Notices:

            
	 
	
              1301
                Avenue of the Americas, 7th Floor

            
	
              New
                York, New York 10019

            
	
              Attention:
                Steven B. Schnall, CEO

            
	
              Telecopier
                No.: (212) 634-6420

            
	
              Telephone
                No.: (212) 634-9449

            
	 
	 
	
              NEW
                YORK MORTGAGE FUNDING, LLC

            
	 
	 
	
              
                By: /s/
                  Joseph V. Fierro

              

            
	
              Name: Joseph
                V. Fierro

            
	
              Title: Chief
                Operating Officer

            
	 
	 
	
              Address
                for Notices:

            
	 
	 
	
              1301
                Avenue of the Americas, 7th Floor

            
	
              New
                York, New York 10019

            
	
              Attention:
                Steven B. Schnall, CEO

            
	
              Telecopier
                No.: (212) 634-6420

            
	
              Telephone
                No.: (212) 634-9449

            

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    
      	
              NEW
                YORK MORTGAGE TRUST

            
	 
	 
	
              
                By: /s/
                  David A. Akre

              

            
	
              
                Name: David
                  A. Akre

              

            
	
              
                Title: Vice
                  Chairman/Co-Chief Executive Officer

              

            
	 
	 
	
              Address
                for Notices:

            
	 
	
              1301
                Avenue of the Americas, 7th Floor

            
	
              New
                York, New York 10019

            
	
              Attention:
                David Akre, CEO

            
	
              Telecopier
                No.: (212) 655-6269

            
	
              Telephone
                No.: (212) 634-2338

            
	 
	 
	
              LASALLE
                BANK NATIONAL ASSOCIATION, as Custodian 

            
	 
	 
	
              
                By: /s/
                  Mark J. Jerva

              

            
	
              
                Name: Mark
                  J. Jerva

              

            
	
              
                Title: Vice
                  President

              

            
	 
	 
	
              Address
                for Notices:

            
	 
	
              2571
                Busse Road, Suite 200-Dock 49

            
	
              Elk
                Grove Village, Illinois, 60007

            
	
              Attention:
                ______________

            
	
              Telecopier
                No.: (___) ___-____

            
	
              Telephone
                No.: (___) ___-____

            

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    
      	
              GREENWICH
                CAPITAL FINANCIAL PRODUCTS, INC.

            
	 
	 
	
              
                By: /s/
                  Anthony Palmisano

              

            
	
              
                Name: Anthony
                  Palmisano

              

            
	
              
                Title: Managing
                  Director

              

            
	 
	
              Address
                for Notices:

            
	 
	
              600
                Steamboat Road

            
	
              Greenwich,
                Connecticut 06830

            
	
              Attention:
                Joseph Bartolotta

            
	
              Telecopier
                No.: (203) 618-2148/2149

            
	
              Telephone
                No.: (203) 625-6675

            
	 
	
              With
                a copy to:

            
	 
	
              Attention:
                General Counsel 

            
	
              Telecopier
                No.: (203) 618-2132

            
	
              Telephone
                No.: (203) 625-2700

            

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    
      	
              LASALLE
                BANK NATIONAL ASSOCIATION, as Disbursement Agent 

            
	 
	 
	
              
                By:                                                                           

              

            
	
              
                Name:                                                                       

              

            
	
              
                Title:                                                                         

              

            
	 
	 
	
              Address
                for Notices:

            
	
              2571
                Busse Road, Suite 200-Dock 49

            
	
              Elk
                Grove Village, Illinois, 60007

            
	
              Attention:
                ______________

            
	
              Telecopier
                No.: (___) ___-____

            
	
              Telephone
                No.: (___) ___-____

            

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    Annex
      1

    to
      Custodial Agreement

    

    REQUIRED
      FIELDS FOR MORTGAGE LOAN TRANSMISSION 

    

    (SELLER
      TO CUSTODIAN WET OR DRY IN CSV OR EXCEL FORMAT)

    (Fixed-width
      ASII text file) (Total
      Length = 460)

    
      	 	 	 	 
	
              LaSalle
                Field Header

            	
              LaSalle
                Description

            	
              LaSalle
                Char Length

            	 
	
              ADDRESS

            	
              Property
                Address

            	
              60

            	 
	
              ALT_ID

            	
              Alternate
                ID

            	
              13

            	 
	
              ARMACAP

            	
              Arm
                Annual Cap

            	
              5

            	 
	
              ARMADJ

            	
              ARM
                Adjust Date

            	
              8

            	 
	
              ARMCONV

            	
              ARM
                Convert Flag

            	
              1

            	 
	
              ARMFLOOR

            	
              ARM
                Floor Rate

            	
              6

            	 
	
              ARMINDEX

            	
              ARM
                Index

            	
              6

            	 
	
              ARMLCAP

            	
              ARM
                Loan Cap

            	
              5

            	 
	
              ARMLOOKBACK

            	
              ARM
                Look back

            	
              4

            	 
	
              ARMMARGIN

            	
              ARM
                Margin

            	
              5

            	 
	
              BORR1FIRST

            	
              Borrower
                1 First Name

            	
              30

            	 
	
              BORR1MID

            	
              Borrower
                1 Middle Name

            	
              30

            	 
	
              borrower

            	
              Borrower
                1 Last Name

            	
              60

            	 
	
              BORR2FIRST

            	
              Borrower
                2 first Name

            	
              30

            	 
	
              BORR2MID

            	
              Borrower
                2 middle Name

            	
              30

            	 
	
              BORR2LAST

            	
              Borrower
                2 last Name

            	
              30

            	 
	
              ARMROUND

            	
              ARM
                Round

            	
              7

            	 
	
              CASENUM

            	
              Case
                number

            	
              13

            	 
	
              CITY

            	
              Property
                City

            	
              60

            	 
	
              CLOSED

            	
              Note
                Date

            	
              8

            	
              MM/DD/YYYY'

            
	
              COLL_KEY

            	
              Collateral
                ID

            	
              13

            	 
	
              CTRLNUM

            	
              Control
                Num

            	
              7

            	 
	
              CUSTOMER

            	
              Customer
                Code

            	
              4

            	
              Fixed
                value of '1007

            
	
              FIRSTDUE

            	
              First
                Payment Date

            	
              8

            	
              MM/DD/YYYY'

            
	
              GROUP

            	
              Group

            	
              15

            	 
	
              INVEST_KEY

            	
              Investor
                ID

            	
              13

            	 
	
              IS
                MOM

            	
              If
                loan is a Mers Originated Mortgage then value = 1, else value =
                0

            	
              1

            	 
	
              LNAMOUNT

            	
              Note
                Amount

            	
              14

            	 
	
              MATURITY

            	
              Maturity
                date

            	
              8

            	
              MM/DD/YYYY'

            
	
              MERSMIN

            	
              MERS
                Mortgage Identification Number

            	
              18

            	 
	
              POOL_KEY

            	
              Pool
                Number

            	
              13

            	 
	
              SERVICER

            	
              Servicer
                Code

            	
              10

            	 
	
              STATE

            	
              Property
                state

            	
              2

            	 
	
              TRUSTNUM

            	
              Trust
                Number

            	
              40

            	 
	
              ZIP

            	
              Property
                Zip code

            	
              10

            	 
	
              PI

            	
              P&I

            	
              9

            	 
	
              RATE

            	
              INTEREST
                RATE

            	
              6

            	 

    

    

    
      
        
        

      

      
        Annex
          1-1

        
          

        

      

      
        
        

      

    

    

    Annex
      2

    to
      Custodial Agreement

    

    GCFP
      Customer Code:____

    

    [WET
      LOAN][DRY LOAN] TRUST RECEIPT

    

    Overnight
      Courier Tracking No.______

    #
      of
      Loans:_______

    Original
      Quantity $____

    Product
      Type ______

    Greenwich
      Capital Financial Products, Inc.

    600
      Steamboat Road

    Greenwich,
      Connecticut 06830

    Attn:
      _________________

    

    
      	 	
              Re:

            	
              Amended
                and Restated Custodial Agreement, dated as of January 5, 2006 (the
                “Custodial
                Agreement”),
                among The New York Mortgage Company, LLC, New York Mortgage Funding,
                LLC
                and New York Mortgage Trust, Inc., jointly and severally as Sellers,
                LaSalle Bank, National Association, as Custodian, and Greenwich Capital
                Financial Products, Inc., as Buyer.

            

    

    

    Ladies
      and Gentlemen:

    

    In
      accordance with the provisions of Section 3 of the above-referenced Custodial
      Agreement (capitalized terms not otherwise defined herein having the meanings
      ascribed to them in the Custodial Agreement), the undersigned, as the Custodian,
      hereby certifies as to each Mortgage Loan described in the attached Custodian
      Loan Transmission all matters (subject to the Exceptions listed therein) set
      forth in Section of the Custodial Agreement, subject to the limitation set
      forth
      in Section 3(b) of the Custodial Agreement.

    

    The
      delivery of this Trust Receipt evidences that (i) the Custodian has reviewed
      all
      documents required to be delivered in respect of each Mortgage Loan listed
      herein pursuant to Section 2(a)(i), (ii), and (iii) of this Custodial Agreement
      and the documents listed in Sections (i), (ii), (iii), (iv) and (v) of Annex
      16
      (and if actually delivered to the Custodian the documents listed in Sections
      (vi) - (ix) of Annex 16) and such documents other than the Exceptions listed
      herein are in the possession of the Custodian as part of the Mortgage File
      for
      such Mortgage Loan, (ii) the Custodian is holding each Mortgage Loan identified
      on the Custodian Loan Transmission attached hereto, pursuant to the Custodial
      Agreement, as the bailee of and custodian for the Buyer and (iii) such documents
      have been reviewed by the Custodian and appear on their face to be regular
      and
      to relate to such Mortgage Loan and satisfy the requirements set forth in
      Section 3(a) of the Custodial Agreement and the Review Procedures.

    

    The
      Custodian makes no representations as to, and shall not be responsible to
      verify, (i) the validity, legality, enforceability, due authorization,
      recordability, sufficiency, or genuineness of any of the documents contained
      in
      each Mortgage File or (ii) the collectability, insurability, effectiveness
      or
      suitability of any such Mortgage Loan.

    

    
      
        
        

      

      
        Annex
          2-1

        
          

        

      

      
        
        

      

    

    On
      each
      date the Custodian delivers to the Buyer a Trust Receipt, it shall supersede
      the
      Trust Receipt, previously delivered by the Custodian to the Buyer hereunder.
      The
      most recently delivered Trust Receipt, shall control and be binding upon the
      parties hereto.

     

    
      	
              LASALLE
                BANK NATIONAL ASSOCIATION, as Custodian

            
	 
	 
	
              By:                                                                                     
                

            
	
              Name:                                                                                

            
	
              Title:                                                                                  

            

    

    

    
      
        
        

      

      
        Annex
          2-2

        
          

        

      

      
        
        

      

    

    Annex
      3

    to
      Custodial Agreement

    

    FORM
      OF NOTICE OF SALE AND REQUEST FOR RELEASE

    

    DATE:
      __________, ____

    

    The
      undersigned, __________________________ (the “Seller”),
      hereby provides notice of the proposed sale of the below referenced mortgage
      loans to ____________________ (the “Approved
      Purchaser”).
      Such
      Mortgage Loans have previously been delivered to LASALLE BANK, NATIONAL
      ASSOCIATION, acting as agent, bailee and custodian (in such capacity
“Custodian”)
      for
      the exclusive benefit of the GREENWICH CAPITAL FINANCIAL PRODUCTS, INC., (the
      “Buyer”)
      pursuant to the Custodial Agreement dated as of January 5, 2006 made by and
      among The New York Mortgage Company, LLC, New York Mortgage Funding, LLC and
      New
      York Mortgage Trust, Inc. (each, a “Seller” and collectively, the “Seller”),
      Custodian and the Buyer. The closing date for such sale is ______________ and
      the anticipated purchase proceeds to be paid to the Buyer directly is
      ___________ (if amount is zero, remaining Purchased Loans are sufficient to
      protect Buyer and shall not result in a Margin Deficit).

    

    The
      Seller requests release from the Custodian of the following described
      documentation for the identified Mortgage Loans, possession of which shall
      be
      delivered to the Approved Purchaser in connection with the sale
      thereof.

    

    

    
      	
              Mortgagor
                Name

            	
              Loan
                Number

            	
              Note
                Amount

            	
              Loan
                Document

              Delivered

            
	 	 	 	 
	 	 	 	 

    

     

    Please
      send the referenced documentation to:

    [NAME
      OF
      APPROVED PURCHASER]

    [ADDRESS]

    [TELEPHONE]

    [ATTENTION:]

     

    Please
      deliver documents to the Approved Purchaser via __________________, accompanied
      by a transmittal letter in the form of Annex 10.

     

    
      
        
        

      

      
        Annex
          3-1

        
          

        

      

      
        
        

      

       

    

    
      	 	
               

                                                                                            
                  

              By:

              Name:

              Title:

            

    

    

    Acknowledged
      and Consented to:

    GREENWICH
      CAPITAL FINANCIAL PRODUCTS, INC.

    

    By:
      _______________________________

    Name:

    Title:

    Date:_______________________________

    

    

    Capitalized
      terms not otherwise defined herein are defined in that certain Master Repurchase
      Agreement (the “Repurchase
      Agreement”),
      dated
      as of January 5, 2006, among the Sellers and the Buyer.

    
       

      
        	 	
                 

                                                                                              
                    

                By:

                Name:

                Title:

              

      

      

      
        
          
          

        

        
          Annex
            3-2

          
            

          

        

        
          
          

        

      

    

     

    Annex
      4

    to
      Custodial Agreement

    

    REVIEW
      PROCEDURES

    

    This
      Annex sets forth the Custodian’s review procedures for each item listed below
      delivered by the Seller pursuant to the Custodial Agreement (the “Agreement”) to
      which this Annex is attached. Capitalized terms used herein and not defined
      herein shall have the meanings ascribed to them in the Agreement.

    

    1. The
      Mortgage Note and the Mortgage each appear to bear an original signature or
      signatures purporting to be the signature or signatures of the Person or Persons
      named as the maker and Mortgagor or grantor, or in the case of copies of the
      Mortgage permitted under Section 2(b) of the Agreement, that such copies bear
      a
      reproduction of such signature.

    

    2. The
      amount of the Mortgage Note is the same as the amount specified on the related
      Mortgage.

    

    3. The
      original mortgagee is the same as the payee on the Mortgage Note.

    

    4. The
      Mortgage contains a legal description other than address, city and
      state.

    

    5. The
      notary section (acknowledgment) is present and attached to the related Mortgage
      and is signed.

    

    6. Neither
      the original Mortgage Note, nor the copy of the Mortgage delivered pursuant
      to
      the Agreement, nor the original Assignment of Mortgage contain any alterations
      which appear irregular on their face, or if altered, such alterations have
      the
      initials of the person(s) named as the Mortgagor.

    

    7. The
      Mortgage Note is endorsed in blank by the original payor or the last
      endorsee.

    

    8. Each
      original Assignment of Mortgage and any intervening assignment of mortgage,
      if
      applicable, appears to bear the original signature of the named mortgagee or
      beneficiary including any subsequent assignors (and any other necessary party),
      as applicable, or in the case of copies permitted under Section 2 (b) of the
      Agreement, that such copies appear to bear a reproduction of such signature
      or
      signatures and such copies have been certified by an officer of the Seller,
      a
      title company or escrow closing company as true, complete and correct copies
      of
      any originals, and the intervening assignments of mortgage evidence a complete
      chain of assignment and transfer of the related Mortgage from the originating
      Person to the Seller or, in the case of a MERS Designated Mortgage Loan to
      MERS.

    

    9. The
      date
      of each intervening assignment is on or after the date of the related Mortgage
      and/or the immediately preceding assignment, as the case may be.

    

    10. The
      notary section (acknowledgment) is present and attached to each intervening
      assignment and is signed.

    

    11. Based
      upon a review of the Mortgage Note, the Mortgage Loan number, the Mortgagor’s
      name, the address of the Mortgaged Property, the original amount of the Mortgage
      Note, [the original mortgage interest rate, the maturity date and any other
      fields as mutually agreed upon] as set forth in the Mortgage Loan Transmission
      delivered by the Seller to the Custodian are correct.

    

    
      
        
        

      

      
        Annex
          4-1

        
          

        

      

      
        
        

      

    

    12. The
      Mortgage File contains the original policy of title insurance (or a commitment
      for title insurance, if the policy is being held by the title insurance company
      pending recordation of the Mortgage) or attorney’s opinion of title; provided,
      however, that no such policy shall be delivered in connection with any second
      lien Mortgage Loan with an original principal balance not in excess of
      $50,000.

    

    In
      the
      case of Wet Loans, the review procedures shall be as follows:

    

    1. To
      the
      extent any items listed in Annex 16 are available, the procedures set forth
      above.

    

    2. To
      the
      extent the items listed in Annex 16 are not available, the original Transaction
      Notice with a loan listing attached has been received and matches the facsimile
      copy previously delivered.

    

    
      
        
        

      

      
        Annex
          4-2

        
          

        

      

      
        
        

      

    

    Annex
      5

    to
      Custodial Agreement

    

    REQUEST
      FOR RELEASE AND RECEIPT

    

    Date:
      __________, ____

    

    The
      undersigned, [Seller] (the “Seller”),
      acknowledges receipt from LaSalle Bank National Association acting as bailee
      of,
      and custodian for (in such capacity, the “Custodian”)
      the
      exclusive benefit of GREENWICH
      CAPITAL FINANCIAL PRODUCTS, INC. (the “Buyer”)
      (capitalized terms not otherwise defined herein are defined in that certain
      Amended and Restated Custodial Agreement, dated as of January 5, 2006 (the
      “Custodial
      Agreement”)
      or if
      not defined in the Custodial Agreement, then in that certain Master Repurchase
      Agreement dated as of January 5, 2006 between the Seller and the Buyer (the
      “Master
      Repurchase Agreement”)),
      of
      the following described documentation for the identified Mortgage Loan,
      possession of which is entrusted to the Seller solely for the purpose referenced
      below:

    

    Mortgagor
      Name Loan
      Number Note
      Amount  Mtg.
      Loan
      Document

    

    Reason
      for Requesting File (check
      one)

    _____
      1. Mortgage
      Loan Paid in Full.

    _____
      2. Correction
      of Document Deficiencies.

    _____
      3. Mortgage
      Required for Servicing.

    

    _____
      4. Foreclosure.

    _____
      5. Other
      [Describe].

    

    If
      item
      2, 3, 4 or 5 is checked, it is hereby acknowledged that a security interest
      pursuant to the Uniform Commercial Code in the Purchased Loans hereinabove
      described and in the proceeds of said Purchased Loans has been granted to the
      Buyer pursuant to the Master Repurchase Agreement.

    

    If
      item
      2, 3, 4 or 5 is checked, in consideration of the aforesaid delivery by the
      Custodian, the Seller hereby agrees to hold said Purchased Loans in trust for
      the Buyer as provided under and in accordance with all provisions of the
      Custodial Agreement and to return said Purchased Loans to the Custodian no
      later
      than the close of business on the tenth day following the date hereof or, if
      such day is not a Business Day, on the immediately succeeding Business
      Day.

    

    Please
      deliver the requested file to [ADDRESS], Attention: _____________, via overnight
      courier.

    

    
      
        
        

      

      
        Annex
          5-1

        
          

        

      

      
        
        

      

       

      
        	 	
                                                                                            
                  

                By:                                                                             

                Name:

                Title:

              

      

       

    

    Acknowledged
      and Consented to:

    

    GREENWICH
      CAPITAL FINANCIAL PRODUCTS, INC.

    By:
      _______________________________

    Name:

    Title:

    Date:_______________________________

     

    Documents
      returned to Custodian:

    

    ____________________________________

    By:
      _______________________________

    Name:

    Title:

    Date:_______________________________

    

    
      
        
        

      

      
        Annex
          5-2

        
          

        

      

      
        
        

      

    

    

    Attachment
      1 to Request for Release and Receipt

    

    Format
      of Electronic Release Request for Custodian (form and electronic signatures
      stored with custodian per separate agreement)

    

    
      	
              Field
                Header

            	
              Description

            	
              Data
                Type/Length

            
	
               

            	
               

            	
               

            
	
              customer

            	
              Constant
                value of "1120"

            	
              char(4)

            
	
              poolnum

            	
              TBD

            	
              char(13)

            
	
              coll_key

            	
              Unique
                Loan Number

            	
              char(20)

            
	
              loc_code

            	
              Need
                list of approved investor address so a codes can be
                created

            	
              char(6)

            
	
              rel_code

            	
              1=
                Paid in Full, 2= Foreclosure, 4= Other Liquidation, 5 = Non-Liquidation,
                10 = Shipped to Private Investor

            	
              char(2)

            
	
              notation

            	
              name
                of person requesting file@company name

            	
              char(254)

            
	
              reqstr_sig

            	
              Value
                LaSalle will provide for you once set up in our system.

            	
               

            

    

    

    

    
      
        
        

      

      
        Annex
          5-3

        
          

        

      

      
        
        

      

    

    Annex
      6

    to
      Custodial Agreement

    

    AUTHORIZED
      REPRESENTATIVES OF BUYER

    

    Name Specimen
      Signature

    Brett
      Kibbe _________________________

    Joseph
      Bartolotta _________________________

    David
      Katze _________________________

    Kathleen
      O’Connor _________________________

    

    
      
        
        

      

      
        Annex
          6-1

        
          

        

      

      
        
        

      

    

    

    Annex
      7

    to
      Custodial Agreement

    

    

    AUTHORIZED
      REPRESENTATIVES OF SELLER

    
      

      
        	
                Name

              	
                Specimen
                  Signature

              
	 	 
	
                _________________

              	
                _________________________

              
	 	 
	
                _________________

              	
                _________________________

              
	 	 
	
                _________________

              	
                _________________________

              
	 	 
	
                _________________

              	
                _________________________

              

      

      

      
        
          
          

        

        
          Annex
            7-1

          
            

          

        

        
          
          

        

      

    

     

    Annex
      8

    to
      Custodial Agreement

    

    AUTHORIZED
      REPRESENTATIVES OF CUSTODIAN

    
      

      
        	
                Name

              	
                Specimen
                  Signature

              
	 	 
	
                _________________

              	
                _________________________

              
	 	 
	
                _________________

              	
                _________________________

              
	 	 
	
                _________________

              	
                _________________________

              
	 	 
	
                _________________

              	
                _________________________

              

      

       

      
        
          
          

        

        
          Annex
            8-1

          
            

          

        

        
          
          

        

      

    

    Annex
      9

    to
      Custodial Agreement

    

    FORM
      OF LOST NOTE AFFIDAVIT

    

    I,
      as
      ___________________________ (title) (hereinafter called “Deponent”)
      of
      LaSalle Bank National Association (the “Custodian”),
      am
      authorized to make this Lost Note Affidavit (this “Affidavit”) on behalf of the
      Custodian. In connection with the administration of the Mortgage Loans held
      by
      the Custodian on behalf of Greenwich Capital Financial Products, Inc. (the
      “Buyer”),
      Deponent being duly sworn, deposes and says that:

    

    1. Custodian’s
      address is:

    

    
      	 	 	
              ______________________

            

    

    ______________________

    

    2. Custodian
      previously delivered to the Buyer a Custodian Loan Transmission and an Exception
      Report with respect to that certain Mortgage Note made by ___ in an original
      principal balance of $___, secured by a Mortgage on a property located at____,
      which did not indicate such Mortgage Note is missing;

    

    3. Such
      Mortgage Note was assigned or sold to the Buyer by __________________________
      pursuant to the terms and provisions of a Master Repurchase Agreement dated
      and
      effective as of January 5, 2006;

    

    4. Such
      Mortgage Note is not outstanding pursuant to a Request for Release of
      Documents;

    

    5. Aforesaid
      Mortgage Note (hereinafter called the “Original”)
      has
      been lost;

    

    6. Deponent
      has made or has caused to be made diligent search for the Original and has
      been
      unable to find or recover same;

    

    7. The
      Custodian was the Custodian of the Original at the time of loss;

    

    8. Deponent
      agrees that, if said Original should ever come into Custodian’s possession,
      custody or power, Custodian will immediately and without consideration surrender
      the Original to the Buyer;

    

    9. Attached
      hereto is a true and correct copy of (i) the Mortgage Note, endorsed to
“________________________________, as Custodian” by the Mortgagee, as provided
      by __________________________ or its designee and (ii) the Mortgage which
      secures the Mortgage Note, which Mortgage Note is recorded at
      __________________;

    

    10. Deponent
      hereby agrees that the Custodian (a) shall indemnify and hold harmless the
      [Buyer][Seller], its successors, and assigns, against any loss, liability or
      damage, including reasonable attorney’s fees, resulting from the unavailability
      of any Originals, including but not limited to any loss, liability or damage
      arising from (i) any false statement contained in this Affidavit, (ii) any
      claim
      of any party that it has already purchased a mortgage loan evidenced by the
      Originals or any interest in such mortgage loan, (iii) any claim of any Seller
      with respect to the existence of terms of a Mortgage Loan evidenced by the
      Originals, (iv) the issuance of new instrument in lieu thereof and (v) any
      claim
      whether or not based upon or arising from honoring or refusing to honor the
      Original when presented by anyone (items (i) through (iv) above are hereinafter
      referred to as the “Losses”);
      and

    

    
      
        
        

      

      
        Annex
          9-1

        
          

        

      

      
        
        

      

    

    11. This
      Affidavit is intended to be relied on by the Buyer, its successors, and assigns
      and the Custodian represents and warrants that it has the authority to perform
      its obligations under this Affidavit.

    

    

    
      	
              EXECUTED
                THIS ____ day of _______, ____, on behalf of the Custodian
                by:

            
	 
	 
	
              ___________________________________

            
	
              Signature

            
	 
	 
	
              ___________________________________

            
	
              Typed
                Name

            

    

     

    On
      this
      _________ day of _______________________, ____, before me appeared
      ____________________________, to me personally know, who being duly sworn did
      say that she/he is the ______________________________ of ______________________,
      and that said Lost Note Affidavit was signed and sealed on behalf of such
      corporation and said _____________________________ acknowledged this instrument
      to be the free act and deed of said corporation.

     

    
       

      _____________________________________

      Notary
        Public in and for the 

      State
        of
        ____________________________.

    

     

    
      My
        Commission expires: _______________.

       

      
        
          
          

        

        
          Annex
            9-2

          
            

          

        

        
          
          

        

         

      

    

    Annex
      10

    to
      Custodial Agreement

    

    NOTICE
      OF ASSIGNMENT

     

    
      	
              To:

            	
              __________________________

            
	
              From:

            	
              ____________________________

            
	
              Date:

            	
              ____________________________

            

    

     

    You
      are
      hereby notified that as of [date] the undersigned has assigned all of its right,
      title and interest in and to the Mortgage Loans identified in the schedule
      attached hereto to [Assignee’s name and address]. You are hereby instructed to
      hold such Mortgage Loans pursuant to the terms of the Amended and Restated
      Custodial Agreement, dated as of January 5, 2006 (the “Custodial
      Agreement”),
      among
      The New York Mortgage Company, LLC, New York Mortgage Funding, LLC and New
      York
      Mortgage Trust, Inc. (the “Seller”),
      La
      Salle Bank National Association (the “Custodian”)
      and
      Greenwich Capital Financial Products, Inc. (the “Buyer”),
      for
      the sole and exclusive benefit of [name of Assignee] subject to the terms of
      the
      Custodial Agreement by which [name of Assignee] hereby agrees to be
      bound.

    

    When
      you
      have received written instructions from the Buyer with the Assignee’s consent
      thereon that the Mortgage Loans are no longer assigned by the Buyer to the
      Assignee, you shall change your records to reflect the release of the pledge
      of
      the Mortgage Loans and that you are holding the Mortgage Loans as custodian
      for,
      and for the benefit of, the Buyer.

     

    
      	
              GREENWICH
                CAPITAL FINANCIAL PRODUCTS, INC.

            
	 
	 
	
              By:

            
	
              Name:

            
	
              Title:

            
	 
	
              Date:

            
	 
	 
	
              [NAME
                OF ASSIGNEE]

            
	
              By:

            
	
              Name:

            
	
              Title:

            
	 
	
              Date:

            

    

    

    
      
        
        

      

      
        Annex
          10-1

        
          

        

      

      
        
        

      

    

    Annex
      11

    to
      Custodial Agreement

    

    (THIRD
      PARTY) TRANSMITTAL LETTER

    

    [CUSTODIAN
      LETTERHEAD]

     

    
      	
              [Approved
                Purchaser]

            
	
              __________________________

            
	
              __________________________

            
	
              Re: ______________________________

            
	 
	
              Ladies
                and Gentlemen:

            

    

     

    Attached
      please find those Mortgage Loans listed separately on the attached schedule,
      which Mortgage Loans are owned by _______________ and are being delivered to
      you
      for purchase.

    

    Capitalized
      terms used herein and not otherwise defined shall have the meanings set forth
      in
      that certain Amended and Restated Custodial Agreement dated as of January 5,
      2006, by and among La Salle Bank National Association (the “Custodian”), The New
      York Mortgage Company, New York Mortgage Funding, LLC and New York Mortgage
      Trust, Inc.. as Seller (the “Seller”),
      and
      Greenwich Capital Financial Products, Inc., as Buyer (the “Buyer”),
      and
      if not defined in the Custodial Agreement, then in that certain Master
      Repurchase Agreement (the “Master
      Repurchase Agreement”),
      dated
      as of January 5, 2006, between the Seller and the Buyer.

    

    The
      Mortgage Loans comprise a portion of the “Purchased Loans.” Each of the Mortgage
      Loans is subject to an ownership and/or security interest in favor of the Buyer,
      which security interest shall be automatically released upon remittance of
      the
      purchase price for such Mortgage Loan (the “Payoff
      Amount”)
      by
      wire transfer to the following account:

    

    WIRE
      INSTRUCTIONS:

    

      
        	
                [Bank
                  Name:

              	
                JPMorgan
                  ChaseBank

              
	
                City,
                  State:

              	
                New
                  York, NY

              
	 	 
	
                ABA
                  #:

              	
                021-000-021

              
	
                Account
                  #:

              	
                1400-95961

              
	 	 
	
                Account

              	
                Name:
                  GCFP

              
	
                Attention:

              	
                Asset-Backed
                  Ops/New York Mortgage]

              

      

       

    

    Pending
      the purchase of each Mortgage Loan and
      until
      the Payoff Amount is received, the aforesaid ownership and/or security interest
      therein will remain in full force and effect, and you shall hold possession
      of
      such Purchased Loans and the documentation evidencing same as custodian, agent
      and bailee for and on behalf of the Buyer. In the event that any Mortgage Loan
      is unacceptable for purchase, return the rejected item directly to the Custodian
      at its address set forth below. In no event shall any Mortgage Loan be returned
      to, or sales proceeds remitted to, any of the Seller. The Mortgage Loan must
      be
      so returned or Payoff Amount remitted in full no later than ten (10) days from
      the date hereof. If you are unable to comply with the above instructions, please
      so advise the undersigned Custodian immediately.

    

    
      
        
        

      

      
        Annex
          11-1

        
          

        

      

      
        
        

      

    

    NOTE:
      BY
      ACCEPTING THE MORTGAGE LOANS DELIVERED TO YOU WITH THIS LETTER, YOU CONSENT
      TO
      BE THE CUSTODIAN, AGENT AND BAILEE FOR THE BUYER ON THE TERMS DESCRIBED IN
      THIS
      LETTER. THE CUSTODIAN 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 CUSTODIAN; HOWEVER, YOUR FAILURE TO DO SO DOES NOT NULLIFY
      SUCH CONSENT.

     

    
      	
              Very
                truly yours,

            
	 
	 
	
              ______________________

            
	
              as
                Custodian

            
	 
	 
	
              By:

            
	
              Name:

            
	
              Title:

            
	 
	
              Address:___________________

            
	
              ___________________

            

    

     

    

    
      RECEIPT
        ACKNOWLEDGED:

    

    
      [APPROVED
        PURCHASER]

    

    
      By________________________

    

    Name:

    Title:

    
      Date:
        ________________

       

      
        
          
          

        

        
          Annex
            11-2

          
            

          

        

        
          
          

        

         

      

    

    Annex
      12

    to
      Custodial Agreement

    

    [ATTORNEY’S
      BAILEE LETTER]

    [Letterhead
      of Seller]

    ________
      __, ____

     

    Name
      of
      Attorney

    [Address]

     

    
      
        	Custodian:	La Salle Bank, National
                Association
                ___________________

                ___________________

                Attn:
                  ______________

                Facsimile:
                  ____________

                Telephone:
                  ___________

              	 	 
	 	 	 	 
	Buyer:	
                Greenwich
                  Capital Financial

                Products,
                  Inc.

                600
                  Steamboat Road

                Greenwich,
                  Connecticut 06830

                Attn:
                  Joseph Bartolotta

                Telecopier
                  No.: 203-618-2148/2149

                Telephone
                  No.: 203-625-6675

              	Seller:	The New York Mortgage
                Company
                New
                  York Mortgage Funding, LLC

                New
                  York Mortgage Trust, Inc.

                1301
                  Avenue of the Americas, 7th  Floor

                New
                  York, New York 10019

                Facsimile:
                  ____________

                Telephone:
                  ___________

              

      

    

     

    Dear
      Sir
      or Madam:

    

    From
      time
      to time, we, ______________ (the “Seller”),
      will
      send to you (or have sent to you) mortgage loans for which you have agreed
      to
      commence and prosecute a foreclosure action. In connection with such foreclosure
      activities, [copies of]1
      one
      or
      more of the documents evidencing or otherwise relating to such mortgage loans
      (“Documents”)
      will
      be delivered to you.

    

    Greenwich
      Capital Financial Products, Inc. (the “Buyer”),
      has
      financed the sale to us or origination of such mortgage loans, and with such
      sale or origination we granted an ownership and/or security interest in the
      Documents referred to below and the mortgage loans to which such Documents
      relate to the Buyer. LaSalle Bank, National Association (the “Custodian”)
      is
      acting as custodian for the Buyer in connection with the Documents.

    

    Whenever
      we send you Documents to be covered by this letter agreement, we will send
      such
      Documents to you under a transmittal letter identifying the specific documents
      delivered, and the mortgage loan(s) to which they relate, with a space at the
      end of the letter for you to sign and to acknowledge your receipt of such
      Documents. Upon your receipt of any such Documents, you hereby agree to fax
      to
      the Buyer and the Custodian, no later than three (3) Business Days after your
      receipt thereof, our transmittal letter, signed in the acknowledgment space
      by
      you, pursuant to which you (i) acknowledge receipt of the Documents listed
      in
      the transmittal letter, and (ii) acknowledge that with respect to such listed
      documents you are acting as bailee of the Buyer in accordance with the terms
      of
      this Attorney’s Bailee Letter.

    

    
      
        
          

        

      

      
        1 For
          Acceptable Attorneys to whom copies of the Documents are
          sent.

      

      
        
        

      

      
        Annex
          12-1

        
          

        

      

      
        
        

      

    

    By
      signing this letter agreement below where indicated, (a) you agree that on
      and
      after the date hereof until you are otherwise notified by the Buyer or the
      Custodian, any Documents delivered to you as described above will be held by
      you
      as bailee for the Buyer, (b) you certify that, as of the date of your
      receipt of any Documents, you have not received notice of any interest of any
      other person or entity in such Documents or the related mortgage loans, (c)
      you
      agree that you will commence and diligently prosecute foreclosure proceedings
      with respect to the mortgage loan to which any such Documents relate and (d)
      you
      certify that if either you or your law firm has any security interest in the
      Documents or the mortgage loan to which those Documents relate you agree to
      waive any interest you or your firm may acquire therein at any time, whether
      arising pursuant to law or otherwise or to refuse delivery of such Documents
      and
      return them immediately to the Custodian.

    

    The
      Seller and the Buyer hereby irrevocably instruct you that any Documents in
      your
      possession are to be held by you as bailee for the Buyer, as provided herein
      until they are returned to the Custodian at the address noted above together
      with a copy of this letter agreement; provided
      that if
      the Buyer or the Custodian notifies you that the Buyer’s interest in any of
      above-referenced mortgage loans has been released or did not attach (the
“Release
      Notice”),
      from
      the date of such Release Notice you will hold the Documents relating to such
      mortgage loan (and no others) as bailee for the Seller, in which case you will
      follow the Seller’s instructions regarding such Documents, and such Documents
      shall be released to the Seller at the address noted above, or its designee,
      upon conclusion of the foreclosure action, instead of returning them to the
      Custodian; and provided further
      that
      prior to the date of any Release Notice, notwithstanding anything herein or
      elsewhere to the contrary, if you receive instructions from the Buyer or the
      Custodian which do not comport with instructions you may have received from
      the
      Seller, including, without limitation, instructions to deliver the Documents
      to
      the Custodian, the Buyer or any other person or entity, you shall abide by
      the
      instructions of the Custodian or Buyer.

    

    You
      agree
      to immediately give telephonic notice (followed by written notice) to the
      Custodian if you receive notice or any inquiry from any other person or entity
      of or with respect to any interest in the Documents or the related mortgage
      loan
      and you agree that you shall immediately notify each such person in writing,
      with a copy to the Custodian, of the prior interest of the Buyer
      therein.

    

    This
      letter agreement supersedes any letter agreement or other agreement or
      arrangement that may exist between you and the Seller. Notwithstanding any
      contrary understanding with you, the Seller or any other person or entity,
      or
      any instructions to you from the Seller, the Seller or any other person or
      entity, you shall abide by the terms of this letter. No deviation in performance
      of the terms of any previous letter agreement between you and any of the
      undersigned shall alter any of your duties or responsibilities as set forth
      herein.

    

    Because
      time is of the essence, please promptly sign and date the enclosed copy of
      this
      letter agreement and return it via overnight delivery service to the Custodian
      at the above address and via telecopier, send a copy of this executed letter
      agreement to the Seller. It is important that the Custodian receive a copy
      of
      this letter agreement executed by you. Thank you for your cooperation in
      assisting us with this project.

    

    
      
        
        

      

      
        Annex
          12-2

        
          

        

      

      
        
        

      

    

    NOTE:
      BY ACCEPTING THE MORTGAGE LOANS DELIVERED TO YOU WITH THIS LETTER, YOU CONSENT
      TO BE THE CUSTODIAN, AGENT AND BAILEE FOR THE BUYER ON THE TERMS DESCRIBED
      IN
      THIS LETTER. THE CUSTODIAN 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 CUSTODIAN; HOWEVER, YOUR FAILURE TO DO SO DOES NOT NULLIFY
      SUCH CONSENT.

     

    
      	
              Very
                truly yours,

            
	 
	
              __________________________,
                Seller

            
	 
	 
	
              By                                                                                    
                 

            
	
              Name:                                                                      

            
	
              Title:                                                                        

            
	 
	
              GREENWICH
                CAPITAL FINANCIAL PRODUCTS, INC., Buyer

            
	 
	 
	
              By                                                                                      

            
	
              
                Name:                                                                      

              

            
	
              
                Title:                                                                        

              

            

    

     

     

    
      	
              ACKNOWLEDGED
                AND AGREED:

            
	 
	
              By:                                                                                      

            
	 
	
              Print
                Name:                                                                        

            
	 
	
              Date:                                                                                   

            

    

    

    
      
        
        

      

      
        Annex
          12-3

        
          

        

      

      
        
        

      

       

    

    Rider
      A

    

    [Letterhead
      of _____________________]

    ________________
      ___, _____

     

    
      	
              Name
                of Attorney

            
	
              [Address]

            

    

     

    
      
        	Re:	
                Mortgagor:

              

      

    

    
      Address
        of Property:

    

    
      Loan
        Number:

    

     

    Dear
      ___________________:

     

    We
      refer
      to that certain letter (the “Attorney’s
      Bailee Letter”),
      dated
      ________________, ____, from us to you and signed by us and by Greenwich Capital
      Financial Products, Inc., as buyer (the “Buyer”),
      describing the terms under which you agreed to hold certain mortgage loan
      documents to be sent to you from time to time under the Attorney’s Bailee
      Letter.

    

    The
      following documents evidencing or otherwise relating to the above-referenced
      mortgage loans (collectively, the “Documents”)
      are
      being sent to you under cover of this letter for the purpose of commencement
      and
      prosecution of a foreclosure action:

    

    [LIST
      ONLY THOSE DOCUMENTS THAT ARE BEING SENT]

    

    
      	 	
              (i)

            	
              The
                [original] [copy of the] Mortgage
                Note.

            

    

    
      	 	
              (ii)

            	
              The
                [original] [copy] of the guarantee executed in connection with the
                Mortgage Note.

            

    

    
      	 	
              (iii)

            	
              The
                [original] [copy of the] Mortgage with evidence of recording thereon,
                or a
                certified copy thereof.

            

    

    
      	 	
              (iv)

            	
              The
                [originals] [copies] of all assumption, modification, consolidation
                or
                extension agreements (if any) with evidence of recording thereon,
                or
                certified copies thereof.

            

    

    
      	 	
              (v)

            	
              An
                [original] [copy of the] Assignment of Mortgage to
                “_________________________, as
                Custodian”.

            

    

    
      	 	
              (vi)

            	
              The
                [originals] [copies] of [identify any particular] intervening assignments
                of mortgage with evidence of recording thereon, or certified copies
                thereof.

            

    

    
      	 	
              (vii)

            	
              The
                [original] [copy of the] [attorney’s opinion of title and abstract of
                title] or [the original mortgagee title insurance policy], [or if
                the
                original mortgagee title insurance policy has not been issued, the
                irrevocable commitment to issue the mortgagee title insurance policy
                [as
                marked by the title company or its authorized agent]], [or the preliminary
                title report for appropriate
                jurisdictions].

            

    

    
      	 	
              (viii)

            	
              The
                [original] [copy] of any security agreement, chattel mortgage or
                equivalent document executed in connection with the Mortgage
                Loan.

            

    

    
      	 	
              (ix)

            	
              The
                [original] [copy of the] power of attorney or other authorizing instrument
                [with evidence of recording
                thereon].

            

    

    
      	 	
              (x)

            	
              [Identify
                any other documents which may be
                sent].

            

    

    

    Please
      sign this letter in the space provided below to indicate your acknowledgment
      of
      receipt of the documents listed above with respect to the mortgage loan(s)
      identified above, and to confirm that you will hold such documents as bailee
      for
      the Buyer under and in accordance with the terms of the Attorney’s Bailee
      Letter. As required by the Attorney’s Bailee Letter, please fax to the Buyer and
      the Custodian (with a copy to us), a copy of this letter signed by you, not
      later than three (3) business days after your receipt of this letter. We
      appreciate your cooperation.

     

    
      
        
        

      

      
        Annex
          12-4

        
          

        

      

      
        
        

      

    

    
      	
              Sincerely
                yours,

            
	
              ___________________

            
	
              By:

            
	
              Name:

            
	
              Title:

            

    

     

    ACKNOWLEDGMENT:

    

    I
      acknowledge receipt of the Documents as listed above in this letter and of
      notice of the ownership and/or security interests in such documents described
      in
      the Attorney’s Bailee Letter referred to above. I confirm the certifications
      made by me in the Attorney’s Bailee Letter with respect to such documents and
      agree to act as bailee for the Buyer with respect to such documents on the
      terms
      set forth in the Attorney’s Bailee Letter and to comply in all other respects
      with the terms of the Attorney’s Bailee Letter.

     

     

    
      	
              Print
                Name:

            
	
              Date:

            

    

    

    
      
        
        

      

      
        Annex
          12-5

        
          

        

      

      
        
        

      

    

    Annex
      13

    to
      Custodial Agreement

    

    EXCEPTION
      CODES

     

    
      	
              Question
                

              Code

            	
              Question
                Description

            
	
              0021

            	
              TYPED
                NAME AND/OR TITLE IS MISSING OR INCORRECT

            
	
              0201

            	
              DATE
                IS MISSING OR INCORRECT

            
	
              0202

            	
              FIRST
                ADJUST DATE IS MISSING OR INCORRECT

            
	
              0203

            	
              AMOUNT
                IS INCORRECT

            
	
              0204

            	
              MORTGAGE
                MARGIN IS MISSING OR INCORRECT

            
	
              0205

            	
              ARM
                INDEX IS MISSING OR INCORRECT

            
	
              0206

            	
              ARM
                ANNUAL CAP IS MISSING OR INCORRECT

            
	
              0207

            	
              ARM
                LIFE CAP IS MISSING OR INCORRECT

            
	
              0208

            	
              ARM
                FLOOR IS MISSING OR INCORRECT

            
	
              0209

            	
              I/O
                PERIOD FROM I/O ADDENDUM IS MISSING OR INCORRECT

            
	
              0210

            	
              I/O
                PYMT FROM I/O ADDENDUM IS MISSING OR INCORRECT

            
	
              0211

            	
              PENALTY
                PD FROM PREPYMT ADDENDUM IS MISSING OR INCORRECT

            
	
              0212

            	
              LATE
                CHARGE (DAY&%) AS “DAYS/%” IS MISSING OR INCORRECT

            
	
              0213

            	
              ARM
                ADJ DATE IS MISSING OR INCORRECT

            
	
              0214

            	
              INITIAL
                CAP IS MISSING OR INCORRECT

            
	
              0215

            	
              ARM
                LOOKBACK IS MISSING OR INCORRECT

            
	
              0216

            	
              ARM
                ROUND PERCENTAGE IS MISSING OR INCORRECT

            
	
              0217

            	
              PREPAYMENT
                NOTE ADDENDUM IS MISSING

            
	
              0218

            	
              INTEREST
                ONLY ADDENDUM IS MISSING

            
	
              0219

            	
              COMPLETE
                DATA NOT RECEIVED

            
	
              0409

            	
              PROPERTY
                ADDRESS IS MISSING OR INCORRECT

            
	
              0410

            	
              ZIP
                CODE IS INCORRECT

            
	
              0411

            	
              MISC.
                INFORMATION

            
	
              0700

            	
              SIGNATURE
                IS MISSING OR INCORRECT

            
	
              0702

            	
              DOCUMENT
                IS MISSING

            
	
              0703

            	
              BAILEE
                LETTER IS MISSING

            
	
              0804

            	
              LENDER
                NAME IS MISSING OR INCORRECT

            
	
              1000

            	
              STOCK
                POWER NOT EXECUTED IN BLANK

            
	
              1604

            	
              ASSIGNEE
                IS MISSING OR DOES NOT AGREE WITH NOTE ENDORSEMENT

            
	
              1605

            	
              ASSIGNOR
                IS MISSING OR DOES NOT AGREE WITH NOTE ENDORSEMENT

            
	
              1608

            	
              REC.
                INFORMATION OR LEGAL DESC. IS MISSING OR DOES NOT AGREE

            
	
              1613

            	
              ORIGINAL
                MORTGAGE AMOUNT IS MISSING OR INCORRECT

            
	
              1614

            	
              MIN
                NUMBER IS MISSING ON MORTGAGE OR DEED OF TRUST

            
	
              1615

            	
              MERS
                REGISTRATION NOT VERIFIED

            
	
              1616

            	
              COPY
                OF RECORDED DOCUMENT IN FILE

            
	
              1617

            	
              MIN
                NUMBER IS INCORRECT

            
	
              1619

            	
              ORIGINAL
                IN FILE BUT NOT RECORDED

            
	
              2309

            	
              NOTARY
                INFORMATION IS MISSING OR INCORRECT

            
	
              2517

            	
              CORPORATE
                SEAL IS MISSING

            
	
              2706

            	
              LOAN
                AMOUNT- ALPHA AND NUMERIC ARE MISSING OR DO NOT AGREE

            
	
              2709

            	
              INTEREST
                RATE- ALPHA AND NUMERIC ARE MISSING OR DO NOT AGREE

            
	
              3114

            	
              CASE
                NUMBER IS INCORRECT

            
	
              3115

            	
              RIDER(S)
                REFERENCED HEREIN NOT ATTACHED

            
	
              3303

            	
              INTEREST
                RATE IS MISSING OR INCORRECT

            
	
              3307

            	
              MONTHLY
                P&I IS MISSING OR INCORRECT

            
	
              3310

            	
              CANCELLED
                ENDORSEMENT NOT INITIALED

            
	
              3311

            	
              ENDORSEMENT(S)
                IS NOT SIGNED

            
	
              3312

            	
              ENDORSEMENT(S)
                IS MISSING OR INCORRECT

            

    

     

    
      
        
        

      

      
        Annex
          13-1

        
          

        

      

      
        
        

      

    

    
      	
              3313

            	
              ENDORSEMENT(S)
                IS INCOMPLETE

            
	
              3314

            	
              ENDORSEMENT
                TO TRUSTEE IS MISSING

            
	
              3316

            	
              ENDORSEMENT
                LENDER NAME IS MISSING OR INCORRECT

            
	
              3317

            	
              TYPING
                CORRECTIONS NOT INITIALED BY BORROWERS

            
	
              3319

            	
              EXTRA
                ENDORSEMENT SHOULD BE CANCELLED

            
	
              3406

            	
              DATE
                OF FIRST PAYMENT IS INCORRECT

            
	
              3407

            	
              MATURITY
                DATE IS INCORRECT

            
	
              3510

            	
              COPY
                ONLY IN FILE

            
	
              3511

            	
              IMAGE
                ONLY

            
	
              4182

            	
              LEGAL
                DESCRIPTION IS MISSING

            
	
              4301

            	
              ASSIGNMENT
                IS NOT IN RECORDABLE FORM

            
	
              4901

            	
              TITLE
                COMMITMENT OR PRELIMINARY REPORT IN FILE

            
	
              4906

            	
              SCHEDULE
                A MTG. DESCRIPTION HAS INCORRECT MORTGAGE AMOUNT

            
	
              4907

            	
              SCHEDULE
                A MTG DESCRIPTION HAS INCORRECT DATE OF MORTGAGE

            
	
              4911

            	
              SCHEDULE
                A MTG DESCRIPTION HAS INCORRECT RECORDING DATE

            
	
              4920

            	
              INSURED
                AMOUNT DOES NOT MATCH ORIGINAL AMOUNT ON MORTGAGE

            
	
              4921

            	
              AGENT
                SIGNATURE MISSING ON TPOL

            
	
              5307

            	
              CERTIFIED
                COPY OF DOCUMENT IN FILE

            
	
              5339

            	
              OPEN
                ENDORSEMENT IS MISSING

            
	
              5344

            	
              ENDORSEMENT(S)
                IS A COPY

            
	
              5345

            	
              ENDORSEMENT(S)
                IS ILLEGIBLE

            
	
              5348

            	
              DOCUMENT
                INCOMPLETE OR PAGES MISSING

            
	
              5352

            	
              2
                ORIGINAL NOTES IN FILE

            
	
              5359

            	
              INVALID
                ENDORSEMENT CHAIN

            
	
              5367

            	
              BORROWER’S
                SIGNATURE ILLEGIBLE

            
	
              5368

            	
              FHA/VA
                PROOF OF INSURANCE SCREEN PRINT IN FILE

            
	
              5369

            	
              LNA
                NOT IN PROPER FORM

            
	
              6000

            	
              DOCUMENT
                FIELD IS MISSING OR INCORRECT

            
	
              FINL

            	
              FINAL
                PACKAGE RECEIVED, REVIEWED AND
                REJECTED

            

    

    

    
      
        
        

      

      
        Annex
          13-2

        
          

        

      

      
        
        

      

    

    Annex
      14

    to
      Custodial Agreement

    

    [NOTICE
      BY ASSIGNEE TO CUSTODIAN OF THE BUYER’S DEFAULT]

    
      	
              [Custodian]

            
	
              [Address]

            
	 
	
              Re:
                Default by Buyer

            
	 
	
              Ladies
                and Gentlemen:

            
	 

    

    Notice
      is
      hereby given that Greenwich Capital Financial Products, Inc. (the “Buyer”) has
      materially defaulted in its obligations under an agreement between Assignee
      and
      the Buyer relating to the financing by Assignee of the Buyer’s payment of the
      Purchase Price with respect to the Mortgage Loans described on Schedule 1
      hereto. Assignee hereby (i) directs that Custodian act with respect to the
      related mortgage files solely in the capacity of custodian for, and bailee
      of,
      Assignee, (ii) directs that Custodian hold such mortgage files for the exclusive
      use and benefit of Assignee and (iii) assumes the rights of the Buyer to furnish
      instructions to Custodian as to the disposition of such mortgage files and
      such
      rights shall be exercisable solely by Assignee.

    

    Please
      acknowledge the foregoing by signing below and returning a copy of this notice
      to us at [address].

     

    
      	
               

              Very
                truly yours,

            
	 
	
              [ASSIGNEE]

            
	 
	
              By:

            
	
              Name:

            
	
              Title:

            

    

     

    
      	
              RECEIPT
                ACKNOWLEDGED:

            
	 
	
              ________________________________

            
	 
	
              By:

            
	
              Name:

            
	
              Title:

            
	 
	
              cc:
                Greenwich Capital Financial Products,
                Inc.

            

    

    

    
      
        
        

      

      
        Annex
          14-1

        
          

        

      

      
        
        

      

    

    

    Annex
      15

    to
      Custodial Agreement

    

    LIST
      OF UNAPPROVED SETTLEMENT AGENTS

    

    [TO
      BE
      PROVIDED BY THE BUYER]

     

    
      
        
        

      

      
        Annex
          15-1

        
          

        

      

      
        
        

      

    

    Annex
      16

    to
      Custodial Agreement

    

    MORTGAGE
      FILE SUBMISSION PACKAGE

    

    With
      respect to each Mortgage Loan being offered by the Seller for pledge to the
      Buyer, pursuant to the Master Repurchase Agreement, such Seller shall deliver
      and release to Custodian the following documents:

    

    (i)
      The
      original Mortgage Note bearing all intervening endorsements from the originator
      to the Seller endorsed, “Pay to the order of ____________, without recourse” and
      signed in the name of the Seller by an authorized officer of the Seller; (if
      applicable), the original assumption agreement, together with the original
      of
      any surety agreement or guaranty agreement relating to the Mortgage Note or
      any
      such assumption agreement, and if the Mortgage Note has been signed by a third
      party on behalf of the Mortgagor, the original power of attorney or other
      instrument that authorized and empowered such Entity to sign or a copy of such
      power of attorney together with an officer's certificate from the Seller (or
      a
      certificate from the county recorder's office or the Settlement Agent)
      certifying that such copy presents a true and correct reproduction of the
      original and that such original has been duly recorded or delivered for
      recordation in the appropriate records of the jurisdiction in which the related
      Mortgaged Property is located;

    

    (ii)
      A
      Mortgage meeting one of the following requirements:

    

    (A)
      The
      original Mortgage bearing evidence that the Mortgage has been duly recorded
      in
      the records of the jurisdiction in which the Mortgaged Property is located;
      or

    

    (B)
      A
      copy of the Mortgage together with either (i) an officer's certificate of the
      Seller, Settlement Agent, title company or escrow closing company (which may
      be
      a blanket officer's certificate of the Seller covering all such Mortgage Loans),
      or (ii) a certificate from the county recorder's office, certifying that such
      copy represents a true and correct reproduction of the original or (iii) a
      stamped certificate from the related title company or Settlement Agent
      certifying that such copy represents a true and correct reproduction of the
      original, in such case that such original has been duly recorded or delivered
      for recordation in the appropriate records of the jurisdiction in which the
      Mortgaged Property is located;

    

    (iii)
      If
      the Seller did not originate the Mortgage Loan, all original intervening
      assignments duly executed and acknowledged and in recordable form, evidencing
      the chain of mortgage assignments from the originator of the Mortgage Loan
      to
      the Seller, or in the case of a MERS Designated Mortgage Loan to MERS, and/or
      a
      copy of each such intervening mortgage assignment, together with either (i)
      an
      officer’s certificate, (ii) a certificate from the recorder’s office, certifying
      that such copy represents a true and correct reproduction of the original,
      or
      (iii) a stamped certificate from the related title company, Settlement Agent
      or
      escrow closing company certifying that such copy represents a true and correct
      reproduction of the original, in such case that such original has been duly
      recorded or delivered for recordation in the appropriate records of the
      jurisdiction in which the Mortgaged Property is located;

    

    
      
        
        

      

      
        Annex
          16-1

        
          

        

      

      
        
        

      

    

    (iv)
      Except with respect to a MERS Designated Mortgage Loan, a copy of the Assignment
      of Mortgage to “_________________”, together with either (i) an officer's
      certificate of the Seller or Settlement Agent (which may be a blanket officer's
      certificate of the Seller covering all such Mortgage Loans), or (ii) a
      certificate from the county recorder's office, certifying that such copy
      represents a true and correct reproduction of the original or (iii) a stamped
      certificate from the related title company or Settlement Agent certifying that
      such copy represents a true and correct reproduction of the original, in such
      case that such original has been duly recorded or delivered for recordation
      in
      the appropriate records of the jurisdiction in which the Mortgaged Property
      is
      located in recordable form signed in the name of the Seller by an authorized
      officer; provided, however that no such Assignment of Mortgage shall be required
      to be delivered or recorded if the related Mortgage names the Custodian, as
      mortgagee (or as beneficiary if the related Mortgage is a deed of Trust or
      similar instrument) and such Mortgage specifies that the Custodian assumes
      no
      duties, responsibilities or liabilities as an originator or Buyer in respect
      of
      such Mortgage;

    

    (v)
      the
      original policy of title insurance (or a commitment for title insurance, if
      the
      policy is being held by the title insurance company pending recordation of
      the
      Mortgage) or attorney’s opinion of title; provided, however, that no such policy
      shall be delivered in connection with any second lien Mortgage Loan with an
      original principal balance not in excess of $50,000;

    

    (vi)
      the
      original of the guarantee executed in connection with the Mortgage Note (if
       any);

    

    (vii)the
      original of any security agreement, chattel mortgage or equivalent document
       executed
      in connection with the Mortgage Loan;

    

    (viii)
      the certificate of primary mortgage guaranty insurance, if any, issued with
       respect
      to such Mortgage Loan; and

    

    (ix)
      the
      original power of attorney, if any.

    

    
      
        
        

      

      
        Annex
          16-2

        
          

        

      

      
        
        

      

    

    Annex
      17

    to
      Custodial Agreement

    

    CUSTODIAN
      LOAN TRANSMISSION

    

    
      	
              Loan#

            	
              OPB

            	
              Wet
                Dry Status

            	
              Custodian

            
	 	 	 	 
	
              123456

            	
              $100,000.00

            	
              Dry

            	
              LaSalle

            

    

    

    
      
        
        

      

      
        Annex
          17-1

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