Document:

<PAGE>

                                                                     EXHIBIT 4.2

          Manufactured Housing Contract Senior/Subordinate Pass-Through
                           Certificates, Series 2000-5

                               TRANSFER AGREEMENT

                                     between

                      CONSECO FINANCE SECURITIZATIONS CORP.
                                    Purchaser

                                       and

                              CONSECO FINANCE CORP.
                                     Seller

                                   dated as of

                                 October 1, 2000

<PAGE>

                                TABLE OF CONTENTS

                                                                           Page
                                                                           ----
ARTICLE I DEFINITIONS 1
   SECTION 1.1.  General.....................................................1
   SECTION 1.2.  Specific Terms..............................................1
   SECTION 1.3.  Usage of Terms..............................................3
   SECTION 1.4.  No Recourse.................................................3

ARTICLE II CONVEYANCE OF THE INITIAL CONTRACTS AND THE INITIAL
           COLLATERAL SECURITY...............................................4
   SECTION 2.1.  Conveyance of the Initial Contracts and the Initial
                 Collateral Security.........................................4
   SECTION 2.2.  Purchase Price of Initial Contracts.........................4
   SECTION 2.3.  Conveyance of Subsequent Contracts and Subsequent
                 Collateral Security.........................................4

ARTICLE III REPRESENTATIONS AND WARRANTIES...................................6
   SECTION 3.1.  Representations and Warranties of CFC.......................6
   SECTION 3.2.  Representations and Warranties of CFSC......................7

ARTICLE IV COVENANTS OF CFC..................................................9
   SECTION 4.1.  Transfer of Contracts.......................................9
   SECTION 4.2.  Costs and Expenses..........................................9
   SECTION 4.3.  Indemnification.............................................9
   SECTION 4.4.  Financial Statement Disclosure.............................10
   SECTION 4.5.  Staged-Funding Contracts...................................10

ARTICLE V REPURCHASES 10
   SECTION 5.1.  Repurchase of Contracts Upon Breach of Warranty............10
   SECTION 5.2.  Reassignment of Purchased Contracts........................11
   SECTION 5.3.  Waivers....................................................11

ARTICLE VI MISCELLANEOUS....................................................11
   SECTION 6.1.  Liability of CFC...........................................11
   SECTION 6.2   Merger or Consolidation of CFC or CFSC.....................11
   SECTION 6.3.  Limitation on Liability of CFC and Others..................12
   SECTION 6.4.  Amendment..................................................12
   SECTION 6.5.  Notices....................................................13
   SECTION 6.6.  Merger and Integration.....................................13
   SECTION 6.7.  Severability of Provisions.................................13
   SECTION 6.8.  Intention of the Parties...................................14
   SECTION 6.9.  Governing Law..............................................14
   SECTION 6.10. Counterparts...............................................14
   SECTION 6.11. Conveyance of the Initial Contracts and the Initial
                 Collateral Security to the Trust...........................14
   SECTION 6.12. Nonpetition Covenant.......................................15
<PAGE>

SCHEDULES

Schedule A  --  Schedule of Initial Contracts

                                    EXHIBITS

Exhibit A  --  Form of Subsequent Transfer Agreement

                                       ii
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                               TRANSFER AGREEMENT
                               ------------------

     THIS TRANSFER AGREEMENT, dated as of October 1, 2000, executed between
Conseco Finance Securitizations Corp., a Minnesota corporation, as purchaser
("CFSC"), and Conseco Finance Corp., a Delaware corporation, as seller ("CFC").

                              W I T N E S S E T H:
                              - - - - - - - - - -

     WHEREAS, CFSC has agreed to purchase from CFC, and CFC has agreed to
transfer to CFSC, certain manufactured housing installment sales contracts
pursuant to the terms of this Agreement.

     NOW, THEREFORE, in consideration of the premises and the mutual agreements
hereinafter contained, and for other good and valuable consideration, the
receipt of which is acknowledged, CFSC and CFC, intending to be legally bound,
hereby agree as follows:

                                    ARTICLE I
                                   DEFINITIONS

     SECTION 1.1. General. The specific terms defined in this Article include
the plural as well as the singular. The words "herein," "hereof" and "hereunder"
and other words of similar import refer to this Agreement as a whole and not to
any particular Article, Section or other subdivision, and Article, Section,
Schedule and Exhibit references, unless otherwise specified, refer to Articles
and Sections of and Schedules and Exhibits to this Agreement. Capitalized terms
used herein without definition shall have the respective meanings assigned to
such terms in the Pooling and Servicing Agreement, dated as of October 1, 2000,
by and among Conseco Finance Securitizations Corp. (as Seller), Conseco Finance
Corp. (in its individual capacity and as Servicer), and U.S. Bank National
Association, as trustee (the "Trustee") relating to the Manufactured Housing
Contract Senior/Subordinate Pass-Through Certificates Trust 2000-5 (the
"Trust").

     SECTION 1.2. Specific Terms. Whenever used in this Agreement, the following
words and phrases, unless the context otherwise requires, shall have the
following meanings:

          "Agreement" shall mean this Transfer Agreement and all amendments
     hereof and supplements hereto.

          "Closing Date" means, October 5, 2000.

          "Collateral Security" means the Initial Collateral Security conveyed
     by CFC to CFSC pursuant to this Agreement together with any and all
     Subsequent Collateral Security conveyed by CFC to CFSC pursuant to each
     Subsequent Transfer Agreement.

          "Contracts" means the Initial Contracts conveyed by CFC to CFSC
     pursuant to this Agreement together with any and all Subsequent Contracts
     conveyed by CFC to CFSC pursuant to each Subsequent Transfer Agreement.
<PAGE>

          "Initial Collateral Security" means, with respect to any Initial
     Contract, (i) the security interests, if any, granted by or on behalf of
     the related Obligor with respect thereto, including a first priority
     perfected security interest in the related Manufactured Home, (ii) all
     other security interests or liens and property subject thereto from time to
     time purporting to secure payment of such Contract, whether pursuant to the
     agreement giving rise to such Contract or otherwise, together with all
     financing statements signed by the Obligor describing any collateral
     securing such Contract, (iii) all security agreements granting a security
     interest in the related Manufactured Home and all guarantees, insurance and
     other agreements or arrangements of whatever character from time to time
     supporting or securing payment of such Contract whether pursuant to the
     agreement giving rise to such Contract or otherwise, and (iv) all records
     in respect of such Contract.

          "Initial Contracts" means the manufactured housing installment sales
     contracts and installment loan agreements listed on the Schedule of Initial
     Contracts, including all related security interests and any and all rights
     to receive payments on or with respect thereto (other than principal and
     interest due pursuant thereto on or before the applicable Cut-off Date).

          "Pooling and Servicing Agreement" means the Pooling and Servicing
     Agreement, dated as of October 1, 2000, executed and delivered by Conseco
     Finance Corp., as Originator and Servicer; Conseco Finance Securitizations
     Corp., as Seller; and the Trustee.

          "Related Documents" means the Certificates, the Pooling and Servicing
     Agreement, each Subsequent Transfer Agreement and the Underwriting
     Agreement among CFC, CFSC and the underwriters of the Certificates. The
     Related Documents to be executed by any party are referred to herein as
     "such party's Related Documents," "its Related Documents" or by a similar
     expression.

          "Repurchase Event" means the occurrence of a breach of any of CFC's
     representations and warranties hereunder or under any Subsequent Transfer
     Agreement or any other event which requires the repurchase of a Contract by
     CFC under the Pooling and Servicing Agreement.

          "Schedule of Contracts" means the Schedule of Initial Contracts, as
     supplemented by each Schedule of Subsequent Contracts.

          "Schedule of Initial Contracts" means the schedule of manufactured
     housing installment sales contracts and installment loan agreements which
     is attached hereto as Schedule A.

          "Schedule of Subsequent Contracts" means the schedule of manufactured
     housing installment sales contracts and installment loan agreements sold
     and transferred pursuant to a Subsequent Transfer Agreement, which schedule
     is attached to such Subsequent Transfer Agreement as Schedule A and shall
     supplement the Schedule of Initial Contracts.

          "Subsequent Collateral Security" means, with respect to any Subsequent
     Contract, (i) the security interests, if any, granted by or on behalf of
     the related Obligor with respect thereto, including a first priority
     perfected security interest in the related Manufactured Home, (ii) all
     other security interests or liens and property subject thereto from time to
     time purporting to secure payment of such Contract, whether pursuant to the
     agreement giving rise to such Contract or otherwise, together with all
     financing statements signed by the Obligor describing any

                                       2
<PAGE>

     collateral securing such Contract, (iii) all security agreements granting a
     security interest in the related Manufactured Home and all guarantees,
     insurance and other agreements or arrangements of whatever character from
     time to time supporting or securing payment of such Contract whether
     pursuant to the agreement giving rise to such Contract or otherwise, and
     (iv) all records in respect of such Contract.

          "Subsequent Contracts" means the manufactured housing installment
     sales contracts and installment loan agreements specified in the Schedule
     of Subsequent Contracts attached as Schedule A to each Subsequent Transfer
     Agreement, including all related security interests and all rights to
     receive payments on or with respect thereto (other than principal and
     interest due on or before the applicable Cut-off Date).

          "Subsequent Transfer Agreement" has the meaning assigned in Section
     2.3(b)(iii).

          "Trust" means the trust created by the Trust Agreement, known as
     Manufactured Housing Contract Senior/Subordinate Pass-Through Certificate
     Trust 2000-5, the estate of which consists of the Trust Property.

          "Trust Property" means the property and proceeds of every description
     conveyed by CFSC to the Trust pursuant to the Pooling and Servicing
     Agreement and pursuant to any Subsequent Transfer Instrument, together with
     the Certificate Account (including all Eligible Investments and all
     proceeds therefrom).

          "Trustee" means U.S. Bank National Association, a national banking
     association organized and existing under the laws of the United States, not
     in its individual capacity but solely as trustee of the Trust, and any
     successor trustee appointed and acting pursuant to the Pooling and
     Servicing Agreement.

     SECTION 1.3. Usage of Terms. With respect to all terms used in this
Agreement, the singular includes the plural and the plural the singular; words
importing any gender include the other gender; references to "writing" include
printing, typing, lithography, and other means of reproducing words in a visible
form; references to agreements and other contractual instruments include all
subsequent amendments thereto or changes therein entered into in accordance with
their respective terms and not prohibited by this Agreement or the Pooling and
Servicing Agreement; references to Persons include their permitted successors
and assigns; and the terms "include" or "including" mean "include without
limitation" or "including without limitation."

     SECTION 1.4. No Recourse. Without limiting the obligations of CFC
hereunder, no recourse may be taken, directly or indirectly, under this
Agreement or any certificate or other writing delivered in connection herewith
or therewith, against any stockholder, officer or director, as such, of CFC, or
of any predecessor or successor of CFC.

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<PAGE>

                                   ARTICLE II
                       CONVEYANCE OF THE INITIAL CONTRACTS
                       AND THE INITIAL COLLATERAL SECURITY

     SECTION 2.1. Conveyance of the Initial Contracts and the Initial Collateral
Security. Subject to the terms and conditions of this Agreement, CFC hereby
sells, transfers, assigns, and otherwise conveys to CFSC without recourse (but
without limitation of its obligations in this Agreement or in the Pooling and
Servicing Agreement), and CFSC hereby purchases, all right, title and interest
of CFC in and to the Initial Contracts and the Initial Collateral Security,
including all rights under every Hazard Insurance Policy relating to a
Manufactured Home securing an Initial Contract for the benefit of the owner of
such Contract, all rights under all FHA/VA Regulations pertaining to any Initial
Contract that is an FHA/VA Contract, the proceeds from the Errors and Omissions
Protection Policy and all rights under any blanket hazard insurance policy to
the extent they relate to a Manufactured Home securing an Initial Contracts, all
documents contained in the Contract Files and the Land-and-Home Contract Files,
and all proceeds and products in any way derived from any of the foregoing. It
is the intention of CFC and CFSC that the transfer and assignment contemplated
by this Agreement shall constitute a sale of the Initial Contracts and the
Initial Collateral Security from CFC to CFSC, conveying good title thereto free
and clear of any liens, and the Initial Contracts and the Initial Collateral
Security shall not be part of CFC's estate in the event of the filing of a
bankruptcy petition by or against CFC under any bankruptcy or similar law.

     SECTION 2.2. Purchase Price of Initial Contracts. Simultaneously with the
conveyance of the Initial Contracts and the Initial Collateral Security to CFSC,
CFSC has (a) paid or caused to be paid to or upon the order of CFC approximately
$616,185,124.00 by wire transfer of immediately available funds (representing
the net proceeds to CFSC from the sale of the Initial Contracts after (i)
deducting expenses incurred by CFSC in connection with such sale, (ii)
depositing the Pre-Funded Amount and an amount equal to the Cut-off Date
Principal Balances of the Undelivered Contracts in the Pre-Funding Account,
(iii) depositing $500,000 in the Capitalized Interest Account, and (iv)
depositing $20,504,357.70 in the Staged-Funding Contract Reserve Account) and
(b) has delivered to CFC, or its designee, the Class B-2, Class B-3I and Class C
Certificates.

     SECTION 2.3. Conveyance of Subsequent Contracts and Subsequent Collateral
Security.

          (a) Subject to the conditions set forth in paragraph (b) below and the
     terms and conditions in the related Subsequent Transfer Agreement, in
     consideration of CFSC's delivery on the related Subsequent Transfer Date to
     or upon the order of CFC of an amount equal to the purchase price of the
     Subsequent Contracts (as set forth in the related Subsequent Transfer
     Agreement), CFC hereby agrees to sell, transfer, assign, and otherwise
     convey to CFSC without recourse (but without limitation of its obligations
     in this Agreement and the related Subsequent Transfer Agreement), and CFSC
     hereby agrees to purchase, all right, title and interest of CFC in and to
     the Subsequent Contracts and the Subsequent Collateral Security described
     in the related Subsequent Transfer Agreement.

                                       4
<PAGE>

          (b) CFC shall transfer to CFSC, and CFSC shall acquire, the Subsequent
     Contracts and the Subsequent Collateral Security to be transferred on any
     Subsequent Transfer Date only upon the satisfaction of each of the
     following conditions on or prior to such Subsequent Transfer Date:

               (i) CFSC shall have provided the Trustee and the Rating Agencies
          with an Addition Notice at least five Business Days prior to the
          Subsequent Transfer Date and shall have provided any information
          reasonably requested by the Trustee with respect to the Subsequent
          Contracts;

               (ii) CFC shall have delivered to the Trustee the related
          Land-and-Home Contract File for each Subsequent Contract that is a
          Land-and-Home Contract at least two Business Days prior to the
          Subsequent Transfer Date;

               (iii) CFSC shall have delivered to CFC a duly executed Subsequent
          Transfer Agreement substantially in the form of Exhibit A hereto (the
          "Subsequent Transfer Agreement"), which shall include a Schedule of
          Subsequent Contracts identifying the related Subsequent Contracts;

               (iv) as of each Subsequent Transfer Date, as evidenced by
          delivery of the Subsequent Transfer Agreement, neither CFC nor CFSC
          shall be insolvent nor shall they have been made insolvent by such
          transfer nor shall they be aware of any pending insolvency;

               (v) such transfer shall not result in a material adverse tax
          consequence to the Trust (including the Master REMIC and the
          Subsidiary REMIC) or the Certificateholders or Class C
          Certificateholders;

               (vi) the Pre-Funding Period shall not have ended;

               (vii) each of the representations and warranties contained in
          Sections 3.02, 3.04, and 3.05 of the Pooling and Servicing Agreement
          and in this Section 2.3 shall be true and correct, and each condition
          precedent specified in this Section 2.3 shall be satisfied, as
          evidenced by delivery of the Subsequent Transfer Agreement; and

               (viii) CFC and CFSC shall have delivered to the Trustee Opinions
          of Counsel addressed to the Rating Agencies and the Trustee with
          respect to the transfer of the Subsequent Contracts substantially in
          the form of the Opinions of Counsel delivered on the Closing Date
          regarding certain bankruptcy, corporate and tax matters.

          (c) CFC covenants to transfer to CFSC pursuant to paragraph (a) above
     Subsequent Contracts with aggregate Scheduled Principal Balances
     approximately equal to $74,267,854.13; provided, however, that the sole
     remedy of CFSC with respect to a failure of such covenant shall be to
     enforce the provisions of Section 8.07 of the Pooling and Servicing
     Agreement.

                                       5
<PAGE>

                                   ARTICLE III
                         REPRESENTATIONS AND WARRANTIES

     SECTION 3.1. Representations and Warranties of CFC. CFC makes the following
representations and warranties, on which CFSC relies in purchasing the Initial
Contracts and the Initial Collateral Security and in transferring the Initial
Contracts and the Initial Collateral Security to the Trust under the Pooling and
Servicing Agreement. Such representations are made as of the execution and
delivery of this Agreement, but shall survive the sale, transfer and assignment
of the Initial Contracts and the Initial Collateral Security hereunder and the
sale, transfer and assignment thereof by CFSC to the Trust under the Pooling and
Servicing Agreement. CFC and CFSC agree that CFSC will assign to the Trust all
of CFSC's rights under this Agreement and that the Trust will thereafter be
entitled to enforce this Agreement against CFC in the Trust's own name.

          (a) Representations Regarding Contracts. The representations and
     warranties set forth in Sections 3.02, 3.04 and 3.05 of the Pooling and
     Servicing Agreement are true and correct.

          (b) Organization and Good Standing. CFC has been duly organized and is
     validly existing as a corporation in good standing under the laws of the
     State of Delaware, with power and authority to own its properties and to
     conduct its business as such properties are currently owned and such
     business is currently conducted, and had at all relevant times, and now
     has, power, authority and legal right to acquire, own and sell the Initial
     Contracts and the Initial Collateral Security transferred to CFSC.

          (c) Due Qualification. CFC is duly qualified to do business as a
     foreign corporation in good standing, and has obtained all necessary
     licenses and approvals, in all jurisdictions in which the ownership or
     lease of its property or the conduct of its business requires such
     qualification.

          (d) Power and Authority. CFC has the power and authority to execute
     and deliver this Agreement and its Related Documents and to carry out its
     terms and their terms, respectively; CFC has full power and authority to
     sell and assign the Initial Contracts and the Initial Collateral Security
     to be sold and assigned to and deposited with CFSC hereunder and has duly
     authorized such sale and assignment to CFSC by all necessary corporate
     action; and the execution, delivery and performance of this Agreement and
     CFC's Related Documents have been duly authorized by CFC by all necessary
     corporate action.

          (e) Valid Sale; Binding Obligations. This Agreement and CFC's Related
     Documents have been duly executed and delivered; shall effect a valid sale,
     transfer and assignment of the Initial Contracts and the Initial Collateral
     Security, enforceable against CFC and creditors of and purchasers from CFC;
     and constitute legal, valid and binding obligations of CFC enforceable in
     accordance with their respective terms, except as enforceability may be
     limited by bankruptcy, insolvency, reorganization or other similar laws
     affecting the enforcement of creditors' rights generally and by equitable
     limitations on the availability of specific remedies, regardless of whether
     such enforceability is considered in a proceeding in equity or at law.

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<PAGE>

          (f) No Violation. The consummation of the transactions contemplated by
     this Agreement and the Related Documents and the fulfillment of the terms
     of this Agreement and the Related Documents shall not conflict with, result
     in any breach of any of the terms and provisions of or constitute (with or
     without notice, lapse of time or both) a default under, the certificate of
     incorporation or bylaws of CFC, or any indenture, agreement, mortgage, deed
     of trust or other instrument to which CFC is a party or by which it is
     bound, or result in the creation or imposition of any lien upon any of its
     properties pursuant to the terms of any such indenture, agreement,
     mortgage, deed of trust or other instrument, other than this Agreement and
     the Pooling and Servicing Agreement, or violate any law, order, rule or
     regulation applicable to CFC of any court or of any federal or state
     regulatory body, administrative agency or other governmental
     instrumentality having jurisdiction over CFC or any of its properties.

          (g) No Proceedings. There are no proceedings or investigations pending
     or, to CFC's knowledge, threatened against CFC, before any court,
     regulatory body, administrative agency or other tribunal or governmental
     instrumentality having jurisdiction over CFC or its properties (i)
     asserting the invalidity of this Agreement or any of the Related Documents,
     (ii) seeking to prevent the issuance of the Certificates or the
     consummation of any of the transactions contemplated by this Agreement or
     any of the Related Documents, (iii) seeking any determination or ruling
     that might materially and adversely affect the performance by CFC of its
     obligations under, or the validity or enforceability of, this Agreement or
     any of the Related Documents or (iv) seeking to affect adversely the
     federal income tax or other federal, state or local tax attributes of, or
     seeking to impose any excise, franchise, transfer or similar tax upon, the
     transfer and acquisition of the Initial Contracts and the Initial
     Collateral Security hereunder or under the Pooling and Servicing Agreement.

          (h) Chief Executive Office. The chief executive office of CFC is
     located at 1100 Landmark Towers, 345 St. Peter Street, Saint Paul, MN
     55102-1639.

     SECTION 3.2. Representations and Warranties of CFSC. CFSC makes the
following representations and warranties, on which CFC relies in selling,
assigning, transferring and conveying the Initial Contracts and the Initial
Collateral Security to CFSC hereunder. Such representations are made as of the
execution and delivery of this Agreement, but shall survive the sale, transfer
and assignment of the Initial Contracts and the Initial Collateral Security
hereunder and the sale, transfer and assignment thereof by CFSC to the Trust
under the Pooling and Servicing Agreement.

          (a) Organization and Good Standing. CFSC has been duly organized and
     is validly existing and in good standing as a corporation under the laws of
     the State of Minnesota, with the power and authority to own its properties
     and to conduct its business as such properties are currently owned and such
     business is currently conducted, and had at all relevant times, and has,
     full power, authority and legal right to acquire and own the Initial
     Contracts and the Initial Collateral Security and to transfer the Initial
     Contracts and the Initial Collateral Security to the Trust pursuant to the
     Pooling and Servicing Agreement.

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<PAGE>

          (b) Due Qualification. CFSC is duly qualified to do business as a
     foreign corporation in good standing, and has obtained all necessary
     licenses and approvals in all jurisdictions where the failure to do so
     would materially and adversely affect (i) CFSC's ability to acquire the
     Initial Contracts or the Initial Collateral Security, (ii) the validity or
     enforceability of the Initial Contracts and the Initial Collateral Security
     or (iii) CFSC's ability to perform its obligations hereunder and under the
     Related Documents.

          (c) Power and Authority. CFSC has the power, authority and legal right
     to execute and deliver this Agreement and its Related Documents and to
     carry out the terms hereof and thereof and to acquire the Initial Contracts
     and the Initial Collateral Security hereunder; and the execution, delivery
     and performance of this Agreement and its Related Documents and all of the
     documents required pursuant hereto or thereto have been duly authorized by
     CFSC by all necessary action.

          (d) No Consent Required. CFSC is not required to obtain the consent of
     any other Person, or any consent, license, approval or authorization or
     registration or declaration with, any governmental authority, bureau or
     agency in connection with the execution, delivery or performance of this
     Agreement and the Related Documents, except for such as have been obtained,
     effected or made.

          (e) Binding Obligation. This Agreement and each of its Related
     Documents constitutes a legal, valid and binding obligation of CFSC,
     enforceable against CFSC in accordance with its terms, subject, as to
     enforceability, to applicable bankruptcy, insolvency, reorganization,
     conservatorship, receivership, liquidation and other similar laws and to
     general equitable principles.

          (f) No Violation. The execution, delivery and performance by CFSC of
     this Agreement, the consummation of the transactions contemplated by this
     Agreement and the Related Documents and the fulfillment of the terms of
     this Agreement and the Related Documents do not and will not conflict with,
     result in any breach of any of the terms and provisions of or constitute
     (with or without notice or lapse of time) a default under the articles of
     incorporation or bylaws of CFSC, or conflict with or breach any of the
     terms or provisions of, or constitute (with or without notice or lapse of
     time) a default under, any indenture, agreement, mortgage, deed of trust or
     other instrument to which CFSC is a party or by which CFSC is bound or to
     which any of its properties are subject, or result in the creation or
     imposition of any lien upon any of its properties pursuant to the terms of
     any such indenture, agreement, mortgage, deed of trust or other instrument
     (other than the Pooling and Servicing Agreement), or violate any law,
     order, rule or regulation, applicable to CFSC or its properties, of any
     federal or state regulatory body or any court, administrative agency, or
     other governmental instrumentality having jurisdiction over CFSC or any of
     its properties.

          (g) No Proceedings. There are no proceedings or investigations
     pending, or, to the knowledge of CFSC, threatened against CFSC, before any
     court, regulatory body, administrative agency, or other tribunal or
     governmental instrumentality having jurisdiction over CFSC or its
     properties: (i) asserting the invalidity of this Agreement or any of the
     Related Documents, (ii) seeking to prevent the consummation of any of the
     transactions contemplated by this Agreement or any of the Related
     Documents, (iii) seeking any determination or ruling that might

                                       8
<PAGE>

     materially and adversely affect the performance by CFSC of its obligations
     under, or the validity or enforceability of, this Agreement or any of the
     Related Documents or (iv) that may adversely affect the federal or state
     income tax attributes of, or seeking to impose any excise, franchise,
     transfer or similar tax upon, the transfer and acquisition of the Initial
     Contracts and the Initial Collateral Security hereunder or the transfer of
     the Initial Contracts and the Initial Collateral Security to the Trust
     pursuant to the Pooling and Servicing Agreement.

In the event of any breach of a representation and warranty made by CFSC
hereunder, CFC covenants and agrees that it will not take any action to pursue
any remedy that it may have hereunder, in law, in equity or otherwise, until a
year and a day have passed since the later of (i) the date on which all
pass-through certificates or other similar securities issued by the Trust, or a
trust or similar vehicle formed by CFSC, have been paid in full, or (ii) all
Certificates or other similar securities issued by the Trust, or a trust or
similar vehicle formed by CFSC, have been paid in full. CFC and CFSC agree that
damages will not be an adequate remedy for such breach and that this covenant
may be specifically enforced by CFSC or by the Trustee on behalf of the Trust.

                                   ARTICLE IV
                                COVENANTS OF CFC

     SECTION 4.1. Transfer of Contracts. On or before the Closing Date, CFC
shall deliver the Land-and-Home Contract files to the Trustee. CFC has filed a
form UCC-1 financing statement regarding the sale of the Contracts to CFSC, and
shall file continuation statements in respect of such UCC-1 financing statement
as if such financing statement were necessary to perfect such sale. CFC shall
take any other actions necessary to maintain the perfection of the sale of the
Contracts to CFSC.

     SECTION 4.2. Costs and Expenses. CFC shall pay all reasonable costs and
disbursements in connection with the performance of its obligations hereunder
and under each Subsequent Transfer Agreement and its Related Documents.

     SECTION 4.3. Indemnification.

          (a) CFC will defend and indemnify CFSC against any and all costs,
     expenses, losses, damages, claims, and liabilities, including reasonable
     fees and expenses of counsel and expenses of litigation, arising out of or
     resulting from any breach of any of CFC's representations and warranties
     contained herein or in any Subsequent Transfer Agreement. Notwithstanding
     any other provision of this Agreement, the obligation of CFC under this
     Section 4.3 shall not terminate upon a Service Transfer pursuant to Article
     VII of the Pooling and Servicing Agreement, except that the obligation of
     CFC under this Section 4.3 shall not relate to the actions of any
     subsequent Servicer after a Service Transfer.

          (b) No obligation or liability to any Obligor under any of the
     Contracts is intended to be assumed by CFSC under or as a result of this
     Agreement and the transactions contemplated hereby and, to the maximum
     extent permitted and valid under mandatory provisions of law, CFSC
     expressly disclaims such assumption.

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<PAGE>

          (c) CFC agrees to pay, and to indemnify, defend and hold harmless CFSC
     from any taxes which may at any time be asserted with respect to, and as of
     the date of, the transfer of the Contracts to CFSC including, without
     limitation, any sales, gross receipts, general corporation, personal
     property and costs, expenses and reasonable counsel fees in defending
     against the same, whether arising by reason of the acts to be performed by
     CFC under this Agreement or imposed against CFSC.

          (d) Indemnification under this Section 4.3 shall include, without
     limitation, reasonable fees and expenses of counsel and expenses of
     litigation. If the Originator has made any indemnity payments to CFSC
     pursuant to this Section and CFSC thereafter collects any of such amounts
     from others, CFSC will repay such amounts collected to CFC, as the case may
     be, without interest.

     SECTION 4.4. Financial Statement Disclosure. CFC's financial statements
will disclose that the Subsequent Contracts have been transferred by CFC to
CFSC, and by CFSC to the Trust, and are not available to satisfy claims of CFC's
creditors.

     SECTION 4.5. Staged-Funding Contracts. The purchase price described in
Section 2.2 includes the amount by which the aggregate Cut-off Date Principal
Balances of the Staged-Funding Contracts exceeds their principal balance as of
the Closing Date. CFC agrees to use its best efforts (consistent with prudent
lending practices) to cause each Staged-Funding Contract to be fully disbursed
on or before the Funding Termination Date. CFC acknowledges its obligations with
respect to the Staged-Funding Contracts under Section 3.06(c) and 3.08 of the
Pooling and Servicing Agreement.

                                    ARTICLE V
                                   REPURCHASES

     SECTION 5.1. Repurchase of Contracts Upon Breach of Warranty.

          (a) Upon the occurrence of a Repurchase Event, CFC shall, unless such
     breach shall have been cured in all material respects, repurchase such
     Contract from the Trust pursuant to Section 3.06 of the Pooling and
     Servicing Agreement, subject to the limitation of Section 3.07 of the
     Pooling and Servicing Agreement. It is understood and agreed that the
     obligation of CFC to repurchase any Contract as to which a breach has
     occurred and is continuing shall, if such obligation is fulfilled,
     constitute the sole remedy against CFC for such breach available to CFSC,
     the Certificateholders or the Trustee on behalf of Certificateholders. The
     provisions of this Section 5.1 are intended to grant the Trustee a direct
     right against CFC to demand performance hereunder, and in connection
     therewith, CFC waives any requirement of prior demand against CFSC with
     respect to such repurchase obligation. Any such purchase shall take place
     in the manner specified in Section 3.06 of the Pooling and Servicing
     Agreement. Notwithstanding any other provision of this Agreement, any
     Subsequent Transfer Agreement or the Pooling and Servicing Agreement to the
     contrary, the obligation of CFC under this Section shall not terminate upon
     a termination of CFC as Servicer under the Pooling and Servicing Agreement
     and shall be performed in accordance with the terms hereof notwithstanding
     the failure of the Servicer or CFSC to perform any of their respective
     obligations with respect to such Contract under the Pooling and Servicing
     Agreement.

                                       10
<PAGE>

          (b) In lieu of repurchasing a Contract when required by Section 5.1(a)
     of this Agreement and Section 3.06(a) of the Pooling and Servicing
     Agreement, CFC may deliver an Eligible Substitute Contract pursuant to the
     provisions of Section 3.06(b) of the Pooling and Servicing Agreement.

          (c) In addition to the foregoing and notwithstanding whether the
     related Contract shall have been purchased by CFC, CFC shall indemnify the
     Trustee, the Trust and the Certificateholders against all costs, expenses,
     losses, damages, claims and liabilities, including reasonable fees and
     expenses of counsel, which may be asserted against or incurred by any of
     them as a result of third party claims arising out of the events or facts
     giving rise to such Repurchase Events.

     SECTION 5.2. Reassignment of Purchased Contracts. Upon deposit of the
Repurchase Price of any Contract repurchased or replaced by CFC under Section
5.1, CFSC shall cause the Trustee to take such steps as may be reasonably
requested by CFC in order to assign to CFC all of CFSC's and the Trust's right,
title and interest in and to such Contract and all security and documents and
all Collateral Security conveyed to CFSC and the Trust directly relating
thereto, without recourse, representation or warranty, except as to the absence
of liens, charges or encumbrances created by or arising as a result of actions
of CFSC or the Trustee. Such assignment shall be a sale and assignment outright,
and not for security. If, following the reassignment of a Contract, in any
enforcement suit or legal proceeding, it is held that CFC may not enforce any
such Contract on the ground that it shall not be a real party in interest or a
holder entitled to enforce the Contract, CFSC and the Trustee shall, at the
expense of CFC, take such steps as CFC deems reasonably necessary to enforce the
Contract, including bringing suit in CFSC's or the Trustee's name.

     SECTION 5.3. Waivers. No failure or delay on the part of CFSC, or the
Trustee as assignee of CFSC, in exercising any power, right or remedy under this
Agreement or under any Subsequent Transfer Agreement shall operate as a waiver
thereof, nor shall any single or partial exercise of any such power, right or
remedy preclude any other or future exercise thereof or the exercise of any
other power, right or remedy.

                                   ARTICLE VI
                                  MISCELLANEOUS

     SECTION 6.1. Liability of CFC. CFC shall be liable in accordance herewith
only to the extent of the obligations in this Agreement or in any Subsequent
Transfer Agreement specifically undertaken by CFC and the representations and
warranties of CFC.

     SECTION 6.2. Merger or Consolidation of CFC or CFSC. Any corporation or
other entity (i) into which CFC or CFSC may be merged or consolidated, (ii)
resulting from any merger or consolidation to which CFC or CFSC is a party or
(iii) succeeding to the business of CFC or CFSC, in the case of CFSC, which
corporation has articles of incorporation containing provisions relating to
limitations on business and other matters substantively identical to those
contained in CFSC's articles of incorporation, shall execute an agreement of
assumption to perform every obligation of CFC or CFSC, as the case may be, under
this Agreement and each Subsequent Transfer Agreement and, whether or not such
assumption agreement is executed,

                                       11
<PAGE>

shall be the successor to CFC or CFSC, as the case may be, hereunder and under
each such Subsequent Transfer Agreement (without relieving CFC or CFSC of its
responsibilities hereunder, if it survives such merger or consolidation) without
the execution or filing of any document or any further act by any of the parties
to this Agreement or each Subsequent Transfer Agreement. CFC or CFSC shall
promptly inform the other party and the Trustee of such merger, consolidation or
purchase and assumption. Notwithstanding the foregoing, as a condition to the
consummation of the transactions referred to in clauses (i), (ii) and (iii)
above, (x) immediately after giving effect to such transaction, no
representation or warranty made pursuant to Sections 3.1 and 3.2 of this
Agreement, or similar representation or warranty made in any Subsequent Transfer
Agreement, shall have been breached (for purposes hereof, such representations
and warranties shall speak as of the date of the consummation of such
transaction), (y) CFC or CFSC, as applicable, shall have delivered written
notice of such consolidation, merger or purchase and assumption to the relevant
rating agencies prior to the consummation of such transaction and shall have
delivered to the Trustee an Officer's Certificate and an Opinion of Counsel each
stating that such consolidation, merger or succession and such agreement of
assumption comply with this Section 6.2 and that all conditions precedent, if
any, provided for in this Agreement, or in each Subsequent Transfer Agreement,
relating to such transaction have been complied with, and (z) CFC or CFSC, as
applicable, shall have delivered to the Trustee an Opinion of Counsel, stating
that, in the opinion of such counsel, either (A) all financing statements and
continuation statements and amendments thereto have been executed and filed that
are necessary to preserve and protect the interest of the Trustee in the Trust
Property and reciting the details of the filings or (B) no such action shall be
necessary to preserve and protect such interest.

     SECTION 6.3. Limitation on Liability of CFC and Others. CFC shall not be
under any obligation to appear in, prosecute or defend any legal action that is
not incidental to its obligations under this Agreement, any Subsequent Transfer
Agreement or its Related Documents and that in its opinion may involve it in any
expense or liability.

     SECTION 6.4. Amendment.

          (a) This Agreement and any Subsequent Transfer Agreement may be
     amended by CFC and CFSC and without the consent of the Trustee or any of
     the Certificateholders (A) to cure any ambiguity or (B) to correct any
     provisions in this Agreement or any such Subsequent Transfer Agreement;
     provided, however, that such action shall not, as evidenced by an Opinion
     of Counsel delivered to the Trustee, adversely affect in any material
     respect the interests of any Noteholder.

          (b) This Agreement may also be amended from time to time by CFC and
     CFSC, with the prior written consent of the Trustee and the Holders of
     Certificates of each Class affected thereby evidencing, as to each such
     Class, Percentage Interests aggregating 51% or more for the purpose of
     adding any provisions to or changing in any manner or eliminating any of
     the provisions of this Agreement, or of modifying in any manner the rights
     of the Certificateholders; provided, however, that no such amendment shall
     (i) increase or reduce in any manner the amount of, or accelerate or delay
     the timing of, collections of payments on the Contracts or distributions
     that are required to be made on any Certificate or (ii) reduce the
     aforesaid

                                       12
<PAGE>

     percentage required to consent to any such amendment or any waiver
     hereunder, without the consent of the Holders of all Certificates then
     outstanding.

          (c) This Agreement shall not be amended under this Section without the
     consent of 100% of the Certificateholders and the Class C
     Certificateholders if such amendment would result in the disqualification
     of the Trust as a REMIC under the Code.

          (d) Concurrently with the solicitation of any consent pursuant to this
     Section 6.4, CFSC shall furnish written notification to the Rating
     Agencies. Promptly after the execution of any amendment or consent pursuant
     to this Section 6.4, CFSC shall furnish written notification of the
     substance of such amendment to the Ratings Agencies, each Certificateholder
     and the Class C Certificateholders.

          (e) It shall not be necessary for the consent of Certificateholders
     pursuant to this Section to approve the particular form of any proposed
     amendment or consent, but it shall be sufficient if such consent shall
     approve the substance thereof. The manner of obtaining such consents and of
     evidencing the authorization of the execution thereof by Certificateholders
     shall be subject to such reasonable requirements as the Trustee may
     prescribe, including the establishment of record dates. The consent of any
     Holder of a Certificate given pursuant to this Section or pursuant to any
     other provision of this Agreement shall be conclusive and binding on such
     Holder and on all future Holders of such Certificate and of any Certificate
     issued upon the transfer thereof or in exchange thereof or in lieu thereof
     whether or not notation of such consent is made upon the Certificate.

     SECTION 6.5. Notices. All demands, notices and communications to CFC or
CFSC hereunder shall be in writing, personally delivered, or sent by telecopier
(subsequently confirmed in writing), reputable overnight courier or mailed by
certified mail, return receipt requested, and shall be deemed to have been given
upon receipt (a) in the case of CFC, to Conseco Finance Corp., 1100 Landmark
Towers, 345 St. Peter Street, Saint Paul, Minnesota 55102-1639, Attention: Chief
Financial Officer, or such other address as shall be designated by CFC in a
written notice delivered to the other party or (b) in case of CFSC, to Conseco
Finance Securitizations Corp., 300 Landmark Towers, 345 St. Peter Street, Saint
Paul, Minnesota 55102-1639, Attention: Chief Financial Officer or to such other
address of which notice shall have been given in accordance with this Section
6.5.

     SECTION 6.6. Merger and Integration. Except as specifically stated
otherwise herein, this Agreement and the Related Documents set forth the entire
understanding of the parties relating to the subject matter hereof, and all
prior understandings, written or oral, are superseded by this Agreement and the
Related Documents. This Agreement may not be modified, amended, waived or
supplemented except as provided herein.

     SECTION 6.7. Severability of Provisions. If any one or more of the
covenants, provisions or terms of this Agreement shall be for any reason
whatsoever held invalid, then such covenants, provisions or terms shall be
deemed severable from the remaining covenants, provisions or terms of this
Agreement and shall in no way affect the validity or enforceability of the other
provisions of this Agreement.

                                       13
<PAGE>

     SECTION 6.8. Intention of the Parties. The execution and delivery of this
Agreement and of each Subsequent Transfer Agreement shall constitute an
acknowledgment by CFC and CFSC that they intend that each assignment and
transfer herein and therein contemplated constitute a sale and assignment
outright, and not for security, of the Initial Contracts and the Initial
Collateral Security and the Subsequent Contracts and Subsequent Collateral
Security, as the case may be, conveying good title thereto free and clear of any
liens, from CFC to CFSC, and that the Initial Contracts and the Initial
Collateral Security and the Subsequent Contracts and Subsequent Collateral
Security shall not be a part of CFC's estate in the event of the bankruptcy,
reorganization, arrangement, insolvency or liquidation proceeding, or other
proceeding under any federal or state bankruptcy or similar law, or the
occurrence of another similar event, of, or with respect to, CFC. In the event
that such conveyance is determined to be made as security for a Contract made by
CFSC, the Trust or the Certificateholders to CFC, the parties intend that this
Agreement and each Subsequent Transfer Agreement shall constitute a security
agreement under applicable law and that CFC shall have granted to CFSC a
security interest in all of CFC's right, title and interest in and to (i) the
Contracts, including the Collateral Security and all rights to receive payments
on or with respect to the Contracts (other than principal and interest due on
the Contracts on or before the applicable Cut-off Date), (ii) all rights under
every Hazard Insurance Policy relating to a Manufactured Home securing a
Contract for the benefit of the creditor of such Contract, (iii) all rights
under all FHA/VA Regulations pertaining to any Contract that is an FHA/VA
Contract, (iv) the proceeds from the Errors and Omissions Protection Policy and
all rights under any blanket hazard insurance policy to the extent they relate
to a Manufactured Home securing a Contract, (v) all documents contained in the
Contract Files and the Land-and-Home Contract Files, (vi) $8,308,281.36 paid by
the underwriters of the Certificates to the Trustee by order of the Seller out
of the proceeds of the sale of the Certificates (which such underwriters shall,
by order of the Trust, remit directly to the Seller pursuant to Section
2.01(c)), (vii) amounts on deposit in the Capitalized Interest Account, (viii)
amounts on deposit in the Pre-Funding Account and (ix) all proceeds and products
in any way derived from any of the foregoing.

     SECTION 6.9. Governing Law. This Agreement shall be construed in accordance
with the laws of the State of Minnesota without regard to the principles of
conflicts of laws thereof, and the obligations, rights and remedies of the
parties under this Agreement shall be determined in accordance with such laws.

     SECTION 6.10. Counterparts. For the purpose of facilitating the execution
of this Agreement and for other purposes, this Agreement may be executed
simultaneously in any number of counterparts, each of which counterparts shall
be deemed to be an original, and all of which counterparts shall constitute but
one and the same instrument.

     SECTION 6.11. Conveyance of the Initial Contracts and the Initial
Collateral Security to the Trust. CFC acknowledges that CFSC intends, pursuant
to the Pooling and Servicing Agreement, to convey the Initial Contracts and the
Initial Collateral Security, together with its rights under this Agreement, to
the Trust on the date hereof. CFC acknowledges and consents to such conveyance
and waives any further notice thereof and covenants and agrees that the
representations and warranties of CFC contained in this Agreement and the rights
of CFSC hereunder are intended to benefit the Trustee, the Trust, and the
Certificateholders. In furtherance of the foregoing, CFC covenants and agrees to
perform its duties and obligations

                                       14
<PAGE>

hereunder, in accordance with the terms hereof for the benefit of the Trustee,
the Trust, and the Certificateholders and that, notwithstanding anything to the
contrary in this Agreement, CFC shall be directly liable to the Trustee and the
Trust (notwithstanding any failure by the Servicer or CFSC to perform its duties
and obligations hereunder or under the Pooling and Servicing Agreement) and that
the Trustee may enforce the duties and obligations of CFC under this Agreement
against CFC for the benefit of the Trust and the Certificateholders.

     SECTION 6.12. Nonpetition Covenant. Neither CFSC nor CFC shall petition or
otherwise invoke the process of any court or government authority for the
purpose of commencing or sustaining a case against the Trust (or, in the case of
CFC, against CFSC) under any federal or state bankruptcy, insolvency or similar
law or appointing a receiver, liquidator, assignee, trustee, custodian,
sequestrator or other similar official of the Trust (or CFSC) or any substantial
part of its property, or ordering the winding up or liquidation of the affairs
of the Trust (or CFSC).

                                       15
<PAGE>

     IN WITNESS WHEREOF, the parties have caused this Transfer Agreement to be
duly executed by their respective officers as of the 5th day of October, 2000.

                                      CONSECO FINANCE SECURITIZATIONS CORP.,
                                      as Purchaser

                                      By
                                         ---------------------------------------
                                         Name:  Phyllis A. Knight
                                         Title: Senior Vice President and
                                                Treasurer

                                      CONSECO FINANCE CORP.,
                                      as Seller

                                      By
                                         ---------------------------------------
                                         Name:  Phyllis A. Knight
                                         Title: Senior Vice President and
                                                Treasurer

                                       16
<PAGE>

                                   SCHEDULE A

                          SCHEDULE OF INITIAL CONTRACTS

     For list of initial contracts, see certified list of contracts delivered
under Section 2.02(a) of the Pooling and Servicing Agreement.

                                      A-1
<PAGE>

                                                                       EXHIBIT A

                                     FORM OF

                          SUBSEQUENT TRANSFER AGREEMENT

                                     between

                      CONSECO FINANCE SECURITIZATIONS CORP.
                                    Purchaser

                                       and

                              CONSECO FINANCE CORP.
                                     Seller

                                   dated as of

                                 --------, -----
<PAGE>

     SUBSEQUENT TRANSFER AGREEMENT, dated as of ____________, _____, between
Conseco Finance Securitizations Corp., a Minnesota corporation, as purchaser
("CFSC"), and Conseco Finance Corp., a Delaware corporation, as seller ("CFC"),
pursuant to the Transfer Agreement, dated as of October 1, 2000, between CFSC
and CFC.

                              W I T N E S S E T H:
                              - - - - - - - - - -

     WHEREAS, CFC and CFSC are parties to a Transfer Agreement, dated as of
October 1, 2000 (as amended or supplemented, the "Transfer Agreement");

     WHEREAS, pursuant to the Transfer Agreement and this Agreement, CFSC has
agreed to purchase from CFC and CFC is transferring to CFSC the Subsequent
Contracts and the Subsequent Collateral Security.

     NOW, THEREFORE, in consideration of the premises and the mutual agreements
hereinafter contained, and for other good and valuable consideration, the
receipt of which is acknowledged, CFSC and CFC, intending to be legally bound,
hereby agree as follows:

     1. Defined Terms. Capitalized terms used but not otherwise defined herein
shall have the respective meanings assigned to such terms in the Transfer
Agreement.

          "Agreement" means this Subsequent Transfer Agreement and all
     amendments hereof and supplements hereto.

          "Schedule of Subsequent Contracts" means the schedule of all
     manufactured housing contracts sold and transferred pursuant to this
     Agreement attached hereto as Schedule A, which Schedule of Subsequent
     Contracts shall supplement the Schedule of Initial Contracts attached to
     the Transfer Agreement.

          "Subsequent Contracts" means, for purposes of this Agreement, the
     manufactured housing installment sales contracts and installment loan
     agreements listed on the Schedule of Subsequent Contracts attached hereto
     as Schedule A, including related security interests and all rights to
     receive payments on or with respect thereto (other than principal and
     interest due on or before the Subsequent Cut-off Date).

          "Subsequent Cut-off Date" means, with respect to the Subsequent
     Contracts conveyed hereby, ____________, _________.

          "Subsequent Transfer Date" means the date of this Agreement.

     2. Conveyance of the Subsequent Contracts and Subsequent Collateral
Security. Subject to the terms and conditions of this Agreement and the Transfer
Agreement, CFC hereby sells, transfers, assigns, and otherwise conveys to CFSC
without recourse (but without limitation of its obligations in this Agreement
and the Transfer Agreement), and CFSC hereby purchases, all right, title and
interest of CFC in and to the Subsequent Contracts and the Subsequent Collateral
Security, including (i) all rights to receive payments on or with respect to the
Subsequent Contracts (other than principal and interest due on the Subsequent
Contracts on or

                                    Ex. A-1
<PAGE>

before the Subsequent Cut-off Date), (ii) all rights under every Hazard
Insurance Policy relating to a Manufactured Home securing a Subsequent Contract
for the benefit of the creditor of such Subsequent Contract, (iii) all rights
under all FHA/VA Regulations pertaining to any Subsequent Contract that is an
FHA/VA Contract, (iv) the proceeds from the Errors and Omissions Protection
Policy and all rights under any blanket hazard insurance policy to the extent
they relate to the Manufactured Homes, (v) all documents contained in the
Contract Files and the Land-and-Home Contract Files relating to the Subsequent
Contracts, and (vi) all proceeds and products of the foregoing. It is the
intention of CFC and CFSC that the transfer and assignment contemplated by this
Agreement shall constitute a sale of the Subsequent Contracts and the Collateral
Security from CFC to CFSC, conveying good title thereto free and clear of any
liens, and the Subsequent Contracts and the Collateral Security shall not be
part of CFC's estate in the event of the filing of a bankruptcy petition by or
against CFC under any bankruptcy or similar law. CFC's financial statements will
disclose that the Subsequent Contracts have been transferred by CFC to CFSC, and
by CFSC to the Trust, and are not available to satisfy claims of CFC's
creditors.

     3. Purchase Price. Simultaneously with the conveyance of the Subsequent
Contracts and the Subsequent Collateral Security to CFSC, CFSC has paid or
caused to be paid to or upon the order of CFC, by wire transfer of immediately
available funds (representing certain proceeds to CFSC from the sale of the
Certificates on deposit in the Pre-Funding Account), the amount of funds as
specified below:

        (i)      Principal Balance of Subsequent Contracts:   $________

        (ii)     Proceeds to CFC:                             $________

     4. Representations and Warranties of CFC. CFC makes the following
representations and warranties, on which CFSC relies in purchasing the
Subsequent Contracts and the Subsequent Collateral Security and in transferring
the Subsequent Contracts and the Subsequent Collateral Security to the Trustee.
Such representations are made as of the execution and delivery of this
Agreement, but shall survive the sale, transfer and assignment of the Subsequent
Contracts and the Subsequent Collateral Security hereunder, and the sale,
transfer and assignment thereof by CFSC to the Trustee. CFC and CFSC agree that
CFSC will assign to the Trustee all of CFSC's rights under this Agreement, and
that the Trustee will thereafter be entitled to enforce this Agreement against
CFC in the Trust's own name.

          (a) Schedule of Representations. The representations and warranties
     set forth in Sections 3.02, 3.04 and 3.05 of the Pooling and Servicing
     Agreement are true and correct.

          (b) Organization and Good Standing. CFC has been duly organized and is
     validly existing as a corporation in good standing under the laws of the
     State of Delaware, with power and authority to own its properties and to
     conduct its business as such properties are currently owned and such
     business is currently conducted, and had at all relevant times, and now
     has, power, authority and legal right to acquire, own and sell the
     Subsequent Contracts and the Collateral Security transferred to CFSC.

                                    Ex. A-2
<PAGE>

          (c) Due Qualification. CFC is duly qualified to do business as a
     foreign corporation and is in good standing, and has obtained all necessary
     licenses and approvals, in all jurisdictions in which the ownership or
     lease of its property or the conduct of its business requires such
     qualification.

          (d) Power and Authority. CFC has the power and authority to execute
     and deliver this Agreement and to carry out its terms; CFC has full power
     and authority to sell and assign the Subsequent Contracts and the
     Subsequent Collateral Security to be sold and assigned to and deposited
     with CFSC hereunder and has duly authorized such sale and assignment to
     CFSC by all necessary corporate action; and the execution, delivery and
     performance of this Agreement have been duly authorized by CFC by all
     necessary corporate action.

          (e) Valid Sale; Binding Obligations. This Agreement has been duly
     executed and delivered, shall effect a valid sale, transfer and assignment
     of the Subsequent Contracts and the Collateral Security, enforceable
     against CFC and creditors of and purchasers from CFC; and this Agreement
     constitutes the legal, valid and binding obligations of CFC enforceable in
     accordance with its terms, except as enforceability may be limited by
     bankruptcy, insolvency, reorganization or other similar laws affecting the
     enforcement of creditors' rights generally and by equitable limitations on
     the availability of specific remedies, regardless of whether such
     enforceability is considered in a proceeding in equity or at law.

          (f) No Violation. The consummation of the transactions contemplated by
     this Agreement and the fulfillment of the terms of this Agreement shall not
     conflict with, result in any breach of any of the terms and provisions of
     or constitute (with or without notice, lapse of time or both) a default
     under, the certificate of incorporation or bylaws of CFC, or any indenture,
     agreement, mortgage, deed of trust or other instrument to which CFC is a
     party or by which it is bound, or result in the creation or imposition of
     any lien upon any of its properties pursuant to the terms of any such
     indenture, agreement, mortgage, deed of trust or other instrument, other
     than this Agreement and the Transfer Agreement, or violate any law, order,
     rule or regulation applicable to CFC of any court or of any federal or
     state regulatory body, administrative agency or other governmental
     instrumentality having jurisdiction over CFC or any of its properties.

          (g) No Proceedings. There are no proceedings or investigations pending
     or, to CFC's knowledge, threatened against CFC, before any court,
     regulatory body, administrative agency or other tribunal or governmental
     instrumentality having jurisdiction over CFC or its properties (i)
     asserting the invalidity of this Agreement, (ii) seeking to prevent or the
     consummation of any of the transactions contemplated by this Agreement,
     (iii) seeking any determination or ruling that might materially and
     adversely affect the performance by CFC of its obligations under, or the
     validity or enforceability of, this Agreement, or (iv) seeking to affect
     adversely the federal income tax or other federal, state or local tax
     attributes of, or seeking to impose any excise, franchise, transfer or
     similar tax upon, the transfer and acquisition of the Subsequent Contracts
     and the Collateral Security hereunder.

          (h) Insolvency. As of the Subsequent Cut-off Date and the Subsequent
     Transfer Date, neither CFC nor CFSC is insolvent nor will either of them
     have been made insolvent after giving effect to the conveyance set forth in
     Section 2 of this Agreement, nor are any of them aware of any pending
     insolvency.

                                    Ex. A-3
<PAGE>

          (i) Chief Executive Office. The chief executive office of CFC is
     located at 1100 Landmark Towers, 345 St. Peter Street, Saint Paul,
     Minnesota 55102-1639.

     5. Representations and Warranties of CFSC. CFSC makes the following
representations and warranties, on which CFC relies in selling, assigning,
transferring and conveying the Subsequent Contracts and the Subsequent
Collateral Security to CFSC hereunder. Such representations are made as of the
execution and delivery of this Agreement, but shall survive the sale, transfer
and assignment of the Subsequent Contracts and the Subsequent Collateral
Security hereunder.

          (a) Organization and Good Standing. CFSC has been duly organized and
     is validly existing and in good standing as a corporation under the laws of
     the State of Minnesota, with the power and authority to own its properties
     and to conduct its business as such properties are currently owned and such
     business is currently conducted, and had at all relevant times, and has,
     full power, authority and legal right to acquire and own the Subsequent
     Contracts and the Subsequent Collateral Security, and to transfer the
     Subsequent Contracts and the Subsequent Collateral Security to the Trustee
     pursuant to this Agreement.

          (b) Due Qualification. CFSC is duly qualified to do business as a
     foreign corporation in good standing, and has obtained all necessary
     licenses and approvals in all jurisdictions where the failure to do so
     would materially and adversely affect CFSC's ability to acquire the
     Subsequent Contracts or the Subsequent Collateral Security or the validity
     or enforceability of the Subsequent Contracts and the Subsequent Collateral
     Security or to perform CFSC's obligations hereunder.

          (c) Power and Authority. CFSC has the power, authority and legal right
     to execute and deliver this Agreement and to carry out the terms hereof and
     to acquire the Subsequent Contracts and the Subsequent Collateral Security
     hereunder; and the execution, delivery and performance of this Agreement
     and all of the documents required pursuant hereto have been duly authorized
     by CFSC by all necessary action.

          (d) No Consent Required. CFSC is not required to obtain the consent of
     any other Person, or any consent, license, approval or authorization or
     registration or declaration with, any governmental authority, bureau or
     agency in connection with the execution, delivery or performance of this
     Agreement, except for such as have been obtained, effected or made.

          (e) Binding Obligation. This Agreement constitutes a legal, valid and
     binding obligation of CFSC, enforceable against CFSC in accordance with its
     terms, subject, as to enforceability, to applicable bankruptcy, insolvency,
     reorganization, conservatorship, receivership, liquidation and other
     similar laws and to general equitable principles.

          (f) No Violation. The execution, delivery and performance by CFSC of
     this Agreement, the consummation of the transactions contemplated by this
     Agreement and the fulfillment of the terms of this Agreement do not and
     will not conflict with, result in any breach of any of the terms and
     provisions of, or constitute (with or without notice or lapse of time) a
     default under, the articles of incorporation or bylaws of CFSC, or conflict
     with or breach any of the terms or provisions of, or constitute (with or
     without notice or lapse of time) a default under,

                                    Ex. A-4
<PAGE>

     any indenture, agreement, mortgage, deed of trust or other instrument to
     which CFSC is a party or by which CFSC is bound or to which any of its
     properties are subject, or result in the creation or imposition of any lien
     upon any of its properties pursuant to the terms of any such indenture,
     agreement, mortgage, deed of trust or other instrument (other than the
     Pooling and Servicing Agreement and the Subsequent Transfer Instrument), or
     violate any law, order, rule or regulation, applicable to CFSC or its
     properties, of any federal or state regulatory body, any court,
     administrative agency, or other governmental instrumentality having
     jurisdiction over CFSC or any of its properties.

          (g) No Proceedings. There are no proceedings or investigations
     pending, or, to the knowledge of CFSC, threatened against CFSC, before any
     court, regulatory body, administrative agency, or other tribunal or
     governmental instrumentality having jurisdiction over CFSC or its
     properties: (i) asserting the invalidity of this Agreement, (ii) seeking to
     prevent the consummation of any of the transactions contemplated by this
     Agreement, (iii) seeking any determination or ruling that might materially
     and adversely affect the performance by CFSC of its obligations under, or
     the validity or enforceability of, this Agreement, or (iv) that may
     adversely affect the federal or state income tax attributes of, or seeking
     to impose any excise, franchise, transfer or similar tax upon, the transfer
     and acquisition of the Subsequent Contracts and the Collateral Security to
     the Trust.

In the event of any breach of a representation and warranty made by CFSC
hereunder, CFC covenants and agrees that it will not take any action to pursue
any remedy that it may have hereunder, in law, in equity or otherwise, until a
year and a day have passed since the date on which all pass-through certificates
or other similar securities issued by the Trust, or a trust or similar vehicle
formed by CFSC, have been paid in full. CFC and CFSC agree that damages will not
be an adequate remedy for such breach and that this covenant may be specifically
enforced by CFSC or by the Trustee on behalf of the Trust.

     6. Conditions Precedent. The obligation of CFSC to acquire the Subsequent
Contracts and the Subsequent Collateral Security hereunder is subject to the
satisfaction, on or prior to the Subsequent Transfer Date, of the following
conditions precedent, and CFC hereby confirms that each such condition is
satisfied:

          (a) Representations and Warranties. Each of the representations and
     warranties made by CFC in Section 4 of this Agreement and in Section 3.1 of
     the Transfer Agreement is true and correct as of the date of this Agreement
     and as of the Subsequent Transfer Date.

          (b) Transfer Agreement Conditions. Each of the conditions set forth in
     Section 2.3(b) of the Transfer Agreement applicable to the conveyance of
     Subsequent Contracts and the Subsequent Collateral Security has been
     satisfied.

          (c) Additional Information. CFC has delivered to CFSC such information
     as was reasonably requested by CFSC to satisfy itself as to (i) the
     accuracy of the representations and warranties set forth in Section 4 of
     this Agreement and in Section 3.1 of the Transfer Agreement and (ii) the
     satisfaction of the conditions set forth in this Section 6.

                                    Ex. A-5
<PAGE>

     7. Ratification of Transfer Agreement. As supplemented by this Agreement,
the Transfer Agreement is in all respects ratified and confirmed and the
Transfer Agreement as so supplemented by this Agreement shall be read, taken and
construed as one and the same instrument.

     8. Governing Law. This Agreement shall be construed in accordance with the
laws of the State of Minnesota without regard to the principles of conflicts of
laws thereof, and the obligations, rights and remedies of the parties under this
Agreement shall be determined in accordance with such laws.

     9. Counterparts. For the purposes of facilitating the execution of this
Agreement and for other purposes, this Agreement may be executed simultaneously
in any number of counterparts, each of which counterparts shall be deemed to be
an original, and all of which counterparts shall constitute but one and the same
instrument.

     10. Conveyance of the Subsequent Contracts and the Collateral Security to
the Trust. CFC acknowledges that CFSC intends, pursuant to a Subsequent Transfer
Instrument, to convey the Subsequent Contracts and the Subsequent Collateral
Security, together with its rights under this Agreement and under the Transfer
Agreement, to the Trustee on the date hereof. CFC acknowledges and consents to
such conveyance and waives any further notice thereof and covenants and agrees
that the representations and warranties of CFC contained in this Agreement and
the rights of CFSC hereunder and thereunder are intended to benefit Trustee, the
Trust and the Certificateholders. In furtherance of the foregoing, CFC covenants
and agrees to perform its duties and obligations hereunder and under this
Agreement and the Transfer Agreement, in accordance with the terms hereof and
thereof for the benefit of the Trustee, the Trust and the Certificateholders and
that, notwithstanding anything to the contrary in this Agreement or in the
Transfer Agreement, CFC shall be directly liable to the Trustee and the Trust
(notwithstanding any failure by CFSC to perform its duties and obligations
hereunder or under the Pooling and Servicing Agreement or the Transfer
Agreement) and that the Trustee may enforce the duties and obligations of CFC
under this Agreement and the Transfer Agreement against CFC for the benefit of
the Trust and the Certificateholders.

                                    Ex. A-6
<PAGE>

     IN WITNESS WHEREOF, the parties have caused this Agreement to be duly
executed by their respective officers as of the day and year first above
written.

                                       CONSECO FINANCE SECURITIZATIONS CORP.,
                                       as Purchaser

                                       By
                                          --------------------------------------
                                          Name:  Phyllis A. Knight
                                          Title: Senior Vice President and
                                                 Treasurer

                                       CONSECO FINANCE CORP.,
                                       as Seller

                                       By
                                          --------------------------------------
                                          Name:  Phyllis A. Knight
                                          Title: Senior Vice President and
                                                 Treasurer

                                    Ex. A-7<PAGE> 39

AGREEMENT

THIS AGREEMENT is made this 17th day of March. 1999 by and among Kowt
ow, nc a Nevadacorporation, hereinafter called "KOWTOW", Affordable
Homes of America. Inc., a Nevada corporation hereinafter called "AHA",
and the shareholders of AHA, hereinafter called "AHA SHAREHOLDERS".

RECITALS:

WHEREAS. KOWTOW desires to acquire 100% of the issued and outstanding
shares of the common stock of AHA, in exchange for 4,000,000 authorized
but unissued shares of the .001 par value common stock of KOWTOW, pur-
suant to a plan of reorganization within the meaning of lRC (1986),
Section 368(a)(l)(B) as amended: and

WHEREAS, the AHA SHAREHOLDERS desire to exchange 100% of the issued and
outstanding shares of the common stock of AHA, currently owned by AHA
SHAREHOLDERS, in exchange for said 4,000,000 shares of KOWTOW.

NOW THEREFORE, in consideration of the mutual promises, covenants and
representations contained herein, and co consummate the foregoing plan
of reorganization, the parties hereby adopt said planof organization
and agree as follows:

ARTICLE I

EXCHANGE OF SECURITIES

1.01 Issuance of KOWTOW hares. Subject to all of the terms and
conditions of this Agreement KOWTOW agrees to issue to AHA SHAREHOLDERS
4,000,000 fully paid and non assessable unregistered shares of KOWTOW
common stock in exchange for 100% or the outstanding AHA common stock,
all of which is currently owned by AHAO SHAREHOLDERS.

1.02  Transfer of AHA Shares.  In exchange for KOWTOW'S stock being
issued to AHA SHAREHOLDERS as above described. AHA SHAREHOLDERS shall
on the closing date and concurrent withsuch issuance of KOWTOW'S common
stock, deliver to KOWTOW 100% of the outstanding common stock of AHA.

ARTICLE II

INDEMNIFICATION OF FINDER / NO AFFILIATE

2.01 Indemnification of Finder/Broker.  Negotiations relative to this
Agreement and relatedtransactions have been conducted with the assis-
tance of Capital General Corporation who is acting as a broker, finder
and consultant  on  behalf of both  AHA  and  KOWTOW, AHA,  KOWTOW
and  AHA SHAREHOLDERS agree to hold harmless and indemnify Capital
General Corporation and its officers anddirectors from any and all
claim, demand, cause of action or suit raised or filed in connection
with die withinAgreement or any related transaction or the operation
or promtion of AHA and/or KOWTOW or the trading of their shares.

<PAGE> 40

2.02 No Affiliate. All parties agree thai after the exchange of
shares as provided above, that neither Capital General Corporation
nor any of its officers and directors have any ongoing or other
business relationship with any of the panics to this Agreement, or
their officers, directors and promoters, nor any family or other
relationships with such, and therefure have no ability to exercise
any control or influence over the management and conduct of KOWTOW'S
business and therefore are non affiliates of KOWTOW.

<PAGE> 41

ARTICLE III

REPRESENTATIONS, AGREEMENTS AND WARRANTIES OF AHA SHAREHOLDERS AND AHA

AHA SHAREHOLDERS AND AHA hereby represent, agree and warrant that:

3.01  Organization. AHA is a corporation rilily organized, validly
existing, and in guud standing under che laws of Nevada, has all
necessary corporate powers to own its properties and co carry on
its business as now owned and operated by it. is duly qualified co
do business and is in good standing in any jurisdiction
its business requires qualification.

3.02 Capital. The authorized capital stock of AHA consists of
25.000,000 shares of common stock All of the issued and outstanding
shares are validly issued, fully paid and nonassessable.

3.03 Subsidiaries. AHA does not have any subsidiaries.

3.04 Directors and Officers. Exhibit 3.04 to this Agreement contains
the names and titles of all directors and officers of AHA as of the
date of this Agreement.

3.05  Financial Statements.  Exhibit 3.05 to this Agreement includes
the unaudited financial statements of AHA a.s of December 31. 1998.

3.06 Absence of Changes. Since the dace of AHA's most recent financial
statements included in Exhibit 3.05 there have been no changes in its
financial condition or operations, except for changes in the
ordinary course of business.

3.07 Absence of Undisclosed Liabilities. As of che dace of AHA's most
recent balance sheet included in Exhibit 3.05 it did not have any
material debt, liability or obligation of any iuiure, whecher accrued
absolute, contingent or otherwise, and whether due or can become due;
that is not reflected in such balance sheet.

3.08 Tax Returns. Within the times and in the manner prescribed by law,
AHA has filed all federal state and local tax returns required by law,
has paid all taxes, assessments and penalties due and payable and has
made adequate provision on ics most recent balance sheet for any unpaid
taxes. There are no present disputes as to taxes of any nature
payable by AHA.

3.09 Investigation of Financial Condition. Without in any manner reducing
or otherwise mitigating the representations contained herein. KOWTOW
and/or its attorneys shall have the opportunity to meet with accountants
and attorneys to discuss the financial condition of AHA. AHA shall make
available to KOWTOW and/or its attorneys all books and records of AHA.
If the transaction contemplated hereby is not completed, all documents
received by KOWTOW and/or its attorneys shall be returned to AHA and all
information so received shall be treated as confidential.

3.10 Patents, Trade Names and Rights. AHA owns or holds all necessary
patents, trademarks,service marks, trade names, copyright and other
rights neressary to the conduct or proposed conduct of its business.

3.11 Complianec with Laws. AHA has complied with, and is not in
violation of, applicable federal, scace or local statutes, laws and
regulations affecting its properties or the operation of its business.

3.12  Litigation.  AHA is not a party to,nor to the best of its
knowledge is there pending or threatened, any suit, action,
arbitration or legal, administrative or Other proceeding, or
governmental investigation concerning its business, assets or
financial condition. AHA is not in default with respect to any
order, writ,injunction or decree of any federal, state, local or
foreign court or agency, nor is it engaged in any lawsuits to
recover monies due to it.

3.13 Authority. The Board of Directors of AHA authorized the execution
of this Agreement and the consummation of the transactions contemplated
herein and has full power and authority to execute, deliver and
perform this Agreement.

<PAGE> 42

3.14 Ability to Carry Out Obligations. The excution and delivery of
this Agreement by AHA and the performance of its obligations hereunder
in  the time and manner contemplated will not cause, constitute or
conflict with or result in (i) any breach of the provisions of any
license, indenture, mortgage, charter, instrument, certificate of
incorporation, bylaw or other agreement or instrument to which it is
a party or by which it may be bound, nor will any consents or
authorizations of any party other than those hereto be required,
(ii) an event that would permit any party to any agreement or in.
instrument to terminate it or to accelerate the maturity of any
indebtedness or other obligation. or (iii) an event that would
result in the creation or imposition of any lien,charge or
encumbrance on any assest.

3.15 Full Disclosure. None of the representations and warranties
made by AHA SHAREHOLDERS  or AHA herein or in any exhibit, certificate
or memorandum furnished or to be furnished by AHA SHAREHOLDERS or AHA.
or on either's behalf, contains or will contain any untrue statement
of material face,or omits any material fact, the omission of which
would be misleading.

3.16 Assets. AHA has good and marketable title to all of its property
free and clear of any and all liens, claims or encumbrances except as
may be indicated in Exhibit 3.05.

3.17 Indemnification. AHA SHAREHOLDERS and AHA agree to defend and
hold KOWTOW and its officers and directors harmless against and  in
respect of any and all claims, demands,  losses, costs. expenses,
obligations, liabilities or damages, including interest. penalties
and reasonable attorney's fees. that it shall incur or suffer, which
arise out of result from or relace to any breach of this Agreement or
failure by AHA SHAREHOLDERS or AHA to perform with respectto any of its
representations, warranties or covenants contained in this Agreement or
in any exhibit or other instrument furnished or to be turnished under
this Agreement.

3.18 Authority to Exchange.  As of die dale of this Agreement,
AHA bHARJEHOLDERS hold 100% of the shares of AHA common stock.
Such shares are owned of record and beneficially by AHA
SHAREHOLDERS and such shares are not subject to any lien,
encumbrance or pledge. AHA SHAREHOLDERS hold authority to exchange
such shares pursuant to this Agreement.

3.19 Investment Intent. AHA SHAREHOLDERS understand and acknowledge
that the shares of KOWTOW common stock offered for exchange or sale
pursuant to this Agreement are being offered in reliance upon the
exemption from registration requirements of the Securities Act of
1933, as amended (The"Act"), pursuant to Section 4(2) of the Act
and the rules and regulations promulgated thereunder, for nonpublic
offerings and make the following representations, agreements and
warranties with the intent that the same may be relied upon in
determining the suitabilily of AHA SHAREHOLDERS as a purchaser
of KOWTOW common stock:

(a)  The shares of KOWTOW common stock are being acquired solely
for the account of AHA SHAREHOLDERS, for investment purposes only,
and not with a view to, or for sale in connection with,any
distribution thereof, and with no present intention of distributing
or reselling any part of the KOWTOW common stock acquired:

(b) AHA SHAREHOLDERS agree not to dispose of their KOWTOW common
stock or any portion thereof unless and until counsel for KOWTOW
shall have determined that the intended disposition is permissible
and does not violate the Act or any applicable Federal or state
securities laws, or the rules and regulations thereunder;

(c)  AHA SHAREHOLDERS agree that the certificates evidencing the
KOWTOW common stock acquired pursuant to this Agreement will have a
legend placed thereon staring that they have not been registered
under the Act or any state securities laws and setting forth or
referring to the restrictions on transferability and sale of the
KOWTOW common stock, and that stop transfer instructions shall be
picked with the transfer agent for said certificate.

(d) AHA SHAREHOLDERS acknowledge that KOWTOW has made all records and
documentation pertaining to KOWTOW common stock available to them and
to their qualified representatives, if any, and has offered such person
or persons an opportunity to ask questions and further discuss the
proposed acquisition of KOWTOW common stock, and any available
information pertaining hereto, with the officers and directors of
KOWTOW, and that all such questions and information requested have
been answered by  KOWTOW and its officers and directors to AHA
SHAREHOLDERS satisfaction:

(e)   AHA SHAREHOLDERS have carefully evaluated their financial resources
and investment position and the risks associated with this transaction
and are able to bear the economic risks of this transaction and they
have substantial knowledge and experience in financial, business and
investment matters and are qualified as sophisticated investors, and are
capable of evaluating the merits and risks of this transaction and they
desire to acquire the KOWTOW common stock on the terms and conditions set
forth:

(f) AHA SHAREHOLDERS are able to bear the economic risk of an
investment in the KOWTOW common stock and

<PAGE> 43

(g)AHA SHAREHOLDERS understand that an investment in the KOWTOW
common stock is not liquid and AHA SHAREHOLDERS have no need for
liquidity in this investment.

3.20 Receipt of Relevant Information. AHA SHAREHOLDERS and AHA have
received from KOWTOW all financial and other information concerning
KOWTOW and its promoters, officers and directors, including, but not
limited to Prospectus dated June 30. 1993, and Annual Report on
Form IO-K for the year ended December 31. 1998, as filed with the
Securities and Exchange Commission, and all other documents and
information they have requested.

3.21 Public "Shell" Corporation.   AHA and AHA SHAREHOLDERS are aware
that KOWTOW has public shareholders and is a "shell" corporation
without significant assets or liabilities, and further that
public companies arc subject to extensive and complex sale. federal
and other regulations.  Among other requirements. AHA SHAREHOLDERS
and AHA are aware chat a Form 8-K must be filed with the United
States Securities and Exchange Commission within fifteen days after
Closing which filing requires that audited Financial statements be
filed within sixty days after the filing of the 8-K. and they agree
that such responsibility shall not be the responsibility of Capital
General Corporation, its officers, directors or employees nor the
existing officers of KOWTOW, but the sole responsibility of the new
officers and directors of KOWTOW. AHA SHAREHOLDERS and AHA are aware of
the legal requirements and obligations of public companies,
understand that regulatory efforts regarding public shell transactions
similar to die transaction contemplated herein has been and is currently
being exerted by some states, the U.S. Securities and Exchange Commission
and the National Association of Securities Dealers, Inc. (NASD). and are
fully aware of their responsibilities following closing, to fully
comply will all securities laws and regulations, and agree to do so.

3.22 No Assurances or Warranties. AHA SHAREHOI.DF.R5! and AHA acknowledge
hat there can be no assurance regarding the tax consequences of this
transaction, nor can there be any assurance that the  Internal Revenue
Code or the regulations promulgated thereunder will not be amended in
such manner as to deprive them of any tax benefits that might otherwise
be received. AHA SHAREHOLDERS and AHA are relying upon the advice of
theirown tax advisors with respect of the tax aspires of this transac-
tion.  Norepresentations or warranties have been made by KOWTOW, Capital
General Corporation, or their officers,directors, affiliates Or agents,
as to thebenefits to be derived by AHA SHAREHOLDERS or AHA in completing
this transaction, nor have any of them made any warranty or agreement,
expressed of implied, as to the tax or securities consequences
of thetransactions contemplated by this Agreement or the tax or
securities consequences of any action pursuant co or growing out of this
Agreement.

ARTICLE IV

REPRESENTATIONS, AGREEMENTS AND WARRANTIES OF KOWTOW

KOWTOW represents, agrees and warrants that:

4.01  Organization.  KOWTOW is a corporation duly organized, validly
existing, and in goodstanding under the laws of Nevada,has all necessary
corporate powers to own properties and to carry on its business as now
owned and operated by its duly qualified to do business and is in good
standing in each of the jurisdictions where its business requires
qualification.

<PAGE> 44

4.02 Capital. The authorized capital stock of KOWTOW consists of 100,000.00
shares of $.001 par value common stock of which 1,000,000 shares are
currently issued and outstanding. All of the issued and outstanding shares
are validly issued, fully paid and non-assessable.

4 03 Subsidiaries. KOWTOW has no subsidiaries and docs not own any interest
in any other enterprise, whether or not such enterprise is a corporation.

4.04 Directors and Officers. Exhibit 4.04 to this Agreement contains the
names and titles of all officers and directors of KOWTOW as of the dale of
this Agreement.

4.05 Financial Statements. Exhibit 4.05 to this Agreement includes KOW
TOW' audited financial statements as of December 31. 1998. The financial
statements have been prepared in accordance with generally accepted
accounting principles and practices consistently followed throughout the
period indicated and fairly present the financial position of KOWTOW as
of the daces of the balance sheets included in the financial statements
and the results of operations for the periods Indicated.

4.06 Absence of Changes. Since the date of KOWTOW'S most recent financial
statements, there has not been any change in its financial condition or
operations except for changes in the ordinary course of business.

4.07 Absence of Undisclosed Liabilities. As of the date of KOWTOW'S most
recent balancesheet, included in Exhibit 4.05, it did not have any
material debt. liability or obligation of any nature whether accrued,
absolute, contingent or otherwise, and whether due or to become due,
that is not reflectedin such balance sheet.

4.08 Tax Returns. Wilhin the times and in the manr.er prescribed by law.
KOWTOW has filed all state or local tax returns required by law. has
paid all taxes, assessments and penalties due and payable and has made
adequate provision on its most recent balance sheet for any unpaid
taxes. There areno present disputes as to taxes of any nature payable
by KOWTOW.

4.09  tigation of Financial Condition.  Without in any manner red
ucin or olherwisemitigating the representations contained herein. AHA
and AHA SHAREHOLDERS shall have the opportunity to meet with KOWTOW'S
accountants and attorneys to discuss the financial condition KOWTOW.
KOWTOW shall make available ro AHA and AHA SHAREHOLDERS all books and
records of KOWTOW.

4.10 Patents, Trade Names and Rights. KOWTOW does not use any patent,
trade marks, aervmarks, trade names or copvriahts in its business.

4.11 Compliance with Laws. KOWTOW has complied with. and is not in violaton
of, applicablefederal, state or local statutes, laws and regulations
affecting its properties or the operation of its business.

<PAGE> 45

4.12 Litigation. KOWTOW is not a party to, nor to the best of its know-
ledge there pending or threatened, any suit, action, arbitration or
legal, administrative or other proceedings, or governmental investigation
concerning its business, assets or financial condition. KOWTOW is not in
default with respect to any order, writ, injunction or decree of any
federal. Slate local or foreign court or agency, nor is it engaged in.
nor does it anticipate it will be necessary to engage in, any lawsuits
to recover money or real or personal property.

4.13  Authority.  The Board of Directors of KOWTOW has authorized the
execution of this Agreement and the transactions contemplated herein,
and it has full power and authority to execute, deliver and perform this
Agreement.

4.14  Ability to Carry Out Obligations.  The execution and delivery of
this Agreement by KOWTOW and the performance of its obligations hereunder
will not cause, constitute, conflict with or result in (i) any breach of
the provisions of any license, indenture, mortgage, charter, instrument,
certificate of incorporation, bylaw or other agreement or instrument to
which it is a party or by which it may be bound, nor will any consents or
authorizations of any party other than those hereto be required, (ii) an
event that would permit any party to any agreement or instrument to terminate
it or to accelerate the maturity of any indebtedness or other obligation, or
(iii) an event that would result in a creation or imposition of any lien,
charge encumbrance on any asset.

4.15 Assets. KOWTOW has good and marketable title to all of its property
free and clear of any and all liens, claims and encumbrances, except as may
be indicated in Exhibit 4.05.

4.16 Validity of KOWTOW Shares. The shares of KOWTOW $.001 par value common
stock to be issued pursuant to this Agreement will be duly authorized,
validly issued, fully paid and non-assessable under Nevada law.

ARTICLE V

ACTIONS PRIOR TO CLOSING

5.01  Investigative Rights. Prior to the Closing Date each company shall
provide to the other parties, including the parties' counsel, accountants
and other authorized representatives, full access during normal business
hours (upon reasonable advance written notice) to such parties' books and
records.

5.02 Conduct of Business Prior to the Closing Date. each party shall
conduct its business in the normal course and shall not see, pledge or
assign any assets, without the prior written approval of the other parties.
No party shall amend its certificate of incorporation or bylaws, declare
dividends, redeem or sell stock or Other securities, incur additional
liabilities, acquire or dispose of fixed assets, change employment terms,
enter into any material or long-term contract, guarantee obligations of
any third party, settle or discharge any balance sheet receivable for less
than its stated amount, pay more on any liability than its stated amount
or enter into any other transaction other than in the regular course of
business.

<PAGE> 46

ARTICLE VI

CLOSING

6.01 Closing.  The closing (the "Closing") of this transaction shall be
held at the offices ofKOWTOW, or such other place as shall be mutually
agreed upon, on or before March 17 1999 (the "Closing Date"):

(a) KOWTOW shall issue 4,000.000 shares of its $.001 par value common
stock in a certificate or certificates representing such shares.

(b) AHA SHAREHOLDERS shall deliver the certificates representing 100%
of the shares of AHA common stock.

(c) KOWTOW shall deliver a signed consent or minutes of its Board of
Directors, approving this Agreement and authorizing the matters set forth
herein:

(d) AHA shall deliver a signed consent or minutes of its Board of
Directors approving this Agreement and authorizing the matters sec forth
herein:

(e) KOWTOW'S existing Board of Directors will (i) elect new directors, as
named by AHA SHAREHOLDERS to act as officers and directors of KOWTOW in
the capacities set forth in Exhibit 6.01 and

(ii) the two current directors will resign their positions with KOWTOW
effective the "Closing Date".

ARTICLE VII

MISCELLANEOUS

7.01 Captions and Headings. The article and paragraph headings throughout
this Agreement are for convenience and reference only and shall not be
deemed to define, limit or add to the meaning of any provision of this
Agreement.

7.02 No Oral Change; This Agreement may not be changed or modified except
in writing signed by the party against whom enforcement of any change or
modification is sought.

7.03 Non-Waiver. Except as otherwise expressly provided herein, no waiver
of a covenant, conditionor provision of this Agreement shall be deemed
to have been made unless executed in writing and signed by the party
against whom such waiver is charged.  The failure of any party to insist
in any one or more casesupon the performance of any covenant, condition
or provision of this Agreement shall not be construed as a waiver or
relinquishment for the future of any such covenant, condition or provision.
No waiver by any partyof one breach by the other shall be construed as a
waiver with respect co a subsequent breach.

7.04 Time of Essence. Time is of the essence of this Agreement and of each
and every provision hereof.

<PAGE> 47

7.05 Entire Agreement. This Agreement contains the entire agreement and
understanding between[he parties and supersedes all prior agreements and
understandings.

7.06 Choice of Law/Arbitration. This Agreement and its application, shall
be governed under the laws of the State of Nevada. Any and all disputes
and controversies of every kind and nature between the parties hereto
arising out of or relating to this Agreement relating to the existence,
construction  validity, interpretation or meaning, performance,
non-performance, enforcement, operation, breach, continuance or termination
thereof shall be subject arbitration mutually agreeable co the parties or,
in the absence of such mutual agreement, then subject to arbitration in
accordance with the rules of the American Arbitration Association. It is
the intent of the parties hereto and the purpose of this provision to make
the submission to arbitration of any dispute or controversy arising here
under an express condition precedent to any legal or equitable action or
proceeding of any nature whatsoever.

7.07 Counterparts. This Agreement may be executed in one or more
counterparts, each of which shall be deemed an original, but all of which
when taken together shall constitute one and the same instrument.

7.08 Notices. All notices, requests, demands, and other communications
under this Agreement shall be in writing and shall be deemed to have
been given on the date of service if served personally on the party to
whom notice is co be given, or on the third day after mailing if mailed
to the party to whom notice is to be given, by first class mail,
registered or certified, postage prepaid, and properly addressed as
follows:

KOWTOW:
3098 So. Highland Drive, Suite 460
Salt Lake City, Utah 84106

AHA and AHA SHAREHOLDERS:
4505 W. Hacienda Ave. Unit #I-1
Las Vegas, Nevada 89118

7.09 Expenses.  The parties will pay their own legal, accounting and
other expenses incurred in connection with this Agreement.

7.10 Survival of Representation and Warranties. The representations,
warranties and covenants set forth in this Agreement or in any instrument,
certificate, opinion or other writing provided for in it survive the
Closing Date.

7.11 Further Documents. The parties agree to execute any and all other
documents and to take such other action or corpora proceedings as may be
necessary or desirable to carry out the terms hereof.

<PAGE> 48

IN WITNESS WHEREOF, the parties have executed this Agreement on the date
first above written,

        KOWTOW, INC.

By: /s/ Krista Nielson
        --------------
        Krista Nielson
        President

        Affordable Homes of America, Inc.

By: /s/ Merle Ferguson
        --------------
        Merle Ferguson
        President

        Shareholders of Affordable Homes of America, Inc.

By: /s/ Merle Ferguson
        --------------
        Merle Ferguson
        sole shareholder

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