Document:

Exhibit
10.21

 

ADMINISTRATION
AGREEMENT

 

THIS ADMINISTRATION
AGREEMENT, dated as of August 4, 2004 (this “Agreement”), between
MortgageIT SPV I, a Delaware statutory trust (the “Trust”), and
MortgageIT, Inc. (the “Company”), as the administrator of the Trust
under this Agreement (in such capacity, the “Administrator”).

 

WITNESSETH:

 

WHEREAS, the Trust was
established pursuant to a Trust Agreement, dated as of August 4, 2004, (the “Trust
Agreement”), between MortgageIT Holdings, Inc., as a depositor, the Company,
as a depositor (in such capacity, together with MortgageIT Holdings, Inc., the
“Depositors”) and Wilmington Trust Company, a Delaware banking
corporation as owner trustee (acting thereunder not in its individual capacity
but solely as owner trustee, the “Owner Trustee”).

 

WHEREAS, the Trust acting
with respect to the TRS Sub-Trust is selling certain mortgage loans (the “Mortgage
Loans”) to UBS Real Estate Securities Inc. (“UBS”) under the
Mortgage Loan Repurchase Agreement, dated as of August 4, 2004 between the
Trust acting with respect to the TRS Sub-Trust and UBS (the “Loan Repurchase
Agreement”), under the Mortgage Loan Purchase Agreement, dated as of August
4, 2004 between the Trust acting with respect to the TRS Sub-Trust and UBS (the
“Loan Purchase Agreement”) and the Mortgage Loan Participation
Agreement, dated as of August 4, 2004 between the Trust acting with respect to
the TRS Sub-Trust and UBS (the “Loan Participation Agreement”), and the
REIT Sub-Trust is issuing certain notes (the “Notes”) pursuant to the
Note Purchase and Security Agreement, dated as of August 4, 2004 (the “Note
Purchase Agreement”), between the Trust with respect to the REIT Sub-Trust,
as note issuer, and UBS Real Estate Securities Inc., as agent for the
Noteholders and Purchasers under the Note Purchase Agreement (in such capacity,
the “Agent”).

 

WHEREAS, in connection
with the sale of the Mortgage Loans and the issuance of the Notes, the Trust
will enter into the Note Purchase Agreement, the Custodial Agreement, the Loan
Sale Agreement, the Loan Purchase Agreement, the Loan Repurchase Agreement, the
Loan Participation Agreement, the Blocked Account Agreement, the Pricing Side
Letter, the Servicing Agreements and the Electronic Tracking Agreement
(collectively and together with the Trust Agreement, the “Transaction
Documents”).

 

WHEREAS, pursuant to the
Transaction Documents, the Trust is required to perform certain administrative
duties in connection with the Notes and the Mortgage Loans pursuant to the
Transaction Documents.

 

WHEREAS, the Trust
desires to have the Administrator perform certain duties of the Trust referred
to in the Transaction Documents and to provide such additional

 

 

services consistent with the terms of this Agreement as the Trust may
from time to time request.

 

WHEREAS, the
Administrator has the capacity to provide the respective services required
hereby and is willing to perform such services for the Trust and the Owner
Trustee on the terms set forth herein.

 

NOW, THEREFORE, in
consideration of the mutual covenants contained herein, and other good and
valuable consideration, the receipt and adequacy of which are hereby
acknowledged, the parties agree as follows:

 

Section 1.                    Definitions.  For all purposes of this Administration
Agreement, except as otherwise expressly provided herein or unless the context
otherwise requires, capitalized terms not otherwise defined herein shall have
the meanings assigned to such terms in the Definitions List attached as
Schedule 1 to the Loan Sale Agreement dated as of August 4, 2004, among the
Trust, MortgageIT, Inc. and MortgageIT Holdings, Inc.

 

Section 2.                    Duties of
the Administrator.

 

(a)                                  Duties
with Respect to the Transaction Documents. 
The Administrator agrees to perform all of its respective duties as
Administrator and the duties of the Trust under the Transaction Documents.  Except as set forth below, the Administrator
shall prepare for execution by the Trust, or shall cause the preparation by
other appropriate persons or entities of, all such documents, reports, filings,
instruments, certificates and opinions that it shall be the duty of the Trust
to prepare, file or deliver pursuant to the Transaction Documents.  In furtherance of the foregoing, the
Administrator shall take all appropriate action that is the duty of the Trust
to take pursuant to the Transaction Documents.

 

(b)                                 Duties
with Respect to Takeout Commitments.  
The Administrator shall have full power and authority, acting alone, to
do or cause to be done any and all things that it may deem necessary and
desirable in connection with arranging for and executing the sale or
securitization of Mortgage Loans pursuant to a Takeout Commitment.  

 

(i)                                     With
respect to each sale to a Takeout Investor or securitization, the Administrator
agrees:

 

(A)                        to
cooperate fully with the TRS Sub-Trust, the Takeout Investor or any party to
any agreement executed in connection with such sale or securitization, with
respect to all reasonable requests and due diligence procedures and to use
commercially reasonable efforts to facilitate such sale or securitization, as
the case may be;

 

(B)                          to
promptly deliver to the Takeout Investor any and all additional documents
requested by such Takeout Investor to

 

2

 

enable such Takeout Investor
to make payment to UBS of the Takeout Proceeds;

 

(C)                          to cause
all Takeout Proceeds paid by the Takeout Investor to be paid to UBS in
accordance with UBS’s wire instructions;

 

(D)                         to
deliver a letter in the form of Exhibit K to the Loan Purchase Agreement
to UBS identifying Takeout Proceeds received by UBS from a Takeout Investor
which funds do not relate to Mortgage Loans purchased by UBS from the TRS
Sub-Trust; and

 

(E)                           to
indemnify and hold harmless the TRS Sub-Trust against liabilities, obligations,
losses and expenses arising from or in connection with such sale or
securitization [upon terms consistent with those found in the Trust Agreement].

 

(ii)                                  Upon
the sale to any Takeout Investor or securitization of any Mortgage Loan, the
rights and obligations of the Administrator hereunder with respect to such
Mortgage Loan shall be terminated on the effective date of such sale or
securitization.  

 

(c)                                  Performance
of Duties.

 

(i)                                     In
carrying out its duties under the Transaction Documents or any of its other
obligations under this Agreement, the Administrator may enter into transactions
or otherwise deal with any of its affiliates; provided, however,
that the terms of any such transactions or dealings shall be in accordance with
any written directions received from the Trust and shall be, in the
Administrator’s opinion, no less favorable to the Trust than would be available
from unaffiliated parties.

 

(ii)                                  In
carrying out any of its obligations under this Agreement, the Administrator may
act either directly or through agents, attorneys, accountants, independent
contractors and auditors and enter into agreements with any of them.

 

(d)                                 Non-Ministerial
Matters.

 

(i)                                     With
respect to matters that, in the reasonable judgment of the Administrator, are
non-ministerial, the Administrator shall not take any action pursuant to this
Agreement unless within a reasonable time before the taking of such action, the
Administrator shall have notified the Owner Trustee and UBS of the proposed
action and the Owner Trustee and, with respect to items (A) through (E) below,
UBS shall not have withheld consent or provided an alternative direction.  

 

3

 

If the Administrator does
not receive instructions from the Owner Trustee and/or UBS within ten (10)
Business Days after it has given notice, the Administrator may either take or
refrain from taking such action not inconsistent with this Agreement or the
Transaction Documents, and subject to Section 16 of this Agreement, as it shall
deem in the best interests of the Certificateholders.  For the purpose of the preceding paragraph, “non-ministerial
matters” shall include, without limitation:

 

(A)                              the
amendment of or any supplement to any of the Transaction Documents;

 

(B)                                the
initiation of any claim or lawsuit by the Trust and the compromise of any
action, claim or lawsuit brought by or against the Trust;

 

(C)                                the
involvement in any lawsuit or other legal action against UBS, including,
without limitation, consenting to the settlement of any third party claim by
UBS;

 

(D)                               the
removal of the Owner Trustee; and

 

(E)                                 any
action that the Trust is entitled but not obligated to take under the
Transaction Documents;

 

provided,
however, that notwithstanding the foregoing, the Administrator may, with
the consent of the Owner Trustee, take any action with respect to
non-ministerial matters that the Administrator, in its good faith judgment,
deems to be in the best interests of the Trust.  The Administrator shall be entitled to be reimbursed by the Trust
for any expenses or liabilities incurred without willful misconduct, bad faith
or negligence in connection with non-ministerial matters.

 

(ii)                                  Notwithstanding
anything to the contrary in this Agreement, the Administrator shall not be
obligated to, nor shall, take any action that the Trust directs the
Administrator not to take on its behalf.

 

(e)                                  Duties
with Respect to the Trust Agreement.

 

(i)                                     Except
as set forth below, in addition to the duties described above, the
Administrator shall perform such calculations and shall execute on behalf of
the Trust or shall prepare for execution by the Trust or the Owner Trustee or
shall cause the preparation by other appropriate Persons of all such documents,
reports, filings, instruments, certificates and opinions as it shall be the
duty of the Trust or the Owner Trustee to prepare, file or deliver pursuant to
the Transaction Documents or under state and federal tax and securities laws
with respect to the Trust, including, without limitation, pursuant to the
following sections of the Trust Agreement:

 

4

 

Sections 3.1, 3.2 (with respect to documentation and
information provided to Certificateholders), 5.6 (only with respect to the
preparation and filing of tax returns and providing copies thereof to the
Depositors, UBS and the Certificateholders, if needed), 9.1 (with respect to
supplements and amendments) and 11.1 (with respect to transfers of Owner Trust
Certificates).  In accordance with the
directions of the Trust or the Owner Trustee, the Administrator shall
administer, perform or supervise the performance of such other activities in
connection with the Trust Agreement as are not covered by any of the foregoing
provisions and as are expressly requested by the Trust or the Owner Trustee and
are reasonably within the capability of the Administrator.  The Owner Trustee agrees to provide promptly
to the Administrator any information in its possession requested by the
Administrator or necessary for the Administrator to perform its duties
hereunder.

 

(ii)                                  The
Administrator shall be responsible for promptly notifying the Owner Trustee and
the related Servicer in the event that any withholding tax is imposed on the
Trust’s payments (or allocations of income) to a Certificateholder.  Any such notice shall be in writing and
specify the amount of any withholding tax required to be withheld by such
Servicer.

 

(f)                                    Additional
Information to be Furnished to the Owner Trustee.  The Administrator shall furnish to the Owner Trustee from time to
time such additional information in the Administrator’s possession regarding
the Trust or the Transaction Documents as the Owner Trustee shall reasonably
request.

 

Section 3.                    Records.  The Administrator shall maintain appropriate
books of account and records relating to services performed hereunder, which
books of account and records shall be accessible for inspection by the Trust
and the Depositors at any time during normal business hours.

 

Section 4.                    Independence
of the Administrator.  For all
purposes of this Agreement, the Administrator shall be an independent
contractor and shall not be subject to the supervision of the Trust, the Owner
Trustee or UBS with respect to the manner in which each accomplishes the
performance of its respective obligations hereunder.  Unless expressly set forth herein or otherwise authorized by the
Trust, the Administrator shall not have the authority to act for or represent
the Trust, the Owner Trustee or UBS in any way and shall not otherwise be
deemed an agent of the Trust or UBS.

 

Section 5.                    No Joint
Venture.  Nothing contained in this
Agreement (i) shall constitute the Administrator and the Trust, the Owner
Trustee, UBS or the Depositors as members of any partnership, joint venture,
association, syndicate, unincorporated business or other separate entity, (ii)
shall be construed to impose any liability as such on any of them or (iii)
shall be deemed to confer on any of them any

 

5

 

express, implied or apparent authority to incur any
obligation or liability on behalf of the others.

 

Section 6.                    Other
Activities of the Administrator. 
Nothing herein shall prevent the Administrator or its respective
Affiliates from engaging in other businesses or, in its sole discretion, from
acting in a similar capacity as a administrator for any other person or entity
even though such person or entity may engage in business activities similar to
those of the Trust, the Owner Trustee or UBS.

 

Section 7.                    Term of
Agreement; Resignation and Removal of Administrator.

 

(a)                                  This
Agreement shall continue in force until the dissolution of the Trust, upon
which event this Agreement shall automatically terminate.

 

(b)                                 The
Administrator shall not resign from the obligations and duties hereby imposed
on it except upon the determination that its duties hereunder are no longer
permissible under applicable law.  Any
such determination pursuant to the preceding sentence permitting the
resignation of the Administrator shall be evidenced by an opinion of counsel to
such effect obtained at the expense of the Administrator and delivered to the
Trust.

 

(c)                                  Subject
to Section 7(e) of this Agreement, the Trust may remove the Administrator
without cause by providing the Administrator with at least sixty (60) days’
prior written notice.

 

(d)                                 Subject
to Section 7(e) of this Agreement, at the sole option of the Trust, the
Administrator may be removed immediately upon written notice of termination
from the Trust to the Administrator if any of the following events shall occur:

 

(i)                                     the
Administrator shall default in the performance of any of its duties under this
Agreement and, after notice of such default, shall not cure such default within
ten days (or, if such default cannot be cured in such time, shall not give
within ten days such assurance of cure as shall be reasonably satisfactory to
the Trust);

 

(ii)                                  a
court having jurisdiction in the premises shall enter a decree or order for
relief, and such decree or order shall not have been vacated within sixty (60)
days, in respect of the Administrator in any involuntary case under any
applicable bankruptcy, insolvency or other similar law now or hereafter in
effect or appoint a receiver, liquidator, assignee, custodian, trustee,
sequestrator or similar official for the Administrator or any substantial part
of its property or order the winding-up or liquidation of its affairs; or

 

(iii)                               the
Administrator shall commence a voluntary case under any applicable bankruptcy,
insolvency or other similar law now or hereafter in effect, shall consent to
the entry of an order for relief in an involuntary case under

 

6

 

any such law, or shall consent to the appointment of a
receiver, liquidator, assignee, trustee, custodian, sequestrator or similar official
for the Administrator or any substantial part of its property, shall consent to
the taking of possession by any such official of any substantial part of its
property, shall make any general assignment for the benefit of creditors or
shall fail generally to pay its debts as they become due.

 

The Administrator agrees
that if any of the events specified in clauses (ii) or (iii) of this Section
7(d) shall occur, it shall give written notice thereof to the Trust, the Owner
Trustee and UBS within seven (7) days after the happening of such event.

 

(e)                                  No
resignation or removal of the Administrator pursuant to this Section shall be
effective until (i) a successor Administrator shall have been appointed by UBS
(with the consent of the Owner Trustee which consent shall not be unreasonably
withheld) and (ii) such successor Administrator shall have agreed in writing to
be bound by the terms of this Agreement in the same manner as the Administrator
is bound hereunder.

 

Section 8.                    Action Upon
Termination, Resignation or Removal. 
Promptly upon the effective date of termination of this Agreement
pursuant to Section 7(a) of this Agreement or the resignation or removal
of the Administrator pursuant to Section 7(b), 7(c), 7(d) or 7(e) of this
Agreement, respectively, the Administrator shall be entitled to be paid all
fees and reimbursable expenses accruing to it to the date of such termination,
resignation or removal.  The
Administrator shall forthwith upon such termination pursuant to
Section 7(a) of this Agreement deliver to the Trust all property and
documents of or relating to the Notes or the Collateral then in the custody of
the Administrator.  In the event of the
resignation or removal of the Administrator pursuant to Section 7(b),
7(c), 7(d) or 7(e) of this Agreement, the Administrator shall cooperate with
the Trust and take all reasonable steps requested to assist the Trust in making
an orderly transfer of the duties of the Administrator in accordance with the
terms of this Agreement.

 

Section 9.                    Notices.  Any notice, report or other communication
given hereunder shall be in writing and addressed as follows: (a) in the case
of the Trust or the Owner Trustee, MortgageIT SPV I; c/o Wilmington Trust
Company, Rodney Square North, 1100 North Market Street, Wilmington, Delaware
19890-0001, Attention: Corporate Trust Administration; (b) in the case of
MortgageIT, Inc., 33 Maiden Lane, New York, NY 10038, Attention:  John R. Cuti and Michael A. Zigrossi,
facsimile number (212) 651-4674; (c) in the case of UBS, UBS Real Estate
Securities Inc., 1285 Avenue of the Americas, New York, New York 10019,
Attention: Robert Carpenter and George A. Mangiaracina, facsimile number (212)
713-9607; or as to each such Person such other address as any such party shall
have provided to the other parties in writing. 
Any notice required to be in writing hereunder shall be deemed given if
such notice is mailed by certified mail, postage prepaid, or hand-delivered to
the address of such party as provided above.

 

7

 

Section 10.Amendments.

 

(a)                                  This
Agreement may be amended from time to time by the parties hereto as specified
in this Section, provided that any amendment be accompanied by the written
consent of UBS and an opinion of counsel shall be furnished to UBS by the party
seeking such amendment stating that such amendment complies with the provisions
of this Section.

 

(b)                                 If
the purpose of the amendment is to prevent the imposition of any federal or
state taxes at any time that any Notes are outstanding (i.e. technical in
nature), it shall not be necessary to obtain the consent of any Noteholder, but
UBS shall be furnished with an opinion of counsel that such amendment is
necessary or helpful to prevent the imposition of such taxes and is not materially
adverse to any Noteholder.

 

Section 11.Successors and
Assigns.  This
Agreement may not be assigned by the Administrator unless such assignment is
previously consented to in writing by the Trust, UBS and the Owner
Trustee.  An assignment with such consent
and satisfaction, if accepted by the assignee, shall bind the assignee
hereunder in the same manner as the Administrator is bound hereunder.  Notwithstanding the foregoing, this
Agreement may be assigned by the Administrator without the consent of the
Trust, the Owner Trustee or UBS to a corporation or other organization that is
a successor (by merger, consolidation or purchase of assets) to the
Administrator; provided, however, that such successor
organization executes and delivers to the Trust, the Owner Trustee and UBS an
agreement in which such corporation or other organization agrees to be bound
hereunder by the terms of said assignment in the same manner as the
Administrator is bound hereunder. 
Subject to the foregoing, this Agreement shall bind any successors or
assigns of the parties hereto.

 

Section 12.GOVERNING LAW.  THIS AGREEMENT SHALL BE CONSTRUED IN
ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT REFERENCE TO ITS
CONFLICT OF LAW PROVISIONS, AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE
PARTIES HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS.

 

Section 13.Headings.  The section headings hereof have been
inserted for convenience of reference only and shall not be construed to affect
the meaning, construction or effect of this Agreement.

 

Section 14.Counterparts.  This Agreement may be executed in
counterparts, each of which when so executed shall together constitute but one
and the same agreement.

 

8

 

Section 15.Severability.  Any provision of this Agreement that is
prohibited or unenforceable in any jurisdiction shall be ineffective to the
extent of such prohibition or unenforceability without invalidating the
remaining provisions hereof and any such prohibition or unenforceability in any
jurisdiction shall not invalidate or render unenforceable such provision in any
other jurisdiction.

 

Section 16.Limitation of
Liability.

 

(a)                                  It
is expressly understood and agreed by the parties hereto that (i) this
Administration Agreement is executed and delivered by Wilmington Trust Company,
not individually or personally but solely as trustee of the Trust, in the
exercise of the powers and authority conferred and vested in it, (ii) each of
the representations, undertakings and agreements herein made on the part of the
Trust is made and intended not as personal representations, undertakings and
agreements by Wilmington Trust Company but is made and intended for the purpose
of binding only the Trust, (iii) nothing herein contained shall be construed as
creating any liability on Wilmington Trust Company, individually or personally,
to perform any covenant either expressed or implied contained herein, all such
liability, if any, being expressly waived by the parties hereto and by any Person
claiming by, through or under the parties hereto and (iv) under no
circumstances shall Wilmington Trust Company be personally liable for the
payment of any indebtedness or expenses of the Trust or be liable for the
breach or failure of any obligation, representation, warranty or covenant made
or undertaken by the Trust under this Administration Agreement or any other
related documents.

 

(b)                                 The
Administrator undertakes to perform only such duties and obligations as are set
forth in this Agreement, it being expressly understood by the Owner Trustee and
the Trust that there are no implied duties or obligations under this
Agreement.  The Administrator or any of
its respective officers, directors, employees or agents shall not be liable,
directly or indirectly, for any damages or expenses arising out of the services
performed under this Agreement other than damages which result from the
negligence, willful misconduct or bad faith of it or them.

 

Section 17.Third-Party
Beneficiary.  UBS, the
Noteholders and the Owner Trustee are third-party beneficiaries to this
Agreement and are entitled to the rights and benefits hereunder and may enforce
the provisions hereof as if they were a party hereto.

 

9

 

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

 

	
   

  	
  MORTGAGEIT SPV I

  
	
   

  	
   

  
	
   

  	
  By:

  	
  WILMINGTON TRUST
  COMPANY,

  not in its individual capacity but solely

  as Owner Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Janel R. Harvilla

  	
   

  
	
   

  	
  Name:

  	
  Janel R. Harvilla

  	
   

  
	
   

  	
  Title:

  	
  Financial Services
  Officer

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  MORTGAGEIT, INC.,

  as Administrator

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ JOHN R. CUTI

  	
   

  
	
   

  	
  Name:

  	
  John R. Cuti

  	
   

  
	
   

  	
  Title:

  	
  Secretary

  	
   

  
							

 

10Exhibit
10.22

 

 

TRUST AGREEMENT

 

dated as of August 4,
2004

 

among

 

MORTGAGEIT, INC.,

as a Depositor

 

and

 

MORTGAGEIT HOLDINGS,
INC.,

as a Depositor

 

and

 

WILMINGTON TRUST COMPANY,

as Owner Trustee

 

MORTGAGEIT SPV I

 

 

 

TABLE OF CONTENTS

 

	
  ARTICLE I DEFINITIONS

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE II AUTHORITY TO
  EXECUTE AND PERFORM VARIOUS DOCUMENTS; DECLARATION OF STATUTORY TRUST BY THE
  BANK

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION
  2.1.

  	
  Declaration
  of Statutory Trust by the Bank

  	
   

  
	
  SECTION
  2.2.

  	
  Transfer
  of Trust Estate to Owner Trustee

  	
   

  
	
  SECTION
  2.3.

  	
  Authority
  to Execute and Perform Various Documents

  	
   

  
	
  SECTION
  2.4.

  	
  Execution
  and Delivery of Owner Trust Certificates.

  	
   

  
	
  SECTION 2.5.

  	
  Activities of the
  Trust

  	
   

  
	
  SECTION
  2.6.

  	
  Status
  of Sub-Trust Estates and Sub-Trusts

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE III RECEIPT,
  DISTRIBUTION AND APPLICATION  OF
  INCOME FROM THE TRUST ESTATE

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 3.1.

  	
  Distribution of
  Payments

  	
   

  
	
  SECTION
  3.2.

  	
  Access
  to Certain Documentation and Information

  	
   

  
	
  SECTION
  3.3.

  	
  Compliance
  with Withholding Requirements

  	
   

  
	
  SECTION
  3.4.

  	
  Reimbursement
  for Cross-Payments

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE IV DUTIES OF THE
  OWNER TRUSTEE

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION
  4.1.

  	
  Notice
  of Certain Events: Action by the Owner Trustee

  	
   

  
	
  SECTION
  4.2.

  	
  Action
  Required Only if Owner Trustee is Indemnified

  	
   

  
	
  SECTION
  4.3.

  	
  No
  Duties Except as Specified in Agreement or Instructions

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE V THE OWNER TRUSTEE

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION
  5.1.

  	
  Acceptance
  of Trust and Duties

  	
   

  
	
  SECTION
  5.2.

  	
  Limited
  Representations or Warranties of the Owner Trustee

  	
   

  
	
  SECTION
  5.3.

  	
  Certain
  Duties and Responsibilities

  	
   

  
	
  SECTION 5.4.

  	
  Reliance:
  Advice of Counsel

  	
   

  
	
  SECTION
  5.5.

  	
  Not
  Acting in Individual Capacity

  	
   

  
	
  SECTION
  5.6.

  	
  Books and
  Records; Tax Election

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE VI COMPENSATION,
  REIMBURSEMENT AND  INDEMNIFICATION OF
  THE OWNER TRUSTEE

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION
  6.1.

  	
  Compensation
  of the Owner Trustee

  	
   

  
	
  SECTION
  6.2.

  	
  Reimbursement
  and Indemnification of the Owner Trustee

  	
   

  
	
  SECTION 6.3.

  	
  Not
  Obligations of the Trust

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE VII DISSOLUTION
  AND TERMINATION OF TRUST

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 7.1.

  	
  Termination

  	
   

  

 

i

 

	
  SECTION
  7.2.

  	
  Further
  Assurances by the Owner Trustee upon Termination.

  	
   

  
	
  SECTION
  7.3.

  	
  Insolvency
  of a Certificateholder

  	
   

  
	
  SECTION 7.4.

  	
  Event of Default

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE VIII SUCCESSOR
  OWNER TRUSTEES, CO-OWNER TRUSTEES  AND
  SEPARATE OWNER TRUSTEES

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION
  8.1.

  	
  Resignation
  of the Owner Trustee; Appointment of Successor

  	
   

  
	
  SECTION
  8.2.

  	
  Co-Trustees
  and Separate Trustee

  	
   

  
	
  SECTION
  8.3.

  	
  Notice

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE IX SUPPLEMENTS AND
  AMENDMENTS

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION 9.1.

  	
  Supplements and
  Amendments

  	
   

  
	
  SECTION 9.2.

  	
  Limitation on
  Amendments

  	
   

  
	
  SECTION
  9.3.

  	
  Additional
  Amendment Provisions

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE X REPRESENTATIONS,
  WARRANTIES AND COVENANTS OF THE DEPOSITOR

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION
  10.1.

  	
  Representations
  and Warranties of the Depositor

  	
   

  
	
  SECTION 10.2.

  	
  Accrued Interest,
  Etc.

  	
   

  
	
  SECTION
  10.3.

  	
  Additional
  Covenants of the Depositors

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE XI TRANSFER OF
  INTEREST OF THE OWNER TRUST CERTIFICATES

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION
  11.1.

  	
  Registration
  of Transfer and Exchange of Owner Trust Certificates

  	
   

  
	
  SECTION
  11.2.

  	
  Mutilated,
  Destroyed, Lost or Stolen Owner Trust Certificates

  	
   

  
	
  SECTION 11.3.

  	
  Persons Deemed
  Owners

  	
   

  
	
  SECTION
  11.4.

  	
  Access to
  Names and Addresses

  	
   

  
	
  SECTION
  11.5.

  	
  Actions of
  Certificateholders

  	
   

  
	
  SECTION 11.6.

  	
  Transferee’s
  Agreement

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE XII
  MISCELLANEOUS

  	
   

  
	
   

  	
   

  	
   

  
	
  SECTION
  12.1.

  	
  No
  Legal Title to Trust Estate in the Certificateholder

  	
   

  
	
  SECTION
  12.2.

  	
  Action
  by the Owner Trustee is Binding

  	
   

  
	
  SECTION
  12.3.

  	
  Limitation
  on Rights of Others

  	
   

  
	
  SECTION 12.4.

  	
  Notices

  	
   

  
	
  SECTION 12.5.

  	
  Severability

  	
   

  
	
  SECTION
  12.6.

  	
  Limitation
  on the Depositors’ and the Certificateholders’ Respective Liability

  	
   

  
	
  SECTION 12.7.

  	
  Separate
  Counterparts

  	
   

  
	
  SECTION 12.8.

  	
  Successors and
  Assigns

  	
   

  
	
  SECTION 12.9.

  	
  Headings

  	
   

  
	
  SECTION 12.10.

  	
  Governing Law

  	
   

  
	
  SECTION 12.11.

  	
  Administration
  of Trust.

  	
   

  
	
  SECTION
  12.12.

  	
  Performance
  by the Depositor or the Administrator

  	
   

  
	
  SECTION 12.13.

  	
  No Implied Waiver

  	
   

  

 

ii

 

	
  SECTION 12.14.

  	
  Third Party
  Beneficiary

  	
   

  
	
  SECTION 12.15.

  	
  References

  	
   

  
	
  SECTION 12.16.

  	
  UBS Cash Account

  	
   

  
	
   

  	
   

  
	
  Exhibit A-1

  	
  Form of
  REIT Certificate

  	
   

  
	
   

  	
   

  	
   

  
	
  Exhibit A-2

  	
  Form of TRS
  Certificate

  	
   

  
	
   

  	
   

  	
   

  
	
  Exhibit B-1

  	
  Form of
  Transferor Certificate

  	
   

  
	
   

  	
   

  	
   

  
	
  Exhibit B-2

  	
  Form of
  Transferee Certificate

  	
   

  
	
   

  	
   

  	
   

  
	
  Exhibit C-1

  	
  Form of
  Transfer Affidavit

  	
   

  
	
   

  	
   

  	
   

  
	
  Exhibit C-2

  	
  Form of
  Transferor Affidavit

  	
   

  
				

 

iii

 

TRUST AGREEMENT

 

THIS TRUST
AGREEMENT, dated as of August 4, 2004 (the “Agreement”), by and among
MORTGAGEIT, INC., a New York corporation (“MortgageIT”), MORTGAGEIT
HOLDINGS, INC., a Maryland corporation (“MortgageIT Holdings”, and
together with MortgageIT, the “Depositors” (and each individually, a “Depositor”)),
and WILMINGTON TRUST COMPANY, a Delaware banking corporation acting hereunder
not in its individual capacity but solely as Owner Trustee (the “Owner
Trustee”).

 

W I T N E S S E T H:

 

WHEREAS, the
Depositors desire to form the trust to be created hereby (the “Trust”),
which trust shall have two series (as such term is used in Section 3806(b)(2)
of the Statutory Trust Statute) and such series shall be referred to herein as
“Sub-Trusts”.

 

WHEREAS,
MortgageIT Holdings, as a Depositor, desires to form the sub-trust created
hereby (the Trust acting with respect to such Sub-Trust, the “REIT Sub-Trust”)
for the purpose of (i) accepting from such Depositor, and holding for the
benefit of the holders of the REIT Certificates, the REIT Trust Estate; (ii)
issuing pursuant to a Note Purchase and Security Agreement, dated as of the
date hereof between the REIT Sub-Trust, UBS and each Person party thereto as a
Purchaser or a Noteholder (as amended from time to time, the “Note Purchase
Agreement”) promissory notes (the “Notes”), secured by, among other
things, a lien on the certain mortgage loans pledged pursuant to the Note
Purchase Agreement; (iii) issuing certificates evidencing beneficial ownership
interests in the REIT Sub-Trust (such certificates, the “REIT Certificates”);
(iv) consummating certain transactions contemplated by, and performing under,
the Trust Documents and (v) engaging in certain activities incidental to
the foregoing.

 

WHEREAS,
MortgageIT, as a Depositor, desires to form the Sub-Trust to be created hereby
(the Trust acting with respect to such Sub-Trust, the “TRS Sub-Trust”)
for the purpose of (i) accepting from the Depositor, and holding for the
benefit of the holders of the TRS Certificates, the TRS Trust Estate; (ii)
entering into a Mortgage Loan Repurchase Agreement, dated as of the date hereof
between the TRS Sub-Trust and UBS (as amended from time to time, the “Loan
Repurchase Agreement”), a Mortgage Loan Purchase Agreement, dated as of the
date hereof between the TRS Sub-Trust and UBS (as amended from time to time,
the “Loan Purchase Agreement”), and a Mortgage Loan Participation
Agreement, dated as of the date hereof between the TRS Sub-Trust and UBS (as amended
from time to time, the “Loan Participation Agreement”), (iii) issuing
certificates evidencing beneficial ownership interests in the TRS Sub-Trust
(such certificates, the “TRS Certificates” and, together with the REIT
Certificates, the “Owner Trust Certificates” or the “Certificates”),
(iv) consummating certain transactions contemplated by, and performing under,
the Trust Documents and (v) engaging in certain activities incidental to
the foregoing.

 

WHEREAS,
Wilmington Trust Company, a Delaware banking corporation, is willing to act as
Owner Trustee hereunder (in its individual capacity, the “Bank”, and
solely in its capacity as Owner Trustee hereunder, with its successors in
interest in such capacity and its permitted assigns, the “Owner Trustee”)
and to accept the Trust created hereby.

 

 

NOW, THEREFORE, in
consideration of the premises and of the mutual agreements herein contained and
of other good and valuable consideration, the receipt and sufficiency of which
are hereby acknowledged, the parties hereto agree as follows:

 

ARTICLE I

 

DEFINITIONS

 

All capitalized
terms used herein and not otherwise defined, unless the context otherwise
requires, shall have the meanings set forth below or in the Definitions List
attached as Schedule 1 to the Loan Sale Agreement, dated as of August 4, 2004,
among MortgageIT, MortgageIT Holdings and the Trust.  In the event
that a capitalized term used herein is defined both in this Agreement and in
the Definitions List, the definition appearing herein shall control.

 

“Agreement”
shall mean this Trust Agreement, as the same may be amended or supplemented
from time to time.

 

“Applicant”
shall have the meaning specified in Section 11.4 of this Agreement.

 

“Bank”
shall have the meaning assigned to that term in the preamble above.

 

“Officers’
Certificate” shall mean a certificate signed on behalf of the applicable
entity by two officers, one of whom shall be the Chairman of the Board, the
Vice Chairman of the Board, the President, any Vice President or Managing
Director, an Assistant Vice President or any other authorized officer (however
denominated) and the other of which shall be by the Treasurer, the Secretary,
one of the Assistant Treasurers or Assistant Secretaries, or, in either case,
another officer customarily performing functions similar to those performed by
any of the above designated officers or, with respect to a particular matter,
any other officer to whom such matter is referred because of such officer’s
knowledge of and familiarity with the particular subject; provided, however,
that with respect to the Trust, such certificate may be signed on behalf of the
Trust by an authorized signatory of the Owner Trustee or the Administrator.

 

“Plan”
shall have the meaning specified in Section 11.1(c) of this Agreement.

 

“Record Date”
shall mean, with respect to the Owner Trust Certificates for any Payment Date,
the last Business Day of the month immediately preceding such Payment Date.

 

“Responsible
Officer” shall mean any officer of the Owner Trustee assigned to the Corporate
Trust Office with direct responsibility for the administration of this
Agreement and also, with respect to a particular matter, any other officer to
whom such matter is referred because of such officer’s knowledge of and
familiarity with the particular subject, and, in the case of any certification
required to be signed by a Responsible Officer, such an officer whose name
appears on a list of corporate trust officers furnished to each Depositor and
UBS by the Owner Trustee, as such list may from time to time be amended.

 

“Transfer”
shall mean any direct or indirect transfer or other form of assignment of any
Owner Trust Certificate.

 

2

 

ARTICLE II

 

AUTHORITY TO EXECUTE AND
PERFORM VARIOUS DOCUMENTS;

DECLARATION OF STATUTORY TRUST BY THE BANK

 

SECTION 2.1.        Declaration
of Statutory Trust by the Bank.  The Trust will be known as “MortgageIT SPV I”, in which name the
Owner Trustee may conduct the affairs of the Trust.  Wilmington Trust Company is hereby appointed to hold and agrees
to hold the Trust Estate as Owner Trustee in trust upon the terms and
conditions and for the use and benefit of the Certificateholders as herein set
forth.

 

It is the
intention of the parties hereto that the trust created by this Agreement
constitute a “statutory trust” under the Statutory Trust Statute (defined
below) and that this Agreement constitute the governing instrument of such
statutory trust.  This Declaration of
Statutory Trust is not intended to create a partnership, a joint-stock
association, a “taxable mortgage pool” or any association taxable as a
corporation for federal income tax purposes. 
On the date hereof, the Owner Trustee shall file the Certificate of
Trust required by Section 3810(a) of the Statutory Trust Statute, in the
office of the Secretary of State of the State of Delaware (the “Certificate
of Trust”).  It is the further
intention of the parties that the trust created under this Agreement be a
“series trust” within the meaning of Section 3806(b)(2) of the Statutory  Trust Statute and have two series of the
Trust within the meaning of Section 3806(b)(2) of the Statutory Trust Statute
(each a “Sub-Trust” of the Trust). 
As such, separate and distinct records shall be maintained by the
Administrator on behalf of the Trust for each Sub-Trust, and each Sub-Trust
shall be held and accounted for by the Administrator on behalf of the Trust
separately from the other Sub-Trust. 
The debts, liabilities, obligations and expenses incurred, contracted
for, or otherwise existing with respect to a particular Sub-Trust shall be
enforceable against the related Sub-Trust Estate only and not against the
assets of the Trust generally, or the assets of the other Sub-Trust.  None of the debts, liabilities, obligations
and expenses incurred, contracted for, or otherwise existing with respect to a
particular Sub-Trust shall be enforceable against the assets of the other
Sub-Trust.  Effective as of the date
hereof, the Owner Trustee shall have all the rights, powers and duties set forth
herein and in the Statutory Trust Statute with respect to accomplishing the
purposes of the Trust.  For purposes of
this Declaration of Statutory Trust, “Statutory Trust Statute” means
Chapter 38 of Title 12 of the Delaware Code, 12 Del. C. § 3801 et seq.
as the same may be amended or supplemented from time to time.

 

SECTION 2.2.        Transfer
of Trust Estate to Owner Trustee.  (a) 
Effective as of the date hereof, MortgageIT Holdings hereby assigns,
transfers, and otherwise conveys to, and deposits with, the REIT Sub-Trust, the
REIT Trust Estate, and MortgageIT hereby assigns, transfers, and otherwise
conveys to, and deposits with, the TRS Sub-Trust, the TRS Trust Estate, such
conveyances to be made in exchange for the related Owner Trust Certificates.

 

In connection with
such transfer and assignment, MortgageIT shall deliver to, and deposit with the
TRS Sub-Trust, and MortgageIT Holdings shall deliver to, and deposit with the
REIT Sub-Trust, the documents or instruments with respect to each Mortgage Loan
so transferred and assigned in accordance with Section 2 of the Custodial
Agreement.

 

3

 

(b)           The
conveyance of the assets constituting the related TRS Sub-Trust Estate by
MortgageIT as contemplated hereby is absolute and is intended by the parties to
constitute a sale of the assets constituting the TRS Sub-Trust Estate by
MortgageIT to the TRS Sub-Trust.  The
conveyance of the assets constituting the related REIT Sub-Trust Estate by
MortgageIT Holdings as contemplated hereby is absolute and is intended by the
parties to constitute a sale of the assets constituting the REIT Sub-Trust
Estate by MortgageIT Holdings to the REIT Sub-Trust.  Further, it is not intended that either conveyance be deemed a
pledge of security for a loan.  If
either conveyance is deemed to be a pledge of security for a loan, however,
each Depositor intends that the rights and obligations of the parties to such
loan shall be established pursuant to the terms of this Agreement.  MortgageIT also intends and agrees that, in
such event, (i) this Agreement shall constitute a security agreement under
applicable law, and (ii) MortgageIT shall be deemed to have granted to the TRS
Sub-Trust a first priority security interest in such Depositor’s entire right,
title and interest in and to the assets constituting the TRS Sub-Trust
Estate.  MortgageIT Holdings also
intends and agrees that, in such event, (i) this Agreement shall constitute a
security agreement under applicable law, and (ii) MortgageIT Holdings
shall be deemed to have granted to the REIT Sub-Trust a first priority security
interest in such Depositor’s entire right, title and interest in and to the
assets constituting the REIT Sub-Trust Estate. 
Each Depositor shall, to the extent consistent with this Agreement, take
such reasonable actions as may be necessary to ensure that, if this Agreement
were deemed to create a security interest in the related Sub-Trust Estate, such
security interest would be a perfected security interest of first priority
under applicable law and will be maintained as such throughout the life of this
Agreement.

 

(c)           The
TRS Sub-Trust hereby acknowledges the receipt by it of the TRS Sub-Trust Estate
and such other documents and instruments referenced above, and declares that it
holds and will hold the TRS Sub-Trust Estate and such documents and instruments
and that it holds and will hold all other assets and documents to be included
in the TRS Sub-Trust Estate, in trust for the exclusive use and benefit of the
respective present and future Holders of the TRS Certificates.  The REIT Sub-Trust hereby acknowledges the
receipt by it of the REIT Sub-Trust Estate and such other documents and
instruments referenced above, and declares that it holds and will hold the REIT
Sub-Trust Estate and such documents and instruments and that it holds and will
hold all other assets and documents to be included in the REIT Sub-Trust
Estate, in trust for the exclusive use and benefit of the respective present
and future Holders of the REIT Certificates.

 

(d)           Except
as expressly provided in Section 7.1, neither Depositor nor any
Certificateholder shall be able to revoke the Trust established hereunder.  Except as provided in Sections 2.3, and 7.1
hereof, the Owner Trustee shall not assign, sell, dispose of or transfer any
interest in, nor may either Depositor or any Certificateholder withdraw from
the Trust, the assets constituting the Trust Estate.

 

(e)           Pursuant
to Section 2.01 of the Loan Sale Agreement, MortgageIT, as a seller under the
Loan Sale Agreement, may make capital contributions to the TRS Sub-Trust in
connection with each sale of TRS Mortgage Loans and MortgageIT Holdings, as a
seller under the Loan Sale Agreement, may make capital contributions to the
REIT Sub-Trust in connection with each sale of REIT Mortgage Loans, in each
case, in an amount specified in Section 2.01 of the Loan Sale Agreement.

 

4

 

SECTION 2.3.        Authority
to Execute and Perform Various Documents.  The Trust shall have the power and
authority, and each Depositor hereby authorizes and directs the Owner Trustee
on behalf of the Trust or (in the case of tax administration matters, its
agent), (i) to execute and deliver the Trust Documents to which the Trust is a
party and all other agreements, documents, instruments and certificates
contemplated to be executed and delivered by the Trust pursuant to the Trust
Documents, including, but not limited to the letter agreement dated as of
August 4, 2004 from GMAC Mortgage Corporation and acknowledged by the Trust,
MortgageIT, MortgageIT Holdings and UBS Real Estate Securities, Inc. and,
pursuant to the terms of the Note Purchase Agreement, to execute, issue and
deliver to UBS the Notes in the form provided to the Owner Trustee by the Administrator;
(ii) to execute and deliver the REIT Certificates to MortgageIT Holdings and
the TRS Certificates to MortgageIT; (iii) as and to the extent provided in the
Note Purchase Agreement, to pledge the REIT Trust Estate as security for
repayment of the Notes and, in connection therewith, to deliver (or cause to be
delivered) to UBS each of the documents and instruments provided for in the
Note Purchase Agreement; (iv) as and to the extent provided in the Loan
Repurchase Agreement, the Loan Purchase Agreement and the Loan Participation
Agreement, to sell the TRS Trust Estate under such agreements and, in
connection therewith, to deliver (or cause to be delivered) to UBS each of the
documents and instruments provided for in the Loan Repurchase Agreement, the
Loan Purchase Agreement and the Loan Participation Agreement; (v) to take
whatever action shall be required to be taken by the Trust by the terms of, and
exercise its rights and perform its duties under, each of the documents,
agreements, instruments and certificates referred to in clauses (i) through
(iv) above as set forth in such documents, agreements, instruments and
certificates and (vi) subject to the terms of this Agreement, to take such
other action in connection with the foregoing as the Certificateholders may
from time to time direct; provided, however, that the Owner
Trustee shall have no duty to perform the obligations of the Trust except as
expressly set forth in this Agreement and provided, further, that upon written
notice from UBS of the occurrence and continuation of a default or an Event of
Default under any of the Facility Agreements, the Owner Trustee will no longer
take direction from the Certificateholders and shall instead take direction
from UBS until written notice from UBS to the contrary.  The parties agree that compliance by the
Owner Trustee with instruction from UBS as contemplated under this Trust
Agreement shall not constitute a violation of the Owner Trustee’s duties to the
Certificateholders.  Further, in no
event shall the Owner Trustee be deemed to owe any fiduciary duties to UBS.

 

SECTION 2.4.        Execution
and Delivery of Owner Trust Certificates.  (a) The Owner Trustee on behalf of the Trust
shall, on the date hereof execute and cause to be authenticated and delivered
to or upon the order of (i) MortgageIT Holdings, as a Depositor, the REIT
Certificates evidencing the entire beneficial ownership of the REIT Sub-Trust
and (ii) MortgageIT, as a Depositor, the TRS Certificates evidencing the
entire beneficial ownership of the TRS Sub-Trust.  The Owner Trust Certificates shall evidence separate beneficial
ownership interests in each of the two Sub-Trusts of the Trust and the related
Sub-Trust Estates.  The rights of the
Certificateholders to receive distributions from the proceeds of the Trust in
respect of the Owner Trust Certificates shall be as set forth in this
Agreement.

 

(b)           The
Owner Trust Certificates will be substantially in the forms attached hereto as Exhibit
A-1 and Exhibit A-2; provided, however, that any of
the Owner Trust Certificates may at the request of any Certificateholder be
issued with appropriate insertions, omissions, substitutions and variations,
and may have imprinted or otherwise reproduced thereon

 

5

 

such legend or legends, consistent with the provisions of this
Agreement, as may be required to comply with any law or with rules or
regulations pursuant thereto, or with the rules of any securities market in
which the Owner Trust Certificates are admitted to trading, or to conform to
general usage.

 

(c)           Each
Owner Trust Certificate may be printed or be in typewritten or similar form,
and each Owner Trust Certificate shall, upon original issue, be executed by the
Owner Trustee and authenticated by the Certificate Registrar and delivered to
or upon the order of the related Depositor. 
All Owner Trust Certificates shall be executed by manual signature on
behalf of the Trust by an authorized officer of the Owner Trustee, not
individually, but solely as Owner Trustee hereunder. Owner Trust Certificates
bearing the signatures of individuals who were at any time the proper officers
of the Owner Trustee shall bind the Trust, notwithstanding that such
individuals or any of them have ceased to hold such offices prior to the
delivery of such Owner Trust Certificates or did not hold such offices at the
date of such Owner Trust Certificates. 
No Owner Trust Certificates shall be entitled to any benefit under this
Agreement, or be valid for any purpose, unless there appears on such Owner
Trust Certificate a certificate of authentication in the form set forth on the
signature page of the form of Owner Trust Certificates attached as Exhibit A,
executed by the Certificate Registrar by manual signature, and such certificate
of authentication upon any Owner Trust Certificate shall be conclusive
evidence, and the only evidence, that such Owner Trust Certificate has been
duly authenticated and delivered hereunder. 
All Owner Trust Certificates shall be dated the date of their authentication.

 

SECTION 2.5.        Activities
of the Trust.  It
is the intention of the parties hereto that the Trust shall not engage in any
business or activities other than in connection with, or relating to, the
purposes specified in Section 2.3. The operations of the Trust will be
conducted in accordance with the following standards (and each Depositor hereby
agrees to use its best efforts to cause the operations of the Trust to be
conducted in accordance herewith):

 

(i)            The Trust will observe all
procedures required by this Agreement.

 

(ii)           Except as otherwise provided in
Sections 4.1 and 4.3, the business and affairs of the Trust will be managed by
or under the direction of the Administrator or the Owner Trustee.  Except as otherwise expressly provided in
this Agreement and in the case of MortgageIT acting as the Administrator,
neither Depositor, in such capacity, will have any authority to act for, or to
assume any obligation or responsibility on behalf of, the Trust.

 

(iii)          The Administrator will keep for each Sub-Trust
correct and complete books and records of accounts and minutes of the meetings
and other proceedings of such Sub-Trust, separate from those of the other
Sub-Trust, each Depositor or any subsidiary, affiliate or separate account of
each Depositor.  Any such resolutions,
agreements and other instruments will be continuously maintained by the
Administrator as official records of the Trust.

 

(iv)          Each of the Depositors and each
Sub-Trust will provide for its own operating expenses and liabilities from its
own funds.  General overhead and
administrative expenses of each Sub-Trust will not be charged or otherwise
allocated to

 

6

 

either Depositor (except indirectly, insofar as such
Depositor owns the respective Owner Trust Certificate) or the other Sub-Trust
and such expenses of either Depositor will not be charged or otherwise
allocated to the Trust or either Sub-Trust.

 

(v)           Each Sub-Trust will conduct its
business under names or tradenames so as not to mislead others as to the
identity of the Trust and each Sub-Trust. 
Without limiting the generality of the foregoing, all oral and written
communications, including letters, invoices, contracts, statements, and applications
will be made solely in the name of the applicable Sub-Trust if related to a
Sub-Trust.  The Depositors, the Trust
and each Sub-Trust will have separate stationary and other business forms.

 

(vi)          There will be no guarantees made by
the Trust or either Sub-Trust with respect to obligations of either
Depositor.  There will not be any
indebtedness relating to borrowings or loans between the Trust or either
Sub-Trust and either Depositor.

 

(vii)         The TRS Sub-Trust will act solely in
its name and through its or the Owner Trustee’s duly authorized officers or
agents in the conduct of its business. 
The TRS Sub-Trust will not: (a) operate or purport to operate as an
integrated, single economic unit with respect to MortgageIT or any other
affiliated or unaffiliated entity; (b) seek or obtain credit or incur any
obligation to any third party based upon the assets of MortgageIT; or (c)
induce any such third party to reasonably rely on the creditworthiness of
MortgageIT or any other affiliated or unaffiliated entity.  The REIT Sub-Trust will act solely in its
name and through its or the Owner Trustee’s duly authorized officers or agents
in the conduct of its business.  The
REIT Sub-Trust will not: (a) operate or purport to operate as an
integrated, single economic unit with respect to MortgageIT Holdings or any
other affiliated or unaffiliated entity; (b) seek or obtain credit or incur any
obligation to any third party based upon the assets of MortgageIT Holdings; or
(c) induce any such third party to reasonably rely on the creditworthiness of
MortgageIT Holdings or any other affiliated or unaffiliated entity.

 

(viii)        The Trust will maintain its principal
place of business in the State of Delaware.

 

(ix)           The Trust, each Sub-Trust and each
Depositor shall keep separate their respective funds and other assets and shall
not commingle such funds and other assets with those of any other Affiliates
thereof.

 

(x)            If and to the extent applicable, the
Administrator shall cause the preparation of financial statements of each
Sub-Trust that are separate from those of each Depositor and any other
Affiliates (although it may be presented as part of the consolidated financial
statements of an Affiliate).

 

(xi)           The Trust will not engage in any
transaction with an Affiliate on any terms other than would be obtained in an
arm’s-length transaction with a non-Affiliate.

 

SECTION 2.6.        Status
of Sub-Trust Estates and Sub-Trusts.  The Holders of the Owner Trust Certificates
hereby acknowledge and agree that, for purposes of the Bankruptcy Code, each
Sub-Trust Estate shall be considered separate and distinct property of the
related

 

7

 

Sub-Trust and, further, that each Sub-Trust shall be considered as
having no interest of any type in the property subject to the Lien of the other
Sub-Trust (including its related Sub-Trust Estate).  The Holders further agree that the foregoing shall be considered
a “subordination agreement” within the meaning of Section 510 of the Bankruptcy
Code.

 

ARTICLE III

 

RECEIPT, DISTRIBUTION AND
APPLICATION 

OF INCOME FROM THE TRUST ESTATE

 

SECTION 3.1.        Distribution
of Payments. 
Pursuant to the terms of the Trust Documents to which the TRS Sub-Trust
is a party, after payment by the TRS Sub-Trust of all amounts owed to the
Noteholders, UBS, the TRS Servicer, the Master Servicer and, pursuant to
Section 3.4 hereof, the REIT Sub-Trust and MortgageIT Holdings on each Payment
Date, any remaining funds in the Blocked Account and in the Collection Account
will be remitted by the TRS Servicer in the following order of priority:  (i) to reimburse or indemnify the Owner
Trustee for expenses and other liabilities incurred by and reimbursable to the
Owner Trustee, pursuant to Article VII hereunder, except as otherwise provided
in such article and (ii) to make payments on the TRS Certificates in the amount
of any remaining funds.  Upon request,
the Certificate Registrar shall provide the TRS Servicer with the identity of
each Certificateholder with respect to the related TRS Sub-Trust (with
accompanying wiring instructions) three (3) Business Days prior to each such
Payment Date.  Pursuant to the terms of
the Trust Documents to which the REIT Sub-Trust is a party, after payment by
the REIT Sub-Trust of all amounts owed to UBS, the REIT Servicer, the Master
Servicer and, pursuant to Section 3.4 hereof, the TRS Sub-Trust and MortgageIT
on each Payment Date, any remaining funds in the Collection Account will be
remitted by the REIT Servicer in the following order of priority:  (i) to reimburse or indemnify the Owner
Trustee for expenses and other liabilities incurred by and reimbursable to the
Owner Trustee, pursuant to Article VII hereunder, except as otherwise provided
in such article and (ii) to make payments on the REIT Certificates in the
amount of any remaining funds.  Upon
request, the Certificate Registrar shall provide the REIT Servicer with the
identity of each Certificateholder with respect to the related REIT Sub-Trust
(with accompanying wiring instructions) three (3) Business Days prior to each
such Payment Date.

 

SECTION 3.2.        Access
to Certain Documentation and Information.  The Owner Trustee shall provide to the
Certificateholders of the TRS Certificates access to all the reports, documents
and records of the TRS Sub-Trust maintained by the Owner Trustee in respect of
its duties hereunder.  The Owner Trustee
shall provide to the Certificateholders of the REIT Certificates access to all
the reports, documents and records of the REIT Sub-Trust maintained by the
Owner Trustee in respect of its duties hereunder.  In each case, such access being afforded without charge but only
upon reasonable written request and during normal business hours at offices
designated by the Owner Trustee.

 

SECTION 3.3.        Compliance
with Withholding Requirements.  In the event that the Trust is required (whether on liquidation
of the Trust or otherwise) to make payments to the Certificateholders,
notwithstanding any other provisions of this Agreement, the Trust shall comply
with all federal withholding requirements with respect to payments to the
Certificateholders that each Servicer, as paying agent, reasonably believes are
applicable under

 

8

 

the Code.  The consent of the
Certificateholder shall not be required for any such withholding.  The parties hereto, and each
Certificateholder, understand and agree that the Trust shall not be required to
gross up any such payments for the amount of such withholding (or any other
amounts).

 

SECTION 3.4.        Reimbursement
for Cross-Payments. 
(a)  It is the intention of MortgageIT that all TRS Related
Obligations to the extent owing to UBS, whether in its capacity as principal or
as Agent (either for itself under any Facility Agreement or for any other
Purchaser or Noteholder under the Note Purchase Agreement), be satisfied by
either the TRS Trust Estate (including the proceeds thereof), or, to the extent
provided for in the Transaction Documents, by MortgageIT, to the extent owing
to UBS, whether in its capacity as principal or as Agent (either for itself
under any Facility Agreement or for any other Purchaser or Noteholder under the
Note Purchase Agreement).  Similarly, it
is the intention of MortgageIT Holdings that all REIT Related Obligations be
satisfied by either the REIT Trust Estate (including the proceeds thereof), or,
to the extent provided for in the Transaction Documents, by MortgageIT
Holdings.

 

(b)           Notwithstanding
the foregoing, and to take full opportunity of the affiliate relationship
between MortgageIT and MortgageIT Holdings, each of such companies have agreed
to make, and such company has permitted its related Sub-Trust to agree to make,
Cross-Payments for the benefit of the other, but only to the extent that
MortgageIT and the TRS Sub-Trust on the one hand, and MortgageIT Holdings and
the REIT Sub-Trust on the other hand, have not timely fulfilled their
respective obligations as set forth in the Transaction Documents and on the
further terms set forth in the Transaction Documents.

 

(c)           Consistent
with each of the two preceding paragraphs, each of MortgageIT and the TRS
Sub-Trust, on the one hand, and MortgageIT Holdings and the REIT Sub-Trust, on
the other hand, agree that, to the extent that one party has made a
Cross-Payment on behalf of the other party, that the amount of such
Cross-Payment shall immediately give rise to a reimbursement obligation from
the party on whose behalf such Cross-Payment was made to the party funding such
Cross-Payment, which such reimbursement obligation shall be payable on demand
and accrue interest at an arm’s-length rate as may be specified between the
parties at the time.

 

(d)           For
convenience, the parties may agree to set-off outstanding Cross-Payment
liabilities, if Cross-Payments shall have been funded by each of MortgageIT
and/or the TRS Sub-Trust on the one hand and by MortgageIT Holdings and/or the
REIT Sub-Trust on the other.

 

ARTICLE IV

 

DUTIES OF THE OWNER
TRUSTEE

 

SECTION 4.1.        Notice
of Certain Events: Action by the Owner Trustee.  (a)  Whenever the Owner Trustee,
on behalf of the REIT Sub-Trust or the TRS Sub-Trust, is requested or, as to
any particular matter, notified of its authority, by any Person, to take any
action or to give any consent, approval or waiver that it is entitled to take
or give on behalf of the REIT Sub-Trust or the TRS Sub-Trust in such capacity, the
Owner Trustee shall promptly

 

9

 

provide written notice to the Certificateholders of the REIT
Certificates or the Certificateholders of the TRS Certificates, as the case may
be, of such request or notice in such detail as is made available to it.

 

(b)           Subject
to the Owner Trustee’s rights in this Agreement to be indemnified for its acts
and omissions with respect to matters concerning the Trust Documents or the
Trust Estate, the Owner Trustee shall take or refrain from taking such action
with respect to a Sub-Trust as the Certificateholders entitled to a majority of
the Voting Rights with respect to such Sub-Trust shall so direct in writing,
with the written consent of UBS, or (ii) upon written notice from UBS that a
default or an Event of Default has occurred and is continuing under any of the
Facility Agreements to which such Sub-Trust is a party as UBS shall so direct
in writing until written notice from UBS to the contrary.  With respect to matters affecting a
Sub-Trust, the Owner Trustee may, from time to time, request in writing
instructions from the Certificateholders with respect to such Sub-Trust and
shall request in writing instructions from the Certificateholders with respect
to such Sub-Trust if the Owner Trustee receives notice that a default or an
Event of Default shall have occurred and is continuing under the Administration
Agreement or any of the Facility Agreements. 
With respect to matters concerning the Trust generally, and not a
particular Sub-Trust, a majority of the Certificateholders of each Sub-Trust,
acting as a separate class, shall exercise the foregoing rights.  If the Owner Trustee in good faith follows
any written instructions it receives pursuant hereto, the Owner Trustee shall not
be liable to the Certificateholders or any other Person on account of its
action or inaction.  If the Owner
Trustee has not received appropriate written instruction within ten (10) days
of the notice (or within such shorter period as may be necessary under the
circumstances) it may, but shall be under no duty to, take or refrain from
taking any action not inconsistent with the Trust Agreement that it deems to be
in the best interests of the Certificateholders, and shall have no liability to
the Certificateholders for its action or inaction.

 

(c)           Notwithstanding
any direction of the Certificateholders to the contrary or any provision hereof
to the contrary, the Owner Trustee shall not, without the written consent of
UBS, execute any direction of the Certificateholders that to the actual
knowledge of a Responsible Officer of the Owner Trustee will result in the
Trust as an entirety or with respect to either Sub-Trust being terminated prior
to the satisfaction and discharge of the Liens created by the Facility
Agreements on the related Sub-Trust Estate and, in the case of the REIT
Sub-Trust, prior to the payment in full of the principal of and accrued
interest on the Notes.

 

SECTION 4.2.        Action
Required Only if Owner Trustee is Indemnified.  The Owner Trustee shall not be required to
take any action under Section 4.1(b) if the Owner Trustee shall reasonably
determine, or shall have been advised in writing by counsel, that such action
is likely to result in personal liability for which the Owner Trustee has not
been and will not be adequately indemnified or is contrary to the terms hereof
or of any Trust Document or is otherwise contrary to law.

 

SECTION 4.3.        No
Duties Except as Specified in Agreement or Instructions.  (a) 
The Owner Trustee shall not have any duty or obligation to manage,
control, use, make any payment in respect of, register, record, insure,
inspect, sell, dispose of or otherwise deal with any part of the Trust Estate,
or to otherwise take or refrain from taking any action under or in connection
with any Trust Document to which the Owner Trustee is a party, except as
expressly

 

10

 

provided by the terms of this Agreement or in written instructions from
the Certificateholders or UBS received pursuant to Section 4.1(b); and no
implied duties or obligations shall be read into this Agreement against the
Owner Trustee, other than the obligation of the Owner Trustee to exercise such
of the rights and powers vested in it by this Agreement in good faith and in a
manner which is not grossly negligent and which does not constitute willful
misconduct.  The Bank in its individual
capacity, nevertheless agrees that it will, at its own cost and expense,
promptly take all action as may be necessary to discharge any Liens on the
Trust Estate arising by, through or under the Bank which are unrelated to the
transactions contemplated hereby.

 

(b)           Without
limiting the generality of the foregoing subsection (a), except as
otherwise explicitly provided in this Agreement, the Owner Trustee shall not
have any duty to (i) file or record any Trust Document or any other document,
or to maintain or continue any such filing or recording or to refile or
rerecord any such document, (ii) pay or discharge any tax or any Lien owing with
respect to or assessed or levied against any part of the Trust Estate, other
than to forward notice of such tax or Lien received by the Owner Trustee to the
Certificateholders and UBS, (iii) confirm, verify, investigate or inquire into
the failure of any party to receive any payments, notices, reports or financial
statements in connection with the Trust Estate or the Trust Documents, (iv)
ascertain or inquire as to the performance or observance of any person or
entity under or of any of the Trust Documents, or (v) manage, control, sell,
dispose of or otherwise deal with part thereof or any other part of the Trust
Estate.

 

ARTICLE V

 

THE OWNER TRUSTEE

 

SECTION 5.1.        Acceptance
of Trust and Duties. 
The Bank accepts the trust hereby created and agrees to perform the
same, but only upon the terms of this Agreement in accordance with the standard
of care set forth in the first sentence of Section 4.3(a).  The Bank agrees to receive, manage and
disburse all moneys constituting part of the Trust Estate actually received by
it as Owner Trustee in accordance with the terms of this Agreement.  Neither the Bank nor the Owner Trustee shall
be answerable or accountable under any circumstances, except for (i) its own
willful misconduct or gross negligence, (ii) the inaccuracy of any of its
representations or warranties contained in Section 5.2 of this Agreement,
(iii) taxes based on or measured by any fees, commissions or compensation
received by it for acting as Owner Trustee in connection with any of the
transactions contemplated by this Agreement or any other Trust Documents and
(iv) its failure to use due care to receive, manage and disburse moneys
actually received by it in accordance with the terms hereof.

 

SECTION 5.2.        Limited
Representations or Warranties of the Owner Trustee.  Neither the Bank nor the Owner Trustee makes
(i) any representation or warranty, either express or implied, as to the title
to or value of the Note or the Owner Trust Certificates, and (ii) any
representation or warranty as to the validity or enforceability of any Trust
Document except as set forth below or as to the correctness of any statement
made by a person or entity other than the Bank or the Owner Trustee contained
in any Trust Document.  The Bank
represents, warrants and covenants to and for the benefit of the Depositors and
the Certificateholders that:

 

11

 

(a)           The
Bank is a banking corporation, duly organized, validly existing and in good
standing under the laws of the State of Delaware;

 

(b)           The
execution and delivery by the Bank, and the performance and compliance by the
Bank with the terms of, this Agreement and any and all documents to be executed
or delivered by the Bank in its individual capacity in connection with this
Agreement and to fulfill its obligations under, and to consummate the
transactions contemplated by, this Agreement and such other documents executed
in connection herewith to which the Bank is a party, will not violate any
provisions of the Bank’s charter or bylaws;

 

(c)           The
Bank, in its individual capacity, has full power and authority and has taken
all corporate action necessary to execute and deliver this Agreement and any
and all documents to be executed or delivered by it in its individual capacity
in connection with this Agreement and to fulfill its obligations under, and to
consummate the transactions contemplated by, this Agreement and such other
documents executed in connection herewith to which it is a party, and, assuming
due authorization, execution and delivery by the Depositors, this Agreement is
the legal, valid and binding obligation of the Bank, in its individual
capacity, enforceable against the Bank in accordance with its terms, except as
such terms may be limited by bankruptcy, insolvency, reorganization, moratorium
or other similar laws affecting the rights of creditors generally and by
general principles of equity;

 

(d)           The
consummation of the transactions hereby contemplated do not conflict with,
violate or contravene any law, rule, regulation or judicial, governmental or
administrative order applicable to the banking or trust powers of the Bank or
conflict with, result in a breach of or constitute a default under any of the
terms, conditions or provisions of any agreement or instrument to which the
Bank is a party or by which it is bound, or any order or decree applicable to
the Bank, which would materially and adversely affect the ability of the Bank
to carry out the transactions contemplated by this Agreement; and

 

(e)           There
is no action, suit or proceeding pending against the Bank in any court or by or
before any other governmental agency or instrumentality which would materially
and adversely affect the ability of the Bank to carry out the transactions
contemplated by this Agreement.

 

SECTION 5.3.        Certain
Duties and Responsibilities.  (a)  The Owner Trustee
shall not be liable for any error of judgment made in good faith by a
Responsible Officer, unless it shall be proved that the Owner Trustee was
grossly negligent or performed willful misconduct in ascertaining the pertinent
facts.

 

(b)           The
Owner Trustee shall not be liable with respect to any action taken or omitted
to be taken by it in good faith in accordance with the direction of the
Certificateholders or UBS, pursuant hereto.

 

(c)           The
Owner Trustee shall not be liable for interest on any money received by it
except as the Owner Trustee may otherwise agree with the Certificateholders.

 

(d)           No
provision of this Agreement shall require the Owner Trustee to expend or risk
its own funds or otherwise incur any financial liability in the performance of
any of its

 

12

 

duties hereunder, or in the exercise of any of its rights or powers, if
it shall have reasonable grounds for believing that repayment of such funds or
adequate indemnity against such risk or liability is not reasonably assured to
it.

 

(e)           The
permissive right of the Owner Trustee to take actions enumerated in this
Agreement shall not be construed as a duty and the Owner Trustee shall not be
answerable for other than its own gross negligence or willful misconduct.

 

(f)            The
Owner Trustee shall be under no obligation to institute any suit, or to take
any remedial proceeding under this Agreement, or to enter any appearance or in
any way defend in any suit in which it may be made a defendant, or in the
enforcement of any rights and powers hereunder, if the Owner Trustee reasonably
believes that it will not be adequately indemnified against any and all costs
and expenses, outlays, and counsel fees and other reasonable disbursements and
against all liability.

 

(g)           Under
no circumstances shall the Owner Trustee be personally liable for any
indebtedness or obligation of the Trust;

 

(h)           The
Owner Trustee shall not be liable for the default or misconduct of either
Depositor, the Administrator or any other Person and shall not be responsible
for performing any duties or obligations of the Trust including any that is the
responsibility of either Depositor, the Administrator or any other Person.

 

(i)            Every
provision of this Agreement relating to the Owner Trustee shall be subject to
the provisions of this Section 5.3.

 

SECTION 5.4.        Reliance:
Advice of Counsel. 
Neither the Bank nor the Owner Trustee shall incur any liability to any
person or entity in acting upon any signature, instrument, notice, resolution,
request, consent, order, certificate, report, opinion, bond or other document
or paper believed by it to be genuine and believed by it in good faith to be
signed by the proper party or parties. 
The Owner Trustee may accept and rely upon a certified copy of a
resolution of the board of directors or other governing body of any corporate
party as conclusive evidence that such resolution has been duly adopted by such
body and that the same is in full force and effect.  As to any fact or matter the manner of ascertainment of which is
not specifically prescribed herein, the Owner Trustee may for all purposes
hereof rely on an Officers’ Certificate of the relevant party, as to such fact
or matter, and such Officers’ Certificate shall constitute full protection to
the Owner Trustee for any action taken or omitted to be taken by it in good
faith in reliance thereon. In the administration of the Trust hereunder, the
Owner Trustee may execute any of the trusts or powers hereof and perform its
powers and duties hereunder directly or through agents and the Owner Trustee
shall not be liable for the acts or omissions of any Trust agent selected by it
in good faith.  The Owner Trustee may
consult with counsel, accountants and other skilled Persons to be selected and
employed by it, and the Owner Trustee shall not be liable for anything done,
suffered or omitted in good faith by it in accordance with the written advice
or opinion of counsel, accountant or other skilled Persons, so long as the
Owner Trustee had no actual knowledge that it could not reasonably rely on such
advice or opinion or by any such Persons appointed in good faith.

 

13

 

SECTION 5.5.        Not
Acting in Individual Capacity.  All persons or entities having any claim against the Bank or the
Owner Trustee by reason of the transactions contemplated by the Trust Documents
relating to a Sub-Trust Estate shall look only to the related Sub-Trust Estate
(or a part thereof, as the case may be) for payment or satisfaction thereof,
except to the extent that the Bank or the Owner Trustee shall otherwise
expressly agree in any related Trust Document to which it is a party.

 

SECTION 5.6.        Books
and Records; Tax Election.  The Administrator shall be responsible for the keeping of all
appropriate books and records relating to the receipt and disbursement of all
moneys that each Sub-Trust may receive hereunder or under any other Trust
Document, including but not limited to any capital contribution received by a
Sub-Trust from a Depositor pursuant to Section 2.01(a) of the Loan Sale
Agreement.  For so long as each
Sub-Trust has one related Certificateholder, for federal income tax purposes,
each Sub-Trust, pursuant to Treasury regulations promulgated under Section 7701
of the Code, will be disregarded as an entity distinct from the related
Certificateholder.  In the event that a
Sub-Trust has more than one related Certificateholder or a Sub-Trust is in any
event successfully recharacterized by the IRS as a partnership, the
Administrator shall file an application with the IRS for a taxpayer
identification number with respect to such Sub-Trust and prepare or cause to be
prepared and sign and/or file partnership tax returns including the partnership
information return on Form 1065 in connection with the transactions
contemplated hereby or by any other Trust Document (the “Tax Return”);
provided, however, that if received by the Owner Trustee, the Owner Trustee
shall send or cause to be sent a copy of the completed Tax Return to the
Depositors, the related Certificateholders and UBS not more than sixty (60) nor
less than thirty (30) days prior to the due date of the Tax Return.  The Depositor and any related
Certificateholders shall each, upon written request by the Owner Trustee (or
the Trust Agent or the Administrator), furnish the Owner Trustee (or the Trust
Agent or the Administrator) with all such information as may be reasonably
required from the Depositor or the related Certificateholders in connection
with the preparation of such Tax Return by the Administrator.  The Administrator shall keep copies of the
Tax Returns delivered to or filed by it (or the Trust Agent).  Neither the Administrator nor the Owner
Trustee shall take any action that, to its actual knowledge, would cause the
Trust or either Sub-Trust to be treated as an association taxable as a
corporation for federal income tax purposes.

 

ARTICLE VI

 

COMPENSATION,
REIMBURSEMENT AND 

INDEMNIFICATION OF THE OWNER TRUSTEE

 

SECTION 6.1.        Compensation
of the Owner Trustee. 
The Owner Trustee shall be entitled to receive as compensation for its
services an initial fee and an annual administration fee payable in August of
each calendar year beginning in 2004 (the “Owner Trustee Fee”) and such
other fees and charges as agreed upon by the Owner Trustee and MortgageIT, Inc.
pursuant to a separate fee agreement.

 

SECTION 6.2.        Reimbursement
and Indemnification of the Owner Trustee.  (a) 
The Owner Trustee shall be entitled to be reimbursed for its reasonable
expenses (including reasonable attorneys’ fees) incurred in the performance of
its duties as Owner Trustee hereunder,

 

14

 

and to be compensated reasonably for any extraordinary services
rendered under Section 4.1(b), except to the extent that such expenses
arise out of or result from (i) the Owner Trustee’s own willful misconduct or
gross negligence, (ii) the inaccuracy of any of the Owner Trustee’s
representations or warranties contained in Section 5.2 of this Agreement,
(iii) the Owner Trustee’s failure to perform obligations expressly undertaken
by it in this Agreement in accordance with the standard of care set forth in
Section 4.3(a), (iv) taxes based on or measured by any fees, commissions or
compensation received by the Owner Trustee for acting as such in connection
with any of the transactions contemplated by this Agreement or any other Trust
Documents, and (v) the Owner Trustee’s failure to use due care to receive,
manage and disburse moneys actually received by it in accordance with the terms
hereof.

 

(b)           The
Bank shall be entitled to be indemnified and held harmless from and against any
and all liabilities, obligations, indemnity obligations, losses (excluding loss
of anticipated profits), damages, claims, actions, suits, judgments,
out-of-pocket costs, expenses and disbursements (including agent, legal and
consultants’ fees and expenses) and taxes of any kind and nature whatsoever
(collectively, the “Liabilities”) which may be imposed on, incurred by
or asserted at any time against the Bank or the Owner Trustee in any way
relating to or arising out of the related Sub-Trust Estate, any of the
properties included therein, the administration of the related Sub-Trust Estate
or any action or inaction of the Owner Trustee hereunder or under the related
Trust Documents, except to the extent that such Liabilities arise out of or
result from (i) the Owner Trustee’s own willful misconduct or gross negligence,
(ii) the inaccuracy of any of the Owner Trustee’s representations or warranties
contained in Section 5.2 of this Agreement, (iii) the Owner Trustee’s
failure to perform obligations expressly undertaken by it in this Agreement in
accordance with the standard of care set forth in Section 4.3(a), (iv)
taxes based on or measured by any fees, commissions or compensation received by
the Owner Trustee for acting as such in connection with any of the transactions
contemplated by this Agreement or any other Trust Document, and (v) the Owner
Trustee’s failure to use due care to receive, manage and disburse moneys
actually received by it in accordance with the terms hereof.  The indemnities contained in this
Section 6.2(b) shall survive the termination of this Agreement and the
removal or resignation of the Owner Trustee hereunder.

 

(c)           Any
reimbursements and indemnities to the Owner Trustee pursuant to this
Section 6.2 shall be payable by the related Servicer first, (i) relating
to the REIT Sub-Trust, out of amounts on deposit in the collection account(s)
established pursuant to the REIT Servicing Agreement prior to payments on the
REIT Certificates, and (ii) relating to the TRS Sub-Trust, out of amounts on
deposit in the Blocked Account established pursuant to the Blocked Account
Agreement and administered under the TRS Servicing Agreement prior to payments
on the TRS Certificates; second, to the extent not paid pursuant to clause
first within sixty (60) days of first being incurred, by the
Certificateholders, on a joint and several basis as contemplated by Section 3.4
of this Agreement; and third, to the extent not paid pursuant to clause first
and second within 60 days of first being incurred, by MortgageIT, Inc.

 

SECTION 6.3.        Not
Obligations of the Trust.  None of the fees, expenses and other liabilities referred to in
Sections 6.1 and 6.2 shall be obligations of the Trust or otherwise chargeable
to the related Sub-Trust Estate, except as provided in Section 6.2
hereunder.  The Owner Trustee hereby
agrees not to cause or participate in the filing of a petition in bankruptcy
against the Trust for the nonpayment to the Owner Trustee of any amounts
provided by this

 

15

 

Agreement until ninety-one (91) days after the later of (i) payment in
full of the Notes issued under the Note Purchase Agreement and
(ii) payment in full all of the Trust’s obligations under the Loan
Repurchase Agreement, the Loan Purchase Agreement and the Loan Participation
Agreement.

 

ARTICLE VII

 

DISSOLUTION AND
TERMINATION OF TRUST

 

SECTION 7.1.        Termination.  The Trust shall not be dissolved or
terminated under this Section 7.1 until the Notes have been paid in full, all
of the Trust’s obligations under the Loan Repurchase Agreement, the Loan
Purchase Agreement and the Loan Participation Agreement have been paid in full
and the Liens on the Trust Estate created by the Facility Agreements have been
released and the Sub-Trusts are able to be dissolved.

 

The REIT Sub-Trust
may be dissolved by the Holders of the REIT Certificates MortgageIT Holdings at
any time prior to the issuance of the Notes and the pledge of the REIT Trust
Estate pursuant to the Note Purchase Agreement, and at any time after the Note
Purchase Agreement is terminated in accordance with Article III thereof, and
the REIT Sub-Trust shall dissolve in connection with the final distribution on
the Note.  The TRS Sub-Trust may be
dissolved by the Holders of the TRS Certificates at any time prior to the sale
of the TRS Trust Estate pursuant to the Loan Repurchase Agreement, the Loan
Purchase Agreement and the Loan Participation Agreement, and at any time after
the Loan Repurchase Agreement, the Loan Purchase Agreement and the Loan
Participation Agreement are terminated, and the TRS Sub-Trust shall dissolve in
connection with the Trust’s last payment obligation under the Loan Repurchase
Agreement, the Loan Purchase Agreement and the Loan Participation
Agreement.  After payment of all amounts
then due and payable to Wilmington Trust Company pursuant to Sections 6.1 and
6.2 hereof and the payment of all other then known liabilities of the related
Sub-Trust, all right, title and interest in the related Sub-Trust Estate still
held by the Owner Trustee at the time of such dissolution shall be transferred,
assigned and paid over to the respective Certificateholders or their designee,
and upon receipt of written instructions from the Certificateholders, the Owner
Trustee shall file a certificate of cancellation under Section 3810 of the
Statutory Trust Statute and such Sub-Trust shall terminate.

 

SECTION 7.2.        Further
Assurances by the Owner Trustee upon Termination.  Upon termination of this Trust, the Owner
Trustee shall take such action as may be requested by, and at the expense of,
the Certificateholders to transfer the remaining assets of the Trust to the
Certificateholders or the Certificateholders’ designee, including the execution
of instruments of transfer or assignment with respect to the Notes and any of
the Trust Documents to which the Owner Trustee is a party.

 

SECTION 7.3.        Insolvency
of a Certificateholder. 
The insolvency or other similar incapacity of a Certificateholder shall
not (i) operate to terminate the Trust or the related Sub-Trust, (ii) entitle
the Certificateholder’s legal representatives to claim an accounting or to take
any action in any court for a partition or winding up of the related Sub-Trust
Estate or (iii) otherwise affect the rights, obligations and liabilities of the
parties hereto.

 

16

 

SECTION 7.4.        Event
of Default  Upon
the occurrence and continuation of a default or an Event of Default under any
of the Facility Agreements, all of the proceeds from the Trust Estate shall
secure and be available to satisfy the Trust’s obligations to UBS, the
Purchasers and the Noteholders under the Facility Agreements, without regard as
to which Sub-Trust relates to the affected Mortgage Loans; provided that with
respect to the REIT Sub-Trust’s obligations to UBS, the Purchasers and the
Noteholders, UBS shall first apply all proceeds of the REIT Collateral, and
with respect to the TRS Sub-Trust’s obligations to UBS, UBS shall first apply
all proceeds of the TRS Collateral.  UBS
may apply any cash that is part of the Trust Estate to such obligations and/or
collect, realize, appropriate, retain and realize upon any of the Trust
Estate.  UBS may forthwith sell, assign,
give an option or options to purchase, contract to sell, or otherwise dispose
of and deliver any of the Trust Estate in one or more parcels at a public or
private sale or sales, at such place or places, at such price or prices, and
upon such other terms and conditions as UBS may deem best for the interests of
UBS, the Purchasers and the Noteholders, in a commercially reasonable
manner.  No distributions shall be made
to any Certificateholder until all of the Trust’s obligations to UBS, the
Purchasers and the Noteholders are satisfied in full.

 

ARTICLE VIII

 

SUCCESSOR OWNER TRUSTEES,
CO-OWNER TRUSTEES 

AND SEPARATE OWNER TRUSTEES

 

SECTION 8.1.        Resignation
of the Owner Trustee; Appointment of Successor.  (a) 
The Owner Trustee may resign with respect to either or both Sub-Trusts
at any time (and shall immediately resign if it ceases to be an Eligible Owner
Trustee) by giving at least 60 days written notice to the Certificateholders, the
Depositors, UBS and the Administrator, such resignation to be effective on the
acceptance of appointment by a successor Owner Trustee under
Section 8.1(b) hereof.  The
Depositors shall remove the Owner Trustee by written notice, a copy of which
shall be concurrently delivered by the Depositors to the Certificateholders,
UBS and the Administrator, if the Owner Trustee ceases to be an Eligible Owner
Trustee and fails to resign immediately. 
The Owner Trustee otherwise may be removed with respect to a Sub-Trust
with or without cause at any time (i) by the Certificateholders holding a
majority of the Voting Rights for such respective Sub-Trust Estate or (ii) by
UBS, upon written notice from UBS to the Owner Trustee that a default or Event
of Default under any of the Facility Agreements to which such Sub-Trust is a
party has occurred and is continuing with sixty (60) days’ prior written notice
having been given to the Owner Trustee by UBS a copy of which shall be
concurrently delivered by such Certificateholders to the related Depositor, UBS
and the Administrator.  Any such removal
shall be effective upon the acceptance of appointment by a successor Owner
Trustee with respect to such Sub-Trust under Section 8.1 (b) hereof.  In the case of the resignation or removal of
the Owner Trustee, the Certificateholders for each respective Sub-Trust Estate,
or in the case of the removal of the Owner Trustee for one Sub-Trust only (or
upon written notice from UBS to the Owner Trustee that a default or Event of
Default under any of the Facility Agreements to which such Sub-Trust has
occurred and is continuing) UBS may appoint a successor Owner Trustee by an
instrument signed by the respective Certificateholders or UBS for the
respective Sub-Trust.  If a successor
Owner Trustee for the respective Sub-Trust shall not have been appointed within
60 days after the giving of notice of such resignation or the delivery of such
instrument with respect to such removal, the Owner Trustee, the Depositors,
UBS, the

 

17

 

Administrator or the Certificateholders for the respective Sub-Trust
may apply to any court of competent jurisdiction to appoint a successor Owner
Trustee to act until such time, if any, as a successor shall have been appointed
and shall have accepted its appointment as above provided.  Any successor Owner Trustee so appointed by
such court shall immediately and without further act be superseded by any
successor Owner Trustee appointed as above provided within one year from the
date of the appointment by such court.

 

(b)           Any
successor Owner Trustee, however appointed, shall execute and deliver to the
predecessor Owner Trustee and UBS an instrument accepting such appointment and
shall furnish a photocopy of such instrument to the Certificateholders, and
thereupon such successor Owner Trustee, without further act, shall become
vested with all the estates, properties, rights, powers, duties and trusts of
the predecessor Owner Trustee herein; but nevertheless, upon the written request
of such successor Owner Trustee such predecessor Owner Trustee shall execute
and deliver an instrument transferring to such successor Owner Trustee, upon
the trusts herein expressed, all the estates, properties, rights, powers,
duties and trusts of such predecessor Owner Trustee and such predecessor Owner
Trustee shall duly assign, transfer, deliver and pay over to such successor
Owner Trustee all moneys or other property then held by such predecessor Owner
Trustee upon the trusts herein expressed.

 

(c)           Any
successor Owner Trustee shall be an Eligible Owner Trustee, willing, able and
legally qualified to perform the duties of the Owner Trustee hereunder.

 

(d)           Any
Person into which the Owner Trustee may be merged or converted or with which it
may be consolidated, or any Person resulting from any merger, conversion or
consolidation to which the Owner Trustee shall be a party, or any Person to
which substantially all the corporate trust business of the Owner Trustee may
be transferred, shall, subject to the terms of Section 8.1 (c) hereof, be
the Owner Trustee under this Agreement without any further act.

 

SECTION 8.2.        Co-Trustees
and Separate Trustee. 
Whenever the Owner Trustee or UBS shall deem it necessary or prudent in
order to conform to any law of any jurisdiction in which all or any part of
each Sub-Trust Estate shall be situated or to make any claim or be a party to
any suit with respect to each Sub-Trust Estate, the Owner Trust Certificates,
the Notes or any Trust Document, or the Owner Trustee or UBS shall be advised
in writing by counsel reasonably satisfactory to each of them that it is so
necessary or prudent, the Owner Trustee and the Certificateholders shall
execute and deliver an agreement supplemental hereto and all other instruments
and agreements, and shall take all other action, necessary or proper to
constitute one or more persons or entities, who need not meet the requirements
of Section 8.1 (c) hereof (and the Owner Trustee may appoint one or more
of its officers), either as co-trustees or co-trustees jointly with the Owner
Trustee of all or any part of the Trust Estate, or as separate trustee or
separate trustees of all or any part of the Trust Estate, and to vest in such
persons or entities, in such capacity, such title to the Trust Estate or any
part thereof and such rights or duties as may be necessary or desirable, all
for such period and under such terms and conditions as are reasonably
satisfactory to the Owner Trustee and the Certificateholders.  In case any co-trustee or separate

 

18

 

trustees shall die, become incapable of acting, resign or be removed,
the title to the Trust Estate and all rights and duties of such co-trustee or
separate trustees shall, so far as permitted by law, vest in and be exercised
by the Owner Trustee, without the appointment of a successor to such co-trustee
or separate trustees.

 

SECTION 8.3.        Notice.  At all times that a successor Owner Trustee
is appointed under Section 8.1 hereof, an Owner Trustee resigns pursuant to
such Section 8.1 or a co-trustee or separate trustee is appointed pursuant to
Section 8.2 hereof, the Certificateholders promptly shall give notice of such
fact to UBS, if the Facility Agreements have not been terminated.

 

ARTICLE IX

 

SUPPLEMENTS AND
AMENDMENTS

 

SECTION 9.1.        Supplements
and Amendments. 
Subject to Sections 9.2 and 9.3 of this Agreement, at the written
request of the Certificateholders (which, if the requested amendment relates to
only one Sub-Trust, shall be the Certificateholders of that Sub-Trust, this
Agreement shall be amended by a written instrument signed by the Owner Trustee
and the Certificateholders (which, if the requested amendment relates to only
one Sub-Trust, shall be the Certificateholders of that Sub-Trust, and, if their
rights hereunder are adversely affected, the Depositors) and with the consent
of UBS, but if in the opinion of the Owner Trustee any instrument required to
be so executed materially and adversely affects any right, duty or liability
of, or immunity or indemnity in favor of the Bank or the Owner Trustee under
this Agreement or any of the other Trust Documents to which the Owner Trustee
is a party, or would cause or result in any conflict with or breach of any
terms, conditions or provisions of, or default under, the Bank’s charter
documents or by-laws or any document contemplated hereby to which the Owner
Trustee is a party, the Owner Trustee may in its sole discretion decline to
execute such instrument.  The Owner
Trustee will not execute any amendment or supplement to this Agreement without
first obtaining the written consent of UBS.

 

At any time that
there is more than one Certificateholder with respect to a Sub-Trust (as shown
on the Certificate Register), the written consent to an amendment by Certificateholders  (which, if the requested amendment relates
to only one Sub-Trust, shall be the Certificateholders of that Sub-Trust)
entitled to a majority of the Voting Rights shall be sufficient to bind all of
such Holders; provided, however, that no such amendment shall:
(i) reduce in any manner the amount of, or delay the timing of, payments
received on any Owner Trust Certificate without the consent of the affected
Holder; or (ii) amend this Section 9.1, without the written consent of all
of the Holders then outstanding.

 

SECTION 9.2.        Limitation
on Amendments. 
Notwithstanding Section 9.1 or Section 9.3 hereof, the Owner
Trustee shall not, without the consent of UBS amend Section 7.1 of this
Agreement, or execute any amendment that, to the actual knowledge of a
Responsible Officer of the Owner Trustee, will result in the Trust being
terminated prior to the satisfaction and discharge of the Liens of the Facility
Agreements on the related Sub-Trust Estate.

 

SECTION 9.3.        Additional
Amendment Provisions. 
(a)  It shall not be necessary
for the consent of the respective Certificateholders under this Article IX
to approve the particular form of any proposed amendment, but it shall be
sufficient if such consent shall

 

19

 

approve the substance thereof. 
The manner of obtaining such consents and of evidencing the
authorization of the execution thereof shall be subject to such reasonable
regulations as the Owner Trustee may prescribe.

 

(b)           The Owner Trustee, at any time from
time to time, upon the request of the Administrator but without the consent of
the Certificateholders, may amend this Agreement to modify, eliminate or add to
any of its provisions, to such extent as shall be necessary to prevent or
reduce the imposition on the Trust of any material federal, state or local
taxes, at all time prior to the liquidation of the Trust; provided, however,
that such action, as evidenced by an Opinion of Counsel acceptable to the Owner
Trustee, is necessary or helpful to prevent the imposition on the Trust of any
such taxes.

 

(c)           Prior to the execution of any
amendment to this Agreement, the Owner Trustee shall be entitled to receive and
rely upon an Opinion of Counsel, at the expense of the party requesting such
amendment (or, if such amendment is requested by the Owner Trustee, then at the
expense of the Trust) stating that the execution of such amendment is
authorized or permitted by this Agreement.

 

ARTICLE X

 

REPRESENTATIONS,
WARRANTIES AND 

COVENANTS OF THE DEPOSITOR

 

SECTION 10.1.      Representations
and Warranties of the Depositor.  (a) 
Each Depositor represents and warrants as follows to the Trust and the
Owner Trustee, and acknowledges that the Trust intends to assign the benefit of
these representations and warranties to UBS for the benefit of the Noteholders,
UBS, any purchaser of any Mortgage Loan and any Certificateholder:

 

(i)            such Depositor is a corporation duly
organized, validly existing and in good standing under the laws of the
jurisdiction of its incorporation, has full power and authority, and has taken
all action necessary, to execute and deliver this Agreement, and any and all
other documents to be executed or delivered by it in connection with this
Agreement, and to fulfill its obligations under, and to consummate the
transactions contemplated by, this Agreement, and this Agreement and such other
documents executed in connection herewith are the legal, valid and binding
obligations of such Depositor, enforceable against it in accordance with their
respective terms, except as such terms may be limited by bankruptcy,
insolvency, reorganization, moratorium or other similar laws affecting the
rights of creditors generally and by general principles of equity;

 

(ii)           the execution and delivery of this
Agreement and each other document to be executed or delivered by it in
connection with this Agreement, and the performance of its obligations
hereunder and thereunder by such Depositor will not violate the provisions of
its articles of incorporation or by-laws, conflict with any provision of any
law or regulation to which it is subject, or conflict with, result in a breach
of, or constitute a default under any of the terms, conditions or provisions
of, any agreement or instrument to which such Depositor is a party or by which
it is bound, or any order or decree

 

20

 

applicable to such Depositor, or result in the
creation or imposition of any Lien on any of such Depositor’s assets or
property, the result of any of the above which would materially and adversely
affect the ability of such Depositor to carry out the transactions contemplated
by this Agreement or such other documents executed in connection herewith; no
consent, approval, authorization or order of or filing with or notice to any
court or governmental agency or body is required for the execution, delivery
and performance by such Depositor of this Agreement or such other documents;
and

 

(iii)          there is no action, suit or proceeding
pending against such Depositor in any court or by or before any other
governmental agency or instrumentality which would materially and adversely
affect the validity of the Owner Trust Certificates or, with respect to
MortgageIT Holdings, the Notes, or the ability of such Depositor or the Certificateholders
to carry out the transactions contemplated by this Agreement.

 

(b)           It
is understood and agreed that each of the foregoing representations and
warranties of each Depositor shall survive delivery of the Trust Estate to the
Trust.  Upon discovery or receipt of
notice by either Depositor or a Responsible Officer of the Owner Trustee of a
breach of any of the foregoing representations and warranties that materially
and adversely affects the interests of UBS, the Noteholders or the Owner
Trustee for the benefit of the Certificateholders, the party discovering such
breach shall give prompt written notice to the other party hereto and to UBS.

 

SECTION 10.2.      Accrued
Interest, Etc. 
Each Depositor agrees that any income, interest, fees and other payments
that it may receive in respect of the related Trust Estate applicable to a
period on or after the Closing Date shall inure to the benefit of the Trust,
and such Depositor shall pay such amounts to the related Sub-Trust to be
remitted in accordance with Section 3.1 promptly upon receipt.

 

SECTION 10.3.      Additional
Covenants of the Depositors.  Each Depositor hereby covenants and agrees that:

 

(a)           The
business and affairs of such Depositor will be managed by or under the
direction of its board of directors in accordance with its articles of
organization and operating agreement. 
Such Depositor will keep correct and complete books and records of
accounts and minutes of the meetings and other proceedings of the board of
managers.  Any such resolutions, agreements
and other instruments will be continuously maintained as official records by
such Depositor.

 

(b)           Such
Depositor will at all times ensure that its capitalization is adequate in light
of its business and purposes.  Such
Depositor will pay from its own funds and assets (and not the Trust’s) all
obligations and indebtedness incurred by it.

 

(c)           Such
Depositor will not conduct its business in the name of the Trust.

 

(d)           Such
Depositor will not guarantee any obligations of the Trust (including the Notes
or the Owner Trust Certificates).  Such
Depositor will not operate or purport to operate as an integrated, single
economic unit with respect to the Trust or seek or obtain credit or incur

 

21

 

any obligation to any third party based on the assets of the Trust or
induce any such third party to reasonably rely on the creditworthiness of the
Trust in connection therewith.

 

(e)           The
accounting records of such Depositor will disclose the effect of the
transactions in accordance with generally accepted accounting principals and
any applicable statutory requirements.

 

(f)            Such
Depositor hereby acknowledges, and agrees for the benefit of the Trust, UBS,
the Noteholders and the Certificateholders to perform, each obligation imposed
upon it under the Trust Documents.

 

ARTICLE XI

 

TRANSFER OF INTEREST OF
THE OWNER TRUST CERTIFICATES

 

SECTION 11.1.      Registration
of Transfer and Exchange of Owner Trust Certificates.  (a) 
At all times during the term of this Agreement, there shall be
maintained at the office of a registrar appointed by the Depositors (the “Certificate
Registrar”) a register (the “Certificate Register”) in which,
subject to such reasonable regulations as the Certificate Registrar may
prescribe, the Certificate Registrar shall provide for the registration of
Owner Trust Certificates and of transfers and exchanges of Owner Trust
Certificates as herein provided.  The
Owner Trustee is hereby initially appointed (and hereby agrees to act in
accordance with the terms hereof) as Certificate Registrar for the purpose of
registering Owner Trust Certificates and transfers and exchanges of Owner Trust
Certificates as herein provided.  The
Owner Trustee may appoint, by a written instrument delivered to the Depositors,
any other bank or trust company to act as Certificate Registrar under such
conditions as the Owner Trustee may prescribe, provided that the Owner Trustee
shall not be relieved of any of its duties or responsibilities hereunder as
Certificate Registrar by reason of such appointment.  If the Owner Trustee resigns or is removed in accordance with the
terms hereof, the successor Owner Trustee shall immediately succeed to its
predecessor’s duties as Certificate Registrar. 
Each Depositor, the Administrator, and the Owner Trustee shall have the
right to inspect the Certificate Register or to obtain a copy thereof at all
reasonable times, and to rely conclusively upon a certificate of the
Certificate Registrar as to the information set forth in the Certificate
Register.

 

(b)           No
transfer, sale, pledge or other disposition of any Owner Trust Certificate or
interest therein shall be made unless that transfer, sale, pledge or other
disposition is exempt from the registration and/or qualification requirements
of the Securities Act and any applicable state securities laws, or is otherwise
made in accordance with the Securities Act and such state securities laws.  The Trust has not been registered as an
investment company under the Investment Company Act, and no transfer of an
Owner Trust Certificate may be made (i) to any Person other than (a) a QIB or
(b) a Person involved in the organization or operation of the Trust or an
Affiliate of such Person within the meaning of the Investment Company Act or
(ii) to any Person that would require the Trust or any such trust fund to be
registered as an investment company under the Investment Company Act.  If such transfer is to be made to any Person
who is not a Person involved in the organization or operation of the Trust or
an Affiliate of such Person within the meaning of the Investment Company Act,
then the Certificate Registrar shall refuse to register such transfer unless it
receives (and upon receipt, may conclusively rely upon)

 

22

 

a certificate from the Certificateholder desiring to effect such
transfer substantially in the form attached as Exhibit B-1 hereto and a
certificate from such Certificateholder’s prospective transferee substantially
in the form attached as Exhibit B-2 hereto. 
None of the Trust, the Depositor, the Owner Trustee or the Certificate
Registrar is obligated to register or qualify any Owner Trust Certificate under
the Securities Act or any other securities laws or to take any action not
otherwise required under this Agreement to permit the transfer of any Owner
Trust Certificate or interest therein without registration or
qualification.  Any Certificateholder
desiring to effect a transfer of an Owner Trust Certificate or an interest
therein shall, and does hereby agree to, indemnify the Trust, the Depositors,
the Administrator, the Owner Trustee, the Trust Agent and the Certificate
Registrar against any liability that may result if the transfer is not so
exempt or is not made in accordance with such federal and state laws.

 

(c)           No
transfer of any Owner Trust Certificate or any interest therein shall be made
(A) to any employee benefit plan or other retirement arrangement, including
individual retirement accounts and annuities, Keogh plans and collective
investment funds and separate accounts in which such plans, accounts or
arrangements are invested, including, without limitation, insurance company
general accounts, that is subject to ERISA or the Code (each, a “Plan”),
or (B) to any Person who is directly or indirectly purchasing such Owner Trust
Certificate or interest therein on behalf of, as named fiduciary of, as agent
of, or with assets of a Plan.

 

(d)           (i)
Each Person who has or who acquires any Ownership Interest in an Owner Trust
Certificate shall be deemed by the acceptance or acquisition of such Ownership
Interest to have agreed to be bound by the following provisions.  The rights of each Person acquiring any
Ownership Interest in an Owner Trust Certificate are expressly subject to the
following provisions:

 

(A)                              Each
Person holding or acquiring any Ownership Interest in an Owner Trust
Certificate shall be a Permitted Transferee and shall promptly notify the Owner
Trustee and the Certificate Registrar of any change or impending change in its
status as a Permitted Transferee.

 

(B)                                In
connection with any proposed transfer of any Ownership Interest in an Owner
Trust Certificate (other than to an Affiliate of the Trust that is a Permitted
Transferee), the Certificate Registrar shall require delivery to it, and shall
not register the Transfer of any Owner Trust Certificate until its receipt of
(i) an affidavit (a “Transfer Affidavit,” in the form attached hereto as
Exhibit C-1) from the proposed transferee, in form and substance satisfactory
to the Certificate Registrar, representing and warranting, among other things,
that such transferee is a Permitted Transferee, that it is not acquiring its
Ownership Interest in the Owner Trust Certificate that is the subject of the
proposed Transfer as a nominee, trustee or agent for any Person that is not a
Permitted Transferee, that for so long as it retains its Ownership Interest in
an Owner Trust Certificate, it will

 

23

 

endeavor to remain a Permitted Transferee, and that it
has reviewed the provisions of this Section 11.1(d) and agrees to be bound by
them and (ii) an affidavit from the transferor of such Owner Trust Certificate
in the form attached hereto as Exhibit C-2.

 

(C)                                Notwithstanding
the delivery of a Transfer Affidavit by a proposed transferee under clause (B)
above, if a Responsible Officer of the Owner Trustee who is assigned to this
transaction has actual knowledge that the proposed transferee is not a
Permitted Transferee, no Transfer of an Ownership Interest in an Owner Trust
Certificate to such proposed transferee shall be effected.

 

(D)                               Each
Person holding or acquiring any Ownership Interest in an Owner Trust
Certificate shall agree (x) to require a Transfer Affidavit from any other
Person to whom such Person attempts to transfer its Ownership Interest in an
Owner Trust Certificate and (y) not to transfer its Ownership Interest unless
it provides a Transfer Affidavit to the Certificate Registrar stating that,
among other things, it has no actual knowledge that such other Person is not a
Permitted Transferee.

 

(ii)    The Certificate Registrar will register the
Transfer of any Owner Trust Certificate only if it shall have received the
Transfer Affidavit and Agreement and all of such other documents as shall have
been reasonably required by the Certificate Registrar as a condition to such
registration.  In addition, no transfer
of an Owner Trust Certificate shall be made unless the Certificate Registrar
shall have received a representation letter from the transferee of such Owner
Trust Certificate to the effect that such transferee is a Permitted Transferee.

 

(e)           By
its acceptance of an Owner Trust Certificate, each prospective Holder agrees
and acknowledges that no legal or beneficial interest in all or any portion of
any Owner Trust Certificate may be transferred directly or indirectly to an
individual, corporation, partnership or other Person unless such transferee is
not a Non-United States Person and any such purported transfer shall be void
and of no effect.

 

(f)            The
Owner Trust Certificate shall bear a legend describing or referencing the
restrictions on transferability set forth in Sections 11.1(b), (c) and (d).

 

(g)           Subject
to compliance with Sections 11.1(b), (c) and (d), upon surrender for
registration of transfer of the Owner Trust Certificate at the office of the
Certificate Registrar or at the office of its Trust Agent in Wilmington,
Delaware, the Owner Trustee shall execute, and the Certificate Registrar shall
deliver and authenticate, in the name of the designated transferee or
transferees, one or more new Owner Trust Certificates, in authorized
denominations, evidencing in the aggregate a like aggregate Percentage Interest
in the related Sub-Trust and dated the date of authentication by the
Certificate Registrar.

 

24

 

(h)           At
the option of any Certificateholder, Owner Trust Certificates may be exchanged
for other Owner Trust Certificates, in authorized denominations, evidencing in
the aggregate a like aggregate Percentage Interest in the related Sub-Trust
upon surrender of the Owner Trust Certificates to be exchanged at the office of
the Certificate Registrar, or the office of its Trust Agent in Wilmington,
Delaware. Whenever any Owner Trust Certificates are so surrendered for
exchange, the Owner Trustee shall execute and the Certificate Registrar shall
authenticate and deliver, the Owner Trust Certificates which the
Certificateholder is entitled to receive.

 

(i)            If
the Owner Trustee or the Certificate Registrar so requires, every Owner Trust
Certificate presented or surrendered for registration of transfer or exchange
shall be duly endorsed by, or accompanied by a written instrument of transfer
in form satisfactory to the Owner Trustee and the Certificate Registrar duly
executed by, the Certificateholder thereof or such person’s attorney duly
authorized in writing.

 

(j)            No
service charge shall be made to the requesting Certificateholder for any
registration of transfer or exchange of Owner Trust Certificates, but the Certificate
Registrar may require payment of a sum sufficient to cover any tax or
governmental charge that may be imposed in connection with any registration of
transfer or exchange of Owner Trust Certificates.

 

(k)           The
Certificate Registrar shall cancel and retain or destroy, in accordance with
the Owner Trustee’s retention policy then in effect, all Owner Trust
Certificates surrendered for registration of transfer or exchange.

 

(l)            Each
Depositor may make a new contribution of capital to the respective Sub-Trust
pursuant to Section 2.01(a) of the Loan Sale Agreement,

 

(m)          No
transfer, sale, pledge or other disposition of any Owner Trust Certificate or
interest therein shall be made without UBS’s written consent.

 

SECTION 11.2.      Mutilated,
Destroyed, Lost or Stolen Owner Trust Certificates.  If (i) any mutilated Owner Trust Certificate
is surrendered to the Owner Trustee or the Certificate Registrar, or the Owner
Trustee and the Certificate Registrar receive evidence to their satisfaction of
the destruction, loss or theft of any Owner Trust Certificate, and (ii) there
is delivered to the Owner Trustee and the Certificate Registrar such security
or indemnity as may be required by them to save each of them harmless, then, in
the absence of actual knowledge by a Responsible Officer of the Owner Trustee
or the Certificate Registrar that such Owner Trust Certificate has been
acquired by a bona fide purchaser, the Owner Trustee shall execute and the
Certificate Registrar shall authenticate and deliver, in exchange for or in
lieu of any such mutilated, destroyed, lost or stolen Owner Trust Certificate,
a new Owner Trust Certificate of like tenor. 
Upon the issuance of any new Owner Trust Certificate under this
Section 11.2, the Owner Trustee may require the payment of a sum
sufficient to cover any tax or other governmental charge that may be imposed in
relation thereto and any other expenses (including the fees and expenses of the
Certificate Registrar) connected therewith. 
Any replacement Owner Trust Certificate issued pursuant to this
Section shall constitute complete and indefeasible evidence of ownership
of the corresponding interest in the Trust, as if originally issued, whether

 

25

 

or not the lost, stolen or destroyed Owner Trust Certificate shall be
found at any time and such original Owner Trust Certificate shall thereby be
deemed canceled.

 

SECTION 11.3.      Persons
Deemed Owners. 
Prior to due presentation of an Owner Trust Certificate for registration
of transfer, the Owner Trustee, the Administrator, the Certificate Registrar,
the Servicers and any agent of any of them may treat the person or entity in
whose name any Owner Trust Certificate is registered as the owner of such Owner
Trust Certificate for the purpose of receiving distributions pursuant to
Section 3.1 hereof and for all other purposes whatsoever, and neither the
Owner Trustee, the Certificate Registrar, the Servicers nor any agent of any of
them shall be affected by notice to the contrary.

 

SECTION 11.4.      Access
to Names and Addresses. 
(a)  If any Certificateholder or
the Administrator (each, in such capacity, an “Applicant”) applies in
writing to the Owner Trustee, and such application states that the Applicant
desires to communicate with other Certificateholders with respect to their
rights under this Agreement or the Owner Trust Certificates and is accompanied
by a copy of the communication which such Applicant proposes to transmit, then
the Owner Trustee shall, at the expense of such Applicant, within ten (10)
Business Days after the receipt of such application, furnish or cause to be
furnished to such Applicant a list of the names and addresses of the
Certificateholders as set forth in the Certificate Register.

 

(b)           Every
Certificateholder consents to the disclosure to any Applicant of its identity
and status as a Certificateholder and agrees with the Owner Trustee that the
Owner Trustee and the Certificate Registrar shall not be held accountable in
any way by reason of the disclosure of any information as to the names and
addresses of the Certificateholders hereunder, regardless of the source from
which such information was derived.

 

SECTION 11.5.      Actions
of Certificateholders. 
(a)  Any request, demand,
authorization, direction, notice, consent, waiver or other action provided by
this Agreement to be given or taken by Certificateholders may be embodied in
and evidenced by one or more instruments of substantially similar tenor signed
by such Certificateholders in person or by agent duly appointed in writing; and
except as herein otherwise expressly provided, such action shall become
effective when such instrument or instruments are delivered to the Owner
Trustee.  Proof of execution of any such
instrument or of a writing appointing any such agent shall be sufficient for
any purpose of this Agreement and conclusive in favor of the Owner Trustee, if
made in the manner provided in this Section 11.5.

 

(b)           The
fact and date of the execution by any Certificateholder of any such instrument
or writing may be proved in any reasonable manner which the Owner Trustee deems
sufficient.

 

(c)           Any
request, demand, authorization, direction, notice, consent, waiver or other
action by a Certificateholder shall bind every transferee of every Owner Trust
Certificate issued upon the registration of transfer of such
Certificateholder’s Owner Trust Certificate or in exchange therefor or in lieu
thereof, in respect of anything done, or omitted to be done, by the Owner
Trustee, in reliance thereon, whether or not notation of such action is made
upon such Owner Trust Certificate.

 

26

 

(d)           The
Owner Trustee may require such additional proof of any matter referred to in
this Section 11.5 as it shall deem necessary.

 

SECTION 11.6.      Transferee’s
Agreement.  No
assignment, conveyance or other transfer pursuant to this Article XI shall
be effective unless the transferee shall have executed and delivered to the
Owner Trustee an instrument containing the transferee’s agreement to be bound
by the terms of this Agreement.

 

ARTICLE XII

 

MISCELLANEOUS

 

SECTION 12.1.      No
Legal Title to Trust Estate in the Certificateholder.  The Certificateholders shall not have legal
title to any part of the Trust Estate; provided, however, that
the Certificateholders have a beneficial interest in the applicable respective
Sub-Trust Estate.  No transfer by
operation of law or otherwise of any right, title or interest of the
Certificateholders in and to the respective Sub-Trust Estate or hereunder shall
operate to terminate this Agreement or the Trust or the trusts hereunder or
entitle any successor or transferee to an accounting or to the transfer to it
of legal title to any part of the respective Sub-Trust Estate.

 

SECTION 12.2.      Action
by the Owner Trustee is Binding.  Any actions, directions, approvals or
consents by the Owner Trustee so long as such actions, directions, consents or
approvals are made pursuant to the terms of this Agreement shall bind the
Certificateholders and shall be effective to consent to action taken by the
parties.  No such party shall be
required to inquire as to the authorization, necessity, expediency or
regularity of such consent by the Owner Trustee.

 

SECTION 12.3.      Limitation
on Rights of Others. 
Nothing in this Agreement, whether express or implied, shall be
construed to give to any person or entity, other than the Bank, the Owner
Trustee, the Depositors, the Certificateholders and UBS, any legal or equitable
right, remedy or claim under or in respect of this Agreement.

 

SECTION 12.4.      Notices.
 All demands, notices and communications
hereunder shall be in writing, may be given by facsimile transmission, shall be
deemed to have been given upon receipt (except that notices being sent by first
class mail, postage prepaid, shall be deemed to be received five business days
following the mailing thereof) as follows: (i) in the case of the Owner
Trustee, Wilmington Trust Company, Rodney Square North, 1100 North Market
Square, Wilmington Delaware 19890-0001, facsimile number: (302) 636-4140 or
(302) 636-4141, Attention: Corporate Trust Administration; (ii) in the case of
the Depositors, 33 Maiden Lane, New York, NY 10038, facsimile number: (212)
651-4674, Attention:  Michael A.
Zigrossi and John R. Cuti; (iii) in the case of the Trust, c/o MortgageIT, Inc.,
33 Maiden Lane, New York, NY 10038, facsimile number: (212) 651-4674,
Attention: Attention:  Michael A.
Zigrossi and John R. Cuti; and (iv) in the case of a Certificateholder, to that
Person’s name and address as set forth from time to time in the Certificate
Register; or as to each such Person such other address and/or facsimile number
as any of them shall specify by written notice to the other parties.

 

27

 

SECTION 12.5.      Severability.  To the extent permitted by law, any
provision of this Agreement that may be determined by competent authority to be
prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction,
be ineffective to the extent of such prohibition or unenforceability without
invalidating the remaining provisions hereof, and any such prohibition or
unenforceability in any jurisdiction shall not invalidate or render
unenforceable such provision in any other jurisdiction.

 

SECTION 12.6.      Limitation
on the Depositors’ and the Certificateholders’ Respective Liability.  Neither of the Depositors nor any
Certificateholder shall have any liability for the performance of this
Agreement except as expressly set forth herein.

 

SECTION 12.7.      Separate
Counterparts. 
This Agreement may be executed by the parties hereto in separate
counterparts, each of which when so executed and delivered shall be an
original, but all such counterparts shall together constitute but one and the
same instrument.

 

SECTION 12.8.      Successors
and Assigns.  All
covenants and agreements contained herein shall be binding upon, and inure to
the benefit of, the Bank, the Owner Trustee and its successors and assigns, the
Certificateholders and the Depositors and their respective successors and
assigns, all as herein provided.  Any
request, notice, direction, consent, waiver or other instrument or action by
either Depositor shall bind the successors and assigns of such Depositor and
any request, notice, direction, consent, waiver or other instrument or action
by a Certificateholder shall bind the successors and assigns of such
Certificateholder.  It is the intention
of the parties hereto that the Trust constitute a trust formed pursuant to the
laws of the State of Delaware with the purpose of facilitating the transactions
contemplated by the Trust Documents.

 

SECTION 12.9.      Headings.  The headings of the various articles and
sections herein are for convenience of reference only and shall not define or
limit any of the terms or provision hereof.

 

SECTION 12.10.    Governing
Law.  THIS
AGREEMENT SHALL IN ALL RESPECTS BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH
THE LAWS OF THE STATE OF DELAWARE.

 

SECTION 12.11.    Administration
of Trust.  The
principal place of administration of the Trust shall be in the State of
Delaware or in the State of New York.

 

SECTION 12.12.    Performance
by the Depositor or the Administrator.  Any obligation of the Owner Trustee or the
Trust hereunder or under any Trust Document or other document contemplated
herein may be performed by either Depositor or the Administrator and any such
performance shall not be construed as a revocation of the trusts created
hereby.

 

SECTION 12.13.    No
Implied Waiver. 
No term or provision of this Agreement may be changed, waived, discharged
or terminated orally, but only by an instrument in writing entered into as
provided in Section 9.1 hereof; and any such waiver of the terms hereof
shall be effective only in the specific instance and for the specific purpose
given.

 

28

 

SECTION 12.14.    Third
Party Beneficiary. 
UBS, for itself and for the benefit of the Noteholders, is an intended
third-party beneficiary of this Agreement from and including the date hereof to
the date on which the Liens on the Trust Estate created pursuant to the
Facility Agreements are satisfied, discharged and released; UBS shall give
notice to the Owner Trustee of such release.

 

SECTION 12.15.    References.  The definitions in Article I shall
apply equally to both the singular and plural forms of the terms defined.
“Include”, “included”, “includes” and “including” shall be deemed to be
followed by “without limitation”. 
“Writing”, “written” and comparable terms refer to printing, typing,
lithography or other means of reproducing words in a visible form.  Any agreement or instrument or any law, rule
or regulation of any Governmental Authority defined or referred to in
Article I means such agreement or instrument or such law, rule or
regulation as from time to time amended, modified or supplemented in accordance
with the terms thereof, including (in the case of agreements or instruments) by
waiver or consent and (in the case of such law, rule or regulation) by
succession of any comparable successor law, rule or regulation and includes (in
the case of agreements or instruments) references to all attachments thereto
and instruments incorporated therein. 
References to a Person are also to its successors and permitted assigns.  Any term defined above by reference to any
agreement or instrument or any law, rule or regulation of any Governmental
Authority has such meaning whether or not such agreement, instrument or law,
rule or regulation is in effect. 
“Agreement”, “hereof’, “herein”, “hereto”, “hereunder” and comparable
terms refer to this Agreement (including all exhibits and schedules hereto) and
not to any particular article, section, clause or other subdivision hereof or
attachment hereto.  References to any
gender include, unless the context otherwise requires, references to all
genders, and references to the singular include, unless the context other
requires, references to the plural and vice versa.  References in this Agreement to “Article”, “Section”, “Clause” or
another subdivision or to an attachment are, unless the context otherwise
requires, to an article, clause or subdivision of or attachment to this
Agreement.

 

SECTION 12.16.    UBS
Cash Account. 
(a)  The Trust hereby authorizes
and directs UBS to create a UBS Cash Account, which account shall be held by
the UBS and shall be subject to the terms and conditions of this
Agreement.  The UBS Cash Account shall
contain a sub-trust account with respect to the REIT Mortgage Loans (the “REIT
UBS Cash Account”) and a sub-trust account with respect to the TRS Mortgage
Loans (the “TRS UBS Cash Account”), that reflect the balances of the
REIT Trust Estate and the TRS Trust Estate, respectively.  UBS shall notify the Trust, via electronic
or facsimile transmission, of the UBS Cash Account Balance on each Business Day
when the UBS Cash Account Balance is greater than zero and on each Business Day
on which a Transaction or a Note Purchase occurs.

 

(b)           UBS
shall credit the REIT UBS Cash Sub-Account for (i) any deposits therein by the
REIT-Sub Trust upon the REIT Sub-Trust’s written direction pursuant to a
Withdrawal/Deposit Notice, (ii) any Supplemental Amount for any REIT Mortgage
Loan upon the refunding to UBS of the Disbursement Amount for such REIT
Mortgage Loan by the Escrow Agent upon any failure to apply the Disbursement
Amount in connection with the proposed funding of a Mortgage Loan, (iii) any
credit pursuant to a UBS Cash Account Adjustment, (iv) any UBS Cash Account
Interest Accruals and (vi) any deposits by the REIT Sub-Trust under the Note
Purchase Agreement.  UBS shall credit
the TRS UBS Cash Sub-Account for (i) any

 

29

 

deposits therein by the TRS Sub-Trust upon the TRS Sub-Trust’s written
direction pursuant to a Withdrawal/Deposit Notice, (ii) any amounts due the TRS
Sub-Trust and payable by UBS under any UBS Purchase Program to the extent not
otherwise netted as described in Section 3 of the Loan Repurchase Agreement,
(iii) any Supplemental Amount for any TRS Mortgage Loan upon the refunding to
UBS of the Disbursement Amount for such TRS Mortgage Loan by the Escrow Agent
upon any failure to apply the Disbursement Amount in connection with the
proposed funding of a TRS Mortgage Loan, (iv) any credit pursuant to a UBS Cash
Account Adjustment, (v) any UBS Cash Account Interest Accruals and (vi) any
deposits by the TRS Sub-Trust under the Loan Repurchase Agreement, the Loan
Purchase Agreement and/or the Loan Participation Agreement.

 

(c)           UBS
shall debit the REIT UBS Cash Sub-Account for (i) any withdrawals therefrom by
the REIT Sub-Trust upon the REIT Sub-Trust’s written direction pursuant to a
Withdrawal/Deposit Notice, (ii) the Supplemental Amount for any REIT Mortgage
Loan upon payment of the Disbursement Amount for such REIT Mortgage Loan to the
Escrow Agent, (iii) any debit pursuant to a UBS Cash Account Adjustment and
(iv) any Wire Fees and other fees or other amounts payable hereunder by the
REIT Sub-Trust.  UBS shall debit the TRS
UBS Cash Sub-Account for (i) any withdrawals therefrom by the TRS Sub-Trust
upon the TRS Sub-Trust’s written direction pursuant to a Withdrawal/Deposit
Notice, (ii) any amounts due UBS and payable by the TRS Sub-Trust under any UBS
Purchase Program, (iii) the Supplemental Amount for any TRS Mortgage Loan upon
payment of the Disbursement Amount for such TRS Mortgage Loan to the Escrow
Agent in accordance with Section 2(b)(2), Section 2(c)(1) and Section 2(d)(2)
of the Loan Repurchase Agreement, (iv) any debit pursuant to a UBS Cash Account
Adjustment and (v) any Wire Fees and other fees or other amounts payable
hereunder by the TRS Sub-Trust.

 

(d)           Upon
termination of any of the Facility Agreements and payment in full of all
obligations owing by the Trust under any of the Trust Documents, UBS shall
remit to each Sub-Trust the UBS Cash Account Balance in the related sub-trust
account.

 

(e)           The
Trust hereby confirms and agrees that to secure the Trust’s obligations under
Transaction Documents, it hereby grants to UBS a first priority continuing
security interest in and to the UBS Cash Account and all proceeds (as defined
in the UCC) of such account.  The Trust
further agrees that UBS may issue “entitlement orders” (within the meaning of
Section 8-102(a)(8) of the UCC) or other instructions from UBS, including, without
limitation, directing the transfer or redemption of any financial asset
credited to, or the disposition of funds held in, the UBS Cash Account for
application against any obligations in such order as UBS shall determined in
its sole discretion.  It is hereby
acknowledged and agreed that UBS is exercising exclusive control over the UBS
Cash Account as of the date hereof.

 

30

 

IN WITNESS WHEREOF, the parties hereto have caused
this Agreement to be duly executed by their respective officers hereunto duly
authorized, as of the date hereof.

 

	
   

  	
  MORTGAGEIT HOLDINGS,
  INC.,

  
	
   

  	
  as a Depositor and
  initial Certificateholder

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ JOHN R. CUTI

  	
   

  
	
   

  	
   

  	
  Name:

  	
  John R. Cuti

  	
   

  
	
   

  	
   

  	
  Title:

  	
   Secretary

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  MORTGAGEIT, INC.,

  
	
   

  	
  as a Depositor and
  initial Certificateholder

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ JOHN R. CUTI

  	
   

  
	
   

  	
   

  	
  Name:

  	
  John R. Cuti

  	
   

  
	
   

  	
   

  	
  Title:

  	
   Secretary

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  WILMINGTON TRUST
  COMPANY,

  
	
   

  	
  as Owner Trustee

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Janel R. Harvilla

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Janel R. Harvilla

  	
   

  
	
   

  	
   

  	
  Title:

  	
   Financial
  Services Officer

  	
   

  
							

 

	
  Acknowledged and Agreed to with

  Respect to Section 7.4 and Section 12.16

  of this Agreement By:

  
	
   

  
	
  UBS REAL ESTATE SECURITIES INC.

  
	
   

  
	
   

  
	
  By:

  	
  /s/ ROBERT CARPENTER

  	
   

  
	
   

  	
  Name:

  	
  Robert Carpenter

  
	
   

  	
  Title:

  	
  Director

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  By:

  	
  /s/ GEORGE MANGIARACINA

  	
   

  
	
   

  	
  Name:

  	
  George Mangiaracina

  
	
   

  	
  Title:

  	
  Managing Director

  
				

 

31

 

EXHIBIT A-1

 

FORM OF
REIT CERTIFICATE

 

MORTGAGEIT
SPV I, c/o Wilmington Trust Company, Rodney Square North, 1100

North Market Street, Wilmington, Delaware 19890-0001, facsimile number: (302)
636-4140

or (302) 636-4141, Attention: Corporate Trust Administration

 

evidencing a non-assessable, fully paid 100% beneficial interest in the
REIT Sub-Trust Estate.

 

	
  Date of Trust Agreement:

  August 4, 2004

  	
   

  	
  Percentage Interest in REIT Sub-Trust Evidenced by
  this Owner Trust Certificate: 100%

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Closing Date: August 4, 2004

  
	
   

  	
   

  	
   

  
	
  Depositor and initial Holder of the Owner Trust
  Certificates: MortgageIT Holdings, Inc.

  	
   

  	
  Owner Trustee: Wilmington Trust Company

  
	
   

  	
   

  	
   

  
	
  Owner Trust Certificate No.REIT-1

  	
   

  	
   

  

 

THIS
CERTIFICATE DOES NOT REPRESENT AN INTEREST IN, OR OBLIGATION OF, THE
DEPOSITORS, THE OWNER TRUSTEE, ANY OF THEIR RESPECTIVE AFFILIATES, OR ANY OTHER
PERSON.  THIS CERTIFICATE IS NOT INSURED
OR GUARANTEED, IN WHOLE OR IN PART, BY ANY GOVERNMENTAL ENTITY OR
INSTRUMENTALITY OR ANY PRIVATE INSURER OR GUARANTOR.

 

THIS CERTIFICATE HAS NOT BEEN AND WILL NOT BE REGISTERED
UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR THE SECURITIES LAWS OF ANY
STATE AND MAY NOT BE RESOLD OR TRANSFERRED UNLESS IT IS REGISTERED PURSUANT TO
SUCH ACT AND LAWS OR IS SOLD OR TRANSFERRED IN TRANSACTIONS THAT ARE EXEMPT
FROM REGISTRATION UNDER SUCH ACT AND UNDER APPLICABLE STATE LAW AND IS
TRANSFERRED IN ACCORDANCE WITH THE PROVISIONS OF SECTION 11.1 OF THE TRUST
AGREEMENT (AS DEFINED HEREIN).

 

NO TRANSFER OF THIS CERTIFICATE TO (A) AN EMPLOYEE BENEFIT
PLAN OR OTHER RETIREMENT ARRANGEMENT (EACH A “PLAN”) SUBJECT TO THE EMPLOYEE
RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED (“ERISA”) OR THE INTERNAL
REVENUE CODE OF 1986 (THE “CODE”) OR (B) TO ANY PERSON WHO IS DIRECTLY OR
INDIRECTLY PURCHASING THIS CERTIFICATE OR INTEREST HEREIN ON BEHALF OF, AS
NAMED FIDUCIARY OF, AS AGENT OF, OR WITH ASSETS OF A PLAN WILL BE REGISTERED.

 

A-1-1

 

THIS CERTIFICATE MAY NOT BE TRANSFERRED TO A NON-UNITED
STATES PERSON.

 

ANY RESALE, TRANSFER OR OTHER DISPOSITION OF THIS CERTIFICATE
MAY BE MADE ONLY IF THE PROPOSED TRANSFEREE PROVIDES (1) AN AFFIDAVIT TO THE
CERTIFICATE REGISTRAR THAT (A) SUCH TRANSFEREE IS A PERMITTED TRANSFEREE, IT IS
NOT ACQUIRING ITS OWNERSHIP INTEREST IN THE OWNER TRUST CERTIFICATE THAT IS THE
SUBJECT OF THE PROPOSED TRANSFER AS A NOMINEE, TRUSTEE OR AGENT FOR ANY PERSON
THAT IS NOT A PERMITTED TRANSFEREE, THAT FOR SO LONG AS IT RETAINS ITS
OWNERSHIP INTEREST IN AN OWNER TRUST CERTIFICATE, IT WILL ENDEAVOR TO REMAIN A
PERMITTED TRANSFEREE, AND THAT IT HAS REVIEWED THE PROVISIONS OF SECTION
11.1(D) OF THE TRUST AGREEMENT AND AGREES TO BE BOUND BY THEM.  EACH PERSON HOLDING OR ACQUIRING ANY
OWNERSHIP INTEREST IN AN OWNER TRUST CERTIFICATE SHALL AGREE (X) TO REQUIRE A
TRANSFER AFFIDAVIT AND AGREEMENT (IN THE FORM ATTACHED AS EXHIBIT C-1 TO THE
TRUST AGREEMENT) FROM ANY OTHER PERSON TO WHOM SUCH PERSON ATTEMPTS TO TRANSFER
ITS OWNERSHIP INTEREST IN AN OWNER TRUST CERTIFICATE AND (Y) NOT TO TRANSFER
ITS OWNERSHIP INTEREST UNLESS IT PROVIDES A TRANSFEROR AFFIDAVIT (A “TRANSFEROR
AFFIDAVIT,” IN THE FORM ATTACHED EXHIBIT C-2 TO THE TRUST AGREEMENT) TO THE
CERTIFICATE REGISTRAR STATING THAT, AMONG OTHER THINGS, IT HAS NOT ACTUAL
KNOWLEDGE THAT SUCH OTHER PERSON IS NOT A PERMITTED TRANSFEREE.  NOTWITHSTANDING THE REGISTRATION IN THE
CERTIFICATE REGISTER OF ANY TRANSFER, SALE OR OTHER DISPOSITION OF THIS OWNER
TRUST CERTIFICATE TO A PERSON WHO IS NOT A PERMITTED TRANSFEREE SUCH
REGISTRATION SHALL BE DEEMED TO BE OF NO LEGAL FORCE OR EFFECT WHATSOEVER AND
SUCH PERSON SHALL NOT BE DEEMED TO BE A CERTIFICATEHOLDER FOR ANY PURPOSE
HEREUNDER, INCLUDING, BUT NOT LIMITED TO, THE RECEIPT OF DISTRIBUTIONS ON THIS
CERTIFICATE.  EACH HOLDER OF THIS
CERTIFICATE BY ACCEPTANCE HEREOF SHALL BE DEEMED TO HAVE CONSENTED TO THE
PROVISIONS OF THIS PARAGRAPH AND THE PROVISIONS OF SECTION 11.1 OF THE TRUST
AGREEMENT REFERRED TO HEREIN.

 

This Certificate is issued pursuant to, and in
accordance with, the terms of a Trust Agreement, dated as of August 4, 2004
(the “Trust Agreement”; terms not otherwise defined herein shall have
the meanings assigned to those terms in the Trust Agreement), among MortgageIT,
Inc., MortgageIT Holdings, Inc. (together with MortgageIT, Inc., the
“Depositors”) and Wilmington Trust Company as Owner Trustee (the “Owner
Trustee”), a summary of certain of the pertinent provisions of which are
set forth herein. This Certificate is issued under and is subject to the terms,
provisions and conditions of the Trust Agreement, to which Trust Agreement the
holder of this Certificate by virtue of the acceptance hereof assents and by
which such Certificateholder is bound. 
In the event of a conflict between the provisions of this Certificate
and those of the Trust Agreement, the provisions of the Trust Agreement shall
control.

 

A-1-2

 

This certifies that MORTGAGEIT HOLDINGS, INC. (the “Certificateholder”)
is the registered owner of the beneficial interest evidenced by this
Certificate in the REIT Sub-Trust, a series of MortgageIT SPV I (the “Trust”)
established pursuant to the Trust Agreement. 
The assets of the Trust include the REIT Mortgage Loans and the proceeds
thereof.

 

Except to the extent of their execution and
authentication, respectively, of the REIT Certificates, the Owner Trustee and
the Certificate Registrar make no representation or warranty as to any of the
statements contained herein or the validity or sufficiency of this
Certificate.  The Owner Trustee has
executed this Certificate in its limited capacity as Owner Trustee under the
Trust Agreement, and the Certificate Registrar has authenticated this
Certificate in its limited capacity as Certificate Registrar under the Trust
Agreement.

 

Distributions on the REIT Certificates will be made,
to the extent of available funds in the REIT Sub-Trust, on the 2nd day of each
month or, if any such day is not a Business Day, then the next succeeding
Business Day (each, a “Payment Date”), commencing in September
2004.  As more fully described in the
Trust Agreement, distributions allocable to the REIT Certificates will be made
on each Payment Date up to the amount of Certificateholder Funds for the
related Payment Date and, to the extent not previously paid, for all prior
Payment Dates.  As and to the extent
described in the Trust Agreement, distributions of Certificateholder Funds will
be limited to the amount available for such purpose as described in Section
3.1.  Such available funds will be
distributed on each Payment Date on a pro rata basis among the Holders of the
REIT Certificates.

 

Upon the retirement of all of the Notes, the Holders
of the REIT Certificates will receive all further payments in respect of the
Certificateholder Funds.  Pursuant to
the Trust Agreement, all payments made with respect to the REIT Certificates on
any Payment Date shall be allocated pro rata among the Holders of the REIT
Certificates based upon their respective Percentage Interests in the REIT
Sub-Trust.  Payments to the Holders of
the REIT Certificates on each Payment Date will be made to the
Certificateholders of record on the related Record Date.  Payments to any Certificateholder on any
Payment Date shall be made by wire transfer of immediately available funds to
the account of such Certificateholder at a bank or other entity having
appropriate facilities therefor, if such Certificateholder shall have so
notified the Owner Trustee and the Servicers in writing at least five Business
Days prior to the related Record Date, or otherwise by check mailed by first
class mail to the address of such Certificateholder appearing in the
Certificate Register. Final payment on each Owner Trust Certificate will be made
in like manner, but only upon presentment and surrender of such Owner Trust
Certificate at the Corporate Trust Office or such other location specified in
the notice to Certificateholders of such final payment.

 

This Certificate does not purport to summarize the
Trust Agreement and the Trust Agreement shall govern the interests, rights and
limitations of rights, benefits, obligations and duties evidenced hereby and
the rights, duties and immunities of the Owner Trustee.

 

No transfer, sale, pledge or other disposition of this
Certificate or interest herein shall be made to a Non-United States Person.

 

A-1-3

 

No transfer, sale, pledge or other disposition of this
Certificate or interest herein shall be made unless that transfer, sale, pledge
or the disposition is exempt from the registration and/or qualification
requirements of the Securities Act and any applicable state securities laws, or
is otherwise made in accordance with the Securities Act and such state securities
laws.  The Trust has not been registered
as an investment company under the Investment Company Act, and no transfer of a
Certificate may be made (i) to any Person other than (a) a QIB or (b) a Person
involved in the organization or operation of the Trust or an Affiliate of such
Person within the meaning of the Investment Company Act or (ii) to any Person
that would require the Trust or any such trust fund to be registered as an
investment company under the Investment Company Act.  If such transfer is to be made to any Person who is not a Person
involved in the organization or operation of the Trust or an Affiliate of such
Person within the meaning of the Investment Company Act, then the Certificate
Registrar shall refuse to register such transfer unless it receives (and upon
receipt, may conclusively rely upon) a certificate from the Certificateholder
desiring to effect such transfer substantially in the form attached as Exhibit
B-1 to the Trust Agreement and a certificate from such Certificateholder’s
prospective transferee substantially in the form attached as Exhibit B-2 to the
Trust Agreement.  None of the Trust, the
Depositors, the Owner Trustee or the Certificate Registrar is obligated to
register or qualify this Certificate under the Securities Act or any other
securities laws or to take any action not otherwise required under the Trust
Agreement to permit the transfer of this Certificate or interest herein without
registration or qualification.  Any Certificateholder
desiring to effect a transfer of this Certificate or an interest herein shall,
and does hereby agree to, indemnify the Trust, the Depositors, the
Administrator, the Owner Trustee, the Trust Agent and the Certificate Registrar
against any liability that may result if the transfer is not so exempt or is
not made in accordance with such federal and state laws.

 

No transfer of this Certificate or any interest herein
shall be made (A) to any employee benefit plan or other retirement arrangement,
including individual retirement accounts and annuities, Keogh plans and
collective investment funds and separate accounts in which such plans, accounts
or arrangements are invested, including, without limitation, insurance company
general accounts, that is subject to ERISA or the Code (each, a “Plan”),
or (B) to any Person who is directly or indirectly purchasing this Certificate
or interest herein on behalf of, as named fiduciary of, as agent of, or with
assets of a Plan.

 

Prior to registration of any transfer, sale of other
disposition of this Owner Trust Certificate, (i) the proposed transferee shall
provide to the Certificate Registrar an affidavit to the effect that such
transferee is a Permitted Transferee and (ii) the Transferor shall provide the
Certificate Registrar an affidavit to the effect that, among other things, it
has no actual knowledge that the proposed transferee is not a Permitted
Transferee.  Notwithstanding the
registration in the Certificate Register of any transfer, sale or other disposition
of this Owner Trust Certificate to a person who is not a Permitted Transferee,
such registration shall be deemed to be of no legal force or effect whatsoever
and such Person shall not be deemed to be a Certificateholder for any purpose,
including, but not limited to, the receipt of distributions in respect of this
Owner Trust Certificate.

 

By its acceptance of a Certificate, each prospective
Holder agrees and acknowledges that no legal or beneficial interest in all or
any portion of any Certificate may be transferred directly or indirectly to an
individual, corporation, partnership or other Person unless

 

A-1-4

 

such transferee is not a Non-United States Person and any such
purported transfer shall be void and of no effect.

 

No assignment, conveyance or other transfer of this
Certificate shall be effective unless the transferee shall have executed and
delivered to the Owner Trustee an instrument containing the transferee’s
agreement to be bound by the terms of the Trust Agreement.

 

Prior to transfer of this Certificate in accordance
with the foregoing and the Trust Agreement, the Owner Trustee, the Trust and
the Certificate Registrar and any agent of any of them may treat the person or
entity in whose name this Certificate is registered as the owner hereof for the
purpose of receiving distributions pursuant to the Trust Agreement, pursuant to
the Note Purchase Agreement and for all other purposes whatsoever, and neither
the Owner Trustee, the Trust, the Certificate Registrar nor any agent of any of
them shall be affected by notice to the contrary.

 

As provided in the Trust Agreement and subject to
certain limitations herein and therein set forth, this Certificate is
exchangeable for other Certificates of the same Class in authorized
denominations representing a like aggregate Percentage Interest, as requested
by the Certificateholder surrendering the same.

 

No service charge will be made to a Certificateholder
for any such registration of transfer or exchange, but the Certificate
Registrar may require payment of a sum sufficient to cover any tax or other
governmental charge payable in connection therewith.

 

The Trust Agreement permits, with certain exceptions
therein provided, the amendment of the Trust Agreement and the modification of
the rights of the Certificateholders at any time by the Owner Trustee with the
consent of UBS and the Certificateholders entitled to a majority of the Voting
Rights (except as provided in the Trust Agreement).  Any consent by the Certificateholder of this Certificate shall be
conclusive and binding on such Certificateholder and upon all future
Certificateholders issued upon the transfer hereof or in exchange herefor or in
lieu hereof whether or not notation of such consent is made upon this
Certificate.

 

The obligations created by the Trust Agreement shall
not terminate until the Notes have been paid in full and the Liens on the Trust
Estate created by the Facility Agreements have been released.

 

Unless the Certificate of Authentication on this
Certificate has been executed by or on behalf of the Certificate Registrar, by
manual signature, this Certificate shall not be entitled to any benefit under
the Trust Agreement or be valid for any purpose.

 

A-1-5

 

IN WITNESS WHEREOF, the Owner Trustee has caused this
Certificate to be duly executed.

 

	
   

  	
  MORTGAGEIT SPV I acting
  with respect to the

  REIT Sub-Trust

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  WILMINGTON TRUST
  COMPANY, not in

  its individual capacity, but solely as Owner

  Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Authorized Officer

  

 

This is one of the Owner Trust Certificates referred to in the
within-referenced Trust Agreement.

 

	
  Date: August 4, 2004

  	
   

  
	
   

  	
   

  
	
   

  	
  WILMINGTON TRUST COMPANY, not in its

  individual capacity, but solely as Owner Trustee

  acting as Certificate Registrar

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Authorized Officer

  

 

A-1-6

 

ASSIGNMENT

 

FOR VALUE
RECEIVED, the undersigned (“Assignor(s)”) hereby sell(s), assign(s) and
transfer(s)
unto                                                                                                                                                                                                                                                        [(Please
print or typewrite name(s) and address(es). including postal zip code of
assignee(s)] (“Assignee(s)”) that portion of the interest in the Trust
represented by the within Owner Trust Certificate set forth below and hereby
authorize(s) the transfer and registration of transfer of such interest to
Assignee(s) on the Certificate Register of the Trust.

 

I (we) further
direct the Certificate Registrar to issue a new Certificate of the same Class
for that portion of the interest in the Trust represented by the within
Certificate set forth below to the above-named Assignee(s) and deliver such
Certificate to the following address:
                                                                                                                                                                              
to issue a new Owner Trust Certificate of the same Class for the remainder of
the interest in the Trust represented by the within Certificate to the
Assignor(s) and deliver such Certificate to the following address:
                                                                                  
and to cancel the within Certificate.

 

	
  Date:

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Signature by or on behalf of Assignor(s)

  
	
   

  	
   

  
	
  Percentage Interest

  	
   

  
	
  Transferred:

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Taxpayer Identification Number

  
						

 

A-1-7

 

EXHIBIT A-2

 

FORM OF
TRS CERTIFICATE

 

MORTGAGEIT
SPV I, c/o Wilmington Trust Company, Rodney Square North, 1100

North Market Street, Wilmington, Delaware 19890-0001, facsimile number: (302)
636-4140

or (302) 636-4141, Attention: Corporate Trust Administration

 

evidencing a non-assessable, fully paid 100% beneficial interest in the
TRS Sub-Trust Estate.

 

	
  Date of Trust Agreement:

  August 4, 2004

  	
   

  	
  Percentage Interest in TRS Sub-Trust Evidenced

  by this Owner Trust Certificate: 100%

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Closing Date: August 4, 2004

  
	
   

  	
   

  	
   

  
	
  Depositor and initial Holder of the Owner Trust
  Certificates: MortgageIT, Inc.

  	
   

  	
  Owner Trustee: Wilmington Trust Company

  
	
   

  	
   

  	
   

  
	
  Owner Trust Certificate No. TRS-1

  	
   

  	
   

  

 

THIS CERTIFICATE DOES NOT REPRESENT AN INTEREST IN, OR
OBLIGATION OF, THE DEPOSITORS, THE OWNER TRUSTEE, ANY OF THEIR RESPECTIVE
AFFILIATES, OR ANY OTHER PERSON.  THIS
CERTIFICATE IS NOT INSURED OR GUARANTEED, IN WHOLE OR IN PART, BY ANY
GOVERNMENTAL ENTITY OR INSTRUMENTALITY OR ANY PRIVATE INSURER OR GUARANTOR.

 

THIS CERTIFICATE HAS NOT BEEN AND WILL NOT BE REGISTERED
UNDER THE SECURITIES ACT OF 1933, AS
AMENDED, OR THE SECURITIES LAWS OF ANY STATE AND MAY NOT BE RESOLD OR
TRANSFERRED UNLESS IT IS REGISTERED PURSUANT TO SUCH ACT AND LAWS OR IS SOLD OR
TRANSFERRED IN TRANSACTIONS THAT ARE EXEMPT FROM REGISTRATION UNDER SUCH ACT
AND UNDER APPLICABLE STATE LAW AND IS TRANSFERRED IN ACCORDANCE WITH THE
PROVISIONS OF SECTION 11.1 OF THE TRUST AGREEMENT (AS DEFINED HEREIN).

 

NO TRANSFER OF THIS CERTIFICATE TO (A) AN EMPLOYEE BENEFIT
PLAN OR OTHER RETIREMENT ARRANGEMENT (EACH A “PLAN”) SUBJECT TO THE EMPLOYEE
RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED (“ERISA”) OR THE INTERNAL
REVENUE CODE OF 1986 (THE “CODE”) OR (B) TO ANY PERSON WHO IS DIRECTLY OR
INDIRECTLY PURCHASING THIS CERTIFICATE OR INTEREST HEREIN ON BEHALF OF, AS
NAMED FIDUCIARY OF, AS AGENT OF, OR WITH ASSETS OF A PLAN WILL BE REGISTERED.

 

A-2-1

 

THIS CERTIFICATE MAY NOT BE TRANSFERRED TO A NON-UNITED STATES PERSON.

 

ANY RESALE, TRANSFER OR OTHER DISPOSITION OF THIS CERTIFICATE MAY BE MADE ONLY IF THE PROPOSED
TRANSFEREE PROVIDES (1) AN AFFIDAVIT TO THE CERTIFICATE REGISTRAR THAT (A) SUCH
TRANSFEREE IS A PERMITTED TRANSFEREE, IT IS NOT ACQUIRING ITS OWNERSHIP
INTEREST IN THE OWNER TRUST CERTIFICATE THAT IS THE SUBJECT OF THE PROPOSED
TRANSFER AS A NOMINEE, TRUSTEE OR AGENT FOR ANY PERSON THAT IS NOT A PERMITTED
TRANSFEREE, THAT FOR SO LONG AS IT RETAINS ITS OWNERSHIP INTEREST IN AN OWNER
TRUST CERTIFICATE, IT WILL ENDEAVOR TO REMAIN A PERMITTED TRANSFEREE, AND THAT
IT HAS REVIEWED THE PROVISIONS OF SECTION 11.1(D) OF THE TRUST AGREEMENT AND
AGREES TO BE BOUND BY THEM.  EACH PERSON
HOLDING OR ACQUIRING ANY OWNERSHIP INTEREST IN AN OWNER TRUST CERTIFICATE SHALL
AGREE (X) TO REQUIRE A TRANSFER AFFIDAVIT AND AGREEMENT (IN THE FORM ATTACHED
AS EXHIBIT C-1 TO THE TRUST AGREEMENT) FROM ANY OTHER PERSON TO WHOM SUCH
PERSON ATTEMPTS TO TRANSFER ITS OWNERSHIP INTEREST IN AN OWNER TRUST
CERTIFICATE AND (Y) NOT TO TRANSFER ITS OWNERSHIP INTEREST UNLESS IT PROVIDES A
TRANSFEROR AFFIDAVIT (A “TRANSFEROR AFFIDAVIT,” IN THE FORM ATTACHED EXHIBIT
C-2 TO THE TRUST AGREEMENT) TO THE CERTIFICATE REGISTRAR STATING THAT, AMONG
OTHER THINGS, IT HAS NOT ACTUAL KNOWLEDGE THAT SUCH OTHER PERSON IS NOT A
PERMITTED TRANSFEREE.  NOTWITHSTANDING
THE REGISTRATION IN THE CERTIFICATE REGISTER OF ANY TRANSFER, SALE OR OTHER
DISPOSITION OF THIS OWNER TRUST CERTIFICATE TO A PERSON WHO IS NOT A PERMITTED
TRANSFEREE SUCH REGISTRATION SHALL BE DEEMED TO BE OF NO LEGAL FORCE OR EFFECT
WHATSOEVER AND SUCH PERSON SHALL NOT BE DEEMED TO BE A CERTIFICATEHOLDER FOR
ANY PURPOSE HEREUNDER, INCLUDING, BUT NOT LIMITED TO, THE RECEIPT OF
DISTRIBUTIONS ON THIS CERTIFICATE.  EACH
HOLDER OF THIS CERTIFICATE BY ACCEPTANCE HEREOF SHALL BE DEEMED TO HAVE
CONSENTED TO THE PROVISIONS OF THIS PARAGRAPH AND THE PROVISIONS OF SECTION
11.1 OF THE TRUST AGREEMENT REFERRED TO HEREIN.

 

This Certificate is issued pursuant to, and in
accordance with, the terms of a Trust Agreement, dated as of August 4, 2004
(the “Trust Agreement”; terms not otherwise defined herein shall have
the meanings assigned to those terms in the Trust Agreement), among MortgageIT,
Inc., MortgageIT Holdings, Inc. (together with MortgageIT, Inc., the
“Depositors”) and Wilmington Trust Company as Owner Trustee (the “Owner
Trustee”), a summary of certain of the pertinent provisions of which are
set forth herein. This Certificate is issued under and is subject to the terms,
provisions and conditions of the Trust Agreement, to which Trust Agreement the
holder of this Certificate by virtue of the acceptance hereof assents and by
which such Certificateholder is bound. 
In the event of a conflict between the provisions of this Certificate
and those of the Trust Agreement, the provisions of the Trust Agreement shall
control.

 

A-2-2

 

This certifies that MORTGAGEIT, INC. (the “Certificateholder”)
is the registered owner of the beneficial interest evidenced by this
Certificate in the TRS Sub-Trust, a series of MortgageIT SPV I (the “Trust”)
established pursuant to the Trust Agreement. 
The assets of the Trust include the TRS Mortgage Loans and the proceeds
thereof.

 

Except to the extent of their execution and
authentication, respectively, of the TRS Certificates, the Owner Trustee and
the Certificate Registrar make no representation or warranty as to any of the
statements contained herein or the validity or sufficiency of this
Certificate.  The Owner Trustee has
executed this Certificate in its limited capacity as Owner Trustee under the
Trust Agreement, and the Certificate Registrar has authenticated this
Certificate in its limited capacity as Certificate Registrar under the Trust
Agreement.

 

Distributions on the TRS Certificates will be made, to
the extent of available funds in the TRS Sub-Trust, on the 2nd day of each
month or, if any such day is not a Business Day, then the next succeeding
Business Day (each, a “Payment Date”), commencing in September,
2004.  As more fully described in the
Trust Agreement, distributions allocable to the TRS Certificates will be made
on each Payment Date up to the amount of Certificateholder Funds for the
related Payment Date and, to the extent not previously paid, for all prior
Payment Dates.  As and to the extent
described in the Trust Agreement, distributions of Certificateholder Funds will
be limited to the amount available for such purpose as described in Section
3.1.  Such available funds will be
distributed on each Payment Date on a pro rata basis among the Holders of the TRS
Certificates.

 

Upon the retirement of all of the Notes, the Holders
of the TRS Certificates will receive all further payments in respect of the
Certificateholder Funds.  Pursuant to
the Trust Agreement, all payments made with respect to the TRS Certificates on
any Payment Date shall be allocated pro rata among the Holders of the TRS
Certificates based upon their respective Percentage Interests in the TRS
Sub-Trust.  Payments to the Holders of
the TRS Certificates on each Payment Date will be made to the
Certificateholders of record on the related Record Date. Payments to any
Certificateholder on any Payment Date shall be made by wire transfer of
immediately available funds to the account of such Certificateholder at a bank
or other entity having appropriate facilities therefor, if such
Certificateholder shall have so notified the Owner Trustee and the Servicers in
writing at least five Business Days prior to the related Record Date, or
otherwise by check mailed by first class mail to the address of such Certificateholder
appearing in the Certificate Register. 
Final payment on each Owner Trust Certificate will be made in like
manner, but only upon presentment and surrender of such Owner Trust Certificate
at the Corporate Trust Office or such other location specified in the notice to
Certificateholders of such final payment.

 

This Certificate does not purport to summarize the
Trust Agreement and the Trust Agreement shall govern the interests, rights and
limitations of rights, benefits, obligations and duties evidenced hereby and
the rights, duties and immunities of the Owner Trustee.

 

No transfer, sale, pledge or other disposition of this
Certificate or interest herein shall be made to a Non-United States Person.

 

A-2-3

 

No transfer, sale, pledge or other disposition of this
Certificate or interest herein shall be made unless that transfer, sale, pledge
or the disposition is exempt from the registration and/or qualification
requirements of the Securities Act and any applicable state securities laws, or
is otherwise made in accordance with the Securities Act and such state
securities laws.  The Trust has not been
registered as an investment company under the Investment Company Act, and no
transfer of a Certificate may be made (i) to any Person other than (a) a QIB or
(b) a Person involved in the organization or operation of the Trust or an
Affiliate of such Person within the meaning of the Investment Company Act or
(ii) to any Person that would require the Trust or any such trust fund to be
registered as an investment company under the Investment Company Act.  If such transfer is to be made to any Person
who is not a Person involved in the organization or operation of the Trust or
an Affiliate of such Person within the meaning of the Investment Company Act,
then the Certificate Registrar shall refuse to register such transfer unless it
receives (and upon receipt, may conclusively rely upon) a certificate from the
Certificateholder desiring to effect such transfer substantially in the form
attached as Exhibit B-1 to the Trust Agreement and a certificate from such
Certificateholder’s prospective transferee substantially in the form attached
as Exhibit B-2 to the Trust Agreement. 
None of the Trust, the Depositors, the Owner Trustee or the Certificate
Registrar is obligated to register or qualify this Certificate under the
Securities Act or any other securities laws or to take any action not otherwise
required under the Trust Agreement to permit the transfer of this Certificate
or interest herein without registration or qualification.  Any Certificateholder desiring to effect a
transfer of this Certificate or an interest herein shall, and does hereby agree
to, indemnify the Trust, the Depositors, the Administrator, the Owner Trustee,
the Trust Agent and the Certificate Registrar against any liability that may
result if the transfer is not so exempt or is not made in accordance with such
federal and state laws.

 

No transfer of this Certificate or any interest herein
shall be made (A) to any employee benefit plan or other retirement arrangement,
including individual retirement accounts and annuities, Keogh plans and
collective investment funds and separate accounts in which such plans, accounts
or arrangements are invested, including, without limitation, insurance company
general accounts, that is subject to ERISA or the Code (each, a “Plan”),
or (B) to any Person who is directly or indirectly purchasing this Certificate
or interest herein on behalf of, as named fiduciary of, as agent of, or with
assets of a Plan.

 

Prior to registration of any transfer, sale of other
disposition of this Owner Trust Certificate, (i) the proposed transferee shall
provide to the Certificate Registrar an affidavit to the effect that such
transferee is a Permitted Transferee and (ii) the Transferor shall provide the
Certificate Registrar an affidavit to the effect that, among other things, it
has no actual knowledge that the proposed transferee is not a Permitted
Transferee.  Notwithstanding the registration
in the Certificate Register of any transfer, sale or other disposition of this
Owner Trust Certificate to a person who is not a Permitted Transferee, such
registration shall be deemed to be of no legal force or effect whatsoever and
such Person shall not be deemed to be a Certificateholder for any purpose,
including, but not limited to, the receipt of distributions in respect of this
Owner Trust Certificate.

 

By its acceptance of a Certificate, each prospective
Holder agrees and acknowledges that no legal or beneficial interest in all or
any portion of any Certificate may be transferred directly or indirectly to an
individual, corporation, partnership or other Person unless

 

A-2-4

 

such transferee is not a Non-United States Person and any such
purported transfer shall be void and of no effect.

 

No assignment, conveyance or other transfer of this
Certificate shall be effective unless the transferee shall have executed and
delivered to the Owner Trustee an instrument containing the transferee’s
agreement to be bound by the terms of the Trust Agreement.

 

Prior to transfer of this Certificate in accordance
with the foregoing and the Trust Agreement, the Owner Trustee, the Trust and
the Certificate Registrar and any agent of any of them may treat the person or
entity in whose name this Certificate is registered as the owner hereof for the
purpose of receiving distributions pursuant to the Trust Agreement, pursuant to
the Note Purchase Agreement and for all other purposes whatsoever, and neither
the Owner Trustee, the Trust, the Certificate Registrar nor any agent of any of
them shall be affected by notice to the contrary.

 

As provided in the Trust Agreement and subject to
certain limitations herein and therein set forth, this Certificate is
exchangeable for other Certificates of the same Class in authorized
denominations representing a like aggregate Percentage Interest, as requested
by the Certificateholder surrendering the same.

 

No service charge will be made to a Certificateholder
for any such registration of transfer or exchange, but the Certificate
Registrar may require payment of a sum sufficient to cover any tax or other
governmental charge payable in connection therewith.

 

The Trust Agreement permits, with certain exceptions
therein provided, the amendment of the Trust Agreement and the modification of
the rights of the Certificateholders at any time by the Owner Trustee with the
consent of UBS and the Certificateholders entitled to a majority of the Voting
Rights (except as provided in the Trust Agreement).  Any consent by the Certificateholder of this Certificate shall be
conclusive and binding on such Certificateholder and upon all future
Certificateholders issued upon the transfer hereof or in exchange herefor or in
lieu hereof whether or not notation of such consent is made upon this
Certificate.

 

The obligations created by the Trust Agreement shall
not terminate until the Notes have been paid in full and the Liens on the Trust
Estate created by the Facility Agreements have been released.

 

Unless the Certificate of Authentication on this
Certificate has been executed by or on behalf of the Certificate Registrar, by
manual signature, this Certificate shall not be entitled to any benefit under
the Trust Agreement or be valid for any purpose.

 

A-2-5

 

IN WITNESS WHEREOF, the Owner Trustee has caused this
Certificate to be duly executed.

 

	
   

  	
  MORTGAGEIT SPV I acting
  with respect to the

  TRS Sub-Trust

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  WILMINGTON TRUST
  COMPANY, not in

  its individual capacity, but solely as Owner

  Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Authorized Officer

  

 

 

This is one of the Owner Trust Certificates referred to in the
within-referenced Trust Agreement.

 

	
  Date: August 4, 2004

  	
   

  
	
   

  	
   

  
	
   

  	
  WILMINGTON TRUST
  COMPANY, not in its

  individual capacity, but solely as Owner Trustee

  acting as Certificate Registrar

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Authorized Officer

  

 

A-2-6

 

ASSIGNMENT

 

FOR VALUE
RECEIVED, the undersigned (“Assignor(s)”) hereby sell(s), assign(s) and
transfer(s) unto
               
                                                                                                                                                                                                                                                         
[(Please print or typewrite name(s) and address(es). including postal zip code
of assignee(s)] (“Assignee(s)”) that portion of the interest in the Trust
represented by the within Owner Trust Certificate set forth below and hereby
authorize(s) the transfer and registration of transfer of such interest to
Assignee(s) on the Certificate Register of the Trust.

 

I (we) further
direct the Certificate Registrar to issue a new Certificate of the same Class
for that portion of the interest in the Trust represented by the within
Certificate set forth below to the above-named Assignee(s) and deliver such
Certificate to the following address:   
                                                                                                                                                                         
to issue a new Owner Trust Certificate of the same Class for the remainder of
the interest in the Trust represented by the within Certificate to the Assignor(s)
and deliver such Certificate to the following address:
                                                                                  
                                                                                                                                                             and to cancel the within Certificate.

 

	
  Date:

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Signature by or on behalf of Assignor(s)

  
	
   

  	
   

  
	
  Percentage Interest

  	
   

  
	
  Transferred:

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Taxpayer Identification Number

  
						

 

A-2-7

 

EXHIBIT B-1

 

FORM OF TRANSFEROR
CERTIFICATE 

FOR TRANSFERS OF THE OWNER TRUST CERTIFICATES

 

[Date]

 

[CERTIFICATE REGISTRAR]

 

Re:                               MortgageIT
SPV I

owner trust certificates relating to the [REIT/TRS] Sub-Trust (the “Owner
Trust Certificates”)

 

Ladies and Gentlemen:

 

This letter is delivered to you in connection with the sale by
                                                    
(the “Transferor”) to
                                                      (the “Transferee”) of the Owner Trust
Certificates representing a
                   %
Percentage Interest in the [REIT/TRS] Sub-Trust (the “Transferred Owner
Trust Certificates”).  The Owner
Trust Certificates, including the Transferred Owner Trust Certificates, were
issued pursuant to the Trust Agreement, dated as of August 4, 2004 (the “Agreement”),
among MortgageIT, Inc., MortgageIT Holdings, Inc. (together with MortgageIT,
Inc., the “Depositors”) and Wilmington Trust Company as Owner Trustee
(the “Owner Trustee”).  All
capitalized terms used but not otherwise defined herein shall have the
respective meanings set forth in the Agreement.  The Transferor hereby certifies, represents and warrants to you,
as Certificate Registrar, and for the benefit of the Depositors, the Owner
Trustee and the Transferee, that:

 

1.             The
Transferor is the lawful owner of the Transferred Owner Trust Certificates with
the full right to transfer such Owner Trust Certificates free from any and all
claims and encumbrances whatsoever.

 

2.             Neither
the Transferor nor anyone acting on its behalf has (a) offered, transferred,
pledged, sold or otherwise disposed of any Owner Trust Certificate, any
interest in any Owner Trust Certificate or any other similar security to any
person in any manner, (b) solicited any offer to buy or accept a transfer,
pledge or other disposition of any Owner Trust Certificate, any interest in any
Owner Trust Certificate or any other similar security from any person in any
manner, (c) otherwise approached or negotiated with respect to any Owner Trust Certificate,
any interest in any Owner Trust Certificate or any other similar security with
any person in any manner, (d) made any general solicitation by means of general
advertising or in any other manner, or (e) taken any other action, which (in
the case of any of the acts described in clauses (a) through (e) hereof) would
constitute a distribution of any Owner Trust Certificate under the Securities
Act of 1933, as amended (the “Securities Act”), or would render the
disposition of any Owner Trust Certificate a violation of Section 5 of the
Securities Act or any state securities laws, or would require registration or
qualification of any Owner Trust Certificate pursuant to the Securities Act or
any state securities laws.

 

B-1-1

 

3.             The
Transferor and any person acting on behalf of the Transferor in this matter
reasonably believe that the Transferee is a “qualified institutional buyer” as
that term is defined in Rule 144A (“Rule 144A”) under the Securities Act (a
“Qualified Institutional Buyer”) purchasing for its own account or for the
account of a Qualified Institutional Buyer. In determining whether the
Transferee is a Qualified Institutional Buyer, the Transferor and any person
acting on behalf of the Transferor in this matter have relied upon the
following method(s) of establishing the Transferee’s ownership and
discretionary investments of securities (check one or more):

 

o                                    (a)
The Transferee’s most recent publicly available financial statements, which statements
present the information as of a date within 16 months preceding the date of
sale of the Transferred Owner Trust Certificate in the case of a U.S. purchaser
and within 18 months preceding such date of sale for a foreign purchaser; or

 

o                                    (b)
The most recent publicly available information appearing in documents filed by
the Transferee with the Securities and Exchange Commission or another United
States federal, state, or local governmental agency or self-regulatory
organization, or with a foreign governmental agency or self-regulatory
organization, which information is as of a date within 16 months preceding the
date of sale of the Transferred Owner Trust Certificate in the case of a U.S.
purchaser and within 18 months preceding such date of sale for a foreign
purchaser; or

 

o                                    (c)
The most recent publicly available information appearing in a recognized
securities manual, which information is as of a date within 16 months preceding
the date of sale of the Transferred Owner Trust Certificate in the case of a
U.S. purchaser and within 18 months preceding such date of sale for a foreign
purchaser; or

 

o                                    (d)
A certification by the chief financial officer, a person fulfilling an
equivalent function, or other executive officer of the Transferee, specifying
the amount of securities owned and invested on a discretionary basis by the
Transferee as of a specific date on or since the close of the Transferee’s most
recent fiscal year, or, in the case of a Transferee that is a member of a
“family of investment companies”, as that term is defined in Rule 144A, a
certification by an executive officer of the investment adviser specifying the
amount of securities owned by the “family of . investment companies” as of a
specific date on or since the close of the Transferee’s most recent fiscal
year.

 

4.             The
Transferor and any person acting on behalf of the Transferor understand that in
determining the aggregate amount of securities owned and invested on a
discretionary basis by an entity for purposes of establishing whether such
entity is a Qualified Institutional Buyer:

 

(a) the following instruments and interests shall be
excluded: securities of issuers that are affiliated with the Transferee;
securities that are part of an unsold

 

B-1-2

 

allotment to or subscription by the Transferee, if the
Transferee is a dealer; securities of issuers that are part of the Transferee’s
“family of investment companies”, if the Transferee is a registered investment
company; bank deposit notes and certificates of deposit; loan participations;
repurchase agreements; securities owned but subject to a repurchase agreement;
and currency, interest rate and commodity swaps;

 

(b) the aggregate value of the securities shall be the
cost of such securities, except where the entity reports its securities
holdings in its financial statements on the basis of their market value, and no
current information with respect to the cost of those securities has been
published, in which case the securities may be valued at market;

 

(c) securities owned by subsidiaries of the entity
that are consolidated with the entity in its financial statements prepared in
accordance with generally accepted accounting principles may be included if the
investments of such subsidiaries are managed under the direction of the entity,
except that, unless the entity is a reporting company under Section 13 or
15(d) of the Securities Exchange Act of 1934, as amended, securities owned by
such subsidiaries may not be included if the entity itself is a majority-owned
subsidiary that would be included in the consolidated financial statements of
another enterprise.

 

5.             The
Transferor or a person acting on its behalf has taken reasonable steps to
ensure that the Transferee is aware that the Transferor is relying on the
exemption from the provisions of Section 5 of the Securities Act provided
by Rule 144A.

 

6.             The
Transferor or a person acting on its behalf has furnished, or caused to be
furnished, to the Transferee all information regarding (a) the Transferred
Owner Trust Certificates and payments thereon, (b) the nature and performance
of the [REIT/TRS] Mortgage Loans, (c) the [Note Purchase Agreement/the Loan
Repurchase Agreement, the Loan Purchase Agreement and the Loan Participation
Agreement], the Agreement and the Trust Estate, and (d) any credit enhancement
mechanism associated with the Transferred Owner Trust Certificate, that the
Transferee has requested.

 

	
   

  	
  Very truly yours,

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  (Transferor)

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
  Name:

  	
   

  	
   

  
	
   

  	
  Title:

  	
   

  	
   

  
						

 

B-1-3

 

EXHIBIT B-2

 

FORM OF TRANSFEREE
CERTIFICATE

FOR TRANSFERS OF THE OWNER TRUST CERTIFICATES

 

[Date]

 

[CERTIFICATE REGISTRAR]

 

Re:                               MortgageIT
SPV I

owner trust certificates relating to the [REIT/TRS] Sub-Trust

(the “Owner Trust Certificates”)

 

Ladies and Gentlemen:

 

                                                  
(the “Transferee”) intends to purchase from
                                                  
(the “Transferor”) the Owner Trust Certificates representing a
            %
Percentage Interest in the [REIT/TRS] Sub-Trust (the “Transferred Owner
Trust Certificates”).  The Owner
Trust Certificates, including the Transferred Owner Trust Certificates, were
issued pursuant to the Trust Agreement, dated as of August 4, 2004 (the “Agreement”),
among MortgageIT, Inc., MortgageIT Holdings, Inc. (together with MortgageIT,
Inc., the “Depositors”) and Wilmington Trust Company as Owner Trustee
(the “Owner Trustee”).  All
capitalized terms used herein and not otherwise defined shall have the meanings
set forth in the Agreement.  The
Transferee hereby certifies, represents and warrants to you, as Certificate
Registrar, and for the benefit of the Depositors, the Owner Trustee and the
Transferor, that:

 

1.             The
Transferee is a “qualified institutional buyer” (a “Qualified Institutional
Buyer”) as that term is defined in Rule 144A (“Rule 144A”) under the
Securities Act of 1933, as amended (the “Securities Act’), and has
completed one of the forms of certification to that effect attached hereto as
Annex 1 and Annex 2.  The Transferee is
aware that the sale to it of the Transferred Owner Trust Certificates is being
made in reliance on Rule 144A.  The
Transferee is acquiring the Transferred Owner Trust Certificates for its own
account or for the account of a Qualified Institutional Buyer, and understands
that such Transferred Owner Trust Certificates may be resold, pledged or
transferred only (i) to a person reasonably believed to be a Qualified
Institutional Buyer that purchases for its own account or for the account of a
Qualified Institutional Buyer to whom notice is given that the resale, pledge
or transfer is being made in reliance on Rule 144A, or (ii) pursuant to another
exemption from registration under the Securities Act.

 

2.             The
Transferee has been furnished with all information regarding (a) the
Transferred Owner Trust Certificates and payments thereon, (b) the nature and
performance of the Notes and the [REIT/TRS] Mortgage Loans, (c) the [Note
Purchase Agreement/the Loan Repurchase Agreement, the Loan Purchase Agreement
and the Loan Participation Agreement], (d) the Agreement and (e) any credit
enhancement mechanism associated with the Transferred Owner Trust Certificates,
that it has requested.

 

B-2-1

 

3.             The
transferee represents that it is not any employee benefit plan subject to the
Employee Retirement Income Security Act of 1974, as amended (“ERISA”),
or the Internal Revenue Code of 1986, as amended (the “Code”), or a
Person acting, directly or indirectly, on behalf of any such plan or any Person
acquiring such Owner Trust Certificates with “plan assets” of a Plan within the
meaning of the Department of Labor regulation promulgated at 29 C.F.R.
§2510.3-101.

 

4.             The
transferee represents that it is not a Non-United States Person.

 

	
   

  	
  Very truly yours,

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  (Transferee)

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
  Name:

  	
   

  	
   

  
	
   

  	
  Title:

  	
   

  	
   

  
						

 

B-2-2

 

ANNEX 1 TO EXHIBIT B-2

 

QUALIFIED INSTITUTIONAL
BUYER STATUS UNDER SEC RULE 144A

 

[for Transferees other than Registered Investment Companies]

 

The undersigned hereby certifies as follows to [name
of Transferor] (the “Transferor”) and [name of Certificate Registrar],
as Certificate Registrar, with respect to the Owner Trust Certificates being
transferred (the “Transferred Owner Trust Certificates”) as described in
the Transferee Certificate to which this certification relates and to which
this certification is an Annex:

 

1.             As
indicated below, the undersigned is the chief financial officer, a person
fulfilling an equivalent function, or other executive officer of the entity
purchasing the Transferred Owner Trust Certificates (the “Transferee”).

 

2.             The
Transferee is a “qualified institutional buyer” as that term is defined in Rule
144A under the Securities Act of 1933, as amended (“Rule 144A”), because
(i) the Transferee owned and/or invested on a discretionary basis $___________
in securities (other than the excluded securities referred to below) as of the
end of the Transferee’s most recent fiscal year (such amount being calculated
in accordance with Rule 144A) and (ii) the Transferee satisfies the criteria in
the category marked below.

 

o                                    Corporation,
etc.  The Transferee is a
corporation (other than a bank, savings and loan association or similar
institution), Massachusetts or similar statutory trust, partnership, or any
organization described in Section 501(c)(3) of the Internal Revenue Code
of 1986, as amended.

 

o                                    Bank.  The Transferee (a) is a national bank or a
banking institution organized under the laws of any state, U.S. territory or
the District of Columbia, the business of which is substantially confined to
banking and is supervised by the state or territorial banking commission or
similar official or is a foreign bank or equivalent institution, and (b) has an
audited net worth of at least $25,000,000 as demonstrated in its latest annual
financial statements, a copy of which is attached hereto, as of a date
not more than 16 months preceding the date of sale of the Owner Trust
Certificate in the case of a U.S. bank, and not more than 18 months preceding
such date of sale for a foreign bank or equivalent institution.

 

o                                    Savings
and Loan.  The Transferee (a) is a
savings and loan association, building and loan association, cooperative bank,
homestead association or similar institution, which is supervised and examined
by a state or federal authority having supervision over any such institutions
or is a foreign savings and loan association or equivalent institution and (b)
has an audited net worth of at least $25,000,000 as demonstrated in its latest
annual financial statements, a copy of which is attached hereto, as of a
date not more than 16 months preceding the date of sale of the Owner Trust
Certificate in the case of a U.S. savings and loan

 

B-2-3

 

association, and not more than 18 months preceding
such date of sale for a foreign savings and loan association or equivalent
institution.

 

o                                    Broker-dealer.  The Transferee is a dealer registered
pursuant to Section 15 of the Securities Exchange Act of 1934, as amended.

 

o                                    Insurance
Company.  The Transferee is an
insurance company whose primary and predominant business activity is the
writing of insurance or the reinsuring of risks underwritten by insurance
companies and which is subject to supervision by the insurance commissioner or
a similar official or agency of a state, U.S. territory or the District of
Columbia.

 

o                                    State
or Local Plan.  The Transferee is a
plan established and maintained by a state, its political subdivisions, or any
agency or instrumentality of the state or its political subdivisions, for the
benefit of its employees.

 

o                                    ERISA
Plan.  The Transferee is an employee
benefit plan within the meaning of Title I of the Employee Retirement Income
Security Act of 1974.

 

o                                    Investment
Advisor.  The Transferee is an
investment advisor registered under the Investment Advisers Act of 1940, as
amended.

 

o                                    Other.  (Please supply a brief description of the
entity and a cross-reference to the paragraph and subparagraph under
subsection (a)(1) of Rule 144A pursuant to which it qualifies.  Note that registered investment companies
should complete Annex 2 rather than this Annex 1.)

 

 

 

3.             The
term “securities” as used herein does not include (i) securities
of issuers that are affiliated with the Transferee, (ii) securities that are
part of an unsold allotment to or subscription by the Transferee, if the
Transferee is a dealer, (iii) bank deposit notes and certificates of deposit, (iv)
loan participations, (v) repurchase agreements, (vi) securities owned but
subject to a repurchase agreement and (vii) currency, interest rate and
commodity swaps.  For purposes of
determining the aggregate amount of securities owned and/or invested on a
discretionary basis by the Transferee, the Transferee did not include any of
the securities referred to in this paragraph.

 

4.             For
purposes of determining the aggregate amount of securities owned and/or
invested on a discretionary basis by the Transferee, the Transferee used the
cost of such securities to the Transferee, unless the Transferee reports its
securities holdings in its financial statements on the basis of their market
value, and no current information with respect to the cost of those securities
has been published, in which case the securities were valued at market.  Further, in determining such aggregate
amount, the Transferee may have included securities owned by subsidiaries of
the Transferee, but only if such subsidiaries are consolidated with the
Transferee in its financial statements prepared in accordance with generally
accepted accounting principles and if the investments of such subsidiaries are
managed under the Transferee’s direction. 
However, such securities were not included if the Transferee is a
majority-owned,

 

B-2-4

 

consolidated subsidiary of another enterprise and the Transferee is not
itself a reporting company under the Securities Exchange Act of 1934, as
amended.

 

5.             The
Transferee acknowledges that it is familiar with Rule 144A and understands that
the Transferor and other parties related to the Transferred Owner Trust
Certificates are relying and will continue to rely on the statements made
herein because one or more sales to the Transferee may be in reliance on Rule
144A.

 

	
  o

  	
  o

  	
   

  	
  Will the Transferee be purchasing the Transferred
  Owner Trust Certificates only for the Transferee’s own 

  
	
  Yes

  	
  No

  	
   

  	
  account?

  

 

6.             If
the answer to the foregoing question is “no”, then in each case where the
Transferee is purchasing for an account other than its own, such account
belongs to a third party that is itself a “qualified institutional buyer”
within the meaning of Rule 144A, and the “qualified institutional buyer” status
of such third party has been established by the Transferee through one or more
of the appropriate methods contemplated by Rule 144A.

 

7.             The
Transferee will notify each of the parties to which this certification is made
of any changes in the information and conclusions herein.  Until such notice is given, the Transferee’s
purchase of the Transferred Owner Trust Certificates will constitute a
reaffirmation of this certification as of the date of such purchase.  In addition, if the Transferee is a bank or
savings and loan as provided above, the Transferee agrees that it will furnish
to such parties any updated annual financial statements that become available
on or before the date of such purchase, promptly after they become available.

 

	
   

  	
   

  	
   

  
	
   

  	
  Print Name of
  Transferee

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
  Name:

  	
   

  	
   

  
	
   

  	
  Title:

  	
   

  	
   

  
	
   

  	
  Date:

  	
   

  	
   

  
						

 

B-2-5

 

ANNEX 2 TO EXHIBIT B-2

 

QUALIFIED INSTITUTIONAL
BUYER STATUS UNDER SEC RULE 144A

 

[for Transferees that are Registered Investment Companies]

 

The undersigned
hereby certifies as follows to [name of Transferor] (the “Transferor”)
and [name of Certificate Registrar], as Certificate Registrar, with respect to
the Owner Trust Certificates being transferred (the “Transferred Owner Trust
Certificates”) as described in the Transferee Certificate to which this
certification relates and to which this certification is an Annex:

 

1.             As indicated below, the undersigned
is the chief financial officer, a person fulfilling an equivalent function, or
other executive officer of the entity purchasing the Transferred Certificates
(the “Transferee”) or, if the Transferee is a “qualified institutional
buyer” as that term is defined in Rule 144A under the Securities Act of 1933,
as amended (“Rule 144A”), because the Transferee is part of a Family of
Investment Companies (as defined below), is an executive officer of the
investment adviser (the “Adviser”).

 

2.             The Transferee is a “qualified
institutional buyer” as defined in Rule 144A because (i) the Transferee is an
investment company registered under the Investment Company Act of 1940, as
amended, and (ii) as masked below, the Transferee alone owned and/or invested
on a discretionary basis, or the Transferee’s Family of Investment Companies
owned, at least $100,000,000 in securities (other than the excluded securities
referred to below) as of the end of the Transferee’s most recent fiscal year.
For purposes of determining the amount of securities owned by the Transferee or
the Transferee’s Family of Investment Companies, the cost of such securities was
used, unless the Transferee or any member of the Transferee’s Family of
Investment Companies, as the case may be, reports its securities holdings in
its financial statements on the basis of their market value, and no current
information with respect to the cost of those securities has been published, in
which case the securities of such entity were valued at market.

 

o                                    The
Transferee owned and/or invested on a discretionary basis
$                                
in securities (other than the excluded securities referred to below) as of the
end of the Transferee’s most recent fiscal year (such amount being calculated
in accordance with Rule 144A).

 

o                                    The
Transferee is part of a Family of Investment Companies which owned in the
aggregate
$                                
in securities (other than the excluded securities referred to below) as of the
end of the Transferee’s most recent fiscal year (such amount being calculated
in accordance with Rule 144A).

 

3.             The
term “Family of Investment Companies” as used herein means two or more
registered investment companies (or series thereof) that have the same
investment adviser or investment advisers that are affiliated (by virtue of
being majority owned subsidiaries of the same parent or because one investment
adviser is a majority owned subsidiary of the other).

 

B-2-6

 

4.             The
term “securities” as used herein does not include (i) securities of
issuers that are affiliated with the Transferee or are part of the Transferee’s
Family of Investment Companies, (ii) bank deposit notes and certificates of
deposit, (iii) loan participations, (iv) repurchase agreements, (v) securities
owned but subject to a repurchase agreement and (vi) currency, interest rate
and commodity swaps. For purposes of determining the aggregate amount of
securities owned and/or invested on a discretionary basis by the Transferee, or
owned by the Transferee’s Family of Investment Companies, the securities
referred to in this paragraph were excluded.

 

5.             The
Transferee is familiar with Rule 144A and understands that the parties to which
this certification is being made are relying and will continue to rely on the
statements made herein because one or more sales to the Transferee will be in
reliance on Rule 144A.

 

	
  o

  	
  o

  	
   

  	
  Will the Transferee be purchasing the Transferred
  Owner Trust Certificates only for the Transferee’s 

  
	
  Yes

  	
  No

  	
   

  	
  own account?

  

 

6.             If the answer to the foregoing
question is “no”, then in each case where the Transferee is purchasing for an
account other than its own, such account belongs to a third party that is
itself a “qualified institutional buyer” within the meaning of Rule 144A, and
the “qualified institutional buyer” status of such third party has been
established by the Transferee through one or more of the appropriate methods
contemplated by Rule 144A.

 

7.             The undersigned will notify the
parties to which this certification is made of any changes in the information
and conclusions herein.  Until such
notice, the Transferee’s purchase of the Transferred Owner Trust Certificates
will constitute a reaffirmation of this certification by the undersigned as of
the date of such purchase.

 

 

	
   

  	
   

  	
   

  
	
   

  	
  Print Name of
  Transferee or Adviser

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
  Name:

  	
   

  	
   

  
	
   

  	
  Title:

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  IF AN ADVISER:

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Print Name of
  Transferee

  
	
   

  	
   

  
	
   

  	
  Date:

  	
   

  	
   

  
	
   

  	
   

  
								

 

B-2-7

 

EXHIBIT C-1

 

FORM
OF TRANSFER AFFIDAVIT

 

STATE OF
                         )

: ss.:

COUNTY OF
                     )

 

                                                       
being duly sworn, deposes, represents and warrants as follows:

 

1.             I am a
                                                       
of
                                                       
(the ”Owner”) a corporation duly organized and existing under the
laws of
                             ,
the record owner of MORTGAGEIT SPV I, Owner Trust Certificates (the “Owner
Trust Certificates”), on behalf of whom I make this affidavit and
agreement.  Capitalized terms used but
not defined herein have the respective meanings assigned thereto in the Trust
Agreement, dated as of August 4, 2004 (the “Agreement”) among
MortgageIT, Inc., MortgageIT Holdings, Inc. and Wilmington Trust Company as
owner trustee.

 

2.             The Owner (i) is and will be a
“Permitted Transferee” as of
                                     
20      and (ii) is acquiring the Owner Trust
Certificates for its own account or for the account of another Owner from which
it has received an affidavit in substantially the same form as this affidavit.

 

3.             The Owner is aware that the
Certificate Registrar will not register the transfer of any Owner Trust
Certificate unless the transferee, or the transferee’s agent, delivers to the
Certificate Registrar, among other things, an affidavit in substantially the
same form as this affidavit.  The Owner
expressly agrees that it will not consummate any such transfer if it knows or
believes that any of the representations contained in such affidavit and
agreement are false.

 

4.             The Owner consents to any additional
restrictions or arrangements that shall be deemed necessary upon advice of
counsel to constitute a reasonable arrangement to ensure that the Owner Trust
Certificates will only be owned, directly or indirectly, by an Owner that is a
Permitted Transferee.

 

5.             The Owner has reviewed the
restrictions set forth on the face of the Owner Trust Certificates and the
provisions of Section 11.1 of the Agreement under which the Owner Trust
Certificates were issued; and that the Owner expressly agrees to be bound by and
to comply with such restrictions and provisions.

 

6.             The Owner will, in connection with
any transfer that it makes of the Owner Trust Certificates, obtain from its
transferee the representations required by Section 11.1(d) of the Agreement
under which the Owner Trust Certificates were issued, or an affidavit in
substantially the same form as this affidavit, and will not consummate any such
transfer if it knows, or knows facts that should lead it to believe, that any
such representations are false.

 

C-1-1

 

7.             The Owner will, in connection with
any transfer that it makes of the Owner Trust Certificates, deliver to the
Trustee an affidavit, that it has no actual knowledge that the proposed
transferee is not a “Permitted Transferee”.

 

8.             The Owner is a citizen or resident
of the United States, a corporation, partnership or other entity created or
organized in, or under the laws of the United States or any state thereof or
the District of Columbia, or an estate whose income from sources without the
United States may be included in gross income for United States federal income
tax purposes regardless of its connection with the conduct of a trade or
business within the United States or a trust other than a “foreign trust” as
defined in Section 7701(a)(31) of the Code.

 

IN WITNESS WHEREOF, the Owner has caused this
instrument to be executed on its behalf, pursuant to the authority of its Board
of Directors, by its [Vice] President, attested by its [Assistant] Secretary,
this             day of
                         ,
20     .

 

	
  [OWNER]

  
	
   

  
	
  By:

  	
   

  	
   

  
	
  Name:

  
	
  Title: 
  [Vice] President

  
	
   

  
	
  ATTEST:

  
	
   

  
	
  By:

  	
   

  	
   

  
	
  Name:

  
	
  Title: [Assistant] Secretary

  

 

Personally appeared before me the above-named , known
or proved to me to be the same person who executed the foregoing instrument and
to be a [Vice] President of the Owner, and acknowledged to me that [he/she]
executed the same as [his/her] free act and deed and the free act and deed of
the Owner.

 

Subscribed and sworn before me this
            day of
                              ,
20     .

 

	
   

  	
   

  
	
  Notary Public

  
	
   

  
	
  County of

  
	
   

  
	
  State of

  
	
   

  
	
  My Commission expires:

  

 

C-1-2

 

EXHIBIT C-2

 

FORM
OF TRANSFEROR AFFIDAVIT

 

STATE OF
                         )

 

: ss.:

 

COUNTY OF
                         )

 

                               ,
being duly sworn, deposes, represents and warrants as follows:

 

1.             I am a
                                        
of                                                 
(the “Owner”), a corporation duly organized and existing under the laws
of
                         ,
on behalf of whom I make this affidavit.

 

2.             The Owner understands that the
Purchaser has delivered to the Certificate Registrar a transfer affidavit and
agreement in the form attached as Exhibit C-1 to the Trust Agreement.  The Owner does not know or believe that any
representation contained therein is false.

 

3.             Capitalized terms not otherwise
defined herein shall have the meanings ascribed to them in the Trust Agreement,
dated as of August 4, 2004 (the “Trust Agreement”) among MortgageIT, Inc.,
MortgageIT Holdings, Inc. and Wilmington Trust Company, as Owner Trustee.

 

IN WITNESS WHEREOF, the Owner has caused this
instrument to be executed on its behalf, pursuant to the authority of its Board
of Directors, by its [Vice] President, attested by its [Assistant] Secretary,
this             day of
                          ,
20      .

 

	
  [OWNER]

  
	
   

  
	
  By:

  	
   

  	
   

  
	
  Name:

  
	
  Title: 
  [Vice] President

  
	
   

  
	
  ATTEST:

  
	
   

  
	
  By:

  	
   

  	
   

  
	
  Name:

  
	
  Title: [Assistant] Secretary

  

 

Personally
appeared before me the above-named
                           ,
known or proved to me to be the same person who executed the foregoing
instrument and to be a [Vice] President of the Owner, and acknowledged to me
that [he/she] executed the same as [his/her] free act and deed and the free act
and deed of the Owner.

 

C-2-1

 

Subscribed and
sworn before me this
           day of
                             ,
20     .

 

	
   

  	
   

  
	
  Notary Public

  
	
   

  
	
  County of

  
	
   

  
	
  State of

  
	
   

  
	
  My Commission expires:

  

 

C-2-2

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