Novastar Mortgage Funding Trust 2007-2

Mortgage Pass-Through Certificates

December 26, 2007 Distribution

External Parties

Table of Contents

Page

Seller

1. Certificate Payment Report

Novastar Mtg Funding Corp.

2. Collection Account Report

3. Credit Enhancement Report

Servicer(s)

4. Collateral Report

Saxon Mortgage Services, Inc.

5. Delinquency Report

6. REO Report

Underwriter(s)

7. Foreclosure Report

Deutsche Bank Securities

8. Prepayment Report

Greenwich Capital Markets

9. Prepayment Detail Report

10. Realized Loss Report

PMI Insurer

11. Realized Loss Detail Report

PMI Mortgage Insurance Co.

12. Triggers and Adj. Cert. Report

Mortgage Guaranty Insurance Corp.

13. Additional Certificate Report

Hedge Provider

Total Number of Pages

Dates

Contacts

Cut-Off Date:

May 01, 2007

Michael Boyle

Close Date:

June 01, 2007

Administrator

First Distribution Date:

June 25, 2007

(714) 247-6273

michael-l.boyle@db.com

Address:

Distribution Date:

December 26, 2007

1761 E.Saint Andrew Pl, Santa Ana, CA 92705

Record Date:

November 30, 2007

Factor Information:

(800) 735-7777

December 24, 2007

Main Phone Number:

(714) 247-6000

Determination Date:

December 14, 2007

https://tss.sfs.db.com/investpublic

Page 1 of 32

Novastar Mortgage Funding Trust 2007-2



Mortgage Pass-Through Certificates
Mortgage Pass-Through Certificates
December 26, 2007 Distribution

Certificate Payment Report
Current Period Distribution - REMIC VI
			Prior						Current
			Prior

	Class	Original	Principal			Total	Realized	Deferred	Principal

Class	Type	Face Value	Balance	Interest	Principal	Distribution	Loss	Interest	Balance
			(1)	(2)	(3)	(4)=(2)+(3)	(5)	(6)	(7)=(1)-(3)-(5)+(6)
A-1A	SR	779,369,000.00	736,448,226.89	3,058,181.04	8,362,022.13	11,420,203.17	0.00	0.00	728,086,204.76
A-1A	SR	779,369,000.00	736,448,226.89	3,058,181.04	8,362,022.13	11,420,203.17	0.00	0.00	728,086,204.76
A-2A	SR	140,080,000.00	123,289,282.48	500,670.58	1,658,343.69	2,159,014.27	0.00	0.00	121,630,938.79
A-2B	SR	80,420,000.00	80,420,000.00	331,272.10	0.00	331,272.10	0.00	0.00	80,420,000.00
A-2C	SR	49,730,000.00	49,730,000.00	205,680.38	0.00	205,680.38	0.00	0.00	49,730,000.00
A-2D	SR	18,601,000.00	18,601,000.00	78,327.73	0.00	78,327.73	0.00	0.00	18,601,000.00
M-1	MEZ	70,700,000.00	70,700,000.00	299,481.08	0.00	299,481.08	0.00	0.00	70,700,000.00
M-2	MEZ	49,700,000.00	49,700,000.00	211,354.63	0.00	211,354.63	0.00	0.00	49,700,000.00
M-3	MEZ	23,800,000.00	23,800,000.00	101,608.75	0.00	101,608.75	0.00	0.00	23,800,000.00
M-4	MEZ	21,700,000.00	21,700,000.00	95,536.60	0.00	95,536.60	0.00	0.00	21,700,000.00
M-5	MEZ	21,700,000.00	21,700,000.00	98,791.60	0.00	98,791.60	0.00	0.00	21,700,000.00
M-6	MEZ	18,900,000.00	18,900,000.00	90,296.80	0.00	90,296.80	0.00	0.00	18,900,000.00
M-7	MEZ	18,900,000.00	18,900,000.00	102,896.80	0.00	102,896.80	0.00	0.00	18,900,000.00
M-8	MEZ	15,400,000.00	15,400,000.00	93,466.84	0.00	93,466.84	0.00	0.00	15,400,000.00
M-9	MEZ	15,400,000.00	15,400,000.00	93,466.84	0.00	93,466.84	0.00	0.00	15,400,000.00
M-10	MEZ	16,100,000.00	16,100,000.00	97,715.33	0.00	97,715.33	0.00	0.00	16,100,000.00
C	SUB	59,500,000.00	59,500,000.00	3,767,329.38	0.00	3,767,329.38	0.00	0.00	59,500,000.00
R	RES	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00

Total		1,400,000,000.00	1,340,288,509.37	9,226,076.48	10,020,365.82	19,246,442.30	0.00	0.00	1,330,268,143.55
Total




Interest Accrual Detail Current Period Factor Information per $1,000 of Original Face Value
					Orig. Principal	Prior				Current
					Orig. Principal	Prior				Current
	Period	Period			(with Notional)	Principal			Total	Principal
Class	Starting	Ending	Method	Cusip	Balance	Balance	Interest	Principal	Distribution	Balance
			Method
					(1)	(1)	(2)	(3)	(4)=(2)+(3)	(5)

A-1A	11/26/07	12/25/07	A-Act/360	66989EAA3	779,369,000.00	944.928817	3.923919	10.729221	14.653140	934.199596
A-1A	11/26/07	12/25/07	A-Act/360	66989EAA3	779,369,000.00	944.928817	3.923919	10.729221	14.653140	934.199596
A-2A	11/26/07	12/25/07	A-Act/360	66989EAB1	140,080,000.00	880.134798	3.574176	11.838547	15.412723	868.296251
A-2B	11/26/07	12/25/07	A-Act/360	66989EAC9	80,420,000.00	1,000.000000	4.119275	0.000000	4.119275	1,000.000000
A-2C	11/26/07	12/25/07	A-Act/360	66989EAD7	49,730,000.00	1,000.000000	4.135942	0.000000	4.135942	1,000.000000
A-2D	11/26/07	12/25/07	A-Act/360	66989EAE5	18,601,000.00	1,000.000000	4.210942	0.000000	4.210942	1,000.000000
M-1	11/26/07	12/25/07	A-Act/360	66989EAF2	70,700,000.00	1,000.000000	4.235942	0.000000	4.235942	1,000.000000
M-2	11/26/07	12/25/07	A-Act/360	66989EAG0	49,700,000.00	1,000.000000	4.252608	0.000000	4.252608	1,000.000000
M-3	11/26/07	12/25/07	A-Act/360	66989EAH8	23,800,000.00	1,000.000000	4.269275	0.000000	4.269275	1,000.000000
M-4	11/26/07	12/25/07	A-Act/360	66989EAJ4	21,700,000.00	1,000.000000	4.402608	0.000000	4.402608	1,000.000000
M-5	11/26/07	12/25/07	A-Act/360	66989EAK1	21,700,000.00	1,000.000000	4.552608	0.000000	4.552608	1,000.000000
M-6	11/26/07	12/25/07	A-Act/360	66989EAL9	18,900,000.00	1,000.000000	4.777608	0.000000	4.777608	1,000.000000
M-7	11/26/07	12/25/07	A-Act/360	66989EAM7	18,900,000.00	1,000.000000	5.444275	0.000000	5.444275	1,000.000000
M-8	11/26/07	12/25/07	A-Act/360	66989EAN5	15,400,000.00	1,000.000000	6.069275	0.000000	6.069275	1,000.000000
M-9	11/26/07	12/25/07	A-Act/360	66989EAP0	15,400,000.00	1,000.000000	6.069275	0.000000	6.069275	1,000.000000
M-10	11/26/07	12/25/07	A-Act/360	66989EAQ8	16,100,000.00	1,000.000000	6.069275	0.000000	6.069275	1,000.000000
C	11/26/07	12/25/07	A-Act/360	66989EAS4	59,500,000.00	1,000.000000	63.316460	0.000000	63.316460	1,000.000000
R	11/26/07	12/25/07	A-Act/360		0.00	0.000000	0.000000	0.000000	0.000000	0.000000



Page 2 of 32

Novastar Mortgage Funding Trust 2007-2



Mortgage Pass-Through Certificates
Mortgage Pass-Through Certificates
December 26, 2007 Distribution


Distribution to Date - REMIC VI
									Current


	Original		Unscheduled	Scheduled	Total	Total	Realized	Deferred	Principal

Class	Face Value	Interest	Principal	Principal	Principal	Distribution	Loss	Interest	Balance
(1)	(2)	(3)	(4)	(5)=(3)+(4)	(6)=(2)+(5)	(7)	(8)	(9)=(1)-(5)-(7)+(8)
A-1A	779,369,000.00	23,679,535.14	47,797,974.31	3,484,820.93	51,282,795.24	74,962,330.38	0.00	0.00	728,086,204.76
A-2A	140,080,000.00	4,015,323.90	17,062,130.84	1,386,930.37	18,449,061.21	22,464,385.11	0.00	0.00	121,630,938.79
A-2B	80,420,000.00	2,477,642.82	0.00	0.00	0.00	2,477,642.82	0.00	0.00	80,420,000.00
A-2C	49,730,000.00	1,537,867.65	0.00	0.00	0.00	1,537,867.65	0.00	0.00	49,730,000.00
A-2D	18,601,000.00	584,896.26	0.00	0.00	0.00	584,896.26	0.00	0.00	18,601,000.00
M-1	70,700,000.00	2,235,369.83	0.00	0.00	0.00	2,235,369.83	0.00	0.00	70,700,000.00
M-2	49,700,000.00	1,577,141.69	0.00	0.00	0.00	1,577,141.69	0.00	0.00	49,700,000.00
M-3	23,800,000.00	758,001.18	0.00	0.00	0.00	758,001.18	0.00	0.00	23,800,000.00
M-4	21,700,000.00	711,179.17	0.00	0.00	0.00	711,179.17	0.00	0.00	21,700,000.00
M-5	21,700,000.00	733,747.17	0.00	0.00	0.00	733,747.17	0.00	0.00	21,700,000.00
M-6	18,900,000.00	668,554.12	0.00	0.00	0.00	668,554.12	0.00	0.00	18,900,000.00
M-7	18,900,000.00	755,914.12	0.00	0.00	0.00	755,914.12	0.00	0.00	18,900,000.00
M-8	15,400,000.00	682,663.35	0.00	0.00	0.00	682,663.35	0.00	0.00	15,400,000.00
M-9	15,400,000.00	682,663.35	0.00	0.00	0.00	682,663.35	0.00	0.00	15,400,000.00
M-10	16,100,000.00	713,693.50	0.00	0.00	0.00	713,693.50	0.00	0.00	16,100,000.00
C	59,500,000.00	20,586,699.28	0.00	0.00	0.00	20,586,699.28	0.00	0.00	59,500,000.00
R	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00


Total	1,400,000,000.00	62,400,892.53	64,860,105.15	4,871,751.30	69,731,856.45	132,132,748.98	0.00	0.00	1,330,268,143.55


Interest Detail - REMIC VI
	Pass	Prior Principal		Non-	Prior	Unscheduled		Paid or	Current
	Pass	Prior Principal		Non-	Prior	Unscheduled		Paid or

	Through	(with Notional)	Accrued	Supported	Unpaid	Interest	Optimal	Deferred	Unpaid

Class	Rate	Balance	Interest	Interest SF	Interest	Adjustment	Interest	Interest	Interest
			(1)	(2)	(3)	(4)	(5)=(1)-(2)+(3)+(4)	(6)	(7)=(5)-(6)
A-1A	4.98313%	736,448,226.89	3,058,181.04	0.00	0.00	0.00	3,058,181.04	3,058,181.04	0.00
A-2A	4.87313%	123,289,282.48	500,670.58	0.00	0.00	0.00	500,670.58	500,670.58	0.00
A-2B	4.94313%	80,420,000.00	331,272.10	0.00	0.00	0.00	331,272.10	331,272.10	0.00
A-2C	4.96313%	49,730,000.00	205,680.38	0.00	0.00	0.00	205,680.38	205,680.38	0.00
A-2D	5.05313%	18,601,000.00	78,327.73	0.00	0.00	0.00	78,327.73	78,327.73	0.00
M-1	5.08313%	70,700,000.00	299,481.08	0.00	0.00	0.00	299,481.08	299,481.08	0.00
M-2	5.10313%	49,700,000.00	211,354.63	0.00	0.00	0.00	211,354.63	211,354.63	0.00
M-3	5.12313%	23,800,000.00	101,608.75	0.00	0.00	0.00	101,608.75	101,608.75	0.00
M-4	5.28313%	21,700,000.00	95,536.60	0.00	0.00	0.00	95,536.60	95,536.60	0.00
M-5	5.46313%	21,700,000.00	98,791.60	0.00	0.00	0.00	98,791.60	98,791.60	0.00
M-6	5.73313%	18,900,000.00	90,296.80	0.00	0.00	0.00	90,296.80	90,296.80	0.00
M-7	6.53313%	18,900,000.00	102,896.80	0.00	0.00	0.00	102,896.80	102,896.80	0.00
M-8	7.28313%	15,400,000.00	93,466.84	0.00	0.00	0.00	93,466.84	93,466.84	0.00
M-9	7.28313%	15,400,000.00	93,466.84	0.00	0.00	0.00	93,466.84	93,466.84	0.00
M-10	7.28313%	16,100,000.00	97,715.33	0.00	0.00	0.00	97,715.33	97,715.33	0.00
C	75.97975%	59,500,000.00	0.00	0.00	0.00	0.00	0.00	3,767,329.38	0.00
R	0.00000%	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00

Total		1,340,288,509.37	5,458,747.10	0.00	0.00	0.00	5,458,747.10	9,226,076.48	0.00



Page 3 of 32

Novastar Mortgage Funding Trust 2007-2



Mortgage Pass-Through Certificates
Mortgage Pass-Through Certificates
December 26, 2007 Distribution


Current Period Distribution - Component Classes
			Prior						Current
			Prior

	Class	Original	Principal			Total	Realized	Deferred	Principal

Class	Type	Face Value	Balance	Interest	Principal	Distribution	Loss	Interest	Balance
			(1)	(2)	(3)	(4)=(2)+(3)	(5)	(6)	(7)=(1)-(3)-(5)+(6)
C-1	CPT/SUB	0.00	0.00	3,673,351.88	0.00	3,673,351.88	0.00	0.00	0.00
C-1	CPT/SUB	0.00	0.00	3,673,351.88	0.00	3,673,351.88	0.00	0.00	0.00
C-2	CPT/SUB	0.00	59,499,900.00	0.00	0.00	0.00	0.00	0.00	59,499,900.00
C-3	CPT/SUB	0.00	100.00	93,977.50	0.00	93,977.50	0.00	0.00	100.00






Total		0.00	59,500,000.00	3,767,329.38	0.00	3,767,329.38	0.00	0.00	59,500,000.00
Total




Interest Accrual Detail Current Period Factor Information per $1,000 of Original Face Value
					Orig. Principal	Prior				Current
					Orig. Principal	Prior				Current
	Period	Period			(with Notional)	Principal			Total	Principal
	Period	Period
Class	Starting	Ending	Method	Cusip	Balance	Balance	Interest	Principal	Distribution	Balance

					(1)	(1)	(2)	(3)	(4)=(2)+(3)	(5)
C-1	11/26/07	12/25/07		1,400,000,000.00	957.348935	2.623823	0.000000	2.623823	950.191531
C-2	11/26/07	12/25/07		59,499,900.02	1,000.000000	0.000000	0.000000	0.000000	1,000.000000
C-3	11/26/07	12/25/07		100.00	1,000.000000	939,775.000000	0.000000	939,775.000000	1,000.000000








Page 4 of 32

Novastar Mortgage Funding Trust 2007-2



Mortgage Pass-Through Certificates
Mortgage Pass-Through Certificates
December 26, 2007 Distribution


Distribution to Date - Component Classes
									Current


	Original		Unscheduled	Scheduled	Total	Total	Realized	Deferred	Principal

Class	Face Value	Interest	Principal	Principal	Principal	Distribution	Loss	Interest	Balance
(1)	(2)	(3)	(4)	(5)=(3)+(4)	(6)=(2)+(5)	(7)	(8)	(9)=(1)-(5)-(7)+(8)
C-1	0.00	20,029,156.89	0.00	0.00	0.00	20,029,156.89	0.00	0.00	0.00
C-2	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	59,499,900.00
C-3	0.00	557,542.39	0.00	0.00	0.00	557,542.39	0.00	0.00	100.00






Total	0.00	20,586,699.28	0.00	0.00	0.00	20,586,699.28	0.00	0.00	59,500,000.00


Interest Detail - Component Classes
	Pass	Prior Principal		Non-	Prior	Unscheduled		Paid or	Current
	Pass	Prior Principal		Non-	Prior	Unscheduled		Paid or

	Through	(with Notional)	Accrued	Supported	Unpaid	Interest	Optimal	Deferred	Unpaid

Class	Rate	Balance	Interest	Interest SF	Interest	Adjustment	Interest	Interest	Interest
			(1)	(2)	(3)	(4)	(5)=(1)-(2)+(3)+(4)	(6)	(7)=(5)-(6)
C-1	0.00000%	1,340,288,509.37	0.00	0.00	0.00	0.00	0.00	3,673,351.88	0.00
C-2	0.00000%	59,499,900.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00
C-3	0.00000%	100.00	0.00	0.00	0.00	0.00	0.00	93,977.50	0.00






Total		1,399,788,509.37	0.00	0.00	0.00	0.00	0.00	3,767,329.38	0.00



Page 5 of 32

Novastar Mortgage Funding Trust 2007-2



Mortgage Pass-Through Certificates
Mortgage Pass-Through Certificates
December 26, 2007 Distribution

Collection Account Report
SUMMARY

	Group 2	Group 1	Total
Principal Collections	1,658,343.69	8,362,022.13	10,020,365.82
Principal Withdrawals	0.00	0.00	0.00
Principal Other Accounts	0.00	0.00	0.00
TOTAL NET PRINCIPAL	1,658,343.69	8,362,022.13	10,020,365.82
Interest Collections	2,607,551.13	6,971,081.18	9,578,632.30
Interest Withdrawals	-0.00	-0.00	-0.00
Interest Fees	-257,172.38	-54,390.12	-311,562.49
Interest Other Accounts	20,073.63	73,903.87	(40,993.33)
TOTAL NET INTEREST	2,370,452.38	6,990,594.93	9,226,076.48
TOTAL AVAILABLE FUNDS FOR DISTRIBUTION	4,028,796.07	15,352,617.06	19,246,442.30




PRINCIPAL - COLLECTIONS

	Group 2	Group 1	Total
Scheduled Principal Received	145,608.56	581,515.21	727,123.77
Curtailments	13,210.82	54,582.70	67,793.52
Prepayments In Full	1,499,524.31	7,725,924.22	9,225,448.53
Repurchased/Substitutions	0.00	0.00	0.00
Liquidations	0.00	0.00	0.00
Insurance Principal	0.00	0.00	0.00
Other Additional Principal	0.00	0.00	0.00
Delinquent Principal	-133,014.31	-520,953.11	-653,967.42
Realized Losses	-0.00	-0.00	-0.00
Advanced Principal	133,014.31	520,953.11	653,967.42
TOTAL PRINCIPAL COLLECTED	1,658,343.69	8,362,022.13	10,020,365.82




PRINCIPAL - WITHDRAWALS

SPACE INTENTIONALLY LEFT BLANK




PRINCIPAL - OTHER ACCOUNTS

	Group 2	Group 1	Total
TOTAL PRINCIPAL OTHER ACCOUNTS	0.00	0.00	0.00






Page 6 of 32

Novastar Mortgage Funding Trust 2007-2



Mortgage Pass-Through Certificates
Mortgage Pass-Through Certificates
December 26, 2007 Distribution


INTEREST - COLLECTIONS

	Group 2	Group 1	Total
Scheduled Interest	2,746,307.94	7,341,756.16	10,088,064.10
Repurchased/Substitution Interest	0.00	0.00	0.00
Liquidation Interest	0.00	0.00	0.00
Insurance Interest	0.00	0.00	0.00
Other Additional Interest	0.00	0.00	0.00
Prepayment Interest Shortfalls	-7,258.13	-27,432.02	-34,690.15
Delinquent Interest	-2,539,762.19	-6,695,017.54	-9,234,779.73
Compensating Interest	7,258.13	27,432.03	34,690.16
Civil Relief Act Shortfalls	-0.00	-0.00	-0.00
Interest Realized Loss	-0.00	-0.00	-0.00
Interest Advanced	2,401,005.37	6,324,342.55	8,725,347.92
TOTAL INTEREST COLLECTED	2,607,551.13	6,971,081.18	9,578,632.30




INTEREST - WITHDRAWALS

	Group 2	Group 1	Total
Non Recoverable Advances	0.00	0.00	0.00
Extraordinary Trust Fund Expenses	0.00	0.00	0.00
Loan Modification Adjustment	0.00	0.00	0.00
TOTAL INTEREST WITHDRAWALS	0.00	0.00	0.00




INTEREST - OTHER ACCOUNTS
INTEREST - OTHER ACCOUNTS
	Group 2	Group 1	Total
Prepayment Charges	20,073.63	73,903.87	93,977.50

Net Hedge Payment			(134,970.83)
. a) Hedge Payment			(534,033.33)
. b) Counterparty Payment			399,062.50

TOTAL INTEREST OTHER ACCOUNTS	20,073.63	73,903.87	(40,993.33)




INTEREST FEES
INTEREST FEES
	Group 2	Group 1	Total
Current Servicing Fees	11,437.34	37,584.40	49,021.74
Backup Servicing Fees	3,003.88	8,165.19	11,169.07
Trustee Fees	750.97	2,041.30	2,792.27
Custodian Fee	337.20	1,360.80	1,698.00
MI Premium	241,642.98	5,238.43	246,881.41
TOTAL INTEREST FEES	257,172.38	54,390.12	311,562.49



Page 7 of 32

Novastar Mortgage Funding Trust 2007-2

Mortgage Pass-Through Certificates

December 26, 2007 Distribution

Credit Enhancement Report

ACCOUNTS

Distribution from Supplemental Interest Trust

Class I-1 Interest Payment

38,600.00

Class I-2 Interest Payment

63,024.67

Class I-3 Interest Payment

33,814.50

Supplemental Interest Trust

Beginning Balance

0.00

Amount Deposited

3,672,882.54

Amount Withdrawn

(3,672,882.54)

Ending Balance

0.00

INSURANCE

SPACE INTENTIONALLY LEFT BLANK

STRUCTURAL FEATURES

Group 2

Group 1

Total

Overcollateralized Amount - Prior Period

59,500,000.00

Current Period Principal Realized Losses

0.00

Overcollateralized Amount - After Current Losses

59,500,000.00

Net Monthly Excess Cashflow

3,537,912.71

Extra Principal Distribution Amount

0.00

Overcollateralization Release Amount

0.00

Overcollateralized Amount - Ending

59,500,000.00

Overcollateralization Excess Amount

0.00

Overcollateralization Deficiency Amount

0.00

Required Overcollateralization Amount

59,500,000.00

Page 8 of 32

Novastar Mortgage Funding Trust 2007-2



Mortgage Pass-Through Certificates
Mortgage Pass-Through Certificates
December 26, 2007 Distribution

Collateral Report


COLLATERAL



		Group 2	Group 1	Total



Loan Count:
Loan Count:


Original	1,600	5,854	7,454
Prior	1,686	6,804	8,490
Prefunding	0	0	0
Scheduled Paid Offs	-0	-0	-0
Full Voluntary Prepayments	-10	-54	-64
Repurchases	-0	-0	-0
Liquidations	-0	-0	-0
Current	1,676	6,750	8,426
Principal Balance:


Original	342,671,341.06	837,192,478.96	1,179,863,820.02
Prior	360,465,966.38	979,822,542.99	1,340,288,509.37
Prefunding	0.00	0.00	0.00
Scheduled Principal	-145,608.56	-581,515.21	-727,123.77
Partial Prepayments	-13,210.82	-54,582.70	-67,793.52
Full Voluntary Prepayments	-1,499,524.31	-7,725,924.22	-9,225,448.53
Repurchases	-0.00	-0.00	-0.00
Liquidations	-0.00	-0.00	-0.00
Current	358,807,622.69	971,460,520.86	1,330,268,143.55





PREFUNDING

	Group 2	Group 1	Total
Prefunding Account Original Balance	35,875,426.20	184,260,753.78	220,136,179.98
Prefunding Account Beginning Balance	0.00	0.00	0.00
Subsequent Loans Added to the Pool	0.00	0.00	0.00
Prefund Release to Certificate Holders	0.00	0.00	0.00
Prefunding Account Ending Balance	0.00	0.00	0.00

Page 9 of 32

Novastar Mortgage Funding Trust 2007-2



Mortgage Pass-Through Certificates
Mortgage Pass-Through Certificates
December 26, 2007 Distribution


CHARACTERISTICS
CHARACTERISTICS

	Group 2	Group 1	Total
Weighted Average Coupon Original	8.21511%	8.17804%	8.18881%
Weighted Average Coupon Prior	9.15745%	8.99849%	9.04112%
Weighted Average Coupon Current	9.14253%	8.99153%	9.03214%
Weighted Average Months to Maturity Original	346	346	346
Weighted Average Months to Maturity Prior	340	341	341
Weighted Average Months to Maturity Current	339	340	340
Weighted Avg Remaining Amortization Term Original	391	377	381
Weighted Avg Remaining Amortization Term Prior	386	374	378
Weighted Avg Remaining Amortization Term Current	386	373	377
Weighted Average Seasoning Original	3.48	3.01	3.15
Weighted Average Seasoning Prior	8.23	7.45	7.66
Weighted Average Seasoning Current	9.23	8.44	8.66

Page 10 of 32

Novastar Mortgage Funding Trust 2007-2



Mortgage Pass-Through Certificates
Mortgage Pass-Through Certificates
December 26, 2007 Distribution


ARM CHARACTERISTICS
ARM CHARACTERISTICS

	Group 2	Group 1	Total
Weighted Average Margin Original	5.84056%	6.01506%	5.94902%
Weighted Average Margin Prior	5.83894%	6.00082%	5.94437%
Weighted Average Margin Current	5.83516%	6.00234%	5.94370%
Weighted Average Max Rate Original	16.07877%	16.19788%	16.15280%
Weighted Average Max Rate Prior	16.04145%	16.21669%	16.15558%
Weighted Average Max Rate Current	16.02973%	16.21177%	16.14792%
Weighted Average Min Rate Original	9.09665%	9.21506%	9.17025%
Weighted Average Min Rate Prior	9.05836%	9.23092%	9.17074%
Weighted Average Min Rate Current	9.04673%	9.22592%	9.16307%
Weighted Average Cap Up Original	1.00000%	1.00073%	1.00045%
Weighted Average Cap Up Prior	1.00000%	1.00061%	1.00040%
Weighted Average Cap Up Current	1.00000%	1.00062%	1.00040%
Weighted Average Cap Down Original	1.00000%	1.00073%	1.00045%
Weighted Average Cap Down Prior	1.00000%	1.00061%	1.00040%
Weighted Average Cap Down Current	1.00000%	1.00062%	1.00040%




SERVICING FEES & ADVANCES
SERVICING FEES & ADVANCES

	Group 2	Group 1	Total




Current Servicing Fees	11,437.34	37,584.40	49,021.74
Delinquent Servicing Fees	138,756.82	370,674.99	509,431.81
TOTAL SERVICING FEES	150,194.15	408,259.39	558,453.55


Total Servicing Fees	150,194.15	408,259.39	558,453.55
Compensating Interest	-7,258.13	-27,432.03	-34,690.16
Delinquent Servicing Fees	-138,756.82	-370,674.99	-509,431.81
COLLECTED SERVICING FEES	4,179.21	10,152.39	14,331.60


Total Advanced Interest	2,401,005.37	6,324,342.55	8,725,347.92
Total Advanced Principal	133,014.31	520,953.11	653,967.42
Aggregate Advances with respect to this Distribution	2,534,019.68	6,845,295.66	9,379,315.35
Unrecovered Advances	0.00	0.00	0.00
Non Recoverable Advance	0.00	0.00	0.00
Servicer Escrow Advances	0.00	0.00	0.00




ADDITIONAL COLLATERAL INFORMATION
ADDITIONAL COLLATERAL INFORMATION
	Group 2	Group 1	Total
Prepayment Interest Shortfall (PPIS)	7,258.13	27,432.02	34,690.15
Compensating Interest	(7,258.13)	(27,432.03)	(34,690.16)
Net Prepayment Interest Shortfall (PPIS)	0.00	0.00	0.00


Ending Pool Principal Balance	358,807,622.69	971,460,520.86	1,330,268,143.55
Weighted Average Net Mortgage Rate			8.297082%





Page 11 of 32

Novastar Mortgage Funding Trust 2007-2



Mortgage Pass-Through Certificates
Mortgage Pass-Through Certificates
December 26, 2007 Distribution

Delinquency Report

TOTAL
		< 1 PAYMENT	1 PAYMENT	2 PAYMENTS	3+ PAYMENTS	TOTAL
DELINQUENT	Balance		64,277,895.01	39,328,330.68	32,625,241.56	136,231,467.25
	% Balance		4.83%	2.96%	2.45%	10.24%
	# Loans		348	200	153	701
	% # Loans		4.13%	2.37%	1.82%	8.32%
FORECLOSURE	Balance	791,282.75	0.00	151,135.97	45,932,246.31	46,874,665.03
	% Balance	0.06%	0.00%	0.01%	3.45%	3.52%
	# Loans	6	0	3	188	197
	% # Loans	0.07%	0.00%	0.04%	2.23%	2.34%
BANKRUPTCY	Balance	1,983,115.14	0.00	487,355.31	1,618,010.22	4,088,480.67
	% Balance	0.15%	0.00%	0.04%	0.12%	0.31%
	# Loans	13	0	3	14	30
	% # Loans	0.15%	0.00%	0.04%	0.17%	0.36%
REO	Balance	0.00	194,014.18	20,950.72	11,861,019.86	12,075,984.76
	% Balance	0.00%	0.01%	0.00%	0.89%	0.91%
	# Loans	0	1	1	59	61
	% # Loans	0.00%	0.01%	0.01%	0.70%	0.72%
TOTAL	Balance	2,774,397.89	64,471,909.19	39,987,772.68	92,036,517.95	199,270,597.71
	% Balance	0.21%	4.85%	3.01%	6.92%	14.98%
	# Loans	19	349	207	414	989
	% # Loans	0.23%	4.14%	2.46%	4.91%	11.74%

Page 12 of 32

Novastar Mortgage Funding Trust 2007-2



Mortgage Pass-Through Certificates
Mortgage Pass-Through Certificates
December 26, 2007 Distribution


GROUP 1
		< 1 PAYMENT	1 PAYMENT	2 PAYMENTS	3+ PAYMENTS	TOTAL
DELINQUENT	Balance		41,615,189.08	21,905,950.57	15,125,412.05	78,646,551.70
	% Balance		4.28%	2.25%	1.56%	8.10%
	# Loans		263	128	84	475
	% # Loans		3.90%	1.90%	1.24%	7.04%
FORECLOSURE	Balance	251,445.27	0.00	39,620.76	19,308,987.79	19,600,053.82
	% Balance	0.03%	0.00%	0.00%	1.99%	2.02%
	# Loans	2	0	1	100	103
	% # Loans	0.03%	0.00%	0.01%	1.48%	1.53%
BANKRUPTCY	Balance	1,716,506.96	0.00	158,719.03	1,117,102.51	2,992,328.50
	% Balance	0.18%	0.00%	0.02%	0.11%	0.31%
	# Loans	11	0	1	8	20
	% # Loans	0.16%	0.00%	0.01%	0.12%	0.30%
REO	Balance	0.00	194,014.18	20,950.72	5,720,406.85	5,935,371.75
	% Balance	0.00%	0.02%	0.00%	0.59%	0.61%
	# Loans	0	1	1	36	38
	% # Loans	0.00%	0.01%	0.01%	0.53%	0.56%
TOTAL	Balance	1,967,952.23	41,809,203.26	22,125,241.08	41,271,909.20	107,174,305.77
	% Balance	0.20%	4.30%	2.28%	4.25%	11.03%
	# Loans	13	264	131	228	636
	% # Loans	0.19%	3.91%	1.94%	3.38%	9.42%

Page 13 of 32

Novastar Mortgage Funding Trust 2007-2



Mortgage Pass-Through Certificates
Mortgage Pass-Through Certificates
December 26, 2007 Distribution


GROUP 2
		< 1 PAYMENT	1 PAYMENT	2 PAYMENTS	3+ PAYMENTS	TOTAL
DELINQUENT	Balance		22,662,705.93	17,422,380.11	17,499,829.51	57,584,915.55
	% Balance		6.32%	4.86%	4.88%	16.05%
	# Loans		85	72	69	226
	% # Loans		5.07%	4.30%	4.12%	13.48%
FORECLOSURE	Balance	539,837.48	0.00	111,515.21	26,623,258.52	27,274,611.21
	% Balance	0.15%	0.00%	0.03%	7.42%	7.60%
	# Loans	4	0	2	88	94
	% # Loans	0.24%	0.00%	0.12%	5.25%	5.61%
BANKRUPTCY	Balance	266,608.18	0.00	328,636.28	500,907.71	1,096,152.17
	% Balance	0.07%	0.00%	0.09%	0.14%	0.31%
	# Loans	2	0	2	6	10
	% # Loans	0.12%	0.00%	0.12%	0.36%	0.60%
REO	Balance	0.00	0.00	0.00	6,140,613.01	6,140,613.01
	% Balance	0.00%	0.00%	0.00%	1.71%	1.71%
	# Loans	0	0	0	23	23
	% # Loans	0.00%	0.00%	0.00%	1.37%	1.37%
TOTAL	Balance	806,445.66	22,662,705.93	17,862,531.60	50,764,608.75	92,096,291.94
	% Balance	0.22%	6.32%	4.98%	14.15%	25.67%
	# Loans	6	85	76	186	353
	% # Loans	0.36%	5.07%	4.53%	11.10%	21.06%

Page 14 of 32

Novastar Mortgage Funding Trust 2007-2



Mortgage Pass-Through Certificates
Mortgage Pass-Through Certificates
December 26, 2007 Distribution

REO Report
Loan Number	Original	Stated		Current	State &		First
Loan Number	Original	Stated		Current	State &		First
&	Principal	Principal	Paid to	Note	LTV at	Original	Payment
Loan Group	Balance	Balance	Date	Rate	Origination	Term	Date
					Origination



Became REO Property this Period:
2721041 1	327,600.00	325,357.08	01-Jun-2007	9.400%	MD - 90.00%	360	01-Dec-2006
2787802 2	800,000.00	798,312.53	01-Apr-2007	9.800%	FL - 84.93%	360	01-Jan-2007
2806578 1	72,800.00	72,286.00	01-Mar-2007	9.250%	OK - 80.00%	360	01-Dec-2006
2878098 1	24,700.00	24,588.87	01-May-2007	10.100%	MO - 100.00%	180	01-Mar-2007
2886455 1	174,400.00	173,709.00	01-Apr-2007	10.700%	FL - 80.00%	360	01-Mar-2007
2903995 2	461,700.00	461,700.00	01-Apr-2007	10.400%	CA - 95.00%	360	01-Mar-2007
2906592 2	618,000.00	618,000.00	01-May-2007	10.150%	FL - 100.00%	360	01-Mar-2007
2907533 1	21,000.00	20,950.72	01-Aug-2007	13.100%	MI - 100.00%	180	01-Mar-2007
2912798 1	66,000.00	65,836.15	01-Apr-2007	12.850%	VA - 100.00%	180	01-Mar-2007
2915320 1	125,000.00	124,336.01	01-Apr-2007	10.990%	FL - 100.00%	360	01-Nov-2006
2918985 1	198,000.00	197,552.62	01-Apr-2007	8.550%	FL - 90.00%	360	01-Apr-2007
2919819 2	84,000.00	83,324.86	01-Jun-2007	10.850%	MI - 76.36%	360	01-May-2006
2920338 2	165,500.00	163,799.72	01-Jun-2007	9.400%	GA - 89.46%	360	01-Jun-2006
2924355 1	120,600.00	119,982.73	01-Jun-2007	8.950%	FL - 90.00%	360	01-Apr-2007
2925196 1	59,500.00	59,220.57	01-Jun-2007	10.020%	MI - 85.00%	360	01-Mar-2007
2925733 2	511,615.00	510,614.99	01-Mar-2007	9.750%	FL - 90.00%	360	01-Feb-2007
2926392 1	143,000.00	142,513.58	01-Jul-2007	10.900%	FL - 100.00%	360	01-Apr-2007
2933943 1	67,450.00	66,906.56	01-Jun-2007	10.300%	MO - 95.00%	360	01-Apr-2007
2939510 2	266,000.00	264,991.25	01-Apr-2007	9.810%	FL - 95.00%	360	01-May-2007
2940252 1	374,400.00	373,285.21	01-Apr-2007	10.950%	SC - 80.00%	360	01-May-2007
2941094 2	48,000.00	47,767.74	01-Jun-2007	9.750%	TX - 100.00%	180	01-Mar-2007
2942167 2	50,000.00	49,910.12	01-Apr-2007	13.250%	RI - 100.00%	180	01-May-2007
2942548 1	192,000.00	190,979.92	01-Apr-2007	9.300%	FL - 80.00%	360	01-Mar-2007
2944783 2	104,405.00	104,055.35	01-Jun-2007	10.400%	FL - 95.00%	360	01-May-2007
2946622 2	273,600.00	273,302.93	01-Jun-2007	10.600%	MI - 90.00%	360	01-May-2007
2950319 1	126,000.00	125,559.80	01-Apr-2007	10.200%	IL - 90.00%	360	01-May-2007
2960219 2	63,000.00	62,492.61	01-Mar-2007	10.990%	OH - 90.00%	360	01-Jul-2006
2971430 1	229,500.00	228,816.08	01-May-2007	10.300%	MN - 85.00%	360	01-Jun-2007
2907541 2	84,000.00	83,377.46	01-May-2007	7.650%	MI - 80.00%	360	01-Mar-2007
2921526 1	94,000.00	93,614.73	01-May-2007	8.950%	MN - 71.21%	360	01-Sep-2006
2959427 1	81,000.00	80,805.23	01-Jun-2007	11.300%	MI - 90.00%	360	01-Jun-2007
2965754 2	730,000.00	727,232.17	01-Jun-2007	9.150%	FL - 100.00%	360	01-Jun-2007
2971414 1	194,750.00	194,014.18	01-Sep-2007	9.167%	AZ - 95.00%	360	01-Jun-2007


TOTAL	6,951,520.00	6,929,196.77

Became REO Property in a Prior Period:
2770774 1	243,000.00	241,547.33	01-Apr-2007	9.650%	MO - 90.00%	360	01-Jan-2007
2770915 2	427,405.00	427,405.00	01-Feb-2007	10.100%	AZ - 95.00%	360	01-Jan-2007
2787661 1	63,750.00	63,621.38	01-Mar-2007	9.950%	MO - 85.00%	360	01-Jan-2007
2802510 1	96,800.00	95,866.57	01-Mar-2007	8.490%	MI - 80.00%	360	01-Oct-2006
2852515 2	237,000.00	236,740.18	01-Apr-2007	11.650%	MO - 100.00%	360	01-Feb-2007
2888519 1	135,000.00	134,429.91	01-Feb-2007	10.400%	MN - 90.00%	360	01-Mar-2007
2888667 1	264,600.00	263,248.34	01-Feb-2007	9.490%	MN - 90.00%	360	01-Mar-2007


Page 15 of 32

Novastar Mortgage Funding Trust 2007-2



Mortgage Pass-Through Certificates
Mortgage Pass-Through Certificates
December 26, 2007 Distribution

Loan Number	Original	Stated		Current	State &		First
&	Principal	Principal	Paid to	Note	LTV at	Original	Payment
Loan Group	Balance	Balance	Date	Rate	Origination	Term	Date
					Origination


2893238 1	73,600.00	73,349.06	01-Feb-2007	11.400%	WV - 80.00%	360	01-Mar-2007
2907830 2	68,800.00	68,570.41	01-Feb-2007	11.500%	MO - 80.00%	360	01-Mar-2007
2910495 1	53,730.00	53,503.09	01-May-2007	10.400%	MI - 90.00%	360	01-Mar-2007
2911485 1	331,500.00	330,442.79	01-Mar-2007	11.200%	AR - 85.00%	360	01-Apr-2007
2912780 1	264,000.00	262,668.11	01-Apr-2007	9.550%	VA - 80.00%	360	01-Mar-2007
2913978 2	350,000.00	348,568.29	01-Apr-2007	10.550%	MI - 100.00%	360	01-Mar-2007
2914232 2	360,000.00	360,000.00	01-Feb-2007	8.490%	CA - 80.00%	360	01-Mar-2007
2916062 1	110,700.00	110,311.23	01-Mar-2007	10.750%	MI - 90.00%	360	01-Apr-2007
2916674 2	104,000.00	103,483.84	01-Mar-2007	9.100%	AL - 80.00%	360	01-Apr-2007
2917706 2	80,910.00	80,569.87	01-Mar-2007	9.900%	MI - 90.00%	360	01-Apr-2007
2920700 1	144,000.00	142,415.42	01-May-2007	8.650%	MI - 90.00%	360	01-Aug-2006
2921989 2	68,000.00	67,526.06	01-Feb-2007	10.400%	MI - 80.00%	360	01-Sep-2006
2925170 1	104,000.00	103,489.07	01-May-2007	9.150%	GA - 100.00%	360	01-Apr-2007
2927473 1	58,400.00	58,203.48	01-May-2007	10.950%	MI - 80.00%	360	01-Apr-2007
2927838 1	398,050.00	396,041.76	01-Feb-2007	9.550%	GA - 95.00%	360	01-Mar-2007
2931806 1	58,650.00	58,364.79	01-Mar-2007	9.200%	MS - 85.00%	360	01-Apr-2007
2931848 1	319,500.00	318,729.24	01-Mar-2007	8.700%	MN - 90.00%	360	01-Mar-2007
2942159 2	200,000.00	198,867.63	01-Apr-2007	7.850%	RI - 80.00%	360	01-May-2007
2953313 1	175,500.00	174,654.27	01-May-2007	8.650%	TN - 79.41%	360	01-May-2007
2956050 1	157,500.00	157,035.04	01-Apr-2007	10.990%	MO - 90.00%	360	01-May-2007
2961662 1	217,600.00	217,135.83	01-May-2007	11.850%	GA - 85.00%	360	01-Jun-2007


TOTAL	5,165,995.00	5,146,787.99


TOTAL	12,117,515.00	12,075,984.76
TOTAL


Page 16 of 32

Novastar Mortgage Funding Trust 2007-2



Mortgage Pass-Through Certificates
Mortgage Pass-Through Certificates
December 26, 2007 Distribution

Foreclosure Report
Loan Number	Original	Stated		Current	State &		First
Loan Number	Original	Stated		Current	State &		First
&	Principal	Principal	Paid to	Note	LTV at	Original	Payment
Loan Group	Balance	Balance	Date	Rate	Origination	Term	Date
					Origination

Became Foreclosure Property this Period:
2803104 1	92,000.00	91,316.53	01-Mar-2007	9.000%	FL - 80.00%	360	01-Dec-2006
2887412 2	236,550.00	235,318.98	01-Feb-2007	9.400%	CT - 95.00%	360	01-Mar-2007
2911428 1	377,600.00	377,600.00	01-Mar-2007	9.400%	FL - 80.00%	360	01-Mar-2007
2917516 1	171,900.00	171,326.34	01-Apr-2007	11.500%	MI - 90.00%	360	01-Mar-2007
2928695 1	120,000.00	119,422.54	01-Apr-2007	9.250%	TN - 100.00%	360	01-Apr-2007
2928836 2	77,000.00	76,706.66	01-Mar-2007	11.350%	MN - 70.00%	360	01-Feb-2007


TOTAL	1,075,050.00	1,071,691.05

Became Foreclosure Property in a Prior Period:
95927 2	72,250.00	65,708.98	01-Oct-2007	8.000%	IN - 85.00%	360	01-Jun-1998
114637 2	62,050.00	57,524.35	01-Aug-2007	10.875%	SC - 85.00%	360	01-Aug-1998
2553279 2	1,200,000.00	1,200,000.00	01-Apr-2007	8.410%	FL - 75.00%	360	01-Sep-2006
2705119 1	55,100.00	54,845.75	01-Apr-2007	11.650%	IA - 95.00%	360	01-Nov-2006
2772473 2	399,000.00	396,758.75	01-May-2007	9.950%	FL - 95.00%	360	01-Jan-2007
2801421 1	374,000.00	370,662.11	01-May-2007	8.125%	OH - 85.00%	360	01-Dec-2006
2805398 1	106,400.00	105,294.82	01-Mar-2007	7.500%	PA - 80.00%	360	01-Dec-2006
2813335 1	211,500.00	210,271.80	01-Jun-2007	9.350%	MO - 90.00%	360	01-Feb-2007
2823276 2	632,000.00	632,000.00	01-Mar-2007	8.150%	FL - 80.00%	360	01-Feb-2007
2823284 2	158,000.00	157,417.16	01-Mar-2007	11.500%	FL - 100.00%	180	01-Feb-2007
2845808 2	612,000.00	609,570.36	01-Jun-2007	7.300%	FL - 80.00%	360	01-Feb-2007
2845816 2	153,000.00	152,482.50	01-Jun-2007	11.900%	FL - 100.00%	180	01-Feb-2007
2854461 1	39,999.00	39,620.76	01-Aug-2007	11.750%	IN - 55.55%	360	01-Dec-2006
2863025 1	80,000.00	76,802.89	01-May-2007	6.750%	CO - 78.43%	180	01-Jan-2007
2866341 2	74,900.00	74,533.55	01-Mar-2007	11.375%	IN - 100.00%	360	01-Nov-2006
2866473 1	89,250.00	88,644.83	01-May-2007	9.870%	KS - 85.00%	360	01-Nov-2006
2867331 1	99,000.00	98,323.59	01-Jun-2007	9.000%	KS - 87.61%	360	01-Jan-2007
2870756 2	67,500.00	67,191.67	01-May-2007	10.500%	IN - 90.00%	360	01-Feb-2007
2871366 1	56,000.00	55,693.12	01-May-2007	9.150%	IN - 80.00%	360	01-Mar-2007
2881142 2	542,800.00	541,242.88	01-Feb-2007	8.100%	FL - 80.00%	360	01-Mar-2007
2881449 2	158,400.00	158,098.01	01-Oct-2007	9.500%	MN - 90.00%	360	01-Mar-2007
2883296 2	51,000.00	50,880.23	01-Mar-2007	13.100%	NV - 100.00%	180	01-Mar-2007
2885143 2	105,000.00	104,486.51	01-Mar-2007	9.700%	MI - 100.00%	360	01-Mar-2007
2890358 2	108,000.00	107,865.06	01-May-2007	10.900%	IN - 90.00%	360	01-Mar-2007
2903789 2	750,000.00	747,817.42	01-Apr-2007	8.050%	CA - 84.46%	360	01-Mar-2007
2906899 1	52,200.00	51,972.54	01-Jun-2007	10.250%	MO - 90.00%	360	01-Mar-2007
2907020 2	236,000.00	236,000.00	01-May-2007	8.350%	FL - 80.00%	360	01-Apr-2007
2907558 2	91,260.00	90,803.30	01-May-2007	9.600%	SC - 90.00%	360	01-Mar-2007
2907731 1	376,000.00	376,000.00	01-Mar-2007	7.750%	CA - 80.00%	360	01-Mar-2007
2907749 2	94,000.00	93,646.95	01-Mar-2007	10.950%	CA - 100.00%	180	01-Mar-2007
2907848 2	537,600.00	537,600.00	01-Jun-2007	7.400%	CA - 80.00%	360	01-Mar-2007
2907855 2	134,400.00	133,926.56	01-May-2007	11.250%	CA - 100.00%	180	01-Mar-2007
2907863 2	313,500.00	312,919.83	01-Mar-2007	9.600%	NJ - 95.00%	360	01-Mar-2007
2908366 1	89,000.00	88,680.63	01-Apr-2007	10.650%	FL - 74.17%	360	01-Apr-2007
2908366 1	89,000.00			10.650%	FL - 74.17%


Page 17 of 32

Novastar Mortgage Funding Trust 2007-2



Mortgage Pass-Through Certificates
Mortgage Pass-Through Certificates
December 26, 2007 Distribution

Loan Number	Original	Stated		Current	State &		First
&	Principal	Principal	Paid to	Note	LTV at	Original	Payment
Loan Group	Balance	Balance	Date	Rate	Origination	Term	Date
					Origination
2908374 2
2908374 2	522,500.00	521,458.57	01-May-2007	9.350%	NJ - 95.00%	360	01-Mar-2007

2908614 1	162,000.00	161,195.76	01-Apr-2007	10.700%	PA - 90.00%	360	01-Mar-2007
2909026 2	501,000.00	500,998.87	01-Apr-2007	8.025%	CA - 80.94%	360	01-Mar-2007
2909125 1	261,000.00	259,555.19	01-Apr-2007	9.100%	FL - 90.00%	360	01-Mar-2007
2910008 2	1,120,000.00	1,116,296.00	01-Jun-2007	7.600%	WA - 80.00%	360	01-Mar-2007
2910016 2	280,000.00	279,197.74	01-Jun-2007	12.200%	WA - 100.00%	180	01-Mar-2007
2910131 2	712,500.00	712,500.00	01-Feb-2007	11.950%	FL - 95.00%	360	01-Mar-2007
2910404 2	141,950.00	141,776.91	01-Oct-2007	8.000%	FL - 85.00%	360	01-Mar-2007
2910412 2	55,800.00	55,605.61	01-Feb-2007	11.300%	KY - 90.00%	360	01-Mar-2007
2910669 1	62,910.00	62,635.78	01-Mar-2007	10.250%	IN - 90.00%	360	01-Mar-2007
2911501 1	359,998.00	357,959.67	01-Feb-2007	8.990%	FL - 80.00%	360	01-Mar-2007
2911667 1	120,000.00	119,390.85	01-May-2007	8.990%	MA - 100.00%	360	01-Apr-2007
2912244 1	315,000.00	313,731.05	01-Apr-2007	10.250%	FL - 90.00%	360	01-Apr-2007
2913556 1	168,300.00	167,766.57	01-Jun-2007	7.750%	FL - 90.00%	360	01-Mar-2007
2914133 1	82,500.00	82,158.95	01-Apr-2007	10.500%	OH - 75.00%	360	01-Mar-2007
2914299 2	153,000.00	152,088.34	01-Apr-2007	8.200%	FL - 90.00%	360	01-Apr-2007
2915072 1	322,000.00	319,344.86	01-Jun-2007	8.870%	MA - 78.92%	360	01-Nov-2006
2915940 1	97,600.00	97,174.20	01-Feb-2007	10.245%	OH - 80.00%	360	01-Mar-2007
2916260 1	197,000.00	191,497.34	01-May-2007	8.750%	CA - 72.96%	180	01-Mar-2007
2917458 2	226,000.00	225,045.74	01-May-2007	10.400%	MN - 100.00%	360	01-Mar-2007
2917821 1	322,200.00	321,565.93	01-Apr-2007	9.450%	FL - 90.00%	360	01-Mar-2007
2918555 2	234,000.00	233,076.42	01-Apr-2007	10.200%	CT - 90.00%	360	01-Apr-2007
2919082 1	75,000.00	74,757.41	01-Mar-2007	11.650%	KY - 75.00%	360	01-Mar-2007
2919553 1	392,000.00	391,421.47	01-Jun-2007	9.990%	CA - 84.30%	360	01-Apr-2007
2919710 2	58,500.00	57,990.43	01-Jun-2007	9.000%	LA - 90.00%	360	01-Apr-2006
2919785 2	52,200.00	51,355.48	01-May-2007	9.250%	OH - 90.00%	360	01-Apr-2006
2920163 2	54,400.00	53,990.86	01-Aug-2007	10.900%	LA - 80.00%	360	01-Jun-2006
2920262 2	104,500.00	103,362.07	01-Jun-2007	8.200%	OH - 95.00%	360	01-Jun-2006
2920544 2	70,400.00	69,897.65	01-Jun-2007	11.150%	PA - 89.11%	360	01-Jun-2006
2920726 1	107,100.00	105,893.26	01-Jun-2007	10.100%	NC - 90.00%	360	01-Aug-2006
2920999 2	65,025.00	64,397.36	01-May-2007	10.220%	KY - 85.00%	360	01-Sep-2006
2921096 2	59,500.00	59,037.39	01-Mar-2007	9.850%	PA - 85.00%	360	01-Sep-2006
2921146 2	118,710.00	116,936.44	01-May-2007	10.000%	IL - 90.00%	360	01-Sep-2006
2921369 2	123,300.00	122,600.56	01-Apr-2007	9.000%	OH - 90.00%	360	01-Sep-2006
2921716 2	166,400.00	164,566.09	01-Mar-2007	8.850%	SC - 80.00%	360	01-Jul-2006
2922086 2	112,500.00	111,683.35	01-Feb-2007	9.850%	OH - 90.00%	360	01-Oct-2006
2923019 1	150,000.00	149,778.62	01-May-2007	9.990%	FL - 75.00%	360	01-Apr-2007
2923191 1	167,200.00	166,934.81	01-Jun-2007	9.750%	PA - 95.00%	360	01-Apr-2007
2923258 1	202,500.00	202,164.14	01-May-2007	9.600%	IN - 90.00%	360	01-Apr-2007
2923308 1	93,500.00	93,368.04	01-Mar-2007	10.500%	WI - 85.00%	360	01-Mar-2007
2923530 1	225,000.00	224,706.56	01-Jun-2007	10.400%	FL - 90.00%	360	01-Apr-2007
2923753 2	432,000.00	429,552.16	01-Mar-2007	8.450%	FL - 80.00%	360	01-Apr-2007
2923761 2	108,000.00	107,564.63	01-Mar-2007	10.100%	FL - 100.00%	180	01-Apr-2007
2924207 1	323,000.00	323,000.00	01-May-2007	8.250%	CA - 85.00%	360	01-Apr-2007
2924454 2	1,040,000.00	1,031,824.08	01-Apr-2007	7.350%	CA - 80.00%	360	01-Mar-2007
2924603 2	256,000.00	255,046.61	01-Mar-2007	10.990%	CT - 80.00%	360	01-Mar-2007
2924611 2	327,750.00	326,561.43	01-Mar-2007	10.600%	FL - 95.00%	360	01-Apr-2007


Page 18 of 32

Novastar Mortgage Funding Trust 2007-2



Mortgage Pass-Through Certificates
Mortgage Pass-Through Certificates
December 26, 2007 Distribution

Loan Number	Original	Stated		Current	State &		First
&	Principal	Principal	Paid to	Note	LTV at	Original	Payment
Loan Group	Balance	Balance	Date	Rate	Origination	Term	Date
					Origination
2924819 1
2924819 1	131,175.00	130,933.55	01-Jun-2007	9.250%	MA - 75.00%	360	01-Apr-2007

2925212 1	119,000.00	118,518.34	01-May-2007	10.600%	MN - 85.00%	360	01-Mar-2007
2925642 1	279,200.00	278,569.16	01-Mar-2007	8.550%	FL - 80.00%	360	01-Apr-2007
2927259 1	208,250.00	206,983.90	01-Jun-2007	8.100%	CT - 85.00%	360	01-Apr-2007
2928414 1	81,000.00	80,696.78	01-Apr-2007	10.450%	SC - 88.04%	360	01-Apr-2007
2929073 2	238,500.00	237,340.34	01-Apr-2007	9.200%	FL - 90.00%	360	01-Apr-2007
2929107 1	283,500.00	283,043.59	01-Apr-2007	9.700%	AZ - 90.00%	360	01-Apr-2007
2929164 2	444,000.00	444,000.00	01-Jun-2007	7.850%	CA - 80.00%	360	01-Apr-2007
2930519 1	256,500.00	256,040.79	01-Jun-2007	9.350%	NJ - 90.00%	360	01-Apr-2007
2931624 1	234,000.00	232,850.45	01-Jun-2007	9.150%	FL - 90.00%	360	01-Apr-2007
2931921 1	75,050.00	74,657.90	01-Jun-2007	8.850%	MN - 63.60%	360	01-Apr-2007
2933455 1	187,580.00	187,291.28	01-Jun-2007	9.850%	RI - 83.00%	360	01-Apr-2007
2933604 2	115,000.00	114,428.16	01-May-2007	9.400%	FL - 79.31%	360	01-Apr-2007
2935302 2	296,000.00	294,515.73	01-Jun-2007	9.050%	FL - 80.00%	360	01-Apr-2007
2935781 1	603,250.00	603,250.00	01-May-2007	8.500%	CA - 95.00%	360	01-Apr-2007
2937225 2	356,000.00	355,171.93	01-Apr-2007	8.450%	CA - 80.00%	360	01-Apr-2007
2937233 2	89,000.00	88,719.23	01-Apr-2007	11.250%	CA - 100.00%	180	01-Apr-2007
2937779 2	302,250.00	301,438.14	01-Mar-2007	7.950%	NY - 69.48%	360	01-Apr-2007
2939205 2	208,000.00	207,617.23	01-Mar-2007	9.250%	FL - 80.00%	360	01-Apr-2007
2939213 2	52,000.00	50,993.15	01-Mar-2007	11.650%	FL - 100.00%	180	01-Apr-2007
2941086 2	192,000.00	191,588.04	01-Jun-2007	9.100%	TX - 80.00%	360	01-Mar-2007
2941912 1	210,600.00	209,887.28	01-Jun-2007	10.350%	FL - 90.00%	360	01-May-2007
2941920 2	175,000.00	174,253.58	01-Oct-2007	9.000%	FL - 68.63%	360	01-Apr-2007
2942514 1	85,000.00	84,596.82	01-Jun-2007	9.320%	FL - 58.62%	360	01-Apr-2007
2943967 1	98,400.00	97,963.07	01-May-2007	9.050%	WI - 82.00%	360	01-May-2007
2944536 1	351,000.00	349,342.61	01-May-2007	8.750%	PA - 90.00%	360	01-May-2007
2944932 1	214,205.00	213,668.59	01-Jun-2007	11.750%	FL - 85.00%	360	01-May-2007
2945053 1	265,500.00	265,153.13	01-Apr-2007	9.990%	FL - 90.00%	360	01-May-2007
2945152 1	232,050.00	231,498.66	01-Jun-2007	11.990%	MT - 85.00%	360	01-May-2007
2945632 2	454,750.00	453,449.00	01-May-2007	7.300%	FL - 85.00%	360	01-May-2007
2946556 1	310,000.00	308,893.25	01-Jun-2007	10.100%	CA - 83.78%	360	01-May-2007
2947323 2	488,000.00	485,788.17	01-Apr-2007	8.950%	CA - 80.00%	360	01-May-2007
2947331 2	122,000.00	119,948.54	01-Apr-2007	11.850%	CA - 100.00%	180	01-May-2007
2947364 2	413,100.00	412,790.30	01-May-2007	11.800%	FL - 90.00%	360	01-May-2007
2947885 1	132,300.00	131,788.73	01-Apr-2007	10.300%	SC - 90.00%	360	01-Apr-2007
2948487 1	130,000.00	129,587.28	01-May-2007	10.650%	NJ - 100.00%	360	01-May-2007
2948990 1	175,000.00	174,644.68	01-Jun-2007	8.500%	MN - 74.47%	360	01-May-2007
2949303 1	412,000.00	410,038.37	01-Apr-2007	8.700%	CA - 80.00%	360	01-May-2007
2949402 1	153,750.00	153,296.06	01-Apr-2007	10.990%	TX - 75.00%	360	01-May-2007
2949659 1	72,800.00	72,605.37	01-May-2007	11.450%	TX - 80.00%	360	01-May-2007
2949964 1	153,750.00	153,101.59	01-Jun-2007	9.300%	VA - 75.00%	360	01-May-2007
2950012 1	89,250.00	88,921.25	01-Jun-2007	9.950%	FL - 71.98%	360	01-May-2007
2951291 1	120,600.00	120,487.70	01-May-2007	11.100%	NM - 90.00%	360	01-May-2007
2951317 1	256,000.00	256,000.00	01-Apr-2007	8.300%	CA - 80.00%	360	01-May-2007
2951556 2	555,000.00	553,081.50	01-Jun-2007	10.250%	CA - 74.80%	360	01-May-2007
2951838 2	464,000.00	461,623.66	01-Apr-2007	8.350%	CA - 80.00%	360	01-May-2007
2952422 1	228,000.00	227,203.48	01-May-2007	10.200%	AZ - 80.00%	360	01-May-2007


Page 19 of 32

Novastar Mortgage Funding Trust 2007-2



Mortgage Pass-Through Certificates
Mortgage Pass-Through Certificates
December 26, 2007 Distribution

Loan Number	Original	Stated		Current	State &		First
&	Principal	Principal	Paid to	Note	LTV at	Original	Payment
Loan Group	Balance	Balance	Date	Rate	Origination	Term	Date
					Origination
2952687 1
2952687 1	124,950.00	124,669.59	01-Jun-2007	12.250%	FL - 85.00%	360	01-May-2007

2954147 1	308,750.00	308,545.79	01-Apr-2007	12.200%	NY - 95.00%	360	01-May-2007
2954170 2	140,600.00	140,247.95	01-Jun-2007	11.750%	AL - 95.00%	360	01-May-2007
2954501 1	95,000.00	94,423.51	01-Apr-2007	7.500%	FL - 77.24%	360	01-May-2007
2954667 2	528,000.00	525,841.52	01-Jun-2007	9.450%	CA - 80.00%	360	01-May-2007
2954675 2	132,000.00	131,613.67	01-Jun-2007	11.990%	CA - 100.00%	180	01-May-2007
2954881 2	315,000.00	315,000.00	01-May-2007	10.250%	NJ - 90.00%	360	01-May-2007
2954949 1	182,750.00	182,522.46	01-Apr-2007	10.150%	CT - 85.00%	360	01-May-2007
2954980 1	320,450.00	319,157.61	01-May-2007	9.520%	FL - 85.00%	360	01-May-2007
2955466 2	465,500.00	464,384.27	01-Apr-2007	11.950%	FL - 95.00%	360	01-May-2007
2955474 1	283,500.00	283,226.36	01-May-2007	10.990%	AZ - 90.00%	360	01-May-2007
2955532 2	272,000.00	270,689.20	01-May-2007	8.650%	AZ - 80.00%	360	01-May-2007
2955540 2	68,000.00	67,880.54	01-May-2007	13.350%	AZ - 100.00%	180	01-May-2007
2955557 2	368,000.00	367,295.02	01-Jun-2007	8.700%	FL - 80.00%	360	01-May-2007
2955565 2	92,000.00	91,829.04	01-Jun-2007	13.100%	FL - 100.00%	180	01-May-2007
2956464 1	141,600.00	141,271.63	01-Jun-2007	12.100%	FL - 80.00%	360	01-May-2007
2957124 2	578,550.00	576,184.86	01-Jun-2007	9.450%	CA - 95.00%	360	01-May-2007
2957272 2	249,300.00	249,059.80	01-Apr-2007	10.990%	FL - 90.00%	360	01-May-2007
2960003 2	136,800.00	134,817.82	01-Mar-2007	8.650%	OH - 90.00%	360	01-Jun-2006
2960268 1	65,700.00	65,480.55	01-Nov-2007	9.700%	KY - 90.00%	360	01-Jul-2006
2960946 2	157,500.00	157,095.03	01-Jun-2007	10.990%	AZ - 75.00%	360	01-Jun-2007
2961258 2	337,250.00	337,033.27	01-May-2007	11.850%	NJ - 95.00%	360	01-Jun-2007
2962629 1	124,000.00	123,660.67	01-May-2007	10.700%	NC - 80.00%	360	01-Jun-2007
2963098 1	300,000.00	298,974.81	01-May-2007	9.650%	FL - 75.00%	360	01-Jun-2007
2964138 1	161,500.00	161,003.21	01-May-2007	10.150%	CA - 85.00%	360	01-Jun-2007
2964195 1	280,000.00	279,280.07	01-May-2007	10.990%	FL - 70.00%	360	01-Jun-2007
2966653 1	210,000.00	209,664.34	01-Jun-2007	8.850%	FL - 75.00%	360	01-Jun-2007
2967396 2	479,200.00	479,200.00	01-May-2007	7.800%	FL - 80.00%	360	01-Mar-2007
2967511 1	140,000.00	139,877.32	01-Jun-2007	10.850%	CO - 80.00%	360	01-Jun-2007
2968436 2	427,500.00	427,007.45	01-May-2007	9.950%	FL - 90.00%	360	01-Jun-2007
2968667 1	50,000.00	49,840.88	01-Jun-2007	9.990%	OK - 80.00%	360	01-Jun-2007
2968683 1	75,650.00	75,419.74	01-Jun-2007	10.200%	OK - 85.00%	360	01-Jun-2007
2970184 1	226,100.00	225,573.71	01-May-2007	11.450%	FL - 95.00%	360	01-Jun-2007
2970820 1	342,000.00	341,686.22	01-Jun-2007	10.700%	FL - 90.00%	360	01-Jun-2007
2972362 1	217,800.00	217,461.93	01-May-2007	8.950%	FL - 61.35%	360	01-Jun-2007
2973485 2	319,200.00	319,200.00	01-May-2007	11.700%	WA - 95.00%	360	01-Jun-2007
2976017 2	123,250.00	122,905.25	01-Jul-2007	9.850%	GA - 85.00%	360	01-Jul-2007
2977478 1	191,070.00	190,584.05	01-Jun-2007	10.300%	FL - 90.00%	360	01-Jul-2007
2978013 1	252,000.00	251,324.19	01-Jun-2007	10.050%	TX - 80.00%	360	01-Jul-2007
2978807 1	69,600.00	69,432.20	01-Jun-2007	10.550%	NJ - 80.00%	360	01-Jul-2007
2696250 2	663,000.00	663,000.00	01-Jun-2007	10.100%	AZ - 89.96%	360	01-Nov-2006
2696334 2	121,600.00	120,690.22	01-Apr-2007	9.350%	FL - 80.00%	360	01-Nov-2006
2921948 2	50,400.00	50,140.42	01-Jun-2007	11.500%	TX - 72.00%	360	01-Oct-2006
2922334 1	108,450.00	107,694.63	01-Jan-2007	10.050%	OH - 90.00%	360	01-Oct-2006
2922714 1	130,500.00	129,189.94	01-Jun-2007	8.250%	OH - 90.00%	360	01-Oct-2006
2929172 2	111,000.00	110,657.25	01-May-2007	11.350%	CA - 100.00%	180	01-Apr-2007
2945251 1	154,100.00	153,711.77	01-Apr-2007	7.750%	CT - 58.82%	360	01-May-2007


Page 20 of 32

Novastar Mortgage Funding Trust 2007-2



Mortgage Pass-Through Certificates
Mortgage Pass-Through Certificates
December 26, 2007 Distribution

Loan Number	Original	Stated		Current	State &		First
&	Principal	Principal	Paid to	Note	LTV at	Original	Payment
Loan Group	Balance	Balance	Date	Rate	Origination	Term	Date
					Origination
2951325 1
2951325 1	64,000.00	63,817.48	01-Apr-2007	11.150%	CA - 100.00%	180	01-May-2007

2959740 1	220,500.00	220,147.58	01-May-2007	8.850%	FL - 90.00%	360	01-Jun-2007
2960904 2	334,400.00	333,392.90	01-Jun-2007	10.250%	FL - 95.00%	360	01-Jun-2007
2963296 1	275,500.00	275,142.10	01-Jun-2007	9.550%	NV - 95.00%	360	01-Jun-2007
2965192 2	674,100.00	671,622.20	01-May-2007	9.300%	CA - 90.00%	360	01-Jun-2007
2968154 2	418,500.00	417,995.49	01-Jun-2007	9.800%	CA - 90.00%	360	01-Jun-2007
2970499 1	395,000.00	393,930.65	01-May-2007	10.750%	FL - 79.00%	360	01-Jun-2007
2970572 1	261,250.00	261,047.68	01-Jun-2007	11.250%	MN - 95.00%	360	01-Jun-2007
2978385 2	565,155.00	563,471.40	01-Jun-2007	9.550%	NJ - 95.00%	360	01-Jul-2007
2980795 1	119,000.00	118,645.51	01-Jul-2007	9.550%	GA - 85.00%	360	01-Jul-2007
2981330 1	141,525.00	141,306.83	01-Jun-2007	12.600%	MT - 85.00%	360	01-Jul-2007
2981553 1	214,560.00	214,053.58	01-Jun-2007	10.650%	NJ - 72.00%	360	01-Jul-2007
2981819 1	141,210.00	141,104.45	01-Jun-2007	10.850%	SC - 90.00%	360	01-Jul-2007
2983740 1	348,500.00	347,223.69	01-Jun-2007	8.550%	FL - 85.00%	360	01-Jul-2007
2984748 1	186,300.00	185,964.72	01-Oct-2007	11.900%	FL - 90.00%	360	01-Jul-2007
2990232 2	315,000.00	314,699.44	01-Jun-2007	10.050%	NY - 90.00%	360	01-Jul-2007


TOTAL	45,961,782.00	45,802,973.98


TOTAL	47,036,832.00	46,874,665.03
TOTAL


Page 21 of 32

Novastar Mortgage Funding Trust 2007-2



Mortgage Pass-Through Certificates
Mortgage Pass-Through Certificates
December 26, 2007 Distribution

Prepayment Report

VOLUNTARY PREPAYMENTS
VOLUNTARY PREPAYMENTS

		Group 2	Group 1	Total


Current


Number of Paid in Full Loans	10	54	64
Number of Repurchased Loans	0	0	0
Total Number of Loans Prepaid in Full	10	54	64
Curtailments Amount	13,210.82	54,582.70	67,793.52
Paid in Full Balance	1,499,524.31	7,725,924.22	9,225,448.53
Repurchased Loans Balance	0.00	0.00	0.00
Total Prepayment Amount	1,512,735.13	7,780,506.92	9,293,242.05
Cumulative


Number of Paid in Full Loans	69	307	376
Number of Repurchased Loans	0	0	0
Total Number of Loans Prepaid in Full	69	307	376
Paid in Full Balance	17,107,165.46	45,002,070.68	62,109,236.14
Repurchased Loans Balance	0.00	0.00	0.00
Curtailments Amount	127,818.77	375,239.44	503,058.21
Total Prepayment Amount	17,234,984.23	45,377,310.12	62,612,294.35

Page 22 of 32

Novastar Mortgage Funding Trust 2007-2



Mortgage Pass-Through Certificates
Mortgage Pass-Through Certificates
December 26, 2007 Distribution


PREPAYMENTS RATES



		Group 2	Group 1	Total





SMM	0.42%	0.79%	0.69%
3 Months Avg SMM	0.64%	0.85%	0.79%
12 Months Avg SMM	0.73%	0.66%	0.68%
Avg SMM Since Cut-off	0.73%	0.66%	0.68%



CPR	4.92%	9.13%	8.01%
3 Months Avg CPR	7.45%	9.73%	9.13%
12 Months Avg CPR	8.38%	7.65%	7.85%
Avg CPR Since Cut-off	8.38%	7.65%	7.85%



PSA	266.65%	540.51%	462.91%
3 Months Avg PSA Approximation	452.06%	653.62%	595.62%
12 Months Avg PSA Approximation	666.40%	690.85%	683.87%
Avg PSA Since Cut-off Approximation	666.40%	690.85%	683.88%

Page 23 of 32

Novastar Mortgage Funding Trust 2007-2

Mortgage Pass-Through Certificates

December 26, 2007 Distribution

PREPAYMENT CALCULATION METHODOLOGY

Single Monthly Mortality (SMM): (Voluntary partial and full prepayments + Repurchases + Liquidation Balance)/(Beg Principal Balance - Sched Principal)

Conditional Prepayment Rate (CPR): 1-((1-SMM)^12)

PSA Standard Prepayment Model: CPR/(0.20%*min(30,WAS))

Average SMM over period between nth month and mth month (AvgSMMn,m): 1 - [(1-SMMn)*(1-SMMn+1)*...*(1-SMMm)]^(1/months in period n,m)

Average CPR over period between the nth month and mth month (AvgCPRn,m): 1-((1-AvgSMMn,m)^12)

Average PSA Approximation over period between the nth month and mth month: AvgCPRn,m/(0.20%*Avg WASn,m))

Average WASn,m: (min(30,WASn)+min(30,WASn+1)+...+min(30,WASm)/(number of months in the period n,m)

Weighted Average Seasoning (WAS)

Note: Prepayment rates are calculated since deal issue date and include partial and full voluntary prepayments and repurchases.

Dates correspond to distribution dates.

Page 24 of 32

Novastar Mortgage Funding Trust 2007-2



Mortgage Pass-Through Certificates
Mortgage Pass-Through Certificates
December 26, 2007 Distribution

Prepayment Detail Report

Prepayment Detail Report - Mortgage Loans Prepaid in Full During Current Distribution


Loan Number		Original			Current	State &	Type Prepayment	First


&	Loan	Principal	Prepayment	Prepayment	Note	LTV at	&	Payment

Loan Group	Status	Balance	Amount	Date	Rate	Origination	Original Term	Date

2798783 1		350,000.00	345,629.69	16-Nov-2007	6.750%	TX - 63.64%	Paid Off - 360	01-Nov-2006
2798783 1		350,000.00	345,629.69	16-Nov-2007	6.750%	TX - 63.64%	Paid Off - 360	01-Nov-2006
2799096 1		62,400.00	61,927.67	28-Nov-2007	8.500%	TX - 80.00%	Paid Off - 360	01-Dec-2006
2805943 1		70,000.00	69,295.52	19-Nov-2007	7.370%	VA - 42.42%	Paid Off - 360	01-Dec-2006
2806099 1		120,000.00	118,739.44	26-Nov-2007	7.875%	SC - 56.60%	Paid Off - 360	01-Dec-2006
2806818 2		42,994.00	42,880.32	20-Nov-2007	13.550%	NM - 99.99%	Paid Off - 180	01-Dec-2006
2864254 1		54,400.00	53,974.16	01-Nov-2007	7.875%	VA - 70.65%	Paid Off - 360	01-Jan-2007
2866234 1		134,250.00	133,609.05	20-Nov-2007	11.125%	VA - 75.00%	Paid Off - 360	01-Nov-2006
2867729 1		197,050.00	195,820.61	28-Nov-2007	9.000%	VA - 70.00%	Paid Off - 360	01-Jan-2007
2908424 1		125,000.00	124,160.66	01-Nov-2007	7.600%	SC - 74.85%	Paid Off - 360	01-Mar-2007
2909372 1		96,000.00	95,547.51	28-Nov-2007	9.350%	OH - 78.05%	Paid Off - 360	01-Mar-2007
2909539 1		161,000.00	160,323.12	01-Nov-2007	9.900%	VA - 70.00%	Paid Off - 360	01-Mar-2007
2910768 1		126,000.00	125,771.51	14-Nov-2007	9.300%	WI - 90.00%	Paid Off - 360	01-Mar-2007
2912947 1		136,000.00	135,282.06	27-Nov-2007	8.200%	SC - 80.00%	Paid Off - 360	01-Apr-2007
2912954 1		34,000.00	33,902.00	27-Nov-2007	11.100%	SC - 100.00%	Paid Off - 180	01-Apr-2007
2914901 1		89,000.00	88,159.62	26-Nov-2007	7.125%	PA - 71.83%	Paid Off - 360	01-Jan-2007
2915544 1		120,750.00	120,298.50	01-Nov-2007	10.500%	GA - 75.00%	Paid Off - 360	01-Mar-2007
2915791 1		166,000.00	164,968.37	21-Nov-2007	7.990%	CT - 79.05%	Paid Off - 360	01-Mar-2007
2918944 1		135,000.00	134,094.72	27-Nov-2007	6.990%	AZ - 69.95%	Paid Off - 360	01-Apr-2007
2919488 1		52,000.00	51,558.22	15-Nov-2007	9.250%	NJ - 33.12%	Paid Off - 360	01-Apr-2007
2919595 1		129,000.00	128,558.75	28-Nov-2007	10.300%	CA - 60.00%	Paid Off - 360	01-Apr-2007
2923373 2		180,000.00	179,337.16	21-Nov-2007	9.950%	FL - 100.00%	Paid Off - 360	01-Apr-2007
2927002 2		155,700.00	154,949.65	16-Nov-2007	8.650%	FL - 62.78%	Paid Off - 360	01-Apr-2007
2927069 2		100,000.00	99,701.62	28-Nov-2007	7.150%	AZ - 42.55%	Paid Off - 360	01-Apr-2007
2928760 1		88,350.00	88,350.00	01-Nov-2007	10.450%	MO - 95.00%	Paid Off - 360	01-Apr-2007
2930618 2		202,450.00	201,764.87	01-Nov-2007	10.350%	LA - 100.00%	Paid Off - 360	01-Apr-2007
2931160 1		208,250.00	207,602.28	14-Nov-2007	8.050%	VA - 85.00%	Paid Off - 360	01-Mar-2007
2932671 1		75,000.00	74,608.09	16-Nov-2007	8.250%	KS - 75.00%	Paid Off - 360	01-Apr-2007
2933703 1		158,000.00	157,059.90	29-Nov-2007	7.600%	IL - 79.00%	Paid Off - 360	01-Apr-2007
2933752 1		258,750.00	258,282.49	01-Nov-2007	8.900%	NJ - 75.00%	Paid Off - 360	01-Apr-2007
2934487 2		159,900.00	159,298.63	27-Nov-2007	9.850%	GA - 100.00%	Paid Off - 360	01-Apr-2007
2935120 1		235,000.00	233,706.15	20-Nov-2007	7.990%	IL - 87.04%	Paid Off - 360	01-Apr-2007
2935823 1		119,500.00	119,107.13	01-Nov-2007	6.800%	CA - 55.58%	Paid Off - 360	01-Apr-2007
2936037 1		141,000.00	139,578.14	30-Nov-2007	7.990%	NC - 75.00%	Paid Off - 360	01-Apr-2007
2941490 1		215,000.00	214,608.11	01-Nov-2007	8.400%	FL - 69.36%	Paid Off - 360	01-May-2007
2941789 1		99,000.00	98,682.31	27-Nov-2007	10.600%	KS - 55.00%	Paid Off - 360	01-Apr-2007
2942795 1		135,000.00	134,023.55	01-Nov-2007	8.860%	FL - 87.10%	Paid Off - 360	01-Apr-2007
2944809 1		97,500.00	97,218.56	20-Nov-2007	10.450%	PA - 75.00%	Paid Off - 360	01-May-2007
2948149 1		144,400.00	144,074.68	27-Nov-2007	11.600%	IA - 95.00%	Paid Off - 360	01-May-2007
2948560 1		210,900.00	210,449.66	28-Nov-2007	7.850%	VA - 82.38%	Paid Off - 360	01-May-2007
2953958 1		77,000.00	76,745.00	01-Nov-2007	9.800%	FL - 64.17%	Paid Off - 360	01-May-2007


Page 25 of 32

Novastar Mortgage Funding Trust 2007-2



Mortgage Pass-Through Certificates
Mortgage Pass-Through Certificates
December 26, 2007 Distribution


Prepayment Detail Report - Mortgage Loans Prepaid in Full During Current Distribution


Loan Number		Original			Current	State &	Type Prepayment	First


&	Loan	Principal	Prepayment	Prepayment	Note	LTV at	&	Payment

Loan Group	Status	Balance	Amount	Date	Rate	Origination	Original Term	Date

2956175 1		63,200.00	63,072.42	19-Nov-2007	12.100%	MI - 80.00%	Paid Off - 360	01-May-2007
2956175 1		63,200.00	63,072.42	19-Nov-2007	12.100%	MI - 80.00%	Paid Off - 360	01-May-2007
2958676 2		323,000.00	322,437.64	01-Nov-2007	12.050%	NY - 95.00%	Paid Off - 360	01-Jun-2007
2961670 1		394,250.00	393,032.14	28-Nov-2007	10.150%	MD - 95.00%	Paid Off - 360	01-Jun-2007
2962082 1		174,936.00	174,621.86	30-Nov-2007	8.750%	KS - 88.80%	Paid Off - 360	01-Jun-2007
2962892 2		131,250.00	130,846.55	30-Nov-2007	9.400%	VA - 74.57%	Paid Off - 360	01-Jun-2007
2967446 1		179,550.00	179,368.03	19-Nov-2007	9.850%	NC - 95.00%	Paid Off - 360	01-Jun-2007
2968295 1		88,000.00	87,778.56	01-Nov-2007	10.350%	OH - 80.00%	Paid Off - 360	01-Jun-2007
2969871 1		203,000.00	202,016.22	12-Nov-2007	7.150%	AR - 70.00%	Paid Off - 360	01-Jun-2007
2970085 1		165,000.00	164,778.06	15-Nov-2007	8.900%	KS - 70.21%	Paid Off - 360	01-Jun-2007
2971224 1		120,000.00	119,759.14	15-Nov-2007	11.400%	NJ - 58.54%	Paid Off - 360	01-Jun-2007
2971877 2		122,400.00	122,284.98	01-Nov-2007	10.100%	TN - 90.00%	Paid Off - 360	01-Jun-2007
2972495 2		86,250.00	86,022.89	27-Nov-2007	10.880%	FL - 78.41%	Paid Off - 360	01-May-2007
2974236 1		134,100.00	133,991.89	08-Nov-2007	9.990%	NM - 90.00%	Paid Off - 360	01-Jul-2007
2975696 1		101,125.00	100,786.58	15-Nov-2007	8.990%	FL - 74.91%	Paid Off - 360	01-Jun-2007
2977239 1		78,000.00	77,685.93	01-Nov-2007	7.150%	MD - 46.43%	Paid Off - 360	01-Jul-2007
2978062 1		137,700.00	137,492.28	01-Nov-2007	11.850%	GA - 90.00%	Paid Off - 360	01-Jul-2007
2979235 1		137,250.00	137,194.06	20-Nov-2007	12.300%	WV - 90.00%	Paid Off - 360	01-Jul-2007
2979458 1		70,000.00	69,070.83	16-Nov-2007	9.200%	MD - 70.00%	Paid Off - 180	01-Jul-2007
2979540 1		130,000.00	129,803.02	26-Nov-2007	7.850%	NJ - 73.03%	Paid Off - 360	01-Jul-2007
2979763 1		266,250.00	266,022.65	16-Nov-2007	9.800%	IL - 75.00%	Paid Off - 360	01-Jul-2007
2981447 1		158,650.00	158,172.46	14-Nov-2007	8.600%	WI - 95.00%	Paid Off - 360	01-Jul-2007
2984060 1		261,800.00	261,229.64	12-Nov-2007	10.150%	IL - 85.00%	Paid Off - 360	01-Jul-2007
2985026 1		82,650.00	82,499.61	14-Nov-2007	10.990%	OH - 95.00%	Paid Off - 360	01-Jul-2007
2993301 1		192,000.00	191,831.61	01-Nov-2007	8.950%	NJ - 73.85%	Paid Off - 360	01-Aug-2007


TOTAL	9,261,905.00	9,225,448.53

Page 26 of 32

Novastar Mortgage Funding Trust 2007-2



Mortgage Pass-Through Certificates
Mortgage Pass-Through Certificates
December 26, 2007 Distribution

Realized Loss Report

COLLATERAL REALIZED LOSSES



	Group 2	Group 1	Total


Current





Number of Loans Liquidated	0	0	0
Collateral Principal Realized Loss/(Gain) Amount	0.00	0.00	0.00
Collateral Interest Realized Loss/(Gain) Amount	0.00	0.00	0.00
Net Liquidation Proceeds	0.00	0.00	0.00

Cumulative
Cumulative



Number of Loans Liquidated	9	6	15
Collateral Realized Loss/(Gain) Amount	1,592,666.72	312,007.34	1,904,674.06
Net Liquidation Proceeds	(69,805.67)	412,730.29	342,924.62

Page 27 of 32

Novastar Mortgage Funding Trust 2007-2



Mortgage Pass-Through Certificates
Mortgage Pass-Through Certificates
December 26, 2007 Distribution


DEFAULT SPEEDS

	Group 2	Group 1	Total




MDR	0.00%	0.00%	0.00%
3 Months Avg MDR	0.14%	0.02%	0.06%
12 Months Avg MDR	0.06%	0.01%	0.02%
Avg MDR Since Cut-off	0.06%	0.01%	0.02%


CDR	0.00%	0.00%	0.00%
3 Months Avg CDR	1.66%	0.29%	0.66%
12 Months Avg CDR	0.72%	0.12%	0.28%
Avg CDR Since Cut-off	0.72%	0.12%	0.28%


SDA	0.00%	0.00%	0.00%
3 Months Avg SDA Approximation	1,009.68%	195.33%	431.19%
12 Months Avg SDA Approximation	570.11%	112.72%	247.16%
Avg SDA Since Cut-off Approximation	570.13%	112.75%	247.13%


Loss Severity Approximation for Current Period	0.00%	0.00%	0.00%
3 Months Avg Loss Severity Approximation	100.00%	41.59%	81.17%
12 Months Avg Loss Severity Approximation	100.00%	41.59%	81.17%
Avg Loss Severity Approximation Since Cut-off	100.00%	41.59%	81.17%

Page 28 of 32

Novastar Mortgage Funding Trust 2007-2

Mortgage Pass-Through Certificates

December 26, 2007 Distribution

COLLATERAL REALIZED LOSS CALCULATION METHODOLOGY

Monthly Default Rate (MDR): (Beg Principal Balance of Liquidated Loans)/(Total Beg Principal Balance)

Conditional Default Rate (CDR): 1-((1-MDR)^12)

SDA Standard Default Assumption: CDR/IF(WAS<61,MIN(30,WAS)*0.02%,MAX(0.03%,MIN(30,WAS)*0.02%-0.0095%*(WAS-60)))

Average MDR over period between nth month and mth month (AvgMDRn,m): [(1-MDRn)*(1-MDRn+1)*...*(1-MDRm)]^(1/months in period n,m)

Average CDR over period between the nth month and mth month (AvgCDRn,m): 1-((1-AvgMDRn,m)^12)

Average SDA Approximation over period between the nth month and mth month:

AvgCDRn,m/IF(Avg WASn,m<61,MIN(30,Avg WASn,m)*0.02%,MAX(0.03%,MIN(30,Avg WASn,m)*0.02%-0.0095%*(Avg WASn,m-60)))

Average WASn,m: (WASn + WASn+1 +...+ WASm )/(number of months in the period n,m)

Loss Severity Approximation for current period: sum(Realized Loss Amount)/sum(Beg Principal Balance of Liquidated Loans)

Average Loss Severity Approximation over period between nth month and mth month: Avg(Loss Severityn,m)

Note: Default rates are calculated since deal issue date and include realized gains and additional realized losses and gains from prior periods.

Dates correspond to distribution dates.

Charged off or Partially Charged off Loans assumed to have a minimum 100% Loss Severity Percentage.

Page 29 of 32

Novastar Mortgage Funding Trust 2007-2

Mortgage Pass-Through Certificates

December 26, 2007 Distribution

Realized Loss Detail Report

Loan Number

Current

State &

Prior

Realized

Cumulative

Loan

Note

LTV at

Original

Principal

Loss/(Gain)

Realized

Loan Group

Status

Rate

Origination

Term

Balance

Revision

Loss/(Gain)

TOTAL

Page 30 of 32

Novastar Mortgage Funding Trust 2007-2

Mortgage Pass-Through Certificates

December 26, 2007 Distribution

Triggers and Adj. Cert. Report

TRIGGER EVENTS

Group 2

Group 1

Total

Does a Trigger Event Exist?

Has a Crossover Date Occurred?

Rolling 60-Day Delinquency Percentage

7.454649%

Mezzanine Certificate Balance & Overcollateralization

331,800,000.00

Beginning Pool Principal Balance

1,340,288,509.37

Credit Enhancement Percentage

24.755864%

Cumulative Loss Percentage

0.13604815%

Master Servicer Event of Default?

ADJUSTABLE RATE CERTIFICATE INFORMATION

SPACE INTENTIONALLY LEFT BLANK

ADDITIONAL INFORMATION

Group 2

Group 1

Total

Current LIBOR Rate

4.783130%

Libor Rate Determination Date

11/21/2007

Next LIBOR Rate

4.865000%

Next Libor Rate Determination Date

12/21/2007

(x) Aggregate Notional amount of the Hedge Agreements

840,000,000.00

(y) Aggregate Certificate Principal Balance

1,270,768,143.55

Difference: ((x) - (y))

-430,768,143.55

Dollar amounts of Claims made*

Amounts paid by the MI Insurer in respect of claims made*

Premiums due and paid under the MI Policy*

(a) Class I Monthly Interest Distributable Amount

135,439.17

(b) Hedge amount received by Supplemental Interest Trust

0.00

Absolute Diffference: (|(a) - (b)|)

135,439.17

* Information not available with Trustee

Page 31 of 32

Novastar Mortgage Funding Trust 2007-2



Mortgage Pass-Through Certificates
Mortgage Pass-Through Certificates
December 26, 2007 Distribution

Additional Certificate Report

ADDITIONAL CERTIFICATE REPORT

		NET WAC Shortfall Prior (1)	Int on Prior SF (2)	Curr NET WAC SF (3)	Total NET WAC SF (1+2+3)	NET WAC Shortfall Paid	NET WAC Shortfall UnPaid


CLASS
	A-1A	$0.00	$0.00	$0.00	$0.00	$0.00	$0.00
	A-2A	$0.00	$0.00	$0.00	$0.00	$0.00	$0.00
	A-2B	$0.00	$0.00	$0.00	$0.00	$0.00	$0.00
	A-2C	$0.00	$0.00	$0.00	$0.00	$0.00	$0.00
	A-2D	$0.00	$0.00	$0.00	$0.00	$0.00	$0.00
	M-1	$0.00	$0.00	$0.00	$0.00	$0.00	$0.00
	M-2	$0.00	$0.00	$0.00	$0.00	$0.00	$0.00
	M-3	$0.00	$0.00	$0.00	$0.00	$0.00	$0.00
	M-4	$0.00	$0.00	$0.00	$0.00	$0.00	$0.00
	M-5	$0.00	$0.00	$0.00	$0.00	$0.00	$0.00
	M-6	$0.00	$0.00	$0.00	$0.00	$0.00	$0.00
	M-7	$0.00	$0.00	$0.00	$0.00	$0.00	$0.00
	M-8	$0.00	$0.00	$0.00	$0.00	$0.00	$0.00
	M-9	$0.00	$0.00	$0.00	$0.00	$0.00	$0.00
	M-10	$0.00	$0.00	$0.00	$0.00	$0.00	$0.00






Page 32 of 32

Novastar Mortgage Funding Trust, Series 2007-2 10-D