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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
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FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) June 25, 1999.
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NovaStar Mortgage Funding Trust, Series 1999-1
(Issuer in respect of the NovaStar Home Equity Loan Asset-
Backed Bonds Series 1999-1)
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(Exact name of registrant as specified in its charter)
Delaware 333-64775 51-6512366
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(State or other jurisdiction (Commission (IRS Employer
of incorporation) File Number) Identification No.)
c/o First Union National Bank, 230 S. Tryon Street, 9th Floor,
Charlotte, NC 28288-1179
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (704) 383-9568
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(Former name or former address, if changed since last report.)
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Item 5. See the monthly statement to Bondholders attached as Exhibit 20.1 hereto
reflecting the required information for the June 1999 payment to the NovaStar
Home Equity Loan Asset-Backed Bonds Series 1999-1
Item 7. Financial Statements and Exhibits.
(c) Exhibits.
Item 601 (a) of Regulation.
S-K Exhibit Number.
20.1 Monthly statement to holders of NovaStar Home Equity Loan Asset-Backed
Bonds Series 1999-1 relating to the June 25, 1999 Payment Date.
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Signatures
Pursuant to the requirements of the Securities Exchange Act of 1934,
the Registrant has duly caused this report to be signed on behalf of NovaStar
Mortgage Funding Trust Series 1999-1 by the undersigned thereunto duly
authorized.
Dated: July 9, 1999 By: First Union National Bank, as Indenture
Trustee and on behalf of NovaStar Home
Mortgage Funding Trust Series 1999-1
BY: Robert Ashbaugh
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Vice President
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EXHIBIT INDEX
20.1 Monthly statement to holders of NovaStar Home Equity Loan Asset-Backed
Bonds Series 1999-1 relating to the June 25, 1999 Payment Date.
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NovaStar Mortgage Funding Trust
NovaStar Home Equity Loan Asset-Backed Bonds
Series 1999-1
Statement To Bondholder
<TABLE>
<CAPTION>
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DISTRIBUTIONS IN DOLLARS
PRIOR CUMULATIVE CURRENT
ORIGINAL PRINCIPAL REALIZED REALIZED DEFERRED PRINCIPAL
CLASS FACE VALUE BALANCE INTEREST PRINCIPAL TOTAL LOSSES LOSSES INTEREST BALANCE
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<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
A-1 75,000,000.00 73,669,291.47 339,548.94 767,914.53 1,107,463.47 0.00 0.00 0.00 72,901,376.94
A-2 20,000,000.00 19,153,692.20 89,765.66 10,299.87 100,065.53 0.00 0.00 0.00 19,143,392.33
A-3 45,000,000.00 43,900,589.97 229,929.34 364,792.51 594,721.85 0.00 0.00 0.00 43,535,797.46
A-4 20,000,000.00 19,281,181.12 102,608.02 256,937.52 359,545.54 0.00 0.00 0.00 19,024,243.60
B-1 2,197,208.51 2,197,208.51 10,127.15 0.00 10,127.15 0.00 0.00 0.00 2,197,208.51
B-2 585,922.27 585,922.27 2,745.99 0.00 2,745.99 0.00 0.00 0.00 585,922.27
B-3 1,318,325.11 1,318,325.11 6,904.73 0.00 6,904.73 0.00 0.00 0.00 1,318,325.11
B-4 585,922.27 524,965.13 2,793.69 0.00 2,793.69 0.00 0.00 0.00 524,965.13
IO-1 77,519,379.85 76,188,671.47 193,406.89 0.00 193,406.89 0.00 0.00 0.00 76,188,671.47
IO-2 20,671,834.62 19,825,527.20 48,406.16 0.00 48,406.16 0.00 0.00 0.00 19,825,527.20
IO-3 46,035,805.62 44,936,395.97 92,294.30 0.00 92,294.30 0.00 0.00 0.00 44,936,395.97
IO-4 20,460,358.06 19,741,539.12 35,015.15 0.00 35,015.15 0.00 0.00 0.00 19,741,539.12
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TOTALS 162,197,208.51 158,201,963.27 1,153,546.01 1,399,944.43 2,553,490.44 0.00 0.00 0.00 156,802,018.84
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</TABLE>
<TABLE>
<CAPTION>
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FACTOR INFORMATION PER $1000 OF ORIGINAL FACE PASS-THROUGH
PRIOR CURRENT RATES
PRINCIPAL PRINCIPAL
CLASS CUSIP BALANCE INTEREST PRINCIPAL TOTAL BALANCE CURRENT NEXT
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<S> <C> <C> <C> <C> <C> <C> <C> <C>
A-1 66987WAC1 982.257220 4.527319 10.238860 14.766180 972.018359 5.352500% 5.522500%
A-2 66987WAD9 957.684610 4.488283 0.514994 5.003277 957.169617 5.442500% 5.612500%
A-3 66987WAE7 975.568666 5.109541 8.106500 13.216041 967.462166 6.285000% 6.285000%
A-4 66987WAF4 964.059056 5.130401 12.846876 17.977277 951.212180 6.386000% 6.386000%
B-1 1,000.000000 4.609098 0.000000 4.609098 1,000.000000 5.352500% 5.522500%
B-2 1,000.000000 4.686611 0.000000 4.686611 1,000.000000 5.442500% 5.612500%
B-3 1,000.000000 5.237502 0.000000 5.237502 1,000.000000 6.285000% 6.285000%
B-4 895.963777 4.768022 0.000000 4.768022 895.963777 6.386000% 6.386000%
IO-1 982.833862 2.494949 0.000000 2.494949 982.833862 5.352500% 5.522500%
IO-2 959.059879 2.341648 0.000000 2.341648 959.059879 5.442500% 5.612500%
IO-3 976.118379 2.004837 0.000000 2.004837 976.118379 6.285000% 6.285000%
IO-4 964.867724 1.711365 0.000000 1.711365 964.867724 6.386000% 6.386000%
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Seller: NovaStar Financial, Inc.
Servicer: NovaStar Mortgage Corporation
Record Date: June 30, 1999
Distribution Date: June 25, 1999
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</TABLE>
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NovaStar Home Equity Loan Trust
NovaStar Home Equity Loan Asset-Backed Bonds
Series 1999-1
Statement To Bondholder - Pool I
<TABLE>
<CAPTION>
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<S> <C>
Distribution Date: June 25, 1999
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Aggregate Collections From the Mortgage Loans in Pool I
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Total Collection on Pool 1,381,914.01
Total Servicer Advances 0.00
Total Compensating Interest 0.00
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Available Carry-Forward Amount 0.00
Aggregate Unpaid Carry-Forward Amount 0.00
Current Period Insured Payments Paid by Insurer 0.00
Aggregate Unreimbursed Insured Amounts Payable to Insurer 0.00
Aggregate Beginning Principal Balance of Mortgage Loans 76,188,671.47
Aggregate Ending Principal Balance of Mortgage Loans 75,420,756.94
Number of Loans at Month End 822
Required Subordination Amount 2,519,380.00
Current Subordination Amount 2,519,380.00
Subordination Increase Amount 0.00
Subordination Reduction Amount 0.00
Net Monthly Excess Cashflow 9,283.12
Unpaid Accrued Interest 0.00
Current Realized Loss on Mortgage Loans 0.00
Aggregate Realized Loss on Mortgage Loans 0.00
Prepayments 725,753.01
Prepayment Penalties 4,361.78
Weighted Average Mortgage Rate 9.60202122%
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DELINQUENCY DELINQUENT DELINQUENT DELINQUENT LOANS IN REO
INFORMATION 30-59 DAYS 60-89 DAYS 90 + DAYS FORECLOSURE PROPERTY
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PRINCIPAL BALANCE 2,168,943.67 1,388,465.79 52,575.08 2,527,961.67 253,698.10
NUMBER OF LOANS 28 16 1 25 3
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REPURCHASE Current Cumulative
INFORMATION Period History
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PRINCIPAL BALANCE 0.00 0.00
NUMBER OF LOANS 0 0
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CONVERTED MTGE Current Cumulative
LOANS INFO Period History
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PRINCIPAL BALANCE 0.00 0.00
NUMBER OF LOANS 0 0
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Cumulative Loss Percentage 0.00000%
Delinquency Percentage 3.75790%
Rolling Delinquency Percentage 3.17217%
Prepayment Interest Shortfalls 0.00
Relief Act Shortfalls 0.00
MI Insurer Insolvency Event Occurred No
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</TABLE>
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NovaStar Home Equity Loan Trust
NovaStar Home Equity Loan Asset-Backed Bonds
Series 1999-1
Statement To Bondholder - Pool II
<TABLE>
<CAPTION>
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<S> <C>
Distribution Date: June 25, 1999
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Aggregate Collections From the Mortgage Loans in Pool II
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Total Collection on Pool 168,449.38
Total Servicer Advances 0.00
Total Compensating Interest 0.00
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Available Carry-Forward Amount 0.00
Aggregate Unpaid Carry-Forward Amount 0.00
Current Period Insured Payments Paid by Insurer 0.00
Aggregate Unreimbursed Insured Amounts Payable to Insurer 0.00
Aggregate Beginning Principal Balance of Mortgage Loans 19,825,527.20
Aggregate Ending Principal Balance of Mortgage Loans 19,815,227.33
Number of Loans at Month End 118
Required Subordination Amount 671,835.00
Current Subordination Amount 671,835.00
Subordination Increase Amount 0.00
Subordination Reduction Amount 0.00
Net Monthly Excess Cashflow 771.97
Unpaid Accrued Interest 0.00
Current Realized Loss on Mortgage Loans 0.00
Aggregate Realized Loss on Mortgage Loans 0.00
Prepayments 0.00
Prepayment Penalties 0.00
Weighted Average Mortgage Rate 9.57247805%
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DELINQUENCY DELINQUENT DELINQUENT DELINQUENT LOANS IN REO
INFORMATION 30-59 DAYS 60-89 DAYS 90 + DAYS FORECLOSURE PROPERTY
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PRINCIPAL BALANCE 837,922.65 76,276.23 0.00 1,542,909.04 190,781.89
NUMBER OF LOANS 6 1 0 8 1
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REPURCHASE Current Cumulative
INFORMATION Period History
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PRINCIPAL BALANCE 0.00 0.00
NUMBER OF LOANS 0 0
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CONVERTED MTGE Current Cumulative
LOANS INFO Period History
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PRINCIPAL BALANCE 0.00 0.00
NUMBER OF LOANS 0 0
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Cumulative Loss Percentage 0.00000%
Delinquency Percentage 8.74929%
Rolling Delinquency Percentage 7.62223%
Prepayment Interest Shortfalls 0.00
Relief Act Shortfalls 0.00
MI Insurer Insolvency Event Occurred No
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</TABLE>
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NovaStar Home Equity Loan Trust
NovaStar Home Equity Loan Asset-Backed Bonds
Series 1999-1
Statement To Bondholder - Pool III
<TABLE>
<CAPTION>
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<S> <C>
Distribution Date: June 25, 1999
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Aggregate Collections From the Mortgage Loans in Pool III
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Total Collection on Pool 730,686.90
Total Servicer Advances 0.00
Total Compensating Interest 0.00
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Available Funds Cap Carry-Forward Amount 0.00
Aggregate Unpaid Available Funds Cap Carry-Forward Amount 0.00
Available Carry-Forward Amount 0.00
Aggregate Unpaid Carry-Forward Amount 0.00
Aggregate Beginning Principal Balance of Mortgage Loans 44,936,395.97
Aggregate Ending Principal Balance of Mortgage Loans 44,571,603.46
Number of Loans at Month End 590
Required Subordination Amount 1,035,806.00
Current Subordination Amount 1,035,806.00
Subordination Increase Amount 0.00
Subordination Reduction Amount 0.00
Net Monthly Excess Cashflow 0.00
Unpaid Accrued Interest 0.00
Current Realized Loss on Mortgage Loans 0.00
Aggregate Realized Loss on Mortgage Loans 0.00
Prepayments 320,875.40
Prepayment Penalties 7,445.34
Weighted Average Mortgage Rate 9.57217086%
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DELINQUENCY DELINQUENT DELINQUENT DELINQUENT LOANS IN REO
INFORMATION 30-59 DAYS 60-89 DAYS 90 + DAYS FORECLOSURE PROPERTY
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PRINCIPAL BALANCE 846,950.54 171,327.47 58,332.14 616,988.05 0.00
NUMBER OF LOANS 13 3 1 7 0
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REPURCHASE Current Cumulative
INFORMATION Period History
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PRINCIPAL BALANCE 0.00 0.00
NUMBER OF LOANS 0 0
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CONVERTED MTGE Current Cumulative
LOANS INFO Period History
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PRINCIPAL BALANCE 0.00 0.00
NUMBER OF LOANS 0 0
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Cumulative Loss Percentage 0.00000%
Delinquency Percentage 1.51514%
Rolling Delinquency Percentage 1.11503%
Prepayment Interest Shortfalls 0.00
Relief Act Shortfalls 0.00
MI Insurer Insolvency Event Occurred No
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</TABLE>
<PAGE> 5
NovaStar Home Equity Loan Trust
NovaStar Home Equity Loan Asset-Backed Bonds
Series 1999-1
Statement To Bondholder - Pool IV
<TABLE>
<CAPTION>
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<S> <C>
Distribution Date: June 25, 1999
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Aggregate Collections From the Mortgage Loans in Pool IV
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Total Collection on Pool 413,704.93
Total Servicer Advances 0.00
Total Compensating Interest 0.00
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Available Carry-Forward Amount 0.00
Aggregate Unpaid Carry-Forward Amount 0.00
Current Period Insured Payments Paid by Insurer 0.00
Aggregate Unreimbursed Insured Amounts Payable to Insurer 0.00
Aggregate Beginning Principal Balance of Mortgage Loans 19,741,539.12
Aggregate Ending Principal Balance of Mortgage Loans 19,484,601.60
Number of Loans at Month End 170
Required Subordination Amount 460,358.00
Current Subordination Amount 460,358.00
Subordination Increase Amount 0.00
Subordination Reduction Amount 0.00
Net Monthly Excess Cashflow 0.00
Unpaid Accrued Interest 0.00
Current Realized Loss on Mortgage Loans 0.00
Aggregate Realized Loss on Mortgage Loans 0.00
Prepayments 242,681.45
Prepayment Penalties 945.00
Weighted Average Mortgage Rate 9.47174842%
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DELINQUENCY DELINQUENT DELINQUENT DELINQUENT LOANS IN REO
INFORMATION 30-59 DAYS 60-89 DAYS 90 + DAYS FORECLOSURE PROPERTY
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PRINCIPAL BALANCE 827,704.82 0.00 114,788.41 484,943.27 0.00
NUMBER OF LOANS 7 0 1 5 0
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REPURCHASE Current Cumulative
INFORMATION Period History
- ------------------------------------------------------
PRINCIPAL BALANCE 0.00 0.00
NUMBER OF LOANS 0 0
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- ------------------------------------------------------
CONVERTED MTGE Current Cumulative
LOANS INFO Period History
- ------------------------------------------------------
PRINCIPAL BALANCE 0.00 0.00
NUMBER OF LOANS 0 0
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Cumulative Loss Percentage 0.00000%
Delinquency Percentage 3.07798%
Rolling Delinquency Percentage 2.50836%
Prepayment Interest Shortfalls 0.00
Relief Act Shortfalls 0.00
MI Insurer Insolvency Event Occurred No
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</TABLE>
