Fitch Rates $583.64MM Bear Stearns SACO I Trust 2005-10

SACO I Trust mortgage-backed certificates, series 2005-10, are rated by Fitch Ratings as follows:

Group 1:

-- $284.64 million class I-A 'AAA';

-- $5.59 million class I-M 'A-';

-- $7.62 million class I-B-1 'BBB+';

-- $5.42 million class I-B-2 'BBB';

-- $4.74 million class I-B-3 'BBB-';

-- $5.42 million privately offered class I-B-4 'BB+'.

Group 2:

-- $194.45 million class II-A 'AAA';

-- $15.84 million class II-M-1 'AA+';

-- $14.69 million class II-M-2 'AA';

-- $6.34 million class II-M-3 'AA-';

-- $9.07 million class II-M-4 'A+';

-- $6.48 million class II-M-5 'A';

-- $4.90 million class II-M-6 'A-';

-- $6.05 million class II-B-1 'BBB+';

-- $4.18 million class II-B-2 'BBB';

-- $4.03 million class II-B-3 'BBB-';

-- $4.18 million privately offered class II-B-4 'BB+'.

The mortgage loans consist of fixed-rate, conventional, closed-end subprime and Alt-A mortgage loans that are secured by second liens on one- to four-family residential properties.

The 'AAA' rating on the senior certificates for Group 1 reflects the 15.95% credit enhancement provided by the 1.65% class I-M-1, 2.25% class I-B-1, 1.60% class I-B-2, 1.40% class I-B-3, and 1.60% privately held class I-B-4, as well as 7.45% target over-collateralization (OC).

The 'AAA' rating on the senior certificates for Group 2 reflects the 32.50% credit enhancement provided by the 5.50% class II-M-1, 5.10% class II-M-2, 2.20% class II-M-3, 3.15% class II-M-4, 2.25% class II-M-5, 1.70% class II-M-6, 2.10% class II-B-1, 1.45% class II-B-2, 1.40% class II-B-3, and 1.45% privately held class II-B-4, as well as 6.20% target OC.

Credit enhancement for the 'AAA' class I-A certificate reflects the certificate insurance policies issued by Ambac, whose claims paying ability is rated 'AAA' by Fitch, monthly excess interest, and overcollateralization, which is created by the application of excess interest to pay down the class I-A certificate. Fitch's analysis indicates that the above credit enhancement will be adequate to support mortgagor defaults as well as bankruptcy, fraud and special hazard losses in limited amounts. The ratings also reflect the quality of the mortgage collateral, strength of the legal and financial structures, and EMC Mortgage Corporation's servicing capabilities as servicer.

As of the cut-off date, the mortgage loans in Group 1 have an aggregate balance of $338,655,417. The weighted average mortgage rate is approximately 10.789% and the weighted average remaining term to maturity is 250 months. The average cut-off date principal balance of the mortgage loans is $45,010. The weighted average original loan-to-value ratio (OLTV) is 97.36%. The properties are primarily located in California (14.09%), Florida (10.07%), Georgia (7.81%), Arizona (7.36%), and Minnesota (6.39%).

As of the cut-off date, the mortgage loans in Group 2 have an aggregate balance of $288,075,683. The weighted average mortgage rate is approximately 11.585% and the weighted average remaining term to maturity is 284 months. The average cut-off date principal balance of the mortgage loans is $51,005. The weighted average OLTV is 97.61%. The properties are primarily located in California (17.11%), Florida (10.79%), Arizona (9.31%), Georgia (9.24%), and Virginia (7.78%).

The principal originator of the mortgage loans is SouthStar Funding LLC, with respect to 26.56% of the loans. The remainder of the loans were originated by various originators.

Fitch's rating definitions and the terms of use of such ratings are available on the agency's public site, www.fitchratings.com. Published ratings, criteria and methodologies are available from this site, at all times. Fitch's code of conduct, confidentiality, conflicts of interest, affiliate firewall, compliance and other relevant policies and procedures are also available from the 'Code of Conduct' section of this site.