ASSIGNMENT AND ASSUMPTION AGREEMENT

                                                                Execution Copy

                     ASSIGNMENT AND ASSUMPTION AGREEMENT

            ASSIGNMENT  AND  ASSUMPTION  AGREEMENT,  dated  October 30,  2006,

between  Residential  Funding  Company,  LLC,  a  Delaware  limited  liability

company ("RFC"),  and Residential Accredit Loans, Inc., a Delaware corporation

(the "Company").

                                   Recitals

            A.  RFC has  entered  into  contracts  ("Seller  Contracts")  with

various seller/servicers,  pursuant to which such seller/servicers sell to RFC

mortgage loans.

            B. The  Company  wishes  to  purchase  from RFC  certain  Mortgage

Loans (as hereinafter defined) sold to RFC pursuant to the Seller Contracts.

            C. The Company,  RFC, as master servicer,  and Deutsche Bank Trust

Company  Americas,  as trustee and grantor trust trustee (the "Trustee"),  are

entering into a Series  Supplement,  dated as of October 30, 2006 (the "Series

Supplement"),  and the  Standard  Terms of Pooling  and  Servicing  Agreement,

dated as of  October  30,  2006  (collectively,  the  "Pooling  and  Servicing

Agreement"),  pursuant  to  which  the  Company  proposes  to  issue  Mortgage

Asset-Backed Pass-Through  Certificates,  Series 2006-QO8 (the "Certificates")

consisting of  twenty-nine  classes  designated as Class I-A1A,  Class I-A1AU,

Class I-A1B,  Class I-A2A,  Class  I-A2AU,  Class  I-A3A,  Class I-A3B,  Class

I-A4A, Class I-A4B,  Class I-A5A, Class I-A5AU,  Class I-AX, Class II-A, Class

II-AX,  Class R-I, Class R-II, Class R-III, Class R-X,  Class M-1,  Class M-2,

Class M-3,  Class M-4,  Class M-5,  Class M-6, Class M-7, Class M-8 Class M-9,

Class SB and Class P Certificates  representing beneficial ownership interests

in a trust fund  consisting  primarily of a pool of mortgage loans  identified

in Exhibit One to the Series Supplement (the "Mortgage Loans").

            D. In  connection  with the  purchase of the Mortgage  Loans,  the

Company will assign to RFC a de minimis  portion of the Class R-I,  Class R-II

and Class R-III Certificates.

            E. In connection  with the purchase of the Mortgage  Loans and the

issuance of the Certificates,  RFC wishes to make certain  representations and

warranties to the Company.

            F. The Company and RFC intend  that the  conveyance  by RFC to the

Company of all its right,  title and  interest  in and to the  Mortgage  Loans

pursuant to this  Agreement  shall  constitute  a purchase  and sale and not a

loan.

            NOW  THEREFORE,  in  consideration  of the recitals and the mutual

promises herein and other good and valuable  consideration,  the parties agree

as follows:

            1.    All  capitalized  terms used but not  defined  herein  shall

have the meanings assigned thereto in the Pooling and Servicing Agreement.

            2.    Concurrently  with the  execution and delivery  hereof,  RFC

hereby  assigns to the Company  without  recourse all of its right,  title and

interest in and to the Mortgage  Loans,  including  all interest and principal

received  on or with  respect  to the  Mortgage  Loans  after  October 1, 2006

(other than  payments of principal  and interest due on the Mortgage  Loans on

or before October 31, 2006). In consideration  of such assignment,  RFC or its

designee  will  receive  from the Company in  immediately  available  funds an

amount equal to  $1,357,884,578.60  and a de minimis portion of the Class R-I,

Class R-II and Class R-III  Certificates.  In connection  with such assignment

and at the  Company's  direction,  RFC has in  respect of each  Mortgage  Loan

endorsed the related  Mortgage Note (other than any Destroyed  Mortgage  Note)

to the order of the  Trustee  and  delivered  an  assignment  of  mortgage  in

recordable form to the Trustee or its agent.

      RFC and the  Company  agree  that the sale of each  Pledged  Asset  Loan

pursuant  to  this  Agreement  will  also  constitute  the  assignment,  sale,

setting-over,  transfer and conveyance to the Company,  without  recourse (but

subject  to  RFC's  covenants,  representations  and  warranties  specifically

provided herein),  of all of RFC's  obligations and all of RFC's right,  title

and interest in, to and under,  whether now existing or hereafter  acquired as

owner  of  such  Pledged  Asset  Loan  with  respect  to any  and  all  money,

securities,  security  entitlements,  accounts,  general intangibles,  payment

intangibles,   instruments,   documents,  deposit  accounts,  certificates  of

deposit,  commodities  contracts,  and  other  investment  property  and other

property  of whatever  kind or  description  consisting  of,  arising  from or

related,  (i) the  Credit  Support  Pledge  Agreement,  the Funding and Pledge

Agreement  among the  Mortgagor or other Person  pledging the related  Pledged

Assets  (the  "Customer"),  Combined  Collateral  LLC and  National  Financial

Services  Corporation,  and the Additional  Collateral  Agreement between GMAC

Mortgage,  LLC and the  Customer  (collectively,  the  "Assigned  Contracts"),

(ii) all  rights,  powers and remedies of RFC as owner of such  Pledged  Asset

Loan under or in  connection  with the  Assigned  Contracts,  whether  arising

under the terms of such Assigned  Contracts,  by statute, at law or in equity,

or  otherwise  arising  out  of  any  default  by the  Mortgagor  under  or in

connection with the Assigned  Contracts,  including all rights to exercise any

election  or option or to make any  decision  or  determination  or to give or

receive any notice, consent, approval or waiver thereunder,  (iii) the Pledged

Amounts and all money, securities,  security entitlements,  accounts,  general

intangibles,  payment intangibles,  instruments,  documents, deposit accounts,

certificates of deposit,  commodities contracts, and other investment property

and other property of whatever kind or  description  and all cash and non-cash

proceeds of the sale, exchange,  or redemption of, and all stock or conversion

rights,  rights to  subscribe,  liquidation  dividends or  preferences,  stock

dividends,  rights to interest,  dividends,  earnings,  income, rents, issues,

profits,  interest  payments or other  distributions of cash or other property

that  secures a Pledged  Asset  Loan,  (iv) all  documents,  books and records

concerning the foregoing  (including all computer  programs,  tapes, disks and

related items containing any such information) and (v) all insurance  proceeds

(including  proceeds from the Federal  Deposit  Insurance  Corporation  or the

Securities Investor Protection  Corporation or any other insurance company) of

any of the  foregoing  or  replacements  thereof  or  substitutions  therefor,

proceeds of proceeds  and the  conversion,  voluntary or  involuntary,  of any

thereof.  The foregoing  transfer,  sale,  assignment and conveyance  does not

constitute and is not intended to result in the creation,  or an assumption by

the Company,  of any obligation of RFC, or any other Person in connection with

the Pledged  Assets or under any  agreement or  instrument  relating  thereto,

including any obligation to the Mortgagor,  other than as owner of the Pledged

Asset Loan.

      The Company and RFC intend that the  conveyance by RFC to the Company of

all its right,  title and  interest in and to the Mortgage  Loans  pursuant to

this Section 2 shall be, and be construed as, a sale of the Mortgage  Loans by

RFC to the Company.  It is,  further,  not intended  that such  conveyance  be

deemed to be a pledge of the Mortgage  Loans by RFC to the Company to secure a

debt or other obligation of RFC.  Nonetheless,  (a) this Agreement is intended

to be and hereby is a security  agreement within the meaning of Articles 8 and

9 of the Minnesota Uniform  Commercial Code and the Uniform Commercial Code of

any other  applicable  jurisdiction;  (b) the conveyance  provided for in this

Section  shall be deemed to be, and  hereby is, a grant by RFC to the  Company

of a security interest in all of RFC's right, title and interest,  whether now

owned  or  hereafter  acquired,  in and to any  and all  general  intangibles,

payment intangibles,  accounts, chattel paper, instruments,  documents, money,

deposit accounts,  certificates of deposit,  goods, letters of credit, advices

of credit and investment  property  consisting of, arising from or relating to

any of the following:  (A) the Mortgage Loans,  including  (i) with respect to

each  Cooperative  Loan,  the  related  Mortgage  Note,   Security  Agreement,

Assignment of Proprietary Lease,  Cooperative Stock  Certificate,  Cooperative

Lease, any insurance  policies and all other documents in the related Mortgage

File and  (ii) with  respect to each  Mortgage  Loan other than a  Cooperative

Loan, the related Mortgage Note, the Mortgage,  any insurance policies and all

other documents in the related Mortgage File,  (B) all monies due or to become

due pursuant to the Mortgage  Loans in  accordance  with the terms thereof and

(C) all  proceeds  of  the  conversion,   voluntary  or  involuntary,  of  the

foregoing  into cash,  instruments,  securities or other  property,  including

without  limitation  all  amounts  from time to time held or  invested  in the

Certificate  Account or the  Custodial  Account,  whether in the form of cash,

instruments,  securities or other property; (c) the possession by the Trustee,

the  Custodian  or any other agent of the  Trustee of  Mortgage  Notes or such

other  items  of   property  as   constitute   instruments,   money,   payment

intangibles,   negotiable  documents,  goods,  deposit  accounts,  letters  of

credit,  advices of credit,  investment  property  or chattel  paper  shall be

deemed to be "possession  by the secured  party," or possession by a purchaser

or a person  designated by such secured party,  for purposes of perfecting the

security interest  pursuant to the Minnesota  Uniform  Commercial Code and the

Uniform  Commercial  Code of any  other  applicable  jurisdiction  (including,

without   limitation,   Sections  8-106,   9-313  and  9-106   thereof);   and

(d) notifications  to persons  holding  such  property,  and  acknowledgments,

receipts or confirmations from persons holding such property,  shall be deemed

notifications  to,  or   acknowledgments,   receipts  or  confirmations  from,

securities  intermediaries,  bailees or agents of, or persons holding for, (as

applicable) the Trustee for the purpose of perfecting  such security  interest

under  applicable  law.  RFC  shall,  to  the  extent   consistent  with  this

Agreement,  take such  reasonable  actions as may be necessary to ensure that,

if this  Agreement  were  determined  to  create a  security  interest  in the

Mortgage Loans and the other property  described above, such security interest

would be  determined  to be a perfected  security  interest of first  priority

under  applicable  law and will be maintained as such  throughout  the term of

this Agreement.  Without  limiting the generality of the foregoing,  RFC shall

prepare  and  deliver to the Company not less than 15 days prior to any filing

date,  and the Company shall file, or shall cause to be filed,  at the expense

of RFC, all filings  necessary to maintain the  effectiveness  of any original

filings  necessary  under  the  Uniform  Commercial  Code as in  effect in any

jurisdiction  to perfect  the  Company's  security  interest in or lien on the

Mortgage Loans, including without limitation (x) continuation  statements, and

(y) such  other  statements as may be occasioned by (1) any  change of name of

RFC or the  Company,  (2) any  change of location  of the state of  formation,

place of business or the chief  executive  office of RFC, or (3) any  transfer

of any interest of RFC in any Mortgage Loan.

            Notwithstanding  the  foregoing,  (i) the  Master  Servicer  shall

retain all servicing rights (including,  without limitation, primary servicing

and master  servicing)  relating to or arising out of the Mortgage Loans,  and

all rights to receive  servicing  fees,  servicing  income and other  payments

made as  compensation  for such servicing  granted to it under the Pooling and

Servicing  Agreement  pursuant to the terms and  conditions  set forth therein

(collectively,  the "Servicing  Rights") and (ii) the Servicing Rights are not

included in the  collateral in which RFC grants a security  interest  pursuant

to the immediately preceding paragraph.

            3.    Concurrently  with the  execution and delivery  hereof,  the

Company  hereby  assigns to RFC without  recourse all of its right,  title and

interest  in and to a de  minimis  portion  of the Class  R-I,  Class R-II and

Class R-III  Certificates as part of the  consideration  payable to RFC by the

Company pursuant to this Agreement.

            4.    RFC  represents and warrants to the Company that on the date

of  execution  hereof (or, if  otherwise  specified  below,  as of the date so

specified):

            (a)   The  information  set  forth in  Exhibit  One to the  Series

Supplement  with respect to each Mortgage Loan or the Mortgage  Loans,  as the

case may be, is true and  correct  in all  material  respects,  at the date or

dates respecting which such information is furnished;

            (b)   Except in the case of  approximately  0.1% of the  aggregate

principal   balance  of  the  Mortgage  Loans,   each  Mortgage  Loan  with  a

Loan-to-Value  Ratio at  origination  in  excess of 80% will be  insured  by a

Primary  Insurance  Policy  covering at least 35% of the principal  balance of

the  Mortgage  Loan at  origination  if the  Loan-to-Value  Ratio  is  between

100.00%  and 95.01%,  at least 30% of the  principal  balance of the  Mortgage

Loan at origination if the  Loan-to-Value  Ratio is between 95.00% and 90.01%,

at least 25% of the balance if the  Loan-to-Value  Ratio is between 90.00% and

85.01% and at least 12% of the balance if the  Loan-to-Value  Ratio is between

85.00% and 80.01%. To the best of the Company's  knowledge,  each such Primary

Insurance  Policy is in full force and effect and the  Trustee is  entitled to

the benefits thereunder;

            (c)   Each Primary  Insurance Policy insures the named insured and

its successors and assigns,  and the issuer of the Primary Insurance Policy is

an insurance company whose  claims-paying  ability is currently  acceptable to

the Rating Agencies;

            (d)   Immediately  prior to the  assignment of the Mortgage  Loans

to the  Company,  RFC had good  title  to,  and was the sole  owner  of,  each

Mortgage  Loan free and clear of any  pledge,  lien,  encumbrance  or security

interest  (other than rights to servicing and related  compensation  and, with

respect to certain  Mortgage  Loans,  the monthly payment due on the first Due

Date  following the Cut-off  Date),  and no action has been taken or failed to

be taken by RFC that would materially  adversely affect the  enforceability of

any Mortgage Loan or the interests therein of any holder of the Certificates;

            (e)   No Mortgage  Loan was 30 or more days  delinquent in payment

of  principal  and  interest as of the Cut-off  Date and no Mortgage  Loan has

been so delinquent  more than once in the 12-month period prior to the Cut-off

Date;

            (f)   Subject  to  clause  (e)  above as  respects  delinquencies,

there is no  default,  breach,  violation  or event of  acceleration  existing

under any  Mortgage  Note or  Mortgage  and no event  which,  with  notice and

expiration of any grace or cure period,  would  constitute a default,  breach,

violation or event of acceleration,  and no such default, breach, violation or

event of  acceleration  has been  waived by the Seller or by any other  entity

involved in originating or servicing a Mortgage Loan;

            (g)   There is no delinquent  tax or  assessment  lien against any

Mortgaged Property;

            (h)   No   Mortgagor   has  any  right  of   offset,   defense  or

counterclaim  as to the related  Mortgage  Note or  Mortgage  except as may be

provided  under the  Servicemembers  Civil Relief Act,  formerly  known as the

Soldiers'  and Sailors'  Civil Relief Act of 1940 as amended,  and except with

respect to any buydown agreement for a Buydown Mortgage Loan;

            (i)   There are no mechanics'  liens or claims for work,  labor or

material  affecting  any Mortgaged  Property  which are or may be a lien prior

to, or equal with,  the lien of the related  Mortgage,  except such liens that

are  insured or  indemnified  against by a title  insurance  policy  described

under clause (aa) below;

            (j)   Each  Mortgaged  Property  is  free  of  damage  and in good

repair and no notice of  condemnation  has been given with respect thereto and

RFC knows of nothing  involving any Mortgaged  Property that could  reasonably

be expected to materially  adversely  affect the value or marketability of any

Mortgaged Property;

            (k)   Each  Mortgage  Loan at the time it was made complied in all

material respects with applicable local,  state, and federal laws,  including,

but not limited to, all applicable anti-predatory lending laws;

            (l)   Each Mortgage contains customary and enforceable  provisions

which  render the rights and  remedies  of the holder  adequate to realize the

benefits of the security against the Mortgaged Property,  including (i) in the

case of a  Mortgage  that is a deed  of  trust,  by  trustee's  sale,  (ii) by

summary  foreclosure,  if available under  applicable law, and (iii) otherwise

by foreclosure,  and there is no homestead or other exemption available to the

Mortgagor that would  interfere with such right to sell at a trustee's sale or

right to  foreclosure,  subject in each case to  applicable  federal and state

laws  and  judicial  precedents  with  respect  to  bankruptcy  and  right  of

redemption;

            (m)   With  respect to each  Mortgage  that is a deed of trust,  a

trustee  duly  qualified  under  applicable  law to serve as such is  properly

named,  designated and serving, and except in connection with a trustee's sale

after  default by a  Mortgagor,  no fees or expenses are payable by the Seller

or RFC to the trustee under any Mortgage that is a deed of trust;

            (n)   The  Mortgage  Loans  are  payment-option,   adjustable-rate

first lien mortgage loans, with a negative  amortization  feature having terms

to  maturity  of not more  than 40  years  from  the  date of  origination  or

modification  with  monthly  payments  due,  with respect to a majority of the

Mortgage Loans, on the first day of each month;

            (o)   If any of the  Mortgage  Loans are  secured  by a  leasehold

interest,  with  respect  to each  leasehold  interest:  the use of  leasehold

estates for residential  properties is an accepted  practice in the area where

the related Mortgaged Property is located;  residential  property in such area

consisting of leasehold estates is readily  marketable;  the lease is recorded

and no party is in any way in  breach  of any  provision  of such  lease;  the

leasehold  is in full force and effect and is not subject to any prior lien or

encumbrance  by which the  leasehold  could be  terminated  or  subject to any

charge or  penalty;  and the  remaining  term of the lease does not  terminate

less than ten years after the maturity date of such Mortgage Loan;

            (p)   Each Assigned  Contract  relating to each Pledged Asset Loan

is a  valid,  binding  and  legally  enforceable  obligation  of  the  parties

thereto,  enforceable  in  accordance  with their terms,  except as limited by

bankruptcy,   insolvency  or  other  similar  laws  affecting   generally  the

enforcement of creditor's rights;

            (q)   The  Assignor  is the holder of all of the right,  title and

interest as owner of each  Pledged  Asset Loan in and to each of the  Assigned

Contracts  delivered  and sold to the Company  he