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Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
Originator-Key-Asymmetric:
 MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen
 TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB
MIC-Info: RSA-MD5,RSA,
 AxjnuCmp729PQiN8BELdqJNWYKTN2AnVFDxWcEe2rKk+ktgCOMbnnv8315KU8JIq
 2rpqKsXxu6GJXKaJlr9ziw==

<SEC-DOCUMENT>0001181431-03-033379.txt : 20031201
<SEC-HEADER>0001181431-03-033379.hdr.sgml : 20031201
<ACCEPTANCE-DATETIME>20031201132525
ACCESSION NUMBER:		0001181431-03-033379
CONFORMED SUBMISSION TYPE:	4
PUBLIC DOCUMENT COUNT:		1
CONFORMED PERIOD OF REPORT:	20031130
FILED AS OF DATE:		20031201

ISSUER:		

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			NOVASTAR FINANCIAL INC
		CENTRAL INDEX KEY:			0001025953
		STANDARD INDUSTRIAL CLASSIFICATION:	REAL ESTATE INVESTMENT TRUSTS [6798]
		IRS NUMBER:				742830661
		STATE OF INCORPORATION:			MD
		FISCAL YEAR END:			1231

	BUSINESS ADDRESS:	
		STREET 1:		8140 WARD PARKWAY
		STREET 2:		STE 300
		CITY:			KANSAS CITY
		STATE:			MO
		ZIP:			64114
		BUSINESS PHONE:		8162377000

	MAIL ADDRESS:	
		STREET 1:		8140 WARD PARKWAY
		STREET 2:		STE 300
		CITY:			KANSAS CITY
		STATE:			MO
		ZIP:			64114

REPORTING-OWNER:	

	OWNER DATA:	
		COMPANY CONFORMED NAME:			HARTMAN SCOTT F
		CENTRAL INDEX KEY:			0001207180

	FILING VALUES:
		FORM TYPE:		4
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-13533
		FILM NUMBER:		031029500

	BUSINESS ADDRESS:	
		STREET 1:		C/O NOVASTAR FINANCIAL INC
		STREET 2:		8140 WARD PARKWAY, STE 300
		CITY:			KANSAS CITY
		STATE:			MO
		ZIP:			64114
		BUSINESS PHONE:		8162377000

	MAIL ADDRESS:	
		STREET 1:		C/O NOVASTAR FINANCIAL INC
		STREET 2:		8140 WARD PARKWAY, STE 300
		CITY:			KANSAS CITY
		STATE:			MO
		ZIP:			64114
</SEC-HEADER>
<DOCUMENT>
<TYPE>4
<SEQUENCE>1
<FILENAME>rrd24201.xml
<DESCRIPTION>DEFERRED COMP
<TEXT>
<XML>
<?xml version="1.0"?><ownershipDocument>
    <schemaVersion>X0201</schemaVersion>

    <documentType>4</documentType><periodOfReport>2003-11-30</periodOfReport><notSubjectToSection16>0</notSubjectToSection16>
    <issuer>
        <issuerCik>0001025953</issuerCik>
        <issuerName>NOVASTAR FINANCIAL INC</issuerName>
        <issuerTradingSymbol>NFI</issuerTradingSymbol></issuer><reportingOwner>
        <reportingOwnerId>
            <rptOwnerCik>0001207180</rptOwnerCik>
            <rptOwnerName>HARTMAN SCOTT F</rptOwnerName>
        </reportingOwnerId>
        <reportingOwnerAddress>
            <rptOwnerStreet1>8140 WARD PARKWAY</rptOwnerStreet1>
            <rptOwnerStreet2>SUITE 300</rptOwnerStreet2>
            <rptOwnerCity>KANSAS CITY</rptOwnerCity>
            <rptOwnerState></rptOwnerState>
            <rptOwnerZipCode>64114</rptOwnerZipCode>
            <rptOwnerStateDescription></rptOwnerStateDescription>
        </reportingOwnerAddress>
            <reportingOwnerRelationship>
<isDirector>1</isDirector><isOfficer>0</isOfficer><isTenPercentOwner>0</isTenPercentOwner><isOther>0</isOther></reportingOwnerRelationship></reportingOwner><nonDerivativeTable><nonDerivativeTransaction><securityTitle><value>NovaStar Financial, Inc Common Stock</value></securityTitle><transactionDate><value>2003-11-30</value></transactionDate><deemedExecutionDate><value>2003-12-01</value></deemedExecutionDate><transactionCoding><transactionFormType>4</transactionFormType><transactionCode>A</transactionCode><equitySwapInvolved>0</equitySwapInvolved></transactionCoding><transactionAmounts><transactionShares><value>157</value></transactionShares><transactionPricePerShare><value>79.55</value></transactionPricePerShare><transactionAcquiredDisposedCode><value>A</value></transactionAcquiredDisposedCode></transactionAmounts><postTransactionAmounts><sharesOwnedFollowingTransaction><value>360753</value></sharesOwnedFollowingTransaction></postTransactionAmounts><ownershipNature><directOrIndirectOwnership><value>D</value
></directOrIndirectOwnership></ownershipNature></nonDerivativeTransaction></nonDerivativeTable><ownerSignature><signatureName>Scott F. Hartman</signatureName><signatureDate>2003-12-01</signatureDate></ownerSignature></ownershipDocument>



</XML>
</TEXT>
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</SEC-DOCUMENT>
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