American Mortgage Network Funds $3 Billion of Mortgages in Third Quarter; September Mortgage Fundings Are $668 Million; New Loan Applications Increase 21%

Business Wire, Oct 6, 2003

Business Editors/Real Estate Writers

SAN DIEGO--(BUSINESS WIRE)--Oct. 6, 2003

Number of Account Executives Grows by 33%

American Mortgage Network (AmNet), a wholesale mortgage bank serving mortgage brokers and a wholly owned subsidiary of American Residential Investment Trust, Inc. (Amex(R): INV), reported that it funded $3.0 billion in home mortgages for the third quarter, compared to $3.2 billion for the second quarter of the year. Year-to-date, AmNet has funded $8.3 billion in home mortgages. In September, AmNet funded $668 million of mortgages, compared to $936 million in August.

Average loan fundings per workday decreased from $44.6 million in August to $31.8 million in September. New loan applications rose in September and were $1.3 billion, compared to $1.1 billion in August. Average daily new loan applications were $64.0 million in September, a 21% increase from August.

"Loan volumes in August and September contracted due to the sharp spike in rates during July, which impacted refinance loan demand," said John M. Robbins, Chairman and Chief Executive Officer. "We expect that September will be AmNet's lowest loan funding month during the second half of 2003. We are encouraged that applications increased significantly in the later part of September and into October. According to industry experts, the housing market remains healthy and market demographics point to solid growth opportunities. For example, the National Association of Realtors(R) reported that sales of existing single-family homes set a second consecutive monthly record in August, rising 5.5% from July."

Robbins added, "In response to the abrupt market contraction, we accelerated our expansion plan, which included increased sales coverage in existing markets and in new branch locations. During the third quarter, AmNet added 21 seasoned account executives and launched three regional loan production offices. We expect volume from these regions to be added in the fourth quarter as these new account executives develop their pipelines and new branches ramp up. Fourth quarter loan fundings are expected to be approximately $2.5 billion, bringing total 2003 fundings to nearly $11 billion. As a leader in the wholesale channel, we are focused on optimizing our position in the purchase marketplace."

The Company plans to provide 2004 loan funding and earnings guidance in mid-November.

About American Mortgage Network

Headquartered in San Diego, California, AmNet is a wholly owned subsidiary of American Residential Investment Trust, Inc. AmNet originates loans for the national mortgage broker community through its network of branches and business-to-business over the Internet. AmNet has loan production offices in Arizona, California, Colorado, Connecticut, Florida, Georgia, Illinois, Minnesota, New Jersey; North Carolina, Oregon, Rhode Island, Texas, Virginia, and Washington.

AmNet has a total of $1.3 billion in warehouse borrowing capacity and is approved to do business in 47 states and the District of Columbia either by license or exemption. AmNet has more than 3,300 broker customers across the nation. For more information, please visit www.amnetmortgage.com.

About American Residential Investment Trust

American Residential Investment Trust, Inc. is the parent company of American Mortgage Network. For more information, please visit www.amerreit.com.

Forward Looking Statements

Certain matters discussed in this press release may constitute forward-looking statements within the meaning of federal securities laws. Forward-looking statements include statements regarding the expectation that September will have the lowest funding volume in the second half of 2003, market demographics pointing to continued housing market growth, the expectation that newly opened regional loan offices will add to fourth quarter loan volume, projected loan funding volume for the fourth quarter and 2003 and the anticipated timing of 2004 loan funding and earnings guidance. Actual results and the timing of certain events could differ materially from those projected in or contemplated by these forward-looking statements due to a number of factors, including but not limited to: the level of interest rates generally, economic conditions generally; home purchase demand; the size of the residential mortgage market; uncertainty as to the percentage of the pipeline that will result in mortgage loan fundings; the ability to recruit account executives; the ability to recruit other key personnel necessary to establish new branches; the availability of financing for the funding of mortgage loans; the Company's liquidity position; and other risk factors outlined in American Residential's SEC reports.