American Mortgage Network Funds $2.5 Billion of Mortgages in Fourth Quarter and $864 Million in December; 2004 Total Volume is $9.0 Billion

Business Wire, Jan 6, 2005

SAN DIEGO -- American Mortgage Network (AmNet), a wholesale nationwide mortgage bank and a wholly owned subsidiary of AmNet Mortgage Inc. (NASDAQ:AMNT), reported that it funded $2.5 billion in home loans for the quarter ending December 31, 2004. In December, AmNet funded $864 million in mortgages, compared to $864 million in November.

For the year ending December 31, 2004, AmNet has funded $9.0 billion in mortgages, compared to $10.2 billion in 2003, a decrease of 12%, compared to an overall mortgage market decline of approximately 26% according to the Mortgage Bankers Association (MBA). The MBA also estimates that fourth quarter 2004 market volumes were roughly equivalent to fourth quarter 2003 levels, while AmNet's fourth quarter 2004 loan funding volume was approximately 34% higher than its loan funding volume in the fourth quarter of 2003.

AmNet's new loan applications in December were $1.4 billion, compared to $1.4 billion in November. Average loan fundings per workday were $41.1 million in December compared to $43.2 million in November. Average daily new loan applications were $68.1 million in December compared to $72.0 million in November.

"In 2004, we made significant progress in achieving key operational milestones and now are beginning to more fully leverage the branching system and support infrastructure we have built over the last three years," said John M. Robbins, Chief Executive Officer. "As the overall size of the mortgage market declined, we capitalized on an opportunity to upgrade and expand the number of our seasoned account executives. As our branches matured, we increased market share in nearly all of our markets. By providing our broker clients with an increasingly broad product menu to serve the needs of diverse homebuyers across the nation, we are confident that our 'one-stop shopping' wholesale model will help to differentiate AmNet in this more traditional environment."

Robbins added, "Housing remains strong. While the purchase market will contract somewhat with moderately rising interest rates, experts anticipate that increased household formation, job growth and a strengthening economy bode well for a healthy mortgage origination market in 2005. The MBA currently predicts that the overall residential loan originations market in 2005 will be approximately $2.4 trillion, compared to an estimated $2.8 trillion in 2004."

About American Mortgage Network

Headquartered in San Diego, Calif., AmNet is a wholly owned subsidiary of AmNet Mortgage, Inc. AmNet originates loans for the national mortgage broker community through its network of branches and business-to-business over the Internet. Through its correspondent channel, the Company will purchase loans from small to mid-size mortgage banks, credit unions and community banks.

AmNet has loan production offices in Arizona, California, Colorado, Connecticut, Florida, Georgia, Illinois, Kansas, Minnesota, New Jersey, New York, North Carolina, Oregon, Rhode Island, Texas, Utah, Virginia and Washington. AmNet has a total of $1.4 billion in warehouse borrowing capacity and is approved to do business in 49 states and the District of Columbia either by license or exemption. For more information, please visit www.amnetmortgage.com.

About AmNet Mortgage, Inc.

AmNet Mortgage Inc. is the parent company of American Mortgage Network. For more information, please visit www.amnetmortgageinc.com.

Forward-Looking Statement

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: AmNet's ability to differentiate itself through diverse loan product offerings; the expected contraction of the home purchase market; the anticipation of a healthy mortgage market in 2005; and the estimated size of the 2005 residential loan origination market. Actual results and the timing of certain events could differ materially from those projected in or contemplated by our forward-looking statements due to a number of factors, including but not limited to: the level of interest rates generally; economic conditions generally; the size of the national mortgage market; the future correlation of volatility in forward mortgage sale instruments to the Company's loan lock commitments; interest rate volatility; the ability to retain and renew warehouse lending facilities for the funding of mortgage loans; the Company's liquidity position; the availability of qualified mortgage professionals; the ability to attract and retain qualified mortgage professionals and other risk factors outlined in the Company's SEC reports.