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AMERICAN RESIDENTIAL INCREASES WAREHOUSE LINE TO $845 MILLION TO FUND GROWING ORIGINATIONS

 LA JOLLA, Calif., May 25 /PRNewswire/ -- American Residential Mortgage Corp., one of the country's leading mortgage bankers, today announced that its revolving warehouse credit line, originally established in 1990 with a limit of $270 million, has been renewed and the committed borrowings capacity has been increased to $845 million effective May 28, 1993. According to John Robbins, chief executive officer, "This added financing now gives us the capability not only to handle the record demand which we are currently experiencing, but also to fund the even higher volumes we hope to achieve in the future."
 The credit facility, which can be increased to $1 billion, is now funded by 14 of the country's leading banks, including: First National Bank of Chicago, Bank of America, Bank of Boston, Bankers Trust Co., Chemical Bank, First Bank of Minneapolis, Nations Bank, Bank of New York, First Interstate Bank, Chase Manhattan, First Union National Bank of North Carolina, Bank One Texas, Union Bank and Guaranty Federal Bank.
 "American Residential's rapid growth over the past three years created the need for an increased warehouse line," Robbins said, in announcing the transaction. "The continued demand for refinancing, accompanied by a surge in first-time purchases, has created a record pipeline for the company in March and April." The company's pipeline of loans in process was almost $2 billion as of March 31, 1993, and has remained at or above the $2 billion level throughout April and May."
 Robbins attributes the company's impressive growth record not only to successive refinancing booms but also to a strategic branch expansion program, designed to capture an increasingly larger share of new mortgages from the recovering real estate market as well as the continuing demand for refinancing.
 "American Residential is structured to adapt quickly and efficiently to home buying trends in the residential real estate market. Right now, we're strengthening our market presence in Connecticut, Ohio, Arizona and Nevada because these regions are enjoying unusual growth. In addition, home purchasers in other areas of the country are responding well to the low interest rate environment, and we've seen widespread activity from first-time buyers who also believe this is the right time to buy."
 Statistics from FNMA support American Residential's positive outlook. In a recent survey, the organization said that half of all Americans believe it is a "very good time to buy a home," and 12 percent of all adults said they were in the market to buy, up from 9 percent in 1992. In addition, among those who currently rent, 59 percent believe it is easier to buy a home today than a year or two ago, and 57 percent believe they would qualify to purchase a home.
 In the most significant reversal of public opinion, 74 percent -- as opposed to 47 percent a year ago -- believed home ownership was within reach of people aged 30-35.
 "Affordable interest rates and consumer confidence are the linchpins of a strong real estate market," Robbins said. "Right now we're seeing both, and that bodes well for mortgage specialists like American Residential."
 American Residential Mortgage Corp., headquartered in La Jolla, has more than 50 branches throughout the United States. The company originated $5.5 billion in home loans in 1992 and serviced a loan portfolio of $9.7 billion at Dec. 31, 1992. American Residential Mortgage is a subsidiary of American Residential Holding Corp. (NASDAQ: AMRS).
 -0- 5/25/93
 /CONTACT: Judith A. Berry, CFO, 619-535-4425, or Clay Strittmatter, investor relations, 619-535-4433, or Kasey Emmel, media relations, 619-535-4310, all of American Residential/
 (AMRS)


CO: American Residential Mortgage Corp.; American Residential
 Holding Corp. ST: California IN: FIN SU:


EH-JB -- SD002 -- 2121 05/25/93 11:23 EDT
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Date:May 25, 1993
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