Advanced Financial announces mortgage pipeline reached $15.2 million at March 31, 1995.

SHAWNEE, Kan.--(BUSINESS WIRE)--April 12, 1995--Advanced Financial Inc. (AMEX:AVF) reported a significant increase in its key indicator or future loan origination activity, namely its pipeline of mortgage applications in process.

For the quarter and fiscal year ended March 31, 1995, the mortgage pipeline total stood at $15.2 million, a 130 percent increase vs. $6.6 million at Dec. 31, 1994. The pipeline total was buoyed by record March new loan applications of $10.7 million, a positive trend in comparison to January and February totals of $6.3 million and $7.0 million respectively.

At March 31, 1995, the locked pipeline of approved mortgage applications with a guaranteed interest rate stood at $5.0 million, a 79 percent increase vs. the Dec. 31, 1994 quarterly total. The locked pipeline is an indicator of expected near-term mortgage loan closings during the remainder of the interest rate guarantee period, usually 30 to 45 days.

Brad Morris, president of the AFI Mortgage Corp., subsidiary of AFI, commented, "We are very pleased with the trends established in early 1995 and believe that these indicators bode well for our loan origination volume for the coming fiscal 1996 year. The trend in mortgage application volume is consistent with our projections for our Desktop Loan Origination terminal network, which is growing every week, and the upturn in volume in our Seattle and Kansas City loan offices."

Morris continued, "Although we believe that we are on the right track, mortgage closings in the final quarter of fiscal 1995 will not be sufficient to eliminate a loss for the quarter. The 1995 fiscal year has been a transition period where we put our strategy for an electronic national network of loan origination terminals in place.

"We expect to begin to reap the benefits of that strategy through higher loan origination activity and improved financial performance throughout fiscal 1996."

Advanced Financial Inc. (AFI) is an American Stock Exchange listed holding company with its principal operations conducted through the wholly owned AFI Mortgage Corp. (AFIM) subsidiary. AFIM is a full service residential mortgage banking company originating and servicing single family first and second mortgage loans.

AFIM has all approvals necessary to service mortgages for the Federal National Mortgage Association (FNMA), Federal Home Loan Mortgage Corp. (FHLMC), Government National Mortgage Association (GNMA), and private investors in secondary mortgage markets.

AFIM, previously named Continental Mortgage, was acquired in 1991 to take advantage of opportunities in the mortgage banking industry brought about by the decline in the savings and loan industry. AFIM has built its revenues principally through the acquisition of servicing rights from sales conducted by the Resolution Trust Corp. (RTC).

Over the past several years, AFIM has invested in a state-of-the-art computer system at the 20,000 square foot headquarters facility and believes that it is at the forefront of industry automation trends. The goal of AFIM's investment in computer systems technology is the creation of a cost advantage vs. industry peers in both mortgage origination and loan servicing operations.

CONTACT: Advanced Financial Inc., Shawnee

Brad Morris, 913/441-1160