Advanced Financial signs desktop origination program marketing agreement.

SHAWNEE, Kan.--(BUSINESS WIRE)--Nov. 2, 1994--Advanced Financial Inc. (ASE:AVF) Wednesday announced that it has entered into a marketing agreement with "Advanced Realty Assistance Inc.," Clearwater, Fla., for placement of proprietary desktop origination computer terminals and software to qualifying real estate brokerage firms with an initial emphasis on the Florida market.

The company estimates that the agreement will result in the qualification of 15 to 20 desktop origination brokerage locations within the initial six-week introduction phase of the program. After successful penetration of the Florida market, Advanced Realty Assistance plans to introduce the program in 11 additional Southeastern states and the District of Columbia.

Advanced Realty Assistance Inc. is directed by Lance R. Hutchinson, a respected real estate executive with over 20 years of residential development, home construction and brokerage experience. Hutchinson commented: "The AFI desktop loan origination system is a visionary product that brings a practical solution to brokers' and agents' needs to provide customers with convenient, one-stop shopping for the entire residential real estate transaction, while sitting in the comfort of their own office. AFI has positioned itself to take full advantage of the inevitable transition of the real estate brokerage business into direct loan origination. Based on my experience, the `STEP 1 Pre-Approved Home Mortgage Program' will cost-effectively increase the speed and convenience of the mortgage transaction for the borrower."

The desktop mortgage origination terminal allows for the electronic transfer of a mortgage application, daily status reports of transactions and automated integration of transactions into closing and post-closing loan servicing administrative systems. The integrated system eliminates duplicate keying of information, reduces administrative paperwork and offers the opportunity to reduce the overall administrative cost of a mortgage transaction.

The "STEP 1 Pre-Approved Home Mortgage Program" provides the potential home buyer with a formal written approval for a monthly mortgage payment based on the application, usually within 48 hours. The Pre-approval certificate provides the home buyer and real estate agent with an advantage when negotiating a contract by eliminating the concerns over financing contingencies. The Pre-approval process also increases the productivity of the real estate agent by focusing home buyers on listings which fit their budgets.

Hutchinson continued: "Aside from the convenience for the buyer, the AFI desktop origination program offers a compelling productivity tool for the real estate professional. A Pre-approved mortgage certificate reduces the potentially time-consuming process of canvassing the market only to find that many of the homes you have seen do not fit the buyer's budget. Focusing on the right listings from the start only makes sense in today's cost-efficiency and productivity-driven real estate business."

Brad Morris, president of AFI's Continental Mortgage subsidiary, added: "This agreement represents an important step in our plans to roll out the desktop origination program on a national basis. We already have a half dozen installations completed, and we are beginning to see mortgage applications generated with the system positively impact our origination pipeline. Based on our projections of approximately six to eight applications per month for each location, our goal over the two years is the generation of approximately $500 million of annual loan volume from the desktop network. We believe that it is possible to generate that level of loan production from only 70 to 100 qualifying desktop installations, and it's our objective to achieve that level of penetration as soon as possible."

Since 1987, Hutchinson has been managing partner of Bobby Byrd Real Estate Inc., located in Clearwater, Fla. During his tenure, he was responsible for the growth from one office to three offices and two on-site sales centers employing 90 real estate associates. Prior to 1987, Hutchinson was president of Dynamic Realty Inc., which he managed subsequent to selling Hutchinson Realty

to Dynamic in 1980. His career in real estate began in 1972, and he is a member of the National Association of Realtors. He is currently a state director of the Florida Association of Realtors, a past president of the Greater Clearwater Association of Realtors and active in several other industry organizations. Joining Hutchinson will be Levin P. (Buddy) Hitchens Jr. as director of operations with 20 years of marketing and operational experience as well as a background in mortgage, real estate and title insurance industries. The company has also brought on Dale G. Jundt, with 20 years real estate experience, immediate past president of the Florida Association of Realtors, a national director of the National Association of Realtors, and national director of the Realtors Political Action Committee, for marketing purposes on the East Coast and southeast Florida. Advanced Realty Assistance will also offer a variety of other products designed to help real estate brokers and agents keep that competitive edge. The company is located at: 2505 Enterprise Road, Suite A, Clearwater, Fla.; 813/791-3930.

CONTACT: Advanced Financial Inc., Shawnee

Brad Morris, 913/441-2466