American Home Mortgage

Published: July 29, 2007, 9:00 pm

It should be an interesting week for AHM. American Home Mortgage says faces margin callsBy Dan WilchinsREUTERS1:17 p.m. July 29, 2007NEW YORK American Home Mortgage Investment Corp. said its banks are demanding it put up more cash after the mortgage lender wrote down the value of its loan and security portfolios significantly.The company said in a statement released late Friday that as a result of the margin calls from lenders, it has delayed paying dividends on its common stock, and plans to delay payments on its preferred shares.The margin calls could create big difficulty for American Home Mortgage, which relies on short-term bank financing to temporarily fund home loans it makes.Rising mortgage rates and defaults have hurt mortgage lenders this year. More than 50 lenders have filed for bankruptcy or sold themselves. The hardest hit lenders focused on borrowers with weaker credit ratings than American Home Mortgage's average borrower.If American Home Mortgage does not have cash

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