**Exhibit 99.1****Origen Financial Announces First Quarter 2006 Results; Declares Dividend Of $0.03 Per Share**SOUTHFIELD, MI -May 9, 2006 — Origen Financial, Inc. (NASDAQ: ORGN), a real estate investmenttrust that originates and services manufactured housing loans, today announced net income of $1.2million, or $0.05 per share, for the quarter ended March 31, 2006, compared with net income of $1.0million, or $0.04 per share, for the quarter ended March 31, 2005. Origen’s Board of Directorsdeclared a dividend payment for the first quarter of $0.03 per share to be paid to holders ofOrigen’s common stock of record on May 19, 2006. The dividend will be paid on May 31, 2006, andwill approximate $0.8 million. The Board of Directors takes into consideration the differencesbetween net income as determined by Generally Accepted Accounting Principles (“GAAP”) and REITtaxable net income in the determination of dividend payments.**Highlights for Quarter** **•** Loan origination volume increased 10% to $62.5 million versus a year ago.  **•** Loans processed for third parties totaled $3.3 million for the quarter, anincrease of 120.0% over the first quarter 2005.  **•** Total revenue increased 31% to $21.4 million versus $16.4 million for theprior year quarter.  **•** Non-performing loans as a percent of average outstanding loan principalbalances improved to 0.9% at March 31, 2006, from 1.4% a year ago.  **•** Hometown America selected Origen to provide comprehensive loan originationservices to include loan application processing, underwriting, document preparation,funding and titling.**Financial Highlights** **•** Interest income was $17.2 million for the first quarter 2006, an increase of31 percent, primarily due to a 34 percent increase over the same period a year ago in theaverage owned loan portfolio. Non-interest income increased 27 percent over the prioryear’s first quarter to $4.2 million.  **•** Interest expense for the first quarter 2006 increased to $9.6 million from$5.4 million from last year’s first quarter as a result of increased borrowings relatingto loan originations, as well as continuing increases in the LIBOR benchmark rate onOrigen’s warehouse line of credit.  **•** The provision for credit losses was $2.1 million for the first quarter 2006compared with $2.0 million for the same quarter 2005, despite an increase in owned loanbalances between the quarters of 28 percent. The modest increase reflects the continuedimprovement in the overall quality of the owned loan portfolio.  **•** First quarter 2006 non-interest expenses were $8.5 million compared with $8.0million for the year ago quarter. Most of the $0.5 million increase was personnelrelated, primarily attributable to costs associated with Sarbanes-Oxley compliance andcompensation relating to merit increases.**Portfolio Performance**At March 31, 2006, loans 60 or more days delinquent were 0.9 percent of the owned loan portfoliocompared to 1.3 percent at December 31, 2005, and 1.4 percent at March 31, 2005. Net charge-offstotaled $2.5 million for the first quarter 2006, a 17 percent decrease from the $3.0 millioncharged off during the first quarter 2005.Ronald A. Klein, Origen’s chief executive officer, stated, “Overall Origen had a solid firstquarter. We increased quarterly earnings both sequentially and year-over-year. Loan originationsincreased 10 percent over the prior year period. This was accomplished against the backdrop of arising interest rate environment and relatively flat shipments of new manufactured houses. Equallysignificant, our loan delinquency level declined to the lowest
 

 
percentage in company history. Alsoduring the first quarter, we began third-party loan origination services under the new agreementwith Hometown America. We continue to make steady progress, realizing that our real opportunitystill lies ahead in the form of higher manufactured housing shipments and origination volumes.”**Earnings Call and Webcast**A conference call and webcast have been scheduled for May 10, 2006, at 11:00 a.m. EST to discussfirst quarter results. The call may be accessed on Origen’s website at www.origenfinancial.com orby dialing 800-334-0872. A replay will be available through May 15, 2006 by dialing 888-203-1112,passcode 4533818. You may also access the replay on Origen’s website for 90 days after the event.**Forward-Looking Statements**This press release contains various “forward-looking statements” within the meaning of theSecurities Act of 1933 and the Securities Exchange Act of 1934, and Origen intends that suchforward-looking statements will be subject to the safe harbors created thereby. The words “will,”“may,” “could,” “expect,” “anticipate,” “believes,” “intends,” “should,” “plans,” “estimates,”“approximate” and similar expressions identify these forward-looking statements. Theseforward-looking statements reflect Origen’s current views with respect to future events andfinancial performance, but involve known and unknown risks and uncertainties, both general andspecific to the matters discussed in this press release. These risks and uncertainties may causeOrigen’s actual results to be materially different from any future results expressed or implied bysuch forward-looking statements. Such risks and uncertainties include, among others, the foregoingassumptions and those risks referenced under the headings entitled “Factors That May Affect FutureResults” or “Risk Factors” contained in Origen’s filings with the Securities and ExchangeCommission. The forward-looking statements contained in this press release speak only as of thedate hereof and Origen expressly disclaims any obligation to provide public updates, revisions oramendments to any forward- looking statements made herein to reflect changes in Origen’sexpectations or future events.**About Origen Financial, Inc.**Origen is an internally managed and internally advised company that has elected to be taxed as areal estate investment trust. Based in Southfield, Michigan, with significant operations in Ft.Worth, Texas, Origen is a national consumer manufactured housing lender and servicer. It offers acomplete line of home only products and land home conforming and non-conforming products. Origenalso provides servicing for manufactured home only and land home loans.For moreinformation about Origen, please visit www.origenfinancial.com.
 

 
**ORIGEN FINANCIAL, INC.**