The average 10-year Treasury rate rose by 24 bp last week, but today, Monday the 12th, the 10-year Treasury went down to 2.31%. We’re still in territory where the Principal Limit is maxed out, and the SFSA and tenure conversion factors are the only things moving with rates. Higher rates and margins mean more money since higher rates give higher SFSA’s.
This week, all Treasury-based HECM’s with a margin of +308 or less will pay the HECM maximum Principal Limit. Ditto for LIBOR-based HECM’s with margins of +286 or less. Next Monday is a holiday, so expect our next update on Tuesday the 20th. Here are this week’s rates.
Reverse Mortgage Rate Updates are brought to you by Jerry Wagner & Ibis Reverse Mortgage Software – The Industry Standard Since 1995. This is not just a slogan — six of the top 10 reverse mortgage originators plus NRMLA and the AARP use Ibis Software for their websites, retail and wholesale businesses.