Reverse mortgage endorsements made a yearly gain on the total share of those insured by the Federal Housing Administration, according to the September 2011 Single-Family Outlook, although overall volume levels were down.
Home Equity Conversion Mortgages (HECMs) saw a slight yearly increase in the number of FHA-insured mortgages, to 5.8% of all endorsements, compared to last year’s 4.5%.
Reverse mortgage endorsements in September accounted for 6% of total endorsements, with volume down on both a monthly and yearly basis.
Endorsements decreased 3.7% from August to September, and were down 7.6% on a fiscal year basis, with 73,129 HECM endorsements in FY 2011.
HECM Savers accounted for 9% of September’s endorsements, and made up 5.2% of the fiscal year’s HECM endorsement total.
The HECM Standard Purchase gained in popularity, with endorsement volume increasing to 188 for the month, 75.7% more than in September of the previous year and 32.4% more than in August. Still, at slightly more than 1,500, HECM Purchase fiscal year volume remained well below FHA’s projection of 2,400.
View the FHA Single-Family Outlook for September 2011.
Written by Alyssa Gerace