Although Home Equity Conversion Mortgage (HECM) endorsement volume has declined slightly on a monthly basis, so far it’s accounting for a higher share of the Federal Housing Administration’s overall single-family market, compared to fiscal year 2011, although year-over-year volume is lagging.
Reverse mortgage market share volume of the Federal Housing Administration’s overall single-family portfolio dropped to 5.3% from September’s 6.1%, but the program is still accounting for a higher share compared to the last fiscal year’s 4.2%.
HECM endorsement volume declined slightly to 4,653, down 16.8% from September 2011. Compared to the previous fiscal year-over-year data, volume is down 11.9%.
The majority of endorsement volume went to standard traditional reverse mortgage transactions, at 4,055, while HECM Saver volume dipped 35.5% to 347. The percentage of the Saver’s share of the overall HECM program dropped for the first time in several months to 7.46%.
The HECM Purchase program also saw fewer endorsements, down 31.4% from September to 129.
Written by Alyssa Gerace