In case you missed it… here’s what happened in reverse mortgage news this week.
Knight Capital went reeling after a $440 million trading loss. The company said Thursday it remains committed to its Urban Financial reverse mortgage business as well as its role as a Ginnie Mae HMBS issuer. There would be no delays for Urban as a result of the losses, Knight told RMD.
Security One received GNMA approval. In light of recent exits by issuers, Security One says it is getting ready to begin HMBS issuance starting in October of this year. The company has exhibited recent growth after it hired more than 130 former MetLife reverse mortgage employees.
Fitch said: CFPB will cost companies big. Not only those companies that will face monetary penalties, but all companies under CFPB authority are likely to see expenses rise, Fitch said.
Reverse mortgages: good product, impossible to provide? An American Banker article took a stab at answering this question as it recapped the recent history of the reverse mortgage business and spoke to people within the market on regulatory pressure, big bank exits, and the aging population in America.
Silvergate Bank recorded record earnings on reverse mortgage growth. The company cited the growth of its held-for-sale reverse mortgage portfolio in its earnings release this week.
Written by Elizabeth Ecker