Fueled by increases across the majority of U.S. regions nationwide, reverse mortgage volume rebounded 4.8% in October after falling nearly 15% the previous month, according to the latest data from Reverse Market Insight.
Home Equity Conversion Mortgage endorsements totaled 3,919 units in October, up from September’s volume of 3,741 loans, bringing year-to-date volume to 40,245 loans through October 2016, according to the RMI data.
October saw increases in HECM endorsement volume across seven of the 10 regions tracked by RMI nationwide, with only the Southeast/Caribbean (-12%), Mid-Atlantic (-11.4%) and New York/New Jersey (-9.4%) areas reporting monthly declines.
Meanwhile, the Rocky Mountain region continued to build on its growth momentum with 308 HECMs in October, an increase of 50.2% from the previous month.
In terms of growth, the region was followed by the Southwest, which reported 478 units in October, a gain of 33.5% from September; and the Great Plains, whose 80 loans were 27% higher than the 63 units it had during the prior month.
Among the top-10 industry lenders, the growth story was split with five companies reporting increases in HECM endorsements for October—the largest of which belonged to Reverse Mortgage Solutions, whose 87 units represent a growth of 50.2% from September’s 55 units.
Reverse Mortgage Funding, which ranked fourth overall in terms of unit count, saw its volume grow 28.9% in October to 326 loans. This now brings the company’s 12-month trailing volume to 3,009 units.
Ranking second overall for unit count, Finance of America Reverse totaled 404 loans during the month, signaling an increase of 25.5% from September, thus bringing its 12-month trailing loan tally to 4,025.
See how much volume other reverse mortgage lenders produced through October here.
Written by Jason Oliva