Home Equity Conversion Mortgage (HECM) endorsements rose by 8.2% in the month of July, for a total of 2,753 loans according to the latest data from Reverse Market Insight (RMI). The rise was led primarily by the retail endorsement segment of business, which experienced a jump of 12.9% that month, while wholesale levels recorded a smaller rise of 1.8%.
Seven of the top 10 lenders recorded gains for the month, including Liberty Home Equity Solutions which recorded a 23% jump to 230 loans. That increase was followed by Reverse Mortgage Funding (RMF), which recorded a 22.1% increase to 293 loans. Synergy One Lending also recorded a notable 20.3% increase to 178 loans.
However, the most improved lender for the month by far is New Jersey-based Advisors Mortgage Group, which recorded a 328.6% increase to 30 loans, which allowed it to break into the top 10 rankings for the month. When contacted by RMD, Advisors Mortgage attributed this endorsement success to its loan originators.
“We are fortunate to work with a great team,” said Adam Ennabe, marketing manager at Advisors Mortgage Group in an email to RMD.
As detailed by RMI President John Lunde after July’s HECM Lenders report, two of the major factors that led to the rise in endorsement levels for this month included a favorable rate environment and an additional day of business when compared to the month of June.
“The additional business day is probably the biggest factor in overall picture, as percentage wise it’s a higher increase than the loan volume,” said Lunde in an August email to RMD.
Although the overall percentage figure is nearly identical to RMI’s previous July HECM Lenders report, Lunde previously detailed for RMD that the HECM Originators report is useful in seeing the splits in and health of the retail versus wholesale channels, which helps to illustrate how lenders are doing from a more individualized and channel-specific perspective.
Read the full HECM Originators report at RMI for specific breakdowns.