January Reverse Mortgages Benefit from Pre-Oct. 2 Hike
Thanks to a pre-October 2 bump in reverse mortgage endorsements, January reverse mortgage data shows a bump in volume for January 2018, according to a recent report.
"Home Equity Conversion Mortgage originators — including Federal Housing Administration-approved firms and their non-approved counterparts — saw 32.9% endorsement growth in the first month of 2018, turning in 6,308 loans according to the most recent data from Reverse Market Insight," according to Reverse Mortgage Daily.
"The surge was buoyed primarily by a 56.1% gain in wholesale loans, while retail endorsements saw a more modest 16% increase. In all, January’s production easily surpassed all of the previous 12 months, including a recent-record 5,355 loans endorsed last March."
The report added that lenders in the top 10 all reported gains in January. The West Coast and Rockies contributed the most to the January gains.
"RMI pointed squarely at the Department of Housing and Urban Development’s decision to cut principal limit factors as the reason for the gains, as originators continue to sort through the glut of loans generated under the old rules," according the report.
To learn more about the good news for the reverse mortgage industry in January 2018, click on the image above.