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Reverse Mortgage Daily

Ginnie Mae Brings Platinum Channel to Reverse Mortgage Securities
The Government National Mortgage Association (GNMA), also known as Ginnie Mae, announced on Thursday that mortgage securities backed by Home Equity Conversion Mortgages (HECMs) can now make use of a new “platinum” securities execution: the Home Equity Conversion Mortgages Backed Security (HMBS) Platinum securitization channel. This option, “eases the administrative costs of holding multiple (and […]
FAR Recycles Collateral in Series of New Defaulted HECM Bonds
The next offering of bonds from Finance of America Reverse (FAR) that are backed by defaulted reverse mortgages includes a higher percentage of loans from a 2017 transaction which collapsed recently. This is according to a story in Asset Securitization Report (ASR). “Nearly 67% of the loans in the $309 million loans and repossessed properties […]
CFPB Out of Bounds on Recent Exams, Misused Resources
At a time when the CFPB is getting accustomed to a new director, the CFPB has been found to have gone outside its examination authority, according to the Office of the Inspector General (OIG). According to a report released in March, OIG identified instances in which the Consumer Financial Protection Bureau (CFPB) examined financial service […]
New Figure Hire Emphasizes Retirement, ‘More Accessible’ Home Equity Tapping
Figure Technologies, providers of alternative home equity tapping tools including a sale leaseback offering that is competitive with traditional reverse mortgages, announced a new hire last month that expands the company’s positioning as a vendor of tools that can help seniors in funding their retirement. John Sweeney has been appointed as head of Wealth and […]
CFPB Director: Bureau Seeks to ‘Prevent Harm,’ Use Enforcement Cautiously
The primary mission of the Consumer Financial Protection Bureau (CFPB) under its new director, Kathleen L. Kraninger, will be in focusing on preventing harm to consumers by empowering them, educating them, ensuring clear rules by which financial institutions should operate, and ensuring a culture of compliance through supervision. This was the vision laid out by […]
Ditech: RMS Losses Will Continue
Ditech Holding Corporation, parent company of Reverse Mortgage Solutions (RMS), announced its fourth quarter and full year 2018 financial results in a form 10-K filing released Tuesday, which details an expectation that their unprofitable reverse mortgage arm will remain so while also saying that the company cannot guarantee that it will successfully emerge from Chapter […]
The Pros and Cons of Financial Planners as Reverse Mortgage Referral Partners
There have long been challenges associated with building partnerships between reverse mortgage originators and the financial planning community, either because of some personal biases or because they may not be allowed to offer the idea of using a reverse mortgage as a financial tool by their institutions. Recent indications have illustrated, though, that more in […]
Wholesale and Retail Reverse Mortgage Channels Jump in February, Shutdown Backlog Ends
Home Equity Conversion Mortgage (HECM) endorsements saw a significant jump in February, with total endorsements rising 142.6 percent to a total of 4,000 loans, according to the latest data from Reverse Market Insight (RMI). However, the pronounced spike in endorsements across both the retail and wholesale channels is likely indicative of the remaining effects from […]
Reverse Mortgage LOs Find Success With Unusual Marketing Moves
For many originators in the reverse mortgage business, there are a series of tried-and-true methods that can be followed for someone to find his or her next prospective borrower. Typical examples include forging relationships with trusted advisors, meeting seniors face-to-face at community centers, or becoming affiliated with local commerce organizations. Sometimes, though, originators can find […]
CFPB: Low Reverse Mortgage Presence Among Elder Financial Abuse Reports
Elder financial exploitation (EFE) occurs due to a wide range of perpetrators, from close family members to offshore scammers. Only one in 44 EFE incidents are actually reported to authorities, and annual dollar losses range from $2.9 billion to $36 billion. However, less than one percent of reported EFE between 2013 and 2017 involved reverse […]

Reverse Market Insight

HECM Originators – February 2019
HECM endorsements jumped 142.6% to 4,000 loans in February, as the backlog in endorsements from a partial government shutdown was completed. Retail grew 131.8% to 2,343 loans and 58.6% of the industry Wholesale increased 159.7% to 1,657 loans Several lenders enjoyed banner performances: Finance of America soared 806% to 725 loans One Reverse leaped 376%… […]
HECM Lenders – March 2019
HECM endorsements dropped -35.7% to 2,573 loans. That is certainly a lot, but is actually very close to the average for Dec-Feb we discussed last month as a way of reducing the noise of the government shutdown shifting volume between those months. Now that we finally have a clean month it looks like the last… […]
HECM Originators – January 2019
HECM endorsements dropped -5.7% to 1,649 loans in January, which we already discussed extensively. Retail declined -6%, coming close to dropping below 1,000 loans for the month Wholesale did better, giving up -5.3% to end at 638 loans Thankfully we already know that February was significantly better, so we can avoid the worst pangs of… […]
HECM Lenders – February 2019
HECM endorsements rocketed 142.7% higher to 4,002 loans, but it’s hard to feel too excited about it given part of that might be catch-up from January’s government shutdown. Regardless, it’s a good test of who in our industry is an eternal optimist vs. a more stoic realist approach – we already know the pessimists left… […]
HECM Originators – December 2018
HECM endorsements dropped -31.4% to 1,749 loans in December, marking a very troubling low point to end the year. Retail plunged -29.4% to 1,075 loans, just over 1/3 of the January 2018 figure Wholesale declined even farther, losing -34.4% to finish at just 674 loans The carnage was widespread, as each of the top 10… […]
HECM Lenders – January 2019
HECM endorsements dropped -5.8% to 1,649 loans, but it’s hard to honestly know what to make of that given the noise introduced by the government shutdown. HECM loans were not endorsed during the shutdown, so from December 22-January 27 we have a big gap in activity. The January total surely represents more loans that we’d… […]
HECM Lenders – December 2018
HECM endorsements dropped -31.4% to 1,751 loans in December, establishing a second consecutive low point after the FHA product changes took effect in October 2017. Last month we wondered if November’s decline was just some volume shifting from HECMs to proprietary, calling that the best case scenario This month’s drop looks a lot more like… […]
HECM Originators – October 2018
HECM endorsements increased 7.4% to 3,087 loans in October, recovering most of the loss in the prior month. Retail led the way, gaining 7.9% to 1,829 loans Wholesale posted a smaller 6.7% rise to 1,258 loans Eight of the top ten lenders saw increased volume on the month: One Reverse paced the field, jumping 24.7%… […]
HECM Lenders – November 2018
New lows, here we are. HECM endorsements dropped -17.4% to 2,553 loans in November, setting a new low after the October 2017 product changes. Just one region out of the ten tracked rose and that was the smallest, Great Plains, up 3.2% to 65 loans A good example of how far the industry has fallen… […]
HECM Originators – September 2018
HECM endorsements dropped -9.9% to 2,874 loans in September, narrowly missing out on a new monthly low from the product changes one year earlier. The decline was broad based, with very little difference between Retail (-9.8%) and Wholesale (-10.1%) That said, Retail did set a new low at 1,695 loans which might suggest less of an… […]