August 1, 2014
HECM endorsements rose 4.2% to 4,092 loans in July, up from the 18 month low reached in June. Seven of the ten regions we track were up, with two showing the highest totals in several months.
- Pacific/Hawaii continues to lead regions in volume and rose 3.9% to the highest level since February
- Great Plains is on the other end of the spectrum with lowest volume but showed its highest total since August 2013
- All other regions remain below their totals from May
Several lenders had good months as well:
- American Advisors Group rose 6.1% to bounce back after a decline in June
- Urban Financial rose 23.3% to 222 loans
- Generation Mortgage rose 19.8% to 115 loans and its highest volume since February
If your company is FHA approved check out the rankings on page 5 of the report below. If your company is not FHA approved, watch out for our next edition of HECM Originators to find your ranking!
Click the image below for the full report.
July 29, 2014
May’s HECM endorsement volume was down -15.6% from 2013 but up 1.5% from 2012. It’s tempting to say that 2014 will come in near 2012 totals, but the downside scenario is closer to 2005.
- Jan – May cumulative volume is down -12.6% from last year and -2% from 2012
- 2012 finished with 52,883 endorsements, which means we need to average 4,240 endorsements per month for Jul-Dec to match it and that’s just about the average of May/Jun
We haven’t put out an update on this chart in a while, but it really tells a lot of the story for the industry changes and struggles using case numbers issued as our general measure.
The tempting conclusion to draw here is that FHA program changes (orange arrows) are the major driver of volatility – and on a short term basis that would be true. What gets a bit lost in this monthly perspective is the medium/long term ceiling being lowered by the lender exits (red arrows) as the industry loses distribution.
Check out how trends are shaking out in your state/county/city/zip in the full report below (click on the image) or feel free to give us a shout if you’d like a personal deep dive to see how this information can focus your opportunities.
July 23, 2014
HECM endorsements rose 7.8% in May, but the big winners were retail lenders with volume up 12.2% compared to just a 2% rise for broker/wholesale volume. Retail is at 59% of industry volume, just short of the 61% reached in September and December last year.
- American Advisors Group continues to impress with a new high of 1,481 loans, up 17.7% from April
- RMS/Security One bounced back with a 24.8% rise to 392 loans and fourth place
- Proficio rose 23.3% to recover some of the losses from the past three months
Don’t forget to check out the rankings on page 3 (trailing twelve months with channel splits) and page 4 (single month retail only). If your company is not an FHA approved lender, these are the only industry rankings where you’ll appear!
Click the image below to access the full report.