Channeling volume – HECM Originators September 2011

October HECM endorsement totals were spooky as Wells Fargo’s volume slid down the exit ramp, but what more can we learn about September now that we have detailed figures available? HECM Originators shows us the balance between retail/direct and TPO/wholesale channels, and gives us our first picture of individual TPO companies for the month since they’re not included in HUD’s report on the first of each month anymore.

September overall endorsements were down -3.8%, but TPO/wholesale (-6.1%) fared worse than retail/direct (-2.5%) for the 4th straight month. That string is certain to be broken next month given the big impact of Wells Fargo’s decline, but it does suggest sustained weakness in the TPO model for reverse mortgages. The regulatory changes seem the most likely culprit for the change, whether this was the intended consequence or not.

The full list of HECM Originators (including TPOs) can be found on pages 3 and 4. Page 3 ranks the top 100 originators in the past twelve months, and page 4 ranks the top 100 originators for the month of September. If a company endorsed more than 6 loans in September or 73 loans in the past 12 months and you can’t find them on this, please let us know. We’re still sorting through some of the names that are slightly different as a TPO compared to their FHA approved name, and we want to make sure we rank everyone appropriately.

Click the image below to access the full report:

HECM Originators