Higher Resolution – HECM Lenders January 2012

If your New Years resolution was to produce more loans in 2012, then you had lots of company along for the ride. January HECM endorsements totaled 5,175 loans, the highest level since September and up 11.6% from last month. On the pessimistic side, Oct-Dec are the only months lower than this total in the past 12, so it’s really a half glass of whatever perspective you’d like to see.

Volume was up all across the nation with the exception of New England dropping -8.8%. Rocky Mountain (28.2%) and Pacific/Hawaii (24.9%) fared particularly well, leading 6 of the 10 regions to double digit percentage growth. Rocky Mountain was also the only region to increase from January 2011, up 1.6% while the industry overall dropped -19.9%.

  • Salt Lake City grew 50.7% from last January, powering the Rocky Mountain region totals
  • Caribbean, which includes Puerto Rico, grew 26.9%

Among lenders, we saw 6 of the top 8 active lenders increase volume and 4 of those by double digit percentages:

  • Security One led the way with a 27.9% increase
  • Genworth saw a 26.1% increase
  • Both companies posted their highest monthly total on record, although these numbers do include TPO business that wasn’t counted in historical numbers before 2011
  • American Advisors (23.4%) and Generation Mortgage (17.2%) rounded out our double digit percentage growers for the month

Active lenders dropped significantly from last year, but that is almost entirely the result of FHA’s move to stop approving brokers which results in those companies not being counted in this total.

Click on the image below for this month’s report.