Reverse Mortgage Wholesale Leaders – June 2010
After a very tough May for the reverse mortgage broker business, June provided a welcome bounce that almost kept pace with retail/direct endorsements. Broker volume grew 15.2% while retail/direct grew slightly faster at 17.6% as the overall business regained some traction from May’s trough levels. Retail/direct volumes have continued to outpace broker loans, continuing the trend started last month but we’ll wait a while before calling this the new world order for reverse.
One of the interesting trends we’re watching is the consolidation of lending in the reverse mortgage market toward fewer, larger lenders. We’ve written about this before, and it’s an interesting complementary perspective to the count of active lenders and average loans per lender.
Here’s a good illustration:
- In 2008, there were 2,950 active lenders, compared to 3,151 in 2009
- The 100 largest lenders for 2008 shrank -6.8% in 2009, but the other 2,850 lenders actually grew by 4.6%
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