HECM Endorsement Analytics – March 2023

March’s HECM endorsement count unexpectedly increased 73% over the month, reaching 3,789 units. However, the increase came almost entirely from AAG’s last gasp of submissions prior to its acquisition by FAR, endorsing 1,970 loans compared to last month’s 468. AAG clearing its backlog won’t alter the macro trend of declining HECM production as long as rates stay high and property values soften. It also underscores the shortcomings associated with relying exclusively on endorsement count as a metric for HECM production. Our full report can be found here: NV Endorsement 2023_03.

HUD’s February Endorsement Snapshot Report was just released on its website. HECM refinance remains at approximately 10% of all endorsements.

New View Advisors continues to offer its Who Buys What From Whom (WBWFW) report as part of our endorsement report subscription. The report compiles publicly available Ginnie Mae data to show which HMBS issuers buy HECMs from which lenders.

The WBWFW report includes:
—Top Originators – a ranking by original HECM UPB of all lenders over the last twelve months
—WBWFW – an alphabetical cross-reference between every lender and the HMBS issuer that securitizes its loans
—Top 100 Trends – a breakdown of loan sales by month, by Top-100 lender, by HMBS issuer.

Edited samples from recent WBWFW reports are at the end of our endorsement writeup. These reports together provide accurate insight for sales and marketing teams to learn just who’s buying what from whom. The dataset is more complete and timely than what endorsement analysis alone can show.

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