Index: Seniors' Home Values Fell in 3Q

In what could be seen as bad news for the reverse mortgage market, seniors lost a cumulative $25 billion in home equity in the third quarter, according to the Reverse Mortgage Market Index, which declined overall to 203.5 from 204.8. Americans age 62 and over held $4.25 trillion of home equity in the third quarter, which was still above the $4.21 trillion held in the third quarter of 2006. The combined value of homes owned by seniors declined by $10 billion to $5.08 trillion, compared with $4.97 trillion a year earlier, the National Reverse Mortgage Lenders Association reported. "While the index, not surprisingly, reflects a quarterly decline in home values and equity across most parts of the country, reverse mortgages remain as popular as ever," said Peter Bell, president of NRMLA, which publishes the RMMI in conjunction with the Hollister Group LLC. The organizations can be found online at http://www.nrmlaonline.org and http://www.hollisterllc.com.