Home equity loans

In addition expanding the types of loans eligible for the reverse product, the policy creates a flexible borrower counseling timeline to facilitate lending.

The share of seriously underwater homeowners also grew in 45 states compared to a year ago, with the South Central region most affected, according to Attom.

"In looking at eight currently available proprietary RM products, there is a distinct relationship between HECM growth rates and proprietary product availability," Reverse Market Insight said.

The new law adds rules, including counseling requirements, which would put severe constraints on originations of HEIs, an industry representative said.

More than 21% of reverse mortgage clients entered counseling with a deficit in their monthly budget last year, almost double the 12.2% of clients in 2024.

About 43% of Americans upgraded their homes last year, and 33% plan to remodel in the next year, according to a recent survey from Redfin.

A Colorado couple filed suit after realizing they might owe as much as $279,000 on a home equity investment contract used to obtain $88,000 in 2018.

The product preserves borrower's first mortgage, and its potentially lower mortgage rate, without requiring the new monthly payments of a traditional HELOC, FOA says.

HECM endorsements rose 16% in March to 2,117 loans, but monthly volumes remain near their slowest pace since last summer as proprietary reverse products quietly steal market share.

Borrower equity fell $78.8 billion, or 0.5%, year over year in Q4, according to Cotality's Home Equity Report. That's an average decrease of $8,500.

Agency MBS investors have had limited information about primary loans coexisting with home equity products, and may want to get more now, according to Experian.

Mutual of Omaha, Finance of America and Longbridge Financial rank at the top of HECM endorsements over the past 12 months, Reverse Market Insight reported.

The two organizations announced the Certified Home Equity Advisor credential, which will help financial professionals integrate home equity in retirement plans.

Point Digital Finance originated the underlying home equity contracts, composed of first lien (11.1%), primarily second-lien (82.9%) and third liens (5.81%) on residential properties.

Unison faces allegations it operates as an unlicensed mortgage lender with misleading marketing that drives homeowners into high-risk "no-debt" contracts.

Home equity investment platforms continue to attract dollars from the venture capital community but also face a proposed de facto ban in one state.

The reverse mortgage companies squeezed thousands of dollars out of aging homeowners through various illegal fees, according to a new class action suit.

The partnership also includes a $50 million equity investment in Finance of America, securing long-term alignment between the companies.