While government-insured reverse mortgage originations were down for both retail and wholesale lenders during May, the biggest player — MetLife Bank, N.A. — pushed production higher. But with a more than 20 percent market share, MetLife’s upcoming exit from the business is going to leave a gaping hole.
Retail-originated home-equity conversion mortgages endorsed by the Federal Housing Administration totaled 2,587 during May, off from 2,614 endorsements in April.
A year earlier, retail HECM originations totaled 3,106.
Wholesale HECM production slipped to 1,840 from 1,979 a month earlier. In May 2011, wholesale endorsements amounted to 2,079.
May represented the second-slowest month for HECM volume since September 2005.
As it continues to wind down its reverse mortgage business, MetLife maintained its position as the biggest originator based on combined government-insured and proprietary reverse mortgages closed through both its retail and wholesale channels. May production was 1,116 loans, up from 1,070 in April.
MetLife’s latest number included 928 HECMs and 188 proprietary reverse mortgages, climbing from 911 government-insured originations and 155 non-FHA fundings in April.
No. 2 was Urban Financial, which closed 637 reverse mortgages. Urban was the biggest producer of non-FHA reverse mortgages — with 328 originated during May.
One Reverse Mortgage LLC followed with 410 in total closings, then 385 at Generation Mortgage Co. and 357 at Genworth Financial Home Equity.
