Homeowners 62 and older saw their housing wealth grow by 2.7%, or $104 billion, in the first quarter to a record $7.14 trillion from Q4 2018, the National Reverse Mortgage Lenders Association reported today in its NRMLA/RiskSpan Reverse Mortgage Market Index.
The RMMI rose in Q1 2019 to 257.12, another all-time high since the index was first published in 2000. The increase in senior homeowners' wealth was mainly driven by an estimated 2.4% , or $110 billion, increase in senior home values, including an estimated increase of 0.8% in the senior home-owning population, offset by a 1.1% or $6.5 billion increase of senior-held mortgage debt.
"Reverse mortgages have become an essential component for addressing a huge problem for many Americans—funding retirement," said NRMLA President and CEO Peter Bell. "More than 1.12 million families have used a reverse mortgage alongside side their 401(k)s, IRAs, savings, investments, Social Security, Medicare and Medicaid to cover life's daily expenses, so they could live more financially secure lives."
