HECM applications fell 12.7% to 7,639 in July, posting a year-over-year loss of 14.8%, according to the latest Federal Housing Administration Outlook from the Department of Housing and Urban Development.
Endorsements for HECMs during the month saw a loss of 5.3%, with HECM Saver volume showing its first monthly loss in 2011. There were 496 HECM Savers endorsed in July, down from 524 endorsements in June 2011.
As a proportion of total endorsements, however, Savers continued a slow and steady incline from 5.8% of total HECM endorsements in June to 6% of HECMs in July.
July marks the first month when HECM applications have surpassed HUD’s projection for number of applications, which the department predicted would total 80,000 in fiscal year 2011.
View the July FHA Housing Outlook.
Written by Elizabeth Ecker
