With more than 10,000 Baby Boomers turning 65 each day, there is a lot of striking data in favor of the growing need for financial resources—including reverse mortgages—for seniors. We took some government data the U.S. Census collected in honor of Older Americans Month as well as data from some of RMD’s recent reports, to show an industry snapshot by the numbers, and to provide some perspective on the potential reverse mortgage borrowing population.
39.6 million: The number of people 65 and older in the United States on July 1, 2009, accounting for 13% of the total population. Between 2008 and 2009, this age group increased by 770,699 people.
Source: Census population estimates
88.5 million: Projected population of people 65 and older in 2050. People in this age group would comprise 20% of the total population at that time.
Source: Census population projections
35: The projected number of people 65 and older to every 100 people of traditional working ages (ages 20 to 64) in 2030, up from 22 in 2010.
Source: Census, The Next Four Decades: The Older Population in the United States: 2010 to 2050
$3.3 trillion: The amount of home equity held by seniors aged 62 and older at the end of 2010.
Source: Riskspan, Reverse Mortgage Market Index
81: Percentage of householders 65 and older who owned their homes as of fourth quarter 2010.
Source: Current Population Survey/Housing Vacancy Survey
$304 million: Projected 2012 HECM receipts total, according to the Department of Housing and Urban Development.
Source: HUD, Reverse Mortgage Daily
$31,354: Median 2009 income of households with householders 65 and older, up 5.8%, in real terms, from the previous year. The corresponding median for all households was $49,777.
Source: Income, Poverty, and Health Insurance Coverage in the United States: 2009
409: Number of HECM Saver endorsements in March 2011.
Source: Federal Housing Administration, Reverse Mortgage Daily
80,000: Number of reverse mortgage closings in 2011 (projected).
Source: New York Daily News, Reverse Market Insight
2%: Approximate market penetration of reverse mortgage loans.
Source: Industry sources, Reverse Market Insight
66%: Percentage of people 65 and older in households in 2009 who lived with relatives. Twenty-seven percent of all people this age lived alone, while 5% lived in group quarters and 2% in a household with nonrelatives.
Source: 2009 American Community Survey
71,991: Estimated number of centenarians in the United States on Dec. 1, 2010.
Source: Census Population estimates
601,000: Projected number of centenarians in the United States in 2050.
Source: Census Population projections
4.1 million: Number of people 65 and older living in California—the state with the most seniors—on July 1, 2009. Florida, with 3.2 million, and New York, with 2.6 million, were the runners-up.
Source: Census Population estimates
Compiled by Elizabeth Ecker
