U.S. homeowners aged 62 and older are holding more than $6 trillion in equity, an increase of $164.9 billion in home equity from the last quarter of 2015. The NRMLA/RiskSpan Reverse Mortgage Market Index (RMMI) reached an all-time high of 209.12 in Q1 2016, up from 203.37 in Q4 2015.
The gains were largely driven by an estimated $169.7 billion increase in the aggregate value of homes owned by adults aged 62 and older, which was offset by a $4.9 billion increase in mortgage debt held by that age group.
NRMLA President and CEO Peter Bell suggested in the June 21 press release announcing the Q1 RMMI that homeowners who are still making monthly mortgage payments during their retirement years may want to consider using proceeds from a reverse mortgage loan to satisfy their existing debt.
Read the press release on NRMLAonline.org.