Homeowners aged 62 or more years saw their housing equity grow by $328.5 billion in the first quarter, according to data released Friday by the National Reverse Mortgage Lenders Association.
The increase brings older adults’ housing equity to a record $13.19 trillion, according to NRMLA. Housingwire reported that the increase marks “a recovery after decreases observed over the past year.”
The NRMLA/RiskSpan Reverse Mortgage Market Index rose in the first quarter from 449.79 to 461.28.
Older adult home values increased to an all-time high of $15.5 trillion in the first quarter, NRMLA noted, whereas senior mortgage debt was $2.35 trillion, an increase of $10.2 billion.
Some older adults are using reverse mortgages to finance their moves to senior living communities, with the most common type being the home equity conversion mortgage, the only one insured by the federal government. More than 1.3 million people have used it to supplement retirement savings and age in place, NRMLA President Steve Irwin said.
