The NRMLA/RiskSpan Reverse Mortgage Market Index (RMMI) rose in Q1 2014 by 1.7% to 172.7, its highest level since Q1 2008. The $61.2 billion increase in senior home equity in the first quarter was driven by an estimated $58.4 billion increase in the aggregate value of senior housing combined with a $2.8 billion decline in mortgage debt held by seniors. The first quarter of 2014 was the eighth consecutive quarter in which the index has risen, but the $3.60 trillion estimated aggregate value of home equity owned by seniors eligible for reverse mortgages remains 10% below its peak level of $4.0 trillion in Q4 2006. The senior housing value estimate is based on the FHFA’s Q1 2014 all-transactions Indices, which showed quarter-over-quarter increases in housing values for 56% of the 412 MSAs covered by RiskSpan.
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