Key facts
- Proprietary reverse mortgages experienced an 118% increase in originations in 2025.
- Proprietary reverse mortgages now represent 22% of all reverse mortgage originations.
- HECM originations saw a modest 0.7% growth in 2025.
- Homeowners aged 55 and older own 55% of all owner-occupied homes in the U.S.
- Accumulated home equity has reached nearly $35 trillion.
Proprietary reverse mortgages have seen a dramatic surge in originations, increasing by 118% in 2025 and capturing 22% of the total reverse mortgage market share, according to a Mortgage Bankers Association (MBA) analysis of Home Mortgage Disclosure Act (HMDA) data. This rapid growth significantly outpaced the modest 0.7% increase in Home Equity Conversion Mortgage (HECM) volume during the same year.
The trend aligns with more older Americans choosing to age in place, a demographic shift supported by data showing that individuals aged 55 and older own 55% of U.S. owner-occupied homes. Furthermore, nearly $35 trillion in accumulated home equity, driven by 14 years of price appreciation, provides seniors with opportunities to tap into their housing wealth.
While overall reverse mortgage volume declined 57% in 2023, proprietary products have shown strong recovery. After accounting for only 7% of originations in 2023, their market share climbed to 22% in 2025. Proprietary reverse mortgages also tend to have larger loan balances, contributing nearly 40% of the total dollar volume of reverse mortgage originations in 2025.