As tappable home equity peaks, can reverse mortgage lenders get more borrowers on board?

U.S. homeowners held a record $13.2 trillion in accessible home equity in the second quarter of 2026, yet roughly 88% of that equity was tied to mortgages with rates below the prevailing market average. That was a key conclusion of an inaugural report on home equity and mortgage rate lock-in trends published Wednesday by First American Data & Analytics. The report, based on property and mortgage data from the first quarter of 2005 through Q2 2026, found that total tappable equity rose 1.9% from the first quarter and 1.5% from a year earlier. But the company also noted that “locked-in” accessible equity — equity held by borrowers whose primary mortgage rates are below the national average for 30-year fixed rates — totaled $11.6 trillion, up 3.2% from the prior quarter but down 2% year over year. First American Data & Analytics defined accessible equity as the portion of a homeowner’s equity that can be borrowed against while keeping the combined loan-to-value ratio at or below 80%. Locked-in accessible equity layers in the homeowner’s existing rate relative to the market, adding an economic incentive dimension that captures how reluctant borrowers may be to refinance or sell...