HECM Archives | Frontier Financial of Arizona

For many years reverse mortgages were broadly considered a loan of last resort. But as these financial vehicles have become more mainstream, and financial advisors have begun giving them a second look, a new criticism has emerged: they are yet another way for the rich to get richer. Neither categorization is entirely accurate. However, looking at them…

Although couples typically take out a reverse mortgage loan together, there are some circumstances in which one spouse does not meet the eligibility requirements of the loan. In these cases, the eligible spouse may take the reverse mortgage loan in their name alone. While the borrowing spouse is living and upholding the terms of the loan, this arrangement allows…

While reverse mortgages have been around for decades, many people still don’t understand how they work. This confusion can lead to people dismissing them as a viable financial option, without really taking the time to learn more and separate the myths from the realities. While it’s difficult to pinpoint where the misconceptions came from, we’ve compiled…

What Is a Cash-Out Refi? The process for a cash-out refi is similar to refinancing an existing traditional mortgage. In a traditional refi, the borrower pays off an existing mortgage loan and secures a new loan. The terms are different from the original loan, likely with a lower interest rate, shorter term, or both. In…

Question: With the bank problems we are hearing about and seeing, is there any effect on our reverse mortgage funds? Answer: None of what is happening with the banks will affect your reverse mortgage. The FHA HECM is a government insured loan. If your lender went out of business, FHA would step in and cover…