Financial Freedom Unveils New Reverse Loan

Financial Freedom Senior Funding Corp., Irvine, Calif., has announced the introduction of HECM Advantage, the first in a series of new reverse mortgage products based on the federally insured Home Equity Conversion Mortgage.The company, a subsidiary of IndyMac Bank FSB, said the new product would provide a borrower with a $350,000 home approximately $18,400 more cash (while saving as much as $18,000 in interest accrual during the first 10 years) than a similar HECM loan with a 1.5% margin. Financial Freedom said that, as with other reverse mortgages, the borrower retails title to the home; the loan is nonrecourse, which means the borrower can never owe more than the home is worth upon repayment; and except in the case of a material default, the loan does not have to be repaid until the borrower permanently leaves or sells the home. The company can be found online at http://www.financialfreedom.com.