Last week Financial Freedom announced the release of their new HECM Fixed product.  Over the weekend I received some of the details on the program.  I was thinking the product would be the standard HECM product that has been released by other lenders, but I noticed one major difference.  The HECM fixed product gives borrowers two options:

1. HECM Fixed which requires a 100% upfront draw, close-ended structure.
2. HECM Fixed which gives the borrower a lower upfront draw, term, tenure, or a combination line of credit with term or tenure payment options.  This option will have a higher rate than the 100% upfront draw option.

This is the first fixed HECM that I’m aware of which doesn’t require 100% upfront draw at closing.  No word on how much higher of a rate the term, tenure, or credit line will be, but it’s always a nice option to offer your borrower.

Technorati tags: Reverse Mortgage, Reverse Mortgage News, HECM, Fixed HECM, FHA, HUD, Financial Freedom

Sign up to receive free updates like this by email or can subscribe my RSS feed. Thanks for reading!