In Brief: Calif. Lender Approved For HUD Reverse Loans

Financial Freedom Senior Funding Corp. said it has been approved as a lender for the Department of Housing and Urban Development's reverse mortgage, the home equity conversion mortgage.

"Our FHA approval comes at a great time for scores of senior homeowners in Los Angeles, San Francisco, and Orange and San Diego counties who were left hanging" by a federal crackdown last month, said Jim Mahoney, senior vice president of Financial Freedom Senior Funding. The government disqualified companies that were charging high fees for free government information.

"We believe there could be as many as 300 senior homeowners affected statewide," Mr. Mahoney said. Financial Freedom's parent, Ullico Inc., a diversified, $2.7 billion financial and insurance services corporation, has been investing in reverse mortgages since 1993 and last year launched Financial Freedom Senior Funding.

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