New Reverse Mortgage Program

Edmund Sanders covers financial institutions and fraud for The Times. He can be reached at (714) 966-5811 and at

Seniors living in Laguna Woods may now take advantage of a unique reverse mortgage product under a program launched this month by Fannie Mae.

Under the program, owners of co-ops in Leisure World will be able to gain the same access to reverse mortgages that other senior homeowners have had for years.

Reverse mortgages allow seniors to tap into their home's equity. In most reverse mortgages, no monthly payments are due until after the senior dies or moves.

Because of the unusual ownership structure of co-ops in Leisure World, reverse mortgages previously were unavailable.

Fannie Mae, working in cooperation with several lenders, is offering up to $4 million in loans under the Leisure World program. For more information, call (800) 732-6643.

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