With a reverse mortgage Arizona homeowners use, you can borrow against your home; the state recorded 1,359 closed loans during the 2025 fiscal year. Most of these loans are HECMs, short for Home Equity Conversion Mortgages. A federal reverse mortgage called a HECM is available to owners 62 and up, and it's insured by the Federal Housing Administration. From October 2025 through August 2026, Arizona borrowers also got 102 HECMs to purchase a home and 91 to refinance. Another 31 loans hit the cap of $1,249,125, which is the 2026 national lending limit.
Has House Bill 2242, which deals with reverse mortgages, been passed in Arizona?
The 2010 House Engrossed Bill 2242 record has just the bill text, with no indication it became law. The bill called for adding a chapter on reverse mortgages to the Arizona Revised Statutes at 6-1601. The bill, as drafted, didn't apply to FHA-insured HECMs, so a standard HECM wouldn't have been covered.
The proposal said a lender or broker had to supply you with a list that included at least 5 HUD-approved counseling agencies. Before you filed a final application or paid any fees, at least 2 of them had to offer phone counseling. Arizona is home to 5 HUD-approved counseling agencies. The date on your counseling certificate had to fall within the 6 months before your final, complete application. A statement of rights and limited liability was something originators had to provide you at least 10 days before closing. Under section 44-1522, violations would have been an unlawful practice, and the Attorney General along with private parties could enforce it.
County property tax deferral and Arizona's Senior Freeze
Federal reverse mortgage rules that cover every state say you must stay current on your property taxes and homeowners insurance. You're also required to live in the home as your main residence and to keep the place in good shape. If you fall behind on your property taxes, your HECM could go into default. That's why tax relief programs in Arizona's counties are valuable.
How the Property Valuation Protection Option gives you a 3-year freeze
The Senior Freeze is the widely known name for Arizona's Property Valuation Protection Option. When you qualify based on your age and income, it locks in the assessed value of your primary home. Your assessed value is the dollar amount your county assigns to your property to figure your taxes. You can renew the freeze, and it lasts 3 years.
March 1 deadline for the Residential Property Tax Deferral Program
Qualifying taxpayers in Arizona can use a Residential Property Tax Deferral Program, which the state runs. You can legally put off your property taxes for 1 taxable year with a tax deferral. There are tight rules and limits on the program. You have to file your exemption applications with the County Assessor from the first Monday in January through March 1. If you miss that period, your exemption is waived, though some taxpayers can get the waiver reversed.
Use DIFI to check lenders and reach the Arizona Attorney General by phone
To compare Arizona reverse mortgage lenders, you can look companies up with Arizona's Department of Insurance and Financial Institutions. Known as DIFI, the agency lets you search for licenses and accepts questions along with complaints about financial institutions and enterprises.
Before or after you apply for a reverse mortgage, you can also report deceptive or unfair sales practices to the Arizona Attorney General's Office. Its Consumer Information and Complaints Unit works to resolve disputes informally at (602) 542-5763.
