“Dying” for cash: More NYC homeowners tap life insurance to refinance mortgages

From the May issue: A growing number of New York City–area homeowners are finding cash in an unexpected place: their life insurance policies. In order to take advantage of historically low interest rates, more and more borrowers are dipping into cash reserves from their life insurance to help refinance their mortgages, industry insiders said.

It’s a strategy some view as controversial, since it involves borrowing funds intended for survivors after the policy holder dies. [more]