I wish we could pick and choose where the weight comes off (or choose to have it come off evenly all over), but unfortunately what you've heard is correct.
I do a lot of upper body work when I do my strength training workouts 2x/week, but unfortunately I haven't lost any weight from my upper arms and so they're actually getting larger from the muscle gain.
I'm beginning to see some nice muscle tone in my biceps, but the underside is still all jiggly.