Washington State Reverse Mortgage Loans

Steve Cox and the Fairway For Life team are your licensed reverse mortgage specialists in Washington State!

See What You May Qualify For

Reverse mortgage loans are a popular financing option for seniors in Washington state that allow homeowners to tap into their home’s equity and convert a portion of it into cash. As those monies are considered loan proceeds, they are tax-free.*

Areas We Love in Washington State

Spokane

Bellevue

How Does a Reverse Mortgage Work?

Reverse mortgage loans are an excellent option for Washington seniors to increase their cash flow and financial flexibility in retirement.

For homeowners who are 62 or older still carrying a mortgage, a reverse mortgage loan eliminates the current balance and removes the need to make monthly mortgage payments. The homeowner can use the remaining portion of the loan proceeds however they see fit and only need to take care of property charges, such as insurance, taxes and maintenance. The reverse mortgage loan proceeds would be greater for those who own their home free and clear.

How Popular Are Reverse Mortgages in Washington State?

Reverse Mortgages (Past 12 Months)
2,639

Average Home Value
$553,846

Our Reverse Mortgage Loans in Washington State

Home Equity Conversion Mortgage (HECM)

HECMs are the most common type of reverse mortgage loan and the only kind insured by the Federal Housing Authority (FHA). This makes HECMs non-recourse loans, meaning the loan balance can never exceed the home’s value when it’s sold.** This offers peace of mind to many, as they can be confident that their reverse mortgage loan is not a debt their heirs will have to pay.

HECM for Purchase (H4P)

Homeowners can use an H4P to significantly increase their homebuying power, sometimes up to 200%. The homeowner does not have to make monthly mortgage payments on the new property. Instead, they simply have to cover property charges like taxes, insurance and upkeep.

An H4P can be an excellent solution for seniors looking to move to a more expensive home or area without draining their nest egg or taking on a new traditional mortgage.

Jumbo Reverse Mortgage Loans

HECMs are capped by the FHA at $1,089,300. So, for a home valued above the FHA’s loan limit, a jumbo reverse mortgage loan could allow the borrower to access more funds. One thing to note is that jumbo reverse mortgage loans are proprietary financial products, so the terms and conditions can vary from lender to lender.

Benefits of Getting a Reverse Mortgage Loan in Washington

Portfolio Hedging

Many people use their loan proceeds as a safeguard against market downturns. In the event of losses in your investment portfolio, you can utilize the funds proceeds from a reverse mortgage to pay for living expenses rather than selling off investments at a loss.*

Realize Home Equity Gains

Home equity has hit all-time highs recently, and many people believe that the only way to enjoy those gains is to sell their homes. A reverse mortgage loan enables eligible borrowers to take advantage of this appreciation while still owning and living in their homes.

No Monthly Mortgage Payments

While reverse mortgage borrowers can make payments if they want to for tax purposes, there is no obligation to make monthly mortgage payments. Instead, they are responsible for paying property charges, such as insurance, taxes and costs associated with the upkeep of the home.

Financial Flexibility

Borrowers can receive their loan proceeds as a lump sum payment, monthly payments, a line of credit with guaranteed growth or a combination of these options.

Long-term Care

Long-term care can be incredibly expensive. Many homeowners use their loan proceeds to make their homes more accessible for aging in place and to pay for in-home healthcare services.

Continue Owning and Living in the Home

There is a prevalent misconception that a reverse mortgage loan means that the lender owns the home. This is not the case! Reverse mortgage loan holders still own their homes and no one can make them leave or sell their home if they do not want to. Like with any other home loan, they just need to fulfill their loan obligations.

Government-insured

HECM reverse mortgage loans are insured by the Federal Housing Administration (FHA), which offers additional consumer protections and can help borrowers access more funds than they might otherwise qualify for.

Washington State Reverse Mortgage Loan Qualifications and Eligibility

To be eligible for a reverse mortgage in Washington, you must typically meet the following requirements:

62 years of age or older
Have significant home equity or own the home outright
Must live in the home as your primary residence
Participate in a consumer information session given by an independent U.S. Dept. of Housing and Urban Development (HUD)-approved counselor
Have the financial resources to pay ongoing property charges, including taxes, insurance and maintenance
Must not be delinquent on any federal debt

About Washington State

Part of the Pacific Northwest, Washington state borders the Canadian province of British Columbia to the north, the state of Oregon to the south, the Pacific Ocean to the west and the state of Idaho to the east.

The state’s largest city Seattle is known for its vibrant music and arts scene, as well as its iconic Space Needle landmark. Other major cities in Washington include Spokane, Tacoma and Bellevue.

Washington is home to diverse landscapes, including the rugged Cascade Mountains, the temperate rainforests of the Olympic Peninsula and the arid plains of eastern Washington. The state is also known for its many bodies of water, including the Puget Sound, Lake Washington and the Columbia River.

It’s also home to many popular tourist attractions, such as Mount Rainier National Park, the North Cascades National Park, the San Juan Islands and the Washington State Ferries system. Additionally, the eastern part of the state is known for its wine industry and many vineyards.

While certain areas can be more expensive than the national average, the state is more affordable overall than many other areas of the country. With a high quality of life, great healthcare system and wealth of outdoor activities, Washington state is a great place for retirees to live.

Interested in a Reverse Mortgage Loan in Washington State?

Fill out the form and a member of our team will be in touch!

*This advertisement does not constitute tax or financial advice. Please consult a tax and/or financial advisor regarding your specific situation. **There are some circumstances that will cause the loan to mature and the balance to become due and payable. Borrower is still responsible for paying property taxes and insurance and maintaining the home. Credit subject to age, property and some limited debt qualifications. Program rates, fees, terms and conditions are not available in all states and subject to change.