San Diego County Reverse Purchase Mortgage
HECM for Purchase allows San Diego County homeowners age 62 and older to buy a new home with a reverse mortgage. No monthly mortgage payments, downsize or relocate while preserving retirement savings and maintaining cash flow.
Strategic Equity Audit
For San Diego County homeowners age 62+ planning to buy a new home, HECM for Purchase allows you to use proceeds from your current home sale as a down payment while financing the remainder with a reverse mortgage. Calculate your purchasing power and preserve retirement savings.
Get Strategic Equity AuditHECM for Purchase Overview
What It Is: HECM for Purchase (also called H4P or reverse purchase) is an FHA-insured reverse mortgage used to buy a new primary residence with no monthly mortgage payments.
Maximum Loan Amount: Up to $1,249,125 (2026 FHA HECM limit)
Minimum Age: 62 years old (at least one borrower)
Down Payment Required: Typically 40-60% of purchase price (varies by age and interest rates)
No Monthly Payments: No monthly mortgage payments required as long as you live in the home and maintain property taxes, insurance, and upkeep.
Primary Use Cases: Downsizing to a smaller San Diego County home, relocating to be near family, moving to a single-story home for accessibility, or purchasing a retirement property.
Key Benefit: Preserve cash from home sale proceeds for retirement living expenses, healthcare, or legacy planning instead of tying it up in a new home purchase.
How HECM for Purchase Works
Step 1: Determine Purchase Price
Identify the San Diego County home you want to buy (up to $1,249,125 for maximum FHA benefit).
Step 2: Calculate Required Down Payment
Based on your age and current interest rates, the lender determines what percentage you must contribute (typically 40-60%).
Step 3: Apply Proceeds from Current Home Sale
Use equity from your current home sale as the down payment. Any remaining proceeds stay in your pocket.
Step 4: Close on New Home with Reverse Mortgage
The reverse mortgage finances the remaining balance. No monthly payments required.
Example Transaction:
- New San Diego home purchase price: $800,000
- Borrower age 72, required down payment: 45% = $360,000
- Reverse mortgage finances: $440,000
- Current home sale proceeds: $500,000
- Down payment from proceeds: $360,000
- Cash remaining for retirement: $140,000
Result: New home purchased with no monthly mortgage payments, $140,000 preserved for retirement living expenses.
San Diego County Reverse Purchase Scenarios
Downsizing
Scenario: Sell $1.2M family home in Rancho Bernardo, buy $700K condo in Mission Valley.
Benefit: Eliminate monthly mortgage payments, reduce property taxes and maintenance, preserve $400K+ cash for retirement.
Single-Story Accessibility
Scenario: Sell two-story home, buy single-level ranch for aging in place.
Benefit: Improve mobility and safety, no monthly payments, maintain independence without financial strain.
Relocate to Family
Scenario: Move from out-of-state to San Diego County to be near children/grandchildren.
Benefit: Purchase San Diego home with no monthly payments, preserve retirement savings for healthcare and living expenses.
Climate or Lifestyle Move
Scenario: Move from inland San Diego to coastal community (Carlsbad, Encinitas, Oceanside).
Benefit: Enjoy desired lifestyle without monthly mortgage burden, preserve cash for travel and activities.
HECM for Purchase Requirements
Age: At least one borrower must be age 62 or older.
Primary Residence: Must occupy the new home as your primary residence within 60 days of closing.
Financial Assessment: Must demonstrate ability to pay property taxes, insurance, and maintenance.
HUD Counseling: Mandatory counseling session with HUD-approved agency before application.
Down Payment Source: Can come from home sale proceeds, savings, gifts, or other liquid assets.
Property Eligibility: Must be FHA-approved property type (single-family home, 2-4 unit with owner-occupied, FHA-approved condo).
Closing Timeline: Typically 30-45 days, similar to traditional purchase mortgage.
Federal Authority & HECM for Purchase Compliance
HECM for Purchase is an FHA-insured product subject to all HUD regulations governing reverse mortgages.
Official Federal Guidelines: For comprehensive information on HECM for Purchase requirements and consumer protections, review the HUD HECM consumer portal.
Mandatory Counseling: All HECM for Purchase borrowers must complete counseling with a HUD-approved agency. Find approved counselors via the HUD counseling agency search.
Industry Ethics: Solve Lending & Realty adheres to the ethical standards established by the National Reverse Mortgage Lenders Association (NRMLA).
San Diego County Property Tax Information: New homeowners are responsible for property taxes on the purchased property. Visit the San Diego County Tax Collector for payment information.
Related San Diego County Reverse Mortgage Pages
San Diego County Reverse Mortgage Specialist
Kiyoshi Inui
Licensed Mortgage Loan Originator - NMLS 1173299
Kiyoshi specializes in HECM for Purchase transactions for San Diego County homeowners age 62+. He provides comprehensive analysis of purchasing power, down payment requirements, and cash preservation strategies to help clients make informed decisions about downsizing or relocating with a reverse mortgage.
Schedule Consultation with Kiyoshi
This page is for educational purposes only and does not provide legal or tax advice.
Equal Housing Opportunity. All loans subject to credit approval.
Solve Lending & Realty | Company NMLS ID: 2013271 | DFP CFL ID: 60DBO-153595 | DRE ID: 02123993.