San Diego · Reverse Mortgages

Reverse Mortgage for Purchase

By Amanda LaRussa · Mortgage Broker, NMLS #2166834 · Licensed in CA, AZ, TX

Buy your next home in retirement without a required monthly mortgage payment. The HECM for Purchase (H4P) combines a down payment with reverse mortgage proceeds — a strategy many San Diego homeowners 62+ use to right-size on their terms.

What is a HECM for Purchase?

A HECM for Purchase (H4P) lets homeowners 62 and older buy a new primary residence using a reverse mortgage — combining a down payment with loan proceeds so there is no required monthly principal and interest payment on the new home.

It is a popular option for San Diego retirees who want to right-size: move closer to family, simplify maintenance, or relocate to a one-story home — without tying up all their liquid assets in a cash purchase.

How the purchase process works

  • Get pre-qualified — we estimate your down payment requirement and buying power
  • Complete HUD-approved reverse mortgage counseling
  • Shop for your new primary residence with your real estate agent
  • Make an offer and close — your down payment plus H4P proceeds fund the purchase
  • Move in with no required monthly mortgage payment

Down payment requirements

The down payment depends on the purchase price, your age, current interest rates, and the HECM lending limit. Younger borrowers and higher-priced homes generally require a larger down payment. We provide a personalized estimate before you start house hunting.

Who is a good fit?

  • Homeowners 62+ who want to relocate within San Diego County or elsewhere
  • Couples downsizing from a larger family home to a right-sized retirement property
  • Buyers who want to preserve investment assets rather than pay all cash
  • Anyone who wants to understand H4P alongside a traditional purchase loan

Important considerations

The new home must become your primary residence. You must continue paying property taxes, insurance, and maintenance. Closing costs apply, similar to a standard reverse mortgage. We walk through every number before you commit.

Can I use a reverse mortgage to buy a home in San Diego?
Yes. The HECM for Purchase program is specifically designed for buyers 62+ purchasing a new primary residence. It is available throughout San Diego County and nationwide for FHA-eligible properties.
Do I need to sell my current home first?
Not necessarily. Some buyers sell first and use proceeds as the down payment. Others use bridge strategies or other assets. We help you map the sequence that fits your timeline.
What types of homes qualify?
Single-family homes, FHA-approved condominiums, and certain multi-unit properties (where you occupy one unit) may qualify. The home must meet FHA property standards and be your primary residence.

Want to talk through your situation?

Schedule a conversation with Amanda LaRussa, NMLS #2166834 — no pressure, just clear answers.

Schedule a Conversation