By Steven Hyde, Founder, Hyde Funding · NMLS #391380. Reviewed December 9, 2026. Hyde Funding is a mortgage lender headquartered in San Diego, lending nationwide since 2015.
Short answer: A HECM for Purchase lets San Diego homeowners 62 and older sell a larger home, put part of the proceeds toward a new one, and finance the rest with a reverse mortgage. No monthly mortgage payment is required afterward, and you keep whatever sale proceeds are left. The new home must be your primary residence, and you must keep paying taxes, insurance and upkeep.
I shop six reverse lenders for you. Call (858) 775-1005 for today’s rates.
Stairs, big yards and long drives get harder with age. Many San Diego owners want a single-level home closer to family or their doctors, without taking on a new mortgage payment. Paying all cash ties up most of the sale proceeds. A HECM for Purchase sits between those two choices.
Your down payment depends on the youngest borrower’s age, current interest rates and the price of the new home, up to the FHA limit. Older borrowers generally need less down. We run your exact scenario and give it to you in writing. For higher-priced homes, see jumbo reverse.
California’s Proposition 19 lets homeowners 55 and older, and certain other homeowners, transfer the taxable value of their primary residence to a replacement home anywhere in California. Adjustments apply if the new home costs more, and you can use it up to three times. See the State Board of Equalization for the rules and deadlines, and talk to a tax professional.
Common moves include leaving a hillside home for a single-level home (La Mesa), moving into a 55+ community (Rancho Bernardo, Oceanside), or heading inland to a newer home (Temecula).
Because the down payment usually comes from selling your current home, the two closings need to be coordinated. Some people sell first and rent for a short time, while others buy first using other funds. Your agent, escrow and our team work together on the timing. The new home must meet FHA standards, and a condo must meet FHA approval rules (condo guide).
HUD-approved counseling comes first. Ask your agent to build enough time into the contract for counseling, the appraisal and underwriting. We are happy to talk with your agent directly.
Whatever your question, these basics apply. A Home Equity Conversion Mortgage (HECM) is the FHA-insured reverse mortgage most homeowners use. The youngest borrower must be at least 62, the home must be your primary residence, and you need enough equity. Any existing mortgage is paid off at closing. Counseling with an independent HUD-approved counselor is required before you apply (HUD counselor search). The lender then reviews your income, credit and history of paying property charges.
No monthly mortgage payment is required. Interest and mortgage insurance are added to the loan balance, so it grows over time and your equity shrinks. You keep title, and you must keep paying property taxes, homeowners insurance and HOA dues and maintain the home. The loan is repaid when the last borrower, or an eligible non-borrowing spouse, sells, moves out permanently or passes away. A HECM is non-recourse: neither you nor your heirs will ever owe more than the home is worth when it is sold (CFPB). For higher-value homes, a proprietary jumbo reverse mortgage may be an option, but it isn’t FHA-insured and its terms differ. See how reverse mortgages work for a full walkthrough.
Bring this list to your HUD counseling session and to your call with Steven at (858) 775-1005.
Hyde Funding is a San Diego mortgage lender founded in 2015, with an office at 8996 Miramar Rd. Suite 250. Steven Hyde (NMLS #391380) will walk you through a downsizing plan with a HECM for Purchase in plain English and compare HECM and proprietary reverse options. Your family or advisor is welcome on the call. Every HECM borrower first completes independent HUD-approved counseling (find a counselor on HUD.gov). Start with a free reverse mortgage consultation, read the reverse mortgage hub, or see reverse mortgages in San Diego.
Yes, with a HECM for Purchase, if you’re 62 or older and the home will be your primary residence.
It depends on your age, current rates and the price of the home. We’ll calculate it for you.
Proposition 19 may let eligible homeowners 55 and older transfer their tax base. Check with the BOE or a tax professional.
No monthly mortgage payment is required. Taxes, insurance and HOA dues still apply.
Talk to Steven: (858) 775-1005 · Free consultation · Apply now
Steven Hyde, NMLS #391380 (NMLS Consumer Access). Equal Housing Opportunity. Reverse mortgage borrowers must live in the home as their primary residence, keep paying property taxes, homeowners insurance and HOA dues, and maintain the home, or the loan may become due. The loan balance grows over time. HECMs are insured by FHA. Hyde Funding is not affiliated with HUD, FHA or any government agency. This is general information, not a commitment to lend. Consult a financial or tax advisor.