By Steven Hyde, Founder, Hyde Funding · NMLS #391380. Reviewed October 30, 2026. Hyde Funding is a mortgage lender headquartered at 8996 Miramar Rd., Suite 250, San Diego, lending since 2015. For reverse mortgages I shop six lenders: Finance of America, Longbridge Financial, Fairway, Guild Mortgage, Mutual of Omaha and South River Mortgage.
Short answer: Many California homes are worth more than the 2026 HECM limit of $1,249,125. A jumbo (proprietary) reverse mortgage bases its calculation on more of your home’s value. Some programs go up to $4 million and accept borrowers from age 55. California adds its own protections: required counseling, a seven-day wait and a signed worksheet guide.
Comparing HECM and jumbo reverse offers for your California home? Call:
Hyde Funding · 8996 Miramar Rd., Suite 250, San Diego · NMLS #391380 · Lending since 2015
A HECM’s calculation stops at $1,249,125 of home value in 2026, no matter what the home is worth. In much of coastal California, including San Diego, Orange County, Los Angeles and the Bay Area, homes are often worth far more, so a HECM leaves much of the equity out of the calculation. Proprietary programs set their own limits and pricing and aren’t FHA-insured, so there’s no 2% upfront or 0.5% annual FHA mortgage insurance.
| Option | Typical age | Notes |
|---|---|---|
| HECM (FHA) | 62+ | Capped at $1,249,125 in 2026. FHA mortgage insurance. Many payout choices. |
| Proprietary first-lien jumbo | 55+ in some programs in California | Some programs go up to $4M in loan amount. Often a fixed-rate lump sum. Some offer a line of credit. |
| Proprietary second-lien line of credit | 55+ in some programs | A newer option in California that sits behind your existing first mortgage, so you keep your current loan. |
Among the six lenders I shop, Finance of America (HomeSafe), Longbridge Financial (Platinum) and Mutual of Omaha (SecureEquity) offer proprietary programs in California. Fairway, Guild Mortgage and South River Mortgage round out the HECM comparison. Program names, limits and rules change, so I confirm current terms with each lender for your home.
A HECM would use $1,249,125 of the value, with upfront MIP of $24,982.50. A proprietary jumbo would use the full $2,500,000 (within the program’s limit) with no FHA insurance, but with the lender’s own rate and fees. If the owners already have a low-rate first mortgage, a second-lien line of credit may let them keep it. We show all three side by side, including total costs. No rate or loan amount is implied. Real figures depend on age, rates and the appraisal.
Many California condo projects aren’t FHA-approved, which rules out a standard HECM. Several proprietary programs accept non-FHA-approved condos after their own review. See condo reverse mortgages. San Diego homeowners can start with our local guides for La Jolla, Carlsbad, Encinitas and San Diego.
You’ll need enough equity, the home as your primary residence, and the ability to keep paying property taxes, insurance and HOA dues. Lenders look at your credit and payment history, but past credit issues don’t automatically rule you out. Call and we’ll look at your options together.
I shop six reverse lenders for you. Call for today’s rates.
Hyde Funding · 8996 Miramar Rd., Suite 250, San Diego · NMLS #391380 · Lending since 2015
Some proprietary (non-FHA) reverse mortgage programs accept borrowers from age 55 in California. FHA's HECM still requires age 62. Program availability changes, so we confirm current options when we talk.
It depends on the program. Some proprietary programs go up to $4 million in loan amount. The HECM calculation is capped at $1,249,125 of home value in 2026.
Yes. California law requires reverse mortgage counseling with an approved counselor and a seven-day wait after counseling before the lender can accept a final application or charge fees, other than the counseling fee. Lenders must also provide a plain-language worksheet guide that you sign before the loan is approved.
Some newer proprietary programs in California work as a second-lien line of credit that sits behind your existing first mortgage. Terms vary by lender, so we compare a first-lien jumbo, a second-lien option and a HECM for your home.
Taking out a reverse mortgage is not a change in ownership, so it does not reassess your property under Prop 13. Selling and buying a replacement home is a separate question, and Prop 19 may let homeowners 55 and older transfer their tax base. Check with the County Assessor.
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. Lender names are for information only and are not endorsements; programs and availability vary by lender and change over time. Examples are illustrative only and are not quotes. This is general information, not a commitment to lend. Consult a financial or tax advisor.