Experience Excellence with Washington’s Top Reverse Mortgage Lender

For over 20 years, All Reverse Mortgage, Inc. (ARLO™) has helped Washington homeowners access their home equity through HUD-approved HECM and jumbo reverse mortgages. As Washington’s #1 Rated Reverse Mortgage Lender, we hold an A+ BBB rating with perfect 5-star reviews and zero complaints — a record that earned us recognition as a BBB Torch Award for Ethics Finalist three years running.

As a HUD-approved direct lender and proud member of the National Reverse Mortgage Lenders Association (NRMLA), we specialize exclusively in reverse mortgages — it’s all we’ve done since 2004. That singular focus is especially valuable in Washington, where the average home value of $611,300 is among the highest in the country and properties in the Seattle metro — including Bellevue, Mercer Island, Kirkland, and the Eastside communities — regularly exceed the $1,249,125 HECM lending limit.

Beyond the Puget Sound corridor, waterfront homes on the San Juan Islands, retirement communities around Sequim and the Olympic Peninsula, and growing markets in Tacoma, Olympia, and the Tri-Cities all contribute to a state where understanding both HECM and jumbo reverse mortgage programs is essential. Our team introduced the first fixed-rate jumbo reverse mortgage in 2008, giving us deep expertise in helping Washington homeowners with higher-value properties evaluate their options.

Whether your goal is to eliminate monthly mortgage payments, create a financial safety net with a growing line of credit, or access equity for retirement planning, we’re here to help you choose the right program with competitive rates and lower costs. Let us show you the difference two decades of dedicated experience can make.

Washington Reverse Mortgage Eligibility & Key Facts

Washington reverse mortgage statistics showing 1.3 million homeowners age 62 and older, 1,104 reverse mortgages closed in the last 12 months, 45 active lenders, and an average Washington home value of $611,300.

Latest Washington Reverse Mortgage Statistics

StateHomeowners Age 62+Reverse Mortgages Closed Last 12 MonthsLenders in WashingtonAvg. Home Value
Washington1.3 Million1,10445$611,300

Top 10 Reverse Mortgage Cities in Washington

Rank City Population Homeowners Age 62+ Median Home Value
1 Seattle 749,256 66,000 $832,857
2 Spokane 229,071 21,000 $383,289
3 Bainbridge Island 25,903 4,200 $1,128,718
4 Port Orchard 16,714 5,300 $541,521
5 Monroe 20,876 3,400 $711,279
6 Kent 136,588 6,800 $635,423
7 Kennewick 86,276 7,100 $422,057
8 Tacoma 222,906 24,500 $478,988
9 Olympia 55,605 7,600 $528,694
10 Marysville 73,246 6,900 $615,183

How this data was derived: Reverse mortgage counts reflect FHA-insured HECM loans endorsed over a rolling 12-month period (Dec 2024–Nov 2025) using HUD HECM Snapshot data. Active lenders represent unique FHA sponsor numbers with at least one endorsed loan during this period. Estimated homeowners age 62+ are based on U.S. Census ACS 5-year owner-occupied households age 65+ as a conservative proxy. Home values are sourced from Zillow’s Home Value Index (latest available).

Top Reverse Mortgage Lenders in Washington

LenderBBB RatingAccreditedYears in BusinessCustomer Rating (0–5)% Positive ReviewsComplaintsSource
All Reverse Mortgage, Inc. (ARLO)A+YES214.94/599.0%0Source
American Pacific MortgageFNO281.75/535.0%6Source
CrossCountry Mortgage, LLC.FYES221.43/529.0%303Source
Fairway Independent MortgageA+YES294.51/590.0%26Source
Finance of America Reverse LLC (FAR)A+YES223.71/574.0%36Source
Goodlife Home LoansA+YES13N/A (Not enough reviews)N/A (Not enough reviews)1Source
Guaranteed RateA+YES262.25/5450%45Source
Guild Mortgage Company LLCA+NO651.55/531.0%73Source
HighTechLending IncA+YES194.94/599.0%1Source
Liberty Home Equity Solutions Inc.A+NO221.00/520.0%1Source
Longbridge Financial LLCA+YES133.77/575.0%34Source
Luminate BankNRNO84NANANASource
MCM HoldingsA+YES27NANANASource
The Money HouseNRNO28NANA0Source
Movement Mortgage, LLCA+NO184.43/589.0%92Source
Mutual of Omaha MortgageA+YES123.31/566.0%65Source
New American FundingA+YES264.65/593.0%147Source
Plaza Home Mortgage IncA+YES242.67/553.0%6Source
Smartfi Home LoansA+YES6N/A (Not enough reviews)N/A (Not enough reviews)0Source
South River Mortgage, LLCA+NO63.79/576.0%14Source
Source: Data compiled from https://www.rminsight.net/hecm-lenders-september-2025/ RMInsight (Top 20 HECM Lenders, October 1, 2025 and Better Business Bureau reviews updated as of December 10, 2025)

Washington Reverse Mortgage Lending Limits

Washington, known as “The Evergreen State,” is home to over 7.8 million people, with over 1.3 million homeowners aged 62 and older. This means that nearly half a million Washingtonians may qualify for a reverse mortgage, which allows them to access their home’s equity.

As of January 2026, the median home value in Washington is around $611,300, well within the HECM reverse mortgage lending limit of $1,249,125.

Washington’s combination of no state income tax, a temperate Pacific Northwest climate, and access to both mountains and coastline has made it a popular destination for retirees — particularly those relocating from neighboring Oregon and California. The state’s economy is anchored by a thriving tech sector in the Puget Sound region, a strong agricultural industry in Eastern Washington, and renowned wine production in the Walla Walla and Columbia valleys. Many long-time Washington homeowners have seen significant equity growth, particularly in the Seattle metro area, making a reverse mortgage a strategic way to access that equity without leaving the home they love.

If you’re a homeowner aged 62 or older in Washington, All Reverse Mortgage, Inc. (ARLO™) is here to help. We’re ready to answer your questions and guide you through the process.

Essential Protections and Requirements for Washington Reverse Mortgages

In Washington State, reverse mortgages are subject to federal guidelines and additional state-specific requirements that enhance consumer protection. For those considering a reverse mortgage, it’s important to understand these key protections:

  1. Mandatory HUD-Approved Counseling — Washington requires all reverse mortgage applicants to complete a HUD-approved counseling session and provide a signed certificate to their lender. This step ensures that borrowers fully understand the loan’s structure, benefits, and potential alternatives.
  2. Protection Against Tied Financial Products — Lenders in Washington are prohibited from requiring borrowers to purchase additional financial products, such as annuities, as a condition of obtaining a reverse mortgage. This ensures a fair and transparent loan process.
  3. Clear Tax and Insurance Responsibilities — Borrowers remain responsible for paying property taxes, homeowners insurance, and home maintenance costs. Lenders are required to notify borrowers of these ongoing obligations to prevent foreclosure.
  4. Cooling-Off Period — Washington law includes a mandatory waiting period before finalizing a reverse mortgage. This ensures borrowers have time to carefully review their decision and consult with family or advisors if needed.
  5. Licensed Loan Originators — All reverse mortgage lenders in Washington must be properly licensed and meet the state’s standards for professionalism and transparency. This helps ensure that borrowers work with trustworthy and experienced professionals.
  6. Consumer Protections for Foreclosure Prevention — Washington has strong foreclosure prevention laws that require lenders to provide clear communication and offer resources for borrowers facing financial difficulties. These protections help borrowers navigate challenges and avoid unnecessary foreclosure.

Washington State Reverse Mortgage FAQs

Q.

Will a reverse mortgage affect my Senior Citizen Property Tax Exemption or Deferral Program benefits?

No, getting a reverse mortgage on your home will have no bearing on your property tax exemption. The Washington State Property Tax Exemption for Senior Citizens and People with Disabilities freezes the home’s taxable value on a rolling two-year cycle. The loan you have on your property has no bearing on this program. Tax exemptions are permitted with reverse mortgage loans because they are not deferrals but, in fact, true exemptions that reduce your tax burden. Tax deferrals are not permitted when you have a reverse mortgage loan, as you must pay your taxes as they come due to keep your loan in good standing. If your taxes are deferred, you must eliminate the deferral and pay the deferred taxes with the reverse mortgage loan proceeds in order to get the loan.
Q.

Does Washington charge income tax on reverse mortgage proceeds?

A reverse mortgage is a loan, and the proceeds received from a reverse mortgage are borrowed funds. Borrowed funds are generally not taxable, but you should always consult your tax advisor.
Q.

How does a reverse mortgage affect Apple Health (Medicaid) eligibility in Washington?

Having a reverse mortgage loan on your home in and of itself does not usually affect your eligibility for Apple Health. It is our understanding that Apple Health eligibility is determined by a person’s household income and available bank account assets. Funds available to you in your reverse mortgage line of credit should not be factored into that equation. However, if you advance funds from a reverse mortgage loan to your bank account and leave the funds there, there is a possibility you could compromise your eligibility. It is important to consult with an elder law attorney before getting a reverse mortgage if you’re receiving or planning to apply for Apple Health.
Q.

Does my spouse need to sign the reverse mortgage documents in Washington?

Yes. Whenever you apply for a reverse mortgage loan, your spouse must be involved, whether they are a borrower or not. Even when your spouse is a non-borrowing spouse, they must still attend the counseling and sign specific documents acknowledging your reverse mortgage loan and what their rights are, if any, as a non-borrowing spouse.
Q.

Can I place my reverse mortgage in my living trust in Washington?

Short answer is maybe. Unlike traditional or “forward” mortgages, reverse mortgage loans may be closed in the name of the trust. It is a common practice in the traditional lending space to ask homeowners with a trust to transfer title out of the trust to close on their new loan, then require them to transfer title back into the trust after their loan is consummated, causing hassle and additional costs for the homeowner. Reverse mortgage loans do not permit the transfer of property title after the loan is made without first obtaining approval from the loan servicer. In order to keep the property in the trust, the full trust itself must be reviewed (excluding the advanced health care directives, Powers of Attorney (unless being used for an incapacitated borrower), Last Will and Testament, as they are not necessary) to determine that the trust meets the FHA program guidelines. In our experience, the overwhelming majority of standard revocable family trusts meet the requirements, but until the full trust is reviewed, we, as a lender, cannot advise whether your trust is eligible.
Q.

Are there different age requirements for reverse mortgages in Washington?

Yes, there is. The Federally-insured Home Equity Conversion Mortgage (HECM) requires that you be at least 62 years old in order to be a borrower on a reverse mortgage loan. For Proprietary or “Jumbo” reverse mortgage programs, the minimum age required in Washington state as of February 2026 is 60. Many states have different requirements on what they permit regarding the minimum age for a reverse mortgage loan and these same Proprietary/Jumbo products do in fact go as low as 55 years old in many states, but Washington is not one of those states at this time.
Q.

What counseling is required in Washington?

Reverse Mortgage Counseling is mandatory for all borrowers and their spouses for all reverse mortgage programs. Whether you are doing a HECM loan or a Proprietary loan, counseling will always be required. The Department of Housing and Urban Development (HUD) approves counseling agencies to offer counseling on the HECM program, and individual lenders set their own lists of approved agencies authorized to conduct counseling for those Proprietary programs. Not all HECM counseling agencies are approved for these Proprietary programs, but there is some overlap where a HUD-approved counseling agency for HECM is also approved for a specific Proprietary product.
Q.

What consumer protections does Washington provide for reverse mortgage borrowers?

Washington state law has a multitude of consumer protections in place for reverse mortgage borrowers. The state adopted the HUD counseling protocols mandating counseling for all borrowers, they prohibit lenders from tying loans to other financial products like annuities, and they have several requirements for clear disclosures regarding taxes, insurance and maintenance responsibilities, rights to choose their own insurance provider, and how a reverse mortgage is a complex financial transaction and the importance of understanding the terms and consulting trusted advisors when necessary.
Q.

If I have a reverse mortgage and move to assisted living, what happens?

When you have a reverse mortgage loan the property must be your primary residence. Additionally, you cannot be out of your home for 12 consecutive months for any reason. However, temporary absences are permitted and if you are going to have a temporary absence of more than 60 consecutive days you need to communicate that to your loan servicer along with your plan you have in place to ensure that the home is cared for during your absence. If you need to move to an assisted living facility for a short-term scenario to rehab a surgery for example, and were only going to be gone for 2-3 months, that would be allowed as long as you communicated with your servicing as noted above. If a permanent move out of your home to long-term assisted living is going to be necessary, then you will need to pay off the reverse mortgage loan. That can be accomplished by selling the home, refinancing to another type of loan or using cash on hand or other liquid assets to pay it off in full. You never want to move out of the home permanently without dealing with the reverse mortgage first.
Q.

Can I make voluntary payments on my reverse mortgage in Washington?

Yes, you can make voluntary partial repayments or repayment in full at any time. By law, reverse mortgage loans do not have any prepayment penalties and can be paid off at any time for any reason. Some borrowers even make voluntary repayments for a period of time to preserve more equity in their home or to increase their available line of credit.
Q.

Can I rent out a room in my home if I have a reverse mortgage?

Yes, you can rent out a room or even multiple rooms as long as you continue to live in the home as your primary residence. The entirety of the property cannot be rented. For example, if you have a 3 bedroom home, it is permissible to rent out two of the bedrooms so long as you reside in the 3rd. Additionally, if your property has an Accessory Dwelling Unit (ADU) or in-law’s quarters, you are not permitted to reside in that structure and must live in the main home. In the current Washington housing market, it is becoming more and more common for senior homeowners to rent out a room or two to supplement their income.
Q.

How does a reverse mortgage compare to a Home Equity Line of Credit (HELOC) in Washington?

Key differences:

Feature Reverse Mortgage HELOC
Monthly payments None required Required (interest + principal)
Age requirement 62+ Any age (18+)
Income verification Yes (financial assessment) Yes (strict debt-to-income)
Upfront costs High ($20K–$30K) Low ($0–$500)
Best for Eliminating payments, long-term cash flow Short-term needs, renovations
Q.

Can I use reverse mortgage proceeds to pay off debt?

Reverse mortgage proceeds can be used for any legal purpose you see fit, so you can definitely use the proceeds you receive from a reverse mortgage to pay off debt including credit card balances. However, if you are likely to run up the credit card balances again after paying them off, you’ve actually made your situation worse, not better. If the reverse mortgage can provide you with a long-term sustainable solution that would eliminate your credit card balances and provide you with the resources to avoid running them up again, then it could be a good option to consider.

HUD-Approved Reverse Mortgage Counseling Agencies in Washington

NameAgency IDAddressPhoneWeb Site
AMERICAN FINANCIAL SOLUTIONS84617500 Pacific Avenue, BREMERTON, Washington, 98337-1944(888) 864-8699myfinancialgoals.org
CREDIT.ORG - SEATTLE BRANCH90590450 Alaskan Way S, Seattle, Washington, 98104-3387(509) 581-4927credit.org
KOREAN COMMUNITY SERVICE CENTER OF GREATER WASHINGTON803707700 Little River Tpke Ste 406, Annandale, Washington, 22003-2406(703) 354-6345kcscgw.org
URBAN LEAGUE OF METROPOLITAN SEATTLE80415105 14th Ave Ste 200, Seattle, Washington, 98122-7308(206) 461-3792urbanleague.org
The information presented in this table was obtained from the U.S. Department of Housing and Urban Development (HUD) at https://answers.hud.gov/housingcounseling as of January 23, 2026.

Did you know? Washington does not mandate in-person counseling. Visit our counseling page for a list of phone-based counseling agencies and conduct your required counseling from the comfort of your home.

Ready to Unlock Your Home’s Equity?

As Washington’s #1 Rated Reverse Mortgage Lender, All Reverse Mortgage, Inc. (ARLO™) is here to provide trusted guidance, real-time rates, and expert support to help you make informed decisions.

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All Reverse Mortgage, Inc. is fully licensed by the Washington State Department of Financial Institutions (License #CL-13999), ensuring that you receive expert guidance every step of the way.

Get Your Reverse Mortgage Quote from Washington’s #1 Rated Reverse Mortgage Lender* or call (800) 565-1722 to speak with a licensed expert.

Other Areas of Interest in Washington

Bainbridge Island Bellevue Bellingham Camano Island Edmonds Everett Federal Way Kennewick Kent Kirkland Marysville Monroe Olympia Port Orchard Renton Seattle Snohomish Sequim Spokane Tacoma Vancouver

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