Reverse Mortgages in Washington

Washington State’s rapidly appreciating home values — particularly in the Puget Sound region — have created significant equity positions for many senior homeowners. For families exploring how to access that equity, reverse mortgages are an increasingly relevant option.

Washington Property Tax Programs for Seniors

• Senior/Disabled Exemption: Washington offers a property tax exemption for seniors (61+) and disabled individuals with limited income. The exemption varies by county and may cover up to $40,000–$60,000 of the home’s assessed value.
• Property Tax Deferral Program: Washington allows seniors (61+) and disabled homeowners to defer property taxes. The deferred amount is repaid when the home is sold or the homeowner passes away.
• Real Estate Excise Tax (REET): When selling a home in Washington, sellers should be aware of the state’s real estate excise tax, which varies by county and sale price.

What Washington Families Should Know

• Puget Sound area home values have appreciated significantly, creating large equity positions
• Washington’s property tax deferral program can complement a reverse mortgage strategy
• High home values may mean the HECM lending limit ($1,149,825) applies, potentially limiting borrowing on premium properties
• Washington has no state income tax, which can benefit seniors on fixed income