Reverse Mortgages in Beverly Hills, Malibu and the Westside
In Beverly Hills, Malibu, San Marino, Palos Verdes Estates, Manhattan Beach and La Cañada Flintridge, the median home value now exceeds $2 million, well past the $1,249,125 FHA cap for 2026. Homeowners in these communities are the clearest jumbo candidates in Southern California: the HECM would ignore most of their equity, and a proprietary program counts all of it. Roughly 26,000 owner-occupied households aged 62 and older sit in these six cities alone.
The Numbers, City by City
Owner-occupied households aged 62 and older, with median home value, from the Census Bureau's American Community Survey:
- Beverly Hills: 3,881 households, median value above $2 million
- Manhattan Beach: 4,584 households, median value above $2 million
- La Cañada Flintridge: 4,309 households, median value above $2 million
- Palos Verdes Estates: 3,849 households, median value above $2 million
- San Marino: 2,711 households, median value above $2 million
- Malibu: 2,614 households, median value above $2 million
Why the Cap Bites Hardest Here
The FHA lending limit is a single national number. It does not adjust for Los Angeles, and it does not adjust for a canyon lot in Malibu.
So a homeowner on Roxbury Drive and a homeowner in Bakersfield with a $1.25 million house receive the same HECM offer. One of them is leaving most of their equity on the table.
The Long-Tenure Pattern
These are not communities of recent buyers. Many owners here bought in the 1970s and 1980s, hold Proposition 13 assessments a fraction of current value, and have long since paid the mortgage off.
That combination, very high equity and very low carrying cost, is the profile jumbo reverse mortgages were designed around.
What to Watch For on the Westside
- Trust ownership. Homes held in a living trust are common here and workable, but the paperwork has to be right.
- Non-conforming and hillside lots. Appraisal matters more when there are few comparable sales.
- Fire insurance in Malibu and the canyons. Insurance must be in place and maintained. In some areas that has become the hardest part of the file.