Financing a 55+ Community Home in the Coachella Valley

I’m Michael DiVita — DRE #01372066 | NMLS #241655, DiVita Home Finance (DRE #01818285 | NMLS #323700), Tiburon, CA. I’ve been in California mortgage lending since 2000 and founded DiVita Home Finance in 2007. Call (800) 239-1103.

The Coachella Valley is one of California’s premier retirement destinations — and for buyers 55 and older, the desert offers an extraordinary combination of weather, lifestyle, and value that’s hard to match anywhere else in the state. From the gates of Sun City Palm Desert to the tennis courts of Rancho Mirage’s gated estates, active adult communities throughout the valley are drawing retirees from across California and beyond.

But financing a home in a 55+ community has specific considerations that differ from standard mortgages. Here’s what every active adult buyer needs to know.

Popular 55+ Communities in the Coachella Valley

• Sun City Palm Desert: Del Webb’s flagship desert community, 4,000+ homes, golf, clubhouse, sports facilities. Mid-range pricing, strong resale market.
• Sun City Shadow Hills (Indio): Del Webb’s newer sister community, two golf courses, resort amenities, lower entry price than Sun City PD.
• Heritage Palms (Indio): Affordable active adult community with golf and clubhouse; excellent value for first-time 55+ buyers.
• Trilogy at La Quinta: Premium active adult community in La Quinta, Shea Homes development with resort amenities.
• Marrakesh Country Club (Palm Desert): Distinctive Moroccan-themed community with stunning mid-century modern common areas.
• The Springs Country Club (Rancho Mirage): Luxury gated community with golf, pickleball, and some of the valley’s most beautiful homes.
• Sunrise Country Club (Rancho Mirage): Active, popular 55+ community with excellent social scene and mid-range pricing.

Can You Get a Mortgage in a 55+ Community?

Absolutely — and often with the same programs available to buyers of any age. Age-restricted communities are legal under the Fair Housing Act’s “55+” community exemption, and there is no restriction on what mortgage programs you can use to purchase in them.

FHA, conventional, VA, and jumbo loans are all available for purchases in qualifying 55+ communities. The community’s HOA documents and CC&Rs simply confirm the age restriction.

Key Mortgage Considerations for Retirement Home Buyers

Income Qualification on Fixed or Retirement Income

The biggest mortgage challenge for many retirees is income documentation. Lenders want to see stable, recurring income — and for retirees, this often looks different than a traditional W-2 employee. Sources we regularly use to qualify retired buyers include:

• Social Security benefits (grossed up 125% for FHA/conventional qualifying in many cases)
• Pension and retirement income distributions
• IRA and 401(k) distributions (documented and ongoing)
• Investment and dividend income
• Asset depletion — using total assets to calculate a monthly “income” for qualifying purposes

Asset depletion is particularly powerful for retirees with significant assets but modest monthly income. We divide eligible assets over a set number of months to create qualifying income. This is a legitimate and commonly used strategy for high-net-worth retirees.

HOA Fees and Total Payment

55+ communities typically have significant HOA fees — $300–$800/month is common in the Coachella Valley — that cover golf, pools, tennis, fitness centers, and community maintenance. These fees are factored into your debt-to-income ratio, so they affect how much home you can qualify for. We factor HOAs in from the start to make sure your pre-approval is accurate.

Leased Land in 55+ Communities

Some Coachella Valley active adult communities include properties on Indian leased land. This is not a problem — we finance leased land purchases regularly throughout the valley. The key is verifying the remaining lease term is sufficient for your desired loan term. See our complete leased land mortgage guide for details.

Downsizing and Asset Optimization

Many active adult buyers in the Coachella Valley are simultaneously selling their primary home and relocating to the desert. We help coordinate timing, bridge financing when needed, and optimize how to structure your desert purchase relative to the sale of your previous home.

Why the Coachella Valley for Retirement?

California retirees consistently choose the Coachella Valley for the same reasons: 300+ days of sunshine per year, a world-class golf and tennis scene, proximity to world-class healthcare (Desert Regional, Eisenhower Health, and other major facilities), easy airport access through Palm Springs International, and a community of active peers in every 55+ development.

Costs are also meaningfully lower than coastal California, while you remain close enough for family visits and cultural resources in LA, San Diego, or the Bay Area.

Start Your Desert Retirement Mortgage Today

DiVita Home Finance helps active adult buyers throughout the Coachella Valley find the right program for their retirement lifestyle and financial situation. Whether you’re buying your first desert home or your forever home, call us at 800-239-1103 or apply online today.

Related Resources

• Coachella Valley Mortgage Broker
• Palm Springs Mortgage Specialists
• Vacation Home Mortgage Palm Springs
• California Reverse Mortgage — No Monthly Payments
• Palm Springs Leased Land Mortgage