Whether you’re buying in Seattle’s competitive market, settling into a Tacoma community near Joint Base Lewis-McChord, purchasing near Naval Air Station Whidbey Island, building equity in a Spokane neighborhood near Fairchild Air Force Base, or finding your place in one of Washington’s extraordinary range of communities — from Puget Sound waterfront to Eastern Washington’s wheat country — understanding your home loan options is the first step toward making a smart financial decision. The Bookspan Baker Team at Keepsake Loans is licensed to serve Washington buyers statewide.
Washington’s mortgage landscape is defined by two distinct markets: the Seattle metro’s three high-cost counties — King, Pierce, and Snohomish — where the conforming and FHA limit is $1,063,750, and the rest of Washington’s 36 counties following the $832,750 national baseline. Washington has no state income tax of any kind — military retirement pay, wages, pension income, investment income — everything is tax-free at the state level, making it one of the most financially favorable states in the country for military retirees and high earners alike. Joint Base Lewis-McChord is the only Army power projection base west of the Rocky Mountains in the continental US. And the Washington State Housing Finance Commission (WSHFC) administers the state’s primary DPA programs, including a landmark Covenant Homeownership Program that is the first of its kind in the nation.
$832,750 in most counties; $1,063,750 in King, Pierce, and Snohomish counties.
$541,287 in most counties; $1,063,750 in King, Pierce, and Snohomish counties.
Zero down for eligible veterans near JBLM, Naval Base Kitsap, NAS Whidbey Island, Fairchild AFB, and Washington’s 8 major installations. No state income tax — military retirement pay is 100% tax-free at the state level.
Above $1,063,750 in the Seattle metro; above $832,750 elsewhere. Bellevue, Mercer Island, Medina, Bainbridge Island, and San Juan Islands regularly require Jumbo.
Lower your rate, shorten your term, or access your home’s equity.
WSHFC Home Advantage DPA (3–5%, 0% interest, 30-year deferred), Veterans DPA ($10,000), HomeChoice ($15,000 for disability), Covenant Homeownership (nation’s first Special Purpose Credit Program). Local programs: Tacoma $60K, Clark County $60K.
King, Pierce, and Snohomish counties carry the $1,063,750 high-cost limit. All other 36 Washington counties follow the $832,750 national baseline. WSHFC HFA Advantage conventional products pair with the Home Advantage DPA for eligible buyers.
King, Pierce, and Snohomish counties carry the $1,063,750 FHA limit — giving first-time buyers access at prices unavailable through FHA almost anywhere else. Most other Washington counties follow the $541,287 floor. Pairs with WSHFC Home Advantage DPA.
No state income tax — military retirement pay is completely tax-free. JBLM is the only Army power projection base west of the Rocky Mountains, with a population of approximately 210,000 (4th largest military installation worldwide). Naval Base Kitsap hosts the nation’s largest nuclear weapons depot. NAS Whidbey Island is the Navy’s EA-18G Growler center.
Bellevue, Medina, Yarrow Point, Mercer Island, Kirkland lakefront, and premium Seattle neighborhoods regularly require Jumbo above the $1,063,750 King County ceiling. San Juan Islands and Bainbridge Island follow the $832,750 baseline.
Seattle metro homeowners have built meaningful equity through sustained tech-sector-driven appreciation. No state income tax means equity accessed flows without additional state-level burden.
WSHFC Home Advantage DPA: 3–5% of the first mortgage, 0% interest, 30-year deferred — available to repeat buyers as well as first-time buyers. Veterans DPA: $10,000 deferred. HomeChoice: $15,000 for disability. Covenant Homeownership: the nation’s first Special Purpose Credit Program for communities affected by historical housing discrimination. Local programs: Tacoma $60K, Clark County $60K.
For Puget Sound seniors with long-held home equity, self-employed Amazon and Microsoft professionals and Boeing engineers, and investors targeting Leavenworth’s acclaimed Bavarian village STR or the San Juan Islands, specialty programs often fit better than standard financing.
$1,063,750 — the high-cost limit for Washington’s Seattle metro three counties. All other Washington counties follow the $832,750 national baseline.
No. Washington has no state income tax of any kind. Military
retirement pay, wages, pension income, investment income — all income is completely tax-free at the state level.
Yes. WSHFC’s Home Advantage DPA provides 3–5% of the first mortgage at 0% interest, deferred 30 years. The Veterans DPA provides $10,000. HomeChoice provides $15,000 for disabled buyers. The Covenant Homeownership Program is the nation’s first Special Purpose Credit Program addressing historical housing discrimination. Local programs in Tacoma and Clark County provide up to $60,000.
Exceptional. No state income tax — military retirement pay is completely tax-free. JBLM is the only Army power projection base west of the Rocky Mountains. Naval Base Kitsap hosts the nation’s largest nuclear weapons depot. NAS Whidbey Island is the Navy’s EA-18G Growler center. 120,000+ military retirees in the JBLM area alone.
