Question 1

How much in assets do I need to qualify?

Accepted Answer

It depends on the loan amount you want. Divide your desired monthly payment by 0.00278 to estimate required assets. For a $3,000 payment, you'd need roughly $1,080,000 in qualifying assets.

Question 2

Can I use my primary residence equity as assets?

Accepted Answer

Real estate equity generally doesn't qualify unless you sell and convert it to liquid assets. Lenders want checking accounts, retirement funds, stocks, bonds, and similar investments that can be verified and valued.

Question 3

Do I have to liquidate my retirement accounts?

Accepted Answer

No, accounts remain invested. Lenders verify balances and calculate theoretical income from those assets. You don't withdraw or change your investment strategy.

Question 4

How do lenders verify asset values?

Accepted Answer

You'll provide recent statements (usually 60-90 days) from financial institutions. Some lenders accept summary letters from account custodians. Values are typically averaged over the statement period.

Question 5

Can I combine this with other income sources?

Accepted Answer

Yes, many borrowers add Social Security, pensions, or rental income to asset-based calculations. This combination can lower the required asset amount or improve your debt-to-income ratio significantly.

Asset Depletion Loans in Brentwood: Qualify With Your Wealth, Not Your Paycheck