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Blue Lake sits in Humboldt County, where the Great Redwood Trail master plan is reshaping regional recreation and connectivity. The county's median household income of $61,135 stretches across a quieter market than coastal California, making homeownership...
Asset Depletion Loans let you count retirement savings as income when W-2 wages fall short. This matters in Blue Lake, where many buyers are transitioning into retirement and have accumulated assets but limited ongoing employment income.
620
Minimum FICO
10% to 20%
Down Payment Range
45–60 days
Closing Timeline
0.5% to 1%
Rate Premium vs. Conventional
$61,135
County Median Income
Asset Depletion Loans in Blue Lake
Asset Depletion Loans typically require a 620+ FICO score and 10% to 20% down payment. The lender divides your liquid retirement assets by 360 months to create qualifying income.
Humboldt County's median household income of $61,135 means a typical Blue Lake buyer earns around $5,095 monthly. Asset Depletion bridges the gap when retirement savings exceed W-2 income.
Local decision guide
Use this guide to connect asset depletion loans eligibility, lender expectations, and local market factors before comparing payment options in Blue Lake.
Blue Lake sits in Humboldt County, where the Great Redwood Trail master plan is reshaping regional recreation and connectivity. The county's median household income of $61,135 stretches across a quieter market than coastal California, making homeownership...
Asset Depletion Loans let you count retirement savings as income when W-2 wages fall short. This matters in Blue Lake, where many buyers are transitioning into retirement and have accumulated assets but limited ongoing employment income.
Asset Depletion Loans typically require a 620+ FICO score and 10% to 20% down payment. The lender divides your liquid retirement assets by 360 months to create qualifying income.
Asset Depletion Loans are a niche product. Most major retail lenders don't offer them; portfolio lenders and credit unions dominate this space.
Underwriting takes 45 to 60 days because asset verification is thorough. The lender needs recent statements, proof of account ownership, and sometimes a letter from your financial advisor.
Asset Depletion Loans make sense in Blue Lake for retirees with substantial savings but little W-2 income. The county's $61,135 median income is modest, but a retiree with $400,000 in liquid assets qualifies easily.
The trade-off is rate and timeline. Asset Depletion rates run 0.5% to 1% higher than conventional, and closing takes 8–10 weeks instead of 3–4. For a buyer who has time and strong assets, the higher rate is worth the approval certainty.
Conventional loans require ongoing W-2 income and typically deny retirees living on savings alone. Asset Depletion counts your nest egg as income, so a buyer with $300,000 in retirement accounts qualifies even if they earn nothing from employment.
FHA loans also work for retirees but require mortgage insurance for life if down payment is under 10%. Asset Depletion avoids that lifetime cost.
Godwit Days Spring Migration Bird Festival returns April 16–19 for its 30th year. Blue Lake's location on the Eel River makes it a birding and outdoor recreation hub.
Humboldt County Trades Day showcases vocational pathways for younger family members. If you're a retiree buying to be near grandchildren or adult children in the trades, Blue Lake's proximity to regional job centers matters.
Lenders divide your liquid retirement assets by 360 months. A $300,000 account becomes $833 monthly qualifying income. Bank statements, brokerage accounts, and IRAs all count. The lender verifies ownership and liquidity before approval.
Yes — most lenders accept IRAs and 401(k)s, but they may apply a haircut (10–20% reduction) to account for tax liability. A $100,000 IRA might count as $80,000–$90,000 qualifying assets. Ask your lender about their specific policy.
Most lenders require 620+ FICO. Some portfolio lenders go as low as 600 with strong assets and a larger down payment. The higher your FICO, the better your rate and terms.
Plan on 45–60 days. Asset verification is thorough — the lender needs recent statements and proof of account ownership. Conventional loans close in 3–4 weeks, so budget extra time.
Yes — Asset Depletion rates typically run 0.5% to 1% higher than conventional. The premium reflects the specialty nature of the product and longer underwriting. Over a 15-year loan, the lifetime PMI savings often offset the rate cost.