Question 1

How much in assets do I need for a Novato home purchase?

Accepted Answer

Most programs require minimum $500,000 in liquid assets, though successful applications in Marin County typically show $1-3 million depending on purchase price and down payment amount.

Question 2

Can I use retirement accounts to qualify for asset depletion loans?

Accepted Answer

Yes, IRAs and 401(k)s qualify as long as they're accessible. Some lenders apply penalties to the calculation since early withdrawal incurs taxes and fees.

Question 3

What interest rates should I expect on asset depletion loans?

Accepted Answer

Rates vary by borrower profile and market conditions. Expect pricing 1-2 percentage points above conventional rates, with exact terms depending on credit score, down payment, and asset strength.

Question 4

Do I need to liquidate my assets to get this loan?

Accepted Answer

No, assets remain in your accounts. Lenders use account balances to calculate qualifying income but don't require you to convert investments to cash.

Question 5

How long does asset depletion loan approval take in Novato?

Accepted Answer

Expect 30-45 days from application to closing. The process mirrors conventional loans with property appraisal, title work, and underwriting, though income verification differs significantly.

Asset Depletion Loans in Novato: Qualify Without Traditional Income Verification