Question 1

What assets qualify for income calculation?

Accepted Answer

Checking, savings, brokerage, and retirement accounts typically qualify. Retirement accounts are usually counted at 60-70% of their value.

Question 2

Can I use this loan for a San Rafael second home?

Accepted Answer

Yes. Asset depletion works for primary residences and second homes. Investment properties usually require a DSCR loan instead.

Question 3

How long do assets need to be in my account?

Accepted Answer

Most lenders require 60-90 days of account history. Assets moved in recently often trigger additional scrutiny from underwriting.

Question 4

Do I need any income at all to qualify?

Accepted Answer

Not always. Some lenders qualify you entirely on assets. Others want at least nominal income to support the file.

Question 5

Are asset depletion rates higher than conventional rates?

Accepted Answer

Yes, typically. Non-QM pricing runs above conventional. Rates vary by borrower profile and market conditions.

Question 6

Can assets held in a trust count toward qualification?

Accepted Answer

Sometimes. The borrower usually needs to be a named trustee with distribution rights. Lender requirements differ significantly.

Asset Depletion Loans in San Rafael, CA