Question 1

Can I use retirement accounts for asset depletion qualification?

Accepted Answer

Most lenders count 70-100% of IRA and 401(k) balances depending on program. Early withdrawal penalties get factored into the calculation, reducing the qualifying amount but not eliminating it.

Question 2

What counts as liquid assets for this loan?

Accepted Answer

Checking, savings, stocks, bonds, money markets, and mutual funds typically qualify at full value. Retirement accounts count at reduced percentages. Real estate equity and business ownership interests don't count.

Question 3

How much higher are rates compared to conventional loans?

Accepted Answer

Expect 1.5-3% above conventional rates as of February 2026. Asset depletion sits in non-QM territory, carrying higher pricing due to increased lender risk and secondary market factors.

Question 4

Do I pay taxes when lenders verify my asset accounts?

Accepted Answer

Account verification doesn't trigger tax events. Lenders review statements to confirm balances exist—you don't withdraw or liquidate anything during the loan process unless you choose to for down payment funds.

Question 5

Can I combine asset depletion with other income sources?

Accepted Answer

Yes, lenders can blend asset depletion income with Social Security, pensions, or rental income. This hybrid approach sometimes gets you better rates than pure asset depletion alone.

Asset Depletion Loans in Greenfield: Qualify Using Your Savings, Not W-2s