Question 1

What counts as a liquid asset for this loan?

Accepted Answer

Checking, savings, brokerage, and retirement accounts typically qualify. Real estate equity and illiquid business assets usually do not.

Question 2

What credit score do I need?

Accepted Answer

Most lenders want 680 or higher for asset depletion loans. Lower scores mean fewer options and higher rates. Rates vary by borrower profile and market conditions.

Question 3

Can I use my IRA or 401k?

Accepted Answer

Yes, but most lenders apply a 70% haircut to retirement accounts. A $1M IRA counts as roughly $700K in qualifying assets.

Question 4

How much do I need to put down in Salinas?

Accepted Answer

Expect 20–30% down on most asset depletion programs. Higher down payments often unlock better rates and terms.

Question 5

Is this the same as a no-income loan?

Accepted Answer

Not exactly. Your assets are converted into calculated monthly income. Lenders still underwrite that income figure carefully.

Question 6

Why use a broker for this loan type?

Accepted Answer

Asset depletion is a niche non-QM product. One lender's formula may yield twice the qualifying income of another's. Shopping matters.

Asset Depletion Loans in Salinas, CA