Question 1

What assets qualify for an asset depletion loan?

Accepted Answer

Cash, savings, and taxable brokerage accounts typically qualify at full value. Retirement accounts often qualify at 60-70% of their balance.

Question 2

Can I use this loan for a second home in Yountville?

Accepted Answer

Yes. Asset depletion loans work for primary residences, second homes, and investment properties. Terms may differ by property type.

Question 3

Do I need to actually withdraw from my assets?

Accepted Answer

No. The lender uses your asset balance to calculate qualifying income. You don't have to liquidate anything to close the loan.

Question 4

How does the monthly income calculation work?

Accepted Answer

Lenders divide eligible assets by a set term — often 60 to 360 months. That figure becomes your qualifying monthly income.

Question 5

Is an asset depletion loan harder to get than a conventional loan?

Accepted Answer

It requires strong credit and a larger down payment. But for borrowers with significant assets and low reported income, it's often the only path to approval.

Asset Depletion Loans in Yountville, CA