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Auburn attracts retirees and high-net-worth buyers who hold significant wealth in portfolios, not paychecks. Asset depletion loans were built for exactly this profile.
Placer County draws buyers relocating from the Bay Area — often with liquid assets far exceeding what a W-2 could show. Traditional income docs often fail these borrowers completely.
Typically 680+
Min Credit Score
60–84 months
Asset Term Used
None required
Income Docs Needed
20–30%
Typical Down Payment
60 days minimum
Asset Seasoning
Asset Depletion Loans in Auburn
Lenders divide your eligible liquid assets by a set number of months — typically 60 to 84 — to calculate a monthly income figure. That number replaces your pay stub.
Qualifying assets usually include checking, savings, brokerage accounts, and vested retirement funds. Real estate equity and business assets rarely count.
Local decision guide
Use this guide to connect asset depletion loans eligibility, lender expectations, and local market factors before comparing payment options in Auburn.
Auburn attracts retirees and high-net-worth buyers who hold significant wealth in portfolios, not paychecks. Asset depletion loans were built for exactly this profile.
Placer County draws buyers relocating from the Bay Area — often with liquid assets far exceeding what a W-2 could show. Traditional income docs often fail these borrowers completely.
Lenders divide your eligible liquid assets by a set number of months — typically 60 to 84 — to calculate a monthly income figure. That number replaces your pay stub.
Asset depletion is a non-QM product. Most retail banks don't offer it. You need a broker with access to wholesale non-QM lenders to find real options.
Guidelines vary sharply by lender. One lender may haircut your IRA by 30%. Another may count it at full value. Comparing those terms matters enormously on large portfolios.
The most common mistake I see: borrowers liquidate assets to show cash, then don't have enough left to qualify. Keep accounts intact through closing.
Asset seasoning matters too. Most lenders want assets documented for at least 60 days. A large recent deposit without a paper trail will raise underwriter flags fast.
Bank statement loans work better if you still run a business with cash flow. Asset depletion fits borrowers who've stepped away from active income entirely.
DSCR loans make sense for investment properties with rental income. Asset depletion is the right call when the property is a primary residence and income simply doesn't exist on paper.
Auburn's Old Town and surrounding foothills attract buyers who sold Bay Area homes and are sitting on $1M+ in liquid proceeds. Asset depletion is often the only qualifying path.
Placer County has no FHA or conforming loan limit issue at most price points here. But non-QM pricing does carry rate premiums over conventional. Plan for that in your budget.
Checking, savings, brokerage, and vested retirement accounts typically qualify. Business assets and real estate equity usually don't count.
No earned income is required. The lender treats your asset drawdown calculation as your qualifying monthly income.
Lenders divide eligible assets by a term — often 60 to 84 months. A $1.2M portfolio divided by 60 equals $20,000/month in qualifying income.
Yes. Asset depletion is commonly used for primary residences. It's one of the few non-QM products that works well for owner-occupied purchases.
Most lenders require 60 days of account statements showing the funds. Large recent deposits without sourcing documentation create underwriting problems.
Yes. Non-QM products like asset depletion carry rate premiums over conventional loans. Rates vary by borrower profile and market conditions.