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Sacramento's Aggie Square innovation district continues expanding with tech tenants like IntelliVasc, signaling long-term job growth. The county's median household income of $88,724 supports homes in the $550,000 to $700,000 range comfortably.
Rates available on application — no live pricing for this program at the time of generation. Asset depletion underwriting counts retirement savings, investment accounts, and pension income differently than traditional loans.
620
Minimum FICO
10% to 20%
Down Payment Range
$88,724
County Median Income
35–45 days
Closing Timeline
Asset depletion loans require a 620+ FICO score and typically 10% to 20% down. Lenders calculate your qualifying income by dividing liquid assets by 360 months — so $360,000 in savings counts as $1,000 monthly income.
Sacramento County's median household income of $88,724 translates to roughly $7,400 per month. A buyer with $400,000 in retirement accounts plus a $30,000 annual pension can qualify for a $600,000 purchase.
Asset depletion loans are offered by a smaller subset of California lenders than conventional or FHA products. Brokers typically source these through portfolio lenders or specialty non-QM shops that understand retirement income structures.
Most lenders require bank statements covering the last two months and a breakdown of liquid assets. Some require a letter from a financial advisor confirming asset ownership. Closing timelines run 35 to 45 days.
Asset depletion loans make sense in Sacramento when you have $300,000+ in liquid retirement savings but less than $60,000 in annual income. The county's median household income of $88,724 means most retirees fall below that threshold.
They don't pencil when you have strong W-2 income or a pension above $40,000 annually. Conventional rates run 0.25% to 0.5% lower, and underwriting is faster. If your income on paper qualifies you, skip asset depletion and go conventional.
Asset depletion loans versus conventional: conventional requires documented income (W-2, 1099, or pension statements) and typically runs 0.25% to 0.5% lower in rate.
Conventional closes faster and has more lender options. Asset depletion takes longer to underwrite but doesn't penalize you for being retired. Pick asset depletion if your income on paper doesn't qualify you but your assets do.
Sacramento's proposed half-cent sales tax for streets, sidewalks, and transit improvements signals infrastructure investment. Neighborhoods with better walkability and transit access hold value longer.
The county's 408 Distinguished Schools recognition shows strong education investment. Retirees buying near good schools often see steadier appreciation, even if they're not raising kids. Long-term stability matters when you're on a fixed income.
Lenders divide your liquid assets by 360 months. So $360,000 in savings counts as $1,000 monthly qualifying income. This method lets retirees with portfolios but low paychecks qualify for mortgages.
Yes. Lenders add your documented pension income to the income calculated from your assets. A $30,000 annual pension plus $400,000 in savings gives you roughly $4,100 monthly qualifying income.
Most lenders require 10% to 20% down. Some portfolio lenders go as low as 5% with strong assets and a 640+ FICO. Ask your broker what your specific lender allows.
Plan on 5 to 7 days longer than conventional. Lenders verify bank statements, investment accounts, and asset ownership in detail. Total closing timeline runs 35 to 45 days.
Some lenders require it; others don't. It depends on the lender and your asset structure. Ask upfront so you can gather documents before submitting your application.
Asset Depletion Loans in Sacramento