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San Diego County just completed its biggest year of low-income housing construction in nearly 40 years. That momentum reflects broader demand across the region as buyers compete for homes near the $1,104,000 conforming limit.
Asset Depletion Loans let borrowers count retirement savings and investment accounts as income. This matters in San Diego where the county's median household income of $102,285 stretches across a competitive market.
620+
Minimum FICO Score
10% to 20%
Down Payment Range
30 to 45 days
Typical Closing Time
$300,000+
Minimum Liquid Assets
Asset Depletion Loans in San Diego
Asset Depletion Loans typically require a 620+ FICO score and 10% to 20% down. The program counts liquid assets divided by a 360-month period as qualifying income, opening doors for retirees and semi-retired buyers.
San Diego's county median household income of $102,285 buys a modest home outright or a solid down payment on a $600,000 purchase. Asset Depletion lets buyers with lower W-2 income but substantial savings compete in this market.
Asset Depletion Loans are offered by portfolio lenders and some credit unions, not Fannie Mae or Freddie Mac. Underwriting focuses on liquid assets and credit history rather than employment verification.
Closing timelines run 30 to 45 days for Asset Depletion programs. Documentation is heavier than conventional loans because the lender must verify account statements and asset ownership.
Asset Depletion Loans make sense in San Diego for retirees with $300,000+ in liquid assets but minimal Social Security or pension income. The program lets you tap savings without selling investments or triggering capital gains.
Above the $1,104,000 conforming limit, jumbo lenders offer similar asset-based programs with tighter reserves. Below that, Asset Depletion fills a real gap for buyers conventional underwriting rejects.
Conventional loans demand W-2 income or recent self-employment tax returns. Asset Depletion Loans skip that requirement and count your savings as income instead.
FHA loans require a 580+ FICO and 3.5% down but demand mortgage insurance for life if you put less than 10% down. Asset Depletion typically needs 10% to 20% down with no mortgage insurance at all.
Galū Cafe, a popular Chula Vista spot, is opening a sister location in City Heights this fall. That kind of neighborhood investment signals growing demand and property appreciation in emerging San Diego neighborhoods.
San Diego is seeking exemptions to state law requiring high-rise housing near transit stops. Buyers should monitor how zoning changes affect supply and long-term neighborhood character in the coming years.
Yes. Asset Depletion Loans count retirement savings and investment accounts as income. You'll need 2-3 months of bank statements and a 620+ FICO score.
Most lenders want $300,000 or more in accessible savings. The exact amount depends on the purchase price and down payment you're planning.
No. With 10% to 20% down, you skip mortgage insurance entirely. That's a real advantage over FHA loans, which carry insurance for life if you put down less than 10%.
10% to 20% down is standard. Some lenders go as low as 10% with strong liquid reserves and good credit.
Plan on 30 to 45 days. Documentation is heavier because the lender verifies account statements and asset ownership directly.