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Mountain House attracts retirees and investors who have significant assets but limited W-2 income. Asset depletion loans let you qualify based on your investment accounts, retirement funds, or cash reserves instead of employment documentation.
This loan type fits borrowers with portfolios built over decades who don't want to liquidate holdings for a cash purchase. Lenders calculate monthly income by dividing your liquid assets by the loan term, typically 240-360 months.
Recent product expansions now allow cryptocurrency holdings to count toward qualification when properly verified. This opens doors for tech-savvy buyers who've built wealth outside traditional markets.
Asset Depletion Loans in Mountain House
Most lenders require $500K-$1M in liquid assets minimum. They'll count stocks, bonds, mutual funds, 401(k)s, IRAs, and savings accounts. Real estate equity and business interests typically don't qualify.
Credit scores usually need to hit 680-700 minimum. Down payments range from 20-30% depending on property type and asset strength. Reserves beyond the depletion calculation strengthen your file.
Lenders apply a depletion factor between 60-100% of your assets depending on liquidity. Stocks might get 100%, retirement accounts 70% since there's a withdrawal penalty before age 59½.
Local decision guide
Use this guide to connect asset depletion loans eligibility, lender expectations, and local market factors before comparing payment options in Mountain House.
Mountain House attracts retirees and investors who have significant assets but limited W-2 income. Asset depletion loans let you qualify based on your investment accounts, retirement funds, or cash reserves instead of employment documentation.
This loan type fits borrowers with portfolios built over decades who don't want to liquidate holdings for a cash purchase. Lenders calculate monthly income by dividing your liquid assets by the loan term, typically 240-360 months.
Recent product expansions now allow cryptocurrency holdings to count toward qualification when properly verified. This opens doors for tech-savvy buyers who've built wealth outside traditional markets.
Asset depletion sits in the non-QM space, meaning fewer lenders offer it compared to conventional programs. Rates run 1-3% higher than agency loans as of February 2026, with pricing tightening on larger asset pools.
Each lender calculates depletion differently. Some use 240 months, others stretch to 360. A $2M portfolio divided over 240 months gives you $8,333 monthly income versus $5,555 over 360 months—that difference affects how much house you can buy.
We shop across wholesale lenders who price these loans competitively. Borrowers who come direct to portfolio lenders often pay 0.5-1% more in rate for the same profile.
Document everything before you apply. Lenders want two months of statements showing consistent balances, not accounts funded last week. Sudden deposits trigger questions that delay closing.
Don't drain accounts between pre-approval and closing. Lenders reverify balances at the wire table. A $200K withdrawal for a boat purchase can kill your loan even after clear-to-close.
Consider this if you're retired with a $2M Schwab account but only show $40K in Social Security income. Traditional lenders decline that file. Asset depletion turns it into an approval with room to spare.
Bank statement loans work better if you run income through business accounts but don't have deep investment reserves. Asset depletion requires larger portfolios but accepts fully passive income sources.
DSCR loans make sense for investor properties where rental income covers the payment. Asset depletion works for primary residences or when you want to avoid property income calculations entirely.
Foreign national programs overlap with asset depletion but add complexity around international documentation. US residents with US-based assets get cleaner approvals through standard asset depletion.
Mountain House is a master-planned community in San Joaquin County that saw rapid growth in the 2000s. Many buyers here are Bay Area transplants cashing out equity who want larger homes without commuting daily.
Retirees and semi-retired professionals make up a significant portion of the buyer pool. These borrowers often have seven-figure portfolios but don't fit conventional lending boxes because traditional employment ended.
Properties here range from newer townhomes to single-family developments. Asset depletion works across all property types, though lenders get more conservative on condos in new phases with higher HOA fees.
Most lenders require $500K-$1M in liquid assets. The exact minimum depends on purchase price and how much monthly income the depletion calculation generates.
Yes, but lenders typically apply a 30% penalty haircut to account for early withdrawal taxes. A $1M 401(k) might only count as $700K toward qualification.
No. Lenders verify you have the assets and calculate theoretical income from them. You keep your portfolio invested throughout the loan term.
Asset depletion rates run 1-3% higher than agency programs as of February 2026. Larger portfolios and stronger credit profiles get better pricing.
Some lenders now accept verified crypto holdings with proper documentation. This emerged as a new option in early 2026 for qualified non-QM products.
Lenders lock in asset values when they pull statements. Minor market fluctuations during a 30-day close won't affect approval unless you make withdrawals.