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Portola Valley sits in San Mateo County, where the median household income of $156,000 supports homes well into the $1.2 million range.
These loans count liquid assets—stocks, bonds, retirement accounts, savings—as qualifying income. A retiree with $500,000 in investments but modest Social Security can now qualify.
620
Minimum FICO
5-20%
Down Payment Range
360 months
Assets Divided By
45-60 days
Underwriting Timeline
0.25-0.5%
Rate Premium vs. Conventional
Asset Depletion Loans in Portola Valley
Asset depletion loans typically require 620+ FICO and 10-20% down, though some lenders accept 5% with compensating factors. The program divides liquid assets by 360 months to create qualifying income.
San Mateo County's $156,000 median household income buys homes around $1,100,000 to $1,200,000 with conventional financing. Asset depletion borrowers often qualify higher because their savings count.
Local decision guide
Use this guide to connect asset depletion loans eligibility, lender expectations, and local market factors before comparing payment options in Portola Valley.
Portola Valley sits in San Mateo County, where the median household income of $156,000 supports homes well into the $1.2 million range.
These loans count liquid assets—stocks, bonds, retirement accounts, savings—as qualifying income. A retiree with $500,000 in investments but modest Social Security can now qualify.
Asset depletion loans typically require 620+ FICO and 10-20% down, though some lenders accept 5% with compensating factors. The program divides liquid assets by 360 months to create qualifying income.
Asset depletion lending remains niche in California. Most portfolio lenders and credit unions offer it; major retail banks rarely do.
Underwriting takes 45-60 days because asset verification is thorough. Lenders pull bank statements, brokerage statements, and retirement account records. Closing costs run standard, but appraisal and title work may take longer due to the asset review process.
Asset depletion loans make sense in Portola Valley for retirees and business owners with substantial liquid assets. They fit when annual income falls short of conventional thresholds.
The trade-off: rates run 0.25-0.5% higher than conventional because the program carries more documentation risk. For buyers who can't qualify any other way, that premium is worth paying. For buyers who qualify conventionally, stick with conventional.
Conventional loans require documented income—W-2s, tax returns, pay stubs. Asset depletion loans accept savings instead. If your income is too low but your portfolio is strong, asset depletion wins.
FHA loans accept lower credit scores and smaller down payments but add lifetime mortgage insurance if you put down less than 10%. Asset depletion typically requires 620+ FICO and 10%+ down, avoiding that insurance cost.
Reposado fine-dining Mexican restaurant opened in downtown San Mateo in February 2026, joining a growing restaurant scene that attracts young professionals and established families.
San Mateo City Council is evaluating a regional transit tax measure for Caltrain and BART. Better transit access increases property values and makes commuting easier for buyers who work outside Portola Valley.
Yes. Most lenders count IRAs, 401(k)s, and SEP-IRAs as liquid assets. Some require a 10% penalty haircut; others don't. Ask your lender about their specific policy before pulling statements.
No. The lender calculates qualifying income by dividing your assets by 360 months. You keep the money. It's a math tool, not a requirement to spend down your savings.
Most lenders require 620+ FICO. Some portfolio lenders go as low as 600 with strong compensating factors like a large down payment or substantial reserves.
Plan for 45-60 days. Asset verification requires bank statements, brokerage records, and sometimes retirement account custodian letters. That paperwork takes time.
Yes, typically 0.25-0.5% higher. The extra documentation and asset-based qualification carry more lender risk. If you qualify conventionally, conventional rates are better.