Question 1

What types of assets qualify for asset depletion loans in Woodside?

Accepted Answer

Retirement accounts, stocks, bonds, mutual funds, and cash savings typically qualify. Most lenders apply a discount to retirement accounts to account for potential taxes upon withdrawal.

Question 2

How do lenders calculate my qualifying income from assets?

Accepted Answer

They divide your total qualifying assets by 360 months to determine monthly income. For example, $2 million in assets generates roughly $5,556 monthly qualifying income.

Question 3

Can I use assets in my spouse's name for qualification?

Accepted Answer

Yes, if your spouse co-signs the loan. Assets must be accessible and properly documented with recent statements showing account balances and ownership.

Question 4

What down payment do asset depletion loans require?

Accepted Answer

Most programs require 20-30% down, with exact requirements varying by property type and loan amount. Larger down payments often secure better interest rates.

Question 5

How long does asset depletion loan approval take?

Accepted Answer

Expect 3-5 weeks from application to closing. The process moves faster than traditional loans since income verification focuses on account statements rather than employment documentation.

Asset Depletion Loans in Woodside: Qualify Using Your Investment Portfolio