Question 1

What types of assets qualify for asset depletion loans?

Accepted Answer

Most lenders accept stocks, bonds, mutual funds, and retirement accounts like 401(k)s and IRAs. Some accept 70-100% of account values depending on liquidity and account type.

Question 2

Can I use asset depletion for a Santa Barbara investment property?

Accepted Answer

Most asset depletion programs work for primary residences and second homes only. Investment properties typically require DSCR loans instead.

Question 3

How do lenders calculate my qualifying income from assets?

Accepted Answer

They divide your total liquid assets by the loan term in months. A $1.8 million portfolio on a 30-year loan creates $5,000 monthly income.

Question 4

Do I need to liquidate my assets to qualify?

Accepted Answer

No. Lenders verify your assets but don't require you to sell them. Accounts stay invested throughout the loan.

Question 5

What credit score do I need for asset depletion in Santa Barbara?

Accepted Answer

Most lenders require 660 minimum. Scores above 700 get better rates and more lender options.

Asset Depletion Loans in Santa Barbara: Qualify Without Traditional Income