Question 1

How do lenders calculate income from my assets?

Accepted Answer

They divide your eligible liquid assets by the loan term — usually 360 months. That monthly figure becomes your qualifying income.

Question 2

Can I use my 401(k) or IRA to qualify?

Accepted Answer

Yes, but retirement accounts are typically discounted to 60-70% of their value. The lender then divides that discounted figure over the loan term.

Question 3

Do asset depletion loans cost more than conventional loans?

Accepted Answer

Yes. Rates run higher than conforming loans because these are non-QM products. Rates vary by borrower profile and market conditions.

Question 4

What credit score do I need in Cupertino?

Accepted Answer

Most lenders require at least 680. Higher scores and larger asset balances get you better pricing.

Question 5

Can I buy a primary residence with an asset depletion loan?

Accepted Answer

Yes. Unlike DSCR loans, asset depletion works for primary residences, second homes, and investment properties.

Question 6

How long do my assets need to be in my account?

Accepted Answer

Most lenders want to see 60-90 days of account history. Newly deposited or transferred funds may not count toward qualifying assets.

Asset Depletion Loans in Cupertino, CA