Question 1

How do lenders calculate income from my assets?

Accepted Answer

Most divide your eligible liquid assets by 360 months. That monthly figure is used as your qualifying income.

Question 2

Do retirement accounts count toward asset depletion?

Accepted Answer

Often yes, but lenders typically apply a 70% haircut if you're under 59½. Confirm the exact rules with your lender.

Question 3

Can I use this program to buy a primary home in Los Altos Hills?

Accepted Answer

Yes. Asset depletion is commonly used for primary residences. It's not restricted to investment properties.

Question 4

What credit score do I need to qualify?

Accepted Answer

Most lenders require at least 620. Scores above 700 typically unlock better rates. Rates vary by borrower profile and market conditions.

Question 5

Can I combine asset depletion with other income sources?

Accepted Answer

Yes. If you have Social Security, rental income, or part-time income, lenders can blend those with asset depletion income.

Question 6

How long does underwriting take on an asset depletion loan?

Accepted Answer

Non-QM underwriting often takes longer than conventional — expect 30-45 days. Work with a lender experienced in this program.

Asset Depletion Loans in Los Altos Hills, CA