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Cloverdale sits at the northern edge of Sonoma County wine country. Buyers here often hold significant wealth in investments, not paychecks.
Asset depletion loans convert your liquid assets into qualifying income. No W-2 required. No pay stubs.
680 (typical)
Min Credit Score
Assets ÷ Loan Term
Income Method
None
Employment Required
12–24 months typical
Reserves After Close
Non-QM
Loan Category
Asset Depletion Loans in Cloverdale
Lenders divide your eligible assets by a set term — often 60 to 360 months. That figure becomes your monthly income for qualification.
Most lenders want 12-24 months of reserves after closing. Credit requirements vary, but expect a 680 minimum with most programs.
Local decision guide
Use this guide to connect asset depletion loans eligibility, lender expectations, and local market factors before comparing payment options in Cloverdale.
Cloverdale sits at the northern edge of Sonoma County wine country. Buyers here often hold significant wealth in investments, not paychecks.
Asset depletion loans convert your liquid assets into qualifying income. No W-2 required. No pay stubs.
Lenders divide your eligible assets by a set term — often 60 to 360 months. That figure becomes your monthly income for qualification.
Big banks rarely offer asset depletion programs. You need a non-QM lender — and there are real differences between them.
Some lenders haircut retirement accounts by 30%. Others use 100% of liquid assets. Shopping lenders matters here more than almost any loan type.
I see this loan misused constantly. Borrowers with rental income try to use it when a DSCR loan would get them a better rate.
Asset depletion works best for retired buyers or those between liquidity events. If you have steady 1099 or business income, other programs likely price better.
Bank Statement loans use 12-24 months of deposits to prove income. If you run a business, that often beats asset depletion on rate.
DSCR loans work if the property cash flows. 1099 loans fit freelancers with consistent billing. Asset depletion is for buyers whose wealth sits in accounts, not income streams.
Cloverdale attracts wine industry executives, vineyard owners, and retirees relocating from the Bay Area. Many arrive cash-rich with complex income.
Properties here range from in-town homes to rural parcels with acreage. Appraisals can be tricky. A lender familiar with Sonoma County rural properties matters.
Most lenders accept checking, savings, brokerage, and retirement accounts. Illiquid assets like real estate equity typically don't count.
No employment income is required. Your asset calculation replaces it entirely as the qualifying income figure.
Lenders divide eligible assets by the loan term in months. That monthly figure is treated as your qualifying income.
Yes, typically. Non-QM loans carry higher rates than conventional programs. Rates vary by borrower profile and market conditions.
Yes, but rural parcels with acreage need careful appraisal. Lender guidelines on rural properties vary — ask before you apply.
DSCR qualifies based on rental income from the property. Asset depletion ignores property income and uses your personal liquid assets instead.