Loading
Asset Depletion Loans in Cloverdale
Cloverdale attracts retirees and asset-rich buyers who don't draw regular paychecks. Your stock portfolio or savings can replace W-2 income when qualifying for a home loan.
This Sonoma County town sees plenty of buyers downsizing from Bay Area metros with seven-figure retirement accounts. Asset depletion loans turn those assets into qualifying income without forced withdrawals.
Lenders divide your liquid assets by 360 months to calculate monthly income. A $2 million portfolio creates $5,556 monthly qualifying income before any other factors.
Most programs need 20-30% down and credit scores above 680. You'll keep full control of your assets—no actual withdrawals happen during underwriting.
Asset depletion sits in the Non-QM space where each lender writes their own rules. Some count 70% of stock value, others take 100% of liquid reserves.
Shopping matters here more than conventional loans. Rate spreads between lenders hit 0.75% on identical borrower profiles because underwriting standards vary widely.
I see Cloverdale buyers leave money on the table by applying direct to one lender. Asset depletion pricing isn't published like conventional rates—you need wholesale access to compare.
The trick: position retirement accounts correctly. IRA funds work better than certain trust structures. Mixing asset types sometimes boosts qualifying income versus using one account alone.
Bank statement loans work better if you run a business with deposits. DSCR loans fit investment properties where rent covers the mortgage.
Asset depletion shines for primary homes when you have substantial savings but minimal tax-return income. Retirees and trust-fund buyers dominate this product.
Cloverdale home values remain lower than southern Sonoma County, so modest asset bases still work. A $600K purchase needs roughly $1.2M in qualifying assets with typical down payments.
Wine country properties sometimes include acreage or agricultural components. Some lenders exclude land value from loan calculations, which kills deals that should work.
Stocks, bonds, mutual funds, savings, CDs, and money market accounts qualify. Most lenders apply 70-100% of value depending on liquidity and volatility.
Yes, retirement accounts count but lenders typically use 70% of the balance. You don't withdraw funds—they just calculate potential monthly income.
Expect 1.5-3% above conforming rates. Actual pricing depends on loan-to-value, credit score, and total asset strength across multiple lenders.
Usually yes, to verify you're not hiding employment income. Lenders want proof you're actually retired or asset-dependent, not dodging income documentation.
Most programs start at 20% down. Larger assets or higher credit can sometimes reduce this to 15% with select lenders.
Mortgage financing for independent contractors and freelancers who earn 1099 income instead of traditional W-2 wages.
Non-QM loans that use 12 to 24 months of bank statements to verify income for self-employed borrowers.
Short-term financing that bridges the gap between buying a new property and selling an existing one.
Debt Service Coverage Ratio loans that qualify investors based on a rental property's income rather than personal income.
Mortgage programs designed for non-US citizens and non-permanent residents who want to purchase property in the United States.
Asset-based short-term loans primarily used by real estate investors for property acquisition and renovation projects.
Mortgages that allow borrowers to pay only the interest for an initial period, resulting in lower monthly payments upfront.
Financing solutions tailored for real estate investors purchasing rental properties, fix-and-flip projects, or investment portfolios.
Home loans for borrowers who have an Individual Taxpayer Identification Number instead of a Social Security number.
Adjustable rate mortgages held in a lender's portfolio rather than sold on the secondary market, offering more flexible terms.
Non-QM mortgages that use a CPA-prepared profit and loss statement to verify income for self-employed borrowers.
Home loans with interest rates that adjust periodically based on market conditions after an initial fixed-rate period.
Specialized mortgage programs designed to support homeownership in underserved communities with flexible qualification criteria.
Mortgages that meet the guidelines and loan limits set by Fannie Mae and Freddie Mac for secondary market purchase.
Financing for building a new home or making major renovations, typically converting to a permanent mortgage upon completion.
Traditional mortgage financing not backed by a government agency, offering flexible terms and competitive rates for qualified borrowers.
Innovative loan products that leverage projected home equity growth to provide favorable financing terms.
Government-insured mortgages from the Federal Housing Administration with low down payments and flexible credit requirements.
A revolving line of credit secured by your home equity that allows you to borrow funds as needed during a draw period.
A fixed-rate second mortgage that provides a lump sum of cash by borrowing against the equity built in your home.
Mortgages that exceed the conforming loan limits set by the FHFA, designed for financing high-value luxury properties.
Loans for homeowners aged 62 and older that convert home equity into cash without requiring monthly mortgage payments.
Government-backed zero down payment mortgages for eligible rural and suburban homebuyers who meet income limits.
Government-guaranteed mortgages for eligible veterans, active-duty service members, and surviving spouses with zero down payment.