Asset depletion loans provide a pathway to homeownership for borrowers who have substantial liquid assets but may not have traditional income documentation. Instead of relying on W-2s, tax returns, or pay stubs, these loans allow you to qualify based on your savings, investments, and retirement accounts. This makes them an excellent option for retirees who have accumulated significant wealth but no longer receive a regular paycheck, as well as high-net-worth individuals whose income may not reflect their true financial capacity.
Qualify using liquid assets instead of traditional income documentation like W-2s or tax returns.
Ideal for retirees with substantial savings but limited monthly income from employment.
Use checking, savings, investment accounts, stocks, bonds, and retirement funds to qualify.
Designed for individuals with significant wealth but non-traditional income streams.
Available for primary residences, second homes, and investment properties.
Access competitive mortgage rates based on your overall financial strength and asset portfolio.
Asset depletion loans work by converting your liquid assets into a calculated monthly income figure. The lender takes your total eligible assets, subtracts any required down payment and closing costs, then divides the remaining amount by a set number of months (typically 360 for a 30-year loan). This calculated monthly figure becomes your qualifying income. For example, if you have $1,000,000 in eligible assets after down payment, the lender would calculate $1,000,000 ÷ 360 = $2,778 per month in qualifying income. This income is then used to determine your debt-to-income ratio and loan eligibility, just like traditional income verification.
Individuals who have retired from traditional employment but have substantial savings and investment portfolios.
Wealthy individuals whose income may not reflect their true financial capacity due to investments and passive income.
Entrepreneurs who reinvest profits into their business and show minimal personal income on tax returns.
Individuals with significant inherited wealth or trust fund assets but limited traditional employment income.
Get answers to common questions about asset depletion loans.
Q Home Loans specializes in asset depletion loans for homebuyers and investors in Washington. Get expert guidance and competitive rates.