Asset Depletion Mortgages in Austin, TX

Some of the strongest borrowers I talk to have very little income on paper. They’ve retired early, sold a company or built up a brokerage account, and a standard loan application doesn’t know what to do with them. Asset depletion is built for that file. It’s part of our non-QM loan options.

How lenders turn assets into income

In general, a lender totals your eligible assets, may subtract the down payment, closing costs and any required reserves, may discount some account types, then divides what’s left over a set number of months. The result is treated like monthly income when the lender reviews your debt-to-income ratio. Every step in that formula, including which discounts apply and the number of months, varies by lender. That’s why the same balance can qualify you for very different amounts at two lenders.

Which assets usually count

• Checking and savings accounts
• Brokerage accounts (stocks, bonds, mutual funds)
• Retirement accounts such as IRAs and 401(k)s, often at a reduced value

What counts and how much of it counts varies by lender. Real estate equity and other illiquid assets usually aren’t treated the same way as cash or securities.

Who it fits in Austin

• Retirees and early retirees who live on savings rather than a paycheck
• Equity-rich tech workers between roles or after a liquidity event
• Business sellers with sale proceeds but no current W-2

Fits when

• You have large savings or investment balances
• You’re retired or between jobs
• Your income is hard to document

Look elsewhere when

• You have steady W-2 income. A conventional loan may fit.
• Your wealth is mostly in illiquid property

Documents to gather

• Recent statements (all pages) for each asset account
• Government-issued ID
• Property information (contract or address)

Your loan officer will tell you if a specific lender needs anything else.

How CapFi shops asset depletion

I compare asset depletion programs across more than 50 wholesale lenders and look at how each one would treat your actual accounts. If the right fit is a lender we don’t yet work with, we can sign them up. Asset depletion also pairs with other programs, such as jumbo loans for higher-priced Austin homes or an interest-only payment structure, depending on the lender. Self-employed borrowers can also compare bank statement and other self-employed options.

FAQs

Rated 4.9 on Google (79 reviews) · Austin mortgage broker