How does an asset depletion mortgage work?

The lender adds up your eligible liquid assets, subtracts the funds needed to close, and divides the remainder by an amortization period (often 60–360 months) to produce a monthly qualifying income. You don't actually spend the assets — they're only used to demonstrate the ability to repay.

What assets count for asset depletion?

Cash and savings (usually counted at 100%), stocks, bonds and brokerage accounts (commonly ~70%), and retirement accounts (commonly ~70%, and typically only if you're 59½ or older so funds are accessible without penalty). Lenders subtract your down payment, closing costs, and required reserves first.

What is the difference between asset depletion and asset utilization?

They're closely related. Conventional asset depletion typically divides eligible assets by 360 months. Non-QM "asset utilization" programs often use a shorter period (60–120 months), which produces a higher monthly income and more buying power.

Asset Depletion Mortgage Calculator

Asset-rich but income-light on paper? An asset depletion loan qualifies you on your savings and investments instead of a paycheck. See the monthly income a lender can derive from what you've built.

Your Liquid Assets

Lenders apply a “haircut” to non-cash assets before counting them.

Cash & savings

Counted at 100%.

Stocks, bonds & brokerage

Typically counted at ~70%.

Retirement accounts

Often counted at ~70% — and usually only if you're 59½ or older.

Adjustments

Funds needed to close

Down payment + closing costs + required reserves. Subtracted before depleting.

Amortization period

Non-QM “asset utilization” programs often divide by 60–120 months (more income); conventional asset depletion typically uses 360.

Your Asset-Based Income

Qualifying monthly income

$0 / year

Enter your liquid assets to see the monthly income a lender can derive from them.

Estimate only. Haircuts and amortization periods vary by lender and program.

Who asset depletion is for

Asset depletion is built for borrowers whose wealth doesn't show up as steady monthly income — retirees, business owners who reinvest profits, and anyone living off investments. It's a non-QM loan, so it sidesteps the W-2 and tax-return requirements entirely.

Monthly income = (Eligible assets − funds to close) ÷ amortization months

The amortization period is the lever: a non-QM asset-utilization program dividing by 84 months credits far more monthly income than a conventional program dividing by 360 — for the very same assets.

Asset Depletion Mortgage Calculator

Your Asset-Based Income

Who asset depletion is for

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