Asset Depletion Mortgage California

High net worth. Substantial assets. But no traditional income showing on tax returns. Sound familiar? Asset depletion mortgages — also called asset dissipation loans — are designed specifically for California buyers who have significant wealth but don’t show conventional W-2 income.

What Is an Asset Depletion Mortgage?

An asset depletion mortgage lets lenders calculate a “synthetic monthly income” from your liquid assets instead of requiring traditional employment income. The lender takes your total eligible assets, divides by the remaining loan term (typically 360 months for a 30-year loan), and uses that figure as your qualifying income.

Example: $2,000,000 in eligible assets ÷ 360 months = $5,556/month in qualifying income. This could support a mortgage of $800,000–$1,200,000+ depending on rates and other factors.

Who Asset Depletion Loans Are For

• Retirees living off investment portfolios or retirement accounts
• Business owners who write off income aggressively and show low taxable income
• Tech executives and early retirees with vested stock, RSUs, or equity
• High-net-worth individuals with significant brokerage, savings, or trust assets
• Investors whose income is primarily capital gains or dividends

Eligible Assets for Qualification

• Checking and savings accounts
• Brokerage accounts and investment portfolios (typically at 70% of value to account for market risk)
• Retirement accounts: IRAs, 401(k)s, SEP-IRAs (at 60–70% if under age 59½)
• Stocks, bonds, mutual funds, ETFs
• Vested stock options and RSUs (after tax haircut)

Assets not eligible: home equity, business assets, non-vested stock options, or illiquid assets.

Asset Depletion Requirements in California

• Credit score: Typically 680+ (720+ preferred for best terms)
• Down payment: Usually 20–30% for primary residence; more for investment
• Asset seasoning: Assets must typically be in your account for 60–90 days
• Loan amounts: Available up to $3M+ with the right lender
• Primary, second home, investment: All may qualify depending on lender

Asset Depletion vs. Bank Statement Loans

If you have self-employment income showing in business or personal bank accounts, a bank statement loan may qualify you for a higher loan amount than asset depletion. Many self-employed California buyers use a combination approach — qualifying on bank statement income with residual assets as a compensating factor.

Apply for an Asset Depletion Mortgage

DiVita Home Finance has access to multiple lenders offering asset depletion and asset dissipation programs across California — from the Bay Area to Los Angeles to San Diego.

📞 Call (800) 239-1103 to speak with a loan officer about qualifying on assets, or start your application online.