Asset Depletion & Asset Utilization: Two Options for Using Assets Only to Qualify
When traditional income documentation doesn’t fit your financial profile, our asset-based qualifying methods can be the perfect solution. Here’s how they work:
1. Asset Depletion (AD)
This method allows you to convert your qualifying assets into a monthly income figure. The calculation is straightforward:
- Qualifying Assets / 84 = Monthly Income
2. Asset Utilization (AU)
This option is designed for borrowers with substantial assets. It requires that you have at least 125% of the loan amount in assets post-closing, with a minimum of $1.0 million. This method can provide a more flexible approach to qualifying for a mortgage.
Key Features of Our Asset-Based Qualifying Guidelines
- Up to 90% Loan-to-Value (LTV): Maximize your borrowing potential with high LTV ratios.
- 640 Minimum Credit Score: Accessible to a wide range of borrowers.
- Loan Amounts Up to $5,000,000: Whether you’re purchasing a luxury home or refinancing a significant property, we have you covered.
Feel free to reach out to us for more information or to start your mortgage application process. At MortgageDepot, we’re here to make your homeownership journey as smooth and successful as possible.