Asset Utilization Loans for High-Net-Worth Borrowers
An Asset Utilization loan, sometimes referred to as an asset depletion mortgage loan, allows brokers to qualify borrowers using eligible liquid assets instead of relying primarily on employment income. This provides another path for high-net-worth borrowers whose financial strength may not be fully reflected through W-2s, 1099s, or other traditional income documentation.
Series 1
Series 2
Series 3
Series 4
Series 5
Series 6
Series 8
Series 9
Asset Utilization
About program
An Asset Utilization Loan can make sense when a borrower has substantial liquid assets but traditional income documentation doesn’t provide the clearest picture of their ability to qualify. Instead of relying primarily on employment income, eligible assets can be used to calculate qualifying income.
Program Highlights
Qualification & Documentation
These guidelines explain how eligible assets are used to calculate qualifying income, which asset types and statements may be used, and what helps an asset-based file move through underwriting more efficiently.
- Minimum 640 FICO
- Net eligible assets are divided over 84 months to calculate qualifying income, after applicable deductions such as the down payment, out-of-pocket closing costs, and required reserves.
- 100% of checking, savings, and money market funds may be used
- 70% of eligible stocks, bonds, and mutual funds may be used
- Eligible assets must equal the lower of $1 million or 150% of the loan amount
- Two most recent statements required for all assets used to calculate income
- No tradeline requirement with three credit scores
Loan Structure & Flexibility
These features outline available LTV limits, non-permanent resident eligibility, cash-out options, and reserve flexibility.
- Up to 85% LTV
- Non-permanent residents eligible up to 80% LTV
- Unlimited cash-in-hand
- Cash-out proceeds may be used for reserves
Property & Loan Parameters
These guidelines cover the property types and loan amounts supported by the program.
- SFRs, condos, condotels, and studios
- 2–4 unit properties
- Loan amounts up to $3.5 million
- Loan amounts up to $5 million for preferred brokers
Required to Disclose
Credit report
(cannot be older than 60 days) - must be merged into the LOS.
Borrowers' ID
(passport or driver's license).
Purchase contract
(if applicable)
Complete loan application
(including income & employment)
Submission form completed
Two most recent statements for all assets used to calculate income.
Required to Underwrite
(in addition to above)
Credit report
(cannot be older than 60 days) - must be merged into the LOS.
Borrowers' ID
(passport or driver's license).
Purchase contract
(if applicable)
Complete loan application
(including income & employment)
Submission form completed
Two most recent statements for all assets used to calculate income.
Thank you!
We’ll Connect with You Soon
Oops, Something Went Wrong!
Please try refreshing the page or come back later.
If the problem persists, contact our support
team for assistance.
Need calculations?
Get quick results
Rapid fire pricing
Experience Lendz Wholesale
Modern programs
Alternative ways to qualify
FAQ
What is an Asset Utilization Loan?
An Asset Utilization Loan allows eligible assets to be used to calculate qualifying income instead of relying primarily on traditional employment income. Also referred to as an asset depletion mortgage loan, this mortgage uses liquid assets to provide a qualification path for borrowers with substantial liquid assets but limited or irregular documented income.
What types of assets can be used to qualify for an Asset Utilization Loan?
Eligible assets may include checking accounts, savings accounts, money market accounts, certificates of deposit (CDs), stocks, bonds, mutual funds, and certain retirement accounts (subject to program restrictions). The amount that can be used toward qualification varies by asset type and applicable program guidelines.
What is the minimum amount of eligible assets required for the Asset Utilization program?
To qualify, borrowers must document eligible assets equal to the lower of $1,000,000 or 150% of the loan amount. This ensures the borrower has sufficient verified assets to support the loan under asset-based underwriting guidelines.
When is an Asset Utilization Loan the best fit for a borrower?
An Asset Utilization Loan may be a good fit when a borrower has substantial eligible assets but employment or business income does not provide the strongest qualification path. This type of asset-qualifier mortgage can work well for retirees, borrowers living off investments, high-net-worth borrowers with irregular income, and asset-rich borrowers with limited current employment income.
How is an asset depletion mortgage loan different from a standard income-documented mortgage?
Traditional mortgage qualification generally relies on documented income to demonstrate the borrower’s ability to qualify. An asset depletion mortgage loan instead uses eligible assets to calculate qualifying income, allowing the borrower’s liquidity to play a central role in qualification.
Other programs
