Asset-based loans for business owners with strong reserves
Sold your business? Taking a lean salary while you reinvest? An asset depletion mortgage converts your eligible liquid assets into a monthly qualifying income, so your balance sheet can do the work your tax return can't.
Is this you?
- You have significant savings, brokerage, or retirement assets
- You recently sold a business or are between ventures
- You pay yourself very little and leave profit in the company or in investments
- Your income is irregular, but your balance sheet is strong
How qualifying works
The lender totals your eligible liquid assets, such as checking, savings, brokerage, and some retirement accounts. Retirement and investment balances may be counted at a percentage.
Funds needed for your down payment, closing costs, and reserves are set aside first.
The remaining balance is divided by a set number of months (the lender's depletion term) to create a monthly qualifying income.
That figure can stand alone or be added to other documented income.
Illustration only. Depletion terms, eligible accounts, and haircuts on retirement assets vary by lender.
Not sure this is the right program?We'll compare it against the others on your actual numbers.
Check my optionsWhat you'll typically need
- Two to three months of statements for every account you want counted
- Documentation of any large recent deposits, such as a business sale closing statement
- Photo ID and a credit report
Typical guidelines
Every lender sets its own rules. These are common patterns, not promises, and they change. We match your file to the lender whose guidelines fit it best.
- Eligible assets: cash, brokerage, and some retirement accounts
- Seasoning: lenders typically want funds in your accounts for a few months
- Credit: many programs start around 660 to 680
- Can combine with W-2, 1099, or rental income
Who it fits (and who it doesn't)
Usually a good fit
- Recent business sellers
- Owners who keep a low salary and high reserves
- Early retirees and investors
Maybe not the best fit
- Most of your net worth is tied up in the business or real estate
- Assets that just arrived and can't be sourced yet
Asset-Based Loans: common questions
What is an asset depletion loan?
It's a mortgage that calculates income from your liquid assets instead of a paycheck. The lender divides eligible assets by a set number of months to create a monthly qualifying income.
Can I use money from selling my business?
Often, yes. Proceeds from a business sale can usually be counted once they're in your accounts and documented with the sale paperwork.
Do retirement accounts count for asset-based loans?
Many lenders count retirement accounts, often at a percentage of the balance to allow for taxes and penalties. Rules vary by lender and by your age.
Asset-Based Loans are non-QM programs, not available in all states, and subject to credit approval, income and asset verification, and appraisal. Guidelines shown are typical illustrations and vary by lender. This is not a commitment to lend. Matador Lending, NMLS #2072896. Equal Housing Opportunity.
Guides for this program
How to get a mortgage without tax returns when you are self-employed
You can get a mortgage without tax returns. Here are the programs that verify income another way, what each one asks for, and how to pick the right fit.
What is a non-QM loan? A plain-English guide for self-employed borrowers
Non-QM loans let lenders verify income in ways that fit how business owners actually earn. Here's what the term means and how these mortgages work.
Mortgages for small business owners: how to qualify on your real income
The complete guide to mortgages for small business owners: why tax returns undersell you, which programs use your real income, and how to prepare a strong file.
Find out what you qualify for in about 60 seconds
No tax returns. No credit pull to start. Just a straight answer from a broker who works for you.
Equal Housing Opportunity · NMLS #2072896 · Powered by Matador Lending