No—asset depletion is a calculation method, not a forced liquidation. Keep assets invested while using calculated income for DTI.
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Asset Depletion Loans
Do I Have to Withdraw Money for Asset Depletion?
No — asset depletion converts your balances into qualifying income on paper. You do not have to cash out your portfolio just to get approved.
The word “depletion” sounds like you are spending the account down. In Non-QM underwriting it means something narrower: lenders assume a schedule of how long your usable liquid assets could support a monthly payment, then treat that figure as income for DTI.
Your brokerage and retirement accounts typically stay invested. The lender documents balances with statements, applies haircuts, subtracts down payment and reserves, and divides by the loan term. Approval does not require wiring the entire portfolio to escrow.
Ryan & Steve walk Indiana buyers through exactly which dollars must move for closing — and which dollars only need to appear on statements for the income calc.
Guidelines vary by investor, credit, and loan amount. This overview is educational — your file is reviewed against current product rules.
Optional sales are strategy decisions — not program mandates.
The dollars you spend on down payment and closing cannot also create depletion income. Underwriters subtract those amounts from the eligible pool before dividing by the loan term.
We separate “cash to close,” “reserves,” and “income assets” up front so your Indiana file stays consistent from pre-approval through underwriting.
Bottom line
— No forced full portfolio liquidation for approval
— Statements prove balances; accounts stay yours
— Only closing cash and required reserves must be available
— Optional sales are about strategy, not a mandate
Related asset depletion guides and Non-QM resources from Ryan & Steve.
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Ryan & Steve will show which funds must move for closing and which balances only need to appear on statements.