Yes. The Wealth Builder HELOC accepts asset depletion as a qualifying income method for borrowers who have significant liquid or investable assets but limited traditional income. This makes it particularly well-suited for retirees, high-net-worth individuals, and others whose wealth is held in assets rather than earned through employment.

How Asset Depletion Works

Asset depletion converts your eligible assets into a monthly income figure for qualifying purposes. The general method divides a percentage of your eligible assets by a set number of months (typically 120) to arrive at a monthly income figure that can be used in your DTI calculation.

Eligible Asset Types

Not all assets qualify equally. Eligible asset types typically include:

• Checking and savings accounts
• Money market accounts
• Stocks, bonds, and mutual funds (with applicable haircut)
• Retirement accounts (with age-based eligibility percentage)
• Vested stock options and restricted stock (with applicable discount)

Certain asset types are not eligible, including business assets not accessible to the borrower, non-vested equity, and assets with significant liquidity restrictions.

Age and Eligible Percentage

The percentage of retirement assets that can be counted varies based on borrower age — borrowers under 59½ may face a penalty discount on retirement account withdrawals, which is reflected in the eligible percentage matrix. Borrowers 59½ and older typically qualify for a higher percentage of retirement assets.

Documentation Required

• Most recent 2–3 months of asset statements
• Evidence that assets are accessible and not restricted
• For retirement accounts: account statements showing vested balance