Dixon Lending
Retirement Distributions = Income

Asset Distribution Loan

Qualify for a traditional home loan using IRA and 401(k) distributions as documented income — no W-2 required.

30yr Fixed / ARM

Standard loan terms available

3yr Continuity Required

Distribution history needed

= Same Rates

Competitive with W-2 borrowers

Yes Purchase · Refi · Cash-Out

All transaction types

The Approach

Distributions as qualifying income

How lenders see your income

IRA Distributions
401(k) Withdrawals
Pension Income
Social Security
Combined = Qualifying Monthly Income

Each documented, ongoing distribution stream is added together. The total becomes your qualifying income for DTI calculation — the same as any W-2 would be.

Best when

+ You're already taking IRA or 401(k) distributions regularly

+ Your distributions have a 3+ year documented history

+ You want to qualify without liquidating additional assets

+ Social Security and pension income alone doesn't cover DTI

Watch for

! Distributions must be regular and documented (not one-time withdrawals)

! Some lenders require 3 years of documented history

! If distributions will end soon, you may need alternative qualifying

! Tax withholding on distributions can affect net qualifying income

Distribution vs. Depletion — which one fits you?

Asset Distribution

  • →Uses actual withdrawal history as income
  • →Requires documented distribution continuity
  • →Less total assets needed
  • →Withdrawals continue after closing

Asset Depletion

  • →Divides total assets by loan months
  • →No actual withdrawals required
  • →More total assets needed ($500K+)
  • →Investments stay completely untouched
Questions

Asset Distribution FAQ

"Told you don't have income? You probably do."

Your retirement distributions are real income. Let's show the lender that — together.