Mortgage Navigator • Conventional • Assets & Reserves
Business assets as funds
Business cash can solve the closing-funds problem while creating a business-liquidity problem.
Fannie
Business assets can be acceptable for down payment, closing costs and reserves, but the lender must evaluate whether withdrawal of the funds would negatively affect business operations when required.
Freddie
Freddie includes business assets within its borrower-funds framework and ties the analysis back to self-employment/business viability when applicable.
Don't double count: the same business cash should not be treated as freely available closing money while simultaneously assuming the business needs that cash to support qualifying income.
Official guide baseline
Fannie Mae Selling Guide · Freddie Mac Seller/Servicer Guide
Asset eligibility depends on ownership, accessibility, documentation and how the funds are being used.