The Quick Read: On the asset qualifier path, savings and brokerage balances both count at 100% of the balance, subject to underwriting. On the asset depletion path, savings counts at 100% and brokerage securities count at 80%, so savings counts more there.
- Qualifier path: savings, money market, CDs and brokerage accounts all count at 100%.
- Depletion path: cash accounts count at 100%, securities at 80%.
- Both paths require statements. Seasoning is 60 days on the qualifier path and 120-day-old statements on the depletion path.
- A borrower is qualified on one path at a time, and the paths are never blended.
- Unsold shares do not stand in for cash at closing. Stock that has not been sold cannot fund the down payment.
The Honest Answer First
Which account counts more depends on the path. Across Lendmire’s wholesale network, asset-based mortgages come in two forms, and the same brokerage statement gets different treatment on each.
The asset qualifier path covers the whole loan with eligible assets. It documents no employment or income. Savings and brokerage both count at full value there, so neither beats the other.
The asset depletion path divides usable assets by 60 months to create a qualifying income. That income then runs through the debt-to-income test. Here a dollar of savings counts for more than a dollar of securities.
Savings is the simpler account to document. Brokerage is often the bigger balance. Most borrowers who qualify on assets hold both, and the question is how to arrange them.
Side-by-Side
The table shows each account type on each path. Figures are program ceilings and floors, subject to underwriting, not offers.
| Factor | Savings / Cash | Brokerage |
|---|---|---|
| Credit, qualifier path | 100% | 100% |
| Credit, depletion path | 100% | Securities at 80% |
| Statements, qualifier path | Two months, 60-day seasoning | Two months, 60-day seasoning |
| Statements, depletion path | 120-day-old plus one within 45 days | Same |
| Value swings | Stable balance | Moves with the market |
| Down payment use | Counts once in the borrower’s account | Shares must be sold to cash first |
| Typical protection | Deposit insurance | Brokerage investor protection |
Other asset types sit outside this table. Cryptocurrency, precious metals and collectibles are not published as eligible on either path. The documented route is converting them to a seasoned cash balance in a regulated account, with the source reviewed by the lender.
Why the Two Accounts Are Treated Differently
A savings balance is a fixed number. A brokerage balance is a price on a given day, and it can fall between application and closing. That volatility is the reason the depletion path haircuts securities to 80%.
Protection works differently too. Experian explains that FDIC insurance covers eligible deposit accounts such as savings, up to $250,000 per depositor, per insured bank and per ownership category. It adds that SIPC protection covers cash and securities at member brokerages if the firm fails and assets are missing, and neither covers ordinary investment losses. That is background on why the two accounts differ. It is not an underwriting rule.
One more wrinkle: cash swept out of a brokerage account may sit at partner banks. Max My Interest notes that the two protection programs serve different purposes and are not interchangeable. How a lender classifies swept cash is a file-level question for the lender.
When Savings Is the Better Fit
Savings is the better fit when the file runs on the depletion path, and for borrowers who want the cleanest paperwork.
- Depletion path files. Cash and CDs count at 100%. Securities count at 80%. The same $1,000,000 produces more qualifying income in cash.
- Large-balance depletion files. The minimum asset test is the lesser of $1,000,000 or 1.25 times the loan, and never below $250,000 liquid when assets are the only income. Cash clears that test with less margin needed.
- Borrowers who value certainty. A balance that holds still will not change between application and closing.
- Down payment and cash to close. Savings is already cash. Nothing has to be sold, transferred or explained.
The tradeoff: moving money mid-file raises sourcing questions. Where the money sits should be settled before the application, not during it.
When a Brokerage Account Is the Better Fit
A brokerage account is the better fit when the balance is large, the file runs on the qualifier path, or selling would be costly.
- Qualifier path files. Brokerage counts at 100%, the same as savings. A borrower with a large portfolio loses nothing by leaving it invested. The sanctioned example: an $800,000 loan, $330,000 in brokerage, $300,000 in a 401(k) under age 59½ at 90% ($270,000) and $200,000 in savings counts $800,000 of usable assets and is reviewed on assets alone, subject to underwriting.
- Borrowers who do not want to sell. On the qualifier path the portfolio stays invested. Statements document it. Nothing is pledged.
- Mixed portfolios. Accounts combine, so a blend of brokerage, savings and retirement can total the loan amount.
The caution: a brokerage balance moves. Lendmire’s network guidance is clear that unsold shares generally do not serve as the down payment. The down payment must arrive as cash, so shares meant for it must be sold first. Selling can bring tax consequences, and tax treatment varies; consult a qualified professional.
A Worked Depletion Example
Take a borrower on the depletion path with $1,500,000 in securities and $300,000 in cash. Securities count at 80%, which is $1,200,000. Cash counts at 100%, which is $300,000. Usable assets are $1,500,000. Divided by 60 months, that is $25,000 of monthly qualifying income. That income then carries the housing payment and other debts through the debt-to-income test. The lender’s own calculation governs.
Now shift $500,000 from securities into cash. Usable assets rise because the haircut disappears on that slice. That is why the depletion path rewards cash, and why the qualifier path does not.
Compare retirement accounts too. On the depletion path they count at 70% at any age. On the qualifier path they count at 90% under 59½ and 100% at 59½ or older.
Documentation and Seasoning
Both accounts need statements. Neither is “no documentation.” Income goes undocumented on the qualifier path, and the assets do not.
- Qualifier path: 60 days of seasoning and two months of statements for each qualifying account.
- Depletion path: statements at least 120 days old at application, plus the most recent statement within 45 days. Sale-of-business, inheritance and legal-settlement funds are excused from that seasoning.
- Both paths: underwriters look at large deposits and the source of funds. Pledged or borrowed funds are not published as eligible.
Brokerage statements should show the owner, holdings and current value. Savings statements should show the owner and balance. Accounts titled to the borrower are the cleanest. Business accounts count only to the extent of the borrower’s ownership share.
Common Mistakes
1. Treating the two as equal on every path. They tie on the qualifier path. They do not on the depletion path.
2. Assuming shares cover the down payment. They must be sold and in the borrower’s account first.
3. Moving large sums mid-file. Unexplained deposits trigger sourcing questions.
4. Counting crypto or collectibles. Convert them to seasoned cash well ahead of time.
5. Mixing the paths. A file runs on one path. Percentages from one table never apply to the other.
Key Terms Defined
Asset qualifier path: The program form in which eligible assets, after credit percentages, equal or exceed the entire loan amount.
Asset depletion path: The form in which usable assets divided by 60 months become qualifying monthly income.
Haircut: The share of a balance that does not count, such as the 20% reduction on securities on the depletion path.
Seasoning: The period funds must sit in an account before they count.
Usable assets: The balance remaining after the program’s percentages are applied.
The Verdict
Savings wins when the file runs on the depletion path or when simplicity matters. Brokerage holds its own on the qualifier path, where it counts at the same 100%. Borrowers with both should confirm the path first, then arrange accounts to fit it. Lendmire’s complete DSCR loans guide covers the separate rental-financing side for those who also buy investment property on property income.
If you are qualifying on assets rather than income and want to see how the numbers work, Lendmire can help you compare asset-based mortgage options based on your statements, the property, credit profile, leverage, and your goals. This is a consumer program placed through select lenders in Lendmire’s network in 16 states, subject to underwriting and not a commitment to lend.
Frequently Asked Questions
Does a brokerage account count as much as savings?
On the asset qualifier path, yes, both count at 100% of the balance. On the asset depletion path, securities count at 80% while cash accounts count at 100%. Every file is underwritten individually.
Do I have to sell my investments to qualify?
Not to qualify on assets. Statements document the balance, and nothing is pledged. Selling matters only when cash is needed for the down payment or closing costs, since unsold shares do not stand in for cash.
What happens if the market drops before closing?
A lower brokerage balance means lower usable assets. On the qualifier path, total usable assets must still equal or exceed the loan amount. Savings does not carry that exposure.
Can I use cash-out proceeds as qualifying assets?
No. On the depletion path, cash-out proceeds never count as qualifying assets.
Are retirement accounts treated like brokerage accounts?
No. Retirement accounts count at 90% under age 59½ and 100% at 59½ or older on the qualifier path, and 70% at any age on the depletion path.
About Lendmire
Lendmire, NMLS# 2371349, is a mortgage brokerage with consumer lending licenses in 16 states. Bank statement, P&L-only, 1099-only and asset-based mortgages are arranged through wholesale lending partners for borrowers whose tax returns understate their income, and each application is reviewed individually by the lender. Scotsman Guide named Lendmire a Top Mortgage Workplace in both 2025 and 2026.
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References
2. Max My Interest – FDIC vs SIPC
This article is part of Lendmire’s asset-based mortgage program — full qualification details, guidelines, and scenarios live on the program page.
Related reading: Asset Depletion HELOC vs Bank Statement HELOC for Owners With Savings · How Big Can an Asset Qualifier Mortgage Be? · How an Asset Qualifier Jumbo Mortgage Works
Brandon Miller
Founder & CEO, Mortgage Loan Originator, Lendmire LLC
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Disclosure information. Lendmire is a state-licensed mortgage brokerage under NMLS# 2371349. Lendmire is not a depository institution, direct lender, or financial advisor — all loans referenced are placed through wholesale lender partners and are subject to each lender's underwriting standards. This article is provided for general informational purposes and is not a commitment to lend, nor does it constitute financial, legal, or tax advice. Loan programs, terms, rates, and qualification standards change without notice and depend on borrower profile, property type, and the state in which the subject property is located. Equal Housing Opportunity provider. NMLS Consumer Access: nmlsconsumeraccess.org.