The Quick Read: Usually all of it, on the asset qualifier path, because brokerage balances count at 100% there, subject to underwriting. The balance still has to cover the entire loan, and the same dollars cannot also serve as your down payment. On the separate asset depletion path, securities count at 80% and are turned into monthly income.
- Asset qualifier path: brokerage, CDs, money market and savings count at 100%, and no income is documented.
- Asset depletion path: securities count at 80%, cash at 100%, retirement at 70%, then the total is divided by 60 months.
- Leverage: up to 80% on a purchase and 75% on a refinance on the qualifier path, subject to underwriting.
- Seasoning: 60 days and two months of statements per account on the qualifier path.
- Pennsylvania: the program figures do not change by state. Lendmire’s consumer mortgage lending is licensed in 16 states, Pennsylvania included.
Two Paths, and You Are on Only One at a Time
Two different asset-based paths exist, and the brokerage percentage depends on which one you use.
The asset qualifier path asks one question: do your eligible assets, after the credit percentages, equal or exceed the entire loan amount? If so, you qualify on assets alone. No employment or income is documented. This path covers principal residences and second homes.
The asset depletion path converts usable assets into a monthly qualifying income. Usable assets are divided by 60 months, and that income must carry the housing payment and your other debts through a debt-to-income test. It covers principal residences and second homes, and it is the path that can reach investment property.
A borrower is qualified on one path at a time. Across the wholesale network Lendmire works with, the two tables never blend. A file reviewed on the qualifier path does not borrow a haircut from the depletion path, and the reverse is also true.
How Much of a Brokerage Account Counts on the Qualifier Path?
On the qualifier path, a brokerage account counts at 100% of the statement balance, through select programs and subject to underwriting. That puts it level with certificates of deposit, money market and savings. Accounts combine, so you can add them together toward the loan amount.
Retirement money is treated differently. A 401(k) or IRA counts at 90% if you are under age 59½ and at 100% once you reach 59½. The age break tracks the federal early-withdrawal rules. The IRS explains that distributions before 59½ generally carry a 10% additional tax, which is why a younger borrower’s retirement balance is trimmed.
Here is the basic shape of the math. Say the loan is $800,000. The borrower holds $330,000 in brokerage accounts (100% counts, so $330,000), $300,000 in a 401(k) at age 55 (90% counts, so $270,000) and $200,000 in savings (100% counts, so $200,000). That totals $800,000 of usable assets, which matches the loan, and the file is reviewed on assets alone. This is illustrative. The lender’s own calculation governs.
Notice what the percentage does not tell you. It does not say the account alone must be enough, and it does not say every dollar is free to use. That comes next.
The Catch: The Assets Must Cover the Whole Loan
The qualifier path is a coverage test. Eligible assets, after the credit percentages, must equal or exceed the entire loan amount. That is a high bar compared with the depletion path, where assets only need to generate enough monthly income.
The practical effect is that this path fits borrowers with very large balances relative to the loan. A retiree buying a home with a moderate loan against a seven-figure portfolio is the classic fit. A borrower with a $600,000 portfolio and a $750,000 loan is not, regardless of how the account is invested.
Leverage works inside that test. Programs typically allow up to 80% loan-to-value on a purchase and 75% on a refinance for a principal residence or second home. Loan amounts run up to $4,000,000. Whether cash-out proceeds are allowed on this path, and at what leverage, is set by the lender and is not published, so plan around purchases and straight refinances.
Reserves are straightforward. None are required at or below 75% loan-to-value. Above that, the lender sets them.
How the Depletion Path Treats the Same Account
If the loan is larger than your liquid pool, or the property is an investment property, the depletion path is the alternative. Here a brokerage account holding securities counts at 80%, not 100%, because market values can fall. Cash and CDs still count at 100%. Private stock counts at 75%, retirement accounts at 70% at any age, and real-estate equity at 60%.
| Asset type | Qualifier path | Depletion path |
|---|---|---|
| Brokerage (securities) | 100% | 80% |
| Cash, savings, money market | 100% | 100% (cash accounts) |
| Certificates of deposit | 100% | 100% |
| 401(k) / IRA | 90% under 59½, 100% after | 70% at any age |
| Private stock | Not published | 75% |
| Real-estate equity | Not published | 60% |
Then comes the conversion. The sanctioned example: $1,500,000 in securities counts at 80%, which is $1,200,000. Add $300,000 in cash at 100%, and usable assets reach $1,500,000. Divided by 60 months, that is $25,000 of monthly qualifying income. That income must then carry the housing payment and other debts through the debt-to-income test.
Two thresholds matter here. Qualified assets must be at least the lesser of $1,000,000 or 1.25 times the loan balance. And when asset income is your only income, at least $250,000 must be liquid. If you also have documented income, asset-derived income can supplement it up to a 45% debt-to-income ratio, and the minimum-assets rule is waived.
Leverage is lower here. On a principal residence or second home, it is up to 80% on a purchase or rate-and-term refinance and 60% on a cash-out refinance. On an investment property, it is up to 65% on a purchase or rate-and-term refinance and 60% on a cash-out. Cash-out proceeds never count as qualifying assets. Loan amounts run $125,000 to $3,500,000.
Which Path Fits Which Borrower?
The right path depends on how your wealth is shaped, and the flip point is simple.
If your eligible assets are at least as large as the loan, the qualifier path is cleaner. You document no income, the brokerage account counts in full, and the test is one comparison. Retirees, people who sold a business, and anyone sitting on an inheritance or settlement often land here.
If the loan is bigger than your liquid pool, the depletion path may work, but it asks more. Your portfolio gets haircut, divided by 60, and tested against your debts. A borrower with large balances and little documented income can still clear it, provided the pool is big enough to generate the income.
Neither path is right for someone who simply wants a bigger loan against thin assets. In that case the better question is whether a different program fits. Borrowers who document income through deposits belong in the bank statement program. Business-purpose rental financing runs on DSCR instead, covered in Lendmire’s complete DSCR loans guide. Asset-based loans on this page are consumer mortgages, so they follow consumer-lending rules, including the lender’s ability-to-repay review.
What Counts Inside the Account?
A brokerage statement is not one thing. The mix matters.
Cash sitting in the account, money market sweeps, and settled funds are the cleanest. Stocks, ETFs, mutual funds and bonds count as securities. On the qualifier path, those count at 100%, and on the depletion path at 80%.
Other holdings are harder. Cryptocurrency, precious metals, collectibles, pledged or borrowed funds, and business accounts beyond your ownership share 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. Never assume they count at some percentage.
On the depletion path, several account types are excluded outright: custodial accounts, deferred compensation, escrow accounts, foreign funds, cash on hand, stock options, non-vested restricted stock units, and funds from non-regulated financial companies.
One practical point on concentration. A single large stock position can be a risk even where the percentage is fixed. Across the network, some lenders look harder at a portfolio that rests on one holding, and a file like that benefits from showing diversification or extra cushion.
Seasoning, Statements and the Double-Counting Trap
Both paths verify the assets. “No income documentation” never means “no documentation.” The lender still reviews your credit and your statements.
On the qualifier path, expect 60 days of seasoning and two months of statements for each qualifying account. On the depletion path, statements must be at least 120 days old at application, plus the most recent statement within 45 days. Funds from the sale of a business, an inheritance or a legal settlement are excused from that seasoning on the depletion path.
Large recent deposits will draw questions. If money moved in last month, be ready to show where it came from.
Now the double-counting trap. Dollars committed to the deal cannot do two jobs. Suppose you plan to wire $200,000 from your brokerage account as a down payment. Those dollars leave the account. They no longer sit in the pool that proves you can cover the loan. On the qualifier path, run the test with post-down-payment balances, not the starting balance.
The same logic applies on the depletion path. Subtract what you commit to the down payment and closing costs before you divide by 60. A borrower who shows $1,500,000 but uses $300,000 at closing is working from $1,200,000 before the haircut.
Think of one account as having three possible jobs: qualifying, down payment, and cushion. Assign each dollar to one.
Credit and Eligibility Basics
The qualifier path publishes a 600 minimum credit score. The depletion path follows the lender’s matrix of score and loan amount, so it is best to ask for the matrix rather than assume a number. A first-time investor on the depletion path needs a 700.
Housing history is typically 0x30x12, meaning no 30-day late in the last twelve months, though one late payment may be considered case by case. Multiple bankruptcies are not eligible. A housing event on the depletion path needs four years of seasoning.
All of this is subject to underwriting and the specific lender’s overlays. None of it is an offer.
Market Swings Are Your Risk
Statement balances move. A drop between application and closing can shrink a pool that looked comfortable. On the depletion path especially, a market decline cuts both the 80% securities credit and the income built from it.
If your portfolio leans heavily on stocks, build a margin. A file that clears by a thin amount on the day of application can fall short a few weeks later. Many borrowers handle this by moving a portion of the account into cash or CDs, which count at 100% on both paths, though that decision belongs with your financial adviser, not the loan application.
The tax side deserves one line. Tax treatment can depend on how the funds are used and how the property is held; borrowers should keep clear records and speak with a qualified tax professional before relying on any deduction.
Is There a Pennsylvania-Specific Percentage?
No. The program figures here do not change by state. A Pennsylvania borrower sees the same percentages, seasoning periods and loan limits as a borrower elsewhere in the network. What differs is local context, such as property prices and insurance, which affects loan size but not the credit percentages.
Federal rules set the broad frame. Under the CFPB’s ability-to-repay provision, a lender must consider the borrower’s current or reasonably expected income or assets, other than the dwelling that secures the loan, and verify what it relies on. The rule lists eight underwriting factors a creditor must consider. It sets no brokerage haircut. That percentage is a program feature, not a federal number.
Key Terms Defined
Haircut: the share of an asset’s value that a program does not count, to allow for market risk.
Seasoning: how long funds must have sat in your account before they are eligible.
Divisor: the number of months, here 60, that usable assets are divided by to produce monthly income on the depletion path.
Usable assets: the balance left after applying credit percentages and subtracting amounts committed to the deal.
Imputed income: the monthly figure calculated from assets, not earned from a job.
Debt-to-income: monthly debts, including housing, as a share of qualifying income.
Frequently Asked Questions
Do I have to sell my stocks to qualify?
No. The assets stay in your accounts, and nothing is sold or pledged. The calculation is a qualifying convention, not a withdrawal plan. You only need to keep the funds in place and documented through the required statement period.
Does money I use for a down payment still count?
No, not twice. Dollars you commit to the down payment and closing costs come out of the pool first. On the qualifier path, the remaining eligible assets must still cover the entire loan. On the depletion path, they are subtracted before dividing by 60 months.
Can I use a brokerage account for an investment property?
Only on the depletion path. The qualifier path covers principal residences and second homes. On the depletion path, an investment property runs up to 65% on a purchase or rate-and-term refinance and 60% on a cash-out. Rental purchases that qualify on the property’s income usually run on a DSCR loan instead.
What if the market drops before closing?
It can shrink the pool. A lower statement balance means less usable assets, and on the depletion path less monthly income. Borrowers with a thin cushion are the most exposed. Holding some assets in cash or CDs, which count at 100%, can reduce that sensitivity.
Do cryptocurrency or business accounts count?
Not directly. They are not published as eligible on either path.
Next Step
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. Lendmire is a broker that arranges these loans through select lenders in its network.
Lendmire’s asset-based mortgage in Pennsylvania page presents the program for Pennsylvania borrowers.
About Lendmire
Lendmire — NMLS# 2371349 — is a mortgage broker that arranges bank statement, P&L-only, 1099-only and asset-based home financing in 16 states through wholesale lenders, on primary residences, second homes and investment properties. Every option is subject to the lender’s guidelines and full underwriting. Scotsman Guide named Lendmire a Top Mortgage Workplace in both 2025 and 2026.
Investors who want the broader program framework can review how DSCR loans work.
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References
1. IRS – Retirement Plans FAQs Regarding IRAs: Distributions
This article is part of Lendmire’s asset-based mortgage program — full qualification details, guidelines, and scenarios live on the program page.
Related reading: How Much of a Pension Lump Sum Counts Toward Asset Depletion Income? · Can Private Company Stock Count Toward an Asset Depletion Mortgage? · What Counts as an Asset Statement for a Mortgage?
Guides: Asset-Based Mortgage in Pennsylvania
Brandon Miller
Founder & CEO, Mortgage Loan Originator, Lendmire LLC
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Important disclosures. Lendmire (NMLS# 2371349) is a licensed mortgage brokerage. Lendmire is not a direct lender, depository institution, or financial advisor. All loan inquiries are subject to lender underwriting; this article does not constitute a commitment to lend. Rates, terms, and program guidelines are subject to change without notice and vary by borrower profile, property type, and state. Information in this article is general in nature and is not financial, legal, or tax advice. Equal Housing Opportunity. NMLS Consumer Access: nmlsconsumeraccess.org.