The Quick Read: Yes, a New Mexico buyer with no paycheck can often get a mortgage after paying cash, as long as the borrower holds enough documented liquid assets and the lender’s program accepts the property and the borrower’s credit profile, subject to underwriting. The loan is reviewed on statements, not on pay stubs, traditional personal-income documentation or employment verification. Those assets are fully documented, and every file is underwritten individually.
- Two paths exist. Assets cover the whole loan, or assets are converted into a monthly qualifying income.
- It is not a no-doc loan. Bank and brokerage statements are required on both paths.
- Cash spent on the house is gone from the asset count. Plan which accounts still qualify before wiring funds.
- Investment property uses the depletion path. Leverage is lower there, subject to underwriting.
- A rental can also qualify on rent. That route runs on the property’s income, not the borrower’s assets.
Lendmire is a mortgage broker. It arranges these loans through select lenders in its wholesale network, and consumer mortgage lending for this program is available in 16 states, New Mexico included. Nothing here is a commitment to lend.
Key Terms Defined
- Asset qualifier path: The loan is qualified on eligible assets alone, and no employment or income is documented.
- Asset depletion path: Usable assets are divided by 60 months to produce a monthly qualifying income, which then runs through the debt-to-income test.
- Seasoning: The length of time funds have sat in an account before they count.
- Source of funds: The paper trail that shows where the money came from.
- Delayed financing: A cash-out refinance on a recently bought cash house, offered under some programs as an exception to the usual waiting period.
- Usable assets: The share of each balance a program counts after its percentage credits.
Which Path Fits a Buyer With Cash and No Paycheck?
The right path depends on one question: do your assets cover the entire loan, or do they need to become income? A borrower is qualified on one path at a time, never a blend of both. Across the wholesale network, this is the first fork on every asset-based file.
| Factor | Asset qualifier | Asset depletion |
|---|---|---|
| What is documented | Assets only | Assets, converted to income |
| Test | Usable assets at least the whole loan | Derived income through debt-to-income |
| Best fit | Very large balances, light debt | Portfolio households needing an income number |
| Purchase leverage | Up to 80% | Up to 80% (primary or second home) |
| Refinance leverage | Up to 75% | Up to 80% rate-and-term, 60% cash-out |
| Loan size | Up to $4,000,000 | $125,000 to $3,500,000 |
These are ceilings from select programs, subject to underwriting, not offers. For an investment property, the asset depletion path applies: up to 65% on a purchase or rate-and-term refinance and up to 60% on a cash-out. For the program overview, see the asset-based mortgage program page.
What Counts as an Asset?
Eligible assets count at different percentages, and the percentages differ by path. Mixing the two tables is a common error on a first-pass worksheet.
Asset qualifier path: brokerage accounts, certificates of deposit, money market and savings count at 100%. Retirement accounts count at 90% under age 59½ and 100% at 59½ or older. Accounts combine.
Asset depletion path: cash accounts and CDs count at 100%, securities at 80%, retirement accounts at 70% at any age, and real-estate equity at 60%.
Privately held company stock is not an eligible asset on either path. Neither are stock options or non-vested restricted stock units on the depletion path. Cryptocurrency, precious metals, collectibles and borrowed or pledged funds are not published as eligible on either path. The documented route for any of those is converting them to a seasoned cash balance in a regulated account, with the source of the money reviewed by the lender.
Here is the shape of the math, labeled illustrative. On the qualifier path, an $800,000 loan with $330,000 in brokerage accounts (100% counts $330,000), $300,000 in a 401(k) under 59½ (90% counts $270,000) and $200,000 in savings (100% counts $200,000) shows $800,000 of usable assets. That covers the loan on assets alone. On the depletion path, $1,500,000 in securities (80% counts $1,200,000) plus $300,000 in cash (100% counts $300,000) is $1,500,000 usable. Divided by 60 months, that is $25,000 of monthly qualifying income, which then has to carry the housing payment and other debts through the debt-to-income test. The lender’s own calculation governs.
Does a Cash Purchase Start a Waiting Clock?
It depends on which kind of financing follows the cash purchase. The clock is a lender or agency rule, not a law, and programs set their own.
Agency loans are the clearest contrast. Fannie Mae‘s eligibility matrix shows a cash-out refinance is ineligible within six months of purchase unless the delayed financing exception applies. That agency path still runs full personal underwriting, so a buyer with no income cannot use it.
Asset-based programs do not borrow that clock the same way. Seasoning here attaches to the accounts, not to the house:
- 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. Funds from the sale of a business, an inheritance or a legal settlement are excused from that seasoning.
Any cap tied to the original purchase price, and how a cash-out is treated on a recent purchase, is set by the individual lender and varies. Ask before you close on the house, not after. For a related look at pulling money back out after buying, Lendmire’s piece Can a Texas Buyer Get a Mortgage After Paying Cash for a House With No Income? covers the same program mechanics, which do not change by state.
Sequence It Right Before You Wire Funds
Order of operations decides these files. Paying cash can drain the very accounts that would have qualified the loan.
1. Inventory every account. List balances, account types and ages. Note which accounts clear the seasoning rules.
2. Decide which path you will use. Run the usable-asset math for both. Do not assume one path before checking.
3. Protect the qualifying accounts. Pay cash from accounts you can spare. If the winning accounts fund the purchase, the loan may no longer work.
4. Keep the settlement statement. It shows the purchase was all cash, with no purchase-money financing.
5. Document source of funds. Statements, wires and any sale or inheritance paperwork should line up.
6. Talk to a broker before closing. Cash that has already left the account cannot be counted.
The Paper Trail
No traditional personal-income documentation, pay stubs or employment verification are requested on the qualifier path. That does not mean no paperwork. Expect these on most files:
- Two months of statements for each qualifying account on the qualifier path, or the 120-day and 45-day statement set on the depletion path.
- The original settlement statement showing a cash purchase, if you are refinancing.
- ID, title, appraisal and the property’s insurance details.
- Entity documents, if the house sits in an LLC. Eligible vesting depends on lender program requirements. Fannie Mae’s archived guide is one example, allowing a cash purchase in the name of an LLC or partnership owned 100% by the borrower. Asset-based programs set their own rules.
Messy sources of funds are where files stall. Proceeds from selling a business, an inheritance or a legal settlement are the usual ones. They are treated more flexibly on the depletion path for seasoning, but the lender still reviews the source. Gifted or borrowed money is a different story: pledged or borrowed funds are not published as eligible, so keep those out of the qualifying balance. A prior loan against the house also undercuts the cash-purchase story.
What Do Credit and Minimums Look Like?
Credit still matters. On the qualifier path the published floor is a 600 score. The depletion path follows the lender’s matrix, and a first-time investor on that path needs a 700. Housing history is typically 0x30x12, with a single 30-day late in the last twelve months considered case by case. Multiple bankruptcies are not eligible, and a housing event needs 4 years of seasoning on the depletion path.
Depletion path minimums are real. Qualified assets must be at least the lesser of $1,000,000 or 1.25 times the loan balance, and never below $250,000 liquid when depletion is your only income source. If asset-derived income only supplements documented income, it can count up to a 45% debt-to-income ratio, and the minimum-assets rule is waived.
Reserves are simple on the qualifier path: none required at or below 75% loan-to-value, and above that the lender sets them. All of this is subject to underwriting and lender guidelines.
When the House Is a Rental
If the house is an investment property, there is a second route. A business-purpose investor loan is reviewed primarily on property-level rental income covering the payment, subject to lender guidelines. The business-purpose distinction is the reason these loans are reviewed differently from an owner-occupied mortgage. A nuance applies as well: if you will live in the property within the coming year, credit to acquire it counts as business purpose only when the property has more than two housing units.
Coverage is monthly rent divided by the full monthly obligation, taxes, insurance and any HOA dues included. A ratio at or above 1.00 means rent covers the payment. Select lenders in the network also offer programs below 1.00, though leverage and terms adjust. A signed lease strengthens the file, and the appraisal’s rent schedule sets market rent.
For a retiree or business-sale seller with a rental, this gives a choice. Qualify on assets, or qualify on rent.
One practical limit: borrowing against a recent cash purchase usually sizes off what you paid, not what you hope the house is worth. Renovation spending after closing generally does not raise borrowing power. Cash-out proceeds from the new loan never count as qualifying assets on the depletion path.
Pay Cash or Finance and Keep Assets Invested?
Neither is always better. The tradeoff is simple.
| Choice | Upside | Cost |
|---|---|---|
| Pay cash | Stronger offer, fewer contingencies | Liquidity drops, accounts shrink |
| Finance up front | Portfolio stays invested | Loan qualification happens first |
| Cash first, loan later | Offer strength plus cash back | Needs the right accounts left over |
Cash first, loan later works only if enough eligible balance remains afterward. It also costs money to set up twice. Closing costs on the later loan, and any prepayment terms on an investment loan, can eat into the benefit of a quick recycle. Tax treatment varies; consult a qualified professional.
Three Scenarios
A retiree in Santa Fe. Picture a borrower living on a brokerage portfolio who buys a home for cash and keeps a large securities balance. Securities count at 80% on the depletion path. If the total clears the minimum-assets rule, the converted income can carry the payment through the debt-to-income test.
A business-sale seller in Albuquerque. Say the owner sells a company and holds the proceeds as cash. Those funds are excused from the depletion path’s seasoning, though the source is still reviewed. The route works as cash, not as the old company stock, because privately held stock is not eligible.
An inheritance buyer near Las Cruces. Consider a borrower who inherits money, buys a rental for cash and holds most of the rest in savings. Savings count at 100%. Whether the qualifier path or the rent-based route fits better depends on the loan size and the property’s coverage.
New Mexico Notes
The program figures do not change by state. What changes is closing practice. New Mexico is one of the 16 states where Lendmire’s consumer lending is licensed. Title and escrow handling, recording, and community-property questions for married borrowers are matters for a New Mexico title company or attorney. Confirm them before you rely on them. Rural and manufactured-home title issues also deserve an early look.
When This Is the Wrong Move
Skip it if thin balances would be stripped out by the cash purchase. Skip it if you need the cash for reserves. Skip it if the house was bought with hard money, a bridge loan or seller financing, since the settlement statement would not read as a cash purchase. Fannie Mae’s guide also requires an arm’s-length original purchase for its own exception, so family-sale deals draw extra scrutiny.
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. Reach the team at 828-256-2183 or through the quote request page.
Frequently Asked Questions
Is this a no-doc loan?
No. There are no traditional personal-income documentation, pay stubs or employment verification on the qualifier path, but statements, title, appraisal and source-of-funds paperwork are all required. Every file is fully underwritten.
Can I get all my cash back after buying?
Usually not. Sizing generally follows leverage limits and, on a recent purchase, often what you paid rather than appraised value. Renovation money spent afterward typically does not count. Terms are lender-specific.
Does my private company stock count?
No. Sell or convert it, let the proceeds season in a regulated account, and use the cash balance.
What if my assets are in a 401(k)?
They count, at different percentages by path. On the qualifier path, 90% under 59½ and 100% at 59½ or older. On the depletion path, 70% at any age.
Does the same answer apply to a primary home?
Yes, the asset-based paths cover a principal residence or second home at the leverage shown above, subject to underwriting. Investment property uses the depletion path at lower leverage.
Lendmire’s asset-based mortgage in New Mexico page presents the program for New Mexico borrowers.
About Lendmire
Lendmire (NMLS# 2371349) is a mortgage brokerage serving self-employed and high-net-worth borrowers in 16 states. Bank statement, P&L-only, 1099-only and asset-based mortgages are arranged through wholesale lending channels; Lendmire brokers the financing and the lender underwrites each application. Scotsman Guide named Lendmire a Top Mortgage Workplace in both 2025 and 2026.
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References
1. Fannie Mae
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 Cash Can a New Mexico Homeowner Take Out on an Asset Depletion Refinance? · Asset-Based Mortgage vs Full-Doc Jumbo for a High-Net-Worth Tennessee Buyer · Can an Indiana Buyer Get a Mortgage After Paying Cash for a House With No Income?
Guides: Asset-Based Mortgage in New Mexico
Brandon Miller
Founder & CEO, Mortgage Loan Originator, Lendmire LLC
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Legal disclosures. Lendmire (NMLS# 2371349) is a state-licensed mortgage brokerage that arranges financing through wholesale lender relationships. Lendmire is not a direct lender, depository institution, or registered financial advisor. The discussion above is general informational content about real estate financing — it is not financial, legal, or tax advice, and readers should consult licensed professionals for guidance on their individual circumstances. Loan inquiries are subject to lender underwriting; this article does not represent a commitment to lend. Loan terms, rates, and qualification standards vary by borrower, property, and state, and are subject to change at any time. Equal Housing Opportunity. NMLS Consumer Access: nmlsconsumeraccess.org.