The Quick Read: Nobody sets a single dollar minimum, so the answer depends on the path and the loan size. On the asset qualifier path, eligible assets after the credit percentages must equal or exceed the entire loan amount. On the asset depletion path, usable assets divided by 60 months must carry the payment through the debt-to-income test, with minimum assets of at least the lesser of $1,000,000 or 1.25 times the loan, and never below $250,000 liquid when assets are the only income source.
- Asset qualifier path: up to 80% loan-to-value on a purchase and 75% on a refinance, loans to $4,000,000, subject to underwriting.
- Asset depletion path: up to 80% on a purchase of a principal residence or second home, loans from $125,000 to $3,500,000, through select programs.
- Both paths document the assets. No income is documented on the qualifier path, but statements always are.
- The down payment does not count as the asset that proves repayment ability.
- Michigan is one of the 16 states where Lendmire’s consumer mortgage lending is licensed.
Lendmire is a broker, so it arranges these loans through select lenders in its network. Programs change, every file is underwritten individually, and nothing here is a commitment to lend.
Which Path Fits a Retiree?
The first decision is whether the assets cover the loan outright or become income. A borrower is reviewed on one path at a time. Never blend the two tables.
The asset qualifier path fits a retiree with large balances and a modest loan. Eligible assets, after the percentages below, must equal or exceed the whole loan amount. No employment or income is documented. Credit needs a 600 minimum score, subject to underwriting.
The asset depletion path fits a retiree who wants a larger loan against the same balances, or who wants to add asset income on top of other documented income. Usable assets divided by 60 months become monthly qualifying income. That income has to carry the housing payment and other debts.
Picture a retiree selling a longtime Grand Rapids home and buying a smaller place near Traverse City. If the new loan is modest compared with the portfolio, the qualifier path is usually the cleaner fit. If the loan is large and the retiree wants to keep most assets invested, the depletion path is the one to test.
What Counts, and How Much?
Different accounts count at different percentages, and the two paths use different tables. The percentages below are the share of each balance that counts, subject to underwriting.
| Asset | Qualifier path | Depletion path |
|---|---|---|
| Brokerage accounts | 100% | Securities 80% |
| CDs | 100% | 100% |
| Money market and savings | 100% | Cash accounts 100% |
| 401(k) and IRA | 90% under 59½, 100% at 59½+ | 70% at any age |
| Private stock | Not published | 75% |
| Real-estate equity | Not published | 60% |
Accounts combine on the qualifier path. Here is an illustrative case, and the lender’s own calculation governs. An $800,000 loan with $330,000 in brokerage accounts (100%, so $330,000), $300,000 in a 401(k) for a borrower under 59½ (90%, so $270,000) and $200,000 in savings (100%, so $200,000) counts $800,000 of usable assets. That is reviewed on assets alone.
The depletion path works differently. Take $1,500,000 in securities (80%, so $1,200,000) plus $300,000 in cash (100%, so $300,000). That is $1,500,000 usable. Divided by 60 months, it produces $25,000 of monthly qualifying income. That income then carries the housing payment and other debts through the debt-to-income test.
Several asset types are not eligible on the depletion path. These include 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.
Cryptocurrency, precious metals, collectibles and pledged or borrowed funds are not published as eligible on either path. The documented route is converting them to a seasoned cash balance in a regulated account. The lender reviews the source of those funds.
How Much Do You Need in Dollars?
The honest answer is a range that scales with the loan. A federal rule says a lender may base its repayment decision on income, on assets other than the home being financed, or on both, per the CFPB’s Regulation Z page. The rule sets no dollar minimum.
On the qualifier path, the math is simple. Usable assets must equal at least the full loan. A retiree buying with 20% down on a purchase is borrowing 80% loan-to-value, so the portfolio, after the credit percentages, has to cover that loan on top of the cash needed for the down payment and closing costs. These specifics are subject to lender guidelines and a full review of property, leverage, and credit.
On the depletion path, the floor is the lesser of $1,000,000 or 1.25 times the loan balance, and never below $250,000 liquid when depletion is the only income source. Past that floor, the debt-to-income test decides. A larger housing payment needs more monthly qualifying income, which means more usable assets.
Market-wide, lenders tend to talk about several hundred thousand dollars to over a million, depending on the program. Those are survey-style ranges, not Lendmire’s network figures. The network figures are the ones above.
Step by Step: How Lenders Build the Number
1. List every account and apply the percentage for its type on your path.
2. Set aside the down payment and closing costs. The federal rule’s commentary says the down payment cannot be treated as an asset for the repayment determination, as one law-firm analysis of the rule explains.
3. On the qualifier path, compare usable assets to the entire loan. On the depletion path, divide usable assets by 60 to get monthly qualifying income.
4. On the depletion path, run the debt-to-income test with the new housing payment and every other debt.
5. Check seasoning and statement dates, covered next.
Seasoning and Statements
No income documentation never means no documentation. The assets are documented on both paths.
On the qualifier path, funds need 60 days of seasoning, with 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.
The most common snag is a large deposit with no paper trail. A retiree who moves money between accounts a month before applying can reset the clock. Leave the accounts alone and keep the statements in order. The federal rule also requires lenders to verify the assets they rely on with reasonably reliable third-party records, per the federal code text.
Leverage by Path
| Path and occupancy | Purchase | Refinance |
|---|---|---|
| Qualifier, principal residence or second home | Up to 80% | Up to 75% |
| Depletion, principal residence or second home | Up to 80% | 80% rate-and-term, 60% cash-out |
| Depletion, investment property | Up to 65% | 65% rate-and-term, 60% cash-out |
Cash-out proceeds never count as qualifying assets. The qualifier path’s cash-out treatment is set by the lender and is not published, so no figure is stated here. All of these are ceilings, not offers, subject to underwriting.
Mixing in Social Security, Pension or Rental Income
Asset-derived income may supplement documented income on the depletion path, up to a 45% debt-to-income ratio. When it supplements, the minimum-assets rule is waived. A retiree drawing Social Security and a pension may need far less in assets than one living on the portfolio alone.
Consider a retiree with documented pension income who falls just short on the debt-to-income test. Adding asset-derived income can close the gap without pushing the balances into a full-replacement structure. Whether that works depends on the program and the file.
Credit and Edge Cases
The qualifier path has a 600 minimum score. The depletion path follows the lender’s matrix. A first-time investor on the depletion path needs 700. Housing history is 0x30x12, and one 30-day late in the last twelve months is considered case by case. Multiple bankruptcies are not eligible, and a housing event needs 4 years of seasoning on the depletion path.
No reserves are required on the qualifier path at or below 75% loan-to-value. Above that, the lender sets them. The depletion path publishes no reserve months.
Some loans fall outside the ability-to-repay rule entirely. Reverse mortgages and short bridge loans are carved out of parts of it, per Cornell’s legal reference for the rule. This is a consumer mortgage, so standard consumer disclosures apply.
Rental or Residence: Which Lane?
The asset paths here are built for a home the retiree lives in or a second home. The depletion path also allows investment property, at lower leverage. For a pure rental purchase, DSCR loans are usually the better lane. DSCR loans are designed for non-owner-occupied investment properties. Because they are business-purpose investor loans, they are reviewed differently from a standard owner-occupied mortgage.
A DSCR loan is reviewed primarily on property-level rental income covering the payment, subject to lender guidelines. That keeps the portfolio out of the debt-to-income math and leaves it to support reserves. Programs below 1.00 coverage are available through select lenders in the network, but loan-to-value and terms adjust. The complete DSCR loans guide covers the mechanics.
A retiree with a large portfolio often uses both lanes: asset-based underwriting for the residence and DSCR for rentals. Lendmire’s piece How a Bank Statement Lender Turns Assets Into Income for a Retiree goes deeper on that split. For a different income story, see Lendmire’s article Can You Buy a Home Using 1099-K Platform Income Without Tax Returns?.
Key Terms Defined
Asset qualifier path: A structure where eligible assets must equal or exceed the entire loan, with no income documented.
Asset depletion path: A structure that divides usable assets by 60 months into monthly qualifying income.
Haircut: The share of a balance that does not count toward qualifying.
Seasoning: The length of time funds must sit in an account before they count.
Debt-to-income test: The comparison of monthly debts, including the new housing payment, to qualifying income.
What Michigan Retirees Should Do Before Applying
Keep the accounts steady and avoid moving money between them. Gather two months of statements for each account, plus older statements if the depletion path is likely. Decide whether the loan is small enough for the qualifier path. Check whether other documented income could lower the asset need. Tax treatment varies; consult a qualified professional.
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.
Frequently Asked Questions
Is there a minimum amount of assets for a Michigan retiree?
No regulator sets one. On the qualifier path, usable assets must cover the entire loan. On the depletion path, the minimum 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 source. Subject to underwriting.
Do retirement accounts count?
Yes. On the qualifier path, a 401(k) or IRA counts at 90% under age 59½ and 100% at 59½ or older. On the depletion path, retirement accounts count at 70% at any age. Nothing has to be sold or withdrawn.
Does the down payment count as one of the assets?
No, not for proving repayment ability. Cash used for the down payment and closing costs is set aside first. Only the remaining usable assets support the qualification.
Can I qualify with no income documentation at all?
On the qualifier path, no employment or income is documented. The assets are fully documented, with 60 days of seasoning and two months of statements per account. The lender’s ability-to-repay review rests on the assets.
Does Michigan change the program figures?
No. The percentages, seasoning and leverage are the same in every licensed state. Michigan taxes, insurance and local prices affect the payment, but they are context, not program parameters.
Lendmire’s asset-based mortgage in Michigan page presents the program for Michigan 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.
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References
2. Lexology: ability-to-repay analysis
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 an Assets-Only Mortgage Works · How Much of a 457 Plan Counts Toward Asset Depletion Income? · Dividend Income vs Asset Depletion for a Second Home Jumbo Loan
Guides: Asset-Based Mortgage in Michigan
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.