The Quick Read: Stock pay does not have to be shown as income to buy a home, because vested shares held in a brokerage account can count as assets, either covering the whole loan on the asset qualifier path or converting into monthly qualifying income on the asset depletion path, while unvested restricted stock units count on neither. Nothing has to be sold for the depletion math to work. The path you pick sets the leverage, the paperwork and the property types available.
- Vested, delivered shares in a brokerage account are eligible assets. Unvested restricted stock units and stock options are not.
- The asset qualifier path covers the entire loan with assets and documents no employment or income.
- The asset depletion path divides usable assets by 60 months into qualifying income, then runs the debt-to-income test.
- A borrower is qualified on one path at a time. The two tables never blend.
- A rental purchase that you want underwritten on the property’s rent usually belongs in a DSCR loan instead.
One clarification first. “Texas Tech” here means technology-sector employees in Texas, the Austin, Dallas and Houston workforce paid largely in restricted stock units. It does not mean the university. If you work at the university and hold no stock pay, the stock sections below do not apply, but the asset math still works on any portfolio you own.
Why Stock Pay Looks Weak on a Standard File
A high earner paid mostly in stock can look thin on a conventional mortgage file. Conventional underwriting treats restricted stock units as income. That means a history of vests, proof that vesting continues, and a lender willing to average lumpy payouts. A new grant, a new employer or a falling vest pattern can shrink or erase the income.
Here’s the catch. The shares you already own are not any of that. Once a unit vests and settles into a brokerage account, it is a security with a balance on a statement. Asset-based underwriting looks at the balance, not the pay history. That is the whole idea behind getting a mortgage on assets.
The borrower has seven figures in vested shares and a documented income that a conventional lender will not fully count. The asset programs exist for that profile.
Two Paths: Assets Cover the Loan, or Assets Become Income
Both paths use your holdings. They use them differently, and the choice drives everything else. The programs below are placed through select lenders in Lendmire’s network, subject to underwriting. Figures are ceilings and floors, not offers.
| Factor | Asset qualifier path | Asset depletion path |
|---|---|---|
| How assets are used | Cover the entire loan amount | Divided by 60 months into income |
| Income documented | None | Derived income; may supplement real income |
| Property types | Principal residence, second home | Residence, second home, investment property |
| Purchase leverage | Up to 80% | Up to 80% residence or second home; 65% investment |
| Refinance leverage | Up to 75% | 80% rate-and-term, 60% cash-out on a residence or second home; 65% rate-and-term, 60% cash-out on investment property |
| Loan amounts | Up to $4,000,000 | $125,000 to $3,500,000 |
Cash-out leverage on the qualifier path is set by the lender and is not published, so no figure is stated here. On the depletion path, cash-out proceeds never count as qualifying assets.
How the Asset Qualifier Path Works
The rule is simple. Eligible assets, after the credit percentages below, must equal or exceed the entire loan amount. No employment or income is documented. The assets themselves are documented in full. “No income documentation” never means “no documentation.”
What counts, as a share of the balance:
- Brokerage accounts, certificates of deposit, money market and savings count at 100%.
- Retirement accounts (401(k) and IRA) count at 90% under age 59½ and 100% at 59½ or older.
- Accounts combine.
For a stock-paid borrower, the brokerage line is the one that matters. Vested shares sitting in a brokerage account count at 100% of the balance on this path, subject to underwriting.
Seasoning is 60 days, with two months of statements for each qualifying account. Credit starts at a 600 minimum score. Reserves are not required at or below 75% loan-to-value. Above that, the lender sets them.
Illustrative arithmetic, with the lender’s own calculation governing: an $800,000 loan with $330,000 in brokerage accounts (100% counts, so $330,000), $300,000 in a 401(k) under 59½ (90%, so $270,000) and $200,000 in savings (100%, so $200,000) counts $800,000 of usable assets. That file is reviewed on assets alone. Same borrower, same statements, no pay stub in the file.
How the Asset Depletion Path Works
This path turns a balance into income. The lender takes eligible assets after haircuts, divides by 60 months, and uses the result as monthly qualifying income. That income then carries the full housing payment and other debts through the debt-to-income test. Nothing is sold. The depletion is a math model only, and the portfolio stays invested.
Share of the balance that counts on this path:
- Cash accounts and certificates of deposit at 100%.
- Securities at 80%.
- Private stock at 75%.
- Retirement accounts at 70% at any age.
- Real-estate equity at 60%.
Not eligible on this path: 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.
Illustrative arithmetic, again with the lender’s calculation governing: $1,500,000 in securities (80%, so $1,200,000) plus $300,000 in cash (100%) is $1,500,000 usable. Divide by 60 months and you get $25,000 of monthly qualifying income. That income then has to carry the housing payment and other debts.
The minimums matter. Qualified assets must be at least the lesser of $1,000,000 or 1.25 times the loan balance. When asset depletion is the only income source, liquid assets can never fall below $250,000. If derived income only supplements documented income, up to a 45% debt-to-income ratio, the minimum-assets rule is waived.
Seasoning differs from the qualifier path. Statements must be at least 120 days old at application, plus the most recent statement within 45 days. Credit follows the lender’s matrix. A first-time investor on this path needs a 700 score. Housing history is 0x30x12, and a housing event needs 4 years of seasoning.
What Counts, and What Doesn’t (Stock-Pay Edge Cases)
The general rule is that the asset has to be vested, delivered and liquid enough to appear on a statement. These are the places that rule gets tested.
Unvested restricted stock units. A grant is a promise. It is not an asset until it vests. Non-vested units are not eligible on the depletion path, and on the qualifier path there is nothing to count. A big new grant does not help yet.
Stock options. Not eligible on the depletion path. Exercise them and hold the shares in a brokerage account, and the shares become a security with a balance.
Employee stock purchase plan shares. Once the shares sit in a brokerage account, they are securities like any other. The plan’s portal summary is not a qualifying statement. The brokerage statement is.
Private-company stock. It counts on the depletion path at 75%, subject to underwriting. The qualifier path lists no private stock line. Expect extra questions on valuation and documentation.
Concentrated single-stock positions. The published haircut is the same for any security. The lender’s review still looks at what the file shows. Share counts and prices move, and the lender works from the statement it has.
A vest that lands mid-file. The share count and price change during the file. The lender will generally use the most recent statement. Pull a fresh statement after a vest, and do it before the file goes in.
Crypto, precious metals, collectibles and borrowed funds. 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. They never count at a percentage.
Cash from a recent share sale. Large deposits draw questions. Keep the proceeds in the account where the shares were sold, and keep the trail intact: trade confirmation, settlement and statement. Settlement reconciliation is the document lenders want to see.
Sell or Hold? (The Decision Behind the Math)
On the depletion path you do not have to sell. The model needs the balance on the statement, not a sale. That is the main reason borrowers choose it. You keep the position invested.
The qualifier path is different in practice. If the usable balance has to cover the entire loan amount, many borrowers need to commit large balances to the file. A sale may be part of the plan for the down payment and closing costs in either case. Exact terms depend on lender and investor guidelines, credit profile, reserves, and property review.
One tax sentence belongs here. Restricted stock units are taxed as wages when they vest, and withholding at vest can fall short of the final bill, per a CPA tax guide on RSU taxation, so tax treatment varies and a qualified professional should review the plan before sale proceeds are counted toward the purchase. A tax-education guide to the IRS rules adds that the vest-date value sets the basis for later gains.
Honestly, this is a genuine toss-up for some borrowers. Selling reduces concentration risk but triggers tax. Holding keeps upside but ties the file to a share price that can move before closing.
When the Property Is a Rental (DSCR Is Usually the Cleaner Route)
If the home is a pure rental, stock pay may not need to be shown at all. 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, as Regulation Z draws that line between consumer and business credit.
A DSCR file qualifies primarily on property-level rental income covering the payment, subject to lender guidelines. The coverage ratio is monthly rent divided by principal, interest, taxes, insurance and any HOA dues. Personal debt-to-income is not computed. Pay stubs, W-2s and employment verification are not the center of the file.
The stock-paid borrower still has paperwork. Expect credit, identity, entity documents if an LLC holds title (subject to program terms), and reserves. Reserves are where vested shares come in. Brokerage statements show the cash behind the file. Programs below a 1.00 coverage ratio are available through select lenders in the network, but leverage and terms adjust.
Lendmire’s complete DSCR loans guide covers coverage ratios, leverage and documents in full. The trade-off for the borrower is plain: a business-purpose loan skips the personal income test but lacks the consumer-loan protections and prices as a non-qualified product.
Residence or rental, this is the split:
| Situation | Usually fits |
|---|---|
| Primary home, large vested portfolio, thin documented income | Asset qualifier or asset depletion |
| Primary home, steady vest history, strong documented income | Conventional or jumbo, full documentation |
| Rental purchase, rent covers the payment | DSCR |
| Investment property you want to qualify on personal assets | Asset depletion, at 65% on a purchase |
Documents and Order of Operations
Clean statements prevent most of the delays. The checklist, in order:
1. Decide the path. Assets cover the loan (qualifier), or assets become income (depletion). Pick one before pulling documents.
2. Pull brokerage statements. Qualifier path: two months for each qualifying account, 60 days of seasoning. Depletion path: statements at least 120 days old plus the most recent within 45 days.
3. Separate vested from unvested. Shares counted must be delivered and settled. Leave portal screenshots of unvested grants out of the asset package.
4. Source large deposits. Any sale proceeds need the trade confirmation and the settlement record, kept in the account that holds them.
5. Check credit and housing history. The qualifier floor is a 600 score. The depletion path follows the lender’s matrix, and 0x30x12 is the housing standard.
6. Match the leverage to the property. Purchase, refinance and cash-out each carry a different ceiling, and investment property carries the lowest.
7. Refresh statements after a vest. The lender works from the latest one it has.
Lendmire’s pieces on how a super jumbo mortgage works for executives paid in stock and on how executives paid in stock qualify for a jumbo mortgage with bank statements cover the larger-loan side of this same profile.
Texas Notes
The program figures do not change by state. Consumer mortgage lending is licensed in 16 states, and Texas is one of them. State facts like taxes, insurance and local prices are context, not program parameters. A Texas-based tech borrower in Austin, Dallas or Houston faces the same ceilings and haircuts as anyone else in a licensed state.
Key Terms Defined
Restricted stock unit (RSU): A promise of company shares that become yours when they vest.
Vested: The shares have been delivered to you and are no longer subject to the vesting schedule.
Asset qualifier path: Eligible assets must cover the whole loan amount, and no income is documented.
Asset depletion path: Usable assets divided by 60 months become monthly qualifying income.
Haircut: The share of an account balance the lender does not count.
Seasoning: The length of time funds must sit in an account before they count.
DSCR: The rent-to-payment coverage ratio used on business-purpose rental loans.
Frequently Asked Questions
Do I have to sell my shares to qualify?
No on the depletion path. The calculation is a model, and the portfolio stays invested. On the qualifier path, usable assets must cover the entire loan, so a sale may be part of the plan depending on balances. Either way, tax treatment varies, and a qualified professional should review the sale.
Do unvested restricted stock units count?
No. Non-vested units are not eligible on the depletion path, and they are not a balance on a statement on the qualifier path. Only vested, delivered shares count.
What if I’m paid in options or hold private-company stock?
Options are not eligible on the depletion path until exercised into shares you hold. Private stock counts at 75% on that path, subject to underwriting and documentation. Neither is listed as a qualifier-path asset in this program.
What if my stock drops mid-file?
Balances move, and the lender generally works from the most recent statement. A drop can lower usable assets, and on the depletion path it lowers derived income. Keep a cushion above the minimums and refresh statements before submission.
Is this different for employees of the university?
The program is the same. What differs is the asset base. A salaried employee with no stock pay has no vested shares to count, but any brokerage, savings or retirement balance qualifies under the same percentages.
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 places these loans through select lenders in its wholesale network, and every file is underwritten individually. Reach the team at 828-256-2183.
Austin, Dallas and Houston employers keep paying in stock, and the borrowers holding vested shares are the ones whose statements, not pay stubs, carry the file.
Lendmire’s asset-based mortgage in Texas page presents the program for Texas 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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Informational only. Not a Loan Estimate, approval, or commitment to lend. Program availability and eligibility are subject to lender guidelines, credit approval, property review, and underwriting.
References
1. How RSUs Are Taxed, Hiltzik CPA
2. IRS Publication 525 RSU Guide, Vesting Strategy
3. Regulation Z (12 CFR 1026), Consumer Financial Protection Bureau
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 Does a Startup Founder Need in Assets to Qualify for a Mortgage? · Can a Georgia Buyer Qualify for a Mortgage on IRA Assets Without Withdrawals? · Can a Tennessee Divorce Settlement Count as Assets for a Mortgage?
Guides: Asset-Based Mortgage in Texas
Brandon Miller
Founder & CEO, Mortgage Loan Originator, Lendmire LLC
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Disclosures. The information presented in this article is general market commentary, not financial, legal, or tax advice. Lendmire is a mortgage brokerage (NMLS# 2371349) — not a direct lender or depository institution — and loan placement is subject to lender underwriting. Nothing in this content represents a commitment to lend. Loan terms, pricing, and program availability vary based on borrower qualifications, property characteristics, and state of subject property, and are subject to change at any time. Lendmire complies with Equal Housing Opportunity requirements. Consumer access: nmlsconsumeraccess.org.