The Quick Read: Stock pay looks thin on a loan application until the shares vest and land in a brokerage account. Once they do, they become documented assets, and asset-based programs can use those assets to qualify you instead of a paycheck history. Which of the two paths fits depends on how much vested stock you hold, the property type, and how you will occupy it.
- Only vested shares count. Unvested restricted stock units and stock options are not eligible assets on the program paths described here.
- Path one: the asset qualifier path covers the entire loan with eligible assets and documents no employment or income.
- Path two: the asset depletion path divides usable assets by 60 months to create a qualifying income.
- Rentals run differently. A rental purchase can qualify on the property’s rent, and the stock only has to supply the down payment and reserves.
- Same rules in Montana. Program figures do not change by state, and every file is underwritten individually.
Here, “Montana tech employees” means tech workers who live in Montana, not the university in Butte. It covers people on a Montana payroll and people who work remotely for an out-of-state employer. The loan works the same either way, because the lender looks at your assets and the property.
Why Does a Stock-Heavy Paycheck Look Small on Paper?
A stock-heavy paycheck looks small because underwriters count what you own and can document, not what you have been promised. Unvested stock is a promise. Vested shares in your brokerage account are property.
Picture a software engineer whose offer letter pairs a modest base salary with a large restricted stock unit (RSU) grant. A restricted stock unit is a promise of company shares that arrive on a vesting schedule. Until a tranche vests, you do not own it. Once it vests, the value shows up as W-2 wages for that year, as Carta’s RSU explainer describes.
That creates a gap. A conventional lender wants a vesting history, a stable employer and paperwork showing the income will continue. A recent job change, a short vesting record or a swinging share price can shrink the income a lender will count. That can happen even when your vested balance is large.
Asset-based programs read the same file differently. They ask how much you hold in eligible accounts today and whether the statements prove it. Your pay stubs matter much less. These programs run on statements, not on traditional personal-income documentation, pay stubs or employment verification.
Key Terms Defined
Vested shares: Company shares you now own outright, usually delivered to a brokerage account.
Asset qualifier path: An asset-based route where eligible assets must equal or exceed the entire loan, and no employment or income is documented.
Asset depletion path: An asset-based route that divides usable assets by 60 months to create monthly qualifying income.
Seasoning: The time money has sat in an account before a lender will count it.
Haircut: The share of an asset’s balance a lender refuses to count, because the value can move.
Debt-to-income (DTI) ratio: Your monthly debts, including the new housing payment, compared with your monthly income.
Business-purpose loan: A loan for an investment property, not for the home you live in.
What Counts as Paid in Stock?
Only shares you own count. The table below gives the verdict for each common pay type on the asset-based paths.
| Type of stock pay | Counts as an asset? | Why |
|---|---|---|
| Vested RSUs in a brokerage account | Yes, as securities | You own them and can document them |
| Unvested RSUs | No | Not yet owned |
| Stock options | No | Not eligible on the depletion path |
| Employee stock purchase plan shares, once bought | Yes, as securities | They sit in an account you own |
| Private-company shares | Depletion path only, at 75% | Eligible only through select programs |
| Sign-on stock not yet vested | No | A promise, not property |
Private shares come with a catch. Illiquid shares are harder to value, and the lender’s own review governs. If your employer is private, ask early whether your shares qualify at all.
Path One: Let the Assets Cover the Whole Loan
The asset qualifier path works when your eligible assets, after the credit percentages below, equal or exceed the entire loan amount. No employment or income is documented. The file rests on the assets, credit and the property.
Here are the program ceilings, subject to underwriting and offered through select programs:
- Leverage: up to 80% loan-to-value on a purchase and up to 75% on a refinance, for a principal residence or second home.
- Loan size: up to $4,000,000.
- Credit: a 600 minimum score.
- Reserves: none required at or below 75% loan-to-value. Above that, the lender sets them.
- Seasoning: 60 days, with two months of statements for each qualifying account.
Not every dollar counts at face value. Brokerage accounts, certificates of deposit, money market and savings count at 100%. A 401(k) or IRA counts at 90% if you are under age 59½ and 100% at 59½ or older. Accounts combine.
Here is the shape of a qualifying file, and the lender’s own calculation governs. Take an $800,000 loan. A borrower holds $330,000 in brokerage accounts, which counts at 100% for $330,000. They also hold $300,000 in a 401(k) while under 59½, which counts at 90% for $270,000. Another $200,000 sits in savings at 100%. That adds up to $800,000 of usable assets, which covers the loan and qualifies it on assets alone.
For an equity-paid employee, the brokerage line is where vested shares land. Many tech workers who built up a vested position over several years are surprised how much counts. Others find the opposite problem: most of their wealth is unvested, so it counts for nothing today.
Cash-out proceeds on this path are set by the lender and are not published, so do not plan around them.
Path Two: Turn the Assets Into Monthly Income
The asset depletion path takes a different approach. It converts usable assets into a monthly qualifying income, and that income must carry the full housing payment and your other debts through the debt-to-income test. Pick this path when your assets are large, but not large enough to cover the whole loan.
The conversion is simple. Usable assets, after the haircuts, are divided by 60 months. Here is the shape of a file, again illustrative. A borrower holds $1,500,000 in securities, which counts at 80% for $1,200,000. They also hold $300,000 in cash at 100%. That is $1,500,000 of usable assets. Divided by 60 months, it produces $25,000 of monthly qualifying income. That figure then has to cover the housing payment and other debts.
The haircuts are where stock holders feel it. On this path, cash and certificates of deposit count at 100%, securities at 80%, private stock at 75%, retirement accounts at 70% at any age, and real-estate equity at 60%. Vested shares of a public employer are securities, so they take the 80% treatment.
Here is what the path asks of you:
- Minimum assets: the lesser of $1,000,000 or 1.25 times the loan balance. It is never below $250,000 liquid when asset depletion is your only income source.
- Statements: at least 120 days old at application, plus the most recent statement within 45 days.
- Credit: the lender’s score and loan-amount matrix applies, and a first-time investor needs a 700 score.
- Housing history: 0x30x12, and a single 30-day late in the last twelve months is considered case by case.
- Loan size: $125,000 to $3,500,000.
- Leverage: up to 80% on a purchase or rate-and-term refinance and 60% on a cash-out refinance for a principal residence or second home. Investment property tops out at 65% on a purchase or rate-and-term refinance and 60% on a cash-out.
Asset income can also supplement documented income, up to a 45% debt-to-income ratio. In that case the minimum-assets rule is waived. That fits an employee with a base salary plus a large vested position.
One caution before you count a share twice. Do not assume the same shares can serve as income and as reserves. The lender’s calculation decides what each asset is allowed to do.
Path Three: A Rental Purchase Runs on the Rent
If you are buying a rental, you may not need either path above. Rental financing is usually a debt service coverage ratio (DSCR) loan. That is a loan that qualifies primarily on property-level rental income covering the payment, subject to lender guidelines.
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.
For a stock-paid buyer, that changes what the stock has to do. Vesting cliffs, grant valuations and a short earnings history are not part of the rent-versus-payment test. The stock matters in one place: the down payment and reserves. Unvested shares cannot fund either, and vested shares have to be sold and sitting in an account with statements behind them.
Some borrowers want a different outcome. They want to use their own assets as the basis for an investment property. The asset depletion path allows that on investment property, at the lower 65% and 60% leverage limits above. It is business-purpose, and it runs through the debt-to-income test. For a pure rental purchase, DSCR is usually the more natural fit. For a buyer whose rent will not cover the payment, or who prefers the asset route, depletion is the alternative. Select lenders in the network review coverage below 1.00, with leverage and terms adjusted in those scenarios.
How the Routes Compare
| Factor | Asset qualifier | Asset depletion | DSCR rental |
|---|---|---|---|
| What is tested | Assets cover the whole loan | Assets become monthly income | Rent versus payment |
| Stock treatment | Brokerage at 100% | Securities at 80% | Down payment and reserves only |
| Best fit | Large vested balance, any income | Strong assets, needs income to qualify | Rental purchase |
| Main drawback | Assets must cover the entire loan | Haircuts and DTI test | Property must support the payment |
Which Route Fits You?
The right route follows from three questions. What are you buying? How much vested stock and cash do you hold? Does the income you can document fall short?
- A primary residence, with vested assets above the loan amount. The asset qualifier path is the direct fit. Your income is not part of the test.
- A primary residence, with large assets but not enough to cover the loan. The asset depletion path converts them into income, and your DTI decides the outcome.
- A rental that earns enough to cover its payment. Look at DSCR first. The stock only has to source the down payment and reserves.
- A rental where the rent will not carry the payment. Compare asset depletion at the lower investment-property leverage, or ask about a lower-coverage DSCR structure with adjusted leverage and terms.
- Mostly unvested stock. None of these paths can use it yet. Wait until vesting converts it into shares in your account.
Consider a scenario where an employee’s vested position is split across a brokerage account and a retirement account. The brokerage side counts at full value on the qualifier path. On the depletion path, the same shares are securities at 80% and the retirement balance is at 70%. The same borrower can come out stronger on one path than the other. Running both is how you find out.
Across Lendmire’s wholesale network, the pattern is steady. The strongest files show clean, seasoned statements and a loan well inside the usable-asset total. The shakiest show a brokerage balance built last month from a stock sale, with no history behind it.
What Should a Montana Borrower Expect?
The program figures are the same in Montana as anywhere else the program is offered. Consumer lending for this program is licensed in 16 states, and Montana is one of them. A Montana address does not change the percentages, the seasoning or the loan limits.
Several local patterns do matter in practice:
- Remote work for an out-of-state employer. Your employer’s location does not enter the asset test. Your statements and your property do.
- Mountain-town second homes. A second home is eligible on both asset paths, with the same leverage as a principal residence. Second-home status depends on how you will use the property.
- Rural and non-metro property. Property type and location can narrow lender appetite, and appraisals in thin markets take extra care. Your lender will review the property on its own merits.
- Short-term rentals. Short-term rental rules can vary by city, county, HOA, and property type, so investors should confirm local rules before relying on projected rental income.
State-level prices and insurance costs are context for your budget, not program parameters.
Where the General Rule Breaks
The rule so far is that vested stock in a brokerage account counts. Several cases break it.
Cash from a recent sale. Selling shares to fund a purchase is common. The proceeds then sit as cash, and cash has to season. Sell early enough that statements show the balance for the required period.
Cash left after withholding. Employers typically withhold taxes by selling part of each vest, and Bankrate notes that companies commonly use shares for this. The net shares that reach your account are what you can use. A flat withholding rate can fall short of what a high earner owes, so set tax money aside before treating a vest as down payment cash. Lido Advisors describes how default withholding often under-covers larger earners. Tax treatment varies; consult a qualified professional.
A falling share price. The statement balance is what the lender counts, and a drop in the stock shrinks it. A position concentrated in one company swings more than a diversified account. Before you apply, work out how your file looks if the price falls.
Private-company shares. These count only on the depletion path, at 75%, and through select programs. They are hard to value, and a lender may handle them differently from public shares.
Other assets. 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, with the source reviewed by the lender.
Ineligible depletion assets. 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 are all excluded.
Cash-out proceeds. On the depletion path, cash-out proceeds never count as qualifying assets.
How Much Should You Actually Borrow?
The maximum a file supports and the amount you should borrow are different numbers. Stress-test yours before you apply.
- Cut the stock position in your head. Assume your concentrated holding drops sharply. Ask whether the plan still works.
- Plan for the tax bill. Hold back money for taxes before you count any vest as spendable.
- Count leftover liquidity. After the down payment, ask how much cash remains for repairs, vacancies and surprises.
- Check the leverage. A loan well below the ceiling leaves more room if your assets move.
- Respect the debt-to-income test. On the depletion path, derived income has to carry the housing payment and your other debts.
What Documents Do You Need, and in What Order?
You need statements for every account you plan to use, plus a credit review and the property details. The lender then reviews third-party records rather than your word. The CFPB’s guide to assets in ability-to-repay reviews describes account statements as the kind of record lenders rely on.
A practical order:
1. Pull your brokerage, retirement and bank statements, and sort the vested shares from the unvested ones. 2. Check statement ages. The qualifier path wants two months per account with 60 days of seasoning. The depletion path wants statements at least 120 days old plus one within 45 days. 3. Sell any shares you plan to turn into cash early enough that the proceeds season. 4. Confirm your credit against the 600 qualifier minimum, or the lender’s matrix on the depletion path. 5. Decide on the property and its use, because that sets the leverage. 6. Compare options through a broker who sees several programs, since lenders differ in overlays.
Lendmire’s asset-based mortgage programs are placed through select lenders in its network. The program figures there match the ones here, and every file is underwritten individually.
What If You Are Declined or Don’t Fit?
A decline is usually a fixable mismatch, not a verdict. Start with the cause.
If assets fell short on the qualifier path, check the depletion path, where the loan does not have to be fully covered. If the debt-to-income test failed on depletion, consider a larger down payment or a smaller loan. If statements were too new, wait out the seasoning. If most of your stock is unvested, revisit after the next vest.
Credit is the other common cause. The depletion path’s first-time investor floor of 700 and housing history of 0x30x12 are strict. Multiple bankruptcies are not eligible, and a housing event needs 4 years of seasoning on the depletion path.
Frequently Asked Questions
Do I have to sell my stock to use it for a mortgage?
Not always. On the qualifier path, vested shares sitting in a brokerage account count at 100% as they are, with statements as proof. On the depletion path, securities count at 80%. You only need to sell if you want the money as the down payment, or if shares are held somewhere ineligible.
Can unvested RSUs count toward qualifying?
No. Unvested restricted stock units and stock options are not eligible assets on either path. Once a tranche vests and the shares land in your account, they become eligible. Many tech workers wait for the next vest before applying for exactly that reason.
Does my employer’s location in another state matter?
No. A remote Montana worker on an out-of-state payroll is reviewed on assets, credit and the property, so the employer’s location is not a factor. The program is licensed in Montana, and the figures do not change by state.
Can I use these programs to buy a rental property?
Sometimes. The asset depletion path allows investment property at 65% on a purchase or rate-and-term refinance and 60% on a cash-out. The asset qualifier path covers principal residences and second homes only. Many rental buyers are better served by a DSCR loan, where rent against the payment drives the file.
Is this a loan with no documentation?
No. Every file is fully underwritten, and your assets are documented with statements on both paths. What these programs skip is traditional personal-income documentation, pay stubs and employment verification.
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 mortgage broker, so it arranges financing through select lenders. Every file is subject to underwriting, and none of this is a commitment to lend.
The Montana buyer holding vested shares is better off thinking of the stock as a balance sheet than a paycheck. Time the vest, season the cash and match the path to the property.
Lendmire’s asset-based mortgage in Montana page presents the program for Montana borrowers.
About Lendmire
Lendmire is a mortgage brokerage (NMLS# 2371349) licensed for consumer mortgage lending in 16 states, arranging bank statement and other alternative-documentation mortgages — P&L-only, 1099-only and asset-based paths — through a wholesale lending network. Eligibility is determined by the lender on each file. Scotsman Guide named Lendmire a Top Mortgage Workplace in both 2025 and 2026.
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References
2. CFPB: Regulation Z § 1026.3, Exempt Transactions
3. Bankrate: Restricted Stock Units
4. Lido Advisors: RSU Tax Guide
5. CFPB: ATR/QM Small Entity Compliance Guide
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 Retiree Need in Assets to Qualify for a Mortgage? · Can a California Widow Qualify for a Mortgage on Life Insurance and Retirement Assets? · How Washington Tech Employees Use Vested Stock to Qualify for a Mortgage
Guides: Asset-Based Mortgage in Montana
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.