The Quick Read: A Pennsylvania tech employee paid mostly in stock can qualify on the vested shares they already hold, because an asset-based mortgage looks at documented balances rather than a paycheck. Lenders count only vested, delivered shares that sit in a brokerage account. Unvested restricted stock units do not count on either path.
- Path one, asset qualifier: eligible assets cover the whole loan, and no employment or income is documented.
- Path two, asset depletion: usable assets divided by 60 months become qualifying income that runs through the debt-to-income test.
- What counts: vested brokerage holdings count at 100% on the qualifier path and 80% on the depletion path, subject to underwriting.
- What does not count: unvested restricted stock units and stock options are not eligible on the depletion path, and privately held company stock is not eligible on either path.
- Documentation: the program asks for no traditional personal-income documentation, pay stubs or employment verification. Every file is still fully underwritten, and the assets are proven with statements.
Picture a software engineer in Pittsburgh, Philadelphia or the Lehigh Valley. Base salary is modest, and most of the pay arrives as company shares that vest each quarter. On paper, a traditional income review sees a thin salary and a stock grant it can’t easily project. The asset-based route reads the same person differently. It asks what is vested, what is seasoned, and what it adds up to.
This article walks through how that works, step by step. It covers the two paths and where the general rule breaks. It also covers how to decide whether the route fits you. Program details are subject to underwriting and change, and the figures below are ceilings and floors, never offers.
What Is a Mortgage on Assets?
An asset-based mortgage is reviewed around what you own rather than what you earn each month. Lendmire arranges these loans as a broker, placing them with select lenders in its network through its asset-based mortgage program. Pennsylvania is one of the 16 states where Lendmire’s consumer mortgage lending is licensed. The figures below are the same regardless of state.
There are two paths, and a borrower is qualified on one at a time.
The asset qualifier path requires eligible assets, after the credit percentages, to equal or exceed the entire loan amount. No employment or income is documented. Because the assets cover the loan outright, the lender’s ability-to-repay review rests on them. The CFPB’s small-entity compliance guide confirms that lenders must consider and verify a consumer’s income or assets, so assets are a recognized basis for that review.
The asset depletion path converts eligible assets into monthly income. It takes usable assets after haircuts and divides by 60 months. That figure must carry the housing payment and your other debts through the debt-to-income test.
One more point matters for tech workers. These are consumer mortgages for a principal residence or second home. The depletion path can also finance an investment property, where the loan is business-purpose.
Key Terms Defined
Vested shares: Stock you own outright and that has been delivered to your brokerage account.
Unvested RSUs: A promise of future shares that you can generally lose if you leave the company.
Asset qualifier path: A path where eligible assets alone cover the entire loan amount.
Asset depletion path: A path where usable assets divided by 60 months become qualifying monthly income.
Haircut: The share of an asset’s balance that the lender does not count, to allow for price swings or access limits.
Seasoning: The time funds have been in an account, shown by statements.
How Does Underwriting Treat Stock Pay, Step by Step?
Underwriting treats stock pay in four steps: vest, deliver, season and document. Each step moves the shares closer to counting as an asset.
Step 1: Vesting. When RSUs vest, the shares become yours. The IRS treats that moment as wage income, as outlined in IRS Tax Topic 427. Tax treatment varies; consult a qualified professional about your own situation.
Step 2: Delivery. Only shares sitting in your brokerage account count. A grant schedule showing future vesting is a promise, not a balance. Lenders in the network do not count it as an asset on the depletion path.
Step 3: Seasoning. On the qualifier path, funds need 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. Sale-of-business, inheritance and legal-settlement funds are excused from that seasoning. Stock proceeds are not.
Step 4: Documentation. You supply account statements. The program asks for no traditional personal-income documentation, pay stubs or employment verification. That is not the same as no documentation. Credit, assets and the property are all reviewed. The Ballard Spahr analysis of non-QM lending summarizes the regulator’s position: a lender may rely on income, assets or both, but must verify what it relies on with records specific to the borrower. Your statements are those records.
Across the wholesale network, the pattern is consistent. Files that stall are rarely about the stock itself. They stall because proceeds moved between accounts at the last minute, or because a statement was too recent to show seasoning. Moving shares into cash or a stable account early can help avoid that.
How Much of Your Stock Actually Counts?
It depends on the path. Never mix the figures from the two paths.
| Asset | Qualifier path (counts) | Depletion path (counts) |
|---|---|---|
| Brokerage and securities | 100% | 80% |
| Cash, savings, money market | 100% | 100% |
| Certificates of deposit | 100% | 100% |
| Retirement accounts | 90% under 59½; 100% at 59½+ | 70% at any age |
| Privately held stock | Not eligible | Not eligible |
| Real-estate equity | Not published | 60% |
For a tech employee, brokerage balances are usually the main asset. A few details matter:
- Retirement accounts. A 401(k) holds a lot of value for many tech workers. On the qualifier path it counts at 90% before age 59½. On the depletion path it counts at 70% at any age.
- Private stock. Privately held company stock is not eligible on either path. A pre-IPO employee’s route is documented liquid assets: seasoned proceeds from a sale or conversion, cash, public securities and retirement accounts at their percentages.
- Excluded items. On the depletion path, stock options and non-vested restricted stock units are not eligible. Neither are deferred compensation, custodial accounts, escrow accounts, foreign funds or cash on hand.
- Other assets. Cryptocurrency, precious metals and collectibles are not published as eligible on either path. The documented route is to convert them to a seasoned cash balance in a regulated account, with the source reviewed by the lender. Borrowed or pledged funds do not count.
Two Worked Examples
These examples show the arithmetic. They are illustrative, and the lender’s own calculation governs.
Qualifier path. An $800,000 loan is the target. The borrower holds $330,000 in brokerage accounts (100% counts, so $330,000), $300,000 in a 401(k) while under 59½ (90% counts, so $270,000) and $200,000 in savings (100%, so $200,000). Usable assets total $800,000. That equals the loan, so the file is reviewed on assets alone, subject to underwriting.
Depletion path. A borrower holds $1,500,000 in securities (80% counts, so $1,200,000) and $300,000 in cash (100%, so $300,000). Usable assets are $1,500,000. Divided by 60 months, that is $25,000 of monthly qualifying income. That income then has to carry the housing payment and other debts through the debt-to-income test.
Notice what drives each outcome. The qualifier path rewards a large pile of liquid assets. The depletion path rewards a large pile as well, but it lets the income test, not the loan size, set the limit.
What Does Leverage Look Like on Each Path?
Leverage differs by path, and by occupancy on the depletion path. Figures are ceilings, subject to underwriting.
On the asset qualifier path, leverage tops out at 80% loan-to-value on a purchase and 75% on a refinance, for a principal residence or second home. Loans run up to $4,000,000. Whether cash-out proceeds are allowed on this path is set by the lender and is not published.
On the asset depletion path:
- A principal residence or second home allows up to 80% on a purchase or rate-and-term refinance, and 60% on a cash-out refinance.
- An investment property allows up to 65% on a purchase or rate-and-term refinance, and 60% on a cash-out.
- Loan amounts run from $125,000 to $3,500,000.
- Cash-out proceeds never count as qualifying assets.
Credit matters too. The qualifier path publishes a 600 minimum score. The depletion path follows the lender’s matrix. A first-time investor on the depletion path needs a 700. Housing history is 0x30x12, though one 30-day late in the last twelve months is considered case by case. Multiple bankruptcies are not eligible, and a housing event needs four years of seasoning on the depletion path. None of this is a promise of approval.
What Are the Depletion Path Minimums?
The depletion path asks for qualified assets of at least the lesser of $1,000,000 or 1.25 times the loan balance. When depletion is the only income source, liquid assets must also be at least $250,000.
There is a flexible option. Asset-derived income may supplement documented income, up to a 45% debt-to-income ratio. When it supplements, the minimum-assets rule is waived. That fits a tech employee with a real salary and a large vested position.
On reserves, the qualifier path requires none at or below 75% loan-to-value. Above that, the lender sets them. The depletion path publishes no reserve months.
Where Does the General Rule Break?
The rule is simple: vested and seasoned counts, unvested does not. These edge cases bend it.
Unvested RSUs and options. They are not cash and not income. Some outside brokers say certain programs list unvested grants inside a portfolio value, but on the depletion path described here, non-vested units and stock options are not eligible. Don’t plan a purchase around them.
A price drop between vest and sale. The balance that counts is the balance on your statement. If your shares fall after vesting, your usable assets fall with them. A securities haircut on the depletion path already assumes some of that risk, but it will not cover a steep drop.
Concentrated holdings. A large vest in one year adds a tax bill and a concentrated position. Set cash aside for taxes separately from deal funds. The lender sees only the balances, not your tax liability.
A recent job change. On the qualifier path, no employment is documented, so a new job rarely matters. On the depletion path with supplemental income, documented income follows the lender’s rules.
Private stock. Shares in a privately held company are not eligible on either path, whatever their paper value. The documented route is a sale or buyout converted to a seasoned cash balance, which the lender then reviews like any other funds.
Down payment. The Ballard Spahr analysis of down payments in non-QM lending reports that a down payment cannot be counted as an asset for ability-to-repay purposes on a consumer loan. Assets must remain after the down payment to count toward qualification.
Which Path Fits Which Pennsylvania Borrower?
The decision turns on how much you hold, what you earn on paper and what you are buying.
- Large vested balance, little documented income, buying a home: the qualifier path, if usable assets reach the whole loan. The lack of income documentation is the point.
- Large vested balance but the loan is bigger than your usable assets: the depletion path, where income is derived and the loan can exceed usable assets.
- Good salary plus a large vested position: the depletion path as a supplement, with the 45% debt-to-income limit.
- Unvested grants are most of your wealth: neither path yet. Wait for shares to vest, deliver and season.
- Buying a rental: the depletion path allows investment property at lower leverage. Conventional income review for a salaried employee may still be cheaper, so compare both.
Here’s the catch on cost. Asset-based loans can run more expensive than standard income-based mortgages, so a salaried borrower with clean pay stubs may do better elsewhere. The asset route earns its place when income review gives a poor picture of your real financial strength. For a stock-heavy earner, that is common.
A Practical Checklist Before You Apply
1. Decide which path fits, and gather two months of statements on each qualifying account.
2. Sell or move vested shares well ahead of applying so statements show seasoning.
3. Keep tax money separate from deal funds.
4. Avoid large transfers between accounts just before application.
5. Confirm your credit profile against the lender’s matrix.
6. Review the asset-based mortgage program details and ask what the lender needs to see.
Lendmire’s team can review which of these items apply to your file, but the lender’s own underwriting decides.
Frequently Asked Questions
Do I have to sell my shares to qualify?
Not necessarily. On the qualifier path, brokerage holdings count at 100%, and on the depletion path securities count at 80%. The shares must be vested, delivered and seasoned in an account with statements. Selling some may still help if you need cash for the down payment, since a down payment cannot be treated as qualifying assets.
Can unvested RSUs or stock options count?
No, not on the depletion path. Non-vested restricted stock units and stock options are not eligible there. They become eligible only after they vest and the shares land in your account.
Does a Pennsylvania borrower get different program figures?
No. Pennsylvania is one of the 16 states where Lendmire’s consumer lending is licensed, and the leverage, asset percentages and seasoning rules are the same. State factors like taxes, insurance and local prices affect affordability, not program parameters.
Can I use this route for a rental property?
Yes, on the depletion path only, at lower leverage: up to 65% on a purchase or rate-and-term refinance and 60% on a cash-out, subject to underwriting. A first-time investor needs a 700 score. 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.
Is this a no-documentation loan?
No. The program asks for no traditional personal-income documentation, pay stubs or employment verification, but every file is fully underwritten. Assets are documented with statements, and credit and the property are reviewed. As a consumer mortgage, it carries standard consumer disclosures.
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 request a quote through the Lendmire quote page.
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.
Get Started
Ready to find the right loan for you?
In about 30 seconds you can review financing options available for your home or investment property. No commitment required.
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. CFPB ATR/QM Small Entity Compliance Guide
3. Consumer Financial Services Review: non-QMs under ability-to-repay
4. Consumer Financial Services Review: down payments for non-QMs
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 Montana Tech Employees Paid in Stock Get a Mortgage on Assets · Can You Get a Pennsylvania Asset-Based Mortgage With No Job? · How Colorado Tech Employees Paid in Stock Get a Mortgage on Assets
Guides: Asset-Based Mortgage in Pennsylvania
Brandon Miller
Founder & CEO, Mortgage Loan Originator, Lendmire LLC
- Mortgage Loan Originator · NMLS# 1129696 · Verify on NMLS Consumer Access
- North Carolina Real Estate Broker · License# 343312 · Verify on NCREC
- North Carolina Insurance Producer · License# 19053198 · Property, Casualty, Life, Health · Verify on NAIC SBS
- Lendmire LLC · Firm NMLS# 2371349 · Verify firm licensure
Compliance and disclosures. Lendmire (NMLS# 2371349) is a licensed mortgage broker and is not a direct lender, depository institution, financial advisor, or tax professional. Content in this article is general market analysis and educational information — not financial, legal, or tax advice for any specific situation. Lendmire does not guarantee loan approval; every transaction is subject to underwriting by the funding lender. Mortgage pricing and loan program guidelines are subject to change at any time without notice and vary by borrower characteristics, property type, and state regulations. Lendmire complies with Equal Housing Opportunity. Licensure verification: NMLS Consumer Access.