The Quick Read: Yes, usually, if your eligible savings and investments are large enough to either cover the whole loan or convert into a qualifying monthly income, subject to underwriting and lender guidelines. Through select programs, that means no traditional personal-income documentation, pay stubs or employment verification, but your statements are still fully documented and reviewed.
- Two paths exist. The asset qualifier path counts assets against the entire loan. The asset depletion path turns assets into monthly income.
- Leverage differs by path. The qualifier path allows up to 75% on a refinance. The depletion path allows up to 80% on a rate-and-term refinance of a primary residence or second home.
- Cash-out is tighter. On the depletion path, cash-out is capped at 60%, and the proceeds never count as qualifying assets.
- Documentation shifts to statements. Expect two months of statements per account on the qualifier path.
- Credit still matters. The qualifier path has a 600 minimum score, and every file is underwritten individually.
Colorado borrowers fit this profile often. Think of a retired Front Range executive, a ski-town business owner who just sold the company, or a household living off a portfolio. Balances are large. Documented income is not. A standard underwriter sees the second fact and stops reading.
Lendmire is a mortgage broker. It arranges these loans through select lenders in its network and does not lend directly. Consumer mortgage lending is licensed in 16 states, and Colorado is one of them.
Why Can a Lender Approve You Without a Paycheck?
A lender can consider you without a paycheck because the repayment test can rest on assets instead of income. The lender must still prove the assets are real. It does that with statements, not with pay stubs or traditional personal-income documentation.
“No income documented” is not the same as “no documentation.” Every file is fully underwritten. The lender reviews your credit, your property, your debts and your account statements.
The federal rule behind owner-occupied home loans lets a lender weigh “current or reasonably expected income or assets” other than the home itself. It also requires third-party records for whatever the lender relies on, per 12 CFR § 1026.43. The CFPB compliance guide adds that employment status matters only when the lender relies on employment income. So a retiree whose file rests on assets is not asking for an exception. That is a recognized way to qualify.
Which Path Fits You: Assets Cover the Loan, or Assets Become Income?
Pick the qualifier path if your usable assets equal or exceed the whole loan. Pick the depletion path if they don’t, but they are large enough to produce monthly income that carries the housing payment and your other debts. A borrower is qualified on one path at a time. The two never blend.
| Factor | Asset Qualifier | Asset Depletion |
|---|---|---|
| Core test | Assets cover entire loan | Assets become monthly income |
| Income documented | None | Derived from assets |
| Debt-to-income test | Not run on income | Yes, on derived income |
| Max refinance leverage | 75% | 80% rate-and-term |
| Loan range | Up to $4,000,000 | $125,000 to $3,500,000 |
| Credit | 600 minimum | Lender’s matrix |
All figures are typical ceilings and floors through select programs, subject to underwriting. They are not offers.
What Counts as an Asset, and at What Value?
Each account type counts at a percentage of its balance, and the percentages differ by path. Across the wholesale network, the pattern is consistent: cash-like assets count in full, and anything volatile or restricted gets trimmed.
Asset qualifier path:
- Brokerage accounts, certificates of deposit, money market and savings count at 100%.
- 401(k) and IRA balances count at 90% under age 59½ and 100% at 59½ or older.
- Accounts combine toward the loan amount.
Asset depletion path:
- Cash accounts and certificates of deposit count at 100%.
- Securities count at 80%, and private stock at 75%.
- Retirement accounts count at 70% at any age.
- Real-estate equity counts at 60%.
- Not eligible: 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.
Crypto, precious metals, collectibles and pledged or borrowed funds are not published as eligible on either path. The documented route is to convert them to cash in a regulated account. The lender then reviews where the money came from.
Worked Example: How the Numbers Run
These figures are illustrative. The lender’s own calculation governs.
Qualifier path. Say you want an $800,000 refinance. You hold $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% counts, so $200,000). Your usable assets total $800,000. That equals the loan, so the file can qualify on assets alone, subject to the leverage cap and underwriting.
Depletion path. Say you hold $1,500,000 in securities (80% counts, so $1,200,000) and $300,000 in cash (100% counts, so $300,000). Usable assets are $1,500,000. Divide by 60 months and you get $25,000 of monthly qualifying income. That income must then carry your housing payment and other debts through the debt-to-income test.
The 60-month divisor is a program feature. Lenders in the market use different divisors, so the same portfolio can produce very different income depending on the program. Compare before you commit.
Cash-Out or Rate-and-Term When Income Has Stopped?
Rate-and-term is the easier fit. It changes the loan’s terms without pulling money out, and it carries higher leverage. Cash-out is where this path gets tight.
On the depletion path, a primary residence or second home can go to 80% on a rate-and-term refinance but only 60% on a cash-out. Cash-out proceeds never count as qualifying assets. You can’t borrow against the house and then use that cash to qualify for the loan.
On the qualifier path, cash-out terms are set by the lender and aren’t published. Ask for the specifics on your file before assuming anything.
What the Lender Still Checks
Dropping income documents doesn’t drop scrutiny. Expect review of:
- Credit. The qualifier path has a 600 minimum score. The depletion path follows the lender’s score and loan-amount matrix. A first-time investor on the depletion path needs 700.
- Housing history. The standard is 0x30x12. One 30-day late in the last twelve months is considered case by case.
- Credit events. Multiple bankruptcies are not eligible. A housing event needs 4 years of seasoning on the depletion path.
- Seasoning of funds. The qualifier path wants 60 days and two months of statements per account. The depletion path wants statements at least 120 days old plus one within 45 days. Sale-of-business, inheritance and legal-settlement funds are excused from that seasoning.
- Minimum assets. The depletion path needs qualified assets of at least the lesser of $1,000,000 or 1.25 times the loan balance. It also needs at least $250,000 liquid when assets are your only income source.
- Property. An appraisal and title work follow, as with any refinance.
Reserves are simple on the qualifier path: none required at or below 75% loan-to-value, and the lender sets them above that.
Colorado Considerations
Colorado’s high-value markets are a natural fit, because large balances are common among retirees and business sellers. The same program figures apply here as anywhere the program is offered. Colorado is one of the 16 states where consumer lending is licensed.
Second homes in mountain and resort areas can qualify, subject to lender guidelines. The depletion path allows 80% on a rate-and-term refinance of a second home. Larger loans are possible: up to $4,000,000 on the qualifier path.
Investment property is a separate story. It is only available on the depletion path, as a business-purpose loan, at up to 65% on a rate-and-term refinance and 60% on a cash-out. If your own assets, not the rent, are what will carry the loan, asset-based mortgage programs are the place to start.
What About a Bank Statement Loan?
Bank statement loans read deposits as proof of income. They suit self-employed borrowers whose cash flow is real but messy. They don’t fit when your income has fully stopped, because deposits dry up. If you have a portfolio but no deposits, the asset paths are the better match.
Alternatives, and When Not to Refinance
Before you refinance, ask whether you need to.
| Option | Best When | Tradeoff |
|---|---|---|
| Asset-based refinance | Assets large, income gone | Stricter asset rules |
| Keep current loan | Terms already workable | No change to payment |
| HELOC | Need flexible cash | Often requires income review |
| Sell or downsize | Payment is unsustainable | Gives up the home |
Skip the refinance if your current loan is fine and you only want to feel safer. Closing costs and a new loan term are real. Honestly, the strongest case is when your present loan is ending, adjustable, or tied to a payment you can’t carry.
The Risk of Qualifying on Assets You Will Spend
Here’s the catch. Assets that qualify you today can shrink. Market drops cut a securities balance. Withdrawals for living costs drain cash. A portfolio that supported the loan at closing may feel thin in a few years.
In practice, the assets stay invested. They are a calculation input, not something you liquidate to close. But the payment still comes due every month. Stress-test your plan: if your portfolio fell meaningfully, could you still carry the payment? Asset-derived income can also supplement documented income up to a 45% debt-to-income ratio, and when it does, the minimum-assets rule is waived.
Tax treatment varies; consult a qualified professional.
Timing and Prep Checklist
Apply before your income stops if you can. A file with recent pay history and large assets has more routes open than one with neither. Lenders in the network still review each file individually either way.
Gather these first:
- Statements for every account you plan to count, covering the full seasoning window.
- Documentation for any large deposit, such as a business sale, inheritance or settlement.
- A list of current debts and the current mortgage statement.
Avoid moving money between accounts mid-process. Large unexplained deposits slow the review and can lead to a decline. Keep funds where they are.
Key Terms Defined
Asset qualifier: A path where eligible assets, after credit percentages, equal or exceed the entire loan.
Asset depletion: A path that divides usable assets by 60 months to create qualifying monthly income.
Seasoning: The time your funds must have sat in an account before they count.
Debt-to-income: Your monthly debts as a share of qualifying income.
Loan-to-value: The loan amount as a share of the home’s appraised value.
Frequently Asked Questions
Can I refinance if I just retired?
Yes, in many cases. Retirement itself isn’t a barrier. Through select programs, the lender looks at your assets, credit and the property, and it doesn’t require pay stubs or employment verification. Your statements and seasoning must still meet program rules, subject to underwriting.
Can I refinance if I was laid off?
Often, if your assets are large enough. Severance or a final paycheck isn’t required on the asset paths. Sale-of-business, inheritance and legal-settlement funds are excused from seasoning on the depletion path. Credit and property review still apply.
Do retirement accounts count?
Yes, at a reduced value in most cases. On the qualifier path, a 401(k) or IRA counts at 90% under age 59½ and 100% after. On the depletion path, retirement accounts count at 70% at any age. Assets stay invested.
Can I take cash out?
On the depletion path, yes at up to 60% on a primary residence or second home, but the proceeds never count as qualifying assets. On the qualifier path, cash-out terms are set by the lender and aren’t published, so ask for specifics on your file.
Is a “no income” refinance real?
Not literally. Your income isn’t documented, but your assets are, along with your credit and the property. Every file is fully underwritten, and nothing here is a commitment to lend.
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.
About Lendmire
Lendmire, NMLS# 2371349, is a mortgage brokerage with consumer lending licenses in 16 states. Bank statement, P&L-only, 1099-only and asset-based mortgages are arranged through wholesale lending partners for borrowers whose traditional personal-income documentation understates their income, and each application is reviewed individually by the lender. Scotsman Guide named Lendmire a Top Mortgage Workplace in both 2025 and 2026.
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References
2. 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 to Finance a Michigan Vacation Home With an Asset Qualifier Mortgage · Can You Buy a Second Home in California on Assets Instead of Income? · How Much Does a Retiree Need in Assets to Qualify for a Mortgage?
Guides: Asset-Based Mortgage in Colorado
Brandon Miller
Founder & CEO, Mortgage Loan Originator, Lendmire LLC
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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.