The Quick Read: Vested stock reaches a mortgage file in one of two ways: delivered shares count as assets that cover the loan outright, or they are converted into monthly qualifying income, while unvested restricted stock units count on neither path. A borrower is qualified on one path at a time. Either path asks for brokerage statements, not traditional personal-income documentation, pay stubs or employment verification.
- Vested and delivered is the test. Shares that have vested and landed in your brokerage account can count. Unvested units never do.
- Path one, the asset qualifier path: eligible assets must equal or exceed the entire loan, and no employment or income is documented.
- Path two, the asset depletion path: usable assets are divided by 60 months to create qualifying income, and that income runs through a debt-to-income test.
- Seasoning matters. Statements must show the money has been in place for a set period before you apply.
- Cash-settled units and stock options do not fit. Neither produces eligible assets on the depletion path, and cash-settled units never deliver shares at all.
Why Stock Compensation Confuses Underwriters
A tech employee paid partly in restricted stock units often looks weak on paper. The base salary is modest, the vesting amounts swing from year to year, and the share price moves. A standard income review has to average all of that.
Here is the plain picture. An RSU is a promise to deliver company shares on a schedule. Until a tranche vests, you own nothing. Once it vests and the shares are delivered, you own stock in your brokerage account, and a lender can treat it like any other holding.
That split is the whole story. Full-document lenders treat vested RSUs as income. Asset-based lenders treat delivered shares as a balance. Across the wholesale network Lendmire works with, the second route is the one that suits a high-balance, variable-pay borrower best, because it skips the averaging exercise.
Key Terms Defined
RSU (restricted stock unit): A promise from your employer to deliver company shares after you meet a vesting condition, usually time on the job.
Vesting: The date a promised share becomes yours. Only vested units count toward qualifying.
Delivered (or settled) shares: Vested units that have actually arrived in your brokerage account as stock.
Seasoning: The length of time funds must have sat in your accounts, shown on statements, before a lender counts them.
Asset qualifier path: An asset-based route where eligible assets, after credit percentages, must equal or exceed the whole loan.
Asset depletion path: An asset-based route that divides usable assets by 60 months to create monthly qualifying income.
Debt-to-income (DTI): Your monthly debts, including the new housing payment, compared with your monthly qualifying income.
How Do Lenders Treat Vested Stock as Income?
On a full-document consumer loan, vested RSUs are underwritten like wages. The lender confirms the shares are vested, then asks for the paper trail. Blueprint, an underwriting education vendor, lists pay stubs, W-2s and vesting schedules as the proof. It also says the lender values the income at the share price on the vest date, not today’s price.
The steps usually run in this order:
1. The lender confirms which units have vested. Only those count.
2. It collects the vesting schedule, W-2s, pay stubs and brokerage statements.
3. It looks at your vest history. Guides describe a track record of roughly one to two years, and longer for performance-based units.
4. It values each vest at fair market value on the vest date and averages across the history window.
5. It tests whether the income will continue, meaning future vesting is expected and amounts are steady.
6. It may discount or drop the income if the stock is volatile.
Those are the rules of full-document lending, not of the asset-based program. They matter because they explain why a strong stock holder can still get a weak answer. A short history, a recent job change or one huge vest can all shrink the number.
The Asset Route: Shares as a Balance, Not a Paycheck
The asset route changes the question. It stops asking what you earn and starts asking what you hold. The loan is still fully underwritten, with credit, the property and your statements all reviewed. What drops out is the income file.
This is where Lendmire’s asset-based mortgage programs come in. Lendmire is the broker. It arranges these loans through select lenders in its network, and each file is underwritten individually. The program covers consumer mortgages on a principal residence or second home, and Washington is one of the 16 states where Lendmire’s consumer mortgage lending is licensed.
Your delivered shares sit in a brokerage account, so they land in the securities or brokerage bucket on either path. Unvested units are ineligible. So are stock options on the depletion path. Both facts matter if your package mixes grants.
Path one: the asset qualifier path
On this path, eligible assets, after the credit percentages below, must equal or exceed the entire loan amount. No employment or income is documented. You document the assets instead.
| Asset | Share that counts |
|---|---|
| Brokerage accounts | 100% |
| CDs, money market, savings | 100% |
| 401(k) or IRA, under age 59½ | 90% |
| 401(k) or IRA, 59½ or older | 100% |
Accounts combine. Typical terms through select programs on this path look like this:
- Leverage: up to 80% loan-to-value on a purchase and 75% on a refinance, on a principal residence or second home.
- Loan size: up to $4,000,000.
- Credit: a 600 minimum score.
- Seasoning: 60 days, with two months of statements for each qualifying account.
- Reserves: none required at or below 75% loan-to-value. Above that, the lender sets them.
Cash-out terms on this path are set by the lender and are not published, so ask before you plan around them.
A worked example shows the idea. An $800,000 loan with $330,000 in brokerage accounts (100% counts, so $330,000), $300,000 in a 401(k) while 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. It is illustrative, and the lender’s own calculation governs.
Path two: the asset depletion path
This path converts assets into income. Usable assets are divided by 60 months, and the result must carry the full housing payment and your other debts through the DTI test.
| Asset | Share that counts |
|---|---|
| Cash accounts and CDs | 100% |
| Securities | 80% |
| Private stock | 75% |
| Retirement accounts | 70% at any age |
| Real-estate equity | 60% |
Take $1,500,000 in securities (80% counts, so $1,200,000) plus $300,000 in cash (100%). That is $1,500,000 usable, divided by 60 months, or $25,000 of monthly qualifying income. That income then has to carry the housing payment and other debts.
The terms through select programs on this path:
- Leverage on a principal residence or second home: up to 80% on a purchase or rate-and-term refinance, and 60% on a cash-out refinance.
- Leverage on an investment property: up to 65% on a purchase or rate-and-term refinance, and 60% on a cash-out refinance.
- Loan size: $125,000 to $3,500,000.
- Credit: the lender’s score and loan-amount matrix. A first-time investor needs a 700.
- Seasoning: statements at least 120 days old at application, plus the most recent statement within 45 days.
- Minimum assets: the lesser of $1,000,000 or 1.25 times the loan, and never below $250,000 liquid when asset depletion is your only income source.
Cash-out proceeds never count as qualifying assets. Asset-derived income can also supplement documented income up to a 45% DTI. When it does, the minimum-assets rule is waived. That fits a tech employee with a decent salary who needs a small boost from a large stock balance.
Which Route Fits You?
The right path depends on your balance, your goal and how much of your stock has been delivered.
| Your situation | Likely path | What matters most |
|---|---|---|
| Large delivered balance, home purchase | Asset qualifier | Assets at or above the loan |
| Balance below the loan, strong credit | Asset depletion | 60-month income test |
| Salary plus big stock balance | Depletion, as supplement | Assets lift DTI to 45% |
| Mostly unvested units | Full-document loan | Vest history, not balance |
| Buying a rental property | Depletion, or DSCR | 65% purchase ceiling |
A word on that last row. 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 a Federal Reserve supervisory document notes about credit for non-owner-occupied rental property. DSCR qualifies primarily on property-level rental income covering the payment, subject to lender guidelines, so your stock matters there only as the source of down payment and reserves. A DSCR purchase is a separate program with its own file.
Hold or Sell? The Decision Behind the Statements
Many tech employees assume they must sell stock to qualify. On the qualifier path, that is not necessarily true. Shares sitting in a brokerage account count at 100% of their balance, so holding can satisfy the asset test.
Selling still has a role. You may need cash for the down payment and closing costs, and the lender reviews how funds used to close interact with the assets counted to qualify. Selling also turns a volatile balance into a steady one. A cash balance carries no haircut on the depletion path, while securities count at 80%.
Tax treatment varies; consult a qualified professional before selling shares.
Whichever way you lean, mind the seasoning clock. Funds that arrived recently may not meet the 60-day or 120-day statement rules. Wire in a sale at the last minute and the money may not be seasoned yet. Plan sales and deliveries around your statement dates, not your closing date.
Where the Rule Breaks: Edge Cases
Unvested units. They do not count as assets or income on the asset-based paths. A future promise is not a balance.
Sell-to-cover. Many employers withhold shares at vest to pay withholding. Net delivered shares are what land in your account, so they are what fund your balance. Hiltzik CPA explains that withholding often runs below the true marginal tax, so expect the delivered number to be smaller than the gross grant.
Cash-settled units. Some RSUs pay out in cash and produce wages with no shares to hold, according to Vesting Strategy. The proceeds count only after they sit in a regulated account long enough to season.
Stock options. Unexercised options are not eligible on the depletion path. Exercise and hold the resulting shares, and they become securities.
Private-company stock. Private stock counts at 75% on the depletion path, a bigger haircut than public securities at 80%. Valuation questions are common, so expect extra lender review.
Pledged or borrowed funds. A personal loan, a margin draw or any borrowed down payment is not published as eligible on either path.
Crypto, metals and collectibles. These 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.
Housing and credit history. The program wants a clean housing record, with one 30-day late in the past twelve months considered case by case. Multiple bankruptcies are not eligible. A housing event needs four years of seasoning on the depletion path.
Pre-Approvals That Break
Most failures trace back to something that changed between the first conversation and the final review. Stock-heavy files are prone to three:
- A stock price move. On the depletion path, a falling price shrinks a securities balance, and the 60-month math shrinks with it.
- A vest or sale that muddies the paper trail. New deposits need sourcing. Large movements between accounts invite questions.
- Unseasoned money. Cash from a sale may sit under the seasoning requirement even though the balance looks fine.
The fix is to keep your account activity simple, gather statements early and avoid shuffling funds mid-application. A job change matters less here than in a full-document file, since the qualifier path documents no employment at all. The balance is the file.
A Short Note on the Rules Behind It
This is a consumer mortgage on a home you live in or use as a second home, so a federal ability-to-repay rule applies. The CFPB’s ability-to-repay rule says a lender may use any reasonable verification methods and criteria, provided they meet the income, asset and debt verification provisions. That flexibility is why vested shares can be documented as assets instead of income. It does not remove underwriting. The lender still verifies your assets with statements.
What the Decision Looks Like in Practice
Think of a Puget Sound software engineer who has built a large brokerage balance from years of vests, with a base salary that looks thin beside a jumbo purchase. A full-document file would average her vests and discount the stock. Asset qualification asks a simpler question: do eligible assets cover the loan, or do they produce enough monthly income to carry it?
If the balance covers the loan and she is happy with 80% leverage on a purchase, the qualifier path is the cleanest. If the balance falls short, the depletion path can still work, though the 60-month division and the 80% credit on securities cut the usable number. Either way, the figures above are ceilings and floors, never offers. Terms depend on the lender’s guidelines, the property type, the leverage, and a full review of the credit profile.
For a broader look at the idea, Lendmire’s article Can You Use a Stock Portfolio to Qualify for a Mortgage? covers non-RSU holdings.
Frequently Asked Questions
Do unvested RSUs count toward qualifying?
No. Only shares that have vested and been delivered count, and non-vested restricted stock units are ineligible on the depletion path. Treat unvested grants as upside, not as part of the balance a lender will count.
Do I have to sell my shares to qualify?
Not necessarily. On the asset qualifier path, brokerage accounts count at 100%, so held shares can satisfy the asset test. You may still sell to fund the down payment or to reduce volatility. Your lender decides how assets used for cash to close interact with those counted to qualify.
What if I just changed jobs?
A recent move hurts an income-based file, which needs history and continuation. On the asset qualifier path, no employment or income is documented, so the change matters far less. Credit, statements and the property still get reviewed. On the depletion path, your qualifying income comes from assets, so employment is not the driver there either.
Can the same shares count as both income and reserves?
Not on an asset path. A borrower is qualified on one path at a time, and the lender controls how any asset is counted. On the qualifier path, no reserves are required at or below 75% loan-to-value. Above that, the lender sets them. The depletion path has no published reserve months.
What happens if the stock drops before closing?
The balance the lender counts drops with it. On the depletion path, securities count at 80%, so a lower price lowers monthly qualifying income. Held in cash, the same value takes no haircut. Build a cushion above the minimum, and ask your lender how it will value the account at the end.
Next Steps
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. Program availability and terms are subject to underwriting and lender guidelines. This is not a commitment to lend.
Lendmire’s asset-based mortgage in Washington page presents the program for Washington 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.
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. Blueprint, RSU income review guide
2. Federal Reserve, Regulation Z guide
3. Hiltzik CPA, how RSUs are taxed
4. Vesting Strategy, RSU guide
5. CFPB, Regulation Z §1026.43
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 Buy Before You Sell in Washington Using an Asset Qualifier Mortgage · How Much Does a Retiring Physician Need in Assets to Qualify for a Mortgage? · Can a Michigan Buyer Qualify for a Mortgage on IRA Assets Without Withdrawals?
Guides: Asset-Based Mortgage in Washington
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
Disclosure information. Lendmire is a state-licensed mortgage brokerage under NMLS# 2371349. Lendmire is not a depository institution, direct lender, or financial advisor — all loans referenced are placed through wholesale lender partners and are subject to each lender's underwriting standards. This article is provided for general informational purposes and is not a commitment to lend, nor does it constitute financial, legal, or tax advice. Loan programs, terms, rates, and qualification standards change without notice and depend on borrower profile, property type, and the state in which the subject property is located. Equal Housing Opportunity provider. NMLS Consumer Access: nmlsconsumeraccess.org.