The Quick Read: The limit is set by the program’s size and leverage ladder, not by how large the borrower’s portfolio looks. The asset pool has to cover the loan plus closing costs plus a time-based cushion, and the leverage band shrinks as the loan grows. Through select wholesale programs, subject to full underwriting, the structure breaks down like this:
- Loan sizes run from $300,000 to $30,000,000 across two wholesale programs, never a single figure.
- Assets-only qualification needs U.S. liquid assets equal to the loan amount, closing costs and sixty months of any net loss on other residential property.
- Retirement accounts count at 70%, or 80% at age 59.5 and up. Business funds, gifts and cryptocurrency never count.
- Every loan above $4,000,000 is reviewed case by case before submission.
- Credit, reserves and occupancy move the ceiling as much as the asset total does.
Most borrowers who ask about assets-only limits picture one number: how much can my balance sheet borrow? The real answer is a stack of caps. Whichever cap binds first sets the limit. This piece walks through the stack from first step to last, then shows where the general rule breaks.
What Does “Assets-Only” Actually Mean?
An assets-only mortgage qualifies the borrower on liquid assets instead of income. No traditional personal-income documentation drives the decision and no DTI is calculated. The lender looks at whether the borrower’s verified, seasoned liquid assets cover the loan and the costs around it. The assets are not pledged and not sold. The property is the collateral.
Every number here comes from the program grids across Lendmire’s wholesale network, which is where the real limits live. No outside rule hands out a divisor, a haircut or a dollar cap.
Two structures get lumped under the “assets-only” label, and they behave differently:
| Factor | Asset allowance | Assets-only |
|---|---|---|
| What it does | Turns assets into monthly income | Assets cover the loan directly |
| DTI | Calculated | Not calculated |
| Divisor | 36, 60 or 84 months | None |
| Occupancy | Primary and second homes | Program-dependent |
| Typical use | Supplemental, or standalone at 84 months | Stands alone |
Asset allowance divides eligible liquid assets by 36 months (supplemental, when DTI before the asset income is at or below 60%), 60 months (supplemental, when that ratio is above 60%) or 84 months (standalone, or any loan above $3,500,000). The 60% test only picks the divisor. The ratio with the asset income counted must still fit the 50% ceiling. Asset allowance is limited to primary and second homes at 80% maximum. Assets-only skips the income conversion and asks a simpler question: does the liquidity equal the loan plus costs?
Key Terms Defined
Eligible assets: Liquid funds a program accepts toward qualification, after exclusions and haircuts.
Haircut: The percentage of an account’s value a program counts, which is lower for volatile or restricted accounts.
Divisor: The month count used to turn an asset total into imputed monthly income under asset allowance.
Seasoning: The period assets must sit in the borrower’s accounts, shown by consecutive statements, before they count.
Reserves: Post-closing liquid funds a program requires on top of the down payment and closing costs.
Leverage ladder: The grid that lowers maximum LTV as loan size, occupancy and purpose change.
How Does Underwriting Treat Assets, Step by Step?
Underwriting turns a statement balance into a usable number through a fixed sequence. Skip a step and the borrower’s own math will overshoot what the file supports.
1. Inventory the accounts. Cash, brokerage accounts, vested retirement funds and a revocable living trust are the usual eligible categories. Only the assets the file actually relies on get verified.
2. Apply the exclusions and haircuts. Across the network, retirement accounts count at 70%, rising to 80% at 59.5 and over. Business funds, gifts, trusts other than a revocable living trust, unvested stock and cryptocurrency never count.
3. Subtract what is already spoken for. Down payment, closing costs and required reserves come out first. The same dollar cannot do two jobs.
4. Run the chosen path. Under assets-only, the remaining liquidity is compared with the loan amount plus closing costs plus sixty months of any net loss on other residential property. Under asset allowance, the remainder is divided by 36, 60 or 84 months to produce imputed income.
5. Check the ladder. Credit score, loan size, occupancy and purpose set the maximum LTV. This step is usually the one that actually binds.
6. Document it. The file needs consecutive statements for every account counted. Transaction histories never substitute.
That last point kills the no-doc myth. These are loans without tax-return income, not loans without documentation. Qualification runs on documented assets under the applicable program, subject to lender guidelines.
Which Cap Binds First?
Five constraints stack on every file: the asset pool, the divisor (if asset allowance), the DTI ceiling, the leverage band, and the program’s own size cap. The asset total is the one borrowers fixate on. It is rarely the one that binds.
Picture a borrower with a large brokerage account who wants a $5,000,000 primary residence purchase. The assets may clear the liquidity test. But the leverage ladder on a primary residence from $4,000,000 to $5,000,000 reads 65% on a purchase, reviewed case by case before submission. The ladder, not the portfolio, sets the loan amount. A bigger portfolio does not lift the cap.
The reverse also happens. A borrower with thinner liquidity can find the asset test is the wall even though the ladder would allow a larger loan. Check both before assuming either.
How Does the Leverage Ladder Shrink With Loan Size?
Leverage steps down as the loan grows, through select wholesale programs, subject to full underwriting. On a primary residence purchase, the ceilings run 90% up to $1,000,000, 85% to $2,000,000, 80% to $3,000,000, and 75% to $4,000,000 at the top credit tier. Above that, the bank portfolio program’s own ladder takes over and every file is reviewed case by case: 65% to $5,000,000, 60% to $10,000,000 and 55% to $30,000,000.
Two programs sit behind these figures. A portfolio non-QM program carries files up to $6,000,000. A bank portfolio jumbo program carries twelve-month-statement files up to $30,000,000. The bank ladder begins above $4,000,000 and overlaps the portfolio program to $6,000,000. Above $6,000,000 it stands alone.
Credit moves with size, too. Primary residence cells run from 680 and up on smaller loans to 720 and 760 in the middle bands. Overlays sharpen above $3,500,000 on a primary residence and $3,000,000 on a second home or investment property: a 700 credit floor, a 0x30x24 housing history, 48-month seasoning on any credit event, U.S. citizens and permanent residents only, no non-occupant co-borrowers, no rural property, ten acres maximum, and cash-out proceeds that cannot satisfy reserves.
How Do Occupancy and Purpose Change the Limit?
Second homes and investment property take their own ladders, and each one has to be read on its own. On a second home purchase, the ladder reads 85% from $300,000 to $1,000,000 and 80% from $1,000,000 to $2,500,000, then 75% from $2,500,000 to $3,000,000. On an investment property purchase the same bands hold through $3,000,000 before the ladder diverges. Above $4,000,000, any figure is reviewed case by case.
Purpose matters as much as occupancy. Cash-out sits well below purchase at every size. On a primary residence, cash-out tops out at 80% up to $1,500,000, then steps down. Interest-only is a structure, not a leverage boost: the interest-only ceiling applies to purchase and rate-term files and never raises a cash-out ceiling.
On the portfolio program, cash-out proceeds are unlimited at or below 60% LTV. Above 60%, there is a $1,500,000 cash-in-hand cap. The bank program publishes no cap. Every figure here varies by program, property type, leverage, and credit profile.
One occupancy rule trips people up. Asset allowance is for primary and second homes only. An investor who wants to buy a rental needs a different path, such as the DSCR route, where the property’s rent drives qualification. Lendmire’s complete DSCR loans guide covers that route.
Where Does the General Rule Break?
The rule says a larger asset pool means a larger loan. These edge cases bend it.
Above $4,000,000. Nothing is automatic. Every figure at this size is reviewed case by case before submission, and a published ladder cell is a ceiling, not an entitlement.
Retirement funds. The 70% and 80% counting rules mean a seven-figure retirement balance supports far less than its face value. Age 59.5 is the break point.
Trusts. Only a revocable living trust counts. Other trust structures are stripped out of the pool.
Assets are not liquidated. The borrower keeps the portfolio. Qualification does not require a sale.
Condos and special property. Warrantable condos run to 85%, non-warrantable to 80%, and condotels 75% on a purchase and 65% on cash-out (50% on the bank program). Second homes are one unit only. Rural property goes to 80% on ten acres or less and never above $3,000,000. Texas 50(a)(6) home-equity loans take a 5-point LTV reduction and stop at $3,000,000 on the portfolio program.
Business-purpose files. Investment property bought as a rental is a business-purpose loan. It follows the investment ladder and is reviewed differently from an owner-occupied mortgage.
Can You Work Backward From a Target Loan?
Yes. Start with the loan, then stack the deductions. Take a primary residence purchase at $2,000,000 with a 20% down payment. The asset test needs liquidity equal to the loan amount plus closing costs, and the down payment and reserves must be covered separately. Reserves run 3 months to $500,000, 6 months to $1,500,000, and 9 months above that, plus 2 months per additional financed property to a 12-month maximum. First-time investors carry 12 months. Final terms depend on lender guidelines, property type, leverage, and the borrower’s complete credit picture.
A borrower who counts the same brokerage balance toward the down payment, the reserves, and the closing costs is double-counting.
For an asset allowance file, flip the logic. Eligible assets after deductions, divided by 84 months on a standalone loan, yield the imputed income. That income then feeds the DTI calculation, and on a supplemental file the divisor depends on where DTI lands: 36 months at or below 60%, 60 months above 60%. Credit sits at 660 on the portfolio program and 680 on the bank program (700 above the super-jumbo line).
Why Do Limits Differ From Lender to Lender?
Because there is no federal number to anchor to. The ability-to-repay rule, Regulation Z, lets a creditor base repayment ability on income, on assets, or both, and the assets must be something other than the home securing the loan. Law-firm commentary on the final rule adds that whatever income or assets a creditor relies on must be verified with third-party records. The rule sets no dollar cap and no divisor. The CFPB small entity compliance guide lists income or assets as the first of eight underwriting factors, and the regulation’s commentary names savings, vested retirement funds, stocks, bonds and CDs as examples of eligible assets. Programs resolve the rest differently, which is why some calculate DTI and others do not.
Each investor behind a program decides how much risk it will carry, so divisors, haircuts and ladders differ. One program offers a longer runway at a lower leverage band. Another offers higher leverage and a tighter asset test. A cleaner-looking quote on paper is not always the program the file actually fits. That is why Lendmire shops multiple wholesale programs as a broker and does not run one grid. The figures that matter for a file are the ones in the program it lands in.
Common Reasons Files Fall Short
- Double-counted liquidity. The same balance is used for down payment, reserves and the asset test.
- Ineligible funds. Gifts, business accounts and cryptocurrency show up in the total and get stripped out.
- Stale statements. Statements must be consecutive. Transaction histories never substitute.
- Ladder mismatch. The borrower sized the loan to the asset pool, not the leverage band for that size and occupancy.
- Cash-out as reserves. Above the super-jumbo line, cash-out proceeds cannot satisfy reserves.
The fixes are mechanical: re-run the pool after deductions, swap in an eligible account, add months of statements, or cut the loan size to the next band.
Assets-Only vs. Bank Statement Options
A bank statement loan is reviewed on 12 or 24 months of deposits after an expense ratio. Assets-only is reviewed on balance-sheet liquidity. Borrowers with strong cash flow and thin liquidity lean toward statements. Borrowers with deep liquidity and irregular deposits lean toward assets. Some files blend the two. Lendmire’s comparison of a bank statement loan versus an assets-only mortgage goes through the trade-offs.
Tax treatment can depend on how the funds are used and how the property is held; borrowers should keep clear records and speak with a qualified tax professional before relying on any deduction.
Frequently Asked Questions
Is there a federal cap on assets-only loans?
No. Federal rules allow assets to support repayment ability but set no divisor, haircut or dollar limit. The caps come from program grids. Through select wholesale programs, loan sizes vary by program, subject to full underwriting.
Do I have to sell my investments to qualify?
No. Assets are used to demonstrate capacity, not pledged as collateral and not liquidated. The property secures the loan. The statements must still show the assets are verified and consecutive.
Do retirement accounts count in full?
No. They count at 70%, or 80% at 59.5 and over, through select wholesale programs. Business funds, gifts, unvested stock and cryptocurrency never count.
Does a bigger portfolio raise my loan limit?
Only up to the leverage band for that loan size and occupancy. On a primary residence, the ladder steps down as loan size increases, and everything above $4,000,000 is reviewed case by case.
Can I use assets on an investment property?
Asset allowance is limited to primary and second homes. Investment property follows its own ladder, and a DSCR file qualifies primarily on property-level rental income covering the payment, subject to lender guidelines.
If you are sizing a high-balance mortgage on liquid assets and want to see how the numbers work, Lendmire can help you compare assets-only and related options based on your liquidity, the property, credit profile, leverage, and your goals. Nothing here is a commitment to lend; every file is underwritten individually.
For current guidelines and terms, see Lendmire’s super jumbo bank statement loan programs page.
Lendmire’s self-employed mortgages page presents both super jumbo programs, bank statement and DSCR, side by side.
About Lendmire
As a DSCR and non-QM mortgage broker, Lendmire (NMLS# 2371349) connects investors with wholesale lending channels across 41 markets, including Washington, D.C. The property’s rental income, not the borrower’s traditional personal-income documentation, is central to lender review on investor files. Scotsman Guide named Lendmire a Top Mortgage Workplace in both 2025 and 2026.
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References
2. Consumer Finance Monitor – CFPB finalizes ability-to-repay and qualified mortgage rules
3. CFPB ATR/QM Small Entity Compliance Guide
This article is part of Lendmire’s super jumbo bank statement loan program — full qualification details, guidelines, and scenarios live on the program page.
Related reading: How Big Can an Assets-Only Mortgage Be? · How Super Jumbo Bank Statement Loan Rules Work for Pledged Assets and Margin Loans · How Non-Warrantable Tower Loan Options Work for LLC Portfolio Investors
Brandon Miller
Founder & CEO, Mortgage Loan Originator, Lendmire LLC
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- Lendmire LLC · Firm NMLS# 2371349 · Verify firm licensure
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.