The Quick Read: It depends on which of two paths the file runs on: your eligible assets must cover the entire loan on the asset qualifier path, while on the asset depletion path usable assets divided by 60 months become the income that must carry the payment, subject to underwriting.
- Asset qualifier path: up to 80% loan-to-value on a purchase and 75% on a refinance, with loans up to $4,000,000 and no income documented.
- Asset depletion path: up to 80% on a second-home purchase or rate-and-term refinance and 60% on a cash-out, with loans from $125,000 to $3,500,000.
- One path at a time: a borrower is qualified on one path per file, never a blend of the two.
- Rental use changes the answer: a second home you rent out is usually treated as an investment property, which lowers leverage on the depletion path.
All figures are ceilings and floors offered through select programs. They are not offers, and the lender’s own calculation governs.
Which Path Fits Your Balance Sheet?
If your balances are large and your documented income is small, one of two paths will usually fit. Assets cover the loan outright, or assets are converted into monthly income. The two paths use different leverage, different asset credit and different rules, so keep them apart.
| Factor | Asset qualifier | Asset depletion |
|---|---|---|
| How you qualify | Assets cover the whole loan | Assets become monthly income |
| Income documented | None | Derived from assets |
| Purchase leverage | Up to 80% | Up to 80% (second home) |
| Refinance leverage | Up to 75% | Up to 80% rate-and-term, 60% cash-out |
| Loan amounts | Up to $4,000,000 | $125,000 to $3,500,000 |
| Investment property | Not published as eligible | Up to 65% / 60% |
The qualifier path suits a buyer whose accounts add up to more than the loan. The depletion path suits a buyer who wants a larger loan than the assets alone would cover, or who has other income to supplement. Both paths document the assets. Skipping income documents never means skipping the statements.
This is a consumer mortgage. Lendmire is the broker and places the file with select lenders in its network. Consumer mortgage lending is licensed in 16 states, and Florida is one of them.
Asset Qualifier Path: Assets Must Equal the Loan
On the qualifier path, eligible assets after the credit percentages must equal or exceed the entire loan amount. No employment or income is documented. The lender’s ability-to-repay review rests on the assets.
Here is what counts, as a share of the balance:
- Brokerage accounts, certificates of deposit, money market and savings count at 100%.
- A 401(k) or IRA counts at 90% under age 59½ and at 100% at 59½ or older.
- Accounts combine across institutions.
Take a loan of $800,000. The borrower holds $330,000 in brokerage accounts, which counts at 100%, or $330,000. A 401(k) of $300,000 under 59½ counts at 90%, or $270,000. Savings of $200,000 count at 100%, or $200,000. That totals $800,000 of usable assets, and the file is reviewed on assets alone. This is an illustration, and the lender’s own calculation governs.
Credit has a 600 minimum score on this path. Seasoning is 60 days, with two months of statements for each qualifying account. Reserves are not required at or below 75% loan-to-value, and above that the lender sets them.
Leverage tops out at 80% on a purchase and 75% on a refinance for a principal residence or second home. Whether cash-out proceeds are allowed on this path is set by the lender and is not published. Do not plan a qualifier-path cash-out around a number you have not seen in writing.
Asset Depletion Path: Assets Become Income
On the depletion path, usable assets are divided by 60 months. The result is a monthly qualifying income. That income must carry the full housing payment and your other debts through the debt-to-income test.
The haircuts are heavier here:
- Cash accounts and certificates of deposit count at 100%.
- Securities count at 80%.
- Private stock counts at 75%.
- Retirement accounts count at 70% at any age.
- Real-estate equity counts at 60%.
Run a sample. Say a borrower holds $1,500,000 in securities, which counts at 80%, or $1,200,000. She also holds $300,000 in cash, which counts at 100%. Usable assets are $1,500,000. Divided by 60 months, that is $25,000 of monthly qualifying income. That income then carries the housing payment and other debts through the debt-to-income test. The lender’s own calculation governs.
Some assets do not count on this path. 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 not eligible. Cash-out proceeds from a refinance never count as qualifying assets.
The minimums are firm:
- Qualified assets must be at least the lesser of $1,000,000 or 1.25 times the loan balance.
- Liquid assets must never fall below $250,000 when asset depletion is the only income source.
- Asset income may also supplement documented income up to a 45% debt-to-income ratio. When it supplements, the minimum-assets rule is waived.
Statements must be at least 120 days old at application, plus the most recent statement within 45 days. Funds from the sale of a business, an inheritance or a legal settlement are excused from that seasoning. Credit follows the lender’s matrix for score and loan amount. Housing history is 0x30x12, and 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.
What Actually Caps Your Loan?
Four limits apply, and the lowest one binds first. Treat them as a checklist, not as a menu.
1. Leverage. The percentage of value caps the loan. On a second home that is up to 80% on a purchase on either path, and up to 60% on a depletion-path cash-out.
2. The asset test. On the qualifier path, usable assets must cover the whole loan. On the depletion path, derived income must carry the payment and debts.
3. The program ceiling. The ceiling is $4,000,000 on the qualifier path and $3,500,000 on the depletion path. Nothing above $4,000,000 is available.
4. Minimum assets. The depletion path adds its own floor, tied to the loan size and to $250,000 liquid.
A buyer with a very large balance and a modest purchase usually runs into leverage first. A buyer with a luxury purchase usually runs into the program ceiling. A buyer with a mid-sized portfolio and a high-priced home usually runs into the asset test. Work out which limit applies before you pick a price range.
Putting more of your own money down can shrink the loan. It can also shrink the asset pool that supports the loan. Keep the balance of the two in view.
Second Home or Investment Property?
A second home is one you occupy for personal use. An investment property is one you buy to rent. The program treats them differently, and the difference is large.
On the depletion path, a second home runs up to 80% on a purchase or rate-and-term refinance and 60% on a cash-out. A first-time investor on the depletion path needs a 700 credit score. Investment property is not published as eligible on the qualifier path. Final terms depend on lender guidelines, property type, leverage, and the borrower’s complete credit picture.
Many Florida buyers plan to rent the home part of the year. If rental income is a core part of the plan, tell the loan officer at the start. How the property is classified drives leverage, so declare the true use. Do not pick the occupancy label that gives the higher number.
If the plan is a pure rental, a different product usually fits better. 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. They qualify primarily on property-level rental income covering the payment, subject to lender guidelines. Lendmire’s complete DSCR loans guide explains how that works. Programs below 1.00 coverage are available through select lenders in the network, but leverage and terms adjust.
Florida Property Friction That Can Shrink the Number
A file can clear the asset math and still stall on the property. Florida has three common sticking points.
Condos. Florida’s condo regulator says condominiums and co-ops of three or more stories must complete a Structural Integrity Reserve Study at least every 10 years. The Florida Department of Business and Professional Regulation also says those reports are part of the association’s official records and must be given to prospective purchasers. Ask for the report before you make an offer.
The same agency’s milestone inspection page says milestone inspections apply at 30 years of building age, or 25 years where local circumstances require it, and every 10 years after that. Phase 1 is a visual assessment. Phase 2 is required only if deterioration is found. These items shape the lender’s review of the association, and a condo that fails the review may not be eligible.
Insurance. Wind and flood premiums feed directly into the housing payment. On the depletion path, a higher payment means more of your derived income is used up. Get insurance quotes early and keep them current.
Association and rental rules. Dues also sit in the payment. Short-term rental rules can vary by city, county, HOA and property type, so confirm local rules before relying on projected rental income.
Across the wholesale network, the quiet delay on these files is the condo questionnaire and the association’s records. Request them before the contract deadline, not after the appraisal.
Documents and Funding Mistakes That Shrink Your Number
Most reductions come from the paperwork, not the math. Watch for these:
- Stale statements. On the depletion path, statements must be at least 120 days old plus one within 45 days. On the qualifier path, you need 60 days of seasoning and two months of statements per account.
- Counting the same dollar twice. Money used for the down payment cannot also sit in the asset pool.
- Using ineligible assets. Crypto, precious metals, collectibles, pledged funds and 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.
- Shifting accounts mid-file. Large moves between accounts invite source-of-funds questions.
- A market drop before closing. A securities balance can fall, and the usable total falls with it.
- Ignoring the credit tier. The qualifier path has a 600 floor, while the depletion path follows the lender’s matrix.
Tax treatment varies with how assets are sold or held, so consult a qualified professional before selling positions to fund a purchase.
Is This Better Than Paying Cash or Taking a Line?
It depends on what you want to keep. Paying cash avoids a loan but ties up the portfolio. A home-equity line is a second lien on a home you already own, which is a different product from financing the purchase of a second home. A bank statement program fits borrowers who document income with deposits. An asset-based mortgage keeps the portfolio working and documents the balances instead of income.
If you hold large balances you would rather not sell, the asset-based route is worth pricing against the others. If your documented income is strong, a standard income-based loan may be simpler. Compare the structure, the leverage and what each leaves in your accounts.
Key Terms Defined
Asset qualifier path: The program path where eligible assets, after credit percentages, must cover the entire loan.
Asset depletion path: The program path where usable assets divided by 60 months become monthly qualifying income.
Usable assets: The balances that count after each account type’s percentage is applied.
Seasoning: The time funds must sit in an account, shown by statements, before they count.
Debt-to-income ratio: Monthly debts, including the new housing payment, compared with qualifying monthly income.
Loan-to-value (LTV): The loan amount as a percentage of the property’s value.
Frequently Asked Questions
Can I use an asset-based mortgage on a Florida second home I plan to rent out?
Only if the occupancy is declared correctly. A home you rent out is typically an investment property. On the depletion path that caps leverage at 65% on a purchase or rate-and-term refinance and 60% on a cash-out. Pure rental plans often fit a DSCR loan better, subject to underwriting.
Do I need income documents?
Not on the qualifier path, where no employment or income is documented. On the depletion path, income is derived from your assets and run through the debt-to-income test. Both paths document your assets. That means statements, not an absence of paperwork.
Does a retirement account count the same as a brokerage account?
No. On the qualifier path, a 401(k) or IRA counts at 90% under 59½ and at 100% after, while brokerage counts at 100%. On the depletion path, retirement accounts count at 70% at any age and securities at 80%. Percentages differ by path, so check the one your file uses.
What is the largest loan available?
The ceiling is $4,000,000 on the qualifier path and $3,500,000 on the depletion path, which starts at $125,000. Leverage and the asset test usually bind first. These are program ceilings, not offers, and every file is underwritten individually.
Will a Florida condo qualify?
Possibly, but the building must pass the lender’s association review. Florida requires a Structural Integrity Reserve Study for condos of three or more stories, and milestone inspections apply as buildings age. Gaps in those records can limit eligibility, so request them early.
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. Reach the team at 828-256-2183 or request a quote.
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.
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References
1. Florida Department of Business and Professional Regulation, Condominiums FAQs
2. Florida Department of Business and Professional Regulation, Condominium Inspections
This article is part of Lendmire’s asset-based mortgage program — full qualification details, guidelines, and scenarios live on the program page.
Related reading: Does a Securities-Backed Line of Credit Hurt Your Asset-Based Mortgage Application? · Savings Account vs Brokerage Account: Which Counts More on an Asset-Based Mortgage? · Can Equity in a Rental Property Help You Qualify for an Asset-Based Mortgage?
Guides: Asset-Based Mortgage in Florida
Brandon Miller
Founder & CEO, Mortgage Loan Originator, Lendmire LLC
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- Lendmire LLC · Firm NMLS# 2371349 · Verify firm licensure
Required disclosures. Lendmire (NMLS# 2371349) operates as a licensed mortgage broker, not a direct lender or depository. The discussion in this article is general in nature and should not be relied upon as financial, legal, or tax advice — every investment scenario is unique and should be reviewed by a qualified professional. Any loan inquiry is subject to lender underwriting, and this article is not a commitment to lend or a guarantee of approval. Mortgage rates, loan terms, and program guidelines vary by borrower, property, and state, and may change without notice. Equal Housing Opportunity. Verify licensure at NMLS Consumer Access.