The Quick Read: You prove the loan with your accounts instead of a paycheck: statements for every qualifying account, proof the accounts are yours, and a clear source for any large deposit, while employment and income paperwork is simply not part of the file. On the asset qualifier path, your eligible assets must cover the entire loan amount. On the asset depletion path, your assets are turned into a monthly qualifying income. Both paths are placed through select lenders in Lendmire’s network, subject to underwriting.
- No employer is fine. The asset qualifier path documents no employment or income at all.
- The assets are fully documented. “No income paperwork” never means “no paperwork.”
- Pick one path. A borrower is qualified on the asset qualifier path or the asset depletion path, never a blend of the two.
- Statements are the core document. Expect two months per account on the qualifier path, and older plus recent statements on the depletion path.
- Michigan changes nothing about the program figures. Consumer lending is licensed in Michigan, and the numbers below are the same as in the other states where Lendmire is licensed.
Who This Fits (and Who It Does Not)
This loan suits people with large balances and little documented income. Think of a retiree living on a portfolio, someone who just sold a business, a recent inheritance, a legal settlement, or an early-retired professional. Your traditional personal-income documentation may show almost nothing. Your accounts show plenty.
It is a consumer mortgage for a principal residence or second home. For an investment property, only the asset depletion path applies, at lower leverage. If you are buying a rental and want to qualify on the rent instead, that is a different product. Lendmire’s complete DSCR loans guide explains how rental-based qualifying works.
Which Path Fits You?
The asset qualifier path asks one question: do your eligible assets equal or exceed the whole loan? If yes, no employment or income is documented. Through select programs, leverage tops out at 80% on a purchase and 75% on a refinance, with loans up to $4,000,000. Credit needs a 600 minimum score, subject to underwriting.
The asset depletion path turns your assets into income. Usable assets are divided by 60 months, and that monthly figure must carry the housing payment and your other debts through the debt-to-income test. Loan amounts run from $125,000 to $3,500,000. Credit follows the lender’s matrix, and a first-time investor on this path needs a 700 score.
Choose the qualifier path when your balances are larger than the loan. Choose the depletion path when the balances are large but not large enough to cover the loan outright.
How the Lender Counts Your Assets
Not every dollar counts at face value. The lender applies a percentage to each account type, and the result is your usable assets. The two paths use different percentages, so keep them separate.
Asset qualifier path. Brokerage accounts, certificates of deposit, money market, and savings count at 100%. A 401(k) or IRA counts at 90% if you are under 59½ and 100% at 59½ or older. Accounts combine.
Here is the illustrative arithmetic. Take an $800,000 loan. You hold $330,000 in brokerage accounts (100% counts $330,000), $300,000 in a 401(k) while under 59½ (90% counts $270,000), and $200,000 in savings (100% counts $200,000). That is $800,000 of usable assets, which covers the loan, so it is reviewed on assets alone. The lender’s own calculation governs.
Asset depletion path. Cash accounts and certificates of deposit count at 100%, securities at 80%, private stock at 75%, retirement accounts at 70% at any age, and real-estate equity at 60%. 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.
Here is the depletion example. You hold $1,500,000 in securities (80% counts $1,200,000) plus $300,000 in cash (100% counts $300,000). That is $1,500,000 usable, divided by 60 months, for $25,000 of monthly qualifying income. That income must then carry the housing payment and your other debts. Cash-out proceeds never count as qualifying assets.
The depletion path also has minimums. Qualified assets must be at least the lesser of $1,000,000 or 1.25 times the loan balance. When depletion is your only income source, you also need at least $250,000 in liquid assets. If the asset income only supplements documented income, it can be used up to a 45% debt-to-income ratio, and the minimum-assets rule is waived.
What to Put on the Application When You Have No Employer
The application has an employment section, and many borrowers stall there. Answer it truthfully. If you are retired, say retired. If you sold your company, say so and note when. If you live off investments, say that.
On the asset qualifier path, the lender does not document employment or income, so the section does not become a verification exercise. You are not trying to explain a gap away. You are telling the loan officer where the money comes from, and the statements show it.
On the asset depletion path, the derived income goes into the income line, and any pension, Social Security, or other documented income you add goes beside it. Whatever you list must be real and provable.
Two habits help. Name your path with the loan officer before you fill anything out. Then keep your account names consistent across the application and statements, because mismatches create conditions later.
The Document Checklist, by Asset Type
The assets are documented on both paths. What changes is the statement span and the percentage that counts. Lendmire’s asset qualifier document checklist goes deeper on the paperwork itself.
| Asset | What to provide | Qualifier path | Depletion path |
|---|---|---|---|
| Savings, checking | Every statement page | 100% | 100% |
| Money market | Every statement page | 100% | 100% (cash) |
| Certificates of deposit | Statement or certificate | 100% | 100% |
| Brokerage | Holdings and balance pages | 100% | 80% (securities) |
| 401(k), IRA | Balance and distribution status | 90% under 59½; 100% after | 70% any age |
| Private stock | Valuation support | Not published | 75% |
| Real-estate equity | Property and lien detail | Not published | 60% |
Statement spans differ too. On the qualifier path, expect 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.
Send every page of every statement, including pages marked intentionally left blank. A missing page is a common reason a clean file picks up a condition.
Crypto, Metals, Business Accounts, and Borrowed Funds
Cryptocurrency, precious metals, collectibles, business accounts beyond your ownership share, and pledged or borrowed funds are not published as eligible on either path. Do not assume they count at any percentage.
The documented route is converting them into a seasoned cash balance in a regulated account. The lender reviews where that money came from. Plan for the seasoning clock to start only after the cash lands.
Sourcing Large Deposits
Large or recent deposits draw questions. The lender wants to see where the money came from and that it is yours. Write a short letter of explanation and attach the paper trail.
| Deposit source | Typical proof | Note |
|---|---|---|
| Inheritance | Estate distribution letter, transfer record | Excused from depletion-path seasoning |
| Sale of a business | Closing statement, wire record | Excused from depletion-path seasoning |
| Legal settlement | Settlement agreement, payment record | Excused from depletion-path seasoning |
| Sale of a home | Settlement statement, deposit | Qualifier path still wants 60 days |
| Retirement rollover | Both account statements | Show the money moving, not vanishing |
| Account transfer | Outgoing and incoming statements | Keep both sides visible |
Gifted funds are a question for the lender, since they are not clearly your own seasoned assets. Ask before you count on them.
Ownership and Titling
Accounts generally need to be in your name. Joint accounts can work when you are on them, but a spouse’s separate account is the spouse’s asset. Business accounts count only up to your ownership share, and many programs treat them as ineligible. Trust-held assets need the trust documents to show you control or benefit from them.
Document Packets for Common Situations
The retiree. Bring statements for savings, brokerage, and any IRA or 401(k), showing balance and distribution status. Pension or Social Security letters can add income on the depletion path.
The executive between jobs. Skip the pay stubs. Bring brokerage and savings statements, and leave out unvested stock grants, which are not eligible on the depletion path.
The business owner who just sold. Bring the closing statement and the wire into your personal account. Depletion-path seasoning is excused for sale proceeds. The qualifier path still runs its 60 days.
The divorced borrower. Bring the decree and the transfer records showing which accounts moved into your name.
The trust beneficiary. Bring the trust documents and distribution records, and make sure the account titling matches your name where the lender needs it.
The self-employed borrower whose returns understate wealth. Your balances speak for you here. Bank statement loans suit people who document income through deposits, and this program is different.
Why “No Income Documents” Is Not “No Documents”
Marketing for these loans leans on the phrase no paperwork, and it misleads. What drops away is proof of employment and income. What stays is a full record of your assets, your credit, and the property.
The reason is built into consumer lending. Under the federal ability-to-repay standard, a lender weighs your income or your assets, not necessarily both, and the assets can be something other than the home itself. The rule’s full text also requires that whatever the lender relies on be verified with third-party records. That is why statements are the backbone of the file.
This is also different from the old no-income, no-asset loans that skipped checking everything. Here the checking is simply aimed at your accounts.
A Michigan Borrower’s View
The program works the same way in Michigan as anywhere Lendmire is licensed for consumer lending, and Michigan is on that list. The credit percentages, seasoning, leverage, and loan amounts do not change by state. What changes by location are local home prices and property costs, which belong in your budget but not in the program rules.
A Sensible Order of Operations
Before applying, gather the statements and pick your path. Do not move money between accounts without a reason, because every transfer creates something to explain.
While the loan is in underwriting, answer conditions the same day you see them. Send full documents rather than screenshots. Keep large purchases and new debt off the table, since they change the picture.
If you are weighing whether to sell investments to build a cash cushion, Lendmire’s piece Do You Have to Liquidate Assets to Reserve an Asset Qualifier Mortgage? explains how that works. In short, nothing is sold or pledged just to qualify.
Common Conditions and Fixes
| Condition | Why it happens | Fix |
|---|---|---|
| Stale statement | Dates fall outside the window | Send the newest statement |
| Missing pages | Partial upload | Resend every page, blanks included |
| Unexplained deposit | Large or recent credit | Letter plus source documents |
| Name mismatch | Account not in your name | Add titling proof or exclude the account |
| Ineligible asset | Crypto, options, foreign funds | Convert to seasoned cash or drop it |
When This Is Not the Right Fit
If your balances are modest next to the loan, the numbers will not clear on either path. If you are buying a rental to live off its rent, DSCR financing qualifies primarily on property-level rental income covering the payment, subject to lender guidelines. If your income is real and documented through deposits, a bank statement program may fit better. Asset-based qualifying is the right tool when the balance sheet is strong and the paycheck is absent.
Key Terms Defined
Asset qualifier path: the route where eligible assets must cover the entire loan, with no employment or income documented.
Asset depletion path: the route where usable assets divided by 60 months become a monthly qualifying income.
Seasoning: the amount of time money has sat in an account before the lender counts it.
Haircut: the share of an account’s balance that does not count, such as the 30% discount on retirement accounts under the depletion path.
Debt-to-income test: a comparison of monthly debts, including the new housing payment, against qualifying income.
Letter of explanation: a short written note from you explaining a deposit or other item the underwriter asked about.
Frequently Asked Questions
Do I need to be retired to use this loan?
No. Retirement is one common situation, but the loan is built for anyone with large balances and little documented income. Business sellers, early-retired professionals, and inheritance recipients use it too. Eligibility is subject to underwriting and the program’s credit and asset rules.
Does the lender sell or freeze my investments?
No. Nothing is sold or pledged to the lender. The percentages and the 60-month division are qualifying conventions that show the lender your capacity, not a withdrawal plan.
Can I use my 401(k) or IRA?
Yes, with a haircut. On the qualifier path, retirement balances count at 90% under age 59½ and 100% at 59½ or older. On the depletion path, they count at 70% at any age. You provide statements showing balance and distribution status.
Can I use this for an investment property?
Only on the asset depletion path, through select programs, at up to 65% on a purchase or rate-and-term refinance and 60% on a cash-out refinance. The qualifier path covers principal residences and second homes. Rent-based qualifying through a DSCR loan is the other route for rentals.
Is there a credit minimum?
Yes. The qualifier path has a 600 minimum score, and the depletion path follows the lender’s matrix. A first-time investor on the depletion path needs 700. Housing history and any prior credit events are reviewed, subject to underwriting.
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.
Lendmire’s asset-based mortgage in Michigan page presents the program for Michigan borrowers.
About Lendmire
Lendmire (NMLS# 2371349) is a mortgage brokerage serving self-employed and high-net-worth borrowers in 16 states. Bank statement, P&L-only, 1099-only and asset-based mortgages are arranged through wholesale lending channels; Lendmire brokers the financing and the lender underwrites each application. Scotsman Guide named Lendmire a Top Mortgage Workplace in both 2025 and 2026.
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References
1. CFPB, Regulation Z §1026.43 (ability-to-repay)
2. Cornell Law School LII, 12 CFR 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: Is an Asset Qualifier Mortgage Harder to Get Than an Asset Depletion Loan? · Asset Qualifier vs Asset Depletion for a Snowbird · How a Margin Balance Is Treated on an Asset Depletion Mortgage
Guides: Asset-Based Mortgage in Michigan
Brandon Miller
Founder & CEO, Mortgage Loan Originator, Lendmire LLC
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- Lendmire LLC · Firm NMLS# 2371349 · Verify firm licensure
Disclosures. The information presented in this article is general market commentary, not financial, legal, or tax advice. Lendmire is a mortgage brokerage (NMLS# 2371349) — not a direct lender or depository institution — and loan placement is subject to lender underwriting. Nothing in this content represents a commitment to lend. Loan terms, pricing, and program availability vary based on borrower qualifications, property characteristics, and state of subject property, and are subject to change at any time. Lendmire complies with Equal Housing Opportunity requirements. Consumer access: nmlsconsumeraccess.org.