The Quick Read: It depends on the loan size and the path, because no fixed dollar minimum applies to every file. On the asset qualifier path, eligible assets must cover the entire loan amount; on the asset depletion path, usable assets divided by 60 months become qualifying income, subject to underwriting.
- Asset qualifier path: counted assets must equal or exceed the whole loan, and no employment or income is documented.
- Asset depletion path: usable assets divided by 60 months become monthly income that must carry the housing payment and other debts.
- Depletion floor: qualified assets of at least the lesser of $1,000,000 or 1.25 times the loan balance, and never below $250,000 liquid when assets are the only income source.
- Retirement accounts: they count at 90% under age 59½ and 100% after on the qualifier path, and at 70% at any age on the depletion path.
- Rental property: a DSCR loan is reviewed primarily on the property’s rental income covering the payment, subject to lender guidelines, so it needs no income-equivalent asset pile.
An FIRE household is one that retired early and lives off a portfolio. The balances are large. The documented paycheck is not. Conventional underwriting reads that as a problem. Asset-based programs read it as a file.
Why Does a Portfolio That Funds Retirement Still Fail a Mortgage Test?
A portfolio built to cover living costs is not the same as income a lender can count. Standard underwriting wants documented earnings. A household drawing from brokerage accounts may show little taxable income, so the debt-to-income test can fail even with millions invested.
Federal rules do not demand a paycheck. The ability-to-repay standard lets a lender rely on income or assets other than the dwelling itself, verified with third-party records. Account statements fit that requirement. The rule sets no minimum balance. The lender’s program does.
That gap is the whole story. Across Lendmire’s wholesale network, the asset formula decides the answer, not a rule of thumb about retirement numbers. A household that has an FIRE number may still need to run a second calculation to find its mortgage number.
Which Path Fits: Assets Cover the Loan or Assets Become Income?
Pick one path per file. A borrower is qualified on one at a time, and the two tables never blend.
| Factor | Asset qualifier | Asset depletion |
|---|---|---|
| How assets are used | Cover the whole loan | Divided by 60 months into income |
| Income documented | None | Derived income through DTI |
| Purchase leverage | Up to 80% | Up to 80% on a primary or 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 |
| Credit | 600 minimum | The lender’s matrix |
These figures are ceilings through select programs, subject to underwriting. They are not offers. On the depletion path, investment property tops out at 65% on a purchase or rate-and-term refinance and 60% on a cash-out. Cash-out proceeds never count as qualifying assets.
Pick the qualifier path when liquid assets outweigh the loan. Pick depletion when you want assets to behave like salary, or when you need to supplement some documented income. Asset income can supplement documented income up to a 45% debt-to-income ratio, and the minimum-assets rule is waived when it does.
How the Math Works on Each Path
Asset qualifier path. Add up what counts, then compare it to the full loan. Brokerage, CDs, money market and savings count at 100%. A 401(k) or IRA counts at 90% under age 59½ and 100% at 59½ or older.
Run an illustrative file. Take an $800,000 loan, with $330,000 in brokerage accounts, $300,000 in a 401(k) under 59½ and $200,000 in savings. The brokerage counts at 100%, which is $330,000. The 401(k) counts at 90%, which is $270,000. The savings count at 100%, which is $200,000. Total usable assets are $800,000, so the file is reviewed on assets alone, subject to underwriting.
Asset depletion path. Haircut each account, total it, and divide by 60. Cash and CDs count at 100%. Securities count at 80%, private stock at 75%, retirement accounts at 70% at any age, and real-estate equity at 60%.
Take $1,500,000 in securities and $300,000 in cash. The securities count at 80%, which is $1,200,000. The cash counts at 100%, which is $300,000. 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.
Both examples are illustrative. The lender’s own calculation governs.
What Counts, and What Doesn’t?
Cash and cash equivalents count most. Securities and retirement balances count at a discount. Several asset types do not count at all.
Not eligible on the depletion 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.
Crypto, precious metals, collectibles, business accounts beyond your ownership share, and pledged or 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. Plan for that step well before applying.
Your home is not an FIRE-style asset here. Equity in real estate counts only on the depletion path, and only at 60%.
Early Retirees Under 59½
Age changes the retirement math. On the qualifier path, a 401(k) or IRA counts at 90% under 59½ and 100% after. On the depletion path, retirement accounts count at 70% at any age.
The haircut mirrors a real cost. The IRS says a 10% additional tax generally applies to early IRA distributions taken before 59½, with exceptions. Lenders discount retirement money partly for that reason.
For an FIRE household, account type matters. A taxable brokerage account counts more fully than a locked retirement account on the depletion path. Spread the balance with that in mind, and ask a qualified tax professional how withdrawals would be treated. Tax treatment varies; consult a qualified professional.
Statements, Seasoning, and Sourcing
Assets are documented on both paths. “No income documentation” never means “no documentation.”
- Qualifier path: 60 days of seasoning and two months of statements for each qualifying account.
- Depletion path: statements at least 120 days old at application, plus the most recent statement within 45 days. Sale-of-business, inheritance and legal-settlement funds are excused from that seasoning.
The most common file problem is a large deposit nobody can explain. Moved money, transfers between your own accounts and a recent sale all need a paper trail. Pull your statements before you pick a house, not after.
Where Down Payment and Reserves Fit
The same pool of money often serves more than one job. On the qualifier path, no reserves are required at or below 75% loan-to-value; above that, the lender sets them. The depletion path publishes no reserve months.
On the depletion path, check your minimums against what’s left after closing. A household can have enough on paper and still fall short once the down payment comes out. Market drops matter too. If the portfolio falls between application and closing, the usable total falls with it. Keep a cushion.
Credit and Other Conditions
The qualifier path has a published 600 minimum score. The depletion path follows the lender’s matrix. A first-time investor on the depletion path needs 700. Housing history is 0x30x12, and one 30-day late in the last twelve months is considered case by case. Multiple bankruptcies are not eligible. A housing event needs 4 years of seasoning on the depletion path. Nothing here promises approval, and every file is underwritten individually.
The Investor Decision: DSCR or Asset-Based?
Rental property changes the answer. 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. The loan is reviewed primarily on property-level rental income covering the payment, subject to lender guidelines.
So an FIRE investor buying a rental does not need an income-equivalent asset pile. Assets still fund the down payment, closing costs and reserves, and they still need documentation. Lendmire’s complete DSCR loans guide covers those mechanics. Select lenders in the network also offer programs below 1.00 coverage, though leverage and terms adjust.
The split is simple. A primary home or second home that rent can’t support goes through an asset-based path. A rental goes through DSCR. A household buying both runs two separate files. For those with retirement balances in the mix, Lendmire’s piece How to Use Retirement Assets to Qualify for a Jumbo Mortgage shows how those accounts are treated at larger loan sizes.
Key Terms Defined
FIRE household: a household that retired early and lives mainly off investments rather than a paycheck.
Asset qualifier: a path where eligible assets must equal or exceed the entire loan.
Asset depletion: a path that divides usable assets by 60 months to create qualifying income.
Haircut: the share of an account’s value that a lender leaves out of the count.
Seasoning: how long funds have sat in an account before they can be counted.
DSCR: a ratio of a rental property’s income to its debt payment.
Frequently Asked Questions
How much in assets does an FIRE household need?
No single figure applies. On the qualifier path, counted assets must equal or exceed the whole loan. On the depletion path, the lesser of $1,000,000 or 1.25 times the loan balance is the minimum, and never below $250,000 liquid when assets are the only income source. All of it is subject to underwriting.
Do I have to sell my investments?
No. The depletion is a qualification calculation only. Assets stay invested and nothing is sold or pledged to the lender. You do still need enough documented, seasoned funds for the down payment and closing costs.
Can retirement accounts count if I’m under 59½?
Yes, at a discount. On the qualifier path they count at 90% under 59½. On the depletion path they count at 70% at any age. Both are through select programs and subject to underwriting.
Does this work for a rental property?
Usually a DSCR loan fits better. It qualifies primarily on the rent covering the payment, subject to lender guidelines. Assets are still needed for the down payment and reserves, but they do not have to produce income.
Is it a no-documentation loan?
No. Income is not documented on the qualifier path, but assets are. Expect statements, source-of-funds questions and a full review of your accounts.
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 is a broker that arranges consumer mortgage lending in 16 states through select lenders, and none of this is a commitment to lend.
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
This article is part of Lendmire’s asset-based mortgage program — full qualification details, guidelines, and scenarios live on the program page.
Related reading: Can a Florida Buyer Qualify for a Mortgage on IRA Assets Without Withdrawals? · How Much Does a Michigan Retiree Need in Assets to Buy a Home Without Income? · Can a New Mexico Widow Qualify for a Mortgage on Life Insurance and Retirement Assets?
Brandon Miller
Founder & CEO, Mortgage Loan Originator, Lendmire LLC
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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.