The Quick Read: Yes, through select asset-based programs in Lendmire’s wholesale network, a Tennessee buyer can qualify on savings, brokerage balances and retirement accounts without a local paycheck, because the lender reviews the money you hold instead of an employer you have not met yet. Details vary by program and underwriting.
- Path one, the asset qualifier: your eligible assets must equal or exceed the entire loan, and no employment or income is documented.
- Path two, asset depletion: usable assets divided by 60 months become a qualifying monthly income that runs through a debt-to-income test.
- You pick one path at a time. The two sets of rules never blend.
- The assets are fully documented. Skipping income paperwork never means skipping paperwork.
- A rental is different. If the Tennessee property is an investment, a DSCR loan is reviewed primarily on property-level rental income covering the payment, subject to lender guidelines.
Does a Lender Care That You Have No Tennessee Income?
A lender does not need Tennessee income on these programs. Both paths ask what you own, not where you are paid. Moving states is not an underwriting variable on either path. Lendmire’s consumer mortgage lending is licensed in Tennessee, and the program figures below are the same everywhere they are offered.
Here is the practical picture. A retiree sells a house in another state, plans to settle near family in Tennessee, and has seven figures sitting in brokerage and savings accounts. A founder sold a company and has no paycheck at all. A couple relocating before a new employer’s payroll history exists has a portfolio but a thin paper trail. Agency-style lending wants pay stubs and a job history. Asset-based programs do not.
These programs are built for cash-heavy, income-light households: retirees, business sellers, inheritance and settlement recipients, early-retired professionals, and families living off a portfolio. The figures in this piece are ceilings and floors, never offers. Each file is underwritten individually.
Path One: Assets That Cover the Whole Loan
On the asset qualifier path, your counted assets must equal or exceed the entire loan amount, and the lender documents no employment or income. Leverage reaches up to 80% on a purchase and 75% on a refinance, for a principal residence or second home. Loans run up to $4,000,000, subject to underwriting.
Each account type counts at a set share of its balance. Brokerage, certificates of deposit, money market and savings all count at 100%. Retirement balances such as a 401(k) or IRA count at 90% if you are under age 59½ and 100% at 59½ or older. Accounts combine.
Here is an illustrative example. Say the loan is $800,000. You hold $330,000 in brokerage accounts (counts at 100%, 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). That is $800,000 of usable assets, which covers the loan on assets alone. The lender’s own calculation governs the real file.
Credit still matters. The published floor on this path is a 600 score. Reserves are not required at or below 75% loan-to-value. Above that, the lender sets them.
One catch worth planning around. A big down payment can drain the very balances you need to count. Settle how the down payment and the counted assets interact before you make an offer, not after.
Path Two: Assets Turned Into Income
On the asset depletion path, the lender takes your eligible assets after a haircut, divides by 60 months, and treats the result as monthly income. That income must carry the housing payment and your other debts through the debt-to-income test. Loans run from $125,000 to $3,500,000, subject to underwriting.
Run the numbers on a portfolio. Say you hold $1,500,000 in securities, which count at 80%, so $1,200,000. You also hold $300,000 in cash, which counts at 100%. Usable assets total $1,500,000. Divide by 60 months and you get $25,000 of monthly qualifying income. That income then has to carry the full housing payment and other debts.
Leverage on this path depends on the property:
- Principal residence or second home: up to 80% on a purchase or rate-and-term refinance, and 60% on a cash-out refinance.
- Investment property: up to 65% on a purchase or rate-and-term refinance, and 60% on a cash-out refinance.
Cash-out proceeds never count as qualifying assets. Minimums are higher here. 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 need at least $250,000 liquid. Asset-derived income can also supplement documented income up to a 45% debt-to-income ratio. When it supplements, the minimum-assets rule is waived.
Credit follows the lender’s matrix on this path. A first-time investor needs a 700 score. 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 four years of seasoning.
Which Assets Count, and How Much
Counting percentages differ sharply between the paths, so read the columns separately. Each column is its own program.
| Asset | Qualifier path | Depletion path |
|---|---|---|
| Brokerage / securities | 100% | 80% |
| Cash, savings, money market | 100% | 100% (cash accounts) |
| Certificates of deposit | 100% | 100% |
| Retirement accounts | 90% under 59½, 100% after | 70% at any age |
| Private stock | Not published | 75% |
| Real-estate equity | Not published | 60% |
The depletion path excludes 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.
What about cryptocurrency, precious metals, collectibles, pledged or borrowed funds, or business accounts beyond your ownership share? Neither path publishes them as eligible. Skip any plan that counts them at a percentage. The documented route is converting them to a seasoned cash balance in a regulated account, with the source reviewed by the lender.
Documenting Money That Lives Somewhere Else
Statements are the whole file on asset-based loans, so they must be clean. The qualifier path wants 60 days of seasoning and two months of statements for each qualifying account. The depletion path wants 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 on the depletion path.
For a relocator, the account’s home state does not matter. The statement’s age and the money’s source do. Three habits keep the file clean:
1. Leave accounts where they are until the lender confirms what it needs.
2. Avoid shuffling large sums between institutions mid-file. Each transfer invites questions.
3. Keep the paper trail for any lump sum, such as a home sale or a settlement.
Most programs placed through the network want the same thing: stable balances, clear ownership, and no surprises. Moving money around to look better usually backfires.
Buying Before You Move: Occupancy and Timing
Income does not gate this purchase, but occupancy does. A principal residence loan assumes you will live there. A second home must be a true second home. You declare your intent in the loan documents, and the loan is a consumer mortgage with standard consumer disclosures.
A workable relocation sequence looks like this:
1. Run the asset math first. Total your eligible balances on both paths before you tour a single house.
2. Pick the path that fits. If assets cover the loan outright, path one is cleaner. If a few large balances are tied up, path two may work, with its higher minimums.
3. Gather statements. Start the seasoning clock early, because both paths have aging requirements.
4. Shop and offer. A pre-qualification letter helps you compete from out of state.
5. Plan around a pending sale. If your wealth includes the equity in a home you are selling, the proceeds may not land before you need the funds. Real-estate equity counts at 60% only on the depletion path.
Buying first, then moving, works when you genuinely intend to occupy the home. Calling a house a rental to qualify, then living in it, is occupancy misrepresentation. Don’t do it.
When the Tennessee Property Is a Rental Instead
If you are buying the home to rent it, a different loan 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. The Consumer Financial Protection Bureau’s assessment report confirms that the federal ability-to-repay rule excludes credit extended primarily for a business purpose, even when a dwelling secures it.
The Federal Register rulemaking states that investment-purpose loans are treated as business-purpose loans. A law firm’s business-purpose guide adds that only consumer-purpose loans on one-to-four-unit property get that rule.
In practice, the debt coverage ratio is monthly rent divided by the property’s full housing payment: principal, interest, taxes, insurance and any association dues. Coverage above 1.00 means the rent more than covers the payment. A relocating investor between jobs can use this route, since employment is not the test. Credit, down payment and reserves still are.
Programs below 1.00 coverage are available through select lenders in the network, but loan-to-value and terms adjust. Exact leverage and credit tiers for rentals vary by lender and file, so they are not listed here. The complete DSCR loans guide covers rental financing in depth.
Honestly, the cleaner play for many relocators is a rental first, then a home once local pay history exists. Others want the house now. It is a genuine toss-up, and the answer depends on how much cash you want working versus parked.
When This Doesn’t Fit
Asset-based loans are not for everyone. Skip them if your balances are modest, because the depletion path’s minimums and the qualifier path’s all-assets-cover-the-loan rule favor large portfolios. Skip them if most of your wealth sits in assets that are not published as eligible.
Other routes exist. A bank statement program fits borrowers who document income through deposits. Waiting for pay history opens agency-style financing. A cash purchase avoids a loan but ties up liquidity you may want for reserves.
Weigh the downsides honestly. Markets can fall after you buy, and a portfolio that counts toward your loan can shrink. The move can also fall through. Retirement balances count at lower percentages under 59½ on one path and at 70% on the other.
Tax treatment varies; consult a qualified professional before drawing on retirement money.
Key Terms Defined
Asset qualifier path: The program route where eligible assets, after the credit percentages, must equal or exceed the entire loan amount.
Asset depletion path: The program route that divides usable assets by 60 months to create qualifying monthly income.
Seasoning: The length of time money must sit in an account before a lender counts it.
Debt-to-income ratio: Your monthly debts, including the new housing payment, compared with your monthly income.
Loan-to-value (LTV): The loan amount as a percentage of the property’s value.
DSCR (debt service coverage ratio): A rental property’s monthly rent divided by its full monthly housing payment.
Readiness Checklist
- Do you know which path fits your balances?
- Are the statements recent enough for that path’s rules?
- Do you know how you will source the down payment without draining counted assets?
- Is the home truly for you to live in, or is it a rental?
- Do you have an idea of your credit position against the path’s floor?
Frequently Asked Questions
Do I need a Tennessee job first?
No. Neither asset-based path asks for Tennessee employment. The qualifier path documents no employment or income, and the depletion path derives income from your assets. A job offer is not part of the test, though credit and documented assets are.
Can I use my IRA or 401(k) without cashing it out?
Retirement balances can count toward qualification, at 90% under age 59½ and 100% after on the qualifier path, or at 70% at any age on the depletion path. Counting a balance is different from spending it, but down payment funds must come from somewhere documented. Ask a lender and a tax professional how that works for your accounts.
Which path is better, assets-cover-the-loan or assets-become-income?
If your counted assets exceed the whole loan, the qualifier path is simpler and allows up to 80% on a purchase. If they do not, the depletion path may fit, with higher minimums. You qualify on one path at a time, never both.
Does the loan size limit differ between the paths?
Yes. The qualifier path runs up to $4,000,000. The depletion path runs from $125,000 to $3,500,000. Both are subject to underwriting.
What if I plan to rent the house instead of living in it?
A DSCR loan fits better, since it qualifies primarily on property-level rental income covering the payment, subject to lender guidelines. Do not label a home you will live in as a rental.
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. Program availability is subject to underwriting and is not a commitment to lend.
Lendmire’s asset-based mortgage in Tennessee page presents the program for Tennessee borrowers.
About Lendmire
As a mortgage broker (NMLS# 2371349), Lendmire helps self-employed and high-net-worth borrowers in 16 states qualify on bank statements, a profit-and-loss statement, 1099s or liquid assets instead of tax returns, through wholesale lenders. Lendmire is never the lender; program terms are set by the lender and its guidelines. Scotsman Guide named Lendmire a Top Mortgage Workplace in both 2025 and 2026.
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References
1. CFPB: CFPB Ability to Repay Qualified Mortgage Assessment Report
2. Federal Register – Ability-to-Repay and Qualified Mortgage final rule
3. Doss Law – Business Purpose Exemption
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 Big Can an Assets-Only Mortgage Be? · How to Refinance a Jumbo Loan in Retirement on Assets · How to Qualify for a Mortgage on Liquid Assets Alone
Guides: Asset-Based Mortgage in Tennessee
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.