The Quick Read: No. Unvested RSUs and stock options do not count as qualifying assets on the asset-based mortgage programs placed through Lendmire’s wholesale network, and unvested equity never counts as income either. Only vested, delivered shares that sit in a verifiable account count, and only at the credit percentage the program assigns.
- Stock options and non-vested RSUs are on the not-eligible list for the asset depletion path.
- Vested, delivered shares in a brokerage account count as securities, subject to underwriting.
- Sold shares count as cash once the proceeds are seasoned and sourced.
- Assets used to create income cannot also be counted a second time.
- Equity-heavy borrowers usually need a vest-and-sell plan before applying.
Picture a borrower with a large grant, a modest salary, and a house in mind. On paper the grant looks like wealth. On an underwriter’s worksheet it is a promise, and a promise has no balance to verify. The sections below show where the line sits and how to move equity across it.
Why Unvested Equity Gets Excluded
An unvested RSU is a right to receive shares if you stay employed and the vest date arrives. Until then you own nothing you can sell. Plan documents commonly forfeit unvested awards on termination, as a sample stock award agreement shows. A lender cannot count an asset that can disappear with a resignation letter.
Stock options are different in form but land in the same place. An option is a right to buy at a strike price. Until it is vested and exercised, there is no account balance, and an option that is underwater is worth nothing even when vested.
Across the wholesale network, the pattern is consistent. On the asset depletion path, stock options and non-vested restricted stock units sit on the not-eligible list, next to deferred compensation, custodial accounts and cash on hand. The asset qualifier path counts brokerage, savings, money market, certificate of deposit and retirement balances, and employer equity that has not vested is none of those. Exact treatment is set by each lender and every file is underwritten individually.
For contrast, the agency rulebook points the same way. The Fannie Mae Selling Guide states that non-vested stock options are not an acceptable source of funds. Agency rules do not govern asset-based loans, but the logic carries over: no present access, no credit.
The Status Table: What Each Piece of Equity Does
| Equity state | Counts as an asset? | What changes the answer |
|---|---|---|
| Unvested RSUs | No | Wait for the vest |
| Vested RSUs held in brokerage | Yes, as securities | Net shares after tax withholding |
| Vested RSUs sold, cash in bank | Yes, as cash | Seasoning and sourcing |
| Unvested options | No | Vesting schedule |
| Vested, unexercised options | Not as an asset | Exercise and hold, or sell |
| Exercised options held as shares | Yes, as securities | Public price, no pledge |
| Private-company stock | Depletion path only, at 75% | Verifiable value, subject to underwriting |
Two notes on the table. First, an agency-style valuation of vested options uses the spread, meaning the current price minus the strike, not the grant size. That is the Fannie Mae method and it shows why a deep out-of-the-money option is worth zero. Second, the program-level rule above still wins for an asset-based file: unexercised options are not listed as eligible on the depletion path, so the practical route is to exercise, then count the shares or the proceeds.
Two Paths, and Where Shares Land on Each
Asset-based mortgages run on one of two paths, and a borrower is qualified on one at a time. Name the path before you count anything.
Asset qualifier path. Eligible assets, after the credit percentages, must equal or exceed the entire loan. No employment or income is documented. Brokerage accounts, certificates of deposit, money market and savings count at 100%. Retirement accounts count at 90% under age 59½ and 100% after. Through select programs, leverage runs up to 80% on a purchase and 75% on a refinance, with loans up to $4,000,000. The credit floor is 600, and each qualifying account needs 60 days of seasoning and two months of statements.
Asset depletion path. Usable assets divided by 60 months become monthly qualifying income, which then runs through the debt-to-income test. Cash and certificates of deposit count at 100%, securities at 80%, private stock at 75%, retirement at 70% and real-estate equity at 60%. Statements must be at least 120 days old at application, plus the most recent one within 45 days. The borrower needs qualified assets of at least the lesser of $1,000,000 or 1.25 times the loan, and never less than $250,000 liquid when depletion is the only income source. Loans run $125,000 to $3,500,000.
Vested shares in a brokerage account are securities. On the qualifier path they count at 100% of balance. On the depletion path they count at 80%. Shares of a private company count at 75% on the depletion path only, and only when a lender can verify the value.
Here is the sanctioned arithmetic, illustrative only. Suppose $1,500,000 sits in securities at 80%, which is $1,200,000, plus $300,000 in cash at 100%. That is $1,500,000 usable, divided by 60 months, for $25,000 of monthly qualifying income. The lender’s own calculation governs. Note what is missing: no unvested grant appears anywhere in that math.
The Vest, Sell, Season Path
Most equity-heavy borrowers fix the problem the same way. They turn a promise into a documented balance. The steps run in order.
1. Confirm the vest. Pull the vest record and the net shares delivered after tax withholding. Gross vest overstates what you actually received.
2. Decide hold or sell. Held shares count as securities. Sold shares count as cash. Cash counts at the higher percentage on the depletion path, and cash is the cleanest file on either path.
3. Move the proceeds to a regulated account. Funds from a non-regulated financial company are not eligible on the depletion path. A bank or brokerage account with a clear paper trail is.
4. Season the balance. The qualifier path wants 60 days and two months of statements per account. The depletion path wants statements 120 days old plus a recent one. Sales proceeds that land last week fail both tests.
5. Choose one job for each dollar. A dollar converted to income through depletion cannot also be counted as a second layer of reserves. Pick which path carries the file.
6. Re-verify before closing. Balances get re-checked. A big price drop in a single stock between application and closing changes the eligible total, so keep fresh statements ready.
Timing matters here. A large vest before application adds eligible assets, so sequence the application around the vest date where you can. Reserves are the lighter point: on the qualifier path none are required at or below 75% loan-to-value, and the depletion path publishes no reserve months.
Stock Options in Depth
Vested, unexercised options are the gray zone. They have value only if the market price sits above the strike, and they have no account balance until exercised. Exercising converts them into shares, which then count as securities if delivered, unrestricted, publicly priced and unpledged.
Tax lands at the exercise or sale and depends on the option type. IRS Publication 525 explains when income may arise at grant, exercise or sale. Tax treatment varies; consult a qualified professional before choosing to sell or exercise to build assets for a mortgage.
The practical read for an option holder: the spread is the only part with any value, an underwater option contributes nothing, and the loan file sees the shares only after exercise and delivery.
Edge Cases That Trip Files
Pledged or margin shares. Shares pledged against a line of credit may be excluded or reduced, and margin balances are netted out. The same stock cannot do two jobs. Lendmire’s piece Pledged-Asset Mortgage vs PAL vs Margin Loan for a Concentrated-Stock Buyer walks through that tradeoff.
Private-company equity. With no public price, most programs will not count it. On the depletion path, private stock can count at 75% when the lender can verify the value. Treat that as an ask-the-program item, not a rule.
Unvested grants as portfolio value. Some commentary claims a few asset programs fold unvested grants into portfolio value. Across the wholesale network, the programs described here do not. Where a lender says otherwise, get it in writing before you plan around it.
Crypto, precious metals, collectibles, pledged or borrowed funds. These 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.
Cash-out proceeds. On the depletion path, cash-out proceeds never count as qualifying assets.
Job change. Forfeiture on termination means a departure before vest can erase the grant. Vested shares you already own stay yours.
Asset-Based vs Income-Based: Which Fork Fits
The fork is simple. Income-qualified loans look at pay and, for RSU income, at a vest history. Asset-based loans look at balances. An unvested grant fits neither path, because it is not income yet and not an asset yet.
| Factor | Asset-based path | Income-qualified path |
|---|---|---|
| What is measured | Seasoned balances | Documented income |
| Unvested RSUs | Not counted | Not counted |
| Vested RSUs | As securities or cash | Income with vest history |
| Best fit | Cash-rich, income-light | Steady documented pay |
For a pure rental purchase, the better product is often a DSCR loan, which qualifies primarily on property-level rental income covering the payment, subject to lender guidelines. Assets still matter there for cash to close and post-close reserves, so vested, sold shares help even on that file. The complete DSCR loans guide covers how that product works. Lendmire’s piece Do Unvested RSUs Count as Income on a Jumbo Loan? covers the income side of the same question.
Sell or Hold?
This is a planning decision, and the answer depends on your tax position and your risk in the stock.
Selling vested shares gives clean, verifiable cash and removes single-stock risk from the file. It can also create a tax bill. RSU value is taxed as ordinary income at vest, and later gains or losses are capital, as Schwab’s RSU tax explainer lays out. Holding keeps the position, but a securities balance counts at 100% on the qualifier path and 80% on the depletion path, and a market drop can shrink it before closing.
Honestly, it is a toss-up for many borrowers. The cash route is cleaner for the file. The hold route can cost less in tax and keep upside. A borrower who needs the file to clear on a tight asset count usually picks cash.
Key Terms Defined
Vested. The employer has released the award, and the shares or options are yours to keep.
Delivered. Shares have landed in your brokerage account and are no longer a promise on a plan record.
Seasoning. The time funds have sat in an account, shown by statements, before a lender counts them.
Usable assets. The balance after the program’s credit percentage, such as 80% of a securities account on the depletion path.
Spread. For a vested option, the current share price minus the strike price.
Asset depletion. A method that divides usable assets by 60 months to create monthly qualifying income.
Alternatives If Your Equity Does Not Qualify Yet
If the numbers fall short, the levers are plain. Wait for the next vest. Sell vested shares and season the cash. Lower the loan amount or leverage. On a rental, use a DSCR file instead, where strong rent coverage carries the property and assets only need to cover cash to close and reserves. Programs below 1.00 coverage are available through select lenders in the network, with leverage and terms adjusted accordingly.
Documentation Checklist
- Vest record and net shares delivered after withholding.
- Two months of brokerage statements per qualifying account on the qualifier path.
- Statements at least 120 days old plus one within 45 days on the depletion path.
- Option statement showing quantity and strike price, if exercising.
- Sale confirmations and bank statements showing proceeds landing.
- Proof the shares are not pledged.
Frequently Asked Questions
Do vested RSUs held in a brokerage account count?
Yes, as securities, subject to underwriting. They count at 100% on the asset qualifier path and 80% on the asset depletion path, measured on net shares delivered after tax withholding. Statements must show ownership and value, net of any margin balance.
Do vested stock options count before I exercise them?
Not as an asset on these programs. Value sits only in the spread, and unexercised options are not listed as eligible on the depletion path. Exercise and hold the shares, or sell them, and the resulting securities or cash can count.
Can I sell vested shares right before applying?
You can, but the proceeds must still be seasoned. The depletion path wants statements at least 120 days old plus a recent one. A sale last week leaves a gap that the lender will flag.
Does an unvested grant help the file in any way?
It does not count as an asset or as income. It may show employment stability on an income-qualified file, but that is a different concept and a different product. On asset-based files, only balances count.
Do I still need assets on a DSCR loan?
Yes. A DSCR loan is reviewed primarily on property-level rental income covering the payment, subject to lender guidelines. Cash to close and post-close reserves are still verified, so thin liquid assets can sink a file even when the rent clears.
Does private-company stock count?
Only on the depletion path, at 75%, and only when the lender can verify its value. With no public price, many programs will not count it. Ask the program before planning around it.
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. Consumer mortgage lending is licensed in 16 states, and all figures above are program ceilings and floors, subject to underwriting and not a commitment to lend.
About Lendmire
Lendmire, NMLS# 2371349, is a mortgage brokerage with consumer lending licenses in 16 states. Bank statement, P&L-only, 1099-only and asset-based mortgages are arranged through wholesale lending partners for borrowers whose tax returns understate their income, and each application is reviewed individually by the lender. Scotsman Guide named Lendmire a Top Mortgage Workplace in both 2025 and 2026.
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References
1. Sample stock award agreement
2. Fannie Mae Selling Guide B3-4.3-01
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 Asset Qualifier Mortgage Be? · How an Asset Qualifier Jumbo Mortgage Works · Can a Retiree’s Asset Depletion Funds Count as Jumbo Loan Reserves?
Brandon Miller
Founder & CEO, Mortgage Loan Originator, Lendmire LLC
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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.