The Quick Read: Yes, a Virginia buyer who paid cash can usually put a mortgage on the house afterward, and having no paycheck does not end the conversation if the borrower holds large, well-documented assets. The loan is qualified on one of two paths, subject to underwriting: assets that cover the whole loan, or assets converted into a monthly qualifying income. A cash purchase leaves a clean paper trail, which helps.
- Asset qualifier path: eligible assets must equal or exceed the entire loan, and no employment or income is documented.
- Asset depletion path: usable assets divided by 60 months become qualifying income that runs through the debt-to-income test.
- Leverage ceilings: the qualifier path allows up to 80% on a purchase and 75% on a refinance, through select programs.
- Seasoning: 60 days and two months of statements per account on the qualifier path.
- Rental use changes the lane: if the house is a pure rental, a DSCR loan may fit better.
Lendmire arranges these loans as a broker through select lenders in its network. Consumer mortgage lending is licensed in 16 states, and Virginia is one of them. Program figures below are ceilings and floors, not offers, and every file is underwritten individually.
What Does “No Income” Mean to an Underwriter?
“No income” rarely means “no way to repay.” It means no wages. Lenders in this space care whether a borrower can carry the loan, and large balances can answer that question without a paycheck.
The reader this fits is cash-heavy and income-light: a retiree, someone who sold a business, an heir, a person who received a settlement, or a household living off a portfolio. The balances are large. The documented income is small or zero.
Assets are still fully documented. Skipping income documentation never means skipping documentation altogether. Statements, source of funds, title, appraisal and credit are all reviewed.
Which Path Fits: Assets That Cover the Loan, or Assets That Become Income?
Pick the path first, because the two never blend. A borrower is qualified on one path at a time, and the figures differ.
| Factor | Asset qualifier path | Asset depletion path |
|---|---|---|
| How it qualifies | Assets cover the entire loan | Assets become monthly income |
| Income documented | None | Derived from assets |
| Debt-to-income test | Not documented | Applies |
| Purchase leverage | Up to 80% | Up to 80% (primary/second home); 65% (investment) |
| Refinance leverage | Up to 75% | Up to 80% rate-and-term; 60% cash-out (primary/second home) |
| Loan amounts | Up to $4,000,000 | $125,000 to $3,500,000 |
| Credit | 600 minimum | Lender’s matrix |
Through select programs, the depletion path’s investment-property leverage is 65% on a purchase or rate-and-term refinance and 60% on a cash-out refinance. Whether cash-out is allowed on the qualifier path, and at what leverage, is set by the lender and is not published, so no figure is stated here.
How the Asset Qualifier Path Works
The test is simple. After the credit percentages below, your eligible assets must equal or exceed the whole loan amount. Accounts combine.
On most files in the network, brokerage accounts, certificates of deposit, money market and savings count at 100%. Retirement accounts count at 90% if you are under 59½ and 100% at 59½ or older.
Here is an illustrative shape. Picture an $800,000 loan. A borrower holds $330,000 in brokerage accounts (100%, so $330,000), $300,000 in a 401(k) under 59½ (90%, so $270,000) and $200,000 in savings (100%, so $200,000). That counts $800,000 of usable assets and is reviewed on assets alone, subject to underwriting. The lender’s own calculation governs.
Seasoning matters. The qualifier path wants 60 days of seasoning and two months of statements for each qualifying account. Credit starts at a 600 floor. Reserves are not required at or below 75% loan-to-value; above that, the lender sets them.
How the Asset Depletion Path Works
This path turns a balance into income. Eligible assets, after haircuts, are divided by 60 months. The result must carry the full housing payment and other debts through the debt-to-income test.
The haircuts are steeper here. Cash accounts and certificates of deposit count at 100%. Securities count at 80%, private stock at 75%, retirement accounts at 70% at any age, and real-estate equity at 60%. Cash-out proceeds never count as qualifying assets.
Consider $1,500,000 in securities (80%, so $1,200,000) plus $300,000 in cash (100%, so $300,000). That is $1,500,000 usable, divided by 60 months, for $25,000 of monthly qualifying income. That income then carries the housing payment and other debts through the debt-to-income test.
The depletion path has real minimums. Qualified assets must be at least the lesser of $1,000,000 or 1.25 times the loan balance. When assets are the only income source, liquid assets must never fall below $250,000. If asset-derived income only supplements documented income, it can do so up to a 45% debt-to-income ratio, and 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.
Does Paying Cash Help or Hurt the Application?
Mostly it helps, with one catch. A cash closing leaves a settlement statement showing no mortgage financing. That document proves how the purchase was funded, and it shows your money was real and traceable.
The catch is timing and liquidity. Spending down your balances to buy the house shrinks the assets you need to qualify. A borrower who pays cash and then needs the asset path may find the remaining balances too thin. Run the usable-asset math before the cash closing, not after.
There is also the matter of the cash itself. On the depletion path, cash-out proceeds never count as qualifying assets. And if a bridge or hard-money loan funded the purchase, the early-refinance exception generally does not apply.
Agency loans offer a useful contrast. For conventional cash-out refinances, the Fannie Mae Selling Guide frames a delayed-financing exception for recent cash purchases, measured against a six-month window. That is how the agency program works. The asset-based programs described here set their own seasoning and documentation, so do not assume the agency rule carries over.
What Documents Do Lenders Ask For?
Expect a thorough file even with no income to document. A strong package usually includes:
1. The settlement statement from the cash purchase.
2. Statements for every qualifying account, within the seasoning windows above.
3. Proof of the source of any large deposit.
4. A title check showing no new liens since the purchase.
5. An appraisal.
6. A credit report meeting the program’s floor.
Some assets are not published as eligible on either path. Cryptocurrency, precious metals, collectibles, pledged or borrowed funds, and business accounts beyond your ownership share fall in that group. The documented route is converting them to a seasoned cash balance in a regulated account, with the source reviewed by the lender. Custodial accounts, deferred compensation, escrow accounts, foreign funds, cash on hand, stock options and non-vested restricted stock units are not eligible on the depletion path.
What Credit Does the Borrower Need?
The qualifier path has a 600 minimum score. The depletion path follows the lender’s score and loan-amount matrix. A first-time investor on the depletion path needs 700.
Housing history is typically 0x30x12, though 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 on the depletion path. None of this is a promise of approval.
When the House Is a Rental, the Answer Changes
This is where investors should slow down. The asset-based mortgage described above is a consumer loan, written for principal residences and second homes. It reaches investment property only on the depletion path, at lower leverage.
If you paid cash for a rental, a different lane often 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 Federal Register’s CFPB rule text says business-purpose loans fall outside the federal ability-to-repay requirements, and it treats investment-purpose loans as business-purpose.
In practice, a DSCR file qualifies primarily on property-level rental income covering the payment, subject to lender guidelines. A borrower with no wages can still be reviewed, because the rent is the focus. Across the network, some programs go below 1.00 coverage, but leverage and terms adjust when they do.
The line is not always clean. The Nolo explainer on the ability-to-repay rule covers the general rule and its exempt categories. If you plan to live in the house for more than a short stay, the loan may be treated as consumer-purpose, and a rental-only file stops fitting. Be honest about intended use before choosing a lane.
Lendmire’s complete DSCR loans guide walks through how those files are built. For the cash-buyer angle specifically, see Lendmire’s piece How a Cash Buyer Gets a No-Seasoning DSCR Cash-Out After Purchase.
Which Lane Fits Which Borrower?
| Situation | Likely lane |
|---|---|
| Retiree paid cash for a home to live in | Asset qualifier or depletion path |
| Large portfolio, wants income from assets | Asset depletion path |
| Cash-bought rental, rent covers the payment | DSCR loan |
| Cash-bought rental, thin rent coverage | Lower leverage, or reconsider |
| Wants cash back out of a primary home | Depletion path, 60% cash-out ceiling |
The flip point is rent. If the house produces solid rental income, DSCR usually pencils better than liquidating or depleting assets. If it is your own home and your balances are large, the asset paths are built for you.
Virginia Notes
Virginia is one of the 16 states where consumer mortgage lending is licensed through Lendmire’s platform. Program figures do not change by state. State-level costs such as local taxes and insurance are context for your budget, not program parameters.
One practical point for cash buyers: you lose lender-driven protections at the cash closing. Plan the sequence. Keep your records clean, avoid adding liens after the purchase, and talk with a broker before the cash closing, not after. Consumer mortgages carry TRID disclosures, which is a feature of the owner-occupied lane and not of DSCR business-purpose loans, which are exempt.
Common Mistakes to Avoid
- Spending down assets before checking the math. A smaller balance can sink the file.
- Undocumented deposits. Large unexplained funds slow review.
- Adding a lien after the cash purchase. Title review will catch it.
- Using the wrong lane. A rental run through a consumer program gets low leverage.
- Assuming “no income” means “no documents.” Assets are always documented.
Tax treatment varies; consult a qualified professional before relying on any deduction.
Key Terms Defined
Asset qualifier path: a way to qualify where eligible assets cover the entire loan and no income is documented.
Asset depletion path: a way to qualify where usable assets divided by 60 months become monthly income.
Seasoning: how long funds have sat in an account before the lender counts them.
Usable assets: the share of each balance a program counts after its percentage credit or haircut.
DSCR: the ratio of a rental’s income to its full monthly obligation, used on investor loans.
Frequently Asked Questions
Can I get a mortgage right after buying a house with cash?
Often yes, subject to underwriting. Whether a lender will lend against the house depends on documented source of funds, clear title, and seasoned assets. Any early-refinance exception is lender-set, so the details vary by program.
Do I need a job to qualify?
No, not on either asset path. The qualifier path documents no employment or income, and the depletion path derives income from assets. Credit, assets and the property are still reviewed.
Do I have to sell my investments?
Not necessarily. Eligible balances count toward the test at their stated percentages, so you can keep them invested. The depletion path counts securities at 80%, and the qualifier path counts brokerage accounts at 100%.
Can I pull cash out after paying cash for the house?
It depends on the path and the property. On the depletion path, cash-out is capped at 60% on a principal residence, second home or investment property, and proceeds never count as qualifying assets. Qualifier-path cash-out terms are set by the lender and are not published.
What if the house is a rental?
A DSCR loan often fits better, since it looks at the property’s rent against its payment. Lendmire’s piece How to Get Your Cash Back After Buying a Rental With No Mortgage covers that route.
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 Virginia page presents the program for Virginia borrowers.
About Lendmire
Lendmire is a mortgage brokerage (NMLS# 2371349) licensed for consumer mortgage lending in 16 states, arranging bank statement and other alternative-documentation mortgages — P&L-only, 1099-only and asset-based paths — through a wholesale lending network. Eligibility is determined by the lender on each file. Scotsman Guide named Lendmire a Top Mortgage Workplace in both 2025 and 2026.
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References
1. Fannie Mae Selling Guide B2-1.3-03
2. Federal Register: CFPB Ability-to-Repay and Qualified Mortgage Standards
3. Nolo explainer on the ability-to-repay rule
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 a Margin Balance Is Treated on an Asset Depletion Mortgage · How an Asset Depletion Mortgage Works · How Asset Depletion Income Is Calculated From Your Portfolio
Guides: Asset-Based Mortgage in Virginia
Brandon Miller
Founder & CEO, Mortgage Loan Originator, Lendmire LLC
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Legal disclosures. Lendmire (NMLS# 2371349) is a state-licensed mortgage brokerage that arranges financing through wholesale lender relationships. Lendmire is not a direct lender, depository institution, or registered financial advisor. The discussion above is general informational content about real estate financing — it is not financial, legal, or tax advice, and readers should consult licensed professionals for guidance on their individual circumstances. Loan inquiries are subject to lender underwriting; this article does not represent a commitment to lend. Loan terms, rates, and qualification standards vary by borrower, property, and state, and are subject to change at any time. Equal Housing Opportunity. NMLS Consumer Access: nmlsconsumeraccess.org.