Crypto Mortgage 2026: Buy a Home with Bitcoin Without Selling
David Rodriguez
Crypto & Mortgage Specialist • 15 min read
Use your Bitcoin, Ethereum, or crypto as collateral to buy real estate. Get up to 100% financing without triggering capital gains taxes. The future of home buying is here. With crypto mortgages up 340% year-over-year, 2026 is the year to leverage your digital assets.
In This Guide:
- What is a crypto mortgage and how it works
- Top crypto mortgage lenders in 2026
- Tax advantages of using crypto as collateral
- Step-by-step guide to getting approved
- Benefits vs risks comparison
- Who should consider a crypto mortgage
What Is a Crypto Mortgage? 🤔
A crypto mortgage (also called a Bitcoin mortgage or crypto-backed mortgage) allows you to use your cryptocurrency as collateral to secure a home loan—without selling your digital assets.
Instead of liquidating your Bitcoin or Ethereum to make a down payment, you pledge your crypto as collateral. The lender holds your crypto in a secure custodial account while you make mortgage payments. When you pay off the loan, you get your crypto back—hopefully worth even more!
💡 Real Example:
Sarah has 5 BTC worth $500,000. Instead of selling and paying $75,000+ in capital gains taxes, she uses her BTC as collateral for a $350,000 crypto mortgage (70% LTV). She buys her dream home, keeps her Bitcoin exposure, and avoids the tax hit. If BTC doubles, her collateral is worth $1M!
Ready to explore your options? Compare crypto-friendly mortgage lenders and see what rates you qualify for.
How Crypto Mortgages Work in 2026 📋
Step 1: Verify Your Crypto
Connect your wallet or exchange account. Lenders verify your BTC/ETH holdings and calculate your borrowing power.
Step 2: Get Pre-Approved
Receive a pre-approval letter based on your crypto collateral. Most lenders offer 50-70% LTV ratios.
Step 3: Transfer Collateral
Move your crypto to the lender's secure custodial account. Your assets are held safely during the loan term.
Step 4: Close & Move In
Complete the purchase, make monthly payments, and get your crypto back when the loan is paid off!
Top Crypto Mortgage Lenders 2026 🏆
Compare the best crypto-backed mortgage providers. Rates and terms updated December 2025.
| Lender | Max LTV | Rate Range | Crypto Accepted | Min. Amount |
|---|---|---|---|---|
| Milo | 100% | 7.5% - 9.0% | BTC, ETH | $100K |
| Ledn | 70% | 8.0% - 10.0% | BTC, ETH, USDC | $150K |
| SALT Lending | 65% | 7.9% - 9.5% | BTC, ETH, LTC, DOGE | $75K |
| Figure | 60% | 8.5% - 11.0% | BTC, ETH | $200K |
The Tax Advantage: Why Crypto Mortgages Save You Thousands 💵
❌ Selling Crypto for Down Payment
- • Sell $200,000 in Bitcoin
- • Cost basis: $50,000
- • Capital gain: $150,000
- • Tax rate: 20% + 3.8% NIIT
- • Tax owed: $35,700
- • Net for down payment: $164,300
✅ Using Crypto as Collateral
- • Pledge $200,000 in Bitcoin
- • No sale = No taxable event
- • Capital gain: $0 realized
- • Tax rate: N/A
- • Tax owed: $0
- • Keep full crypto exposure
💰 Potential Tax Savings: $35,700+ (Plus future appreciation!)
Crypto Mortgage: Benefits vs Risks ⚖️
✅ Benefits
- ✓ Avoid capital gains taxes (save 15-37%)
- ✓ Keep your crypto exposure for future gains
- ✓ No traditional income verification required
- ✓ Flexible credit requirements
- ✓ Fast approval (often 24-48 hours)
- ✓ Close in as little as 30 days
- ✓ Finance primary homes & investment properties
- ✓ Potential for crypto appreciation during loan
⚠️ Risks to Consider
- ! Higher interest rates than traditional mortgages
- ! Margin call risk if crypto value drops
- ! Potential liquidation of collateral
- ! Limited lender options compared to traditional
- ! Crypto must stay locked during loan term
- ! Regulatory uncertainty in some states
- ! Custodial risk (lender holds your crypto)
- ! May need to add collateral in bear markets
Not sure if crypto mortgage is right for you? Compare traditional and crypto mortgage options to find your best path to homeownership.
Crypto Market Outlook 2026: Why Now Is the Time 📈
The crypto market in 2026 presents unique opportunities for homebuyers. With Bitcoin's post-halving cycle historically showing strong appreciation, using your crypto as collateral rather than selling could be a strategic financial decision.
📊 2026 Crypto Market Indicators
For crypto traders looking to maximize their portfolio while entering real estate, tools like XCryptoBot can help automate your trading strategy to grow your crypto holdings while you focus on your home purchase. The key is maintaining enough collateral buffer to avoid margin calls during market volatility.
How to Protect Against Margin Calls 🛡️
The biggest risk with crypto mortgages is the margin call — when your collateral value drops below the required threshold. Here's how smart borrowers protect themselves:
✅ Protection Strategies
- Over-collateralize: Use 150-200% collateral instead of minimum
- Keep reserves: Have extra crypto ready to add if needed
- Set price alerts: Monitor BTC/ETH prices for early warning
- Choose lower LTV: 50% LTV gives more buffer than 70%
- Diversify collateral: Mix BTC + ETH + stablecoins
- Build emergency fund: Cash to make partial payments
⚠️ Margin Call Triggers
- 65-70% LTV breach: Most common trigger point
- 24-72 hour deadline: Typical response window
- 10-20% price drop: Can trigger at high LTV
- Flash crashes: Sudden drops may auto-liquidate
- Weekend volatility: Markets move 24/7
- Liquidation penalty: 5-15% fee if forced sale
💡 Pro Tip: Automated Trading for Collateral Growth
Many crypto mortgage holders use automated trading bots to grow their collateral buffer during the loan term. Platforms like XCryptoBot can help you implement DCA (Dollar Cost Averaging) or grid trading strategies to accumulate more crypto, providing additional margin protection without constant manual monitoring.
Crypto Mortgage Regulations by State 2026 🗺️
Crypto mortgage availability varies by state due to different regulatory frameworks. Here's the current landscape:
| State | Status | Notes |
|---|---|---|
| Texas | ✅ Crypto-Friendly | Most lenders operate here, no state restrictions |
| Florida | ✅ Crypto-Friendly | Popular for crypto mortgages, Miami hub |
| Wyoming | ✅ Most Friendly | DAO-friendly laws, crypto bank charters |
| California | ⚠️ Limited | Some restrictions, fewer lender options |
| New York | ❌ Restricted | BitLicense requirements limit options |
Step-by-Step: How to Get a Crypto Mortgage in 2026 📝
Calculate Your Borrowing Power
Take your total crypto holdings and multiply by the LTV ratio (50-70%). Example: $500K in BTC × 70% = $350K max loan.
Compare Crypto Mortgage Lenders
Research rates, LTV ratios, accepted cryptocurrencies, and margin call policies. Use our comparison table above.
Get Pre-Approved
Submit your application with proof of crypto holdings. Most lenders verify via exchange API or wallet signatures. Takes 24-48 hours.
Find Your Property
Shop for homes with your pre-approval letter. Crypto mortgages work for primary residences, vacation homes, and investment properties.
Transfer Collateral & Close
Move your crypto to the lender's custodial wallet, complete underwriting, and close on your new home. Typically 2-4 weeks.
Make Payments & Monitor
Make monthly payments, monitor your collateral ratio, and get your crypto back when the loan is paid off!
Crypto Mortgage vs Traditional Mortgage: Full Comparison 📊
| Feature | Crypto Mortgage | Traditional Mortgage |
|---|---|---|
| Down Payment | 0% (crypto as collateral) | 3-20% cash required |
| Interest Rates | 7.5% - 9.5% | 6.0% - 7.0% |
| Income Verification | Not required | W-2s, tax returns required |
| Credit Score | Flexible / No minimum | 620+ required |
| Approval Time | 24-48 hours | 1-2 weeks |
| Closing Time | 2-3 weeks | 30-45 days |
| Tax Event | No (collateral, not sale) | Yes (if selling crypto for down payment) |
| Margin Call Risk | Yes | No |
Who Should Consider a Crypto Mortgage? 🎯
Crypto-Rich, Cash-Poor
You have significant crypto holdings but limited liquid cash for a traditional down payment.
Long-Term HODLers
You believe in crypto's future and don't want to sell during what could be a temporary dip.
Tax-Conscious Investors
You have large unrealized gains and want to avoid triggering a massive tax bill.
Self-Employed / Gig Workers
Traditional income verification is difficult, but you have substantial crypto assets.
Real Estate Investors
You want to leverage crypto to build a real estate portfolio without depleting holdings.
International Buyers
You're buying US property but face challenges with traditional foreign national loans.
Crypto Mortgage FAQ 2026 ❓
Related Guides 📚
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No Income Verification Mortgage 2026
Bank statement loans for self-employed and crypto traders.
Housing Market Reset 2026
When will home prices finally drop? Expert predictions.
Ready to Buy a Home with Your Crypto? 🏠
Don't sell your Bitcoin. Use it as collateral and keep your crypto exposure while becoming a homeowner.