The Quick Read: A jumbo cash-out refinance on RSU and bonus pay works through documented, repeating income, not your headline compensation. The lender counts what you can prove, averages what swings, and leaves out what has not vested or cannot be shown to continue. Larger total pay can still produce a smaller coverage figure. The steps below follow the file from the first review to the cash.
Jumbo cash-out estimate
Enter the value, the balance, and the cash wanted; choose the occupancy and the structure; the lanes, the payment, and the reserves follow.
Editable benchmark: 7.40% as of October 15, 2026 · Freddie Mac 30-year average via FRED®. A conventional market reference, not a jumbo cash-out refinance quote.
Illustrative starting assumptions: a $2,000,000 home value in the jumbo range, a $1,000,000 current balance, a principal residence on a thirty-year fixed structure at the current Freddie Mac conforming benchmark, and property taxes and insurance estimated at typical national rates. Every field is editable.
Illustrative estimate only — not a Loan Estimate, approval, quote, or commitment to lend. The rate field carries the weekly Freddie Mac thirty-year conforming benchmark, a market reference and not a jumbo cash-out refinance quote; a jumbo loan is priced by the lender at lock. The lanes shown are the wholesale cash-out lanes behind this page as of the snapshot date; the calculator reads each lane’s leverage, loan maximum by occupancy, cash-in-hand cap, and reserves as the lane table states them, and a Lendmire loan officer confirms the lane on the file. The cash available is the loan the lane allows less the balances paid off, before closing costs, which are not included; on most lanes a jumbo cash-out begins one dollar above the conforming limit for the county, and two lanes start at a stated dollar floor instead. The HELOC line is the line program’s combined loan-to-value ceiling applied to the same value and balance. Taxes and insurance are editable estimates. Licensed in sixteen states for consumer mortgages.
What Counts and What Doesn’t
Here is the short version, before the mechanics.
- Counts: base pay, bonus with a stable or rising history, and RSU shares that have vested and been distributed to you, if the stock is publicly traded and the vesting schedule shows the income continuing.
- Usually doesn’t count: unvested grants, a bonus that has dropped or was a one-time payment, and stock in a private company.
- Doesn’t matter: whether you sold the shares after vesting. Lenders look at the income on your pay records, not at what you did with the stock.
Most of the friction on these files is not the equity in the house. It is the gap between what the household received in a strong year and what the lender can document as repeating.
What Is a Jumbo Cash-Out Refinance?
A jumbo cash-out refinance replaces your current mortgage with a larger one and pays you the difference in cash. “Jumbo” means the new loan is above the conforming limit for your county. FHFA sets those limits each year. In most of the country there is one baseline, and higher-cost counties get a higher ceiling. Fannie Mae and Freddie Mac won’t buy a loan above the limit that applies to your property, so wholesale jumbo lenders write their own guidelines.
That last point matters for RSU borrowers. Jumbo rules are set lender by lender. The public rulebooks are agency rulebooks, and many jumbo lenders borrow their income logic and then add overlays. Two files with the same paycheck can get different answers.
Lendmire is a mortgage broker licensed for consumer lending in 16 states. Across the wholesale jumbo lanes it places files with, the envelope looks like this, subject to lender guidelines and full file review:
- A 660 decision score on the headline lane.
- Leverage up to 90% on purchase, with several lanes reaching 89.99% combined loan-to-value and the rest stopping at 80%. Cash-out sits at lower leverage than purchase.
- Loans up to $5,000,000 on the largest lanes, with a cash cap on two lanes.
- A 50% debt-to-income ceiling on the fixed lanes, 45% on the adjustable lane and 43% on the interest-only lanes. Every figure here varies by lender and program — guidelines, property type, leverage, and credit profile all apply.
The jumbo cash-out refinance program page lays out the structures. None of this is a commitment to lend.
How the Loan Is Underwritten, Step by Step
Think of it as six checkpoints. The file has to clear each one in order, and a gap at an early step changes the math at every later step.
Step 1: Ownership and the existing loan
The lender first confirms you own the home and checks how long you have held the current loan. For reference, Fannie Mae’s cash-out rule asks for an existing first mortgage that is at least 12 months old and for a borrower on title for six months. Jumbo lenders set their own seasoning, and it varies. A recent purchase or a recent refinance is where files most often get kicked back, so confirm seasoning before you spend time on income.
Step 2: Bonus income
The lender wants to know how often the bonus is paid and whether it repeats. Under agency logic, a two-year history is the recommended standard. A shorter history may work with offsetting factors, but not much shorter. Fannie Mae’s bonus guidance calls for a verification of employment, or a recent paystub plus two years of W-2s. If the bonus is stable or rising, the lender averages year-to-date and prior-year pay. If it is falling, the lender can reduce the figure or leave it out. A one-time bonus may not count at all.
Step 3: RSU income
This is where files get thin. Fannie Mae’s RSU guidance is the most detailed public rulebook. It asks for:
- Proof that the stock is publicly traded.
- The vesting schedule, past and future.
- Records of prior distributions, such as brokerage or bank statements.
- A 200-day moving average share price for share-based pay.
- For time-based one-time awards, income expected to continue for at least three years from the application date.
Only shares that have vested and been distributed count. Enact MI, a mortgage insurer, describes the calculation in a blog post on RSU underwriting: multiply the documented 200-day average price by the vested shares distributed over the past year, then divide by 12. That post is older, so treat the method as a guide and check it against the current Fannie Mae page. Jumbo lenders may apply their own version.
Step 4: Debt-to-income and reserves
Verified income feeds the ratio. The new payment includes the cash-out amount, so a cash-out always raises the numerator. The ratio ceilings above are the guardrails on the network’s lanes. Reserves are measured in months of the full payment and rise with the loan amount. For reference, Fannie Mae asks for six months of reserves on cash-out loans with a ratio above 45%, but that is an agency number, not a jumbo one.
Step 5: Appraisal and leverage
Cash-out leverage is the new loan divided by appraised value. The appraisal decides how much cash is available. Fannie Mae’s eligibility matrix caps agency cash-out on a one-unit primary home at a lower level than purchase. Jumbo lanes work the same way: cash-out leverage is lower than purchase leverage. Above a lane’s threshold amount, two appraisals are required. Occupancy matters too. Second homes and investment occupancy carry lane-specific leverage, so a primary residence is the cleanest file.
Step 6: Disclosures, closing and rescission
This is a consumer mortgage, so you get a Loan Estimate after you apply and a Closing Disclosure before closing. Then the right of rescission applies. The CFPB explains that borrowers get three business days to cancel a refinance on their primary home, in writing. The clock starts only after you have signed, received the disclosure and received two copies of the notice. Cash is not released until that window closes. A federal request for comment has floated changes to rescission for cash-out loans, but that is only a proposal. Current rules apply until they change.
How RSUs and Bonuses Blend Into One Number
Underwriters don’t use your W-2 total. They build the coverage figure in layers.
| Pay type | Typical proof | How it’s counted | What weakens it |
|---|---|---|---|
| Base pay | Paystub, W-2 | Current monthly amount | Reduced hours |
| Annual bonus | W-2s, VOE | Averaged if stable | Decline, one-time |
| Vested RSUs | Vest schedule, statements | Averaged price × shares | Short history |
| Unvested RSUs | Grant letter | Generally not counted | No vest yet |
| Performance RSUs | Award terms, history | Longer history expected | Variable payout |
| Prior-employer RSUs | Past statements | Case by case | Gap in vesting |
Picture a homeowner whose base pay is steady, whose bonus has risen two years running, and whose RSUs began vesting three years ago on a four-year schedule. All three layers can be documented, so the file reads as strong. Now picture the same total pay with a bonus that dropped last year and a first RSU vest six months ago. The household earned the same money, but the coverage figure is much lower. That’s the pattern.
Because the lender averages RSU and bonus income, the number it uses can sit well below what you received in a good year. Higher qualifying income lowers the ratio, and a lower one tightens how much cash-out the file supports.
Where the Rule Breaks: Edge Cases
Recent grant or new employer. RSU history is required. Time-based awards generally need less history than performance-based ones. Confirm the exact months with the lender, because secondary tools differ.
Private-company stock. Agency logic requires publicly traded stock. Jumbo lenders may treat private equity differently, but most files with private RSUs lean on base pay, bonus and assets.
Unvested shares. They don’t count as income. Some lenders may look at them differently, so ask early.
Declining stock price. The averaging method smooths swings, but a long slide can still shrink the number.
A vest date during underwriting. A new vest adds to the documented record, which can help. A layoff or a change of employer before closing can unwind the file, because lenders re-verify employment.
Assets instead of income. The federal ability-to-repay framework lets a lender consider income or assets, so some jumbo lanes allow asset-based documentation. The CFPB’s compliance guide says the rule does not require any particular underwriting model. Vested shares sitting in a brokerage account can help with reserves even when they don’t help with income.
Non-warrantable condos. Two lanes accept them. If your home is a condo, say so at the start.
Document Checklist: Complete File vs. Incomplete File
A complete file has:
1. Two years of W-2s and a recent paystub.
2. The full vesting schedule, past and future.
3. Brokerage statements showing prior share distributions.
4. Proof the employer is publicly traded.
5. Employer verification of continued employment and bonus.
6. Two months of asset statements for reserves.
7. Your current mortgage statement and homeowners insurance.
An incomplete file leaves out the forward vesting schedule or the distribution statements. When that happens, the underwriter can exclude the RSU income entirely, and the ratio jumps.
Cash-Out or Sell the Shares?
Some RSU holders ask whether to borrow against the house or sell vested stock. There’s no universal answer. Selling vested shares avoids a larger mortgage but can create a tax event and gives up any further gain. Borrowing keeps the shares but raises the balance and the payment, and the loan is qualified on averaged income, not on the day’s stock price. Tax treatment can depend on your situation; borrowers should speak with a qualified tax professional before relying on any deduction or credit.
Honestly, this is a toss-up for many households. The tiebreaker is usually how much of the qualifying income depends on shares you would be selling.
Before You Apply: Self-Check
- Is your current loan seasoned long enough?
- Do you have at least a year of RSU distributions on record?
- Is your bonus flat or rising?
- Do you know your target leverage and which lane fits your amount?
- Do you have reserves documented outside the house?
If most answers are yes, the file is in good shape. Two or more no’s means fix those first. If you’re weighing a cash-out refinance against keeping the loan you have, Lendmire can help you compare the programs and the equity each one reaches.
Key Terms Defined
RSU (restricted stock unit): A promise of company shares that you receive when they vest.
Vesting: The date a grant becomes yours without restrictions.
Cash-out refinance: A new, larger mortgage that pays off the old one and gives you the difference in cash.
Combined loan-to-value (CLTV): All mortgage debt on the home divided by its appraised value.
Debt-to-income ratio: Your monthly debt payments divided by your verified monthly income.
Reserves: Liquid assets, counted in months of the full payment, held after closing.
Frequently Asked Questions
Do unvested RSUs count toward qualifying?
Generally no. Under agency logic, only shares that have vested and been distributed to you without restrictions count. Some portfolio lenders may look at them differently, so ask at the start, but plan on unvested grants adding nothing to the coverage figure.
Do I have to sell my shares to use the income?
No. After vesting you can sell or hold the shares, and lenders look at the documented income, not what you did with the stock. Holding shares in a brokerage account can even help with reserves.
How many years of bonus history do I need?
Two years is the recommended standard under agency logic. A shorter history, but not under 12 months, may work with offsetting factors. Jumbo lenders can be stricter, and a falling bonus can be reduced or excluded.
Does cash-out leverage differ from purchase leverage?
Yes. Cash-out sits at lower leverage than purchase on the jumbo lanes Lendmire places files with, and the largest lanes also carry a cash cap. Occupancy changes it again, since second homes and investment occupancy carry lane-specific leverage.
When do I actually get the cash?
After the three-business-day rescission window closes on a primary-home refinance. Cancelling requires written notice. The window starts only once you have signed and received the required disclosures and notices.
For your own numbers, request a scenario review with Lendmire.
For current guidelines and terms, see Lendmire’s jumbo loan programs page.
About Lendmire
Lendmire (NMLS# 2371349) is a mortgage brokerage serving homeowners and home buyers in 16 states. FHA, VA, conventional and jumbo purchase and refinance loans are arranged through wholesale lending channels; Lendmire brokers the financing and the lender underwrites each application. Scotsman Guide named Lendmire a Top Mortgage Workplace in both 2025 and 2026.
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References
1. FHFA – 2026 Conforming Loan Limit Values
2. Fannie Mae Selling Guide B2-1.3-03: Cash-Out Refinance Transactions
3. Fannie Mae Selling Guide B3-3.3-02: Bonus Income
4. Fannie Mae Selling Guide B3-3.3-07: Restricted Stock Units
5. Enact MI – Underwriting Loans with Restricted Stock Units as Income
6. Fannie Mae DU Eligibility Matrix
8. The CFPB’s compliance guide
This article is part of Lendmire’s Jumbo Loans series — every loan program’s qualification details, guidelines, and scenarios live on the loan options page.
Related reading: Broker vs Bank Jumbo Cash-Out for a High-Balance Homeowner: Overlays · Should a Homeowner Do a Jumbo Cash-Out Now or Wait? · Can a Locked-in Homeowner Get a Jumbo Cash-Out Without Tax Returns?
Brandon Miller
Founder & CEO, Mortgage Loan Originator, Lendmire LLC
- Mortgage Loan Originator · NMLS# 1129696 · Verify on NMLS Consumer Access
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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.