The Quick Read: The best program for your situation depends mostly on loan size, because cash-out and super jumbo barely overlap. Through select wholesale programs in Lendmire’s network, cash-out on a high-balance rental tops out at 60% LTV between $1,500,000 and $3,000,000 and is not offered above $3,000,000, subject to underwriting. The exact numbers vary by lender and program and follow a full review of property, leverage, and credit.
- Cash-out on a standard rental runs up to 75% LTV on loans to $1,000,000, then steps down as the loan grows.
- Cash-out on a loan from $1,500,000 to $3,000,000 is capped at 60% LTV.
- Above $3,000,000 the options are a payoff-only refinance or a different structure.
- Cash-out proceeds never count toward your reserves.
- Coverage is measured on the new, larger payment, so pulling more cash lowers your ratio. Final terms depend on the lender’s guidelines, the property type, and the borrower’s complete credit picture.
Everything below is a ceiling, not a promise. Every file is underwritten individually, and nothing here is a commitment to lend.
What Counts as Super Jumbo?
Nobody defines it officially. A “jumbo” loan has a federal reference point, but “super jumbo” is a tier each lender sets for itself.
The FHFA news release sets the baseline conforming limit for a one-unit property at $832,750. That is the cap on loans Fannie Mae and Freddie Mac will buy. HousingWire notes that loans above the limit fall into the jumbo market.
DSCR loans sit outside that system. DSCR stands for debt service coverage ratio, which compares a property’s monthly rent to its monthly debt payment. These are non-QM loans, meaning they don’t follow the standard mortgage rules that agency loans use. The agency limit is only useful as a contrast point.
In our network, Lendmire’s standard DSCR program stops at $3,000,000. A portfolio investor program runs from $150,000 to $10,000,000. In this article, “super jumbo” means a loan above $1,000,000, and the leverage rules change at every step.
How Much Cash Can You Actually Pull?
Less than the equity headline suggests. The leverage ceiling shrinks as the loan grows, and above a certain size it disappears.
This ladder shows the best available cell at DSCR 1.00 or higher. Every figure is a ceiling through select wholesale programs, subject to underwriting.
| Loan size | Purchase | Rate-term | Cash-out |
|---|---|---|---|
| $150K–$1M | 80% | 80% | 75% |
| $1M–$1.5M | 75% | 75% | 70% |
| $1.5M–$2M | 75% | 75% | 60% |
| $2M–$3M | 75% | 75% | 60% |
| $3M–$4M | 65% | 65% | — |
| $4M–$6M | 60% on review | 60% on review | — |
| $6M–$10M | 60% on review | 60% on review | — |
Rate-term means a refinance that changes the balance only to pay off the old loan and costs. The bands are loan amounts, not purchase prices. Multiply price by leverage first, then read the band for that loan.
Credit works the same way. The top cell in each band needs a certain score: 660 or better at the top of the first band, 700 or better from $1,000,000 to $1,500,000, and 720 or better from $1,500,000 to $3,000,000. The program floor is 660 on loans to $3,000,000 and 700 above that. A lower score steps you down to a lower leverage cell in the same band.
The cash-out rule has a second layer. Proceeds are unlimited at or below 60% LTV and capped at $1,500,000 above 60%. There is also no cash-out above $3,000,000, and none for borrowers with 680-and-below credit above $1,500,000. Short-term-rental cash-out follows the same ladder by loan size, with loans to $2,000,000 and coverage of 1.00 or higher. Each figure is subject to lender guidelines and a complete review of property type, leverage, and credit.
Picture a rental appraised at $3,000,000 with a large existing balance. At the 60% cash-out ceiling for that band, the new loan can reach only 60% of value. Payoff, closing costs, escrows, and reserves all come out of that number before you see a dollar. Leverage, reserves, and pricing vary by lender and program; the final terms follow the full file review.
How Underwriting Treats a Super Jumbo Cash-Out, Step by Step
Underwriting follows six steps, and the first one surprises people: gross equity is not cash.
1. The new loan pays off the old one. Payoff, closing costs, escrows, and any prepayment charge come out first. You receive the remainder.
2. Seasoning is checked. Seasoning is the waiting period between buying a property and refinancing it. Inside the window, the loan is sized on cost (price plus documented rehab). After it, appraised value governs. Across our network, about six months from deed recording is typical, though each program sets its own.
3. The appraisal is ordered. A single-family home uses a rent schedule alongside the value opinion. A 2–4 unit property uses an operating income form. Above $2,000,000, two appraisals are required.
4. Coverage is run on the new payment. Divide monthly rent by the full monthly obligation: principal, interest, taxes, insurance, and any HOA dues. Cash-out raises the balance, so coverage falls as you pull more. A ratio of 1.00 earns full leverage.
5. Reserves, credit, and vesting are checked. Reserves are typically six months of payments on the subject property, or twelve for first-time investors. Cash-out proceeds never satisfy them. Entity vesting is welcome, subject to program terms, with no layered entities.
6. Prepayment terms are reviewed. Many DSCR programs carry a prepayment penalty, a charge for paying the loan off early. Ask for the schedule before you commit.
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 file qualifies primarily on property-level rental income covering the payment, subject to lender guidelines.
For the full foundation, see Lendmire’s complete DSCR loans guide.
What If Coverage Falls Below 1.00?
Programs below 1.00 coverage do exist through select lenders in the network, but LTV and terms adjust. Coverage from 0.75 to 0.99 is a real path to $2,000,000 at reduced leverage, subject to underwriting.
No-ratio files, which don’t test rent against the payment, are offered through select wholesale programs to $2,000,000. They require a seven-year clean housing history and 0x30x24, which means no 30-day late payments in the last 24 months. Leverage, credit, and reserves tighten, and everything stays subject to underwriting. Above $2,000,000, plan on coverage of 1.00 or better.
One more option helps the payment side: interest-only. Some programs offer a 120-month interest-only period on 30- and 40-year terms, up to 75% LTV, qualified on the interest, taxes, and insurance payment with coverage of 0.75 or better. That can keep a larger loan inside the coverage test, though the balance does not fall during that period. Terms vary by lender guidelines, property type, leverage, credit profile, and full file review.
Where the Rules Change Above $3,000,000
Cash-out ends at $3,000,000. Above that, the super jumbo overlay applies, and the rules tighten across the board.
Expect a 700 credit score minimum and a 0x30x24 housing history. Borrowers need 48 months of seasoning after a credit event. Citizens and permanent residents only. Above $3,000,000, no rural property is allowed, and no more than ten acres on a non-rural one. Above $4,000,000, every request is reviewed case by case before submission, purchase or rate-and-term only. Exact terms depend on the lender’s guidelines, property type, leverage, and a full review of the borrower’s file.
If your loan sits above the cash-out limit, you have four paths:
- A payoff-only refinance now, with extra cash drawn from another property.
- A smaller draw by restructuring the debt.
- A different program entirely.
- Waiting until the balance or value moves you into a better band.
Edge Cases That Change the Answer
Low appraisal. At this size, each lost dollar of value cuts the loan by roughly your LTV percentage. The whole cut comes out of your proceeds, not out of the payoff. Options are a smaller draw, bringing cash to closing, a payoff-only refinance, or waiting to re-appraise.
All-cash buyers. Delayed financing waives only the seasoning wait. Coverage, appraisal, reserves, and leverage all still apply. Proceeds are generally limited to documented cost, with appraised value as a second cap. In one BiggerPockets thread, posters describe seasoning claims that conflict from one product to the next, which fits the reality that seasoning is lender policy, not law.
Hard-money payoff. Inside the seasoning window, a payoff-only refinance is possible now. The extra cash waits until seasoning is met.
Short-term rentals. Coverage must be 1.00 or higher, and loans cap at $2,000,000. Income comes from twelve months of operating history on a refinance, counted at 80% of gross. Only experienced investors qualify, meaning twelve months owning income property in the last thirty-six. Short-term rental rules can vary by city, county, HOA, and property type, so investors should confirm local rules before relying on projected rental income.
Condos. Non-warrantable condos reach 75% LTV and $1,500,000 on a purchase. Condotels reach 75% on a purchase and 65% on a refinance, to $1,500,000, with $250,000 cash in hand. Every figure here varies by lender and program — guidelines, property type, leverage, and credit profile all apply.
DSCR vs. conventional financing
There are two common ways to finance an investment property, and they qualify you differently — here’s how investors weigh them.
Why investors choose it
- Qualifies on the property’s rental income — no personal tax returns, W-2s, or pay stubs needed to document income.
- No personal debt-to-income ceiling to clear, so existing mortgages and obligations don’t cap your borrowing the same way.
- Can be closed in an LLC, keeping the property inside a business entity.
- Built for scaling — not held to the limit on number of financed properties that conventional financing applies.
- Underwriting centers on the deal: generally qualifies when the rent covers the payment, a 1.00x coverage ratio being a common baseline (confirmed in underwriting).
- Designed specifically for investment property, including long-term and, where the program allows, short-term rentals.
Where it’s strong
- Often the lowest ongoing financing cost for a buyer who fully qualifies on personal income — a fit for a first property or a cost-first purchase.
Trade-offs for investors
- Requires full personal income documentation and must fit within a debt-to-income limit — salary, existing debts, and other mortgages all count.
- Typically held in your personal name rather than a business entity.
- Caps how many financed properties you can carry, which can become a ceiling as a portfolio grows.
- Evaluates you as a borrower as much as the property, which usually means more paperwork.
How investors usually choose: a first or single property often optimizes for the lowest financing cost; portfolio builders often optimize for leverage, vesting in an LLC, and scaling past conventional caps. The right answer depends on your goals, the property, and current guidelines — both paths run through select lenders in Lendmire’s wholesale network, with eligibility and terms confirmed in underwriting.
How to Choose the Best Program for Your Situation
No single program wins for every file. The best program for your situation depends on loan size, credit profile, coverage, property type, and how much cash you need. A broker that shops multiple wholesale lenders can match the scenario to the program rather than forcing a file into one lender’s box.
| Your file | Likely path |
|---|---|
| Loan to $1M, 660+ credit, coverage 1.00+ | Cash-out up to 75% LTV |
| Loan $2M–$3M, 720+ credit | Cash-out up to 60% LTV |
| Loan above $3M | Payoff-only refinance; no cash-out |
| Coverage 0.75–0.99, loan to $2M | Reduced-leverage select program |
| Short-term rental, loan to $2M | Cash-out follows the ladder for its loan size |
Prepare your documents before you apply: entity papers, current leases, the existing payoff, insurance, and proof of reserves held separately from any cash-out. The strongest files have clean title, vesting that matches the note, supportable rent, and an appraisal with room to spare.
Be honest about the goal, too. Funding the next purchase usually means pulling cash from a rental with real room under the ladder, not the largest balance you own. Sometimes the smarter move is a smaller cash-out on a different property. Passing 1.00 also doesn’t mean a property cash-flows after taxes, maintenance, and vacancy.
Key Terms Defined
DSCR: the monthly rent divided by the full monthly property payment, used to test whether a rental covers its own debt.
LTV: loan-to-value, the loan amount as a percentage of the property’s value.
Non-QM: a loan that falls outside the standard mortgage rules, often built on property income rather than tax returns.
Seasoning: the waiting period between acquiring a property and refinancing it.
Reserves: liquid funds held after closing, typically measured in months of payments.
Rate-term refinance: a refinance that pays off the old loan and costs without taking cash out.
Super jumbo: a lender-defined tier of very large loans with no official definition.
Frequently Asked Questions
Can I get cash-out on a loan above $3,000,000?
No. Cash-out is not offered above $3,000,000 through the programs in the network. Payoff-only refinancing is available on review, and extra cash would need to come from another property or a different structure. Everything remains subject to underwriting.
Does a higher appraisal increase my cash-out?
It can on a standard refinance after seasoning, because appraised value then governs the loan size. Under delayed financing for all-cash buyers, proceeds are generally capped at documented cost instead. Two appraisals are required above $2,000,000.
Can cash-out proceeds count toward my reserves?
No. Reserves must come from separate liquid funds. They are typically six months of payments on the subject property, or twelve for first-time investors, subject to underwriting.
What credit score do I need?
The floor is 660 on loans to $3,000,000 and 700 above that. The top leverage in each band needs a higher score, such as 720 for cash-out between $1,500,000 and $3,000,000. A lower score generally means a lower leverage cell.
Can I close in an LLC?
Entity vesting is welcome, with no layered entities, subject to lender program eligibility. The vesting should match the borrower on the note.
If you are buying or refinancing a high-balance rental property and want to see how the numbers work, Lendmire can help you compare super jumbo DSCR loan options based on the property income, the loan balance, credit profile, leverage, and investor goals. Reach the team at 828-256-2183.
Investors weighing their equity options can start with Lendmire’s guide to cash-out refinance on an investment property.
Lendmire’s self-employed mortgages page presents both super jumbo programs, bank statement and DSCR, side by side.
About Lendmire
Lendmire — NMLS# 2371349 — is a mortgage brokerage specializing in DSCR investor loans, helping arrange financing across 41 markets, including Washington, D.C., through wholesale and investor-lending channels. The model centers on property-level rental income reviewed by the lender rather than W-2 documentation, subject to lender guidelines, suiting entity-owned and multi-property investors. Lendmire holds Scotsman Guide Top Mortgage Workplace recognition for 2025 and 2026.
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Informational only. Not a Loan Estimate, approval, or commitment to lend. Program availability and eligibility are subject to lender guidelines, credit approval, property review, and underwriting.
References
1. FHFA news release on 2026 conforming loan limits
2. HousingWire on the conforming loan limit
3. BiggerPockets forum thread on DSCR cash-out seasoning
This article is part of Lendmire’s super jumbo DSCR loan program — full qualification details, guidelines, and scenarios live on the program page.
Related reading: Best Super Jumbo DSCR Cash-Out Refinance Program When the Lender Requires a Rent Roll · Best Super Jumbo DSCR Cash-Out Refinance Program With Rent Covering Only 90% of the New Payment · Super Jumbo DSCR Cash-Out Refinance vs Portfolio DSCR Loan With a Lease Ending Next Month
Brandon Miller
Founder & CEO, Mortgage Loan Originator, Lendmire LLC
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Important disclosures. Lendmire (NMLS# 2371349) is a licensed mortgage brokerage. Lendmire is not a direct lender, depository institution, or financial advisor. All loan inquiries are subject to lender underwriting; this article does not constitute a commitment to lend. Rates, terms, and program guidelines are subject to change without notice and vary by borrower profile, property type, and state. Information in this article is general in nature and is not financial, legal, or tax advice. Equal Housing Opportunity. NMLS Consumer Access: nmlsconsumeraccess.org.