The Quick Read: The choice comes down to what you want to keep. A cash-out refinance keeps your shares but puts a larger loan on the home you live in. Selling vested RSUs adds no new mortgage but gives up the stock and creates a tax event. Neither is better for everyone. The choice depends on how much of your net worth sits in one stock, how much equity you have, and how comfortable you are with more debt.
In practice, cash-out suits a homeowner with real equity, a stable income, and a strong wish to keep holding the stock. Selling suits someone whose shares are a big share of their wealth, or who dislikes adding debt to the primary home. A hybrid, selling some and borrowing some, is a reasonable middle path.
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: 7.18% as of November 5, 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.
Tax treatment can depend on your situation; borrowers should speak with a qualified tax professional before relying on any deduction or credit.
Side-by-Side
Program details below come from the wholesale jumbo programs Lendmire places files with. Every figure is subject to lender guidelines and full file review, and none of it is a commitment to lend.
| Factor | Jumbo Cash-Out | Selling Vested RSUs |
|---|---|---|
| New debt on primary home | Yes, larger balance | None |
| Leverage on the refinance | Lower than purchase leverage | Not applicable |
| Credit floor | 660 decision score on the headline lane | Not applicable to the sale |
| Mortgage insurance | Described by lane, not assumed | Not applicable |
| Occupancy | Primary home refinanced, second home bought separately | Second home is reviewed on its own |
| Documentation | Income, assets, appraisal, reserves | Vested-share statements, proof of sale |
| Keeps your shares | Yes | No |
| Tax event | No sale, so no sale-driven gain | Yes, a taxable sale |
| Cash cap | Applies on the largest lanes | None |
Two things sit under that table. First, a cash-out is its own loan with its own qualification, and the second home is a second loan on top of it. Second, selling RSUs does not remove the second-home qualification. It only changes where the cash comes from.
What a Jumbo Cash-Out Actually Looks Like
A jumbo loan begins one dollar above your county’s conforming limit. FHFA sets that limit each year, and it differs by county, so check yours. The limit moves up most years, which is why this article quotes no dollar figure for it.
Across the wholesale programs Lendmire places files with, the jumbo lanes reach 90% LTV at the ceiling, and several lanes reach 89.99% CLTV. The rest stop at 80%. Those are the ceilings for the lanes overall, and cash-out runs at lower leverage than purchase, so expect less than those figures. The largest lanes also carry a cap on cash taken. Loans go to $5,000,000 on the largest lanes. The fixed lanes allow a 50% ratio ceiling, with 45% on the adjustable lanes and 43% on the interest-only lanes. Final terms depend on the lender’s guidelines, the property type, and the borrower’s complete credit picture.
Reserves are counted in months of the full payment and rise with the loan amount. Above a lane’s threshold amount, two appraisals are required. That second appraisal is a real friction point. If value comes in light, the equity you counted on shrinks, and so does the cash.
To see how those lanes are structured, read Lendmire’s jumbo cash-out refinance program page.
When a Jumbo Cash-Out Is the Better Fit
A cash-out makes sense when keeping the shares matters to you and your equity is deep.
- You believe in the stock, and your cash flow supports more debt. Your shares keep vesting and keep their upside. You are not forced to sell into a bad day.
- Your equity is large and the appraisal is likely to hold. Cash-out depends on appraised value. A thin cushion leaves little to borrow against.
- You do not want a taxable sale right now. Borrowing is not a sale. Taxes still matter in your overall plan, so keep the tax-professional sentence above in mind.
- You can carry both loans. The larger primary-home payment and the future second-home payment both land in your ratio. The second home’s payment counts toward total debt, and a lender will not let you use that home’s rent to qualify it if it is a true second home.
The risk is concentration. Your primary home now secures the larger loan, and the second home’s down payment is tied to the home you live in. If the stock falls and income depends on that same employer, both sides of your balance sheet feel it together. Say you hold most of your net worth in one company and your paycheck comes from that company too. A cash-out leaves all of that exposure in place and adds a lien on your home.
When Selling RSUs Is the Better Fit
Selling is cleaner when you want less leverage and less concentration.
- Your shares are a large piece of your net worth. Turning some of them into a down payment diversifies you while buying the home.
- You want no new debt on the home you live in. No new balance, no reset of the amortization schedule, no second appraisal.
- Your ratio is already tight. A larger primary payment raises your debt-to-income, and a sale avoids that increase.
- Your equity is modest or your appraisal is uncertain. Selling does not depend on how an appraiser values your house.
Documentation matters here. Per the Fannie Mae Selling Guide, vested stocks are acceptable for down payment, closing costs and reserves when value can be verified, and the lender values them from the most recent statement. Non-vested stock options are not acceptable. That rule is written for options, but treat unvested RSUs the same way. Only shares that have vested and settled into your account count as assets.
For conforming loans, Fannie Mae’s FAQ says proof of sale is not required when the asset’s value exceeds the funds needed by at least 20%. Otherwise the lender wants documented receipt of the sale proceeds. Jumbo lenders set their own overlays, so ask early whether yours wants proof of sale. Plan for the sale confirmation and the deposit on your statements.
One useful detail from the same guide: when assets count toward reserves, 100% of the value may be considered and liquidation is not required. So you may not need to sell everything. You might sell for cash to close and leave the rest of the position unsold as reserves. That is conforming guidance, and a jumbo lender may treat it differently.
RSU Income Versus RSU Proceeds
This is where files get tangled. Qualifying on RSU income and using RSU proceeds for cash to close are two different questions.
RSU income is judged on vesting history, typically supported by W-2s. Fannie Mae’s announcement adding RSUs as eligible income says the stock must be vested and distributed without restrictions, with two years of W-2s documented. Selling shares does not erase future vesting, but a lender will look at what you actually received.
Using the shares as a down payment is an asset question with its own paper trail. Mixing the two up leads to a file where the income calculation says one thing and the bank statements say another. Keep the vesting records, the sale confirmations, and the deposit trail in one folder before the file goes in.
Key Terms Defined
RSU (restricted stock unit): A grant of company shares that you receive over time as they vest.
Vested: Shares you own outright, with no remaining conditions on keeping them.
Cash-out refinance: A new, larger mortgage that pays off the old one and gives you the difference in cash.
Jumbo loan: A mortgage above the county’s conforming limit.
Reserves: Liquid funds left after closing, counted in months of the full payment.
Debt-to-income ratio: Your monthly debts divided by your monthly income.
Second-Home Rules That Apply Either Way
Occupancy decides leverage. A true second home is occupied by you for part of the year and suitable for year-round use. Under Fannie Mae’s occupancy rules, it must be a one-unit dwelling under your exclusive control, and not primarily a rental or timeshare. A property run mainly as a rental falls into a different category with different leverage. Jumbo lenders set second-home leverage lane by lane, and it is often tighter than primary.
The second-home loan is a separate qualification in both paths. Whichever source you choose for the down payment, the lender will still look at income, credit, reserves and the combined debts.
Mistakes That Derail These Files
- Counting unvested shares. They do not count as assets.
- Assuming the old paper trail is enough. Sale proceeds need to show up on a statement.
- Borrowing the maximum. Cash-out leverage is lower than purchase leverage, and a low appraisal can cut the cash further.
- Skipping the ratio math. The new primary payment plus the second-home payment both enter the ratio.
- Treating the two loans as one. They are underwritten separately.
A Balanced Verdict
Neither path wins on its own. Cash-out protects your position in the stock but adds debt and ties the second home to your primary residence. Selling protects your balance sheet from more leverage but uses up shares and creates a tax event.
If a single stock dominates your net worth, selling at least part of it deserves serious weight. If your equity is deep, your income is steady, and you want to keep the shares, a cash-out is a legitimate tool. If you are torn, a hybrid splits the risk. Run both versions through your ratio, your reserves, and your tolerance for a drop in the stock before choosing.
If you are weighing a cash-out refinance against keeping the loan you have, Lendmire can help you compare the programs and the equity each one reaches.
Frequently Asked Questions
Can unvested RSUs count toward my down payment?
No. Only vested shares you own and can document count as assets. Fannie Mae’s guide says non-vested stock options are not acceptable for the down payment, closing costs or reserves, and lenders apply the same logic to unvested RSUs.
Do I have to sell the shares to use them for the purchase?
Not always. Conforming guidance allows vested stock to count toward reserves at full value without selling it. Cash to close needs documented proceeds unless the conforming exception for assets well above the funds needed applies, and jumbo lenders may require proof of sale regardless.
Does a cash-out refinance raise my debt-to-income ratio?
Yes. The larger payment on your primary home and the new second-home payment both enter the ratio. Under the CFPB’s ability-to-repay rule, lenders must verify and document income, assets and debts before lending.
Can I rent out the second home full-time?
Not if you want it financed as a second home. It cannot be primarily a rental, and the occupancy category affects leverage. Keep the intended use clear with the lender at the start.
Can I do part of each?
Yes. Many borrowers sell some vested shares and borrow the rest. The split changes your tax picture, your ratio, and your reserves, so test a couple of splits against your numbers.
For your own numbers, request a scenario review with Lendmire.
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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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. Fannie Mae Selling Guide B3-4.3-01: Stocks, Stock Options, Bonds, and Mutual Funds
2. Fannie Mae: Top Trending Selling FAQs
3. Fannie Mae Selling Guide Announcement SEL-2023-11
4. Fannie Mae Selling Guide B2-1.1-01: Occupancy Types
5. CFPB’s ability-to-repay rule
This article is part of Lendmire’s jumbo cash-out refinance program — full qualification details, guidelines, and scenarios live on the program page.
Related reading: Jumbo Cash-Out Refinance vs Conforming Cash-Out on a Recently Bought Home · Can You Get Approved for a Jumbo Cash-Out Refinance Without Selling the House?
Brandon Miller
Founder & CEO, Mortgage Loan Originator, Lendmire LLC
- Mortgage Loan Originator · NMLS# 1129696 · Verify on NMLS Consumer Access
- North Carolina Real Estate Broker · License# 343312 · Verify on NCREC
- North Carolina Insurance Producer · License# 19053198 · Property, Casualty, Life, Health · Verify on NAIC SBS
- Lendmire LLC · Firm NMLS# 2371349 · Verify firm licensure
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.