The Quick Read: A super jumbo DSCR cash-out refinance lets you pull equity from a high-value rental because it qualifies primarily on property-level rental income covering the payment, though cash-out stops at $3,000,000 and leverage steps down as the loan grows, all subject to underwriting. Lendmire is a mortgage broker, so it does not lend. It places files with select lenders in its wholesale network and matches the property, the balance, and your credit to the program that fits.
- Cash-out is available on loans up to $3,000,000. Above that size, programs offer purchase and rate-and-term refinance only.
- Leverage falls as the loan rises, and cash-out ceilings sit below purchase ceilings at every size.
- Coverage of 1.00 or higher earns full leverage. Coverage from 0.75 to 0.99 is a path through select programs, at reduced leverage.
- Loans above $2,000,000 need two appraisals, and reserves are counted on the subject property.
- The right lender depends on your file. No single program is best for every investor.
What Counts as Super Jumbo on a Rental?
A super jumbo is a loan far above the standard jumbo range. Lenders set the line differently, and many treat the label as starting somewhere around $1.5 million to $3 million. Any loan above the FHFA conforming loan limit is a jumbo, and super jumbo is a further step up.
DSCR loans never fit agency programs anyway. They are non-QM products, which means they sit outside the standard rules for agency-backed mortgages. The investor lenders in Lendmire’s network underwrite them on the rental property itself.
Across the network, the portfolio investor program runs from $150,000 to $10,000,000. Lendmire’s standard DSCR program stops at $3,000,000. This ladder carries qualified investors past that line. Short-term-rental files stop at $2,000,000. The network arranges business-purpose investment financing in 41 markets, which means 40 states plus Washington, D.C.
How Does Underwriting Treat the Cash-Out Step by Step?
Underwriting starts with the property, not your pay stubs. The lender checks whether the rent covers the full monthly obligation, then sizes the loan against appraised value. Each step below is subject to underwriting.
Step one: the coverage test. DSCR is monthly rent divided by the monthly obligation: principal, interest, taxes, insurance, and any HOA dues. At 1.00, rent exactly covers the payment. At 1.25, rent covers it with a quarter to spare. Super jumbo balances create large payments, so the rent has to be correspondingly high.
Step two: the rent evidence. The appraiser produces a market rent schedule. On a single-family home that is Form 1007. On a 2-4 unit property it is Form 1025. Leases back the schedule up.
Step three: the value. Above $2,000,000, programs call for two appraisals. Plan for that in your timeline and your budget. On a recent purchase, lenders may size the loan on cost basis plus documented improvements instead of a fresh appraisal. Seasoning, the waiting period before you can cash out, is lender policy and varies by program.
Step four: the cash-out limit. The network’s programs allow unlimited proceeds when the loan is at or below 60% LTV. LTV is loan-to-value: the loan divided by the property’s appraised value. Above 60% LTV, proceeds are capped at $1,500,000. Borrowers with credit of 680 or lower cannot take cash-out above $1,500,000. Final terms depend on the lender’s guidelines, the property type, and the borrower’s complete credit picture.
Step five: reserves. Reserves are the cash you hold after closing. Most programs ask for 6 months on the subject property, and 12 months for first-time investors. Cash-out proceeds never count toward meeting the reserve requirement. The count is on the subject property, with no extra reserves for your other financed properties. Up to 20 financed properties are allowed.
What Does the Leverage Ladder Look Like?
Leverage ceilings drop as the loan grows. Every figure below assumes a DSCR of 1.00 or higher, is a ceiling through select wholesale programs, and is subject to underwriting. The bands are loan amounts, not purchase prices. Multiply price by leverage first, then read the band for that loan.
| Loan band | Purchase | Rate-and-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 | — |
On a standard rental, the cash-out ceiling is 75% in the first band and steps to 70% in the next. Above $4,000,000, every request is reviewed case by case before submission, purchase or rate-and-term only. No loan above $1,000,000 earns 80%.
Credit follows leverage too. The top cell in the first band needs a score of 660 or better, while the $1M–$1.5M band’s top cell needs 700 or better. The $1.5M–$3M bands need 720 or better for their top cells, and the bands above $3M need 700 or better. A lower score moves you to a lower leverage cell within the same band.
Here is a quick read of the ladder. Say a rental appraises at $4 million. A 60% cash-out loan lands in the $2M–$3M band. That means two appraisals, 6 months of reserves, and a score that supports that cell. Ask for 70% instead and the request is above the 60% cash-out ceiling for that band. Ask for enough to push the loan past $3,000,000 and cash-out disappears altogether. Each figure is subject to lender guidelines and a complete review of property type, leverage, and credit.
What Changes Above $3,000,000?
The super jumbo overlay tightens several things at once. Programs ask for credit of 700 or better and a clean mortgage history of 0x30x24, meaning no 30-day late payments in 24 months. Bankruptcy, foreclosure, and similar events need 48 months of seasoning. Only U.S. citizens and permanent residents qualify.
Above $3,000,000: no rural property, and no more than ten acres on a non-rural one. At or below $3,000,000, acreage can reach twenty acres, and rural collateral of five acres or less is eligible to 75%.
Cash-out is off the table above $3,000,000. An investor who wants equity from a property whose loan would land there has a few workable options. One is a smaller cash-out loan, which keeps the balance at or below $3,000,000. Another is a separate loan on a different property. A third is a rate-and-term refinance, which pays off the old loan without taking cash.
What If Coverage Falls Below 1.00?
Coverage from 0.75 to 0.99 is a real path through select programs, up to $2,000,000. LTV and terms adjust, subject to underwriting. Think of the shortfall as something you pay for in leverage. A lender that sees rent covering only part of the payment wants more equity and more cash in reserve.
Interest-only terms help here. Some programs offer a 120-month interest-only period on 30- and 40-year terms, up to 75% LTV. The lender reviews your file on the interest, taxes, insurance, and dues (ITIA), and coverage of 0.75 or better is required. Reserves on interest-only loans are counted on that same ITIA basis. Leverage, reserves, and pricing vary by lender and program; the final terms follow the full file review.
There is one more thing to test. A cash-out refinance raises your balance and resets the payment, which lowers coverage. Run the coverage on the new loan, not the old one. A rental that clears 1.30 today may sit near 1.05 after you pull cash out.
How Do Short-Term Rentals Change the Math?
Short-term rentals qualify on documented operating history, at a discount to gross rent. On a refinance, the network’s programs use twelve months of operating income, counted at 80% of gross. On a purchase, the appraisal’s short-term-rent analysis is used, also at 80% of gross.
The requirements are tighter. Coverage must be 1.00 or higher, and loans cap at $2,000,000. You need to have owned income property for twelve of the last thirty-six months. Municipal permission to operate must be documented for the specific property. Short-term rental rules can vary by city, county, HOA, and property type, so confirm local rules before relying on projected rental income.
Where Does the General Rule Break?
Most of the rules above hold across the network, but several edge cases bend them.
- Condos. Warrantable and non-warrantable condos are both eligible. Non-warrantable condos are capped at 75% and $1,500,000. Condotels reach 75% on a purchase and 65% on a refinance, also capped at $1,500,000 and requiring $250,000 in cash in hand.
- Property type. One to four units are eligible. Mixed-use and larger buildings are usually a different conversation.
- Entity vesting. LLC and similar entity titling is welcome, subject to lender program eligibility. Layered entities, where one entity owns another, are not.
- Business purpose. 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. That treatment follows the way Regulation Z exempts credit extended primarily for business purposes. The paperwork, including your business-purpose attestation, is part of the file.
- Documentation. There is no personal income documentation, but there is plenty of property documentation: leases, the rent schedule, appraisals, reserves, and entity records.
How Do You Find the Right Lender Through a Broker?
Which lenders fit depends on the file: the property type, the loan size, your credit profile, how much leverage you need, and how you hold title. A broker works through that list for you. Lendmire shops a file across the select lenders in its wholesale network and matches it to the program whose envelope fits.
The strictest programs want higher credit, larger reserves, and clean mortgage history. A few lenders in the network will review below-1.00 coverage at reduced leverage. Others fit better for cash-out near the top of a band. A single lender’s page only shows you its own rules. A broker sees the differences.
A good pre-application checklist looks like this:
- A recent lease or documented rent history for each unit.
- Your mortgage statement and proof of taxes, insurance, and any HOA dues.
- Entity documents, if you hold title in an LLC.
- Evidence of reserves outside any cash-out proceeds.
- A clear use of funds, so the file fits a business-purpose structure.
For the broader mechanics, see Lendmire’s complete DSCR loans guide. For a lower-balance view of the same product, read how a DSCR cash-out refinance on a rental works.
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.
Key Terms Defined
DSCR: Debt service coverage ratio, the property’s monthly rent divided by its monthly obligation.
Super jumbo: A loan far above the standard jumbo range, with a threshold that varies by lender and program.
Cash-out refinance: A new loan that pays off the old one and returns the extra equity to you as cash.
PITIA: Principal, interest, taxes, insurance, and any association dues, the full monthly obligation.
ITIA: The same obligation without principal, used to size interest-only loans.
Seasoning: The waiting period a lender requires before you can refinance a recent purchase.
Non-QM: A mortgage that sits outside standard agency lending rules, such as a DSCR loan.
Frequently Asked Questions
Can I get cash-out on a $3,500,000 loan?
No. Programs in the network stop cash-out at $3,000,000. Above that size, a loan can be a purchase or a rate-and-term refinance at 65% in the $3M–$4M band, and 60% on review above $4M. To take cash, an investor would need a smaller loan, subject to underwriting.
Does a DSCR cash-out refinance need personal tax returns?
Not as the basis of qualification. The loan is reviewed primarily on property-level rental income covering the payment, subject to lender guidelines. You still document the property, your reserves, and your credit.
How much cash can I take out?
Proceeds are unlimited at or below 60% LTV and capped at $1,500,000 above 60%. Credit of 680 or lower cannot take cash-out above $1,500,000. Every figure is subject to underwriting. Terms vary by lender guidelines, property type, leverage, credit profile, and full file review.
What credit score do these programs ask for?
The program minimum is 660 on loans up to $3,000,000 and 700 above that. Each band’s top leverage cell needs a higher score, such as 720 for the top cells between $1.5M and $3M. A lower score moves you to a lower leverage cell within the same band, subject to underwriting.
Can I hold the property in an LLC?
Yes, subject to lender program eligibility. Entity vesting is welcome, but layered entities are not.
Next Steps
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.
Large balances make coverage the binding constraint, so test it on the post-refinance payment before you commit to a number.
Lendmire’s self-employed mortgages page presents both super jumbo programs, bank statement and DSCR, side by side.
Get Started
Ready to find the right loan for you?
See your offer in seconds. No credit pull, no obligation.
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.
About Lendmire
A non-QM mortgage broker (NMLS# 2371349), Lendmire arranges DSCR financing for real estate investors in 41 markets — 40 states plus Washington, D.C. Because deals are underwritten primarily on property cash flow rather than personal income documentation, the structure suits self-employed buyers and entity-owned portfolios. Lendmire places loans through wholesale investor lenders; it is not a direct lender. Scotsman Guide named Lendmire a Top Mortgage Workplace in both 2025 and 2026.
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 on Several Investment Rentals at Once · Luxury Investment Property DSCR Loan: Complete Guide · Delayed Financing After A Cash Purchase Of Investment Property · How to Qualify for a Luxury Investment Property DSCR Loan · How High a DSCR Ratio Does a Luxury Investment Property DSCR Loan Need?
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.