The Quick Read: Yes, a broker can place a jumbo cash-out refinance for a borrower whose qualifying income includes bonus or RSU pay, as long as the income is documented, stable, and accepted by the lender’s rules. Each lender sets its own income standards, so the answer depends on the lender, your pay history, and the full file. A broker’s job is matching the file to a lender whose rules fit it. Nothing here is a commitment to lend.
What Is a “Cash-Out Lane,” and Where Does a Broker Fit?
A lane is one lender program with its own rules for leverage, credit, reserves, and income. A broker compares lanes and sends your file to the one that fits. Lendmire is a mortgage broker, so it arranges the loan through wholesale lenders. It does not lend.
Here is how the lanes work across the wholesale programs we place files with. A jumbo loan starts one dollar above your county’s conforming limit. That limit varies by county and by number of units, so check yours. The lanes come in fixed, adjustable, and interest-only structures. The headline lane uses a 660 decision score. Leverage runs up to 90% on the top lanes, and several reach 89.99% combined loan-to-value. The rest stop at 80%. Loans go up to $5,000,000 on the largest lanes. Figures are subject to lender guidelines and full file review.
Cash-out sits at lower leverage than a purchase. Some of the largest lanes also put a cash cap on how much you can take out. Describing that cap in dollars would mislead you, since it differs by lane. Your broker confirms it for your specific file.
Lendmire’s jumbo cash-out refinance program page lays out the lanes in more detail.
How Do Lenders Count Bonus Income?
Lenders count bonus income only after it has a track record, and they average it. Your latest big check is not your bonus income. The lender looks at history and converts it to a steady monthly figure.
The agency guides are the common benchmark. Many jumbo lenders say they follow them, though each may add its own overlays. The agency guides apply to conforming loans, so treat them as a reference point and not as jumbo rules.
Under Fannie Mae’s Selling Guide on bonus income, a lender usually wants a recent paystub plus two years of W-2s, along with a verbal check with your employer. A two-year history is recommended. Twelve months may be acceptable when other strengths offset the shorter record. When income is stable or rising, the lender averages year-to-date and prior-year earnings. When it is falling, the lender must confirm it has stabilized, or it does not count.
That is why one great year rarely lifts your coverage figure as much as you hope. Averaging pulls it toward the middle.
How Do Lenders Count RSU Income?
Lenders count RSU income only when the shares have vested and been distributed to you without restrictions. Unvested units do not count. Neither do sign-on awards paid as restricted stock that vest over time.
Fannie Mae’s guidance on restricted stock units asks for a pile of paperwork:
- A paystub or verification of employment, plus two years of W-2s.
- Evidence the stock is publicly traded.
- The vesting schedule, past and future.
- A brokerage or bank statement showing earlier distributions.
- A 200-day moving-average share price, if the income is paid in shares.
History works much like bonuses. Two years is recommended for performance-based awards, and 12 to 24 months may work with offsetting strengths. Lenders also want income with a set end date to continue for at least three years.
Freddie Mac’s Bulletin 2024-16 draws a line between performance-based and time-based awards. It also swapped the older price average for a 200-day simple moving average. So the same grant can produce different monthly income under different agency rules, and jumbo lenders set their own overlays on top. Honestly, this is the main reason lender choice matters.
The Quick Reference Table
| Income type | What proves it | Usual treatment | Why it shrinks |
|---|---|---|---|
| Base salary | Paystub, W-2s | Counted directly | Job change, hours cut |
| Bonus | W-2s, paystub | Averaged over history | Falling year, short history |
| Vested RSUs | Vesting schedule, statements | Averaged, price-adjusted | Falling stock, short history |
| Unvested RSUs | Award letter | Not counted | Not yet yours |
| Sign-on stock | Award letter | Not eligible | Vests over time |
| One-time payout | Pay records | Usually excluded | No pattern to continue |
Lender overlays vary. Treat the table as a map, not a promise.
What Does a Qualifying Example Look Like?
Say you have a base salary, a bonus that dipped last year, and RSU vesting that has climbed. The lender does not take your best year. It averages the bonus across its history, so the dip drags the figure down. It converts the vested shares into a monthly number using the price average the guide requires. Then it adds that to base pay.
Now picture two borrowers with the same total pay last year. One earns it mostly as base salary. The other earns half as vesting stock from a recent grant. The second borrower often shows less usable income, because the lender counts only what is vested, documented, and likely to continue.
The lender then divides your monthly debts, including the new payment, by that usable income. This is your debt-to-income ratio, often shortened to DTI. The fixed jumbo lanes allow up to a 50% ratio ceiling. The adjustable lanes stop at 45%, and the interest-only lanes at 43%. A cash-out raises your balance, so it raises the debt side too. A smaller income figure plus a bigger loan is the squeeze that sinks files.
Why Is Cash-Out Different From a Purchase?
Cash-out is different because lenders cap leverage lower, the appraisal sets how much cash you can take, and your reserves matter more. The borrower, not the seller, is pulling equity from the home.
Leverage. Fannie Mae’s eligibility matrix caps cash-out on a one-unit primary home at 80% for conforming loans. Verify that against the live matrix, since it is only a conforming benchmark. Jumbo lanes set their own limits, and they stay below the purchase ceiling. The 90% figure above is the top of the range, not what a cash-out reaches.
Appraisal. Value drives the loan-to-value ratio. A lower appraisal shrinks the cash you can take. Above a lane’s threshold amount, two appraisals are required on some lanes.
Reserves. Reserves are the months of full payments you hold in savings after closing. They rise with the loan amount. Here is the trap: cash you pull out at closing generally is not the same thing as reserves you already have. Lenders look at what you keep afterward, and that depends on the lane. Ask your broker before you assume proceeds count.
Limited cash-out is a different product. If the new loan only pays off the old one and costs, it falls under limited cash-out rules, not cash-out.
Occupancy matters too. Primary homes get the best leverage, while second homes and investment properties sit at lane-specific, lower leverage. This article covers your own home.
Red Flags That Shrink Your Qualifying Income
A shrinking bonus is a common reason a file loses income. Several other things also hurt:
- A recent job change. The guides look for history with the current employer.
- A falling stock price. It can lower the monthly RSU figure.
- Private-company stock. Lenders need evidence that the stock is publicly traded, so pre-IPO shares generally do not work.
- A recent IPO. A 200-day average needs 200 days of trading. A new listing may not have one, so treat that as a flag.
- Performance awards with unclear vesting. An underwriter can misread a schedule, for instance by projecting future vesting at today’s price. A broker can walk the underwriter through the paperwork, but cannot change what the guideline allows.
Can You Skip the Variable Income?
Sometimes. A lender needs to verify only the income it relies on, according to the CFPB’s Regulation Z commentary. If your base income alone supports the loan, bonus and RSU pay may not need to count. That can make the file simpler.
Jumbo does not mean fewer rules, though. Lenders must still make a reasonable determination that you can repay, and the commentary lets each lender set its own underwriting standards. That is exactly why income treatment differs from one lender to the next.
Documents to Gather Before You Talk to a Broker
- Two years of W-2s and your latest paystub.
- Vesting schedules, past and future.
- Brokerage statements showing vested shares and any cash distributions.
- Award letters that show grant type.
- Your most recent mortgage statement and any home equity line balance.
You can ask to have vested shares and cash distributions documented before you apply. Tidy paper helps. Tax treatment can depend on your situation; borrowers should speak with a qualified tax professional before relying on any deduction or credit.
When This Path Doesn’t Fit
A jumbo cash-out may not suit a file with a thin pay history, a heavy share of unvested stock, or an income that is falling. Alternatives include waiting until you have more history, drawing a smaller amount, or leaving the current loan in place and using a home equity line. A broker should say so honestly, since a loan that stretches your budget is no favor.
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.
Key Terms Defined
RSU (restricted stock unit): A promise of company shares that you receive once they vest.
Vesting: The point when an award becomes yours with no strings attached.
Jumbo loan: A mortgage above your county’s conforming loan limit.
Reserves: Savings, counted in months of full payments, left after closing.
DTI (debt-to-income ratio): Your monthly debts divided by your monthly gross income.
Frequently Asked Questions
Can a broker really arrange a jumbo cash-out with RSU income?
Yes, when the file fits a lender’s income rules. A broker compares lanes and places the file where your documented history is accepted. The lender makes the credit decision after full file review.
Do unvested RSUs count?
No. Only vested shares distributed to you without restrictions count. Sign-on stock that vests over time is excluded.
How long must I have received bonuses or RSUs?
Two years is the usual recommendation. Twelve months may work when other strengths offset the shorter record, but lenders differ.
Can I use cash-out proceeds as reserves?
Generally you should not count on it. Reserves are measured on what you hold after closing, and rules vary by lane. Confirm with your broker before planning around it.
Does a higher stock price help?
Not by itself. Lenders convert vested shares using a moving-average price, so one spike changes little.
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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References
1. Fannie Mae Selling Guide B3-3.3-02, bonus income
2. Fannie Mae Selling Guide B3-3.3-07, restricted stock units
3. Freddie Mac Bulletin 2024-16
4. Fannie Mae Eligibility Matrix
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: Can a Wholesale Broker Reach Jumbo Cash-Out Lanes Banks Don’t? · Does a Jumbo Cash-Out Lender Count Restricted Stock as Income? · How to Qualify for a Jumbo Cash-Out on RSU and Bonus Income
Brandon Miller
Founder & CEO, Mortgage Loan Originator, Lendmire LLC
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Compliance and disclosures. Lendmire (NMLS# 2371349) is a licensed mortgage broker and is not a direct lender, depository institution, financial advisor, or tax professional. Content in this article is general market analysis and educational information — not financial, legal, or tax advice for any specific situation. Lendmire does not guarantee loan approval; every transaction is subject to underwriting by the funding lender. Mortgage pricing and loan program guidelines are subject to change at any time without notice and vary by borrower characteristics, property type, and state regulations. Lendmire complies with Equal Housing Opportunity. Licensure verification: NMLS Consumer Access.