The Quick Read: A super jumbo bank statement cash-out refinance qualifies a borrower on 12 or 24 months of deposits instead of tax returns. Reserves run 3, 6 or 9 months by loan size, and twelve months is the cap those requirements can reach, not a flat rule for every file. Above the super-jumbo line, cash-out proceeds cannot count toward reserves.
- Income comes from 12 or 24 consecutive months of personal or business statements, after an expense ratio.
- Reserves are 3 months to $500,000, 6 months to $1,500,000 and 9 months above that, through select wholesale programs, subject to full underwriting.
- Each additional financed property adds 2 months, up to a 12-month maximum. First-time investors are held to 12 months.
- Every loan above $4,000,000 is reviewed case by case before submission.
Twelve months of reserves is where a lot of high-balance files end up. It is not where they start. A borrower with a single property and a seasoned portfolio may see 9 months. A borrower with two or three other financed properties reaches 12 fast. This piece walks through how those requirements stack, what the lenders in Lendmire’s wholesale network look at, and where the plan breaks.
What Counts as a Super Jumbo Cash-Out?
“Super jumbo” has no official definition. A loan is jumbo once it passes the county conforming limit, which for a one-unit property has a baseline of $832,750 and a high-cost ceiling of $1,249,125. Anything past that is a lender’s own tier.
Across the wholesale network, the working line sits at $3,500,000 on a primary residence and $3,000,000 on a second home or investment property. Past that line, extra overlays apply. Loan amounts run from $300,000 to $30,000,000 through two programs:
- A portfolio non-QM bank statement program that carries files to $6,000,000.
- A bank portfolio jumbo program that carries twelve-month-statement files to $30,000,000 on its own size ladder. That ladder begins above $4,000,000 and overlaps the first program up to $6,000,000. Above $6,000,000 it stands alone.
Which program fits depends on the loan size, the occupancy and the borrower’s credit. Matching the file to the right one is the broker’s job.
How Bank Statement Income Gets Calculated
Qualifying income is eligible deposits, divided by the number of statement months, after an expense ratio. The borrower picks a 12-month or 24-month window. The bank portfolio program uses 12.
The mechanics, step by step:
1. Gather consecutive statements. Personal or business, complete, every page. Transaction histories do not substitute.
2. Strip out non-income deposits. Transfers between the borrower’s own accounts and loan proceeds come out.
3. Apply the expense ratio. On business statements, the borrower needs at least 25% ownership. Fixed ratios are 20% for a service business with no employees, 40% for 1 to 5 employees, and 50% for 6 or more employees or any product business. An accountant-provided ratio also works. A profit-and-loss method exists, capped at 80%.
4. Average over the window. The result is monthly qualifying income.
5. Test debt-to-income. Debt-to-income can run to 50%.
One detail helps founders. Transfers from the borrower’s own business into a personal account count at 100%. The expense ratio is not applied twice.
Bank statement loans are a large slice of the non-QM market. Scotsman Guide reported that they made up a meaningful share of non-QM volume in January, using Optimal Blue data. That is why lenders keep their overlays tight at size.
What Credit Score Does a Super Jumbo Cash-Out Need?
The floor is 660 on the portfolio program, up to the super-jumbo line. Above that line the floor is 700. The bank portfolio program keeps its own 680 floor at every size.
Those are floors. The leverage ladder asks for more at the top cells. A score below the figure for a band’s top leverage takes a lower cell inside the same band. It does not take the file out of the band.
The Leverage Ladder on a Primary Residence
Cash-out leverage is lower than purchase leverage at every size. The table shows the best available cell by loan band, through select wholesale programs, subject to full underwriting. The bands are loan amounts, not purchase prices. Compute the loan first, then read the band.
| Loan band | Purchase | Rate-term | Cash-out | Program |
|---|---|---|---|---|
| $300K–$1M | 90% | 90% | 80% | Portfolio |
| $1M–$1.5M | 85% | 85% | 80% | Portfolio |
| $1.5M–$2M | 85% | 85% | 75% | Portfolio |
| $2M–$2.5M | 80% | 80% | 70% | Portfolio |
| $2.5M–$3M | 80% | 80% | 70% | Portfolio |
| $3M–$3.5M | 75% | 75% | 65% | Portfolio |
| $3.5M–$4M | 75% | 70% | 65% | Portfolio, super-jumbo overlays |
| $4M–$5M | 65% | 65% | 60% | Bank portfolio, case by case |
| $5M–$6M | 60% | 60% | 55% | Bank portfolio, case by case |
| $6M–$10M | 60% | 60% | 55% | Bank portfolio, case by case |
| $10M–$20M | 55% | 55% | 50% | Bank portfolio, case by case |
| $20M–$30M | 55% | 55% | 50% | Bank portfolio, case by case |
Credit needs vary by band. The top cell needs 680 or better through $1,000,000, 700 or better from $1,000,000 to $1,500,000, 720 or better from $1,500,000 to $3,500,000, and 760 or better from $3,500,000 to $4,000,000. In the bank portfolio bands the top cell needs 680 or better.
Second homes and investment property run on their own ladders. Do not subtract points from the primary figures. On an investment property, for example, the cash-out cell is 60% from $2,500,000 to $3,000,000 and 55% from $3,000,000 to $4,000,000. Past $4,000,000 every figure is on review.
Cash-out proceeds are unlimited at or below 60% LTV. Above 60% on the portfolio program, cash in hand is capped at $1,500,000. The bank portfolio program publishes no cap and reviews each file. Interest-only does not raise a cash-out ceiling. It changes the payment structure, not the leverage. Exact terms depend on the lender’s guidelines, property type, leverage, and a full review of the borrower’s file.
How the Twelve-Month Reserve Requirement Works
Terms depend on the lender’s guidelines, the property type, the leverage, and a full review of the credit profile.
Final terms depend on lender guidelines, property type, leverage, and the borrower’s complete credit picture.
Reserves are liquid assets left after closing, counted in months of the housing payment. The base ladder is by loan size:
| Loan amount | Base reserves |
|---|---|
| Up to $500,000 | 3 months |
| Up to $1,500,000 | 6 months |
| Above $1,500,000 | 9 months |
Then the file adds 2 months for each additional financed property, to a maximum of 12 months. First-time investors are held to 12 months from the start.
Run the stack on a hypothetical. A borrower refinances a $2,000,000 loan and owns two other financed properties. The base is 9 months. Two additional properties add 4 more, which would reach 13. The cap holds it at 12. A borrower with the same loan and one other financed property lands at 11. Same loan, different file, different cushion.
The point: twelve months is not a trigger a lender flips at a certain size. It is where the stack tops out. On a large cash-out with a multi-property portfolio, expect to see it.
Why Cash-Out Proceeds Cannot Count as Reserves at Super-Jumbo Size
Above $3,500,000 on a primary residence, and above $3,000,000 on a second home or investment property, cash-out proceeds cannot satisfy reserves. The reserves must already exist in separate, documented assets.
This is the point where borrowers used to smaller refinances get caught. On a modest loan, a borrower may plan to leave part of the proceeds in the bank and call that the cushion. At super-jumbo size that plan fails.
The sequence on these files looks like this:
1. The new loan pays off the old mortgage.
2. Funds needed to close come out of verified assets first.
3. Cash-out proceeds are paid to the borrower.
4. Reserves are measured on the verified assets that remain, with the proceeds excluded.
The same dollar is never counted twice. Plan the liquidity as if the check does not exist.
Which Assets Count Toward Reserves?
Eligible assets are liquid and documented. Asset statements are usually two months, complete and consecutive, with large deposits explained.
| Asset | Treatment |
|---|---|
| Checking, savings, brokerage | Counts, documented |
| Retirement accounts | 70% of value (80% at age 59½ or older) |
| Revocable living trust | Counts |
| Other trusts | Does not count |
| Business funds | Does not count |
| Gift funds | Does not count |
| Unvested stock | Does not count |
| Cryptocurrency | Does not count |
Business funds are the surprise for founders. The money may be real and abundant, but it does not count as personal reserves. Moving it into a personal account takes planning, and large transfers need a paper trail. Do it well before the file goes in, not during the review.
Overlays Above the Super-Jumbo Line
Past $3,500,000 on a primary residence, or $3,000,000 on a second home or investment property, the following overlays apply:
- A 700 credit floor.
- Housing history of 0x30x24.
- 48-month seasoning on any credit event.
- U.S. citizens and permanent residents only.
- No non-occupant co-borrowers.
- No rural property, and ten acres maximum.
- Cash-out proceeds cannot satisfy reserves.
Texas 50(a)(6) home-equity loans take a 5-point LTV reduction and stop at $3,000,000 on the portfolio program. Condos, condotels and 2-4 unit properties each have their own leverage limits. Second homes are one unit only.
Where the Plan Breaks
The reserve shortfall. A common problem is not income. It is liquidity after closing. Fixes include lowering the cash-out amount, staging the equity pull, or moving personal assets into documented accounts early. A shortfall found late costs the most.
Business statements without enough ownership. If ownership is under 25%, the business account cannot be used. Personal statements may carry the file instead.
Short self-employment history. A thin history narrows the program list. A profit-and-loss path can fill part of the gap on some files.
Inconsistent deposits. Wide swings month to month pull the average down. Large one-time deposits that cannot be explained come out of the calculation.
Credit events. Above the super-jumbo line, any credit event needs 48 months of seasoning.
When Bank Statements Are Not the Right Path
Two other paths exist, and some files fit them better.
Asset-based paths. Asset allowance is reviewed on liquid assets divided by 36, 60 or 84 months. The divisor is 36 when the debt-to-income ratio before the asset income is at or below 60%. It is 60 when that ratio is above 60%. It is 84 for standalone use or any loan above $3,500,000. The ratio with the asset income counted must still fit the 50% ceiling. Assets-only qualifies with no debt-to-income test when U.S. liquid assets equal the loan amount plus closing costs. Both are for primary and second homes. Asset allowance carries an 80% maximum.
Property cash flow. On a rental, a DSCR loan is reviewed primarily on property-level rental income covering the payment, subject to lender guidelines. Lendmire’s complete DSCR loans guide covers that path. For an investor with many properties and strong rents, it can avoid the personal-income math.
Investment property in this setting is business-purpose lending. It is reviewed differently from a standard owner-occupied mortgage. Credit extended to acquire, improve or maintain non-owner-occupied rental property is generally treated as business-purpose under Regulation Z. The purpose of the proceeds is what matters.
The Pre-Application Liquidity Plan
A clean file is built before the application. A working sequence:
1. Map the reserve stack. Base months by loan size, plus the additional properties. Know the number first.
2. List eligible assets. Apply the treatment in the asset table. Retirement accounts are haircut. Business funds are out.
3. Move and season funds. Transfers into personal accounts should be done early and documented.
4. Pull consecutive statements. Every page, every month, no gaps.
5. Run the income math. Eligible deposits, expense ratio, 12 or 24 months.
6. Choose the cash-out amount. Size it to the leverage band and the reserve cushion, not to the maximum.
Key Terms Defined
Super jumbo: a loan above a lender’s own high-balance line, not a regulatory category.
Bank statement loan: a mortgage that qualifies a borrower on deposits in bank statements rather than tax returns.
Expense ratio: the share of business deposits removed to account for costs of running the business.
Reserves: liquid assets left after closing, counted in months of the housing payment.
Cash-in-hand: the net proceeds paid to the borrower at closing.
Seasoning: the time that must pass after a credit event or a purchase before certain options open.
Frequently Asked Questions
Is twelve months of reserves required on every super jumbo bank statement cash-out?
No. The base ladder is 3, 6 or 9 months by loan size. Twelve months is the maximum, reached by adding 2 months per additional financed property, or applied from the start to first-time investors. A single-property borrower with a large loan typically sees 9.
Can cash-out proceeds count toward reserves?
Not above the super-jumbo line, which is $3,500,000 on a primary residence and $3,000,000 on a second home or investment property. Below it, program rules differ by file. Plan as though the proceeds do not count.
Do retirement accounts count toward reserves?
Yes, at 70% of value, or 80% for a borrower age 59½ or older. Business funds, gift funds, non-revocable trusts, unvested stock and cryptocurrency do not count.
What if the loan is above $4,000,000?
Every loan above $4,000,000 is reviewed case by case before submission. The leverage figures in the table are ceilings on review, not promises. The bank portfolio program takes over at that size, with a 680 credit floor.
Does Lendmire lend directly?
No. Lendmire is a mortgage broker that shops multiple wholesale programs and matches the scenario to the one that fits. Consumer mortgage lending is available in 16 states: AL, CA, CO, FL, GA, IN, MI, MT, NM, NC, OH, PA, TN, TX, VA and WA. Nothing here is a commitment to lend.
Next Step
Call 828-256-2183 or request a quote.
For the seasoning side of the same question, see Lendmire’s piece on super jumbo cash-out refinance requirements before twelve months of seasoning.
For current guidelines and terms, see Lendmire’s super jumbo bank statement loan programs page.
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 broker that arranges bank statement, P&L-only, 1099-only and asset-based home financing in 16 states through wholesale lenders, on primary residences, second homes and investment properties. Every option is subject to the lender’s guidelines and full underwriting.
Scotsman Guide named Lendmire a Top Mortgage Workplace in 2026.
For the mechanics of pulling equity out of a rental property, see Lendmire’s guide to cash-out refinance on an investment property.
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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. Orrick, FHFA Announces Increases to Conforming Loan Limits
2. Scotsman Guide, Non-QM Momentum Cools While Bank Statement Volumes Strengthen
3. CFPB, Regulation Z § 1026.3
This article is part of Lendmire’s super jumbo bank statement loan program — full qualification details, guidelines, and scenarios live on the program page.
Related reading: Super Jumbo Bank Statement Cash-Out Refinance Requirements to Buy Out a Business Partner · Can You Get Approved for a Super Jumbo Bank Statement Cash-Out Refinance Through a Broker? · Best Super Jumbo Bank Statement Cash-Out Refinance Program on a Non-Warrantable Condo
Brandon Miller
Founder & CEO, Mortgage Loan Originator, Lendmire LLC
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Disclosure information. Lendmire is a state-licensed mortgage brokerage under NMLS# 2371349. Lendmire is not a depository institution, direct lender, or financial advisor — all loans referenced are placed through wholesale lender partners and are subject to each lender's underwriting standards. This article is provided for general informational purposes and is not a commitment to lend, nor does it constitute financial, legal, or tax advice. Loan programs, terms, rates, and qualification standards change without notice and depend on borrower profile, property type, and the state in which the subject property is located. Equal Housing Opportunity provider. NMLS Consumer Access: nmlsconsumeraccess.org.