Jackie Barikhan closes $3.5M Dana Point cash-out refinance with P&L program

Jackie Barikhan of Summit Lending structured a $3.5 million cash-out refinance on a Dana Point luxury home using a Profit & Loss mortgage program for a self-employed borrower. The deal unlocked about $1 million in liquidity, lowered borrowing costs and added a backup second mortgage line despite appraisal and documentation hurdles.

Why it matters: - The deal shows how alternative mortgage underwriting can help self-employed borrowers tap home equity when tax returns do not fully reflect cash flow. - The refinance gave the Dana Point homeowner immediate liquidity while preserving flexibility for future borrowing. - The structure also points to continued demand for jumbo and non-traditional mortgage solutions in California's luxury market.

What happened: - Jackie Barikhan of Summit Lending closed a $3.5 million cash-out refinance on a luxury coastal home in Dana Point, California. - The property carried an appraised value of $5.3 million. - The loan used a Profit & Loss mortgage program designed for self-employed borrowers. - Barikhan also arranged a backup second mortgage line tied to the property.

The details: - The borrower used the refinance to reduce the interest rate on the primary loan. - The transaction generated about $1 million in cash-out proceeds. - The proceeds also reimbursed capital spent on extensive renovations and property improvements. - The home had been fully renovated before the refinance. - Appraisal and documentation challenges made traditional underwriting harder to use. - The Profit & Loss program allowed qualification based on business performance instead of tax-return-adjusted income. - The structure was aimed at entrepreneurs, business owners and high-net-worth borrowers whose taxable income may not match real cash flow because of deductions and tax planning. - Barikhan also helped the borrower with credit optimization, including targeted credit repair and rapid rescore efforts.

Between the lines: - The transaction reflects a broader shift toward underwriting that looks at real income streams, assets and overall financial strength. - The backup second mortgage line created extra liquidity and future borrowing capacity without changing the primary financing structure. - Credit optimization can matter as much as property value in jumbo lending, especially for borrowers seeking stronger terms across multiple properties.

What's next: - Barikhan is positioned to keep serving self-employed borrowers, investors and luxury homebuyers across California. - The lending approach is likely to remain useful for borrowers who need cash-out access, rate reductions or flexible qualification standards. - Barikhan says the goal is to structure financing around the borrower’s actual financial strength, not just tax-return income.

The bottom line: - For high-value homes with complex income profiles, alternative documentation lending can unlock equity and keep financing options open.