Due to the flexibility in spectrum shaping, orthogonal frequency division multiplexing (OFDM) is a promising technique for dynamic spectrum access. However, the out-of-band (OOB) power radiation of OFDM introduces significant interference to the adjacent users. This problem is serious in cognitive radio (CR) networks, which enables the secondary system to access the instantaneous spectrum hole.Existing methods either do not effectively reduce the OOB power leakage or introduce significant biterror-rate (BER) performance deterioration in the receiver. In this paper, a joint spectral precoding (JSP) scheme is developed for OOB power reduction by the matrix operations of orthogonal projection and singular value decomposition (SVD). We also propose an algorithm to design the precoding matrix under receive performance constraint, which is converted to matrix condition number constraint in practice. This method well achieves the desirable spectrum envelope and receive performance by selecting zero-forcing frequencies. Simulation results show that the OOB power decreases significantly by the proposed scheme under condition number constraint.