Investing in a Vacation Property? Learn What You’ll Need to Have to Get A Mortgage Approved

Investing in a Vacation Property? Learn What You'll Need to Have to Get A Mortgage ApprovedWith approximately one million people having purchased vacation homes in the last year, this type of residence is gaining popularity for those who are interested in a home in a beach setting or a vacation hot spot. However, while a second home can seem like a great purchase and solid investment opportunity, there are different requirements that go into this type of purchase. If you’re considering a vacation home, you may want to be aware of the following financial factors.

The Down Payment Amount

If you currently have a primary residence, you may be aware that you don’t need to put down 20% or even 10% in order to make a home purchase, but things are different when it comes to a vacation home. Because you will be taking on an additional mortgage, there is greater risk involved, and this means you will likely have to put in at least 10 percent. Because of this, many homebuyers utilize the equity they have in their first home to make up the down payment.

About The Credit Score

Most people that have a credit score of more than 500 have the ability to use a mortgage product and purchase a home, but if you’re buying a second property, you’ll need a higher credit score in order to facilitate the purchase. Because there is more risk involved, lenders will want to make sure you’re a good bet. In addition, if you do have a lower credit score, lenders like Fannie Mae may also expect you to put more down to decrease the risk involved for them.

The Income Required

Since you’ve been through the mortgage process for your first home, you’re probably aware that you debt-to-income (DTI) ratio needs to be a certain amount in order to qualify for a mortgage. While your DTI for a primary residence may be a little bit higher since it’s your only payment, this ratio will be lower for your vacation home since it’s higher risk. This means you’ll require a slightly higher income than for your primary residence in order to get approved.

Deciding to purchase a vacation home can be a very exciting concept for many people, but there are a number of different financial requirements that go along with buying another residence. If you’re in the market for a vacation property and are curious about what’s involved, give me a call to get you on the right track – J.P. Cook – 602-320-4253.

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31423 N 41st Place Cave Creek, AZ 85331

$1,395,000
4 Beds
3.5 Baths
3,292 SqFt
Status Active Under Contract
MLS # 6763326
Property Type Single Family Residence
Price Type --
Embrace sustainable luxury in this 4-bedroom, energy-efficient masterpiece! A 4-car & RV garage w/a paver driveway, timeless stone accents, mature landscape, & a courtyard are just the beginning. Meticulously maintained interior w/clean lines promotes a modern feel & sophistication, boasting high ceilings, wood-look tile flooring, plantation shutters, upscale ceiling fans, & perfectly matched neutral paint. Highlights include an open den/office, bonus room, formal family room, & a harmonious open floor plan offering wide sliding glass doors to the back patio. Culinary enthusiasts will be thrilled w/this well-appointed kitchen, featuring recessed & pendant lighting, a plethora of cabinetry adorned w/crown moulding, subway tile backsplash, a pantry, & a custom prep island w/a breakfast bar. Exquisite Scottsdale Home with Luxury Upgrades and Backyard Oasis! Step into unparalleled elegance with this meticulously updated Scottsdale home, boasting custom renovations throughout. From the moment you walk in, you'll notice the impeccable attention to detail. Interior Highlights The home features beautiful tile flooring throughout, replacing all carpet for a clean, modern feel. Custom closet organizers in every room provide ample storage and a luxurious touch. The gourmet kitchen is a chef's dream, complete with brand new Thermador appliances, including a built-in espresso machine. Stainless steel appliances like a double wall oven, range hood, cooktop gas, and wine cooler make entertaining effortless. The laundry room has been upgraded with double washers and dryers and a beautifully tiled back wall. In the grand main retreat, enjoy direct access to the outdoors and an elegant ensuite bathroom that features dual vanities, a garden tub, a designer-tiled shower with a drying area, and a spacious walk-in closet. One of the guest bedrooms features a convenient Jack & Jill bathroom, perfect for family or guests. Additional features include crown molding throughout the home, stylish shutters on every window, and power sunshades for energy efficiency and comfort. The garage has been epoxied, with walls and cabinets freshly painted, and even a built-in workbench installed. Outdoor Paradise Step outside to your own private oasis! The backyard is an entertainer's dream, complete with a sparkling pool, relaxing spa, and a built-in outdoor kitchen and BBQ area. Gather under the custom gazebo, or relax on the covered patio - this space is perfect for hosting summer BBQs or enjoying quiet nights by the pool. Outdoor trim lighting enhances the ambiance, creating a magical atmosphere in the evenings. The front yard has been expertly landscaped for impressive curb appeal. This home is also equipped with state-of-the-art solar panels, helping reduce energy costs, and new baseboards have been installed for added detail. Don't miss the chance to own this breathtaking, move-in ready home with all the bells and whistles.

6907 E Teton Circle Mesa, AZ 85207

$1,395,000 - 5Br/4Ba -  for Sale in Sonoran Hills Estates, Mesa
New
$1,395,000
5 Beds
3.5 Baths
4,300 SqFt
Status Active
MLS # 6780657
Property Type Single Family Residence
Price Type --
CITY LIGHTS AND MOUNTAIN VIEWS! Luxurious living at its finest in this unique masterpiece nestled on a desirable cul-de-sac! Resort-like backyard is an outdoor oasis for entertainers. Its covered patio, putting green, built-in BBQ, completely remodeled shimmering pool & spa with water features, exterior fireplace, trampoline, and colorful sunsets make it a true wonder. Awe-inspiring interior boasts breathtaking attention to detail, a blend of wood-look tile & carpet flooring, plantation shutters, soaring ceilings, stylish light fixtures, ceiling fans, and pre-wired surround sound for an immersive experience. Additional highlights include a living room, formal dining room, flexible den located upstairs, bonus room, and a modern great room enhanced by a cozy fireplace, and custom built mantel. Gorgeous kitchen displays ample cabinets adorned with crown moulding, a pantry, granite counters, a breakfast bar, a center island, high-end GE Profile SS appliances such as a built-in refrigerator, wall oven & gas cooktop, and a breakfast nook with a bay window. Owner's retreat will impress you with a double door entry, balcony access, and an en suite equipped with dual sinks, make-up desk, soaking tub, and a walk-in closet. Glass double doors lead to adjoining bedroom making it perfect for den/office or nursery. Very large third upstairs bedroom is attached to the hall bathroom allowing for easy access. It also has a walk-in closet, and designer details. Fourth upstairs bedroom opens onto its own small terrace through sliding glass doors. Spacious walk in closet and this room has a unique curved wall as a design feature. There is also an additional bedroom downstairs with an en suite bathroom. With a 3-car garage, mature landscape, and a gated courtyard. Three bay garage has built in floor to ceiling storage cabinets and space for additional fridge or freezer. Two AC units are York 16.5 Seer Variable Speed Units installed in 2019. Home is located in sought after Las Sendas Community with access to parks, pools, tennis courts, pickleball courts, golf course and gym. Positioned on hiking/mountain biking trail with access adjacent to property leading to Hawes Trail System of Tonto National Forest. Salt River is 5 minutes away. Saguaro Lake is 20 minutes away providing endless outdoor recreational opportunities. Top rated Las Sendas Elementary School, Pathfinder Academy and ALA Mesa North are all a short distance away. Fremont Junior High and Red Mountain High School are the local upper grade schools.

5952 E Adobe Drive Phoenix, AZ 85054

$1,395,000
4 Beds
4.5 Baths
3,505 SqFt
Status Active
MLS # 6713904
Property Type Single Family Residence
Price Type --
Lesser price than recently sold in the neighborhood. Discover the exquisite Shea 5016 floor plan home in the exclusive Talinn gated community. This upgraded residence features 4 bedrooms and 4.5 bathrooms, located within 3 miles of Desert Ridge Marketplace, High Street Mall, and Scottsdale Quarters. Upon entering, you're greeted by an elegant accent wall and marble-look flooring. The gourmet kitchen includes quartz waterfall countertops, a matching backsplash, upgraded cabinets, and a custom-built refrigerator. The first floor has a guest bedroom and a den with double doors, ideal for a home office. The living area boasts high ceilings, creating a grand atmosphere. Upstairs, find three additional bedrooms and a versatile loft for entertainment or relaxation. The private backyard oasis features turf and limestone landscaping, a built-in fireplace, pergola, built-in BBQ, separated plants, and mountain views with no neighbors behind. Prime Location: Minutes from Desert Ridge Mall, Scottsdale, Mayo Clinic, High Street, JW Marriott, and major IT hubs like American Express and PayPal. Nearby Desert Horizon Park enhances the appeal. Interior highlights include large-format marble-look tiles, soaring ceilings, over $300,000 in upgrades, a waterfall quartz countertop, and zebra shades. The entertainment-ready backyard has a large pergola, TV wall, bar with refrigerator, BBQ, two fireplaces, a sink, and a gas stove. Luxurious bathrooms feature quartz countertops and upgraded showers. The master suite offers custom-built closets. Modern amenities: state-of-the-art security, smart home capabilities, a three-car garage, high-efficiency water drop RO system, and water softener. Provisions for a projector in the main living area and multi-colored paint themes add personalized touches. The premium lot offers park views and no neighbors behind, ensuring privacy and prestige. Community features include gated access, parks, biking trails, a swimming pool, and a gym. Make this luxurious home yours today!

9487 E Trailside View Scottsdale, AZ 85255

$1,395,000
3 Beds
2.5 Baths
2,775 SqFt
Status Active
MLS # 6692735
Property Type Single Family Residence
Price Type --
Welcome to DC Ranch's premier & highly desired gated community, Terraces at Desert Parks Village! This exquisite and immaculately cared for home features a North/South exposure with a wonderful open floor plan, high ceilings, a private courtyard, 3 large bedrooms, 2.5 baths, 3 car garage (with brand new opener w/camera) a heated pool and epitomizes luxury living with state-of-the-art enhancements and elegant finishes such as; refinished cabinetry throughout, newer Viking appliances, newer HVAC systems, new water heater, new water softener, newer water filtration system, tinted windows with new sun screens, Hunter Douglas fabric window coverings, retractable awnings, surround sound, home security system with cameras and much more! The gourmet kitchen boasts gorgeous Quartz counters, under & over counter lighting and an extended island creating the perfect place to enjoy your morning coffee! This Monterey home neighborhood has wonderful parks and sidewalks, perfect for afternoon walks! This gem not only offers luxurious living spaces but also great proximity to the best of Scottsdale's amenities, including shopping, dining and outdoor activities. It represents a perfect blend of comfort, convenience, and sophistication & will not disappoint the fussiest of buyers!

3312 E Flower Street Phoenix, AZ 85018

$1,395,000
4 Beds
2.5 Baths
2,018 SqFt
Status Active
MLS # 6704230
Property Type Single Family Residence
Price Type --
Stunning residence nestled in the sought-after Arcadia Neighborhood! This beautifully renovated home boasts an abundance of space, sitting on nearly an acre of land. Enjoy the luxury of your own private paradise, complete with a refreshing pool, spa, and a wood-fired pizza oven. Spacious garage/workshop separate from the main house. With its loft and bathroom, this versatile space offers endless possibilities. RV owners parking area equipped with all hookups. Thoughtfully designed interior featuring 4 bedrooms, 2.5 bathrooms. The kitchen has custom cabinets and an expansive island, seamlessly connecting to the inviting living and dining areas. Don't miss out on the opportunity to experience the epitome of the good life in this exceptional home, perfectly situated in a desirable location

9768 E Balancing Rock Road Scottsdale, AZ 85262

$1,395,000
4 Beds
2.5 Baths
2,964 SqFt
Status Active
MLS # 6713491
Property Type Single Family Residence
Price Type --
Indulge in luxury desert living in this beautifully remodeled home within the Golf Community of Balancing Rock at Troon North. Enjoy panoramic views of Pinnacle Peak & unique boulder outcroppings. With 4 bedrooms and 2.5 baths, every detail exudes elegance. The kitchen, now seamlessly integrated with the great room, boasts quartz countertops, newer cabinetry, & an induction cooktop. Entertain in the formal dining area or retreat to the separate office/den. The split master suite offers privacy, enhanced by plantation shutters, wood-like tile planks & leads into the ''spa like'' bath with an abundance of closet space.. Outside, a heated spool, built-in BBQ, and fireplace create a resort-style oasis. Experience the ultimate in desert living, embracing nature's beauty from your own backyard.

7127 E Rancho Vista Drive Unit 4012 Scottsdale, AZ 85251

$1,395,000
2 Beds
2 Baths
1,448 SqFt
Status Active
MLS # 6722940
Property Type Apartment
Price Type --
This incredible luxury renovation is expected to be completed by November 1st 2024. Welcome to this breathtaking Optima Camelview luxury renovation masterpiece. This property features 2 bedrooms 2 baths, 1448sqft, two private parking spaces and a massive private patio. Boasting a breathtaking organic modern design throughout, you'll find custom raw stone & wood works, premium lighting designs, exquisite quartzite slab living room fireplace accent wall, thermador & wolf appliances, sonos surround sound, automated blinds and so much more. All found within the luxurious Optima Camelview Village, with it's unbeatable location & state of the art architecture/amenities. Amenities include: Two Outdoor Zen Pools, Spas & Bbqs One on each side of the community (heated year round). 24,000 sq. ft. Fitness Center (Recently Remodeled). Mens & Womens Locker Rooms w/ Steam Rooms, Showers and Private Lockers. Indoor Lap Pool & 2 Spas (Heated year round), On-site concierge, Putting green, Hybrid Basketball / Pickle-ball Court, Racquet ball court, On-site restaurant (metropolis), conference room, 24/7 Security, Reservable party room and multi-purpose fitness/yoga room.

8927 E Wethersfield Road Scottsdale, AZ 85260

$1,395,000
3 Beds
3 Baths
3,116 SqFt
Status Active
MLS # 6750382
Property Type Single Family Residence
Price Type --
One of the best values in Cactus Corridor!! Charming 3 bedroom/3 bathroom home including separate entry guest casita located in a private gated community of 35 homes. Features include walk-in closets for each bedroom, custom cabinetry, granite counter tops, tile flooring throughout the great room/kitchen, open floor plan and spacious rear yard for entertaining. A gorgeous resort like pool with covered spa area make this hard-to-find home in a sought after Scottsdale location a one of a kind. Come see for yourself and make it yours today!

2092 S Navajo Court Chandler, AZ 85286

$1,395,000
6 Beds
4.5 Baths
4,313 SqFt
Status Active
MLS # 6760399
Property Type Single Family Residence
Price Type --
** SPECTACULAR HOME ** EXCEPTIONAL VALUE ** OASIS IN THE DESERT ** Nestled on a tranquil cul-de-sac lot within the highly-coveted, Arboleda Estates gated community, this beautifully constructed Taylor Morrison home exudes with detailed craftmanship and pride of ownership inside and out, featuring: 6 bedrooms, 4.5 baths, impressive front entry with iron/glass door, plantation shutters, built-in entertainment center, plank tile flooring, SS kitchen appliances, large loft, freshly painted interior (9/24), and a private PebbleSheen play pool. Gourmet & busy on-the-go cooks alike will LOVE the chef's kitchen, which includes white-on-white staggered cabinetry, slab granite counters, induction cooktop, dual built-in wall ovens & microwave, trash compactor, decorative SS pendant lighting, and an over-sized walk-in pantry! SPACIOUS primary suite located on the main level provides sliding barndoor access to large bathroom area having separate garden tub & shower, dual sink vanity w/personal makeup counter, and an oversized walk-in closet; all other bedrooms are generously oversized too AND there are numerous closets everywhere throughout the home to store all your household stuff & things. The 3-car garage mancave w/epoxy flooring also features additional storage including extensive built-in cabinetry, 3 large overhead storage shelves and a soft water system. There's so much storage space in this home you can probably rent your unused space to your neighbors! And there's dual RV gates as well to store your boats, trailers, and other motorized toys. And most importantly the large family room w/dramatic 18 ft soaring ceilings is the central entertainment hub for making so many fun-filled memories; and best of all it opens to an AMAZING backyard paradise where family and friends can play and relax in their own private retreat featuring sparkling heated play pool, four waterfall features, lush green landscaping, and travertine patio & pool decking; and the extended covered patio and turf areas within this 17,296 SqFt (nearly .4 acres) lot provide ample entertainment spaces for all. Finally, this South Chandler private neighborhood offers convenient access to nearby top-rated schools, parks, shopping, and quick-n-easy freeway access to the 101/202. Washer, dryer, and fridge convey to new owner. This is truly a MUST-SEE, rare DREAM HOME to own!

13736 E Wethersfield Road Scottsdale, AZ 85259

$1,395,000
4 Beds
2.5 Baths
2,782 SqFt
Status Active
MLS # 6767393
Property Type Single Family Residence
Price Type --
Welcome to luxury living in Scottsdale Mountain! This open concept floor plan is updated with high end finishes through out each room. The home's natural light shines in every window allowing for breathtaking mountains views to be soaked in daily with each of Arizona's famous sunrises. Complete with a chef's kitchen, huge waterfall island, Bosch and Viking appliances, this space allows you to create and entertain family and friends! The kitchen and living spaces flow seamlessly to the homes expansive covered outdoor patio to allow for more indoor/outdoor living. Outside features include a built in BBQ, oversized pool with two waterfalls and a poolside fire feature! The primary bedroom is very spacious offering a spa-like bathroom, soaking tub and more! The secondary bedrooms the flexibility to fit your needs. I'd love you show you around! Thank you for your interest!

7531 E Hazelwood Street Scottsdale, AZ 85251

$1,395,000 - 3Br/3Ba -  for Sale in Scottsdale Terrace, Scottsdale
Open House
$1,395,000
3 Beds
3 Baths
2,097 SqFt
Status Active
MLS # 6756655
Property Type Single Family Residence
Price Type --
Welcome to your dream home, a meticulously renovated oasis where modern luxury meets timeless elegance. Step through the new front door and into a beautifully redesigned space enhanced by landscape improvements, including stylish exterior lighting and a fresh stucco courtyard. The herringbone Territorial Hollander paver walkway leads you to custom laser-cut gates, offering a sophisticated entrance to your private retreat. The backyard is a serene haven featuring a Perla Blanca limestone pool surround, a new stack tile pool waterfall, and a saltwater pool with an in-floor cleaning system. Enjoy seamless indoor-outdoor living with a 12-foot stacking glass door that opens poolside, where mature trees provide shade and privacy and Solar panels ensure energy efficiency. Inside, every detail has been thoughtfully updated. The home boasts all-new drywall, doors and hardware, complemented by fresh flooring, trim moldings, and cabinetry. Raised ceilings and new ductwork create a spacious, airy feel, while a new split unit ensures year-round comfort. The kitchen is a culinary masterpiece, featuring custom Bodaq cabinetry, Crema Vosscione honed limestone countertops, Thermador appliances, a range hood, and a massive entertaining bar topped with stunning Volcano Gray granite. The bathrooms are newly completed with luxurious finishes: penny tile floors, curbless showers, two-piece trough sinks, black stainless fixtures, and lighted vanity mirrors in the primary suite; and a large tub with a floating vanity in the secondary bathrooms, accented with Champagne bronze fixtures. Ideally located within walking distance to high-end shopping and dining, and just minutes from Phoenix Sky Harbor and Scottsdale Airport, this home offers both convenience and exclusivity. Every aspect has been designed with quality and elegance in mind, making it a perfect sanctuary for modern living.

18676 N 95th Street Scottsdale, AZ 85255

$1,395,000 - 4Br/2Ba -  for Sale in Ironwood Village, Scottsdale
Open House
$1,395,000
4 Beds
2 Baths
2,627 SqFt
Status Active
MLS # 6773200
Property Type Single Family Residence
Price Type --
The best value for a fully remodeled home in all of prime North Scottsdale 85255, priced under $1.5M! This is the home you've been dreaming of, where modern luxury and timeless design meet to create an unparalleled living experience. Step inside and be immediately captivated by the elegance of high-end finishes, from the sleek wide-format porcelain tile floors to the stunning light fixtures that cast a warm, inviting glow throughout. The expansive 20-foot bifold patio doors blur the lines between indoor and outdoor living, revealing a resort-style backyard that feels like your own private retreat. Set on a premium lot that backs up to a peaceful wash, the privacy and serenity are unmatched, offering you a sanctuary from the hustle and bustle. The vaulted ceilings and open-concept design create an expansive, airy atmosphere that invites you to entertain with ease. Imagine the heart of your home gourmet kitchen with luxurious quartz countertops, top-of-the-line stainless steel appliances, a massive walk-in pantry, and cabinetry that seems to go on forever. This is where holiday dinners, weekend brunches, and everyday moments turn into lasting memories with friends and family. The split floor plan offers the ultimate in privacy. Your primary suite is a haven of tranquility, with natural light flooding in from a private exit to the backyard. Wake up to the peace of your surroundings, and retreat to your en-suite bath, where double vanities and a walk-in shower await your daily spa-like ritual. A custom walk-in closet ensures everything has its place, making organization effortless. With three additional spacious bedrooms, a beautifully updated second bathroom, and ample room for family, guests, or even a home office, this home delivers everything you could want. Adding to the appeal, the garage features epoxy floors, combining durability with a sleek, modern look perfect for keeping your vehicles and storage in pristine condition. Perched in one of North Scottsdale's most sought-after neighborhoods, this home is surrounded by the finest dining, shopping, spas, and golf courses the area has to offer. With easy access to the 101 freeway and views of the stunning McDowell Mountains, the lifestyle here is simply unrivaled. This isn't just a house, it's the ultimate North Scottsdale dream home, where every detail is designed to elevate your life. Come experience it for yourself and claim the lifestyle you've always wanted. Schedule your showing today!

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