With 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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22439 N 89th Street
Scottsdale, AZ 85255
$5,195,000
4
Beds
4.5
Baths
5,147
SqFt
Status
Active
MLS #
6756386
Property Type
Single Family Residence
Price Type
--
Modern Farmhouse in desirable White Horse community! This 5147 sf single level home is located one of Scottsdale's hottest neighborhoods due to its amazing architecture and convenient location. Set on nearly .7 acres, this site is regarded as the best lot in Whitehorse due to its orientation, deep backyard, open space behind and stunning McDowell Mountain views from the back. Desirable single level floorplan features 4 bedrooms and a media room/bonus room, along with a 4 car garage. The great room and kitchen have an open-concept design, featuring glass pocket doors that seamlessly connect to the front and back covered patios—perfect for enjoying Arizona's mild weather and entertaining guests. Private backyard oasis is anchored by a stunning pool surrounded by lush turf and captures sweeping mountain views. State of the art features include Wolf/Subzero kitchen appliances, double dishwashers, brick accent wall in kitchen, wide plank white oak flooring, beamed truss ceilings, built in media wall in bonus room, quartz and limestone counter tops, 3 tankless water heaters and a separate dog wash in laundry room. Whitehorse is conveniently located just north of DC Ranch in North Scottsdale, 1 mile from the shopping /dining of Market Street, and minutes away from the Loop 101. Please preview to see why this address is in such high demand!
37200 N Cave Creek Road Unit 1082
Scottsdale, AZ 85262
$5,195,000
4
Beds
4.5
Baths
4,376
SqFt
Status
Active
MLS #
6777672
Property Type
Single Family Residence
Price Type
--
Welcome to the pinnacle of luxury living at the Villas at Seven Desert Mountain, where bespoke design and modern lifestyle converge. This stunning contemporary masterpiece, boasting energy efficiency and elegant, open-concept design, offers the perfect turn-key experience for discerning buyers. Sold fully furnished, this home is ready for you to move in and start enjoying immediately. Spanning approximately 4,400 sq ft over two levels and complete with a private elevator, this residence is as functional as it is beautiful. It features an expansive great room with breathtaking golf course views, 4 spacious bedrooms, a versatile bonus room, and 4.5 opulent baths. The 4-car garage offers ample space and convenience, while the meticulously chosen furnishings and finishes add an extra layer of sophistication. Overlooking the exclusive Seven golf course, this property epitomizes resort-style living, combining luxury with ease. If you're seeking a fully furnished, turn-key home that effortlessly blends comfort and class, this is it.
40523 N 102nd Place
Scottsdale, AZ 85262
$5,185,000
4
Beds
5
Baths
6,100
SqFt
Status
Active
MLS #
6776164
Property Type
Single Family Residence
Price Type
--
Golf Membership Available - Nestled in one of Desert Mountain's most coveted villages, this exceptional residence rests at the end of a quiet cul-de-sac on a premier lot overlooking fairway 1 of Cochise Golf Course, walk on a private path to the club house. The home provides sweeping mountain vistas, huge sunsets and unmatched privacy. Thoughtfully designed, the interior offers a gourmet kitchen with dining, a grand living room with large picture window and breathtaking views, a formal dining room, and a luxurious primary suite featuring dual master baths—each with its own private sitting area and walk-in closet. 2 additional ensuite bedrooms and a separate guest casita offers its own living room, kitchenette, large bedroom, and bathroom, perfect for visitors. Outdoor living is unparalleled, with a shaded patio and gas fireplace, stunning views, a pool, spa, and built-in BBQ. A generous three-car garage completes the home, all just moments from the Desert Mountain gate and Sonoran Club. Some furnishing may be available through a separate bill of sale. A transferrable GOLF MEMBERSHIP is available to transfer via a separate purchase through the Desert Mountain Club. 30 day minimum application review and acceptance is required. Embrace the Desert Mountain lifestyle with world-class amenities, stunning natural beauty, and the privacy of a prestigious community. Make this your full-time residence or the ultimate vacation getaway.
13074 E Saddlehorn Trail
Scottsdale, AZ 85259
$5,150,000
5
Beds
6.5
Baths
6,679
SqFt
Status
Active
MLS #
6780791
Property Type
Single Family Residence
Price Type
--
This home defines luxury, style and convenience w/ an amazing location and views!! Everyday feels like resort living, ideal for entertaining, too!! Impressive architectural details, ceilings, beams and unparalleled workmanship with all the finest finishes! Updated inside and out!!! Beautiful, custom kitchen boasts double islands, glazed cabinets, marble, mother of pearl backsplash, Wolf , Viking, Subzero appliances. Escape to the primary retreat w/ his/her closets, unbelievable spa like bath w/ fireplace, sitting area, his/her water closets, sauna, beverage bar and work out room. Settle into the theater room for the big game or your fav movie w/ highly upgraded equipment( new 8k projector included w/ sale)entire home has most up to date Savant smart home system including surround sound system, 10 new ultra thin profile 4k Sony TV's w/ Sonos soundbars(included), commercial grade hard-wired WIFI system inside and out w/ Cox gigabit internet and security. Temperature controlled wine storage and great wet bar area w/ seating. 4+ car garage is oversized and equipped w/ electric vehicle charger, epoxy floors and storage. The front courtyard includes fireplace, travertine and is accessible to both the casita and home. Casita has kitchenette, walk in closet, private bath, currently used as an amazing game room providing fun for everyone! 3 Guest rooms all ensuite w/ walk in closets. Private backyard offers breathtaking views and all the comfort and luxury of a 5 star resort! Pool, spa, outdoor kitchen, fireplace in a must see setting!! All 5 HVAC units replaced 2023, $240k in smart home Savant system/AV systems added, and over $500k in exterior/interior paint, courtyard, patio, outdoor kitchen and pool upgrades since 2022.
39601 N Ocotillo Ridge Drive
Carefree, AZ 85377
$5,150,000
5
Beds
7
Baths
7,783
SqFt
Status
Active
MLS #
6620894
Property Type
Single Family Residence
Price Type
--
Introducing the epitome of quiet luxury at this formidable estate on 5 acres of private land. Behind the gates at the pristine Ocotillo Ridge Estates in Carefree. Every inch of this 7,783 sq. ft. estate has been meticulously maintained and crafted with an array of upgrades and emphasis on the modern hacienda style. Exceptional finishes include hickory hardwood & slate floors, wood beams, custom cabinetry, Cantera stone fireplaces, tongue and groove wood ceilings, and hand-crafted tiles throughout the home. Upon entry, the pure elegance of the great room with the accordion doors opening to the infinity edge pool and the breathtaking mountain vistas and sunsets will amaze you every time. Well-appointed top-of-the-line gourmet kitchen. An impressive wet bar for entertaining & picturesque... views. A generous primary suite retreat with a sitting area, luxurious bath, oversized custom closet, and an exercise room. Three additional en-suites with their own patio access and separate office. Paver drive and motor court. Oversized four-car garage. Back to the enchanting courtyard, you can head to the quaint guest house that oozes the local town's flair. Your guests will have the best time at this inviting casita. Romantic outdoor spaces include 2000+/- sf of deep-covered paver patios and 1000+/- sf of elevated open dining/relaxing deck with Cantera fireplace and BBQ. There are endless, unobstructed views in every direction and every room. The setting is every bit as spectacular as the home itself. There are miles of quiet hiking and biking trails. Unequaled privacy and tranquility await you at this resort-like sanctuary. Yet, you are minutes (three miles) from the quaint, charming old towns of Cave Creek and Carefree. This property also presents a unique opportunity for seller financing and is available turnkey through a separate bill of saleeffortlessly inviting you to start your new chapter without delay.
13330 E Jomax Road
Scottsdale, AZ 85262
$5,125,000
3
Beds
3.5
Baths
4,764
SqFt
Status
Active
MLS #
6754006
Property Type
Single Family Residence
Price Type
--
Welcome to this prime, 20 acre desert location near Scottsdale's iconic landmarks. Located directly adjacent to the McDowell Mountain Preserve and at the end of a paved, dead end road, you will find this stunning, pristine lot covered with the boulders that make the McDowell mountain park region unique. These formations are part of the broader landscape of the Sonoran Desert, which is known for its dramatic geological features. The combination of the desert environment with these ancient, weathered granite boulders creates a unique ecosystem and visual experience. The proximity to McDowell Mountain Park means that outdoor enthusiasts have direct access to miles of non motorized trails for hiking, biking, and trail riding right from their doorstep. At the heart of this exquisite parcel is a 4,700 square-foot custom home designed to complement the surrounding environment. The home features expansive windows and doors in every room to the outdoor living spaces that takes full advantage of the breathtaking 360' views of the Four Peaks, Granite Mountian, McDowell Mountain Range and the surrounding desert landscape. The architecture includes elements like stone and wood, harmonizing with the natural terrain. The master bedroom, complete with its own fireplace, has its own exit to the pool and spa which overlooks Tom's Thumb while the guest room and attached casita open to the north patio to take in the views of granite mountain. Views are amazing from EVERY room. The great room, chefs kitchen and custom wet bar ensure plenty of space for entertaining or just enjoying the cozy fireplace. Additionally the large and fully equipped attached casita is perfect for family or out of town guests with their own access to enjoy your time with them but allows everyone their own space. Head outside to find the 12 stall mare motel with 60' runs, lights and automatic waterers located right next to the 8 horse Priefert walker. Also noteworthy is the BRAND NEW, high producing well!! The arena is huge at 150 x 300 with new footing and plenty of parking for trailers if your friends come over to rope, trail ride or just hang out. This area is surrounded by upscale communities, with nearby luxury homes and ranch estates that take full advantage of the natural beauty and privacy the desert offers. While the setting provides a peaceful retreat, the property remains conveniently located just minutes away from world-class golf courses like Troon North, Desert Mountain, and Estancia and is just a short drive from Scottsdale's fine dining, boutique shopping, and cultural attractions, ensuring that convenience meets tranquility in this desert oasis.
5347 E Mockingbird Lane
Paradise Valley, AZ 85253
$5,070,000
5
Beds
4.5
Baths
7,425
SqFt
Status
Active
MLS #
6754720
Property Type
Single Family Residence
Price Type
--
PRICED AT $687 PER SQ FT! ABSOLUTE MUST SEE IN PERSON! From the second you walk into this beautiful Paradise Valley estate you will LOVE the open floor plan, soaring ceilings, walk out of the 16 foot pocket doors to the spectacular Mummy Mountain views, gorgeous resort style pool/backyard. THIS HOME IS AN ENTERTAINERS DREAM. Recently refreshed Primary wing. Custom brick ceilings, exposed wood beams, beautiful stone accents throughout the home, and custom wood cabinetry. 3 large stone fireplaces. Oversized kitchen with large 14 ft island and high end appliances. New hardwood flooring throughout the home. Recently updated theatre room. Oversized bedrooms and showers throughout. 4 ENSUITES. Stadium style theater room complete with 4k projector. Welcome to your new home.
41735 N 101st Way
Scottsdale, AZ 85262
$5,000,000
4
Beds
4.5
Baths
5,699
SqFt
Status
Active
MLS #
6765688
Property Type
Single Family Residence
Price Type
--
Golf Membership Available- Today's modern interpretation of the original Pueblo style - keeping in harmony with the desert. This privately gated home within Saguaro Forest at Desert Mountain is situated on an elevated lot with magical sunset, golf course, surrounding mountains, city lights and mountain silhouettes at night. Ideal south facing backyard captures winter sun on the pool/patio areas all day. Built by Phil Smith, this home emanates master crafted details; rooms in the round, forged metal rails, wood detailed ceilings, tubular skylights, stone, wood and concrete floors and Venetian plaster walls. The great room split floor plan with Master and library wing on one side and 3 guest ensuites on the other allows privacy for all. Patios around the home provide gathering spaces for many or sanctuaries for a few. The pool, spa, outdoor kiva fireplace and barbecue create outdoor living and dining at its finest. Electric shades, central vac, high end appliances and an elevator keep current with today's luxuries and conveniences. Lush Sonoran desert vegetation surrounding the home creates a true desert botanical experience. Private and tranquil, yet located close to the Cochise/Geronimo and Chiricahua Clubhouses for dining and golf. Bike or hike from your home to the nearby Desert Mountain Trails with over 20 miles of multi-use trails. Sonoran Fitness center located within a short drive from home. Golf Membership to the Desert Mountain Club available.
10535 E Paradise Drive
Scottsdale, AZ 85259
$5,000,000
6
Beds
6.5
Baths
6,181
SqFt
Status
Active
MLS #
6596265
Property Type
Single Family Residence
Price Type
--
NEW CONSTRUCTION - Permits ready and we are set to break ground on the exceptionally designed Modern Luxury Estate brought to you by Blue Sky Homes. Boasting roughly 5312 SF this home is an entertainer's dream, with open kitchen, large sliding door system to the backyard and a split bedroom floor plan and with 10'+ ceilings. Guest will fee welcomed in the spacious 800+ SF casita overlooking resort style backyard. This amazing home is located in the popular Cactus/Shea corridor close to shopping, dining, as well as hiking trails. Don't miss out on the opportunity to semi customize this desert gem before it's too late. *This property is located on lot A of the site.
5123 E Mcdonald Drive
Paradise Valley, AZ 85253
$5,000,000
4
Beds
3.5
Baths
4,379
SqFt
Status
Active
MLS #
6778627
Property Type
Single Family Residence
Price Type
--
Nestled on the iconic Camelback Mountain, this charming single-story home offers the best of Arizona living with 4 bedrooms, 3.5 bathrooms, and 4,379 sq/ft of beautifully designed space on an expansive acre of land. The interiors feature a reception foyer leading into the formal living room and family room. The home boasts 2 primary suites, both beautifully presented with one enjoying a fireplace. One guest bedroom is currently being used as an office. Boasting panoramic mountain views while still high enough to enjoy dazzling city lights, this property offers an unparalleled combination of natural beauty and urban convenience. The resort-style backyard is perfect for entertaining, featuring lush landscaping, classic swimming pool, and serene views that provide the perfect backdrop for any occasion. This is Arizona luxury living at its finest.
4959 E Red Rock Drive
Phoenix, AZ 85018
$5,000,000
4
Beds
3
Baths
3,460
SqFt
Status
Active
MLS #
6775731
Property Type
Single Family Residence
Price Type
--
Perched on the red rocks of Camelback, this hillside house boasts incredible views of the city to the south and stunning rock features as a surround. The main house has 3 bedrooms adorned with city views, with a guest house nestled underneath. The offset pool and spa are tucked against the mountain for an incredible combination of privacy and top of the rock atmosphere. The master suite has room to spare with a master bath that blends contemporary design with luxury features. The kitchen and dining room open to a living room and deck with indoor outdoor living in mind. An inviting gas fireplace serves as a feature to the living room inside while outdoor fire features lead you outside for sunny days and twinkling lights at night.
9279 E Andora Hills Drive
Scottsdale, AZ 85262
$5,000,000
4
Beds
4.5
Baths
5,305
SqFt
Status
Active
MLS #
6667422
Property Type
Single Family Residence
Price Type
--
Completion January 2025. Golf Membership available from seller. New build by leading luxury home builder - Blackstone Development and designed by Graffin Design. Terrific mountain views from Apache Peak all the way across the Continental Mountain Range to the western mountains and wonderful spring sunsets. Offering the floor plan today's buyer is looking for: open great room plan with retractable glass doors to enjoy the gorgeous views and one level living with 4 suites plus a study. Outdoors enjoy a large patio area complete with two way fireplace, pool, spa, and BBQ. Buyer still has time to put their own stamp on this home and colorize it as they would like to. Save a year and half of design headaches and just do the fun part-picking out the colors. Home can be purchased and new owners can start enjoying the Desert Mountain Club upon closing-of course subject to membership approval. Floor plan is located under the Document tab. This home is now thru drywall stage and cabinets are being installed.