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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7550 N 21st Place Phoenix, AZ 85020

$4,600,000
6 Beds
5.5 Baths
7,975 SqFt
Status Active
MLS # 6715842
Property Type Single Family Residence
Price Type --
Motivated Seller! Experience the pinnacle of luxury living with this exceptional Mid-Century Modern hillside estate, meticulously crafted by renowned architect Arthur Froehlich. As you step into this architectural marvel, you're greeted by a stunning curved staircase that gracefully floats over a tranquil reflection pool, setting the stage for the extraordinary beauty that awaits. This residence embodies sophistication, boasting expansive windows and soaring ceilings that frame breathtaking skyline views, seamlessly blending the magnificence of nature with contemporary design. Revel in the harmonious fusion of indoor and outdoor living with two sprawling green spaces meticulously integrated into the mountainside, offering a serene oasis for both relaxation and entertainment. Encompassing over 7900 square feet, this estate features 6 bedrooms, 5.5 baths, and an array of amenities that redefine opulent living. Nestled beneath the main residence, the pool house beckons you to unwind by the shimmering pool, rock waterfall, and inviting patio, perfect for hosting gatherings and creating lasting memories. Retreat to the luxurious primary bedroom suite, surrounded by private patios and a deck offering panoramic vistas of the entire valley, ensuring a tranquil escape from the everyday hustle and bustle while enjoying 360-degree breathtaking views. Indulge in ultimate relaxation with three indoor fireplaces, an outdoor fireplace, and one in the pool house, along with an indoor steam room, sauna, and a hand-tiled indoor spa that exudes a resort-like ambiance. Immerse yourself in a botanical wonderland with rare plants and mature trees gracing the property, including majestic King Palms and fragrant Plumeria, creating a serene environment that soothes the soul. Every corner of this estate tells a story of luxury and elegance, with water features scattered throughout the grounds and picturesque walkways inviting exploration of this architectural gem. Discover the legacy of Arthur Froehlich, known for his iconic designs that transcend industries, from world-class horse race tracks to iconic structures in Hollywood, showcasing his unparalleled creativity and vision.

10831 N Pulve Court Fountain Hills, AZ 85268

$4,595,000
4 Beds
7 Baths
7,770 SqFt
Status Active
MLS # 6783325
Property Type Single Family Residence
Price Type --
Perched on a prime corner lot in the prestigious gated community of Crestview, this stunning estate offers unparalleled privacy and sweeping views of city lights, majestic mountains, and the serene desert landscape. Beyond the tranquil courtyard, step inside to soaring ceilings, designer finishes, and walls of glass that frame breathtaking vistas. The open-concept living room flows seamlessly into a chef's dream kitchen, featuring dual Sub-Zero refrigerators, three ovens, a built-in espresso machine, expansive granite countertops, and a sunlit breakfast nook. The master suite is a private sanctuary, complete with a cozy sitting area, Cantera fireplace, spa-like bath with dual vanities, soaking tub, walk-in shower, and a colossal custom closet. Three additional en-suite bedrooms, a formal dining room, spacious office, and bonus room with a wet bar ensure comfort and versatility. Entertainment is taken to the next level with a game room, wine cellar, and state-of-the-art movie theater. Outside, the backyard oasis features a stunning negative-edge pool, spill-over spa, firepit, built-in BBQ, and expansive decks to embrace the beauty of every Sonoran season. This home is a rare blend of luxury, functionality, and timeless designa true trophy among Fountain Hills' finest estates.

11571 E Cochise Drive Scottsdale, AZ 85259

$4,594,978
5 Beds
6.5 Baths
8,433 SqFt
Status Active
MLS # 6673874
Property Type Single Family Residence
Price Type --
This elegant luxury estate is a masterpiece of superior craftsmanship and attention to detail. The grand foyer with a striking staircase leads to impeccably designed living spaces, including formal and informal great rooms, a dining area, a custom study or office, and a chef's kitchen outfitted with top-of-the-line appliances. The home also features a wine cellar and abundant storage throughout. The bedrooms are works of art, boasting custom fireplaces, exquisite millwork, designer lighting, and high-end fixtures. The garage is equally impressive, offering ample storage and two EV charging stations for convenience. Set on a lushly landscaped acre, the outdoor amenities are unparalleled. Enjoy a resort-style pool and spa, an outdoor kitchen with a bar, a dining gazebo, a putti Motivated Seller!!!!! This elegant luxury estate is a masterpiece of superior craftsmanship and attention to detail. The grand foyer, highlighted by a striking staircase, leads to impeccably designed living spaces, including formal and informal great rooms, a sophisticated dining area, a custom study or office, and a chef's kitchen outfitted with top-of-the-line appliances. The home also features a wine cellar and abundant storage with ease. The bedrooms and bathrooms are a sanctuary of comfort, adorned with custom fireplaces that add warmth and charm. Throughout the home, you'll find unique millwork, lighting, fixtures, and cabinetry that elevate the space to new heights of luxury. The garage is equally impressive, offering ample storage and two EV charging stations for convenience. Nestled on an acre of lush land, the meticulously manicured grounds offer a resort-like retreat, complete with a sparkling pool and spa, an outdoor kitchen, a dining gazebo, an expansive bar area, and a putting green for leisurely afternoons. Sports enthusiasts will appreciate the basketball court and pickleball court, while tranquil water features add a sense of serenity to the outdoor oasis. Multiple verandas and covered patio areas provide the perfect setting for enjoying the breathtaking surroundings and entertaining guests in style. Take a tour today to experience what luxury living in Scottsdale could look like for you!

38440 N 95th Street Scottsdale, AZ 85262

$4,565,000
4 Beds
4.5 Baths
5,056 SqFt
Status Active
MLS # 6772972
Property Type Single Family Residence
Price Type --
Desert Mountain Golf Membership Available! 38440 N 95th Street, Scottsdale, AZ 85262. Construction started September 2024. View Estate on an elevated lot in the top-ranking private golf community of Desert Mountain. Dramatic Mountain, Sunset and Community Night Light Views. Single level home with finished floor elevation at 2,734. Fresh architectural design with bold accents create a striking silhouette against the mature high Sonoran Desert landscape in the foothills of North Scottsdale's Continental Mountain range. Offering interior courtyards, water features, soaring ceilings, clerestory windows, open floor plan, glass walls, executive office and 4 car garage. Buyer still has time to make interior selections. Peace and tranquility on .81-acre elevated homesite with dramatic views. Conveniently situated close to golf courses, restaurants, Sonoran Fitness and Spa and near the front guard gates. This new home is designed by J. Core Architecture and being built by multi-award-winning luxury home builder Platinum Companies, which have built over 100 homes in Desert Mountain alone. Offering what today's buyer is looking for with great views, open floor plan, spectacular outdoor living and luxe finishes. Buyer can make interior selections if they purchase now. Home Highlights Sunset, Mountain and Community Night Light Views Great Room Design Split Floor Plan Four Ensuite Bedrooms (4th is the Casita) Guest Retreat Lounge Single Level (No Steps) Primary Bath - Two Private Dressing Rooms Second Washer/Dryer in Primary Suite Executive Office / Den Interior Courtyard (1,100+ Sq Ft) Deep Covered Patios 4+ Car Garage 0.81 Acre Lot Located away from main roads *Optional Water Feature shown in Courtyard Desert Mountain, an over 8,000-acre guard-gated, luxury private golf community, is in the foothills of the Continental Mountains in North Scottsdale. The higher elevation delivers miles of sweeping views and cooler temperatures than the valley below. Desert Mountain Club defines unparalleled championship desert golf. Offering members, the world's largest collection of private Jack Nicklaus Signature Golf Courses along with the newest course addition, Seven. Seven is a USGA-rated, championship par-54 golf course, designed to challenge and entertain both experts and beginners alike. Dining venue options abound, within the guard-gated community. Offering 10 distinctive restaurants and grills. Savor the fresh, thoughtful takes on Tuscan Italian, Southwestern, classic steakhouse and seafood specialties, and modern gastropub fare. The Sonoran Clubhouse and Spa is the club's swim, pickleball, tennis, and fitness hub. Along with a Cafe, there are eight new pickleball courts, golf croquet and multiple bocce ball courts to enjoy. Known as the Wimbledon of the West, the Desert Mountain Tennis Complex features five state-of-the-art Har-Tru green clay tennis courts, three fast-playing hard courts, and a spectacular stadium grass court. This remarkable amenity adds tremendous value and enjoyment to the community's Club Members along with an array of other fun activities. Renew and restore your body in complete tranquility at the Sonoran Spa. Located within the sprawling 42,000-square-foot Sonoran Clubhouse, a beautifully appointed Spa offers a wide range of services, including therapeutic massages, repairing facials, haircuts and color, and even acupuncture treatments. Adjacent to the Tonto National Forest (the second largest in the United States) is the Desert Mountain private trail system encompassing 20 miles of panoramic desert scenery and lush mountain flora. Explore the eastern slope of the Continental Mountains, views of Tucson's Catalina Mountains, and a 4,100-foot summit that overlooks landmarks like Skull Mesa, Elephant Butte, and Harquahala Peak. Desert Mountain Club Golf Membership is available for transfer from the Seller. Desert Mountain Club Membership Application Review is a 30-day and Board approval process that is required for the Buyer. See Documents Tab for Desert Mountain Club information. *Construction has started *Discount if Seller's Desert Mountain Golf Membership is not included. *Property taxes are quoted on vacant lot *Buyer to verify all information independently as information is subject to change. *Renderings (Architect/Artistic) and final views from home may vary. *Image(s) are architectural and/or artistic renderings and the final product may differ based on final selections and/or changes. *Seller holds an Arizona Real Estate License. * Desert Mountain Club Golf Membership is available for transfer from the Seller. Desert Mountain Club Membership Application Review is a 30-day and Board approval process that is required for the Buyer. **HOA Capital Reserve Fund Fee of 0.45% fee on the purchase price paid at Closing by Buyer.

7501 E Palo Verde Drive Unit 8 Scottsdale, AZ 85250

$4,559,000
3 Beds
4.5 Baths
4,415 SqFt
Status Active
MLS # 6758018
Property Type Single Family Residence
Price Type --
Nestled among well-established neighborhoods just north of downtown Scottsdale, Palo Verde Lane is like no other community in the greater Phoenix area. While the architecture is desert modern, the home manifests the enduring characteristics of the materials used to create them: the warmth of wood, the permanence of masonry, and the openness of glass. The last in the community to be built, this home is the icing on the cake sitting on almost a 1/2acre lot and boasts a 3 car garage. The 3 spacious bedrooms are all ensuite, plus an office and a gym! Though only a stroll from upscale restaurants and shops, Palo Verde Lane honors its desert heritage. From its very inception, the community has been designed to harmonize with the environment and cultivate neighborliness among its residents.

27390 N 111th Street Scottsdale, AZ 85262

$4,550,000
4 Beds
3.5 Baths
4,400 SqFt
Status Active
MLS # 6744434
Property Type Single Family Residence
Price Type --
Introducing an exquisite desert contemporary masterpiece by Worth Development and J.Cor Architecture. Set on an expansive 4.22-acre parcel, this custom estate is a sanctuary of privacy and seclusion, offering breathtaking, unobstructed vistas of Pinnacle Peak, Troon Mountain, and Tom's Thumb/McDowell's. Enjoy the rare privilege of no HOA restrictions, and relish in the proximity to the world-class Four Seasons Resort Scottsdale. We invite you to inquire about this remarkable estate, where elegance and tranquility harmoniously converge.

6154 E Alta Hacienda Drive Scottsdale, AZ 85251

$4,550,000
4 Beds
4.5 Baths
3,581 SqFt
Status Active
MLS # 6784408
Property Type Single Family Residence
Price Type --
A rare chance to own a stunning property in the premier luxury community at The Phoenician Resort, located on one of the best lots within the community. Nestled within a gated community, this exceptional residence offers a lock-and-leave lifestyle that provides both security and convenience for the discerning buyer. The home boasts unobstructed, panoramic views of the iconic Camelback Mountain, with breathtaking extended vistas of the McDowell Mountains, and it backs to the 18th hole of the renowned Phoenician Golf Course, offering a serene and picturesque backdrop. It features an elevator for easy access, a spacious and elegant floor plan perfect for both everyday living and entertaining, and top-of-the-line finishes and appliances throughout. Additionally, the property includes a... detached guest house, offering privacy and comfort for visiting family or guests. For those seeking a fully turn-key opportunity, this home is available for a separate bill of sale with the designer-purchased furniture, ensuring a seamless move-in experience. Located just minutes from Scottsdale's renowned high-end dining and shopping, this exclusive address offers unparalleled access to Scottsdale's finest shops. This property seamlessly integrates the perfect balance of luxury, comfort, and convenience. This is truly a once-in-a-lifetime opportunity to own a property, in a location that combines breathtaking beauty, golf course and lake views, and luxury living.

5040 N Ascent Drive Scottsdale, AZ 85251

$4,548,601 - 3Br/4Ba -  for Sale in Phoenician, Scottsdale
Open House
$4,548,601
3 Beds
3.5 Baths
4,312 SqFt
Status Active
MLS # 6702208
Property Type Single Family Residence
Price Type --
A NEW PRIVATE RESIDENTIAL COMMUNITY WITH A COVETED LOCATION AT THE BASE OF CAMELBACK MOUNTAIN ADJACENT TO THE ICONIC PHOENICIAN® RESORT IN SCOTTSDALE. ONLY A SHORT DISTANCE TO FASHION SQUARE AND OLD TOWN SCOTTSDALE. THIS COLLECTION OF CUSTOM HOMES TO BE BUILT EXCLUSIVELY BY CULLUM HOMES OFFERS ONE, TWO AND THREE-LEVEL RESIDENCES THAT REFLECT A TIMELESS, MODERN DESIGN AND LOOK OUT OVER THE BEAUTIFUL PHOENICIAN® GOLF COURSE. ALL PLANS ARE FULLY CUSTOMIZABLE. INTRODUCING THE CIRRUS B FLOOR PLAN, A THREE-LEVEL HOME FEATURING 3 BEDROOMS, 3.5 BATHROOMS, A PRIVATE OFFICE AND A 3-CAR GARAGE. THROUGH THE EXTRAVAGANT FRONT ENTRANCE LOCATED ON THE LOWER LEVEL, A BEAUTIFUL STAIRCASE OR AN ELEVATOR TAKE YOU TO EVERY LEVEL OF THE RESIDENCE. THE MAIN LEVEL BOASTS TWO EN SUITE BEDROOMS, PRIVATE OFFICE, FORMAL DINING AREA, BUTLER'S PANTRY, OPEN CONCEPT KITCHEN, ADDITIONAL POWDER ROOM AND THE GREAT ROOM AREA. SPACIOUS KITCHEN WITH ISLAND, EAT-AT BAR AND WALK-IN PANTRY. A GLASS WALL LEADS YOU TO THE COVERED PATIO OFF THE GREAT ROOM WHERE GORGEOUS VIEWS AWAIT YOU. OWNER'S SUITE WITH WALK-IN CLOSET, DOUBLE SINK VANITY, SEPARATE TOILET ROOM, TUB AND WALK-IN SHOWER SIT ON THE TOP LEVEL. ALONG WITH A LARGE LAUNDRY ROOM WITH EXTRA STORAGE, PRIVATE OFFICE SPACE AND TWO DECKS. THE COMMUNITY IS GUARD GATED FOR PRIVACY AND SECURITY. AT THE BASE OF CAMELBACK MOUNTAIN, YOUR PRIVATE POOL, FITNESS CENTER, AND SOCIAL SPACES OFFER AN INTIMATE GATHERING PLACE FOR WELLNESS, SOCIALIZING AND RELAXATION. RESIDENTS ARE OFFERED THE OPTION TO JOIN THE PHOENICIAN® AMENITY ACCESS PROGRAM - ACCESS AND DISCOUNTS TO THE NEW ATHLETIC CLUB, 38,000 SQUARE FOOT SPA, TENNIS FACILITY AND RESORT POOLS AT THE PHOENICIAN® RESORT.

24444 N 128th Street Scottsdale, AZ 85262

$4,500,000
4 Beds
4.5 Baths
5,806 SqFt
Status Active
MLS # 6645982
Property Type Single Family Residence
Price Type --
One of three extraordinary & sophisticated contemporary styled Farmhouse homes designed by Encore Design Group on a massive three acre lot with NO HOA! This incredible home combines bright, contemporary design with timeless indoor-outdoor appeal, all in a highly-desirable location a stones throw from Tom's Thumb trailhead. This 5,806 SQFT custom home has a massive open great room floor plan with 4 bedrooms, 4.5 bathrooms, a separate game room or movie room, & an incredible four car garage. All selections & finishes can still be chosen.

9127 N Vista Verde Court Fountain Hills, AZ 85268

$4,500,000
5 Beds
6.5 Baths
7,672 SqFt
Status Active
MLS # 6783916
Property Type Single Family Residence
Price Type --
Experience Unparalleled Mountain views and Luxury living Nestled at an exclusive hilltop location, this 1.66 acre gated estate offers breathtaking desert landscapes, set at an elevation of almost 2000 feet. Enjoy panoramic views of city lights and Arizona's most iconic mountains, including four peaks, Red Mountain, and camelback, from every room of this meticulously crafted 5 bedrooms, 6.5 bath home. Designed for those who cherish natural beauty and modern convenience, this home boasts an open floor plan that fills each space with light. The seamless flow between the gourmet kitchen, expansive living areas and covered outdoor patios makes it an entertainer's dream. Step outside and be transported to a private oasis, complete with a sparkling saltwater pool, a new Sundance Optima spa and built in BBQ area. Thoughtfully landscaped for both beauty and ease, the backyard provides lush and low maintenance greenery and unparalleled views of the golf course and surrounding mountains. Key features · Majestic mountain views from every window · Resort style backyard with saltwater pool, spa and BBQ area. · Spacious and bright open floor plan · Prime location on one of Firerock's most coveted streets · Close to luxury amenities and Arizona's fines outdoor recreation Discover a true Arizona gem where every detail has been crafted to offer elegance, comfort and awe-inspiring scenery.

8000 E Mariposa Grande Drive Scottsdale, AZ 85255

$4,500,000
5 Beds
8 Baths
7,005 SqFt
Status Active
MLS # 6773466
Property Type Single Family Residence
Price Type --
Welcome to this exquisite Arizona estate, set on an expansive 2 plus acre lot with unmatched luxury and privacy. Enter through a private gate and arrive at the motor court, where you can choose from one of 14 garage spaces. Inside, you'll be greeted by rare 30-inch Beaumaniere French limestone floors and three elegant interior fireplaces as well as one wood burning exterior fireplace. The second level features hand-scraped, pegged oak plank floors, adding warmth and character. The gourmet kitchen boasts cherry, alder, and black poplar cabinetry, highlighted by stunning book-matched Italian Verde Bologna granite countertops. Top-tier appliances include Sub-Zero, Wolf, and Asko, complemented by Franke professional sinks. The main home is over 6000sf of opulent space. The kitchen and great room are adorned with stately hacienda beams, while 8-foot knotty alder solid wood doors enhance the the home's craftsmanship throughout. For outdoor living, enjoy two distinctive outdoor showers, brick patios, and a fully tiled, heated pool and spa. The massive 4648 sf detached garage offers A/C, a full bath, laundry facilities, and even a gun range. A spacious casita with over 1000sf, mature desert trees, and lush landscaping complete the property's appeal all with no HOA restrictions. This estate truly represents the finest in Arizona living.

6301 E Huntress Drive Paradise Valley, AZ 85253

$4,500,000 - 5Br/7Ba -  for Sale in Finisterre, Paradise Valley
New
$4,500,000
5 Beds
6.5 Baths
7,961 SqFt
Status Active
MLS # 6796554
Property Type Single Family Residence
Price Type --
This is a once-in-a-lifetime chance to own a remarkable property in one of the most prestigious guard-gated communities in Paradise Valley—Finisterra. Perfectly situated on an oversized, quiet lot spanning just under 1.1 acres, this home offers views of Camelback Mountain and unparalleled privacy. The existing residence features nearly 8,000 square feet of livable space, presenting endless possibilities. Whether you choose to do a light refresh or start anew, this lot provides the ideal foundation to build your dream home. Ideally located within the community, this property is one of the finest offerings Finisterra has to offer. Don't miss this rare opportunity to create a bespoke estate in Paradise Valley's most sought-after enclave.

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