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

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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6628 N 2nd Avenue Phoenix, AZ 85013

$900,000

4 Beds

3 Baths

2,629 SqFt

Status Active

MLS # 6718555

Property Type Single Family Residence

Price Type --

Come see this beautiful upgraded home in a great Phoenix location! Offering a 2 car garage w/paver driveway and an easy-care landscape w/synthetic turf & mature trees. Discover a formal living room w/plantation shutters, new lighting fixtures & ceiling fans, fresh neutral paint, and wood like tile floors t/out. The refinished kitchen has new SS appliances, quartz counters, a walk-in pantry, and white shaker cabinets. You'll love the main bedroom boasting a sitting room or office w/built-in desks, French doors to the back, and an updated ensuite w/dual sinks & walk-in closet. Other two large bedrooms also enjoy sitting rooms, walkin closets, and a Jack & Jill bathroom w/dual sinks! Out the back, you have a covered patio w/pergola extension and enough room for entertaini

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1312 W Berridge Lane Phoenix, AZ 85013

$900,000

4 Beds

4 Baths

3,672 SqFt

Status Active

MLS # 6740400

Property Type Single Family Residence

Price Type --

**BEST VALUE ON THE MARKET WITHIN 8 MILE RADIUS for a property this size*** Priced 200k below lowest comp, 300k-400k below bulk of comps** Great bones, buyer to put their finishes touches on this home! Yes there is also a guest house! New Plumbing, New Sewer lines & New Roof in 2021, 3 new HVAC units in 2017! Beautifully updated home on a massive lot in right in the heart of central Phoenix with an entire separate guest house! An absolute prime location! Trendy restaurants in every direction! Minutes to the stadiums for sporting events! Beautiful white quartz countertops with a modern black backsplash! Bathrooms are also appointed with beautiful modern finishes as well!! Home is priced well below comps, buyers may need to put there finishing touches on the property. Come see us today

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40718 N Copper Basin Trail Phoenix, AZ 85086

$900,000

4 Beds

2.5 Baths

3,484 SqFt

Status Active

MLS # 6765827

Property Type Single Family Residence

Price Type --

Spectacular single level living in the heart of Anthem, with a neighborhood park just steps away. This property brings together a flexible, open & entertaining floor plan on sitting on expansive lot. The spacious courtyard entry leads to formal living & dining space with large picture windows for lots of natural light. Generously sized family room with fireplace is open to nicely appointed chef's kitchen with beautiful granite, stainless appliances & a large casual dining area with bar seating, providing multiple gathering spaces. Owners' retreat is large yet intimate, with an elegant bath featuring soaking tub, split vanities & a large closet. Three additional guest rooms, full bathroom, powder room, & a den/office or flex room round out this floor plan. In addition, there is a spacious laundry room with sink, plenty of cabinetry & a tandem 4 car garage. Outside, retreat to the back yard, where you can enjoy an afternoon basketball game, grilling with friends, or winding down with a glass of wine under the mature landscaping or expansive covered patio. All of this along with the incredible amenities that Anthem offers. Welcome Home!

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15186 W Tierra Buena Lane Surprise, AZ 85374

$900,000

3 Beds

2 Baths

1,232 SqFt

Status Active

MLS # 6764424

Property Type Single Family Residence

Price Type --

Wow! A true gem nestled in the heart of Surprise, offering a lifestyle of tranquility and convenience, coupled with the unique appeal of horse-friendly amenities and a charming long driveway.! You have to see this property! No HOA, 1.939 acre lot, Includes Next generation living spaces with mother-in-law suites including private entrance and kitchenettes!

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14219 E Dove Valley Road Scottsdale, AZ 85262

$900,000

4 Beds

3 Baths

3,112 SqFt

Status Active Under Contract

MLS # 6730561

Property Type Single Family Residence

Price Type --

Exquisite Luxury Living with Unrivaled Views Welcome to this exceptional, nearly new residence that is proudly Energy Star Certified. Nestled in an exclusive enclave, this home offers an unparalleled lifestyle experience with breathtaking 180-degree panoramic views of Four Peaks, Weavers Needle, and the majestic McDowell Mountains. Step into the heart of this architectural masterpiece and be captivated by the open Great Room floor plan, designed for both elegant entertaining and serene relaxation. The stunning chef's kitchen is a culinary dream, featuring a custom cabinet-front Wolf six-burner stove with a striking stone surround, a top-of-the-line Fisher & Paykel dishwasher, and a luxurious porcelain farmhouse sink. ((MORE)) The custom media wall with a modern fireplace creates a warm and inviting ambiance, seamlessly complemented by the expansive 4-panel sliding glass door that opens to the outdoor oasis. Here, you'll find a vast 800-square-foot covered back patio, perfect for al fresco dining or simply taking in the awe-inspiring views. Retreat to the indulgent master suite, where high-end finishes and a spa-like bath offer a sanctuary of relaxation. The suite boasts soaring 10-foot flat ceilings adorned with elegant wood beams, solid wood interior doors throughout, and a striking high-end custom iron front door that makes a grand statement. Enjoy year-round luxury with the heated pool and spa, designed for ultimate comfort and leisure. This home epitomizes sophistication and modern luxury, offering a lifestyle that is truly extraordinary. Don't miss the opportunity to make this unparalleled residence your own. Features: Age: 3 years old Energy Star Certified 180-Degree Views: Four Peaks, Weavers Needle, McDowell Mountains Great Room Floor Plan Chef's Kitchen: Custom Cabinet-Front Fridge & Freezer, Wolf Six-Burner Stove with Stone Surround, Fisher & Paykel Dishwasher, Porcelain Farmhouse Sink Custom Media Wall with Fireplace 4-Panel Sliding Glass Door Master Suite: Expansive with Spa-Like Bath Ceilings: 10 ft with Wood Beams Covered Back Patio: 800 Sq Ft Interior Doors: Solid Wood Front Door: High-End Custom Iron Outdoor Amenities: Heated Pool & Spa

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19746 W Montecito Avenue Litchfield Park, AZ 85340

$900,000

6 Beds

4.5 Baths

3,371 SqFt

Status Active

MLS # 6744299

Property Type Single Family Residence

Price Type --

Entertainers Dream! Discover highly COVETED VERRADO. 6 Bedrooms (2 on main floor) 4.5 Bathrooms Exquisite living spaces inside and out. Year -round relaxation awaits in the backyard oasis featuring a Heated New Pebbletec pool and cooking cabana. Misters, privacy, shade and fun! Chef's Culinary Cooking dream exists inside and outside with an abundance of cabinets and storage including separate coffee bar and wet bar. Owned Solar for peace of mind when you need it. Verrado is known for its strong sense of community, Beautiful picturesque streetscapes with lush parks, resort style pools, championship golf clubs, playgrounds, farmers markets, outdoor concerts and active lifestyle with close knit charm. Bring your offer today so you can be Home for the HOLIDAYS

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2703 N Sterling -- Mesa, AZ 85207

Open House

$900,000

5 Beds

3.5 Baths

3,310 SqFt

Status Active

MLS # 6739036

Property Type Single Family Residence

Price Type --

360 DEGREE VIEWS! MOUNTAIN, CITY LIGHTS, SUNSET & SUNRISE VIEWS! Come see this gorgeous home on a quiet cul-de-sac in the master planned golf course community of Las Sendas. Pride of ownership. 5 bedroom 3.5 baths. Beautiful entry, open concept floor plan. Classic kitchen, granite countertops, SS appliances opens to family room w/ gas FP & informal dining area all overlooking a stunning back yard. 1st floor Flex room showcases 14 ft ceilings & private exit. Perfect in-law space, office or game room with wine bar & walk-in closet. Private owners suite offers mountain views w/ access to decks stunning views. Upgraded primary bath includes quartz vanities, custom cabinetry, a super sized walk-in shower & a Lg walk-in custom closet system. Three other lg bedrooms, oversized loft, walk in & beautifully remodeled bath. Backyard is a perfect entertaining backyard. Extended covered patio, pool, spa (privacy shade)and lush landscaping. Stairway to a viewdeck off the owners suite which extends around for sunset & city light views. 3 car garage w/ epoxy flooring. Las Sendas offers excelling schools, clubhouse, heated pools, spas, tennis, pickleball, fitness center, parks & many social events. Close to dining, shopping & freeways. Quick access for hiking, lakes & Tonto National Forest. Las Sendas Golf Course offers challenging golf with stunning views. Fine dining restaurant and an event center.

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40912 N Club Pointe Drive Anthem, AZ 85086

Open House

$900,000

4 Beds

3.5 Baths

3,304 SqFt

Status Active

MLS # 6754511

Property Type Single Family Residence

Price Type --

Welcome Home! There is so much to appreciate about this spectacular HOME in Anthem Golf & Country Club. Elegant stone flooring throughout adds charm and appeal. The kitchen features granite counters, backsplash, pendant lighting, breakfast bar, butler's pantry, stainless steel appliances & gas stove. Open family room with fireplace is perfect for relaxing or entertaining. Separate office for a quite place to work . Spacious owner's suite is a retreat with a slider to the outdoors, double sinks, walk-in shower, and a huge walk-in closet. The updated en-suite bathroom is a luxurious touch. Step outside onto the extended stone patio and enjoy view of Daisy Mountain and beautiful sunsets. Situated next to a desert wash and backs to the golf course. Low maintenance landscaping in a tranquil setting. Don't miss this opportunity to make this place HOME! Experience Exceptional living in Anthem Country Club featuring two of everything; Clubhouses with dining, championship golf courses, fitness centers, tennis facilities, swimming pools and pickleball courts.

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5120 N Juniper Loop Pine, AZ 85544

$899,999

4 Beds

3 Baths

3,068 SqFt

Status Active

MLS # 6736268

Property Type Single Family Residence

Price Type --

Escape the city chaos and dive into nature's bliss in charming Pine, AZ! Picture this: a spacious 4 bedroom 3 bathroom, 3068-sqft haven nestled among towering trees, views that go on and on, boasting a sleek driveway and a 2-car garage. This beauty flaunts a mix of classic mountain charm with modern flair. Step inside to a level entry airy layout blending the living room, dining area, and kitchen. Cozy up by the fireplace in the living room or step out onto the balcony for breathtaking views. Glide into the kitchen with its earthy Indian Marble counters and top-notch appliances. The main entry floor houses a bedroom, bathroom, kitchen, living room, easy garage access and a beautiful deck with amazing views. Journey downstairs to a snug family room with its own fireplace, a lower-level patio with mountain vistas, a kitchenette, bedroom, bathroom, and laundry room. Upstairs, the master bedroom boasts an en-suite, alongside a fun sitting/game room and one more bedroom. Ascend to the office/sitting room with a deck offering jaw-dropping mountain panoramas. This gem features central HVAC, surround sound, a new roof, and easy access from two different streets (Juniper Loop &/or Spring Trail) - Spring Trail entry is nestled in a cul-de-sac. A dreamy mountain retreat awaits you!

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5909 W Fetlock Trail Phoenix, AZ 85083

$899,999

4 Beds

3 Baths

2,894 SqFt

Status Active

MLS # 6776795

Property Type Single Family Residence

Price Type --

AMAZING mountain views in an exclusive setting! Situated on a premium cul-de-sac lot surrounded by natural open space and only one neighbor. You'll love the resort-like backyard, terraced fountain, green grass, and heated ''spool'' (spa pool). Sit back and relax, enjoy your favorite beverage, and appreciate the natural beauty of Arizona. Home is exceptionally well-maintained with a newer roof (2019). Very private with a spacious interior, 10' ceilings, and great split floorplan. Upgrades include hardwood plantation shutters and beautiful custom cabinetry in the primary bedroom closet. Plenty of room for your autos and toys in the extended 3-car garage.

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2636 E Lupine Avenue Phoenix, AZ 85028

$899,999

4 Beds

2.5 Baths

2,893 SqFt

Status Active

MLS # 6754003

Property Type Single Family Residence

Price Type --

Make yourself at home in this beautiful 4-bedroom haven showcasing a sparking pool! Displaying a 2-car garage and RV gate. Once inside, you'll immediately notice tile flooring, tall vaulted ceilings, graceful archways, plantation shutters in some windows, stylish light fixtures, and skylights allowing bountiful natural light. You'll have a formal dining room and a spacious great room enhanced by a floor-to-ceiling stone fireplace and a wet bar. The kitchen offers SS appliances, plenty of cabinetry, and a breakfast nook w/a lovely bay window. Romantic primary retreat includes plush carpet, AZ room access, an ensuite w/dual sinks, and a walk-in closet. Don't forget about the HUGE AZ room w/French doors! Easy-care backyard provides a diving pool and a storage shed. This gem has it all! Enclosed living Arizona room is included in the square footage, as well as a bonus room. This is a property that you want to see in person before is gone!

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2200 N Kimberlee Road Tucson, AZ 85749

$899,999

3 Beds

2 Baths

2,308 SqFt

Status Active

MLS # 6762522

Property Type Single Family Residence

Price Type --

Rare opportunity for a 5+ acre Ranch home with SR Zoning on the east side of Tucson (East of Tanque Verde Road & Houghton) Property consists of a three Bedroom one Bathroom home, one Bedroom one Bathroom Guest House, Private Court Yard, Office, Barn, Stables, 220' long by 150' wide Arena, Private Well plus City Water, Septic plus Sewer Connection available and so much more! Would make a perfect place for a Veterinarian, Farm, Airbnb, Wedding Venue, Business start up, even that family ranch home you've always wanted!

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