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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4754 E Valley Vista Lane
Paradise Valley, AZ 85253
$4,449,000
5
Beds
5
Baths
5,129
SqFt
Status
Active
MLS #
6735878
Property Type
Single Family Residence
Price Type
--
Arizona living at its finest. An artistically inspired estate with gated privacy and iconic Camelback Mountain views. Showcasing botanical specimens and a variety of mature trees, the resort backyard, lush setting and huggable mountain views, make for an unparalleled Paradise Valley experience. Two master suites, two guest rooms, an office and separate enclaves make for relaxed living throughout the home. The artistic attention to detail is unsurpassed. Antique hand carved doors in both the interior and exterior, exemplary painted touches throughout and a flowing floor plan make this a truly signature home. The private approach & secondary entrance highlight the cobble stone circular driveway and water features. This unique home and its stellar setting form an entertainer's delight. Photography to be updated to reflect current changes in home.
6521 E Paradise Drive
Scottsdale, AZ 85254
$4,400,000
6
Beds
7.5
Baths
6,217
SqFt
Status
Active
MLS #
6768401
Property Type
Single Family Residence
Price Type
--
Stunning NEW Desert Modern Masterpiece by Thomas James Homes! This pre-construction residence offers a unique opportunity to customize some interior finishes during the early construction phases. Discover the epitome of luxury living in one of Scottsdale's most desirable neighborhoods. Situated on over an acre of pristine land, this expansive single-level home offers 6 bedrooms, 7.5 bathrooms, and an array of exceptional features that combine modern elegance with practical living. The thoughtfully designed interior showcases wide plank wood flooring, custom lighting, and a floor-to-ceiling fireplace that serves as a dramatic centerpiece. The gourmet kitchen boasts high-end finishes like a pot filler, warming drawer, double dishwashers, and more. An attached pool house adds to the resort-like ambiance, and the 4-car garage ensures ample space for vehicles and storage. Step outside to fully landscaped front and back yards, complete with a luxurious pool and spa perfect for Arizona's outdoor lifestyle. The home is just minutes from fine dining, shopping, and entertainment, offering both convenience and exclusivity. With the opportunity to customize certain interior finishes, this is your chance to make your dream home a reality. Estimated completion: Late 2025.
17444 N 79th Street
Scottsdale, AZ 85255
$4,400,000
3
Beds
3
Baths
2,891
SqFt
Status
Active
MLS #
6753761
Property Type
Single Family Residence
Price Type
--
NEWLY BUILT STATE-OF-ART LUXURY HOME located on the very FIRST HOLE of the TPC SCOTTSDALE STADIUM COURSE home of the WM Phoenix Open with an unobstructed line of sight to the 'Greatest Show on Grass'. ONE-OF-A-KIND Alcazar at Scottsdale Princess masterpiece newly constructed from the foundation up with no expense spared. This nearly 3,000 sq ft exquisite property features 3 nicely sized bedrooms, 3 full baths (inclusive of en-suite style guest room), open concept floor plan with 12' ceilings, state-of the-art technology, climate-controlled garage, this gated private enclave of just 38 custom homes is sure to satisfy the most discerning of tastes and is an epitome of perfection NOT TO BE MISSED.
10792 E Sundance Trail
Scottsdale, AZ 85262
$4,400,000
4
Beds
4.5
Baths
5,721
SqFt
Status
Active Under Contract
MLS #
6775067
Property Type
Single Family Residence
Price Type
--
FULL GOLF MEMBERSHIP AVAILABLE PER CLUB BYLAWS! This Southwest Custom Contemporary home has style and design features that are unique and desirable. The moment you step into the home your gaze is drawn across the living rom and pool area to the fairway and distant mountains. A very livable floor plan with a split master and a full guest casita. The auto court leads to a 4 car garage with enough space to include your golf cart and plenty of storage. Tour this amazing home and you'll see the quality of construction and style. The home is fully furnished and ready to move right in.
6418 E Turquoise Avenue
Paradise Valley, AZ 85253
$4,400,000
5
Beds
5
Baths
5,534
SqFt
Status
Active
MLS #
6787756
Property Type
Single Family Residence
Price Type
--
This 8 bedroom and 6 badrooms gorgeous property presents itself as an attractive option for those seeking a home in an environment that combines comfort, modernity, and a prime location. The property stands out for its contemporary and functional design. With architecture that emphasizes natural light and open spaces, this house offers a sense of spaciousness and warmth. Common areas, such as the living room and kitchen, are designed to foster family and social interaction, while high-quality finishes ensure durability and style. One of the main attractions of this property is its location. Situated in a quiet and well-established neighborhood, is close to quality schools, parks, and shopping centers. This accessibility to services and recreational activities not only enhances the quality of life for its resident, but also adds long-term value to the investment..
5518 N Quail Place
Paradise Valley, AZ 85253
$4,400,000
8
Beds
8.5
Baths
9,442
SqFt
Status
Active
MLS #
6470008
Property Type
Single Family Residence
Price Type
--
Welcome to this stunning Mediterranean estate in a prime Paradise Valley, Arizona location. This expansive 2-story estate sprawls out over 1.1 acres. The 8Bd/8.5Ba estate features a library, den/office, sunroom, gym, theater, and your very own elevator. Gated motor court accented by towering palm trees and mature easy to maintain foliage. As you enter the threshold and step into the grand entry hall you will be awed by pillared accents, custom flooring throughout, magnificent living room featuring a jewel of a fireplace, oversized windows, and beautiful crystal chandeliers throughout. Elegant formal dining room, spectacular kitchen with rich hardwood cabinetry, sparkling jet-black granite, cabinet-faced cold-storage units, and a gas range. The family room features a gas fireplace, wet bar perfect for entertaining guests and whisper-quiet sliding doors that lead out into the courtyard. Soak in the relaxing views from the atrium-style sitting room or unwind in your own lush home theater with stadium style seating. Dramatic staircase ascends to the loft-library and balconied bedrooms. Primary suite features a two-way fireplace, posh private bath, and a cocktail veranda overlooking beautiful Camelback Mountain views. This estate also provides a fitness room/dance studio with mirrored wall as well as a very private in-law suite with a full kitchen. Sizable backyard with a lush lawn, putting green and stone pathways to a gazebo complete with a barbecue. Plenty of space for a resort style custom designed sparkling pool and and additional personalized amenities you desire. 4-Car Garage with plenty of storage. Come in today and discover what this truly special move-in ready estate has to offer.
8517 N 48th Place
Paradise Valley, AZ 85253
$4,400,000
4
Beds
4
Baths
4,118
SqFt
Status
Active
MLS #
6703221
Property Type
Single Family Residence
Price Type
--
This stunning, classic mid century home, originally designed by noted mid century architect Albert Anderson. and additionally designed by James Kotke sits in an oasis of tranquility in Paradise Valley. With mountain views and lush desert landscaping surrounding the home, the walls of glass allow the spectacular surroundings to become part of the living space. Enter into a private courtyard with a fountain and specimen plantings and walk into an entry framed by mountain views. With a recently remodeled and expanded kitchen and primary bath, classic terrazzo floors, large expanses of glass walls and a multi car garage, this home is a perfect haven for those who demand the finest. This is a classic, timeless home for a sophisticated buyer who appreciates beauty and requires quality
6296 N Lost Dutchman Drive
Paradise Valley, AZ 85253
$4,400,000
4
Beds
4.5
Baths
4,392
SqFt
Status
Active
MLS #
6692691
Property Type
Single Family Residence
Price Type
--
PRICE IMPROVEMENT**SELLER MAY CARRY***Spectacular Camelback Mountain Views are laying at your patio at expansive pocket doors in this low maintenance recently highly updated home in The Village at Mountain Shadows. MANNED guard gated - and newly installed EDGE wireless alarm system - operate from your cell phone or IPAD. Block constructed home w/contemporary styling with state-of-the art updates: Wolf Gas Range/Beverage Cooker/SubZero Drawers/Miele Coffee Maker/Steam Oven/Warming Drawer/Scottsdale Icemaker/Waterstone Endeavor Wheel pulldown faucet. Kitchen opens to expansive windows that open to pull up courtyard bar for wrap around patio entertaining. Dining Room/Handmade Hillard GLASS chandelier - conveys. Relax and unwind in sumptuous primary suite & primary bath/FIRST FLOOR .... Robern lit medicine cabinets/custom cabinetry/WI shower with new showerhead/towel bars/Toto Washlet water closet/WI closet w/custom cabinetry/addt'l custom storage cabinetry. So many details and customizations: Temperature controlled wine cellar/sunshades with wind/sensor remotes/Minka Ceiling Fans & remotes/flex room coffee snack bar with Subzero refrigerator drawers/upgraded kitchen cabinet hardware/whole house water filtration system/firepit/air conditioned 3-car garage w/EV outlet/workbench/epoxy floors/storage cabinetry. Laundry w/Miele washer/dryer/folding counters & Sink. ELEVATOR is conveniently located! NEWLY LANDSCAPED LOW MAINTENANCE YARD - WITH PUTTING GREEN & large privacy trees! PLEASE VIEW OUR HD VIDEO FOR A SPECTACULAR VIEW OF THIS CUSTOM HOME!
4849 N Camelback Ridge Road
Scottsdale, AZ 85251
$4,395,000
3
Beds
4
Baths
3,166
SqFt
Status
Active
MLS #
6552945
Property Type
Apartment
Price Type
--
This 3 bedroom, 4 bath residence features an open concept floorplan and beautiful views of Camelback Mountain. Ascent is a new, private gated community adjacent to The Phoenician Resort, one of Arizona's premier luxury resorts. Ascent presents a new level of luxury living with views overlooking the Phoenician & Camelback Mountain. Home designs feature contemporary architecture integrating warm, natural materials, floor to ceiling windows and stacking door systems opening to very large outdoor patios. Thoughtfully designed by Nelsen Architects and Vallone Interior Design. Luxury finishes include exquisite bulthaup Kitchens, wood flooing, Sub Zero-Wolf appliances, Waterworks fixtures. A private rooftop terrace & the Mountain Club pool and fitness facility are amenities homeowners will enjoy
8145 N 68th Street
Paradise Valley, AZ 85253
$4,395,000
6
Beds
6
Baths
5,875
SqFt
Status
Active
MLS #
6790051
Property Type
Single Family Residence
Price Type
--
Welcome to 8145 N 68th Street in The exclusive Camelback Country Club. This timeless Santa Barbara style home has a subtle Spanish influence with hand painted tiles in secondary bathrooms and stunning brick floors. Smooth plaster walls and gorgeous wood flooring complement the simplicity of decoration. High ceilings, arched windows, beautiful built-ins, wood burning fireplaces, French doors to the outside, and lovely ironwork add to the authentic feel of this fine home. With a gorgeous updated kitchen and primary suite, you will feel like you are staying in a beautiful European retreat. 4 additional bedrooms provide plenty of space for family and friends. There is a wonderful office, separate study, elegant living room, and a family room open to the kitchen. Patios and courtyards abound and elevate your sense of calm with the sound of trickling water from carved, canterra fountains. The guest casita would be lovely for long term guests, or as a fabulous playroom/man cave. The fully tiled pool is heated for year round enjoyment. The grounds are something to behold with lush grass, mature trees and gorgeous flower beds. A large covered patio with a built in BBQ is conveniently located right off of the kitchen. With a 4-car garage and circular driveway, this home checks all of the boxes.
10287 E Diamond Rim Drive
Scottsdale, AZ 85255
$4,395,000
4
Beds
4.5
Baths
4,767
SqFt
Status
Active
MLS #
6698382
Property Type
Single Family Residence
Price Type
--
Nestled in the desirable Horseshoe Canyon neighborhood of prestigious Silverleaf, this beautifully remodeled Ranch Hacienda-style home offers both incredible curb appeal and a prime location. Situated near the 2nd fairway and just blocks from the Silverleaf Clubhouse, this residence enjoys a serene setting, fronting a natural preserve and within easy reach of several community parks. The open floor plan includes a spacious great room with pocket doors that lead to a charming courtyard, complete with a covered patios, pool, ramada, and BBQ center, creating an ideal space for indoor-outdoor living. The kitchen has been completely remodeled with high-end appliances, featuring a Sub-Zero fridge, Wolf ovens, a Viking range, sleek new Quartzite countertops, and updated iron light fixtures tie it all together. The private Master retreat offers a bonus room and a balcony that showcases breathtaking views of the McDowell Mountains and city lights. The primary bath has been completed transformed, highlighted by the marble flooring and wall detailing. In addition to the primary suite, there are three guest suites, strategically split for added privacy. All bathrooms have been remodeled, providing a fresh and modern touch throughout the home. Office/media room is conveniently located on the main floor, close to the kitchen, offering a great retreat from the living areas. This updated home in Silverleaf's Horseshoe Canyon truly combines luxury, comfort, and a superb location. Silverleaf features guard gated privacy and timeless architecture in a stunning mountain setting. The community features world-class golf, spa and clubhouse facilities while conveniently located just minutes from hiking, shopping, dining and the Loop 101.
15827 E Firerock Country Club Drive
Fountain Hills, AZ 85268
$4,390,000
4
Beds
5
Baths
7,079
SqFt
Status
Active
MLS #
6754629
Property Type
Single Family Residence
Price Type
--
Experience the epitome of luxury in this newly remodeled home located in the prestigious Fire Rock Country Club. With breathtaking panoramic views of Red Mountain, sweeping cityscapes, and pristine golf course vistas that include the number 16 green and fairway and number 17 tee boxes and green, this property offers the ultimate in serene living. Designed for convenience, this home features all main-level living, ensuring both elegance and accessibility. Whether relaxing in your expansive living spaces or enjoying the tranquil beauty of the surrounding landscapes, this home embodies refined comfort in an exclusive golf community. Pictures do not do this home justice, it's a MUST SEE! Sellers open to a quick close, long close or even a sale leaseback!