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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12220 E Alameda Road Scottsdale, AZ 85255

$3,794,995
3 Beds
3.5 Baths
4,365 SqFt
Status Active
MLS # 6749244
Property Type Single Family Residence
Price Type --
THIS OPPORTUNITY WON'T LAST, BUT THE VIEWS WILL! Move in Ready home on over 4 Acres. This beautiful pre-designed home with luxurious upgrades throughout. The award-winning Mayne home design was made for entertaining. This single level home showcases an open floor plan with elevated ceiling heights in the main living spaces. The gourmet kitchen is a chef's delight with upgraded cabinets and designer stainless steel appliances including a Wolf 48'' G Pro Range, 48'' Custom Decorative Kitchen Hood, JennAir Ice Maker, Sub-Zero 24'' Beverage Center, Sub-Zero 24' Wine Column, and a 30'' Column refrigerator and 30'' Column Freezer. Spacious great room features a 60'' Mezo fireplace and a 20' multi-stacking pocket door. Oversized bonus room with access to covered patio. Casita with living and bat

19627 N 101st Street Scottsdale, AZ 85255

$3,775,000
5 Beds
5.5 Baths
4,533 SqFt
Status Active
MLS # 6683085
Property Type Single Family Residence
Price Type --
This Canyon Villa, nestled within the prestigious guard-gated enclave of Silverleaf and masterfully crafted by the renowned Bing Hu, characterizes luxury living. Boasting 5 bedrooms and 5.5 bathrooms, 4,533 square feet, this residence offers a blend of sophistication and comfort. The expansive great room is accentuated by charming wood beam ceilings, creating an inviting ambiance that seamlessly flows onto the covered patio. Whether hosting indoor gatherings with friends or enjoying serene evenings outdoors while the sunset casts a golden glow over the McDowell mountains, this space offers spectacular views, making it the perfect setting for every occasion. Thoughtfully updated, this home features a Chef's kitchen, Bifold doors, new wood flooring throughout adds warmth and elegance to every corner of this abode. Convenience and privacy define the main level, which hosts a luxurious primary bedroom suite, office with views, open great room with vaulted ceilings providing a sanctuary of comfort and relaxation. Stepping into the front lushly landscaped courtyard, guests are greeted by a detached guest casita, complete with a heated pool and spa. Whether lounging poolside or enjoying a rejuvenating soak, visitors are treated to an unforgettable retreat experience. Silverleaf, located in North Scottsdale, Arizona, is a prestigious guard gated community known for its luxurious estates, exclusive golf courses, private Club and stunning desert landscapes. The Tom Weiskopf-designed Silverleaf Golf Course is a highlight for golf enthusiasts. With a blend of Spanish and Mediterranean-inspired architecture, the community offers a high standard of living, including upscale amenities like spas, fine dining, and exclusive shopping. Residents enjoy a harmonious balance between modern luxury and the natural beauty of the desert environment, making Silverleaf a sought-after destination for those seeking an exceptional lifestyle in North Scottsdale.

5625 E Indian Bend Road Paradise Valley, AZ 85253

$3,765,000 - 4Br/3Ba -  for Sale in Club Estates 2, Paradise Valley
New
$3,765,000
4 Beds
3 Baths
3,887 SqFt
Status Active
MLS # 6777361
Property Type Single Family Residence
Price Type --
Welcome to Arizona's oceanfront property, featuring breathtaking, head-to-tail unobstructed views of Camelback Mountain. Nestled on Mummy Mountain and adjacent to a private reserve, this exquisite single-level residence offers the perfect blend of luxury and tranquility. With four spacious bedrooms and three beautifully appointed baths, this home provides ample space for family and guests. The primary suite includes a cozy sitting room with a gas fireplace, while the inviting family room features a second gas fireplace, perfect for gatherings. Elegant formal living and dining areas create an ideal setting for entertaining, complemented by a gourmet eat-in kitchen equipped with a Gaggenau induction cooktop and Sub-Zero refrigerator. Elegant tile and wood flooring enhance the home's... sophisticated ambiance. Accessing this mountain retreat is easy, thanks to the convenient driveway that ensures effortless entry. Step outside to your private pool surrounded by lush landscaping, with a spacious terrace perfect for enjoying the stunning mountain and city views. This extraordinary property embodies the essence of Arizona living, offering comfort, elegance, and natural beauty. Dont miss your chance to own this exceptional Paradise Valley gem.

12265 E Troon Vista Drive Scottsdale, AZ 85255

$3,751,995
5 Beds
5.5 Baths
4,682 SqFt
Status Active
MLS # 6668733
Property Type Single Family Residence
Price Type --
Don't miss this opportunity to live in Scottsdale's most desirable location, the picturesque, and award winning community of Sereno Canyon. Nestled against the McDowell Mountain preserve, with Sonoran desert views and close proximity to hiking trails. This open floorplan includes a casita with an exterior and interior entry, wet bar, and has enough room for bedroom and living space. The kitchen great room opens to a large covered patio with a 20' 90 degree corner door that pockets into the wall and brings the outside in. Chefs kitchen including two quartz islands for entertaining, SS Wolf Pro Line including a 48'' smart range, wall oven, and Sub-Zero 48'' side by side built refrigerator. 14' ceilings in the main living area. All bedrooms are en-suite with WIC. 10 year warranty included.

20 Sierra Roja Circle Sedona, AZ 86351

$3,750,000
5 Beds
5 Baths
5,355 SqFt
Status Active
MLS # 6743613
Property Type Single Family Residence
Price Type --
2.09 Acre Compound/Getaway Retreat and/or Incredible Investment Opportunity minutes away from Red Rock Crossing! DEAD-ON views of the iconic Cathedral Rock upon entering property. EXTENSIVE2024 REMODEL of this Craig Stromme masterpiece features a Stunning transformation of rustic meets contemporary with subtle hints of the Southwest. SINGLE LEVEL LIVING perfect for Multi-generational living and/ or work from home with multiple options for office/home gym/yoga/game room/bar/ art studio. AWESOME RED ROCK VIEWS from every room & from the open exterior center Courtyard. IMPRESSIVE Interior of main home boasts10ft ceilings adorned by multiple glass sliders and windows create an inviting, open, bright and airy living space. Coffered ceilings with dazzling chandeliers adorn the SPACIOUS dining room and kitchen. Create your favorite Culinary delights in the HUGE chef's kitchen boasting white quartz countertops, massive center island with built-in Smart convection/microwave combo and two beverage fridges, White Café Appliances, including commercial grade 6-burner propane cooktop with brushed copper hardware, soft close cabinet doors, farmhouse sink, lower level cabinets w/ pullouts and two breakfast bar/serving areas. Primary bedroom suite has HUGE bath including elongated walk-in tiled shower with two oversized rain shower heads and two hand-held wands, soaking tub, dual vanities with Oversized Smart mirror. Continue down the Grand Hallway and enjoy your art collection displayed in a custom niche cluster on the way to two cozy guest bedrooms with shared bath. Attached Guest Casita across courtyard includes spacious ensuite bedroom w/ separate entrance, a HUGE Studio/Game Room/Office Area with large wet bar w/ dual beverage fridges and an adjoining Guest Suite with kitchenette/dining combo, perfect for a live in caretaker/property staff with separate entrance. Two HUGE 600 sf garages with 12 ft ceilings with one side open to the courtyard. Use one for vehicles and the other as an open-air shaded relaxation area complete with Red Rock Views OR put in a pickelball court! Plenty of space for all your toys and acreage to build an oversized RV Garage and/or shelter paddocks for horses. An Entertainer's Dream Home, take the party outside for good times in the spacious 2,640 sf courtyard complete with heated and lighted lap pool, adjoining hot tub, sunken sitting area with firepit and trellised BBQ Station with SS Blaze Grill w/ prep sink, built-in fridge and storage. Prime Location offers a hiker's paradise with Red Rock Crossing and Baldwin Trail just minutes away. Enjoy world-class golf, shops, dining, galleries, and amenities within a two-minute drive. This extraordinary property offers a unique blend of luxury, functionality, and natural beauty. Schedule your showing today to explore this magnificent estate and make it your own. Welcome Home! Additional Features include: · Custom cabinetry throughout · 3- ft wide doors throughout · 2 Bosch tankless water heaters, · 2 Green Energy RHEEM A/C Gas Pack Units · Climate-controlled storage with built-in shelves · Sierra Pacific aluminum clad wood low-E windows and doors · Roof Professionally coated and sealed in 2024, · New 2,000-gallon septic system installed in 2024. · Sprinkler System for Fire Safety Overview: Discover your personal and private oasis in unincorporated Sedona with this breathtaking 2.09 acre estate and getaway retreat, offering stunning unobstructed views of the iconic Cathedral Rock. Just minutes from Red Rock Crossing, this custom built Craig Stromme masterpiece was completely remodeled in 2024 with high-end finishes throughout, seamlessly blending rustic charm with contemporary elegance and subtle hints of the Southwest. Ideal for the private professional, multi-generational living, large families, a versatile work-from-home space, or fantastic investment opportunity. Property Features: Spectacular Views: Every room in the main home and the open exterior center courtyard boasts awe-inspiring Red Rock views, ensuring an ever-present connection to nature's beauty. Single-Level Living: Perfect for easy accessibility and multi-generational living, this home features a thoughtfully designed floor plan with numerous spaces adaptable for office, home gym, yoga studio, or art studio. Grand Interior: Step into a bright and airy space with 10-ft ceilings, multiple glass sliders, and windows. The spacious dining room and kitchen feature coffered ceilings adorned with dazzling chandeliers, creating a stunning visual impact. Chef's Kitchen: The expansive kitchen is a culinary delight, showcasing white quartz countertops, a massive center island with built-in smart convection oven microwave combo and two beverage fridges, and premium commercial grade appliances. A 6-burner propane cooktop with pot filer and brushed copper hardware, soft-close cabinets, farmhouse sink, and dual breakfast bars offer both functionality and style. Luxurious Primary Suite: The primary bedroom suite includes a lavish bath with an elongated walk-in tiled shower featuring dual oversized rain shower heads and handheld wands, a soaking tub, dual vanities with an oversized smart mirror, and ample closet space. Guest Accommodations: The attached guest casita across the courtyard offers a spacious en-suite bedroom with a separate entrance, a huge studio/game room/office area with a wet bar and dual beverage fridges, and an adjoining guest suite with kitchenette and dining comboperfect for live-in caretakers or property staff. Courtyard Oasis: The 2,640 sq ft courtyard is an entertainer's dream, complete with a heated lap pool with bench seating, therapeutic spa, sunken sitting area with a gas firepit, and a trellised BBQ station featuring a stainless steel Blaze Grill with prep sink, built-in fridge, and ample storage. Four Car Garage: Two massive 600 sq ft garages with 12 ft ceilings and LED honeycomb lighting with one side open to the courtyard. Use one for vehicles and the other as an open-air shaded relaxation area complete with Red Rock Views. Plenty of space for all your toys. Outdoor Space: Ample room for all your recreational needs, including space for an oversized RV garage, paddocks for horses, and shaded relaxation areas with Red Rock views. Prime Location: A hiker's paradise with Red Rock Crossing and Baldwin Trail just minutes away. Enjoy world-class golf, shops, dining, galleries, and amenities within a two-minute drive. Additional Features: Custom cabinetry throughout; Two Bosch tankless water heaters; 2 Green Energy RHEEM A/C Gas Pack Units- 2 Zones; climate-controlled storage with built-in shelves; Sierra Pacific aluminum clad wood low-E windows and doors; professionally coated and sealed roof in 2024; all doors are 3 ft wide; New 2,000 gallon septic system installed in 2024. This extraordinary property offers a unique blend of luxury, functionality, and natural beauty. Contact us today to explore this magnificent estate and make it your own!

10224 N Azure Vista Trail Fountain Hills, AZ 85268

$3,750,000
5 Beds
6.5 Baths
6,310 SqFt
Status Active
MLS # 6770517
Property Type Single Family Residence
Price Type --
Experience the pinnacle of sophistication with this meticulously designed home, positioned alongside the 7th fairway of FireRock private golf course. North-South facing home embraces both luxury and comfort! Open concept chef's kitchen with Viking and Bosch appliances, gas stove cooking, double ovens, staggered cabinets, walk-in pantry, center island, fireplace and plenty of mountain and golf views! Primary bedroom is privately situated on this level along w/2 guest bedrooms, den and laundry. Staircase leads to lower level with 2nd primary bedroom, guest bedroom, 2nd family room, wet bar, wine room, theater, game room. Extend your party to the backyard resort featuring large covered patio, contemporary pool and spa, gas grill, gas fire pit, travertine patio and spectacular sunsets! AC/WATER HEATERS/ROOF Water heater main level - Gas, 50 gallon (2020) Water heater lower level - Electric, 50 gallon (2019) First floor hot water recirculation system for quick hot water at faucets & showers 5 AC units (2 main level / 2 lower level / 1 garage) AC garage Senville mini-split (2024) Roof original standing seam metal, flat foam resealed (8/2024) Santec high-end luxury faucets, shower systems and tub fillers For reference visit: Widespread Lavatory Set - Santec 3 Natural gas interior fireplaces (main living / lower living / main primary bedroom ) 1 Natural gas fire pit Home is Wired for Alarm System Including Flow Sensor in Fire Sprinkler System BEDROOMS/BATHS 5 bedrooms, 6 1/2 baths. Each bedroom has an en suite bath (3 main / 2 lower) 2 bedrooms are primary suites - one main level, one lower level. 1/2 powder bath is located on main level KITCHEN - VIKING APPLIANCES

1527 N Wickiup Road Apache Junction, AZ 85119

$3,750,000
5 Beds
4.5 Baths
4,525 SqFt
Status Active
MLS # 6769677
Property Type Single Family Residence
Price Type --
Horse Trainer, Team Roper or Barrel Racer's Paradise! This highly desired 8.5-acre lot at the base of the Superstition Mountains. Complete with a Center Isle Barn including 6 stalls plus outs, tack room, office, feed room and bathroom/storage room with washer and dryer hook ups. Outdoor you'll find an attentional 7 stalls. 4 of them are 20' x 15 ' fully covered with covered isle way and 3 stalls 12'x36' partially covered. This Income potential property gives you options like; boarding, team roping, gymkhana, barrel racing, etc.. Currently doing open team roping practice 2-3 days a week. It's the only team roping practice open to the public in the East Valley. 150'x280' lighted roping arena with sand. Chute Help automatic roping chute, lead up chutes and stripping chute.

5302 E Arcadia Lane Phoenix, AZ 85018

$3,750,000
5 Beds
3.5 Baths
5,235 SqFt
Status Active Under Contract
MLS # 6737865
Property Type Single Family Residence
Price Type --
One of the most desired addresses in Arcadia is this charming Santa Barbara style family home. Located on a private cul-de-sac adjacent to prestigious new custom homes, it has 5235 square feet of living space including 5 bedrooms and 4 bathrooms. As you step through the oversized main entry door you are welcomed into a formal living room and dining room with large windows overlooking the circular drive and large shade trees. The private study is accessed through tall arched wooden doors and has custom arched built-in bookcases and ceiling moldings. White oak flooring runs throughout the majority of the home. The gourmet kitchen is a chef's dream with knotty alder custom cabinetry, carved wooden door panels, top of the line appliances, a huge central island, hand hewn wooden beams and granite countertops. The powder room is beautifully designed Zellige tiles from Morocco. Off the kitchen, gather loved ones in the cozy family room warmed by a majestic stone fireplace and French doors overlooking the expansive backyard with views of Camelback mountain. The primary suite includes French doors leading to a covered patio and a spa-like bathroom with custom tile work, jetted tub, large shower, dressing area with lots of built-in storage and large walk-in closet. Four additional bedrooms, and three bathrooms ensure comfort and privacy for all. Additional features of this well maintained home include a large laundry room with flex space for work, school or crafting. There are 10 foot ceilings in the center of the home, a three car garage with tons of built-in cabinets. The backyard is a true oasis with a large diving pool as its centerpiece surrounded by two separate ramadas for relaxing or watching your favorite sporting event. There is a gas fireplace, fire pit which doubles as a table during the warmer months, and a built-in gas bbq. Spanning over 36,000 square feet there is plenty of land to spare for a pickleball court or guest house. This exceptional property embodies the true essence of Arcadia living, seamlessly blending indoor comfort with outdoor splendor. Truly a perfect place to call home.

6602 E Cheney Drive Paradise Valley, AZ 85253

$3,749,999
5 Beds
4 Baths
4,107 SqFt
Status Active
MLS # 6757875
Property Type Single Family Residence
Price Type --
CUSTOM CORNER LOT HOME WITH 5 BEDROOMS AND 4 BATHROOMS. BACKYARD WITH CANTERRA STONE PATIOS, RAMADA, LARGE FIREPLACE AND WITH WATERFALLS INTO THE POOL. LARGE MASTER BEDROOM WITH SITTING AREA AND FIREPLACE, CARRERA MARBLE MASTER BATH. BEDROOMS ARE A SPLIT FLOOR PLAN. NEW POOL MOTOR, POOL SWEEPER, GARBAGE DISPOSAL AND UPDATED WATERING SYSTEM.

37200 N Cave Creek Road Unit 1009 Scottsdale, AZ 85262

$3,700,000
3 Beds
3.5 Baths
4,556 SqFt
Status Active
MLS # 6564876
Property Type Single Family Residence
Price Type --
Desert Mountain GOLF Membership is available with this home. Stunning Cullum home at the Seven community at Desert Mountain. Light and bright great room floor plan that features three en-suites , additional family room and powder room. Expansive kitchen with large center island and is equipped with Subzero, Wolf and Cove appliances. A modern beautiful fireplace is a focal point in the great room. Expansive multi slide glass doors lead to a large covered patio. Enjoy great views of Renegade hole number 13, majestic mountains, and fabulous sunsets. Walking distance to the Seven clubhouse to enjoy dining, bocce ball, and the fabulous par 3 golf course. For more than three decades, Desert Mountain has been providing its Members with one of the world's finest year-round golf and lifestyle experiences. The Club's master plan was conceptualized by Taliesin Associated Architects, a firm founded by the legendary Frank Lloyd Wright, and designed to subtly harmonize with the magnificent natural landscape that surrounds the illustrious 8,300-acre property located in North Scottsdale Arizona. The Desert Mountain Club features Seven golf courses, seven clubhouses and nine different dining options from formal to casual. The Sonoran Fitness center and Spa offers the newest equipment and is staffed with top wellness and sports professionals, the expansive Fitness Center has everything you need for a total body workout, from muscle conditioning and flexibility to private personal training, group classes, and on-site physical therapy. The beautifully appointed Spa offers a wide range of services, including therapeutic massages, repairing facials, haircuts, color, and even acupuncture treatments.The 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. Members can enjoy spirited competition and socializing on six pickle ball courts. In addition Desert Mountain has a private trail system that borders the Tonto National forest and encompasses 20 miles of panoramic desert scenery and lush mountain flora. By two feet or two wheels, explore the eastern slope of the Continental Mountains, enjoy views for miles from the 4,100-foot summit that overlooks landmarks like Skull Mesa, Elephant Butte, and Harquahala Peak. Desert Mountain is proud to be distinguished by the Platinum Clubs® of America, considered as the most respected recognition in the private club industry. Every two years, clubs are judged for their history, ability to attract and retain exceptional members, and the experience delivered. Criteria include recognition, excellence in amenities and facilities, staff and professional services, quality and commitment of membership, governance and prudent fiscal management, adapting to changing times, and overall experience. Desert Mountain Club currently ranks #14 in the country on the 2021-2022 list, and is the highest ranking club in Arizona in the Country Club category.

10755 E Cholla Lane Scottsdale, AZ 85259

$3,700,000
5 Beds
4.5 Baths
5,363 SqFt
Status Active
MLS # 6760257
Property Type Single Family Residence
Price Type --
Beautifully renovated 5,300+ sqft estate in the Cactus Corridor on over an acre! This truly move in ready home features both cosmetic and mechanical upgrades. All new Trane AC units, all new energy efficient windows, new multi slide doors, new pool equipment, new pebble Tec, and fresh landscaping to name a few. The lavish interior includes features like real wood floors, soaring ceilings, new kitchen with high end appliances and custom cabinetry, and a fully stoked prep kitchen. The primary suite is truly a retreat with amenities like its own private sitting room, a fireplace, a luxurious bath, and its own laundry room. The primary bath offers sink sinks and a makeup vanity, a tiled shower with multiple shower heads and body jets, and a custom closet. This is truly a must see!

5905 E Camelback Road Phoenix, AZ 85018

$3,699,999
5 Beds
5 Baths
4,328 SqFt
Status Active
MLS # 6723071
Property Type Single Family Residence
Price Type --
Welcome to an exquisite estate nestled in the heart of Phoenix's prestigious Arcadia neighborhood. This luxurious residence offers an unparalleled blend of elegance, comfort, and modern amenities, making it the perfect retreat for discerning buyers. Ideally situated at the base of Camelback Mountain, this property boasts breathtaking mountain views and provides direct secured ally access to Arcadia's hiking trails, walking paths and bicycle rides. This expansive home features 5 spacious bedrooms and 5 elegantly designed bathrooms, ensuring ample space for family and guests. The open-concept floor plan with 3643 sqft in the main house includes a grand living room with soaring 12ft ceilings and cozy fireplace, a formal dining area, stunning hardwood floor, and a 685 sqft fully equipped kitchen in the guest house with a huge steam shower all designed for seamless entertaining. The gourmet kitchen is a chef's dream, complete with high-end Wolf and Viking stainless steel appliances, custom cabinetry, a large center island, and stunning porcelain countertops. The luxurious master suite is a private oasis featuring a spa-like ensuite bathroom with a soaking tub, a separate shower, dual vanities, and a huge walk-in closet. Step outside to your private backyard paradise, featuring a sparkling pool & spa, a covered patio with an outdoor kitchen, and meticulously landscaped grounds, perfect for relaxation and entertaining. This home also includes a home office/den, 3-car garage, RV Parking, security gate with intercom system, all TV appliances & furniture are included with the exception of the pool table and state-of-the-art smart home technology for modern convenience and security. Experience the epitome of luxury living, where every detail has been thoughtfully crafted to offer the ultimate in comfort and style. Come and discover all that this remarkable property has to offer.

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