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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23044 E Firestone Drive
Queen Creek, AZ 85142
$535,135
4
Beds
3
Baths
2,550
SqFt
Status
Active
MLS #
6731964
Property Type
Single Family Residence
Price Type
--
Amazing homesite with no behind neighbors. Ready for move in early fall. Home has 5 bedroom/bath plus office downstairs as well as 3 bedrooms and a loft upstairs. Home has upgraded white shaker cabinets, wood-look tile flooring, granite countertops and gas ss appliances. Please ask sales associate for financing incentive opportunities on this home.
8312 W Pioneer Street
Tolleson, AZ 85353
$535,000
5
Beds
3
Baths
3,244
SqFt
Status
Active
MLS #
6766319
Property Type
Single Family Residence
Price Type
--
This remarkable 3,244 sf Home w/ 5 Bedrooms, 3 Full Baths, Tandem Garage & preferred N/S Exposure is MOVE-IN-READY with fresh paint and brand-new carpet in neutral colors & many other improvements. Ground level is all Tile and the Open Floor Plan offers spacious Great Room, Guest Bedroom, full Bath, Utility Room w/ washer & dryer, Kitchen w/ center Island, plethora of work space & storage, large Dining & Family plus BONUS room for office/exercise/gaming. The Backyard w/ Concrete work, covered Patio & Storage Shed awaits personal touch. At the top of the staircase, enter the massive Primary Bedroom (27x19'), walk-in Closet, separate Tub/Shower, private WC, dual Sinks. Three (3) additional sizeable Bedrooms plus a 3rd full Bath complete the second floor. And don't forget the Mountain Views!
42988 W Misty Morning Lane
Maricopa, AZ 85138
$535,000
2
Beds
2.5
Baths
2,312
SqFt
Status
Active
MLS #
6751407
Property Type
Single Family Residence
Price Type
--
Welcome Home to your very own desert oasis in the Award Winning Active Adult Community of Province. This meticulously cared for home has a sprawling, oversized homesite with a serene park setting for enjoying those amazing Arizona sunsets. Spectacular outdoor space with an extended paver patio, tranquil water feature with mature landscaping offering a private outdoor living space perfect for entertaining. Inside this exquisite home you have 10' ceilings with elegant coffered ceilings at the front entry and the owner's suite. Luxurious cabinetry throughout with elegant granite countertops, custom tile backsplash and top of the line appliances. Huge walk in butlers pantry provides wonderful storage as well as lower pull outs in all kitchen cabinets. Brand new HVAC just installed this year including all new duct work and upgraded insulation offering a superior energy efficient home. Spectacular custom stone entertainment wall with floating shelves provides a beautiful focal point in your family room. Your exceptional owner's suite includes gorgeous plantation shutters and a french door out to your beautiful backyard. Be prepared to be amazed by your designer closet with exceptional storage offering three built in hampers and an ironing board. Additional features in this home include: three custom security doors, surround sound with seven speakers at the great room, built in cabinets and epoxy floors at the garage, tile floors throughout the entire home, built in desk and upper cabinets at the den, built in cabinet and utility sink at the laundry room including the front load washer and dryer. This home is truly a one of a kind. ***Some furniture is available on a separate bill of sale.
4556 W South Butte Road
San Tan Valley, AZ 85144
$535,000
3
Beds
2
Baths
2,281
SqFt
Status
Active
MLS #
6758251
Property Type
Single Family Residence
Price Type
--
This stunning 3-bedroom, 2-bath home offers the perfect blend of comfort and style. Step into an open-concept layout featuring a gourmet kitchen with granite countertops, a large island, and stainless steel appliances, ideal for entertaining. The spacious living area flows seamlessly into the outdoor oasis, where you'll find a sparkling heated pool and spa, perfect for relaxing on sunny days. The main suite boasts a cozy sitting area and an en-suite bathroom with dual sinks, a separate tub, and a shower for ultimate luxury. When you include the finished 3 car garage with cabinets and epoxy flooring, this home checks all the boxes! Spend everyday waking up to mountain views.
1800 Royal Oak Circle
Prescott, AZ 86305
$535,000
4
Beds
2
Baths
1,752
SqFt
Status
Active
MLS #
6760843
Property Type
Single Family Residence
Price Type
--
Your weekend getaway or your forever home. Hidden in the quiet pines in the sought after subdivision of Kingswood. Listen to the breeze rustling through the tall pines, This home boasts 4bd, 2ba, newer LPV flooring, new metal deck support with no maintenance composite deck, newer dishwasher, brand new SS stove and refrigerator. Tankless hot water heater. Buyer to verify property boundaries, square footage and schools.
6202 E Mckellips Road Unit 83
Mesa, AZ 85215
$535,000
2
Beds
2
Baths
1,633
SqFt
Status
Active
MLS #
6765873
Property Type
Single Family Residence
Price Type
--
Enjoy a truly rare find, Single Family Detached home ON THE GOLF COURSE in highly desirable & gated TUSCANY VILLAS featuring spacious 2 car garage w/ abundant cabinets & extra deep driveway for ample parking. Experience MOUNTAIN VIEWS on an OPEN, 1-level, SPLIT FLOOR-PLAN w/ his & hers walk-in closets in primary suite, Light & Bright Kitchen featuring electric or gas cooking. Enjoy the comfort & confidence of the newer AC system. Provide your family & friends an ideal setting for relaxation & entertainment w/ citrus & Maintenance-Free Turf in the North-Facing backyard overlooking the lush course. Walk to the clubhouse with grills, pickleball, large heated pool, hot tub, meeting area w/ kitchen, game room w/ foosball, darts, ping pong, billiards, treadmills, & workout equipment.
7704 S 23rd Lane
Phoenix, AZ 85041
$535,000
4
Beds
2.5
Baths
2,522
SqFt
Status
Active
MLS #
6777624
Property Type
Single Family Residence
Price Type
--
Welcome to your new home! This delightful 4 bedroom, 2.5-bath offers a perfect blend of comfort, convenience and luxury. With an inviting living room perfect for relaxing or entertaining guests that opens to a large chef's kitchen featuring a gas stove with updated quartz countertops and oversized pantry. Luxury vinyl flooring throughout the home. Recent upgrades included beautifully tiled primary shower, water heater 2018, water softener 2022 and blown in insulation. Situated on a cul de sac with an oversized lot this home has a golfer's dream backyard with a large putting green, built in BBQ and hot tub. Don't miss out on this fantastic opportunity to own a lovely home in a great location!
27046 W Yukon Drive
Buckeye, AZ 85396
$535,000
2
Beds
2
Baths
2,323
SqFt
Status
Active
MLS #
6786611
Property Type
Single Family Residence
Price Type
--
Beautiful 2-bed, 2-bath, plus den Fiesta model with paid-off solar on a quiet cul-de-sac in Sun City Festival, an amenity-rich 55+ active adult community. Enter through a gated courtyard into a spacious gathering room with upgraded flooring and a custom-built entertainment area including an electric fireplace. The kitchen boasts upgraded cherry cabinets with granite countertops and a large island workspace with gas cooktop and stainless-steel appliances. The over-sized master suite includes a shower, soaking tub and dual vanities. The walled backyard features an extended paver patio with built-in BBQ and refrigerator. The combined 2-car plus golf cart garage is extra roomy & includes a soft water system with on-demand hot water. Laundry includes built-in cabinets with washer & dryer.
7870 E Camelback Road Unit 204
Scottsdale, AZ 85251
$535,000
3
Beds
3
Baths
2,130
SqFt
Status
Active
MLS #
6793927
Property Type
Apartment
Price Type
--
Welcome to Scottsdale's best kept secret, Scottsdale Shadows. The 7870 Building is stunning with the covered pool in the courtyard and fabulous views to the north overlooking the greenbelt. Unit 204 is one of the largest in the complex with three bedrooms and three bathrooms. Additionally, this lovely condo-home features a large and bright eat-in kitchen with glossy white cabinets. A very large great room opens to a double sized covered patio to enjoy the greenbelt and mountain views. There is a separate dining room with plenty of space for formal dinners or elegant buffets. The primary suite enjoys light-filled views to the north. The en-suite primary bath is spacious with two sinks and a make-up table. On the other side of the condo is a large guest suite with en-suite bath. Bedroom three doubles as a den/TV room with a built-in bar. Amenities include a 9-hole golf course, 2 tennis courts, 3 pools, men's and Woman's workout rooms, wood shop, library, ceramics room, card room, and so much more. Parking space numbers are 70&71; very convenient to the elevators. *There is a 4 month minimum for rentals. 1 lease per year per unit.
14996 W Georgia Drive
Surprise, AZ 85379
$535,000
5
Beds
3.5
Baths
2,548
SqFt
Status
Active
MLS #
6786906
Property Type
Single Family Residence
Price Type
--
This Craftsman-style home, situated on a premium lot opposite a park with no neighbors behind, boasts 5 bedrooms and 3.5 baths, providing ample space for a family. The layout includes a front living/dining area and a separate family room that opens to the kitchen, which is equipped with plentiful cabinets, granite countertops, stainless appliances, including a double oven electric range, walk-in pantry, and an island with a breakfast bar. Sliding doors open to a covered patio and a grassy backyard ideal for children and pets. The bedrooms and laundry are upstairs with the expansive primary bedroom featuring an en-suite bathroom with a dual sink vanity, separate tub and shower, linen closet, and walk-in closet. Additionally, there are two more bathrooms upstairs and a guest powder room on the main floor. The home is updated with two new A/C units, laminate and tile floors throughout, and a two-car garage with an electric vehicle charging station. Marley Park's exceptional amenities include The Heritage Club and Pool House with a play pool, fitness pool, and splash pad, picnic areas, a fitness center, sports courts, numerous parks and playgrounds, and extensive walking and biking trails.
18226 W Stinson Drive
Surprise, AZ 85374
$535,000
2
Beds
2.5
Baths
2,199
SqFt
Status
Active
MLS #
6783357
Property Type
Single Family Residence
Price Type
--
Beautiful MOVE IN READY home in prestigious 55+ guard gated community of Arizona Traditions. This 2 bedroom, 2.5 bathroom + den single story has the gorgeous Papago layout with UPGRADES IN ALL THE RIGHT PLACES. Paver driveway leads you up to a two car garage on one side and single stall swing garage with separate entrance on the other. As you walk through the DOUBLE SECURITY DOORS, there is large foyer with coffered ceilings with views of the great room and kitchen. 10 FT CEILINGS AND PLANTATION SHUTTERS throughout this lovely home. Kitchen features a LARGE ISLAND, STAINLESS STEEL APPLIANCES, GAS RANGE, AND SPACIOUS PANTRY. Washer and Dryer are included in generous laundry room with utility sink and extended counter space.
1575 E Moon Vista Street
Apache Junction, AZ 85119
$535,000
3
Beds
2
Baths
1,556
SqFt
Status
Active
MLS #
6783278
Property Type
Single Family Residence
Price Type
--
Experience Arizona living at its finest with this remarkable property, showcasing sweeping views of the iconic Superstition Mountain and the Goldfields. Just 15 minutes from the serene beauty of Canyon Lake, this home is perfectly located for those who love the outdoors. Positioned in one of Arizona's most equine-friendly towns, you can explore endless trails right from your front door, whether by horseback or side-by-side. Inside, the open living room and kitchen are designed to capture the spectacular views, adding a sense of calm and beauty to everyday life. The lot is just the right size, and you'll be close to local gems like the rodeo grounds and Prospector Park for all your outdoor activities. This property has been lovingly maintained, with recent upgrades including newer appliances, a stackable washer and dryer, and an included refrigerator. The roof was redone two years ago and is backed by a five-year warranty, ensuring peace of mind for years to come. Additional items may convey with the sale, making this home truly move-in ready. Embrace the perfect blend of comfort, convenience, and breathtaking scenery. This is your opportunity to own an incredible Arizona retreat! Step into the lifestyle you've been dreaming of and experience the beauty and comfort of this property firsthand!