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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29211 N 53rd Street
Cave Creek, AZ 85331
$8,250,000
6
Beds
5
Baths
8,700
SqFt
Status
Active Under Contract
MLS #
6609693
Property Type
Single Family Residence
Price Type
--
INCOME PRODUCING PROPERTY! Equestrian Estate has 25+ acres, city water, paved roads, & one of the most desirable locations for horse Training, Boarding or Breeding Facility in the Valley. This Equestrian Estate offers three well-appointed homes, perfect for multi-generational living or rental income potential. The main home, a luxurious retreat, features a sparkling pool, outdoor living space, creating an oasis of relaxation & entertainment. The property also boasts 4 spacious barns, mare motel, 2 covered arenas, outdoor arena & bridle path. Additional equestrian amenities include a round pen, multiple turnouts, hay barn, tractor storage, mister system, multiple tack rooms, ensuring top-notch facilities for your horses. There are 2 manufactured homes, the possibilities are endless.
20908 W Durango Street
Buckeye, AZ 85326
$8,000,000
8
Beds
8
Baths
5,512
SqFt
Status
Active
MLS #
6688287
Property Type
Single Family Residence
Price Type
--
One of a kind commercial vet clinic/breeding facility including two residential homes and 30 acres of prime land in one of the fastest growing cities in the country. The subject property presents an exceptional opportunity for multiple uses. Its location creates an optimal environment for multi family, commercial and many other uses just minutes from ''The Landing'' near I-10 and Verrado Way. This area is primed to be the West Valley's newest entertainment, employment and residential hub of Buckeye. Don't miss this golden opportunity to become one of Buckeye's prime destination spots. Two beautiful 4 bedroom 3 bath slump block identical homes, huge barn with apartment, detached garage, multiple pastures, flood irrigation and 60 covered stalls with turnouts. Opportunity of a life time!!!
33094 N Northstar Circle
Scottsdale, AZ 85266
$8,000,000
5
Beds
6.5
Baths
7,460
SqFt
Status
Active
MLS #
6773912
Property Type
Single Family Residence
Price Type
--
Presenting a stunning new build in Whisper Rock Estates with approved plans , this high-quality contemporary residence boasts 7,460 sqft of luxurious single-story living. A thoughtfully designed floor plan includes 4 bedrooms, a dedicated exercise room, & a versatile flex room, centered around an expansive kitchen & great room. The attached casita adds an extra layer of comfort & privacy. Floor-to-ceiling windows frame breathtaking views of the resort-style backyard, complete with a pool, spa, & water features. The surrounding natural beauty of the Sonoran Desert, Winfield Mountain, & distant Chiricahua Mountain vistas create a serene backdrop. Perfect for entertaining, the home features a wet bar with retractable glass walls, a spacious covered patio with a fireplace, & an outdoor more kitchen with a built-in BBQ, blending indoor and outdoor living effortlessly.The primary suite is a private retreat, featuring a tranquil, spa-like bathroom with custom Copenhagen cabinetry, limestone countertops, a marble shower, dual water closets, and a freestanding soaking tub. Guests can enjoy their own 903 sq ft 1-bedroom guest house, complete with a kitchen and living room, offering ultimate privacy and comfort. Premium finishes are showcased throughout, including a Wolf and SubZero appliance package. The 5-car garage and ample parking provide the perfect space for a luxury car collection. This home exemplifies contemporary elegance, surrounded by the beauty of the desert landscape. This property is ready to break ground with builder.
7646 E Hidden Canyon Street
Mesa, AZ 85207
$7,999,950
5
Beds
7
Baths
9,000
SqFt
Status
Active
MLS #
6760394
Property Type
Single Family Residence
Price Type
--
Exceptional Modernterranean Estate at framing stage by Micela Builders. Like no other, the pad offers unparalleled privacy within the exclusive gated community of Hidden Canyon at Las Sendas. Backing onto the Tonto Forest, this single-level home features walls of glass for seamless indoor-outdoor living experience and boasts exquisite marble accents, a two-way fireplace, and en suite bedrooms. The resort-style backyard offers a negative-edge pool, spa, and rooftop deck with stunning mountain views. Its 1,600 sf air-conditioned garage accommodates 6-8 car parking. The home embodies meticulous craftsmanship and architectural brilliance.
6619 E Stallion Road
Paradise Valley, AZ 85253
$7,995,000
4
Beds
8.5
Baths
8,000
SqFt
Status
Active
MLS #
6656548
Property Type
Single Family Residence
Price Type
--
Amazing luxury estate blended in at the base of Mummy Mountain and a rare find in the heart of Paradise Valley. Imported materials include reclaimed cobblestone from Rome, Italian marble, handcrafted furniture style cabinetry and masterful craftsmanship throughout home. Expansive covered patio, barbecue kitchen area, synthetic grass, pool, spa and fireplace. Mature landscaping accents the Santa Barbara-Tuscan Architecture. Split floor plan with 4 en-suites, office including a fireplace. Master suite has separate water closets; one with a bidet. A soaking/jetted tub in the center of the bathroom and large pass-through shower with dual rainforest shower heads. Stunning home is a must see.Bring us an offer. Thank you.
4743 N 54th Street
Phoenix, AZ 85018
$7,995,000
5
Beds
6
Baths
7,828
SqFt
Status
Active
MLS #
6762489
Property Type
Single Family Residence
Price Type
--
Discover your own paradise on the south side of Camelback Mountain. This Spanish-style gem boasts captivating design, cityscape vistas, and architectural elegance. Be enchanted by the warmth and spaciousness of this home. High ceilings and abundant natural light welcome you into an open layout. With its gourmet kitchen, wine cellar, and wet bar, this home is a perfect setting for entertainers. Each bedroom provides an en-suite bathroom. The owner's suite, a wing of its own, features a spacious closet, a marble-filled bathroom, a private office, and a balcony with stunning views. Step outside to your private oasis, complete with a pristine pool, an outdoor kitchen, and ample relaxation space. A guest house accommodates visitors or extended family.
6737 E Exeter Boulevard
Scottsdale, AZ 85251
$7,995,000
5
Beds
7
Baths
6,876
SqFt
Status
Active
MLS #
6650382
Property Type
Single Family Residence
Price Type
--
IGNORE DAYS ON THE MARKET WHICH INCLUDE CONSTRUCTION. HOME FINISHED IN DECEMBER 2024. This brand new custom home is a true showstopper. The amazing team at Caniglia Development has created an absolute masterpiece combining classic elegance with a modern vibe. The exceptional design, architectural excellence and superior construction will impress anyone with an eye for quality and style. The kitchen will be gorgeous with top-of-the-line appliances, oversized prep spaces and custom cabinetry, the great room will be exquisite with soaring ceilings and a chic fireplace, the office will make working from home the preference, the game room will be a perfect spot for kids and adults alike, and all the bedrooms and baths have their own unique elements including a breathtaking owner's suite with.. ...a spectacular bathroom. The grounds will be every bit as impressive as the home with
10225 E Journey Lane
Scottsdale, AZ 85255
$7,950,000
6
Beds
7.5
Baths
8,387
SqFt
Status
Active Under Contract
MLS #
6770389
Property Type
Single Family Residence
Price Type
--
Beautiful Silverleaf corner lot on Weiskopf championship course with stunning mountain views. Immaculate custom build with no expense spared. Home lives on one level with bonus entertaining den and patio, gym /office or guest upstairs while three ensuite bedrooms off a kids living room on opposing wing from master, office and full casita all live ground floor. Private U shape around the pool, perfect hole location to capture soaring green course but not get hit by any balls. Close to the Upper Canyon manned entry guard gate and five minutes from prestigious Silverleaf and DC Ranch Country Clubs. Rich limestone floors, marble counters, his and her closets and vanities, rich oak floors and light bright high ceilings. Formal dining and living, numerous entertaining patios and bars.
7155 E Oakmont Drive
Paradise Valley, AZ 85253
$7,900,000
5
Beds
4.5
Baths
6,283
SqFt
Status
Active
MLS #
6789194
Property Type
Single Family Residence
Price Type
--
This one-of-one Mediterranean estate on the best lot in Paradise Valley has the golden trifecta of a corner lot, golf green lot, and mountain views that only less than 0.1% of golf course properties have. This ethereal, light-bathed estate is surrounded by verdant lawns and three mature citrus gardens in a Jurassic Park setting, including 33 mature eucalyptus, orange, grapefruit, lemon, and palm trees. Reminiscent of a Roman palace or a Medieval castle fortress, this symmetrical Santa Barbara estate offers the pinnacle of privacy with climate-controlled square footage of 5,088 sq ft and total square footage of 10,103 sq ft, including the center interior private courtyard, covered indoor-outdoor patios, porches, and balconies. Addition home Info under Doc tab - Click More to continue Completely renovated in 2017, this turnkey estate is a favorite of A-list celebrities who have rented it for $51K per month. Located on an elevated, corner, golf-green, mountain-view lot, this rare gem towers over its neighbors in the heart of the most elite Paradise Valley neighborhood, Camelback Country Club Estates. Perched less than 60 feet away from the golf green of Hole Three of the Ritz Carlton Camelback championship golf course, this stunning retreat has 360-degree panoramic mountain views. At dusk, this estate controls the floodlights illuminating the championship golf green, perfect for night golf against a stunning canopy of stars. This architectural masterpiece is located just 10 minutes north of downtown Scottsdale and 10 minutes south of the Scottsdale SDL Private Airport. Smart automation over Wi-Fi controls the estate's pool lighting and heating, security systems, climate control, lawn sprinklers, and more. The defining features include the one-of-a-kind, fully-walled, center interior courtyard enclave with a supremely private, heated Roman swimming pool shaded by Grecian columns by day and lighted by 42 regal light fixtures at night, as well as an outdoor shower and an authentic Finnish sauna, making this retreat perfect for skinny-dipping and spa pampering. The courtyard also provides an exceptional space for entertaining, with oversized covered patios featuring a 12-foot ornate snooker table imported from England that is three times the size of a regular pool table and creating the perfect space for hosting guests or relaxing in the serenity of the landscape around the sparkling walk-in Roman pool. The estate's symmetrical and reflective design ensures you can enjoy the utmost privacy and tranquility, making it a perfect escape from the hustle and bustle of everyday life. This haven has a modern majestic motor court with a central carport and twin garages. Five ensuite bedrooms, a library/office, a gym, and twin garages with a carport surround the breathtaking enclosed courtyard of this beautiful fortress of walled privacy. Every bedroom is an ensuite retreat offering unique features like Zen citrus gardens, private courtyards, or expansive decks. The primary wing boasts a private sitting room, a gym/massage room, a walk-in closet, a water closet, a jacuzzi tub beneath a skylight, a four-headed multi-directional shower, and an authentic Finnish sauna. The primary suite opens directly into a separate private courtyard and Zen citrus garden. Massive decks and courtyards provide the perfect vantage point for stargazing by night, while the large expanses of lawn and lush greenery offer an oasis of peace and privacy and 360-degree mountain and golf course views. You will be captivated by this opulent structure's grand scale, unparalleled craftsmanship, and massive grounds. Terracotta tile floors and four alluring Kiva concrete fireplaces add to the grandeur, with designer finishes accentuating modern conveniences, including Marge Carson and Ralph Lauren furnishings and remote-controlled Levolor custom shades on 32 massive UV-coated picture windows and 20 glass French doors. The chef's kitchen boasts endless countertops, a warming drawer, a dining table-sized island, and Thermador appliances. Welcome to your ethereal Mediterranean golfing paradise, where every day feels like a hole-in-one and every night feels like you've just won the Augusta Masters!
6440 E Stallion Road
Paradise Valley, AZ 85253
$7,890,000
7
Beds
8.5
Baths
9,472
SqFt
Status
Active
MLS #
6766106
Property Type
Single Family Residence
Price Type
--
Welcome to your dream oasis in the heart of Paradise Valley. This exquisite custom home on an ultra private cul-de-sac combines sophisticated design with unparalleled comfort, boasting almost 10,000 square feet of opulent living space. Featuring a total of 7 spacious bedrooms, 8.5 bathrooms, and 5 car epoxy garage, each room is meticulously designed with high-end finishes and attention to detail. The grand entryway greets you with a stunning flowing floor plan, perfect for entertaining. Enjoy gourmet cooking in the state-of-the-art kitchen, complete with top-of-the-line appliances, a large illuminated island, and custom cabinetry. The expansive living and dining areas are accentuated by soaring ceilings and panoramic windows that invite natural light and breathtaking views of the surrounding mountains. Step outside to over an acre of your private resort-style backyard complete with a 2 bedroom guest house with dual kitchens, a shimmering pool, spa, and stunning mountain views. The outdoor kitchen and fire pit provide the perfect setting for gatherings under the desert stars. Located in one of Arizona's most prestigious private neighborhoods, this home offers proximity to world-class dining, shopping, and golf courses, all while providing a serene retreat from the outside world. Don't miss this rare opportunity to own a piece of authentic Paradise Valley luxury.
6110 E Caballo Lane
Paradise Valley, AZ 85253
$7,850,000
5
Beds
7
Baths
7,124
SqFt
Status
Active
MLS #
6763087
Property Type
Single Family Residence
Price Type
--
This impressive very private gated 2.13 ACRE Cal Christiansen estate has 1.6 usable ACRES plus a ½ acre of golf course easement. The grounds feature a sunken tennis court (pickleball lines), pool w/ waterfall, spa, pizza oven, large grass area + garages for 10 cars. Including the separate guest house, there are 5 bedrms, 7 baths and 7,124 sf of luxurious living. Open + light w/ high ceilings, 5 fireplaces and attention to detail! The family rm w/ pub bar seamlessly connects indoor-outdoor living spaces via French accordion doors. A Car Collectors dream this temperature controlled garage w/shop has 16 ft vaulted wood ceilings + beams, 2 outdoor entrances and it also doubles as a party space!
6105 E Sage Drive
Paradise Valley, AZ 85253
$7,850,000
5
Beds
8
Baths
12,135
SqFt
Status
Active
MLS #
6786476
Property Type
Single Family Residence
Price Type
--
This signature street and homesite deserves nothing less than an elegant residence that breathes a bespoke lifestyle, with every detail thoughtfully crafted. Set on Camelback Mountain's East Side, this stately custom home offers privacy and panoramic views of both mountains and city lights. Situated on approximately 1.6 acres, it occupies one of the most coveted locations on the street, featuring a large motor court for added convenience. The interior reflects exceptional craftsmanship, with exquisite finishes including marble, cherry, alder, and specialty granite throughout. Three beautifully designed powder rooms, hand-painted ceiling details in formal rooms, and a wine cellar enhance the home's aesthetic charm. A grand gallery hallway makes an impressive entry, leading to spaces like the Gentleman's Study and Billiard Room. A private elevator connects guests and residents to the second-floor suites. For wellness and relaxation, the oversized exercise room includes a wet bar and steam shower, adjacent to the luxurious primary suite, which features a hand-sculpted onyx tub and expansive His and Her closets, complete with built-in washers and dryers for added convenience. An 1,100 sq. ft. guest house ensures privacy and comfort for visitors. Set in tranquil surroundings with impeccable attention to design and function, this estate offers luxury and seclusion in one of Paradise Valley's finest locations. See our Motion Video!