Mortgage Myths: Here’s Why You Don’t Need a Full 20 Percent Down Payment

Mortgage Myths: Here's Why You Don't Need a Full 20 Percent Down Payment If you’re just getting into the real estate market, you may have heard that 20% down is the ideal percentage in order to lower your monthly payments and get your mortgage application approved. However, while 20% is often suggested, many people struggle to come up with this amount of money. If you’re staving off home ownership, here are some reasons you may not need to hold off as you long as you thought.

Minimizing Your Insurance Costs

Putting down 20% of the total purchase price of your home is often suggested, but it doesn’t definitively mean that your application won’t be approved if you don’t. If you have a good credit score and are in good financial standing, putting less than 20% down means you’ll have to pay Private Mortgage Insurance (PMI); however, it can be worth paying the extra funds in order to get into the real estate market sooner and start paying into your most significant investment.

Mortgage Programs For Less Than 20%

It may seem less possible to buy a home if you only have 5 or 7% of the purchase price, but there are many programs in the United States that enable those with limited funds to apply for a mortgage. From the Federal Housing Administration (FHA) to Fannie Mae and Freddie Mac, there are many lenders that can offer you mortgage programs that will work for your situation. While higher rates come in tandem with a lower down payment, there are options out there for those who haven’t saved quite enough.

Why Put Down 20%?

Putting down 20% is not a necessity for mortgage approval or purchasing a home, but it can be a great means of saving money in the long run and reducing your interest rates. If you’re raring to get into the real estate market and don’t want to wait for the bills to stack up, that’s OK, but if you want to hold off and save up additional funds before diving in, this can mean more money and a more solid investment in the future.

The magic number is often 20% when it comes to a down payment on a home, but you don’t require this percentage of your home’s price in order to get approved for a mortgage. If you’re currently considering diving into home ownership and would like to know more about the opportunities in your area, give me a call – J.P. Cook – 602-320-4253.

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36323 N 100th Way Scottsdale, AZ 85262

$6,250,000
5 Beds
6.5 Baths
5,444 SqFt
Status Active
MLS # 6752665
Property Type Single Family Residence
Price Type --
Brand New Custom Contemporary Home under construction on one of the nicest south-facing-fairway lots in the prestigious Mirabel Club community. GOLF MEMBERSHIP available with the purchase of this home subject to fees and application approval. All of the current state of the art finishes are spec'd for this spectacular home. See finish book under the documents tab. Located on the 15th fairway boasting views of Pinnacle Peak, the McDowell's, sunsets & amazing city lights. The home has 4 bedrooms, plus media room/5th bedroom & 6.5 baths & an oversized 3 car garage large enough for 3 cars & a golf cart. No steps anywhere in house or backyard. Construction is well underway & completion is scheduled for the end of 2024, in time to enjoy next season. Listing agents are partners in the project

11438 N 70th Street Scottsdale, AZ 85254

$6,250,000
6 Beds
7.5 Baths
6,253 SqFt
Status Active
MLS # 6731524
Property Type Single Family Residence
Price Type --
Welcome home to your newest custom farmhouse in the heart of Scottsdale completed November 2022! This home features a DOUBLE RV Garage plus 2 car and additional side entry 3 car oversized garage. As you enter into this home you will find a casita in the front of the home with it's own private bedroom and living quarters. The kitchen features high end appliances wolf, subzero, large open concept with wood exposed beams, quartz counters, a butlers pantry and more. The master suite features it's own wing of the house including a large workout room right off the master bedroom. On the opposite side of the home is a separate wing including 3 bedrooms with walk in closets, private full bathrooms and a teen room opening to the back patio. Don't forget the 400 bottle wine closet and SOCCER FIELD!

6852 E Fanfol Drive Paradise Valley, AZ 85253

$6,250,000
5 Beds
9 Baths
9,911 SqFt
Status Active
MLS # 6764253
Property Type Single Family Residence
Price Type --
You've found the one you've been looking for. This private luxurious estate, renovated in 2022, is the perfect blend of timeless elegance combined with modern sophistication. From the moment you enter the foyer and see the sweeping staircase, you will be captivated by the grand scale and unparalleled craftsmanship. The estate boasts 5 en-suite bedrooms, library/office, gym, 4 car garage and so much more. European White Oak hardwood floors, tall ceilings, honed granite fireplace in family room, floor to ceiling limestone fireplace in living room, control 4 system and designer finishes. Chef's kitchen with double island, porcelain countertops, walnut cabinets, Wolf and SubZero appliances, plus a full wet bar. The main level primary suite features a private sitting room, gym/massage room, two generously sized walk-in closets, stackable washer/dryer closet, two private water closets and sauna that opens to the courtyard. But wait, there's more! This estate also boasts a junior guest suite complete with a kitchenette (inc microwave, wine fridge and sink) and stunning French Doors that open to the front courtyard. The basement is the perfect hosting space with a full game room, movie theatre and temperature controlled wine room. Mature greenery makes the backyard feel like your own private oasis with dazzling pool, multiple water features, fire features, outdoor kitchen and oversized covered patio. This beauty will not last long!

5201 N Saddle Rock Drive Phoenix, AZ 85018

$6,225,000
5 Beds
5 Baths
6,179 SqFt
Status Active
MLS # 6761732
Property Type Single Family Residence
Price Type --
Welcome to White Gates, an elevated Arcadia Hillside acre estate, located in the glow of Camelback Mtn with city skyline & sunset views. Built ground up with the highest attention to detail, quality construction & the intention of capturing gorgeous views in every room, this home has it all. This nearly 6200 SF home was recently renovated in 2022 with a fresh design & luxury interior that seamlessly blends a calm CA feel while embracing the beauty of the AZ desert. You'll feel worlds away from the hustle in this private Santa Barbara style 5 bedroom 5 bath home, located in Hopi school district on the south slope of Camelback. Arrive to find the most welcoming arched front entry & private landscaped courtyard featuring detailed brick ceilings, herringbone pavers & one of 5 fireplaces. Enter through a grand arched wooden door to find a Foyer featuring a floor to ceiling arched window revealing views of Camelback Mtn, a gorgeous fountain & green manicured backyard. The Living room with gorgeous wood beams, wood floors, floor to ceiling French doors & a stately Canterra fireplace opens up to the bright & beautiful Family Room. The main house offers 4 bedrooms, 4 baths, a formal Living Room, formal Dining Room, Family Room, Bar, 800 bottle temperature controlled Wine Cellar, elevated designer Kitchen & round Breakfast Room w north courtyard access, Pantry, spacious Theater, two covered terraces for outdoor entertainment & two custom Laundry Rooms. Each oversized bedroom has its own private view plus rich wooden French doors, custom curtains, high ceilings, wood floors & walk-in closets. City skyline & Camelback Mtn views are absolutely unmatched from the hotel style Primary Suite, a serene room with cathedral ceilings, custom lighting, custom curtains, gas fireplace, TV, coffee bar, walk-in custom closet, flex office space & laundry room. Experience unparalleled city views from the newly renovated Primary Bath, offering two vanities, large vanity mirrors, custom lighting, tiled floors, tiled walk-in shower & a spacious Kohler bathtub w brass hardware. You can wow your friends in the covered outdoor view Terrace which captures 360 degree views and offers the best entertainment around the outdoor gas fireplace, TV & outdoor bar. Enjoy more Camelback views from the Dining Room, the Kitchen, the Breakfast Room & even the Laundry Room. The Kitchen comes fully loaded with an oversized granite island, travertine floors, high-end stainless appliances, 2 dishwashers, a 6 burner gas range, double ovens, custom Canterra hood, 2 beverage drawers, a built-in warming drawer & microwave, 2 sinks, custom cabinetry, 3 pull out trash cans & a built-in breakfront perfect for your china. Off the Kitchen, you'll find a fabulous beamed outdoor dining space with gas fireplace & a fabulous outdoor Kitchen featuring a Green Egg smoker, large 4 section infrared grill, built-in beverage cooler, sink, lighting & counter seating. Walk through the covered breezeway to the attached one bedroom one bathroom Casita which is well equipped with it's own spacious bathroom, kitchenette, walk-in closet, storage closet & separate 1 car garage. Putt & chip on the new turf putting green, sit under the trees by the fire pit or enjoy ping pong in the outdoor covered game area. Two separate paver driveways allow for a grand front entrance & a side motor court entry to the 4 car garage w storage cabinets & temperature controlled storage room. Turf, grass & indigenous desert landscaping offer a low maintenance backyard with less water usage. Security cameras throughout. This incredibly special estate is one of a kind & truly offers an unparalleled tranquil experience of sunrises & sunsets that will make you fall in love.

7000 N 39th Place Paradise Valley, AZ 85253

$6,150,000
3 Beds
4 Baths
6,021 SqFt
Status Active
MLS # 6773455
Property Type Single Family Residence
Price Type --
Presenting a stunning architectural masterpiece situated on over 2.5 acres within the exclusive 24/7 guard-gated community of Paradise Reserve. Crafted by Cullum Homes, this two-story contemporary estate offers a luxurious retreat with unmatched views of the majestic Camelback Mountain from every vantage point, creating a tranquil and picturesque setting. Elevated on a hill, the property features a grand driveway leading to a custom 3-car garage with sleek glass doors. Upon entering through the custom glass door, you're welcomed by a beautifully designed great room that seamlessly connects indoor and outdoor living spaces. At the heart of the great room is a designer fireplace that radiates warmth and elegance, while a retractable sliding glass door opens up to breathtaking mountain views. A nearby wet bar with exquisite pendant lighting, a wine fridge, and a custom glass-enclosed wine rack adds sophistication, showcasing your collection in style. The gourmet kitchen is a dream for any culinary enthusiast, equipped with premium Wolf and Sub-Zero appliances, sleek off-white cabinetry, quartz countertops, dual sinks, dual ovens, and a 6-burner gas range. A built-in espresso machine is ready to enhance your mornings, and the adjacent butler's pantry offers ample storage with extra cabinetry and a second refrigerator. Ascend the elegantly designed glass and wood staircase to a captivating loft, featuring an additional wet bar and a built-in entertainment centerperfect for unwinding and relaxation. The master suite combines luxury and serenity, complete with a dual-sided fireplace, sliding doors to a private patio, and endless views. The spa-like master bath features floating vanities, a spacious glass-enclosed shower with rain and handheld showerheads, and a soaking tub set by the fireplace. Multiple windows and a door to the outside provide additional mountain views, creating a tranquil ambiance. A den and office, enclosed by elegant glass doors, offer a peaceful work-from-home space. The additional bedrooms each feature ensuite baths for comfort and privacy. Throughout the home, recessed lighting and surround sound enhance the living experience. Outside, you'll find an enchanting space designed for relaxation and entertainment. The covered patio is perfect for outdoor dining, complete with an outdoor kitchen that includes a built-in BBQ, refrigerators, dishwasher, wall oven, sink, and an island with bar seating. Beyond the patio, a travertine-tiled deck leads to a captivating infinity-edge pool, where the water seems to blend into the sky. The raised spa, featuring one of two outdoor gas firepits, adds warmth and ambiance, all set against the stunning backdrop of Camelback Mountain and city lights.This home is a true masterpiece where luxury and nature unite to offer an unmatched living experience.

5636 E Via Buena Vista Paradise Valley, AZ 85253

$6,000,000
5 Beds
6.5 Baths
6,872 SqFt
Status Active
MLS # 6749255
Property Type Single Family Residence
Price Type --
Santa Barbara transitional home with exquisite mountain views. Sitting on over a 2 acre lot, this estate is the ultimate indoor/outdoor Arizona living with sliders that open to a covered patio, ramada with outdoor kitchen, fireplace, and rooftop deck, mature landscaping, tennis court, and custom pool/spa. Open great room with new white Italian travertine stone floors, formal dining, living room, and remodeled kitchen with Carrara marble counters, high end appliances, and new lighting, backsplash, tile, and surround sound speakers. Primary suite with gas fireplace, private backyard access, and oversized bathroom with freestanding tub, large dual vanities, walk-in shower, and custom closet. Additional rooms include office, gym with surround sound, mirror wall, and mini fridge and casita with new quartz kitchenette and custom cabinets, shower, tile, plumbing, and lighting. Smart home security to control cameras, music, shades, TV, HVAC, pool, and landscaping. Located only minutes away Paradise Valley's world class resorts, dining, and shopping.

9330 E Brahma Road Scottsdale, AZ 85262

$6,000,000
5 Beds
5.5 Baths
6,018 SqFt
Status Active
MLS # 6768931
Property Type Single Family Residence
Price Type --
LUXURY MEETS TRANQUILITY ~ Absolutely stunning and meticulously designed, this magnificent home is situated on a hill top 11 acre homesite in the EXCLUSIVE guard gated community of CAREFREE RANCH. Elevated above the valley floor, this home offers top-of-the-world panoramic views that arc from the Mazatzal / Four Peaks Mountains in the east all the way to the Sierra Estrella's and The White Tank Mountains in the far west valley. This home boasts captivating vistas of several Desert Mountain Golf courses, lush Sonoran Desert, blazing sunsets, sparkling city lights and starry dark skies. Timeless contemporary Southwest architecture with extensive use of copper cladding and angled roof lines create visual drama upon arrival. As you enter the home you are met with an updated soft contemp- contemporary flair and ideal floor plan for todays buyers with Master bedroom with spa like master bath, dual closets and fitness area, along with an office or additional guest suite on one wing. The other side of the home features two additional ensuite bedrooms, plus a standalone two room casita with kitchenette for longer guest visits. The heart of the home is the chef kitchen with Wolf/Subzero appliances, wine fridge, wet bar, breakfast nook and family room for every day use and casual entertaining. Separate full dining room & formal living for larger or more formal entertaining needs. Your outdoor desert oasis awaits with oversized patio with alfresco dining and living space, outdoor kitchen, and spectacular negative edge pool for hours of outdoor entertainment. This residence is not just a home; it's a lifestyle, a property to be appreciated and enjoyed all day, every day. Welcome to a lifestyle of luxury and tranquility!

8600 E Whisper Rock Trail Unit 102 Scottsdale, AZ 85266

$6,000,000
4 Beds
6 Baths
5,500 SqFt
Status Active
MLS # 6562802
Property Type Single Family Residence
Price Type --
Located on a north-facing, 2.9 acre site within Whisper Rock Estates, this to-be-built home has been designed with the utmost care and craftsmanship * Craig Wickersham (Architect) & R-Net Custom Homes (Builder) combine to create a timeless, one-of-a-king masterpiece * This 5500 sq ft design is highlighted by an ideal layout consisting of an open living concept, 4 full bedroom suites and office with no interior steps * True indoor/outdoor living, 4-car garage and outdoor kitchen complete the design * See the documents tab for details *

8386 E Leaning Rock Road Scottsdale, AZ 85266

$5,999,099
4 Beds
5.5 Baths
5,673 SqFt
Status Active
MLS # 6772642
Property Type Single Family Residence
Price Type --
*Estimated completion January of 2025* Move in just in time for the winter season to this exclusive, custom-designed version of Camelot's award-winning Cheval floorplan, brought to life by Camelot's Custom division, Cameron Custom. Renowned for its seamless indoor-outdoor living spaces, this stunning residence offers 4 spacious bedrooms, 5.5 luxurious baths, a private den, a versatile bonus room, and a separate casita for guests or multi-generational living. Every detail of the home's interior has been meticulously curated by a team of elite designers, blending sophisticated neutral tones with high-end finishes that cater to even the most discerning buyers. Whether you're hosting intimate gatherings or enjoying serene moments, this home exemplifies resort-style living at its finest.

E Red Bird Road Scottsdale, AZ 85262

$5,999,000
4 Beds
4 Baths
4,322 SqFt
Status Active
MLS # 6774532
Property Type Single Family Residence
Price Type --
Car enthusiasts delight - revel in this estate's custom garages for 10+ vehicles. This to-be-built masterpiece from J.Cor Architecture and Platinum Companies Inc provides 5 acres at your helm, with unobstructed views of Pinnacle Peak and McDowell Mountains. City Light views to the South and Southwest. Your inquiry to this iconic estate is welcomed.

7014 E Palo Verde Lane Paradise Valley, AZ 85253

$5,999,000
5 Beds
4 Baths
6,046 SqFt
Status Active
MLS # 6762390
Property Type Single Family Residence
Price Type --
Welcome to 7014 E Palo Verde Ln! This exceptional property is located in the heart of Paradise Valley - a picturesque town known for its beauty, tranquility, and relaxed lifestyle. The single-story property has been renovated and offers over 6,046 sqft of inspired living space on .855 acres of land. The charming modern ranch-style home is adorned with exterior brick, black board and batten accents, black aluminum double-pane windows, Italian hand-chipped marble tile pavers, outdoor fireplace, and fire pit surrounding a polished pebble tech black bottom pool, as well as a cedar shake-covered porch. Inside, you'll find European white oak flooring, quartz counters, a double kitchen island with double sinks, Miele appliances including two dishwashers, a wine fridge, and a 48in gas stove with a custom shiplap hood, a dry and wet bar, primary bedroom with its own private spa, flex room,and gorgeous accent walls throughout the home that bring the sleek, moody feel together. Enjoy your private oasis with views of the mountains and a backyard big enough to entertain a large crowd. *Court Approval for Sale Req'd*

6587 N Palmeraie Boulevard Unit 1043 Paradise Valley, AZ 85253

$5,999,000
3 Beds
3.5 Baths
3,191 SqFt
Status Active
MLS # 6722692
Property Type Apartment
Price Type --
Welcome to the Ritz-Carlton lifestyle, where luxury and comfort merge seamlessly. This exquisite garden-level unit, with an extended patio, offers the perfect blend of indoor and outdoor living. Centrally located yet incredibly private, you'll have easy access to the pool, fitness center, and clubhouse, making every day feel like a retreat. Inside, you'll find custom millwork and high-end finishes throughout, from bespoke tile and countertops to exquisite flooring and wall coverings. The den is a wine lover's dream, featuring tailored millwork, Sub-Zero wine storage columns, and ample barware space. State-of-the-art technology enhances your living experience with Crestron lighting control, motorized privacy and blackout shades, house music system and in ceiling speakers throughout. The interior flooring and patio are adorned with elegant Galician Blue Limestone, while the bedrooms feature warm European white oak. Luxurious touches continue in the bathrooms with beautiful marble, wood and porcelain finishes. This villa is more than just a home; it's a lifestyle defined by elegance and convenience. Welcome to your new sanctuary.

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