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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8408 E La Senda Drive Scottsdale, AZ 85255

$4,400,000 - 5Br/6Ba -  for Sale in Pinnacle Peak Country Club Estates, Scottsdale
Open House
$4,400,000
5 Beds
6 Baths
6,191 SqFt
Status Active
MLS # 6740273
Property Type Single Family Residence
Price Type --
Experience the pinnacle of sophistication with this meticulously designed Hacienda-style residence, strategically located on the 18th fairway of the prestigious Pinnacle Peak Country Club Estates. This North-South facing home embraces the North Scottsdale lifestyle with its seamless integration of high-end finishes and architectural elegance. Upon entering through the gated courtyard, you are welcomed by a serene stone fountain, inviting fireplace and lush, well-established vegetation that enhance the home's refined character. Inside, the grandeur of the space is evident with elegant chandeliers, towering wood-beamed ceilings, and custom wood doors. The residence features reclaimed hardwood and manganese Saltillo floors, along with five meticulously designed fireplaces featuring, more custom ironwork, creating a warm and inviting ambiance. Spanning an impressive 6,191 square feet including detached casita and rare four car garage with storage, the open floor plan effortlessly balances expansive communal areas with private, luxurious bedroom suites and solar. The primary suite offers a private retreat with its dramatic wood-beamed ceiling, a cozy gas fireplace, and a spa-like bathroom complete with a pedestal soaking tub, dual vanities, and a custom walk-in closet. The open kitchen is a culinary dream, featuring custom cabinetry, rich stone wood butcher block countertops, a large center island with seating, and premium appliances including a Viking 6-burner gas range, copper farm sink, and built-in Viking refrigerator. Adjacent to the kitchen, a custom bar with a wine refrigerator and seating at sleek concrete counters offers convenience and style, seamlessly connecting to the covered patio through an accordion window. The great room, enhanced by a stone-surround fireplace and French doors, opens to the backyard oasis. This outdoor haven includes an expansive covered patio with a stone fireplace, multiple lounging areas, and an elevated patio overlooking a custom heated pool and spa with captivating water features. The lush, private backyard, complete with paver patios and walkways, features a built-in barbecue and ample space for outdoor dining and relaxation, all framed by serene views of the golf course. Residing in Pinnacle Peak Country Club Estates combines exclusivity, offering proximity to upscale shopping, fine dining, and top-rated schools. This residence is not merely a home but a tranquil sanctuary where elegance meets comfort.

10792 E Sundance Trail Scottsdale, AZ 85262

$4,400,000 - 4Br/5Ba -  for Sale in Mirabel Club, Scottsdale
Open House
$4,400,000
4 Beds
4.5 Baths
5,721 SqFt
Status Active
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.

16229 N 115th Place Scottsdale, AZ 85255

$4,400,000 - 5Br/6Ba -  for Sale in Mcdowell Mountain Ranch, Scottsdale
Open House
$4,400,000
5 Beds
5.5 Baths
6,125 SqFt
Status Active
MLS # 6749308
Property Type Single Family Residence
Price Type --
VIEWS AND PRIVACY!!! Spectacular Custom Home in McDowell Mountain Ranch's 100 Hills Perfectly situated on a premium 2.3-acre lot, this stunning custom residence offers unmatched privacy and breathtaking views, backing up to endless acres of protected NAOS within the McDowell Mountains. With sweeping vistas of Camelback Mountain and the sparkling city lights, this home showcases extraordinary craftsmanship and high-end luxury finishes throughout, creating the ultimate in refined living. Step into the spacious living and dining areas with soaring 14-foot ceilings, a Cantera stone fireplace, and a wet bar, perfect for hosting both intimate gatherings and grand events. The gourmet kitchen is a culinary enthusiast's dream, equipped with top-tier Sub-Zero and Wolf appliances, custom alder cabinetry, sealed concrete countertops, and a generous walk-in pantry, all under a striking tongue-and-groove ceiling. The charming breakfast nook offers picturesque views of the lush backyard and the majestic mountains, providing the perfect space for daily dining. The expansive family room, centered around a stone fireplace, exudes warmth and comfort, while framing stunning views of the city below. The luxurious primary suite is a private retreat, complete with a dual-sided fireplace, seating area, and access to a covered patio with panoramic mountain views. The spa-like ensuite bath features a jetted soaking tub, dual-entry steam shower, his and her water closets, and two expansive wardrobe closets. A dedicated office with elegant ceiling details, custom wallpaper, and a walk-in closet offers a refined space for work or study. On the lower level, three spacious guest rooms include two with ensuite baths and one with a nearby full bath. The main garage offers room for up to three cars with epoxy flooring and abundant storage. The property also includes a guest casita, featuring a full kitchen, living room, ensuite bedroom, and a private single-bay garage - ideal for guests or extended family. Outdoor living spaces are equally impressive, with a grand T&G-covered balcony, freshly resealed decking, and a backyard oasis featuring a glass-tiled pool, spa, flagstone decking, a gazebo, and an exterior fireplace. Upgrades include new lighting, newer HVAC units, tankless water heaters, automated Pella doors and windows, a Crestron home automation system, and enhanced landscaping. Residents enjoy access to community amenities, including heated pools, tennis and pickleball courts, hiking and biking trails, and proximity to the MMR Golf Club and Aquatic Center. This one-of-a-kind residence offers an unparalleled luxury lifestyle in The Retreat at 100 Hills.

8500 E Aster Drive Scottsdale, AZ 85260

$4,399,000
6 Beds
9 Baths
7,205 SqFt
Status Active
MLS # 6726365
Property Type Single Family Residence
Price Type --
Welcome to your dream home—an exquisite, fully remodeled masterpiece designed by SoHome Scottsdale in 2022. Nestled on a tranquil .8-acre interior lot with no HOA, this sprawling 7,205 sq. ft. estate offers the ultimate in luxury living. With 6 spacious bedrooms (5 in the main house, 1 in the detached casita), 7 lavish full bathrooms, and 2 elegant half baths, this home is tailored for both comfort and sophistication. The 6-car garage provides ample space for your vehicles and hobbies, while the office and bonus room offer endless possibilities for work and play. The heart of the home is the gourmet kitchen, where a massive island with bar seating for 8-10 flows effortlessly into the cozy family room, complete with a welcoming fireplace. Perfect for seamless indoor-outdoor living, two large pocket doors open to the spectacular resort-style backyard. Dive into the luxurious pool and spa with a cascading waterfall and slide, unwind under the shaded ramada, or challenge friends to a game on your very own basketball and pickleball court. No detail has been overlookedfrom the expansive laundry room and sleek glass office to the pet spa, ensuring every member of the family feels right at home. With 5 brand new HVAC systems (2022), an OWNED SOLAR system featuring 3 Tesla Powerwall Battery backups, and a new roof installed in 2021, this home offers the latest in modern efficiency. Truly, this is a home where luxury meets lifestyledon't miss the opportunity to make it yours!

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

4735 E Calle Del Medio -- Phoenix, AZ 85018

$4,395,000
5 Beds
4 Baths
4,473 SqFt
Status Active Under Contract
MLS # 6749002
Property Type Single Family Residence
Price Type --
Set on a nearly 30,000-square-foot corner lot with sweeping Camelback Mountain views, this 4,473-square-foot home is nestled among Live Oaks and lush landscaping on a picturesque street in the heart of Arcadia. Reimagined by Krogh Enterprises in 2010, the home combines modern design with timeless farmhouse appeal. Vaulted ceilings and an open-concept great room create a versatile space suited to a variety of lifestyles. The thoughtfully designed split floor plan offers generously sized rooms, providing both privacy and ample space for living or entertaining. The kitchen, with its oversized island and high-end appliances, flows seamlessly into the living and dining areas, making it ideal for gatherings. The primary suite includes a luxurious bathroom and direct access to beautifully landscaped backyard. Outside, the expansive patio, green lawns, and mature trees create a tranquil setting, perfect for relaxation or outdoor activities.

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!

9143 E La Junta Road Scottsdale, AZ 85255

$4,365,000 - 5Br/6Ba -  for Sale in Solitude, Scottsdale
Open House
New
$4,365,000
5 Beds
6 Baths
5,569 SqFt
Status Active
MLS # 6778028
Property Type Single Family Residence
Price Type --
A contemporary masterpiece nestled within prestigious Solitude awaits the discerning buyer. Built in 2024 and spanning over 5500 square feet with a separate casita, this architectural beauty designed by Swaback Architects and built by Sonora West Development, blends seamlessly with the desert landscape offering clean lines and a sophisticated façade that captures your attention, promising a home that is as stunning inside as it is out. The modern minimalist, open concept interior welcomes you with soaring ceilings, oak wood floors, custom chandeliers and high-end finishes throughout with over $895k in upgrades. Smart Home technology ensures every detail of modern living is at your fingertips, with an integrated audio visual system. A custom 490-bottle wine wall adds a touch of elegance, in the entry and dining space of the home. The retractable doors leading to the exterior living space with a South facing backyard, mountain views. Enjoy the chilly Arizona evening with the in ceiling heaters and entertain with al fresco dining with a custom built in bar b que. The pool rendering/plan is for conceptual and marketing purposes only subject to change based, list price includes pool/spa allowance of $170,000, seller to not build pool and spa.

14346 E Mourning Dove Drive Fountain Hills, AZ 85268

$4,350,000
4 Beds
3.5 Baths
4,541 SqFt
Status Active
MLS # 6663400
Property Type Single Family Residence
Price Type --
2024 NEW CONSTRUCTION. Gurczak Luxury Development is proud to present this New Construction Desert Contemporary Spec Home in the Exclusive Guard Gated Community of Eagles Nest. This 4,541 Sq. Ft. Home Features 3 Bedrooms w/ ensuite bathrooms & additional bonus rooms including a Game Room & Office. The shape and orientation of the home design takes advantage of the natural topography & North/South view corridors. The mixture of multi-colored stucco, stone, and metal accents give varied texture and visual interest to the home, while the muted grey-tone colors allow the design to mesh with the landscape as well as sky when viewed from nearby angles.

25583 N 89th Street Scottsdale, AZ 85255

$4,350,000 - 5Br/5Ba -  for Sale in Pinnacle Peak Place, Scottsdale
Open House
$4,350,000
5 Beds
4.5 Baths
5,807 SqFt
Status Active
MLS # 6713905
Property Type Single Family Residence
Price Type --
Welcome to your own slice of Scottsdale paradise. This estate located on 1.6 acres is the epitome of elegance and comfort. Perfect for entertaining, the functionality of this residence is unmatched. Step inside to discover a grand open-concept living space, featuring a fireplace in the living room connecting to the dining room. The sprawling kitchen has a generous island + a spacious bar area. You will love cooking here using 2 convection ovens, chefs gas stove, huge Sub-Zero refrigerator and a walk-in pantry. Kitchen is adjacent to a family room with stylish wood beams. The main house has a split floor plan, offering 2 master suites, as well as an office, on each side of the home. The bedrooms on the opposite wing are connected by a spacious bonus room. Outside, the pro continues to impress. A huge landscaped yard provides a serene oasis, with putting greens and room for a pickle ball court. The centerpiece of this outdoor paradise is the stunning 51-foot heated pool, which features a waterfall jacuzzi. Additionally, the estate includes a beautifully appointed detached guest house, offering a private sanctuary for visitors or extended family. This guest house features its own living area with bar plus bedroom, and a full bathroom, ensuring your guests enjoy their stay in utmost comfort. This remarkable property is not just a home, it's a lifestyle. With its unparalleled amenities and prime location (just minutes to 101 Frwy) this home offers everything you need for luxurious living and unforgettable entertaining. Don't miss the opportunity to make this extraordinary estate your own! See floor plan in documents. 5807 Sq Ft 5 Bedrooms (4 Main House, 1 Guest House ) 2 Offices (Main House) Loft/Bonus Area ( Main House) Key Features : - Custom home - solid 2 x 6 construction - 1.6 acre lot - Own Reverse Osmosis and Water Softener - Exclusive Gated Community - Pelle windows - RV Gate - Ample 3 car garage - HVAC - high rating Main House : - Natural gas - Fireplace in Living Room - Travertine Stone Tiles plus Wood Floors - Split Floor Plan - (2x) Master Suites - Lofted Wood Beams in Family Room - Granite in Bathrooms Gourmet Kitchen : - Wolf Stovetop with Grill Addition and Pot Filler - (2x) Wolf Convection Ovens - (2x) Garbage Disposals - Huge Sub-Zero Refrigerator - Ice Makers in both doors - Huge Walk-In Pantry - Farmhouse Kitchen Sink and Handwash Station - Quartz Counters in Kitchen and Laundry Detached Guest House : - 825 sqft - Bar Area seats 6 - Sink, Microwave, Fridge - Bed w Full Bath Wonderful Outdoor Space : - Putting Green - Heated Pool (51ft long, 6ft deep) (2023 gas heater) - Heated Waterfall Jacuzzi - Outdoor Grill with Bar, Seating Area for 10 - Beverage Fridge and Sink - Seller loves that the property has space to entertain large groups of people

10801 E Happy Valley Road Unit 27 Scottsdale, AZ 85255

$4,300,000 - 3Br/4Ba -  for Sale in Glenn Moor, Scottsdale
New
$4,300,000
3 Beds
3.5 Baths
3,590 SqFt
Status Active
MLS # 6776910
Property Type Single Family Residence
Price Type --
Discover a rare opportunity to own a fully remodeled 2024 luxury home on one of Glenn Moor's most private and coveted lots, offering sweeping 360° views of Pinnacle Peak, Troon Mountain, and glittering city lights. Set at the end of a quiet cul-de-sac in the exclusive, guard-gated Glenn Moor community, this residence combines elevated design with breathtaking scenery, creating an ideal sanctuary. The grand circular driveway and lush landscaping set a welcoming tone, while inside, high ceilings, stacked-stone fireplaces, and floor-to-ceiling windows bring the stunning desert landscape indoors. The gourmet kitchen is an entertainer's dream, with custom cabinetry, top-tier appliances, a marble backsplash, and an oversized island. Glass sliding doors open to expansive outdoor patios with multiple levels for relaxing or gathering, surrounded by uninterrupted mountain and golf course views. The luxurious primary suite is a retreat in itself, featuring a sitting area, spa-like ensuite with a standalone soaking tub, new steam shower, dual vanities, and a large walk-in closet. Additional highlights include European white oak plank flooring, a new foam/tile roof with a 10-year warranty, Lutron touch electrical outlets and switches, and smart Wi-Fi throughout. Car enthusiasts will appreciate the oversized 3-car garage with built-in storage and ample parking. With optional access to Troon's prestigious golf, tennis, and pickleball amenities, this home offers an exceptional lifestyle in the heart of North Scottsdale.

4561 E Desert Park Place Paradise Valley, AZ 85253

$4,300,000
4 Beds
4.5 Baths
7,197 SqFt
Status Active
MLS # 6758545
Property Type Single Family Residence
Price Type --
Welcome to 4561 E Desert Park Place where the location and views from this hillside home are only matched by the meticulous craftsmanship within. Originally built in 1981 by the esteemed Dave Hansen and meticulously expanded and remodeled by Schultz Development, this residence sets the gold standard for construction in Tatum Canyon. Spanning 7197 square feet on a sprawling 2.27-acre lot, this home boasts a thoughtful layout designed to capture sweeping mountain views from every angle. With 4 bedrooms and 4.5 baths, including a grand primary suite on the main floor and a junior primary suite with accompanying bedrooms on the second floor, there's no shortage of space for comfort and luxury. The formal dining room and library windows eloquently showcase the seamless integration of this home into its natural mountain surroundings. Enjoy breathtaking views from the spacious chef's kitchen, adorned with high-end appliances, and the luminous living room with its captivating Cantera fireplace. Step outside to the meticulously landscaped grounds, where a sparkling pool and spa await, offering a retreat that epitomizes the tranquility of Tatum Canyon living. This property isn't just a home; it's a testament to enduring quality and limitless possibilities.

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