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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13188 E Desert Holly Drive Scottsdale, AZ 85255

$2,883,545

4 Beds

4.5 Baths

4,779 SqFt

Status Active

MLS # 6678261

Property Type Single Family Residence

Price Type --

**AGENTS - Please read private remarks** This fantastic new construction home features a Full Landscape Package with Pool, Gourmet Kitchen, A Spacious Back Prep Kitchen, Urban Style Aries Cabinets, Modern Tile Flooring, Quartzite Counters with Waterfall Edge on Island, Contemporary Iron Entry Door, Infrared Ceiling Patio Heaters, 12ft Rolling Wall of Glass at the Nook and a 20ft Rolling Wall of Glass at the Great Room. With trails offering access to the Preserve and its 150+ mile trail network, life at Storyrock includes convenient access to Tom's Thumb and endless opportunities to enjoy nature. Storyrock offers a rare opportunity to live within close proximity to the best of Scottsdale while also among Arizona's timeless natural treasures, all within a distinctly modern setting.

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11440 E Black Rock Road Scottsdale, AZ 85255

$2,875,000

4 Beds

5.5 Baths

5,402 SqFt

Status Active

MLS # 6683249

Property Type Single Family Residence

Price Type --

Views, views, and more views! Showing off with a subtle sense of Southwestern sophistication, this extraordinary home enjoys a spectacular panorama of city lights, mountain and desert views from its secluded cul-de-sac setting on 2.4 acres in the exclusive Troon Estates community. Living room w/corner-set kiva fireplace, handsome ceiling beams, tall view- windows, stunning wood accents. Chef's kitchen w/gorgeous granite, high-end culinary accoutrements. Owner's suite w/blissful bedroom, luxurious bath, private cocktail view-balcony, Exercise room with private patio and surrounded by saguaro forest. Inviting alfresco amenities, front-of-property lagoon-style pool w/boulder trim. Spa w/gently cascading waterfall. Expansive lounge and sun-decks. Fireplace view-patios. Putting green. BB 1,502SF expansive guest house is currently used as an executive office suite, game room, entertainment space, and kitchenette. It could easily be converted to a 2-bedroom-2 bathroom private living quarters with a full kitchen.

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37300 N School House Road Cave Creek, AZ 85331

$2,875,000

3 Beds

4 Baths

3,701 SqFt

Status Active

MLS # 6610024

Property Type Single Family Residence

Price Type --

RISE ABOVE IT ALL!!! FANTASTIC 360-degree views, exceptional privacy, yet blocks away from COUNTRY DANCING, dining, shopping, golf, and all the watering holes that Historic Cave Creek has to offer. Quality constructed custom home by Presidio Homes has been lightly lived in, still has that NEW HOME FEEL. Buyers will appreciate the detail, planning and finish of this home. Carefully integrated into the mountain for unsurpassed views of surrounding mountains, spectacular sunrise/sunsets and city lights by night. Every detail of the home was carefully planned by owner/structural engineer. Indoor/ outdoor living, privacy and top of the world views as the home borders Black Mountain Preserve!! A 320-acre paradise outside your door.

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10492 N 128th Place Scottsdale, AZ 85259

Open House

$2,870,900

3 Beds

3.5 Baths

3,034 SqFt

Status Active

MLS # 6644608

Property Type Single Family Residence

Price Type --

Quicker move-in opportunity at Camelot Homes newest Scottsdale neighborhood. This beautiful gated neighborhood features contemporary designs with amazing indoor/outdoor living spaces. This new floorplan includes 3 bedrooms/3.5 bath plus den. The modern custom kitchen is a chefs dream with Wolf/Sub Zero appliances. The light and bright great room has upgraded drop ceiling, iron fireplace, and sliding glass doors. The owners retreat offers a spa like experience with sliding glass doors to the serene backyard. The stunning courtyard has a resort like pool with stunning fountains and sunken barbecue area.

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23625 N 63rd Drive Glendale, AZ 85310

$2,860,000

4 Beds

4.5 Baths

4,332 SqFt

Status Active

MLS # 6765081

Property Type Single Family Residence

Price Type --

MODERN NEW CONSTRUCTION FINISHED 2023. Sleek single-level, panoramic views, anabundance of glass showcasing a mountain backdrop capturing the ultimate privacy. A car lovers dream includes two RV 14' door garages (one drive through) paired with an enclosed air conditioned loft/flex space, 4 garage stalls in total, air-conditioned (with RV hookups)! If you seek space for boats/toys, RV, and/or car collectors - this is your home! The timeless finishes create harmony among the open cooking space, a full-height kitchen backsplash, modern cabinets a palatial island, hardwood floors, modern fireplace, Thermador stainless steel appliances, 10' glass retractable doors, 12' ceilings throughout, MASSIVE GAME ROOM with wine and bourbon storage, a separate office, mud room, two laundry set-ups, two oversized ensuites and primary bedroom which will leave you speechless. The spectacular demonstration of floor to floor-to-ceiling glass shower and soaking spa tub is the final touch of this residence. The resort like pool, outdoor living and entertainment space - a masterpiece, every single box checked of your most particular buyer. There is not a dollar spared, a feature missed. Gated, single level, abundant natural light, quality which you can not rebuild for.

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28083 N 109th Way Scottsdale, AZ 85262

$2,850,000

4 Beds

4.5 Baths

3,500 SqFt

Status Active

MLS # 6777402

Property Type Single Family Residence

Price Type --

Serene is brand new gated enclave of 21 cutting edge single level contemporary homes designed by Swayback Architects & Planners and built by Sonora West Development. Each Serene home brings a new definition to the ''Lock and Leave'' lifestyle with open Great Room floor plans perfect for both entertaining and everyday living. There are four different models to choose from with lavish interior finishes created by renown interior designers Est Est. This Model B is available with 3 Car Tandem at 3,290/sf (Also available at 3,500/sf with 2 car garage.) Either configurations available only on lots 1, 3, 5, 8 & 19. Base price shown does not include lot premiums or upgrades but does include 25K pool and a 25k landscape allowance, Subzero & Wolf Appliances & BBQ.

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2201 E Marshall Avenue Phoenix, AZ 85016

$2,850,000

5 Beds

3.5 Baths

5,777 SqFt

Status Active

MLS # 6776052

Property Type Single Family Residence

Price Type --

THE Luxury Mid-Century Modern home you've been waiting for! Near-acre irrigated lot offers a desert botanical garden-landscape in a coveted Biltmore-area location. Boasting 5777/SF+- of MCM perfection and space for all: 5 beds, 3.5 baths, gallery, studio and guest house; architectural details include vaulted/beamed ceilings, clerestory windows, terrazzo floors, abundant light. Updated primary suite and kitchen offer custom built-in detail. Primary suite has generous closets, luxurious bath and office. Step-down living room commands conversation w/'60's-era quarried rock fireplace. Period-perfect center door knob welcomes; original wood elements and floor to ceiling windows anchor the home to the outside. Resort-style heated pool, generous patios & water feature exude serenity-WOW!!! MORE Features: Coveted Location in the Biltmore/Camelback Corridor True MidCentury Modern Architecture Exceptional & varied MCM Rooflines Over 5700 SF Home on a 36+K SF Pristine Lot 5 Beds; 3.5 Baths, w/ Guest House!!! Lush Landscaping & Exquisite Cacti Specimens Botanical Garden-Esque Paths of Serenity Pride of Ownership Present at Every Turn Roof Overhangs & Deep Shade Pockets Roof Recoated in '19 & one 5 Ton Trane HVAC in '22 Lovely Wood & White Kitchen w/ Loads of Storage Walls of Windows, Skylights & Clerestories Envelopes Light Vaulted & Beamed Ceilings & Repetitive Columns add Symmetry Living Room has Spectacular Spaces that Inspire Step Down Living Room Commands Conversation Terrazzo Floors Inside w/ a Scored Concrete Pool Surround Dramatic Angular Heated Pool Invites a Look & Dip Water Feature Connects Garden to Pool Seamlessly Patios & Special Enclaves Throughout Build-In's in the Home Office you Need Art Crafted Gates & Circular Paths Usher You In 60's Quarried Rock Wall & Fireplace of Time Gone By Central Door Knob Accentuates this Period Front Door Inverted Corner adds Visual Interest Primary En-suite: 2-Sided Vanity, Jetted Tub & Shower NO HOA Workshop/Studio, Game Room, Bonus Spaces, Office 2 Car Garage Plus 1 Carport & More Parking North South Exposure & Mountain Views

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3723 E Sells Drive Phoenix, AZ 85018

$2,850,000

4 Beds

4.5 Baths

4,169 SqFt

Status Active

MLS # 6721838

Property Type Single Family Residence

Price Type --

Gated Sycamore community townhome located in the heart of Arcadia. This exquisite 4 bed, 4.5 bath lofted home is open concept with wood flooring, large windows, glass sliders, and high ceilings. Living room features fireplace with tons of natural light, dining area, high end lighting, and chef's kitchen with stainless steel appliances, island, custom cabinets, and pantry. Primary suite includes dual vanities, freestanding clawfoot bathtub, enclosed toilet, and oversized shower. Entertain family and friends in the backyard's covered patio, custom pool, outdoor kitchen, or outdoor firepit, including misters and foggers, lush plants and desert landscaping. Home features an additional 3 guest bedrooms, 3 garage spaces, and lofted area perfect for office, theater, gym, or playroom. Enjoy Arcadia and Scottsdale's top resorts, golf, dining, or restaurants just minutes from your new home!

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40485 N 109th Place Scottsdale, AZ 85262

$2,850,000

4 Beds

4.5 Baths

4,800 SqFt

Status Active

MLS # 6745877

Property Type Single Family Residence

Price Type --

This beautiful, meticulously maintained custom home boasts an ideal floor plan.The open-concept layout features a chef's kitchen & wet bar, seamlessly connecting to the expansive dining and living areas, enhanced by mountain & city light views.The luxurious primary bedroom offers a cozy fireplace & direct access to the backyard, while the primary bath is a haven of comfort with 3 separate vanities & two walk-in closets. A dedicated bedroom wing includes 2 ensuite bedrooms & a 300 sq ft casita with a fully equipped kitchen.The outdoor living space is equally impressive, featuring a negative-edge pool & spa, a firepit, a built-in BBQ, & a large covered patio, perfect for entertaining. Enjoy panoramic 360-degree views from the upper deck. A Four Seasons Membership is available upon approval

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10050 N 58th Place Paradise Valley, AZ 85253

$2,850,000

5 Beds

3 Baths

4,004 SqFt

Status Active

MLS # 6762145

Property Type Single Family Residence

Price Type --

Prepare to be pleased with the warmth, beauty and usability of this home. Front door takes you past dining and conversation rooms to a spacious kitchen with a large island, gas cooktop and is open to the great room. Dine at your kitchen table and enjoy views to the resort-like back yard, complete with covered patio, BBQ grill area, pool slide and covered grotto with waterfall. Heated jacuzzi, pavered conversation area and grassy area complete the backyard. Primary suite includes office, spa-like bathroom and a spacious, organized closet. Enjoy three other bedrooms, plus a FLEX room or additional (5th) bedroom. Laundry room can also be used as a craft room. Extensive solar panel system is owned, along with smart home automation: nest thermostats, security cameras and alarm system.

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15512 E Desert Hawk Trail Fountain Hills, AZ 85268

$2,850,000

4 Beds

6.5 Baths

5,582 SqFt

Status Active

MLS # 6765753

Property Type Single Family Residence

Price Type --

Welcome to this stunning Firerock home, where luxury and comfort converge. Designed for seamless living, this gem lives like a single level and boasts a lower walk-out level with a game room, wine room, and a private movie theater. The great room, adorned with an automatic slider, opens to an enormous covered balcony—perfect for indoor/outdoor entertaining. A Cantera fireplace with fire crystals adds warmth and elegance. The heart of the home is the gourmet kitchen, featuring not one but two kitchen islands and top-of-the-line Viking appliances. All bedrooms are en-suite, ensuring privacy and convenience. Additional highlights include a separate casita, a cutting-edge Lutron automated lighting system, custom drapery, and exterior sensor shades. Movie enthusiasts will appreciate the dedicated theater room, while an elevator adds practicality. Step outside to the resort-style backyard, complete with a spacious covered balcony, large patio, and two built-in BBQ areas. The pool, spill-over spa, water feature, and fire pots create an oasis for relaxation. Plus, this home is equipped with four new HVAC units and a brand-new tile roof backed by a 40-year transferable warranty.

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6214 E Calle Rosa -- Scottsdale, AZ 85251

$2,850,000

5 Beds

3 Baths

3,224 SqFt

Status Active Under Contract

MLS # 6780956

Property Type Single Family Residence

Price Type --

Immaculately maintained Arcadia charmer. Remodeled in 2018. Light and bright throughout. Split floor plan with large master closet. 4 additional bedrooms and 2 bathrooms on kids wing. French doors open to large backyard with pool, plenty of grass for kids and no overhead power lines. Front patio adds perfect area for Arcadia neighborhood living. Additional golf cart parking on side of home. Located in a darling cul de sac and ready for the next family to enjoy!

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