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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2980 E Boot Track Trail Gilbert, AZ 85296

$2,650,000
6 Beds
5 Baths
5,728 SqFt
Status Active
MLS # 6761387
Property Type Single Family Residence
Price Type --
Morrison Ranch Gem in the heart of Gilbert AZ!!! This home showcases unrivaled options, with custom upgrades and meticulous trim finishes throughout. The light and bright interior flows seamlessly into a wide open floorplan, perfect for modern living and entertaining. The gourmet kitchen is a chef's dream, featuring an abundance of cabinetry, a massive waterfall-edge island, and high-end stainless steel and cabinet-faced appliances. Entertainment options abound with a dedicated theatre and gaming room, while the fully enclosed metal and glass workout room provides a sleek, private space for fitness. The oversized master bedroom is an elegant retreat, opening to a large overlook patio with stunning views of the resort-style backyard. The master bathroom offers expansive elbow room and luxury finishes, and the master closet boasts a plethora of storage, designed for maximum convenience and style. This home is a true masterpiece with over $1.2 million in upgrades and additions, making it a must-see for those seeking the pinnacle of luxury living in Gilbert. There are far too many features to list, lock in your private look today!

12201 E Shangri La Road Scottsdale, AZ 85259

$2,650,000
5 Beds
4.5 Baths
5,511 SqFt
Status Active
MLS # 6749323
Property Type Single Family Residence
Price Type --
Welcome to unparalleled luxury in the heart of Scottsdale! This exquisite custom home is situated on a corner lot within a cul-de-sac, spanning nearly one acre. Boasting 6 spacious bedrooms and 4.5 bathrooms, this residence offers over 5,500 square feet of thoughtfully designed living space. The main level encompasses approximately 4,200 SF and features 4 bedrooms, one of which is currently utilized as an office, along with 3.5 bathrooms. As you step inside, you'll be greeted by soaring 12-foot ceilings that create an ambiance of elegance. To your right, you'll find the primary suite and office. The primary suite serves as a haven of relaxation, complete with a cozy attached sitting/reading room, a spa-like bathroom, and an impressive walk-in closet. To your left you will find a chef's dream kitchen featuring 2 expansive granite islands, stainless-steel appliances including double ovens. 2 additional bedrooms with a full bath are split from the primary suite, offering ideal accommodations for guests. The lower level is currently a recreational paradise, featuring a game room, fireplace, wet bar, and a stunning glass patio door that floods the space with natural light. This bright and open area also includes 2 additional bedrooms, a full bath, a powder room, and a walk-out area leading to a 1-car garage. Step outside to your own private sanctuary - a beautifully landscaped backyard with an expansive patio, complete with a misting system. The large diving pool and spa are perfect for relaxation, while the adjacent BBQ area and spacious grassy expanse offer ample space for gatherings. Enjoy breathtaking city lights and stunning mountain views from your backyard retreat. The 3-car garage is situated on one side of the house, leading directly to the primary suite. This Scottsdale estate is the epitome of luxury living, offering a perfect blend of elegance, comfort, and modern amenities. No HOA - Come see it today!

4501 E Turney Avenue Phoenix, AZ 85018

$2,650,000
4 Beds
5 Baths
3,516 SqFt
Status Active
MLS # 6695499
Property Type Single Family Residence
Price Type --
Immerse yourself in luxury with this architecturally astounding, one-of-one Modern Coastal Inspired home. This custom-built residence showcases an exceptional use of glass and natural light, creating a stunning visual connection to the outdoors. Property Highlights: Elegant Design: Spanning over 3,500 sq ft, DUO features a spacious open-concept layout ideal for modern living and grand entertaining. Natural light and Views: Floor-to-ceiling glass walls throughout the home offer uninterrupted views of the iconic Camelback Mtn & The Phoenix Mtn Preserve. Modern Coastal Architecture: Project DUO stands out as a one-of-one with its unique Modern Coastal Architecture, imagined with the amazing team at DesignTank and Urban Revival. Integrating high-end materials and finishes, like aggregate concrete driveways and walkways, exposed brick, heat and steam treated exterior rated oak and metal, combined with innovative design to create a visually striking appearance Luxurious Interiors: Every detail has been carefully selected, from the state-of-the-art kitchen with premium appliances and custom cabinetry, to the tranquil bedrooms each with en-suite facilities and walk-in closets. The master suite is particularly impressive, offering a spa-like bathroom and breathtaking CB Mtn views from the moment you open your eyes in the morning. Prime Location: Situated within close proximity to top schools, fine dining, and exclusive shopping, this home offers both privacy and convenience in Phoenix's most coveted neighborhood. This property is more than just a home; it's a masterpiece of modern design and a rare jewel in the Arcadia real estate market. Outdoor Living: Exterior patios and expansive walk-out decks enhance your connection to nature, providing a perfect setting for relaxing and hosting with scenic mountain backdrops. Experience the paragon of modern luxury living with unrivaled views and exquisite design in this exclusive Arcadia residence. Your chance to own this spectacular home is just an inquiry away.

19883 E Vallejo Street Queen Creek, AZ 85142

$2,649,000
4 Beds
5 Baths
3,898 SqFt
Status Active
MLS # 6768419
Property Type Single Family Residence
Price Type --
A breathtaking Toll Brothers home in exclusive Whitewing community. No detail spared. Nearly 4000 sf of beauty and detail, located on a premium corner lot backing up to a lush greenbelt with 4 bedrooms, 4.5 baths, and over 180 degrees of breathtaking mountain views- watch the sunrise and sunset. This spacious interior boasts over $400,000 in upgrades and customizations, including: Grand ceilings throughout, solid alder doors, 18ft disappearing walls to patio, a center courtyard, and spectacular lighting. Chef's kitchen boasts Double Ovens, 48'' gourmet gas cooktop, separate fridge, and freezers, Sub Zero 64 bottle wine cabinet, 2 large Islands, quartz countertops, custom led lighting features, over $60k in custom closets, media walls, and storage cabinetry, epoxied garages, grand entry door, solid wood floors and Ceramic tile throughout, $40k Sonos audio system throughout, whole house water treatment system, reverse osmosis. Over $500,000 in pool and landscaping by Creative Environments, including: a heated pool with 2 Baja shelves, 2 covered entertainment areas, multiple fire and water features, 4 fireplaces, above ground spa, automated lighted awnings, outdoor kitchen with stainless appliances, and so much more. You've got to see it!

28877 N 78th Street Scottsdale, AZ 85266

$2,649,000
4 Beds
4.5 Baths
4,046 SqFt
Status Active
MLS # 6733231
Property Type Single Family Residence
Price Type --
Spectacular Newer, Custom Home on 2.24 acres in the heart of North Scottsdale. Huge Opportunity! Large circular driveway, paved courtyard w/gas fire pit. Enter through the custom, wrought-iron front door. Large & open great room w/telescoping glass doors opening to beautifully landscaped back yard with pool, spa, synthetic turf lawn, built in BBQ. Entertainers' chef's kitchen w/custom cabinets, extra large island, granite counters, Sub Zero refrigerator & 8 burner Wolf gas range w/ double ovens. And a third, built-in oven and large breakfast area. Tile plank floors throughout & upgraded carpet & padding in the bedrooms. Large master bath with floor to ceiling glass shower & separate soaking tub. Huge closet w/ custom cabinets. Extra-large 6-car garage with epoxy floor. Priced to Sell!

37200 N Cave Creek Road Unit 2110 Scottsdale, AZ 85262

$2,647,900
2 Beds
3.5 Baths
2,716 SqFt
Status Active
MLS # 6729130
Property Type Townhouse
Price Type --
All new construction! Spectacular upper-level corner residence 2,716 sq. ft., 2 beds, den/office, 3.5 baths, 2 car garage with golf cart/storage area. Designed to integrate the stunning outdoors with the comforts of the inside. Incredible views of the Seven Golf Course and mountain ranges. This unit has an expansive covered patio with retractable, pocketed doors creating a spectacular space for entertaining. Private elevator is included for your convenience. Just steps away from the Seven clubhouse and Pro Shop. Ready Now! DM approval and Membership required. Avoid the wait list!

6035 E Los Reales Drive Carefree, AZ 85377

$2,625,000
4 Beds
4.5 Baths
4,552 SqFt
Status Active Under Contract
MLS # 6727297
Property Type Single Family Residence
Price Type --
Very elegant and totally private hacienda style courtyard greets you with 12 foot wood French doors opening to a botanical paradise surrounding a babbling brook style pool and spa. Just remodeled sleek primary suite and luxurious bath overlook the abundant gardens and romantic pool patios. Light filled kitchen anchors the home and opens to informal dining, formal dining and the glass dominant sweeping great room with warm wood accents and chic black stovepipe fireplace designed for entertaining. Poolside detached casita framed with slump block wall and extended trellis draped in floral vines just steps away from the generous covered and uncovered patios. Swim, lounge, converse and dine as you wish while enjoying the warmth of an outdoor two way fireplace that beckons all in residence. Primary suite also offers charming reading nook or studio/flex space for in home office or supplemental fitness options. Finishes include wood ceilings, wood beams, maple cabinetry, stone flooring, Bosch appliances, new sinks, new gas stovetop and custom bath fixtures. Los Reales is a bespoke gated community with only 14 homesites sitting at the base of Black Mountain.

2380 S Pinyon Jay Drive Unit 28 Flagstaff, AZ 86005

$2,623,000
4 Beds
4.5 Baths
3,197 SqFt
Status Active
MLS # 6765504
Property Type Single Family Residence
Price Type --
Home is currently under construction. The Coronado plan puts a central focus on the home's living area - an open layout that flows freely from one room to the next, and thanks to center-sliding patio doors, even allows the outdoors, in. An expansive patio calls for cocktails under the stars or summers reads on warm afternoons. Incentives are currently being offered. Please inquire with a Pine Canyon Sales Executive for more information. List Price includes the following upgrades: above garage bonus room, 3rd car garage with additional bump out, metal roof (in various sections), Built-in BBQ, Cantina pocket doors, fireplace surround to ceiling, exterior privacy fencing and a custom exterior color/stone scheme

10977 E Oberlin Way Scottsdale, AZ 85262

$2,620,000
4 Beds
4 Baths
2,925 SqFt
Status Active
MLS # 6655739
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 C has a 3 car garage available only on lots 19 & 10. Base price shown includes lot premiums and 25K pool and a 25k landscape allowance, Sub-Zero & Wolf Appliances & BBQ. Backing to the North side of Pinnacle Peak Mountain in N Scottsdale, Serene..

2455 N Maple -- Mesa, AZ 85215

$2,600,000
5 Beds
5.5 Baths
7,105 SqFt
Status Active
MLS # 6737617
Property Type Single Family Residence
Price Type --
Nestled in a private gated enclave with 20 custom estate lots. This basement home offers so much. The main floor includes a primary suite with dual W/I closets, guest bedroom w/ en-suite, library, office, greeting room & ½ bath. An open concept that includes dining and a large family room. The chef's kitchen is equipped w/ gas cooktop, pot filler, dual ovens & dishwashers. Multi shelved walk-in pantry room.The third level has a large bedroom, ensuite and a full length balcony overlooking the backyard oasis. The basement has two additional bedrooms, full bathroom, storage room, game room and a Theater!!! There is more...Oversized 4 car garage, plus a HUGH RV garage with built in storage and an air-conditioned workshop.

24051 N 112th Place Scottsdale, AZ 85255

$2,600,000
4 Beds
3.5 Baths
4,600 SqFt
Status Active
MLS # 6722030
Property Type Single Family Residence
Price Type --

9725 N Fireridge Trail Fountain Hills, AZ 85268

$2,600,000
4 Beds
6 Baths
6,229 SqFt
Status Active
MLS # 6766960
Property Type Single Family Residence
Price Type --
Perched gracefully within the prestigious FireRock Country Club, this meticulously designed Tuscan estate is a rare gem, deserving of global attention. Set on an elevated lot with breathtaking views, this home immediately captivates with its custom iron door and grandiose soaring ceilings, offering an emotional and architectural allure. Every detail within this residence speaks to refined living, starting with the open-concept great room, where a striking Cantera stone fireplace commands attention, complemented by an exquisite wet bar and a masterfully designed 200-bottle wine cellar—perfect for both entertaining and intimate evenings at home. he culinary heart of this estate is nothing short of a paradise, boasting premium stainless steel appliances, dual wall ovens, a 6-burner gas range, and newly redesigned granite countertops. The oversized breakfast nook and walk-in pantry complete this kitchen haven, while intricate Cantera stonework adds a touch of artistry. A true retreat, the master suite is an embodiment of relaxation and luxury. With its own fireplace, a private seating area or gym, and direct access to the serene backyard, this sanctuary is unrivaled. Indulge in the spa-like master bathroom, which has been completely reimagined with dual vanities, a lavish soaking tub, a walk-in shower, and a custom-built coffee bar, ensuring morning routines are nothing short of indulgent. Custom walk-in closets provide ample space for sophisticated living. Each additional bedroom is a stately haven with its own en-suite bath and walk-in closet, ensuring comfort and privacy for every guest. Business and pleasure coexist effortlessly with a smartly designed office featuring custom built-ins and a private patio. Outdoors, the home's multiple patios and decks capture FireRock's dramatic skyline and unforgettable desert sunsets. The negative-edge pool, outdoor fireplace, and fire pit evoke the joys of Sonoran living, surrounded by lush landscaping that includes citrus trees and raised garden beds, all carefully maintained with a modern irrigation system. Additional luxuries include recently updated white oak flooring, a wall of retracting glass doors, beamed ceilings, and formal dining enhanced by the ambiance of a well-appointed wet bar. The estate also boasts a backup generator, ensuring peace of mind, while energy efficiency is maximized with dual-pane tinted windows and sunscreens. Truly a rare offering, this estate combines stately design with contemporary comforts, making it a residence worthy of international acclaim.

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