Mortgage for a Vacation Home
Vacation or second homes provide a quiet place for family vacations or as a retirement home in years to come. For many families, there is no better vacation than returning to the same home year after year, to build a lifetime of happy memories at "the summer house". I have an increasing number of clients looking for a mortgage for a vacation home. If you are looking for a cabin on the lake, or in the woods, a home at the beach, or just a piece of land to build on in the future we can help you. Email mortgage for a vacation home questions
While many lenders only offer a mortgage for a vacation home requiring a 20% down payment and at interest rates much higher than required for conventional loans, We can make your dream come true with only a 5% down payment. And at regular, conventional interest rates. Vacation home loans are available as 30 or 15 year fixed rate, adjustable rate loans, balloon loans, and we can even help you with a "stated income" loan is your income is difficult to verify. Many of my clients obtain the down payment for their vacation home by taking out a home equity line on their primary residence. If the borrower can afford the monthly debt payments of the equity line, this technique can be an easy way to get the cash for the vacation house.
100% financing is now finally available for vacation or second homes! Financing is available up to $417,000 with a 45% debt to income ratio, $1,500 residual income and only 2 months of liquid reserves. When you find the "perfect" vacation home, we have the financing that makes sense.
Is joint ownership of a vacation home a good idea?
Sharing the cost and upkeep of a vacation home with family members or close friends is an alternative to buying alone. Before considering this option, you should first find people who share the same vacation home goals as you do and have the financial capability to share in both the purchase and the on-going costs. Potential partners should be immediate family or long-term friends-people who with whom you will feel comfortable making rules and enforcing them, as well as managing the day to day maintenance of the property.
Sharing a vacation home also often means sharing a mortgage to help purchase the property. Borrowers should be extremely cautious and make sure that potential partners do not financially overextend themselves to participate in the purchase. If problems occur down the line, it is possible that another partner may be unable to continue payments, leaving the remaining partner or partners with all of the expenses to pay. A partnership agreement drafted by an attorney should definitely be used for anyone considering buying real estate with friends or family. Because of the many potential pitfalls of buying a home with partners, vacation home buyers should probably shy away from this option unless the property is so spectacular that sharing it would be a better option than having sole ownership of a smaller property.
We can help finance the vacation home if you are building with a construction/perm mortgage for a vacation home. If you need to remodel mortgage for a vacation home, I can help. If you are buying land to build on later I can help you with a lot loan. Or, if the home is already built, I can help you with the permanent loan. We offer 30 and 15 year fixed rate loans, adjustable rate mortgages, balloon mortgages, stated income, and no documentation mortgage for a vacation home. We can even finance your vacation home with a program which will allow very high debt to income ratios. If you are concerned over having to make a large down payment, I have several loan programs which will allow only a 10% down payment for vacation homes.
Read more about Mortgage for a Vacation Home Closing Costs
I have included a page on how to calculate your qualification ratios.
I have included a page on documentation requirements.
We offer you the ability to qualify and close into several unique programs which accommodate borrowers with non traditional income or asset situations. Please visit my No Docs page.
* I have included a section on the new Cash Flow ARMS. A LIBOR based product which gives you complete flexibility in managing your mortgage.
The new Asset Manager is a creative HELOC which gives you complete control over your mortgage as well.
As a Certified Mortgage Planning Specialist, I offer an analysis of your situation today can make suggestions on how small changes in how your consumer and mortgage debt is structured today can have a life changing effect in the years to come. Read more about this free, no obligation service.
Prequalify for your Mortgage for a Vacation Home.