Getting a Mortgage on A Second Home

Written by Kelsey Chisholm

If you have ever thought about owning a place where friends and family can gather, or just a place to unwind and getaway, you’ve also thought about what it takes to finance that second home.

First off, don’t let the term “second home mortgage” scare you. We can work with you to make this dream a reality!

Qualifying to buy a vacation home may be a bit more involved than your first home purchase, but with the guidance of a great lender, it can be a stress-free experience.  First and foremost, you will want to consider if you can afford a vacation home. Look at the potential down payment’s costs, location of the home, maintenance, homeowner’s insurance, etc. We always recommend getting pre-approved before you start your property search!

Your lender can walk you through options such as cashing out equity from your current loan, getting a loan on the second home itself, or even going in on the deal with friends and/or family. Currently, there is a minimum of 10% down if you go with a Conventional loan, but the down payment can be a gift.

There is one thing to consider, and that is that the home must be suitable for year-round occupancy.

If you are considering buying a second home, contact us today so we can take a look at your options!

Don’t let the term “second home mortgage” scare you!