Financing in Phoenix>Question Details

cnm4000, Home Buyer in Chicago, IL

I live in Chicago and I don't own a home. I'm interested in buying a home in Phoenix as my primary resident. Can I get mortgage?

Asked by cnm4000, Chicago, IL Tue Feb 19, 2013

I would like to buy a home in the Phoenix area and maybe move there later this year or next. Maybe just visit the home until I move or rent it out in the future. Can I qualify for a AZ mortgage since my place of employment is in Chicago? Currently I just rent in Chicago

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Answers

18
Hi cnm4000:

Based upon your scenario, you would need to buy the property as a second residence, as long as your intent is NOT to rent it out in the foreseeable future (otherwise, you would need to treat it as an investment property). With your continued work being in Chicago, it is obvious this is where your primary residence must be. The fact you "just rent" does not change that home from being your primary.

There really are not that many differences being the loan terms for a primary vs. second home, so do not be discouraged.

Please contact me when you are ready to move forward and we can discuss how to best proceed.

Bill Parker, Loan Officer
AZ Lic# 09011570
NMLS #223607
CPA--Licensed, no longer practicing

GenCor Mortgage Inc.
15730 N. 83rd Way, Suite 103
Scottsdale, AZ 85260
(O) 480-525-8496, EXT 743; (M) 602-565-3646; (F) 480-436-5226
EM: BParker@GenCorMortgage.com
Website: http://www.GenCorMortgage.com
LinkedIn: http://www.linkedin.com/in/billparkercpa



MISSION STATEMENT: To create an unbelievably enjoyable experience for my clients, while guiding them through the most important financial transactions of their personal lives. My clients know me as their Mortgage Lender for Life. I truly appreciate your referrals.

If you think it's expensive to hire a professional to do the job, wait until you hire an amateur.
Red Adair, Oil well firefighter
1 vote Thank Flag Link Tue Feb 19, 2013
Yes, if this is a home that you will be occupying periodically and not renting out, then it would be considered a second home. You would have to put 10% down, but the interest rate and terms would be roughly the same as if it were your primary residence. If this will be rented out, then it would be an investment property and would require a minimum of 20% down and you would have higher interest rates and fees as it is a higher risk loan for the banks. The important part in determining if you can qualify to purchase is your credit and determining if your income is sufficient to pay for your rent and the new mortgage payment on the AZ home. If you need some help, feel free to contact me and I would be happy to assist you.

Brian S. Cardenas | Sr. Mortgage Banker
NMLS # 183143 | AZ LO # 0913950
AmeriFirst Financial. Inc.
M: 480.233.7897
1 vote Thank Flag Link Tue Feb 19, 2013
There have been many answers sent to you. The best advise, talk with a lender.

To purchase a home as a primary residence one needs to live and work in the same place unless your work has you traveling. You can purchase as a 2nd or investment home but then your interest rates are usually higher.

Again- speak with an agent...You can always find a home, have an investor purchase it (I have a couple that do just that) and then make payments to them as they will be the bank.

If that is something you are interested in, let me know as I can assist with that as well.

Debbie Nieman
Keller Williams Sonoran Living
602-799-5239

http://www.diverdebi.com
http://www.diverdebirealty.com
0 votes Thank Flag Link Sat Feb 23, 2013
I am from Chicago area too! Where are you located? You should talk with a lender and see if they can help you.
0 votes Thank Flag Link Wed Feb 20, 2013
Hello "cnm"!
Some of these answers are long and confusing, I imagine. Here is the bottom line: yes, you can get a mortgage in Arizona even though you work in Chicago. If you are not living in the home full-time initially, your amount down, interest rate and qualification may be different. But all that is best answered by a loan officer. I can refer you to a few that my clients have worked with and recommend.
I would be happy to help a fellow Chicagoan --- I moved here 7 years ago and don't miss Illinois' weather at all!
Contact me at 480-370-6520 or eileen.shapiro@nextagerp.com for additional info!
0 votes Thank Flag Link Wed Feb 20, 2013
The purpose of a primary residence is one that you will occupy. If you and your income source is in Chicago and you can not get paid from your income source unless you show up to a place in Chicago, then the home you seek will be a second home or vacation home. This is less risk than a rental property and will have a smaller down payment requirement and interest rate.

However if your income source in Chicago can be maintained while you live in Phoenix (an there are many examples of this situation) then the scenario could be an owner occupied purchase. This wouold have the least risk in occupancy types and would be the least in down payment and interest rate.

Dave Jackson
Loan Officer/Real Estate Asset Planner
Financing Solutions for Arizona Real Estate since 1993
American Financial Lending, Inc.
20860 N. Tatum Blvd, Suite 160
Phoenix, AZ 85050-4277
602 277-3800 w
602 631-9788 f
602 524-2401 c
602 912-9438 h
davej@aflhomeloans.com http://www.aflhomeloans.com
0 votes Thank Flag Link Tue Feb 19, 2013
Hello,
Your question needs to be directed to a lender who is familiar with this type of loan who can discuss your situation and goals. I just had this conversation with the lender Emelio I am going to refer you to. He has actually helped a few buyers purchase primary resident properties from another state. Please contact him to see if you qualify or if he can help you. I wish you all the best, Tiffany

Emilio Cosculluela Sr Mortgage Banker at Waterstone Mortgage
Office: 480-257-1005
Cell: 602-708-9322
Emilio.Cosculluela@waterstonemortgage.com


Best wishes,


Tiffany Carlson
Associate Broker
Realty One Group
Cell 480-215-1105
Fax 480-302-5885
tiffanycarlsonrealtor@gmail.com
0 votes Thank Flag Link Tue Feb 19, 2013
I would like to have a home in Phoenix, but I don't have a home in Chicago. I thought that I could have my primary house in AZ and share time between the two locations. But it seems I may have to get a home financed as an investment property or a vacation home instead of a primary resident.
0 votes Thank Flag Link Tue Feb 19, 2013
Your primary residence is where the majority of your time will be spent. As Ros said before, if you have a job where you can work anywhere, then an underwriter must believe that you will be living here a majority of the time. There are different ways that can be done, but everyone's situation is unique. If your job requires that you be in Chicago to earn your income, then the home in AZ would be a second home. If you can put 10% down, then there is no significant disadvantage to having this be your second home. It also simplifies things quite a bit. The exception to all of this is if you will have the property rented, then it must be an investment property. It is really best to consult with an experienced, honest loan officer who will give you the proper advice so that you stay away from any trouble. Let me know if you'd like to discuss your situation further.

Brian S. Cardenas | Sr. Mortgage Banker
NMLS # 183143 | AZ LO # 0913950
AmeriFirst Financial. Inc.
M: 480.233.7897
Flag Tue Feb 19, 2013
@Roswell, even if it is unintentional it will still be fraud. Although from the question we can understand that the person asking the question is well aware than in reality it will NOT be his primary residence. It is clear he is looking for a way around it, aka fraud.

You are right, this forum is to provide general information and guidance. And many people here provide very good and honest information. Most of the answers in fact were good and honest. Unfortunately many others were not. They just flat out lie, to try to get business. Responses like: "Yes you can qualify" are not only irresponsible, but imply willingness to help someone do something that is clearly wrong.
0 votes Thank Flag Link Tue Feb 19, 2013
Your assumptions are offensive. I asked a question about something I don't know about. Don't say what I'm trying to do if you don't know.
Flag Tue Feb 19, 2013
To June:

Not all borrowers understand the legal constraints for the different types of home loans; that's where we, as professionals in this business can help our clients by educating them & staying out of trouble.

That's a pretty big leap to accuse people in this forum of mortgage fraud! I don't believe anyone here is trying to help cnm4000 commit mortgage fraud - quite the contrary! We like to keep our clients out of trouble!

All the best,
Ros

Roswell Moore, CMPS
Certified Mortgage Planner
0 votes Thank Flag Link Tue Feb 19, 2013
Thank You for your reply. So the only way to purchase a home in Phoenix
would be to live there or buy it as an investment property?
Flag Tue Feb 19, 2013
If your income is portable and you are will to state that this is your primary residence, you can finance as owner occupied with lowest down payment and interest rate. Otherwise thi purchase would be a second home with greater down payment and higher interest rate.


Dave Jackson
Loan Officer/Real Estate Asset Planner
Financing Solutions for Arizona Real Estate since 1993
American Financial Lending, Inc.
20860 N. Tatum Blvd, Suite 160
Phoenix, AZ 85050-4277
602 277-3800 w
602 631-9788 f
602 524-2401 c
602 912-9438 h
davej@aflhomeloans.com http://www.aflhomeloans.com
BK # 0910057 NMLS LO ID # 284875
0 votes Thank Flag Link Tue Feb 19, 2013
Phoenix is a great area and much warmer than Chicago! HA Didn't need to tell you that one in February did we.

The values in Phoenix are still low and the homes will rent and provide positive cash flow while rented until you decide to make the move. The best of both worlds, a home for the future an an investment until them.

We provide Property Management as well as helping you with the purchase so one contact and we can handle this one for you until you move to Phoenix permanently.

The lender side we can cover, one of my favorite lenders is also from Illinois and does a great job at finding the best program for your individual circumstances.

Lets get started and determine the best path for you.
0 votes Thank Flag Link Tue Feb 19, 2013
“A person's primary residence, or main residence is the dwelling where they usually live. A person can only have one primary residence at any given time. A primary residence is considered to be a legal residence for the purpose of income tax…”

Your first sentence seems to indicate you want to commit fraud.

I am surprised at how many “professionals” seem to be willing to help you on this! Only a few of the answers below have been honest.
0 votes Thank Flag Link Tue Feb 19, 2013
Not trying to commit fraud. Just trying to get info because i don't know.
Flag Tue Feb 19, 2013
Hi cnm4000,

If you are going to purchase a home as your Primary Residence, you will need to be able to show an income source as you live in the Phoenix area. I have worked with many clients who are in the IT filed & can literally work anywhere as long as they have access to a phone & an Internet connection. If you fall into this category, than as long as you qualify, you should be fine. You could buy the home with as little as 3.5% with mortgage insurance or 5% down, without mortgage insurance (MI) - please ask me about this No MI option.

Now, if you agree to finance your purchase as a Primary Residence, you in turn sign paperwork agreeing to move into the property within 60 days, & to live in the property as your your Primary Residence for 12 months after you move in. You will not be able to rent the property out.

You can also purchase this property as a Vacation Home (2nd Home) with at least 10% down, & would not require you to move into the home, but again, you could not rent it out. You could do this with no monthly mortgage insurance, as well.

Finally, you could finance the property purchase as a Non Owner Occupied (NOO) property & rent it out, or not; your choice, & move into the property, later.

Please feel free to contact me directly if you have any further questions, I'd be glad to help.

All the best,
Ros

Roswell Moore, CMPS
Certified Mortgage Planner
480-422-5095 direct
http://www.ezAZloan.com
NMLS ID 263779
Web Reference: http://www.ezAZloan.com
0 votes Thank Flag Link Tue Feb 19, 2013
Dear John:

Yes, most definitely. Also ask me about free grant money that is available if you decide to move.

Jeffrey Masich, Reatlor, GRI, MBA
HomeSmart Realty
Scottsdale
http://JeffMasich.com
JeffMasich@ArizonaHomesLand.com
480-556-0940
0 votes Thank Flag Link Tue Feb 19, 2013
As a former resident of Chicago, I would love to assist you in finding a home here in Phoenix. I have a mortgage lender here to assist you.

Thank you,

John Lesieutre
Red Manor Realty
602-317-2957

Duke Pyle
Senior Mortgage Banker
17015 North Scottsdale Road #300
Scottsdale, AZ 85255
Direct: 602-619-8008
Duke.Pyle@AcademyMortgage.com
http://www.Academy.cc/DukePyle
0 votes Thank Flag Link Tue Feb 19, 2013
Hello,

Thanks for your inquiry. To answer your question, qualifying for a mortgage depends on your credit. I can put you in touch with a lender here in Arizona and he will be able to answer all your questions. Then if you are still interested he can pre qualify you. As for the purchase side, I can help with that as well as managing it if you decide to rent it out.

If you would like more information, please get in touch with me.

Linda Matejko-Realtor
Az Elite Properties
linda.matejko@gmail.com
480-202-2649
0 votes Thank Flag Link Tue Feb 19, 2013
cnm4000,

As long as you can qualify per the lender's guidelines, living in another state should not pose an issue. I work with one of the best lenders in town, give her a call and she will pre-qualify you within an hour:

Simma Robbins
simma.robbins@imortgage.com
(480) 710-4636

If you would like to start your own MLS search, you can do so right here:

http://link.flexmls.com/wvrkhng2hi9,12

I am a top 1% producer at the valley's #1 brokerage - West USA Realty. Please give me a call to discuss your needs in greater detail and to narrow your search parameters. I would love to help you buy a home!
0 votes Thank Flag Link Tue Feb 19, 2013
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