Financing a Second Home in San Diego

Are you considering buying a San Diego property as a second home or investment? Perhaps you are looking for the profit of a vacation rental, a vacation home to keep for yourself, or maybe you want to have another home closer to family. Whatever the reason, a second piece of real estate in San Diego is a great investment. However, funding that puchase will be different than your primary residence, and getting a mortgage on that second property can be a challenge.

Generally, mortgage lender requirement standards for second home loan will be tougher than primary home loans. This is because purchasing a second home will create more demand on your finances and you will have less money to spare because you are already paying a mortgage on your primary home. This is why your second home mortgage can not only be harder to get, but is also likely to have a higher interest rate.

Here are some tips to keep in mind that will help you to get the best mortgage on your second property:

Build up savings. Your mortgage lender will want to be able to see that you have a large amount of savings so that you will have enough to pay for the mortgage even if you were to lose your job.

Pay down credit card debt. Many lenders will be hesitant to approve your second home mortgage if they see that you have a lot of debt on your credit card. They will want to see that you have a low debt to income ratio so that you will be able to pay back the loan.

Use the first mortgage as a good reference. If you have always made your payments on time and you are most of the way through paying off your first house, you could ask someone from your current mortgage company to vouch for you. The lender for your second mortgage will be reassured that you are a reliable person to loan money to.

These are just a few tips to keep in mind in order to make getting a mortgage for your second property as easy as possible. To find out more about investing in San Diego property, or to be connected with a trusted lender, contact me.

Scroll down to see some listings in San Diego's hot rental and vacation real estate markets of Mission Beach and Pacific Beach!
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San Diego, CA 92109
$2,795,000
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Perfect Owner-Occupied, income producing property (4-on-1) in the highly desirable Crown Point neighborhood just 2 blocks to Mission Bay! Front Unit: 3br/2.
San Diego, CA 92109
$1,850,000
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Duplex opportunity! (2 Homes on 1) 6,242 sqft lot.
San Diego, CA 92109
$4,995,000
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1478 Hornblend St will be delivered VACANT so you can immediately set market rents with no evictions.
San Diego, CA 92109
$5,500,000
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Don't Miss this extremely rare opportunity to own (10) well operated apartment units, on two adjacent lots in South Mission Beach - just steps to the beach and bay.
San Diego, CA 92109
$2,779,000
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Welcome to 725 Kingston Ct.
San Diego, CA 92109
$14,500,000
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The Blend, a collection of 14 NEW upscale townhomes in the heart of Pacific Beach.
San Diego, CA 92109
$1,495,000
1322
sqft
3
Baths
3
Beds
Stunning 3-Bedroom Townhouse Just Steps Away from the Surf & Sand in Prime South Mission Beach! Featuring an open modern-concept layout, this beach retreat features oversized windows throughout w/lots...
San Diego, CA 92109
$2,962,000
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SoCal lifestyle living awaits you in this multi-unit bay and beach side beauty! Located steps away from the bay and beachfront in the heart of Mission Beach.
John Collins

John Collins

DRE# 01948188
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