Loan Types Overview
The right financing depends on how you'll use the property. Each category has different requirements and rates.
Primary Residence
If Summit County will be your main home:
- Conventional: 3-20% down, competitive rates
- FHA: 3.5% down, flexible credit requirements
- VA: 0% down for eligible veterans
- USDA: 0% down in eligible rural areas
Second Home
For vacation properties you'll use personally:
- 10-25% down payment typical
- Higher credit score requirements (680+)
- Must be used personally part of year
- Slightly higher rates than primary
Investment Property
For rental-focused purchases:
- 20-30% down payment required
- Higher interest rates
- May use projected rental income
- Cash reserves required
Jumbo Loans
For properties exceeding conforming limits:
- 20%+ down payment
- Excellent credit required
- Higher documentation requirements
- Available from select lenders
Alternative Financing
- Cash purchase
- Home equity loans
- Portfolio loans
- Seller financing (rare)
Second-home loan considerations
Most mountain property buyers use second-home or investment-property loans rather than primary-residence financing. Second-home rates typically run 0.25-0.5% above primary residence rates and require 10-25% down depending on lender and credit profile. Investment-property loans (where the property will be rented) carry rates 0.5-0.75% above primary residence rates and require 20-25% down. Conventional limits cap out around $766,550 in most counties as of 2026; properties above that threshold require jumbo financing with stricter qualification standards.
Lenders worth considering
Not all lenders are equally comfortable with Summit County and Vail Valley appraisals, particularly for unique mountain properties (ski-in/ski-out, off-grid, log construction). We maintain a working list of lenders who consistently close in this market without surprises. The shortlist includes a mix of national banks, regional Colorado lenders, and credit unions with strong mountain-market experience. Buyers using less specialized lenders sometimes encounter delays during appraisal or last-minute conditions that surprise them late in the process. We share specific lender contacts with active buyer clients during the pre-approval phase — sharing them publicly here would unfairly highlight a small set of relationships.
Cash buyer considerations
Roughly 30-50% of mountain property purchases in our market are all-cash transactions, particularly in higher price ranges. Cash buyers gain meaningful leverage in negotiations: faster closes (often 14-21 days vs 45-60 for financed offers), no appraisal contingency, and reduced risk of financing fall-through. Sellers often accept slightly lower offers from cash buyers in exchange for transaction certainty. If you have liquid assets in retirement accounts or stock portfolios, talk with your financial advisor about whether moving funds to cash for a transaction (and replacing them later through new contributions or strategic refinancing) might net better than direct mortgage financing for your situation.