Buying a second home in Scottsdale

Plenty of people buy in Scottsdale for part of the year: for winters in the 60s and 70s, for golf with friends, or as a place they plan to retire into later. Buying for part of the year changes what matters. The view still counts, but so do the HOA, who looks after the house in August and how easy it is to walk out the door.

This page covers what I walk second-home buyers through: the type of home, golf or no golf, property taxes, renting it out while you are away and buying from another state.

Start with how you will use it

What lock-and-leave means here

In Scottsdale, lock-and-leave usually means a home where the HOA takes care of the landscaping and much of the exterior, often in a gated community. You still need someone looking after the inside. Summer is the hard season for an empty house: the air conditioning has to keep running, the pool needs weekly service, and a monsoon storm can cause damage nobody notices for weeks.

Most part-time owners hire a home watch service to walk through the house every week or two. Many insurance policies also have rules about how long a home can sit empty, so ask yours before you leave for the summer.

Golf community or not?

If you will only be here part of the year, look at what a club costs over twelve months, not just the months you are in town. Private club dues usually run all year, and initiation fees can be significant. Some clubs offer other membership categories, so it is always worth asking.

If you play a few times a season, a community with public golf, like Grayhawk, Troon North, Legend Trail or McCormick Ranch, lets you live near the course and pay as you play. If golf is the reason you are coming, a private club is often worth it. Golf memberships explained walks through how they work.

Property taxes on a second home

Arizona assesses a primary residence and a second home at the same 10% ratio, but only a primary residence gets the state’s homeowner reduction on primary property taxes. So a second home’s tax bill is usually somewhat higher than the same house would carry as a primary residence.

Arizona also limits how fast a home’s taxable value can rise, generally to 5% a year. Before you write an offer, I pull the current tax bill for the home so you know the starting number. What it costs to buy covers the rest of the costs at closing.

Renting it out while you are away

Arizona law limits how far cities can go in banning short-term rentals, but Scottsdale still regulates them. To rent for less than 30 days, you need a city short-term rental license, at least $500,000 in liability insurance, notice to your neighbors and an emergency contact who can respond within an hour. You also need an Arizona transaction privilege tax license to collect and pay rental taxes.

The bigger question is usually the HOA. Many communities set a minimum lease term of 30 days or longer, and some have other limits on renting. I read the CC&Rs and rental rules for any home before you make an offer, because they decide whether renting is an option at all. The rules do change, so confirm current requirements with the City of Scottsdale.

Communities that work well for part-time owners

Each of these has homes that are easy to own from a distance. The guides cover the courses, the homes, the membership and the current market.

Want to compare them side by side? Get the free North Scottsdale Golf Community Guide, or see every golf community.

Buying from out of state

Most of my second-home buyers live somewhere else when they buy. We start with video tours and a short list, then plan one trip to see the homes that make the cut. I can attend the inspection wrap-up and the final walk-through for you, and closing documents can often be signed remotely.

Many buyers shop in winter, when they are here anyway. Summer usually brings fewer competing buyers, so it can be a smart time to buy if you can handle a 110-degree showing. Relocating to Scottsdale has more on how buying from out of state works.

Questions second-home buyers ask

Is a second home in Arizona taxed differently than a primary residence?

Both are assessed at the same 10% ratio, but only a primary residence gets the state’s homeowner reduction on primary property taxes, so a second home’s bill is usually somewhat higher.

Can I rent out my Scottsdale second home?

Often, yes. Scottsdale requires a short-term rental license for stays under 30 days, along with liability insurance, neighbor notice and an emergency contact. Many HOAs set their own minimum lease terms, so check the community’s rules before you buy.

What is a lock-and-leave home?

A home where the HOA handles the landscaping and much of the exterior, so you can close the door and leave for months at a time. Condos, townhomes, patio homes and villas are the most common types.

When is the best time to buy a second home in Scottsdale?

Many buyers shop in winter, when they are in town. Summer usually brings less competition, and with video tours you can do most of the search from home.