I loved your headline! At this time of the year, Arizona sounds like a winner. BUT, I dont’ quite understand your math. It seems like you could have a mortgage of $175,000 — and I’m not sure that you could actually GET a mortgage of that amount based on your income, despite your good credit. I suggest that before you do anything you go to Quicken’s Rocket Mortgage or Guaranteed Rate and find out how much of a mortgage your income could support.