Over the years, you’ve spent many happy summers at that lake, beach, or mountain resort. The kids think of it as a second home. Maybe it’s time to buy property there so the family can enjoy it for years to come.
If that’s your thinking, you are not alone. According to the National Association of Realtors (NAR,) vacationhome salesaccounted for 21 percent of all real estate transactions last year, their highest market share since thesurveywas first conducted in 2003.
But, suggest financial advisors, before you decide to buy that second home, consider four important questions regarding convenience and cost:
How often will you use it?Surveys show most vacation homes are within two hours of the owner’s primary home. More travel time than that, and you may not choose to make the trip nearly as often as you thought you might.
How much will it cost?In addition to the purchase price, consider annualproperty taxesand insurance as well as monthly utilities, trash removal, and maintenance services. For safety’s sake, you may want to add the cost of a security and/or alarm system, plus the cost for a property manager to keep an eye on the property when you are not in residence – and to handle rental services if you decide to rent the property.
Will you rent or not?You may be planning to offset costs by renting out the home while you’re away, and that could be a worthwhile decision. But if you will rely on rental income to meet expenses, check first with local agents/rental companies to see what similar properties are renting for in the area and what the occupancy rate is like. Also, understand that if you rent during the region’s high or most desirable season – say, winter in a ski area or summer at the beach – you will limit the time you and your family will have the property available for your use.
What about maintenance?– Your vacation home will likely need as much year-round upkeep as your primary home. Be prepared to devote at least part of your vacation time tending to repairs – or tack on the cost of keeping ahandymanon retainer.
By James DAmico
Author:Deirdre Lucey-Humphries Phone: 863-557-8851 Dated: January 19th 2018 Views: 301 About Deirdre: Deirdre is a Broker and co-owner, with her husband Steve, of EXIT Realty Champions in Davenport - th...
View our latest blog posts in your RSS reader. Click here to access.
EXIT Realty Champions', Champions Gate Real Estate Office, by Reunion Resort Orlando, is a full service Real Estate Brokerage Office in Champions Gate, Davenport 33896, next to Reunion Resort in 34747. Search for homes for sale with our Realtors, local experts in Champions Gate, Reunion Resort, Kissimmee and Davenport FL. This being the main area for resort vacation homes that can be rented out to meet the Disney World Orlando>, Universal Studios and other theme park market.
Alternatively, if you are looking for a new place to live, Our Realtors can help you find the perfect home in the Orlando, Kissimmee, Davenport, Clermont area known as the Four Corners, where Osceola, Lake, Orange and Polk Counties come together, Next to Disney and the Theme Parks.
EXIT Realty Champions' Realtors in Champions Gate, have a cutting edge Digital Marketing Strategy to help you sell your home for top dollar available in today's demanding market.
Rest assured that EXIT Realty Champions will Champion your housing needs, whether buying or selling one of the biggest investments you have, your home.