Finding The Perfect Vacation Home
Finding The Perfect Vacation Home
Buying a second home has become one of the fastest growing trends in the country. The National Association of Realtors says 23% of all homes purchased in 2004 were for investment purposes, and another 13 % were vacation homes. Baby boomers are now reaching retirement, and are driving the market for second homes wild. “Because the typical second-home buyer is a baby boomer, it’s likely over the next decade that second-home sales will remain historically high,” says David Lereah, chief economist for the Chicago-based NAR.
Owning a vacation home is no longer an impossible dream, but there are some basic steps that you can take to prevent your dream from becoming a nightmare. “Before you invest in a second home, consider the location, pricing trends and the time horizon for your gain,” says Edward Powell, chief consumer officer of Charlotte, N.C. - based Lending -Tree.com.
Evaluate your lifestyle; think about the amount of time you’ll be spending in your vacation home. How far are you willing to travel to get there? Anything more than a couple of hours may be too long of a trip for just a weekend getaway. Condominiums are relatively low maintenance which makes them a good option for those using their homes one season a year, or for those who want a place farther away from their primary home. If considering a condo, find out whether you can live with the homeowners’ association rules. A single family home will have more privacy but you’ll have to handle all the maintenance. When choosing the location, consider the town. Check out the public school system, even if you don’t intend to use it, better school districts are sought after, increasing the value of your home.
To get more familiar with an area, drive through neighborhoods, talk to locals and find out how the town has changed over the years. Make sure that there is quality, accessible health care nearby and that the environment is both safe and affordable. Don’t forget to watch the weather, especially if you plan to use it for all seasons. In 2004, Dr. Andrew Schiller, a PhD geographer and president of Location Inc, studied 23,000 coastal and Rocky Mountain locations to find the emerging hot spots for vacation homes for his second annual survey.
In compiling his list, Dr. Schiller searched for towns with characteristics important to many vacation-home buyers: peace and quiet, safety from crime, educated neighbors, excellent public schools, affordability and an enviable mix of rental properties and owner-occupied homes in attractive coastal or mountain settings, all indicators of a top quality community where real estate investments are more secure. EscapeHomes.com of San Francisco listed the top ten second-home markets in February 2005 as Myrtle Beach, S.C., South Padre Island, Tex., Naples, Fla., Holden Beach, N.C., Ocean City, N.J., Las Vegas, Nev., San Diego, Calif., Park City, Utah, Orlando, Fla., and Santa Fe, N.M.
EscapeHomes.com lists the top ten developing markets as Big Lake, Alaska, Brunswick, Me., Clear Lake, Calif., Livingston, Mont., Minden, Nev., Murphy, N.C., Paonia, Colo., Talent, Ore., Vashon Island, Wash. and Venice, Fla. Research several areas to see how each matches your wish list for recreational activities, such as golf, skiing, arts and culture, dining, swimming, boating, hunting, fishing and hiking. Compare costs and make several scouting trips to promising regions. Do your homework, stick to the basics, and be patient and soon you’ll be relaxing in the comfort of your new vacation home.
Information provided by National Association of Realtors and NeighborhoodScout.com.
