If you are interested in buying a second home, this may be a good time. Prices are down, as the housing market is in a slump, and mortgage interest rates are low. Thus, you can acquire a vacation home for much less than you would have paid a few years ago. There are many homes available in attractive vacation areas because many owners are trying to sell their beach houses and mountain cabins.
What’s more, the Baby Boomers born in the 1940s and 1950s are starting to retire. They may want second homes or retirement homes, adding to the demand for places in certain areas. That demand could keep prices from falling and lead to increased prices in the future. You might be able to buy a second home today and sell at a profit after holding the property for a number of years.
If you do buy a second home, though, you may feel like you should use it whenever you have vacation time. As long as you are paying all the costs of a second home, you might not feel comfortable going elsewhere. Therefore, when you buy a second home you probably should expect to go there regularly, to get your money’s worth.
