Everyone loves to go on vacation, but buying a vacation home is not as easy as planning the trip. It is a detailed process and there is a lot to think about.
If you are so determined to get one, don’t worry you are one of us. Yes, after seeing the reviews and reports from the National Association of Realtors, it is shown that the vacation home market is going up in trend. The sales of these vacation homes went 58% higher than last year.
If you are an outdoor person you might know only the vacation itself takes a lot of tasks and time to plan and execute the way planned. Now you can think of how big it is to buy a vacation home.
Apart from the fun and enjoyment, buying a vacation home also gives you a chance to live in a whole other place to rest yourself. You can move anytime you want to relax the mind, get away from regular run-away tasks, and refresh yourself.
Before you buy a new vacation home, you should know the advantages and disadvantages of having one.
Pros of buying a vacation home
Low mortgage rates
For the first time, the average interest rate that is followed and fixed for 30 years for a mortgage decreased to 3% in July. Since then the mortgage rates have been in the low station so it is definitely a good sign to buy a house, apply for a loan, and everything.
Vacation homes are in trend
You can see people saying that buying a vacation home is a great investment for the future. Now there are reports and great numbers to support this fact. A report finds that from 2013 to 2018, the sale price of vacation homes has increased to 35% while the other new and existing homes sold were only 31%. It is surely an advantage.
Earn money from a vacation home
If you are not available to go on vacation for a year or two, you can consider renting it to someone. It may need your energy and time to maintain it from somewhere else, but you earn great money out of it constantly. It could be your backup.
Cons of buying a vacation home
Becomes more expensive
As the concept of buying a vacation home is trending as a profitable idea in the real estate business. A lot of people started doing it which increases the trend but it comes with a disadvantage which is the price.
As the trend level goes up, vacation homes become more expensive than they are worth.
Having a second home is fun but until you realize you have to spend money, time, and energy for maintaining them. You can’t keep a vacation home empty for a long time. You may have to provide security for that you will need security cameras or surveillance cameras. All these monitoring equipment are not cheaper. You may also want to pay for the utilities so the home will be ready for any time you want. Finally, it is double the fun to have two homes but it is also double the bills, maintenance, cost, and energy that needs.