A Wise Investment
What gives you better returns then the stock market?
What's a better foundation for retirement then an IRA?
Real estate.
Consider the benefits of a second-home in a great location where you might like to vacation on a regular basis.
More and more Americans are finding that owning a second home provides tax breaks, a pleasant vacation spot, and often a sound investment.
Benefits of Ownership
- Short-term rental income can greatly offset the cost of your vacation home.
- Higher appreciation rates make owning a second-home in a sought-after vacation spot a great long-term investment.
- Go on vacation in the comfort of your own home!
- Mortgage interest on first and second-homes is DEDUCTIBLE up to $1 million.
- Depending on the circumstances, other tax benefits could apply.
Home Shopping Tips
Ready to start shopping for your dream vacation home?
Here are a few things to keep in mind:
- If you plan to rent your property, check on the demand for short-term vacation rentals in the area.
- Make sure that a homeowners or condo association doesn't prohibit short-term rentals.
- Check the appreciation rates for the area over the last few years.
- Be sure to budget for the extra expense of owning a rental. Expanses include: management, marketing, cleaning and maintenance.
Give Yourself Credit
Financing a second home may be easier than you think.
Click here to find out more.
Can you afford it?
Ready to start shopping for that great vacation home?
Before you buy a house, you'll need to take a look at your financial picture.
Owning a second home can provide tax breaks, recreation, and long-term investment benefits.
You don’t have to be wealthy to qualify, but you do need to know your options.
Looking at owning a second home implies you have SOME additional disposable income available—money you’d rather invest than simply save.
The National Association of Realtors estimates that the average second-home buyer has an annual income of $85,900.
If you plan to rent the property, that may offset some of the expense you still need to be in a position to pay the mortgage however.
To get the best financing deals, your lender will also factor in your credit rating.
Make sure everything is in order before you approach a bank or other lender.
Second-home mortgages are sometimes different from traditional mortgages.
Typical mortgage lenders may scrutinize second-home loan applications more diligently than they would for primary-home loans.
In addition, rates and points may be higher than a comparable loan for your primary residence.
Nevertheless, there is definitely mortgage money available:
- With today’s low interest rates, applying for a second mortgage on your current home can be a simple yet economical solution.
- Consider funding part of your purchase with a home-equity loan on your primary residence.
- If you have the money for the down payment, low interest rates make even conventional loans doable.
- Remember to factor in the tax benefits of the second home.
Home Marketing Tips
Once you buy your new getaway you can actually profit from it as well.
Renting out your vacation home while you aren't using it can cover the cost of your mortgage for you and put a little extra money in your pocket at the same time.
Sites like
FindRentals.com make it very easy to showcase your unique slice of heaven to a global audience.
