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Gather your ideas before buying a second home, try Steps to Buy a Home/ Your Home Buying Process for more helpful tips.
Buying a second home, a vacation getaway is a really popular American dream and here are my top 10 tips on how to do it right.
🧳 Things to Prepare to have a Vacation Getaway
Tips in Buying a Second Home
Number one, is it easy to get to? That means if you’ve got to spend more than three hours in an automobile or an airport, it’s too much time. You’re just not going to go there very often. So, pick something that is relatively close to home within driving distance or just an hour or an hour and a half away on a plane flight and you’ll be golden.
Number two, does the whole idea of doing this make you feel relaxed or stressed? Are you trying to keep up with the Joneses where you’re trying to relieve some stress? If you’ve got the money to do it. It can be a great thing if you’re really strapped and it’s going to stretch you. It’s going to be something that’s gonna add to anxiety rather than relieve it.
So take your own temperature, figure out whether or not you’ve got the space in your life to buy a second home. If a vacation getaway is for you or not, affordability is number three.
Things like mortgages, insurance and maintenance. These things are a little bit more expensive on a vacation home, so when you’re budgeting for that, keep that in mind. It’s going to cost you a little bit more to do that than it is a primary residence. Check out this 20 Mortgage Home Loan Disasters to Dodge for additional info.
🕵️♀️ Checking out the Taxes in Buying a Second Home
Taxes. Now there are some tax benefits by owning a second home. You can write a lot of that stuff off just like you would for your primary residence. Check it with your tax expert to make sure you find out what the property taxes are on the homes in the area that you’re looking into. They could be vastly different from where you currently reside and your primary residence.
Number five reason is avoiding stress. That’s right! You can rent a home and stay there for a while, but there is going to be some stress added by doing that compared to living in your own place that you have stocked with your favorite things, you’re the coffee that you like, the towels you liked, the betting that you like. If you’re just renting a place, you’re using whatever pot somebody has put in there, and if you don’t have the things that you like to eat and drink in that house, it could be that you’re having to run around half the time that you’re staying there and that rental just to get it.
😷 Relieve your Stress by Owning a Place
So number five, is owning your own place can be a stress reliever as compared to renting a vacation getaway.
Rent it out and enjoy some of the income to have it offset the cost of the mortgage. In the meantime, you can block off a few weeks or a year. So that, you can stay there. If you wish to do that and then rent it out the rest of the time and use that rental income to make your mortgage payment for you. So, when you retire, you’ll own the home free and clear without having to make payments on it.
Number seven is avoid timeshares. That is not a good investment. Oftentimes, people end up regretting that they own those things and they’re trying to dump those contracts a few years later on some other person who is willing to sit through one of those four hour seminars and get sucked into a timeshare.
🤷♀️ Think Twice Before You Buy a Second Home
So don’t do that! You’re far better off owning your own vacation getaway, your own second home than you are a timeshare. Point number eight, is think twice before moving forward, making a purchase of a second home with a friend or family member. Now I know, I know it can work out. It often does, but when it doesn’t, it doesn’t and it can actually destroy relationships.
If you’re really clean and they’re not, believe me, you’re going to feel stressed when you see those people and you’re going to feel stressed when you’re cleaning up their mess. So think twice before you buy a second home with a friend or family member.
And Hey! guess what? I’ve got something for you. It’s called Moving Kit. It’s designed to save you thousands. I’ve got a link below. If you’re thinking about buying a second home, sign up for moving kit. Make sure you do that and get in on those savings. In the meantime, I want to say thanks for watching this video and I’ll see you next time. Bye!
How Can Buying a Vacation Home be a Great Investment – by Bill Gassett
Top Tips For Buying A Vacation Home – by Kyle Hiscock
5 Things to Consider Before You Buy a Vacation Home – by Debbie Drummond
The Complete Guide to Buying a Vacation Home – by Anita Clark