Why Right Now Might Be the Best Time to Buy a Vacation Home

In 2016 vacation home purchases accounted for 21% of all home sales, with an estimated 1.13 million properties purchased. This is surge accounts for the highest level of vacation homes purchased since 2003 and a marks 57% increase from 2013 alone, according to a report from the National Association of Realtors (NAR).

Source: CNN

The median price for 2016 vacation home buyers was around $150,000, which interestingly enough is an 11% decrease from 2013. Everyone loves the potential of a fixer upper and these less than visually appealing properties made up around 45% of vacation home sales according to the NAR. “People looked at long-term opportunities and grabbed low bargain prices,” said Lawrence Yun, NAR’s chief economist.

Baby boomers just about to retire also had a part in the vacation home boom, according to Yun, 19% of all vacation home buyers are planning to someday make their second home their primary residence. “If they have the financial capacity to buy a vacation house today, once they officially retire in three to five years, they will turn that home into their primary residence,” Yun says.

Source: Webice.com

Where does everyone want to vacation? Nothing makes for a relaxing vacation home local quite like the mountains or beach of course. Many sought out endless summers with nearly 50% of the vacation homes purchased located in warmer southern states.