4 Things To Consider When Purchasing A Vacation Home

Posted by Florida Realty Marketplace on Monday, July 20th, 2020 at 8:00am

4 Things To Consider When Purchasing A Vacation HomeAre you ready to buy a vacation home? Owning a second home you only use for vacation may seem like the height of luxury, but you might be surprised to learn that many people do own such a property. While purchasing a vacation home is, in some ways, similar to buying your primary residence, there are some different considerations you should keep in mind. Before you decide which of the homes for sale in Clermont FL is going to be your vacation home, here are some things to consider.

Would You Buy the Home as Your Primary Residence?

Some people actually look at buying a vacation home before they buy a primary residence, especially if they live in an area such as Los Angeles or New York where real estate is incredibly expensive. These people rent their home, but invest in a vacation property to get away from the crowded metro area. Some buy a vacation home in an area they eventually want to move to. For them, their vacation home will become their primary residence later on. Buyers who purchase a vacation home in Florida may do so with the plan of moving into it permanently when they retire.

If you look at a property and realize you wouldn’t buy it as your main residence, ask yourself why you’re considering it for a vacation home. The reasons may be something you can live with if you only plan on vacationing at the property and renting it. However, if you think you might move there full-time down the road, make sure you will want to live in the house.

Why Are You Buying a Vacation Home?

This question echoes the one above it. Why do you want a vacation home? Is it to serve as a retirement home later on? Is it to generate rental income or to provide a place for you and your family to get away? Is it a real estate investment you might sell later? Knowing why you’re buying the property can help you determine what you need from it.

As already discussed, if it’s a retirement home, you want to be sure it will truly work as your primary home in your golden years. This means you may want to avoid two-story houses. If you’re looking for a vacation property, though, having more bedrooms than you'd want in retirement will help you rent it out now.

What Is the Real Estate Market Like?

Anytime you plan on purchasing real estate, take the time to understand the market. While vacation homes in Davenport do tend to be good investments due to the rental market, you do want to make certain you get the best return on your investment. Be sure to look at how rental properties in the area do as well. What’s the average rent for a property of your size? How long is the vacation season in the area? Are you going to want to use the property for all or most of this season? If so, you may not be able to make as much rental income.

It's helpful to have a Davenport real estate agent from a company like Florida Realty Marketplace because they are experts with property management and home sales. 

Understand the Additional Fees Involved

Vacation homes do need to be maintained, and since you won’t always be there to handle that maintenance, you’re going to likely have to pay someone to do it. In addition, most vacation homes are in neighborhoods that have homeowner associations.  These associations greatly increase the cost of buying a home.  In addition, if you’re buying your vacation home near the beach, be prepared to spend more on maintenance due to how the salt air affects the home. If you rent the property out through a service, you will have to pay that service a small fee, too. Fully research both of these areas so you have a good grasp on what costs you can expect.

Ready to Buy a Vacation Home?

If you’re ready to purchase a vacation home in Florida, we’re here to help. Contact Florida Realty Marketplace today to begin the search.

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