Second Homes Hold Steady
Data from the recently released 2011 NAR Investment and Vacation Home Survey shows vacation-home sales accounted for 10 percent of all transactions last year and investment sales were 17 percent of the overall market. Those figures are unchanged from the 2010 survey.
The median vacation-home price was $150,000 in 2010, while the median investmenthome price was $94,000. The typical vacation-home buyer was 49 years old with a median household income of $99,500 and purchased a property that was a median distance of 375 miles from their primary residence. Investment-home buyers had a median age of 45, earned $87,600 and bought a home within a median distance of 19 miles.
Thirty-four percent of vacation-home buyers said they plan to use the property as a primary residence in the future, as did 10 percent of investment buyers.
I’ll have seconds… Talk to a Realtor® about the second-home market in your area. What areas do their clients tend to prefer when buying vacation or investment properties? What were their motivations for purchasing a second home?