Perhaps you just came back from visiting the beach for a few days and you can’t stop thinking of how great it would be to own a second home and be able to visit anytime you want. The gorgeous view of the water, the opportunity for natural exercise beyond going to a gym, and the fresh seafood you just can’t find anywhere else. As you weigh your decision, here are the top three considerations to keep in mind.
Much like buying your first home, any purchase of real estate is likely to hold value and even appreciate over time. Vacation properties tend to make better investments because of their popularity and the natural limitations in supply due to geography. Should you decide to leave your beach house unoccupied, the mortgage interest and property taxes are fully tax deductible. Another popular option is to rent the property while not in use and recoup a substantial portion of your investment. You may also consider moving to the beach home full time when you retire.
No investment is certain, however, and acquiring a second home also means maintaining and repairing a second home. If you’re going to be away from the home for a long period of time – say, for instance, during the winter months – who will look after the property while you are away? Many owners of beach homes find that the benefits far outweigh the added responsibility, but before you make the decision, you should carefully weigh all that owning a beach home entails.
A Venue for Life
All the reasons you wanted to vacation at the beach make owning a home there worthwhile. The air, the water, the scenic view out of your window, and the experiences of life on the beach are popular because they are so great. A one time visit doesn’t compare to returning year after year, solidifying those memories for you and your family. And owning a beach home presents opportunities you couldn’t get otherwise. Christmas at the beach for the whole family? Why not? Or how about hosting the family reunion this year at your beach home? Consider how often you might actually use your beach home. Life happens and expectations can change. Some who buy a beach home don’t end up using it as often as they intended. By weighing those considerations beforehand, you can make an informed decision.