Having a second home gives you your own personal getaway that you can visit whenever you have a chance. When it comes to buying a second home, though, there are a few things to keep in mind.
Consider the following points if you’re thinking of getting a vacation home:
- Shop around. It’s tempting to buy a second home in a vacation spot that you fell in love with, but you could be missing out on even better spots or better deals elsewhere. Look around in different locations to see if something better comes along before purchasing a second home.
- Plan on owning it for awhile. In order to make your purchase a good investment, plan on owning it for at least ten years. Make sure you buy a home in an area that you’ll be able to get to several times throughout the year. Otherwise, buying a second home might not be a worthwhile investment.
- Factor insurance costs into your budget. Second homes can cost quite a bit in insurance if you need coverage for wind or flood damage, such as in hurricane-prone areas.