Think First before Buying a Second Home
Imagine leaving behind the stress of your day-to-day life and jetting off to your very own island beach home every weekend. Sounds pretty nice, right? But in reality, while owning a second home certainly has its benefits, it may also come with a number of inconveniences and financial drawbacks you didn’t expect.
To ensure that purchasing a second home is the right choice for you, take a moment to consider the following:
- Can I afford to buy a second home?
The cost of purchasing a second home goes above and beyond the cost of the home itself. You must also take into consideration the cost of furnishing the house and maintaining the property. In addition, the cost of any homeowner’s association fees should not be ignored, as they can add up quickly.
- What are my plans for transportation?
Do you plan on driving to your second home? If so, keep in mind the cost of gas, and be aware that you may see an increase in maintenance expenses for your vehicle from the frequent long trips. If you plan on flying, you need to consider not only the cost of the plane ticket, but also transportation costs during your stay. Whether you plan on renting a car, paying for a taxi or buying an extra vehicle to leave at your second home year-round, all of these options come with a price tag.
- Will I be able to spend enough time at my second home to make it worthwhile?
If you have difficulty getting away from home—whether because of children, pets or a demanding job—you may want to reconsider purchasing a second home. It might make more financial sense to pay for a hotel room or rental property if you’re only able to get away for one or two weeks each year.
- Is the location where I want to purchase a second home the same location I’ll want to continue visiting year after year?
If you fall in love with a certain area because of its small-town charm or beautiful views, realize that others may fall in love with the area for the same reasons. It doesn’t take long for what is now a little-known hideaway to transform into a full-fledged tourist haven.
If you still want to purchase a second home after taking all of the above into consideration, then you can rest assured you’ve made the right choice for your budget and lifestyle. In that case, good luck and happy home hunting!