As a Windsor Realtor, I often work with people who are looking for second homes. Because there are so many good bargains in the real estate market today, many people are taking the plunge. Whether you are looking for an investment property or a vacation getaway, it is important to consider a few steps before you make your final decision on purchasing a second home.
The most critical factor when considering a second home is does this make financial sense? Can you afford it? Even if you negotiate an excellent purchase price, consider the expenses that are now included: upkeep, taxes, hiring a management company if necessary, setting up cash reserves should this be a rental property and your renters don’t work out, utilities, transportation, if this is a second home and the location is far away and other unexpected costs. The last thing you want to do is find yourself in a financial bind.
Also important to consider is the type of home you want to purchase. Do you desire a single-family home? Condo? Townhouse? What location are you considering? Out of country? If so, what is the real estate market like in that area? What are the home resale values, tax rates and medical care like? Will there be home association fees? Special assessments?
If you plan on using your second home as a rental property, be prepared to take over the role of landlord. Finding excellent tenets, understanding the leases, management, legal issues and of course the unexpected repairs can be time consuming and costly. As a Windsor realtor, I see this frequently, so understand the time and financial constraints.
Of course, owning a second home can provide plenty of rewards as well. Once you understand what owning a second home can entail, then you can be smart about your purchase. Like your first home, always purchase homes that are in prime locations as one day, you may want to sale your home. If you purchase in the right locations, your home can bring you many happy memories. Remember, overall, you want it to be a long-term investment property. So don’t stress. Enjoy your property.
Finally, look for vacation home specialists when buying your second home. As a Windsor realtor, we can look over every part of your transaction and make your experience as easy as possible.