Buying Second Home

Buying Second Home

Are you considering buying a second home as an investment property, or to use as a vacation home? If you have plenty of equity in your first home, and your finances are in order, buying a second home can be a wise move – but it may be a little trickier than it was buying your first home!

Lending Requirements

Lending Requirements for a Second Home

Surprisingly, lenders will be more cautious about approving a mortgage for a second home than they were for your first home – even if you’ve been making your payments on time for years.

You may also be surprised to learn that if your second home is an investment property – for rental income, or to flip and resell – it may be harder to get a loan. Lenders are more open to financing a vacation property than an investment property.

Getting a Second Home Requires More Expertise – Get Expert Advice!

Real Estate Yogi has a network of over 160,000 licensed real estate and mortgage lending experts. We can connect you to a real estate agent and mortgage lender in your area, who will provide a free consultation on your second home purchase.

Find the Best Rates on a Second Home Mortgage

Call1-800-987-1397 now to get connected to a mortgage lending broker who can find the best mortgage rates available for a second home. One call will save you hours of online searching – and possibly thousands in interest payments!

Buying a Second Home as a Vacation Home

A mortgage may be as easy to qualify for as your first home
Down payment requirements may be similar to first home requirements
You can use the equity in your first home to make the down payment for your second home
Interest rates are often as competitive as on a first home
Your total debt payment on both your first and second home cannot be more than 36% of your gross income
You can rent out your vacation home for 14 days a year without having to pay taxes on it as rental income

Stats on Vacation Homes

Vocation Homes
21% of homes sold are for vacation homes
Median vacation home price is $150,000
40% of vacation homes are on or near a beach
Median square footage is 1500
Median distance from the owner’s primary residence is 200 miles
45% of second home buyers use a real estate agent
26% plan to keep their vacation home for 11+ years
31% plan to also purchase an investment property within two years
85% believe that this is a good time to buy real estate

Buying a Second Home as Investment Property

A mortgage will be harder to qualify for than your first home
Down payment requirement is usually higher than first home requirements
Interest rates are often higher on a first home
You will enjoy many tax deductions, including depreciation
You will receive monthly rent payments to cover the mortgage, taxes and insurance – but be sure to factor in vacancies
The investment returns on investment property is often better than the return on blue chip stocks, but may not be has high as stock market returns in a really good year.

Schedule a Free Consultation for Home Purchase Help or Call Our Toll-Free 800-987-1397

Stats on Investment Property Purchases

Investment Property Purchases
Median household income is $95,800
62% bought an attached single-family home
Investment property a median distance of 22 miles from primary residence
42% purchased home to rent out
Median distance from the owner’s primary residence is 200 miles
45% of second home buyers use a real estate agent
70% take out a mortgage for their second home
26% plan to keep their vacation home for 11+ years
31% plan to also purchase an investment property within two years
85% believe that this is a good time to buy real estate

Best Cities for Second Home Investment Property

Here are the top cities for investing in a second home, along with the average home price. These are, by no means, the only places in America where you can purchase a second home as an investment property, and do very well. There are great pockets of opportunity in most states, but these are the ones with high populations and lower average home prices. Price and population are good indicators of a good market, but you also should look at the local economies, cost of living, and rental trends (who is renting and why).

Grand Rapids, MI, $154,348
Orlando, FL, $202,809
San Antonio, TX, $200,522
Charlotte, NC, $220,758
Salt Lake City, UT, $259,900
Dallas, TX, $211,245
Austin, TX, $281,355
Fort Lauderdale, FL, $258,577
Seattle, WA, $370,306
Cape Coral, FL, $211,531

Indianapolis, IN, $178,127
North Port, FL, $245,010
Nashville, TN, $227,201
Tampa, FL, $193,371
Charleston, SC, $287,220
Denver, CO, $302,347
Madison, WI, $227,560
Jacksonville, FL, $207,630
West Palm Beach, FL, $284,927
Boise, ID, $191,953

Does Your Second Home Need Home Improvements?

If that second home you found needs a new roof, remodeling, or repairs, and you don’t know a trusted, reliable home improvement company in your area, we can help! We have a network of thousands of home improvement companies, and can immediately put you in touch with one in your area. here’s no cost or obligation to call.

Call Real Estate Yogi forall the Help You Need for Your Second Home Purchase

Real Estate Yogi is nationwide network of experts in real estate, finance, legal, and home improvement. We answer the phone day and night, and will connect you to the expertise you need. The first consultation is always free, and there’s never any obligation to purchase anything – ever!

Get Expert Advice for Home Purchase!

We have over 15 years of combined experience in advertising, consulting, and marketing to help you find the answers to your queries. In order to obtain the best results, you need to have an idea of what kind of help you require. Real Estate Yogi, USA can help find the solutions according to the information provided via our Contact Form. Be as specific as possible about your needs because a Yogi experience is one step away from your real estate success.

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