A vacation home is an ideal way to unwind and relax and owning one is something we all dream of. However, they cost a fortune, so there are crucial things you must put into consideration before making that purchase. Is buying a vacation home on your bucket list? If so, here are some incredible tricks and tips that will get you chilling within no time!
1. Know your “why”
It’s vital to understand why you need a vacation home before making a purchase. Is it a place you’ll visit yearly? Are you considering renting it out or retiring it? Is it an investment play? Once you have your answers to such questions, you’ll be able to know what you can compromise and the must-haves.
2. Choose the location prudently
Location is the mantra of vacation homes and real estate. Be sure to engage the local real estate professionals to get more information on the area’s trends and climate before purchasing. Also, go for places with escalating real estate prices. You don’t want to get desperate when you decide to sell the property in the future.
3. Rent first
Renowned vacation areas are more often than not rental-filled. Rent first to get firsthand experience of the site. Be sure to shop in the local stalls or dine at resident restaurants and have chitchats with vacationers and locals to know if it’s the right fit.
4. Purchase an existing home
You don’t have to deal with sketchy contractors who are out for beer money, aggressive homeowners, coastal authorities, or even local building restrictions. Just stick with a home that’s already there. These will also keep your budget in check, and allow you to make it the place of your dreams with upgrades.
5. Exploration all four seasons before purchasing
Visit the area you intend to purchase every season. Yes, the hiking may be good but are the roads passable during winter? Is the beach beautiful during summer, but fish smell plagues the area during winter? Renting different homes during different periods will help you understand the area deeper as the year unfolds.
6. Just breathe
Don’t make haste decisions. You might fall in love with some property, then a year down the line, you realize that you made the wrong decision. Take some timeout to think comprehensively. If the deal is not perfect, pass it on to the next.
7. Only buy what you can afford
With the modern mortgage calculators’ internet choke, it’s straightforward to figure out what’s affordable for you. You need to enter what you earn, what you owe, then the calculator will show how much more the bank can lend you. Trust me; you don’t have to go for that beach house with private docks and high ceilings. It’s okay to start small.
Also, consider handling your mortgage by renting out your vacation home when you’re not using it yourself. You can find long-term tenants or short-stay guests; just be sure to properly vet any strangers entering your home with thorough landlord credit check to avoid payment problems.
8. Go for an existing home
The idea of constructing a vacation house that sits perfectly with your dreams is very appealing. However, this can turn into a nightmare, especially in resort areas. Again, nobody wants the stress of sketchy constructors out for beer money, aggressive homeowner’s associations, coastal authorities, or even local building restrictions. To avoid all these, go for an existing home.
9. Understand the maintenance costs
Every property requires maintenance. It’s therefore vital to include these financial obligations in your budget. Be it cleaning out gutters or fixing leaking faucets, all these costs must be met to secure your home.
10. Understand insurance, taxes, and other costs
A home can have utilities, taxes, HOA fees, and other expenditures associated with it. These costs must be included in the budget. Do you need the internet and cable? Would a pass to a pool lure people into renting your home? It would be of help if you paid attention to all these costs while budgeting. That said, you can never go wrong with these tips. Just take your time, rent first and go for only what you can afford. Enjoy shopping!