Sunset Beach and Beyond Realty

  • Home
  • Search Carolina Coast
    • Community News
    • Calabash
    • Carolina Shores
    • Holden Beach
    • Myrtle Beach
    • Ocean Isle Beach
    • Southport
    • Sunset Beach
  • Buyer
    • Buyers Articles
    • Homeownership
    • Testimonials
  • Sell Your Home
    • Sellers Articles
    • Listing Agents
  • Our Team
    • Designations
    • Area Lifestyles
  • Market Reports
  • Local News
    • Events
  • CONTACT
Home » How to Plan for a Vacation Home Purchase

How to Plan for a Vacation Home Purchase

July 22, 2015 by admin Leave a Comment

If you are thinking of purchasing a vacation home but aren’t sure of how to start the process or believe it is unattainable here is a plan to help you think through the purchase of a vacation home and making it a reality.

Consider Lifestyle When Choosing Housing Options

Most people believe they need to own a primary home before purchasing a vacation property. While this is what most people do there is no rule stating you have to purchase real estate in this way. If you like to live right where you work maybe renting an apartment or smaller home in the city would help you to buy a vacation property outside the city limits to enjoy on weekends and time off. Maybe you own a large home in the burbs or country and would like to purchase a second home to enjoy a much different location and some down time. Maybe you wan to try your hand at investing but still get use from the home.

What would you like the home to look like? Where would you like it to be? What is your lifestyle? Are you single and need little space/want less upkeep? Do you want a large sprawling space and can afford someone to look after the home while away? Do you have children and prefer a relaxing atmosphere outside of the bustling tourist spots but close to activity? Do you want to be in a walkable area requiring no car? Do you want to live near this place so you can go there often or do you want a getaway in a far off destination you visit one or two times a year?

How You Use the Home Determines the Financing

There are three financing options when purchasing a vacation property.

Primary Residence- this would be used if you are renting and your vacation home is your only owned property. You can purchase the home for as little as 3% down depending on credit history and finances and also receive many tax breaks of home ownership.

Secondary Residence- You can finance a vacation home you do not intend to rent through a lender for about 20 percent down payment with the same mortgage rates and tax benefits of regular home ownership.

Investment Property-If you are thinking of renting the property while you are not in it you would need to finance it as an investment property. Interest rates are slightly higher for investment properties and you will need about a 30 % down payment. Tax breaks are a little smaller but you will be making income to help pay for the home.

Related: Costs of Homeownership

Consider All the CostsHow to Plan for a Vacation Home Purchase

Contacting a lender about the possibility of buying a vacation home will allow you to go over all of your finances and see how much home you can afford.

A lender will qualify or pre-qualify you for a certain amount and give you an estimate of what the down payment needs to be and what the monthly payment will look like but they do not add in all the other costs that come with ownership such as utilities and maintenance. Be sure to add these to your monthly bill don’t forget about the cost of having someone look after the home,furnishings for the home, and travel expenses to get to the home.

Local Realtor and Lender

When you have decided on a place to buy a home it is best to use an agent that knows the local market and the specific tax rates of the area. Unless you have a close relationship with your current lender it is also best to use a lender in the area which you are buying the home to avoid any confusion.

Read more: Questions to Ask a Potential Buyer’s Agent

SunsetBeach NC is a great place to purchase a vacation home. There are many great properties of all types near to one of the best beaches in the world. For more information on Sunset Beach NC real estate feel free to browse the website or contact us anytime.

 

Filed Under: Buyers Tagged With: sunset beach home, sunset beach vacation home, vacation home

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

What our clients say

Ken and Linda Foltz

“Life will lead you to where you belong. Five years ago life led me to meeting Karen Baker at an...
Sunset Beach and Beyond Realty
2015-03-16T20:16:32+00:00
“Life will lead you to where you belong. Five years ago life led me to meeting Karen Baker at an Open House. Our relationship continues as Karen and her husband Frank have been outstanding not only in helping my husband and I find the right retirement relocation home, but we have watched their commitment in helping many others find their homes. She and Frank treat every client as if they are the only ones that exist. They provide thorough research of areas and homes of interest and present you with the options. They are not your typical hard sell, must-buy-now realtors. They are here to help you find your next home?. You won’t go wrong with the Bakers!
https://sunsetbeachandbeyond.com/testimonials/ken-and-linda-foltz/

Steve & Jean DeVito

“The Bakers treated us like family during our whirlwind weekend of looking at houses. Prior to our on-site visit to...
Sunset Beach and Beyond Realty
2015-03-16T20:17:46+00:00
“The Bakers treated us like family during our whirlwind weekend of looking at houses. Prior to our on-site visit to Sunset Beach they created a portal and populated it with properties that met our ever-evolving criteria. By time we arrived we had a good feel for what we could afford and what was available that met our criteria. The Bakers, especially Karen, were able to make sense of what we thought we were looking for and eventually matched us with a house that we ended up purchasing — Karen called it the “This is it” house and she was right. We are loving our 2nd home and appreciate how painless Karen and Frank made the process. All the paperwork was done seamlessly and quickly and the closing went off without a hitch. The Bakers do not believe in the hard sell — they gave us the knowledge we needed and the guidance we needed to make our dream a reality.”
https://sunsetbeachandbeyond.com/testimonials/steve-jean-devito/

Matt & Amy Carver

Amy and I have bought and sold four properties in the past twelve years. Both of you are the best...
Sunset Beach and Beyond Realty
2015-03-16T20:18:22+00:00
Amy and I have bought and sold four properties in the past twelve years. Both of you are the best realtors we have ever dealt with. Amy and I both felt we could trust you to look out for our interest. The level of service you provided was outstanding, from taking the trash out, helping the buyer with inspecting the irrigation system, dealing with our tenants, always being there if we needed to ask a question, providing constant updates on the market and always keeping us informed on the sale of our house. I think your next venture should be training other realtors, because both of you have mastered the art of providing excellent service. I will be sure to recommend the Frank and Karen team to anybody looking for a trust worthy, knowledgeable and top performing realtor. It was a pleasure working with both of you.”
https://sunsetbeachandbeyond.com/testimonials/matt-amy-carver/

Ernie & Carol G.

“Karen & Frank Baker are the best. They are very knowledgeable with the area & showed us many homes. When...
Sunset Beach and Beyond Realty
2015-03-16T20:18:50+00:00
“Karen & Frank Baker are the best. They are very knowledgeable with the area & showed us many homes. When we made up our minds which one we wanted, they got us the best deal on it. We were very satisfided with them. After the purchased was made & we moved in, they were still there to answer any questions or problems that we might of had. Like I said, they are the BEST.”
https://sunsetbeachandbeyond.com/testimonials/ernie-carol-g/

Dave & Rose

“Thanks again for all the time you spent with us, As overwhelming as it was, you two made it fun”
Sunset Beach and Beyond Realty
2015-03-16T20:19:23+00:00
“Thanks again for all the time you spent with us, As overwhelming as it was, you two made it fun”
https://sunsetbeachandbeyond.com/testimonials/dave-rose/
0
Sunset Beach and Beyond Realty

Search

Recent Posts

  • Ways To Make Moving While Expecting Easier On Moms-To-Be
  • Bathroom Organization Ideas That Cut The Clutter
  • Investing Wisely: Backyard Renovations & Upgrades
  • It’s Almost Time for Turtle Hatching!
  • Am I Too Young to Buy a Home?

Connect With Us

  • Facebook
  • Google+
  • LinkedIn
  • Twitter

Recent Posts

  • Ways To Make Moving While Expecting Easier On Moms-To-Be
  • Bathroom Organization Ideas That Cut The Clutter
  • Investing Wisely: Backyard Renovations & Upgrades
  • It’s Almost Time for Turtle Hatching!
  • Am I Too Young to Buy a Home?

Copyright © 2022 · AgentPress Pro Theme on Genesis Framework · WordPress · Log in