As summer comes to a close, is it time to think about selling your vacation home? Based on recent data and expert opinions, it’s something you may want to consider. According to research from the National Association of Realtors (NAR), vacation home sales are up 57.2% year-over-year for January-April 2021.
If you’ve taken your last vacation this summer, here are reasons you should consider selling your vacation home this year.
1. Remote work continues to drive demand for vacation homes.
As the report from NAR says, based on continuously evolving work needs, there could be more interest in your second home than you think:
“In 2020, across all nine divisions, the fraction of the workforce that work from home is typically higher in the vacation home counties than in the non-vacation home counties… The opportunity to work from home could further raise the demand for vacation homes in future years.
Recent data shows we’ll likely see a sustained increase in the rate of remote work over the next five years. That means your vacation home could be highly sought after by certain buyers. Lawrence Yun, Chief Economist at NAR, puts it best, saying:
“Vacation homes are a hot commodity at the moment . . . . With many businesses and employers still extending an option to work remotely to workers, vacation housing and second homes will remain a popular choice among buyers.”
2. Selling could allow you to upgrade your vacation spot – or even your day-to-day scenery.
When demand is high, so is buyer competition. When competition is strong, buyers will do everything they can to make their offer on your vacation home as appealing as possible. This can include things like all-cash offers and more. If you sell now, you’ll be able to benefit from high buyer competition and pick the offer with the best possible terms for you. That offer could give you the opportunity to purchase the primary residence of your dreams.
Or, if you find that you’ll continue working from home, you could consider taking up more permanent residence in your vacation home and selling your primary residence instead. While this isn’t a choice everyone can consider, it could be a great option.
No matter what the situation, you don’t have to make the decision on your own. Your trusted real estate advisor can help you determine your best option when you’re ready to sell.
Buyers remain interested in vacation homes this year for a number of reasons. Now that summer is winding down, it’s time to think about taking advantage of today’s demand for vacation homes. Let’s connect today if you’re ready to give your second home its day in the sun.
99 Atwood Avenue, Unit 99 Newton, MA 02460 Offered at $825,000
You will fall in love with this beautifully maintained home tucked away on a tree-lined side street in the heart of the much-loved Village of Newtonville. Starting with the sun-splashed living room which perfectly blends moderns updates with charming original details. Imagine sitting by the gas fireplace gathering with friends in this comfortable space. A wide archway opens to the formal dining room. Both rooms have wide crown molding and built-in units. The eat-in kitchen has stainless steel appliances, stone countertops, recessed lighting, a glass tile backsplash, and a pantry. The appliances are high-end products: Bosch Silence Plus 44 dBA Dishwasher, Bosch Stove, and FIsher&Paykel refrigerator.
A sunroom is a lovely place for reading, working, or just relaxing. Step out to the deck and enjoy morning coffee as you look out over the treetops.
The layout is ideal with three bedrooms and a family bath located down the hallway away from the living area. Plenty of closets are in every room.
The third floor has a suite of spacious rooms which offer lots of possibilities depending on your lifestyle–and your needs and wants. Enter to a large center hall big enough to be a yoga retreat or an exercise room. There is a fourth bedroom with an adjacent full bath. The den would also be a perfect office space, playroom, or media room. In addition, there is lots of storage space on this floor.
There are so many features in this thoughtfully crafted home including garage parking plus one off-street parking space, central air, a private entry, a partially finished basement with a private laundry room with Frigidaire washer/dryers are and a stunning bluestone patio–ready for relaxing over lemonade, or dining Al Fresco!
Quality of life can be yours at 99 Atwood Avenue!
MLS #72881052 9 Rooms, 4 Bedrooms, 2 Baths 1,966 sq. ft. Living Space Condo Fee: $250 – includes Master Insurance, Exterior Maintenance, Landscaping, Snowplowing, Common Utilities
WELCOME HOME TO NEWTONVILLE, A VILLAGE IN NEWTON, MA
The location is golden, a stone’s throw to the new Cabot School, Newton North High School, and the growing number of places to dine, shop, buy groceries, have coffee with friends–Just a half-mile to the Newtonville Commuter Rail!
SEE BELOW FOR A PARTIAL LIST OF NEWTONVILLE AMENITIES
When stay-at-home mandates were enforced last year, many households realized their homes didn’t really fulfill their new lifestyle needs. An office (in some cases two), a media room, space for children to learn, a gym, and a large yard are all examples of amenities that became highly desirable almost overnight.
Zelman & Associates recently reported that sales of primary residences grew by 9% in 2020. That increase in demand was met by the lowest supply of homes for sale in history. High demand and low supply caused prices to skyrocket over the past twelve months. Here are three home price indexes released most recently that show how home values have risen:
Prices increased by double digits in every region of the country and in 19 of 20 major metros. Chicago was the only exception, where prices still rose by 9%.
What does this mean to those who purchased a second home during the pandemic?
Many people didn’t want to give up a home in the city or close to their office. Instead, they purchased a larger second home farther away and moved there to stay safe and have more space. According to the same Zelman report, sales for second homes rose an astonishing 27% in 2020.
That large second-home retreat on a lake or in the mountains would demand a higher price than the average house. Let’s assume a buyer purchased such a home for $500,000. Assuming the middle 13.2% appreciation shown above, that home would now be worth about $566,000.
Those who bought second homes to improve their lifestyle during the height of the pandemic, or those who just wanted to be in a safer environment, also made a great investment.
What should these homeowners do now as the pandemic is receding, and the economy is reopening?
The buyers of those second homes now have a decision to make. Many will move back to the original home they still own (the one that’s closer to work, friends, and family). Should they keep the second home? That could depend on answers to questions like these:
Now that you may have to go back to the office (at least a few days a week) and students are required to physically attend school, would you still use the second house enough to warrant the expenses of an additional home?
Would you go to the second home on most weekends, or would you return to the movie theater, attend sporting events, eat out at fine restaurants, or spend your time traveling again?
If you purchased a larger second home during the pandemic, you were able to make day-to-day life much easier for those important to you. You also made it much safer. However, with those goals already accomplished, you now need to decide whether to continue paying the extra expenses or sell the house and cash in your profit. If you decide selling makes sense, let’s connect today to discuss the value of your second home.