NAR’s 2010 Investment and Vacation Home Buyers Survey,  reported that Florida Vacation-home sales recovered in 2009 while investment sales fell sharply, the US in general is in the same vein.

1. Vacation-home sales climbed to  7.9 percent to 553,000 last year from 513,000 in 2008
2. Investment-home sales dipped to 15.9 percent to 940,000 in 2009 from 1.12 million in 2008.
3. Primary residence sales climbed to 7.1 percent to 4.04 million in 2009 from 3.77 million in 2008. 

9 Out of 10 Saying They Plan To Use The Property For Vacations ...

• The typical vacation-home buyer is making a lifestyle choice!
• Investment buyers predominantly  look rental income, with six in 10 planning to rent to others, however  one in five wants a family member, friend or relative to use the home too. (NAR Chief Economist Lawrence Yun)
• 26 percent of vacation-home buyers and 8 percent of investment buyers intend to use the property as a primary residence in the future.

According to Lawrence Yun the median transaction price of a vacation home was $169,000 in 2009, compared with $150,000 in 2008.  Yun suggests that the higher vacation home price may reflect increased sales in higher priced markets,  such as  Florida and California where prices became increasingly attractive for buyers over the past year.

Buyers were more likely to purchase investment homes within a metropolitan area, while vacation homes were generally located in a rural area, small town or resort.

Vacation-home buyers aim to keep their property for a median of 16 years while investment buyers aim to hold their property for a median of 12 years.

Yun predicts that, demographically, the long-term demand for second homes looks promising as  large numbers of home-buyerss are in the prime years for buying a second property. Historically, people become interested in buying a second home in their mid 40s.  He reports that consumers who are now in their 30s and 40s will dominate the second-home market in the coming decade.

This report indicates the need to educate second homeowners on the benefits of renting out their holiday home. Why have property that sits unused most of the year that you have to maintain. By renting out the property you can offset most of your original expenses and still have your holiday home when you need it. Florida is ripe for vacation lets. With the right team and the right home your holiday home in Florida can pay a LOT of your bills and some more!

Contact us today to find out just how much money you can make from buying a holiday home in Florida that you rent out.