Vacation #home #sales skyrocketing

Vacation home sales skyrocketing

The last 12 months has not only been big for mortgage refinances and first-time homebuyers filing mortgage applications — it was also a banner year for mortgage applications for second homes, according to a new Redfin study. Applications for those purchasing a second home were up 84% in January, compared to the same time in 2020. That statistic has dropped from a year-over-year increase peak of 118% in September. The current rate is more than double the 36% increase in mortgage applications for primary residences. The analysis is based on Redfin’s review of mortgage-rate lock data provided by real estate analytics firm Optimal Blue. The report notes that white-collar workers working from home are purchasing vacation homes to escape densely packed cities. The trend of purchasing a second home has sent home prices in seasonal towns skyrocketing in value by 19% for the year ending December 2020. “Although demand is down slightly from the fall peak, the fact that nearly twice as many second-home buyers submitted applications in January as the year before means the popularity of vacation towns is not a fad,” Redfin economist Taylor Marr said in the press release. “Many Americans have realized remote work is here to stay, allowing some fortunate people to work from a lakefront cabin or ski condo indefinitely. But while many well-off remote workers are able to follow their dreams and purchase second homes, it has become even more difficult for many lower-income people to buy a primary residence as home values rise and the recession disproportionately impacts employees in the service sector.” The post Vacation home sales skyrocketing appeared first on Boston Agent Magazine.

FIRST TIME HOMEBUYERS

McDevitt Law Group voted #1 Choice for Attorney - Lawyer Milton, Massachusetts by Wicked Local Readers Choice