According to Money Magazine, now is the best time to purchase if you’re considering a second home or a vacation home in Navarre! Across the country prices are near or below their 5-year lows.
Will prices go lower? It’s impossible to tell, but Stan Humphries, chief economist at Zillow, says, “It’s a fool’s errand to try to time the bottom for both economists and buyers and sellers. If you find a house that you love and want to be in for a long period of time, now is potentially a good time to enter the market.” The time is now!
Advantages of Owning a Second Home
Whether you’re a natural beach lover or a potential retiree seeking to escape the snow-laden Northeast for the beautiful white sunny beaches of Northwest Florida, there are homes available that meet a wide range of budgets. The best part? The benefits of owning a vacation home in Navarre or Pensacola, FL!
- Tax Deductions
Many people who own second homes prefer to keep it unoccupied when it’s not being used for personal enjoyment. If you allow occupancy and charge rent for no more than two weeks per year, the interest on your mortgage and the property taxes are fully deductible from your gross income! In other words, for tax purposes, you can treat this mortgage the same way you would treat the mortgage on your primary residence. But remember to always check with your tax professional to confirm.
- Long-Term Profits
While all assets fluctuate in value in the short term, Florida vacation properties are more likely to retain their value and appreciate simply because they are located in popular areas with a geographically limited supply.
- Location for Gatherings
Grow memories with family, friends and good times at your Navarre Florida Vacation Home! The intangible benefit of owning and passing property from generation to generation – especially a home that has been and will continue to be the site of many happy gatherings – is incalculable.
- Rental Income
If you decide to rent out your second house but personally use the property as well, you’ll need to determine whether you’re eligible to deduct operating expenses of the home including interest, utilities, cleaning fees, lawn maintenance, repairs and management fees.
Rental fees in Florida vary according to seasons and the popularity of the home’s location. For most vacation spots, peak season weekly rental fees are usually equal to or greater than the property’s monthly mortgage payment, allowing you to break even with an annual occupancy around 30% from a cash flow viewpoint!
- Convenience
Having a vacation home gives you the ability to conveniently store items that are used exclusively for your trip and simplifies travel and packing! Keeping your beach paraphernalia at your vacation house allows you to easily make unscheduled trips for a weekend of fun in the sun without worrying if your swim trunks and sand castle toys will arrive on the same airline flight.
If you’ve decided that having a vacation home is a good fit for you, find out why Florida Is The Best State To Live In.
Contact Chris Stapleton Realty at (850) 939-1099 for assistance with all your residential and commercial real estate needs.
