Although, both involve the purchase of a house, buying a first home is entirely different from buying a second home. As the first home, it will serve as your shelter because you will be there for most of your time while the second home will likely be just your vacation house or perhaps a property that you can use to generate extra income for you. However, there are quite similar factors that you should consider to make it a sound financial move.
Just like when you have chosen your first home, a good location will likely make your purchase of a second home a sound financial move. Why? Because when it is in a good location, vacationists and travelers will like it. If this is your purpose, be sure to choose a second property that offers a waterfront view or perhaps a great mountain view. Homes that are close to nature usually make good vacation houses.
If you are planning to convert the second home into a rental property, be sure that home hunters will be attracted not only of its beauty but also of the comfortable life they will have in the community. Make sure it is close to structures that you will also look for when you are looking for a house for rent. The presence of nearby structures like schools, churches, markets, recreational facilities, and government offices will always favor those who are looking for a house to rent.
If you will succeed in finding a location that will make the second home a good point of vacation or perhaps a good rental home, then your decision to purchase it is definitely a sound financial move.
Buying a second home is comparable to choosing an item from a product catalog. There can be plenty of beautiful choices but not all are of high quality. Thus, you always have to be careful because the house you might choose can be beautiful inside out but quality is compromised because there are hidden defects or the materials used could be substandard. For the purchase to be a sound financial move, make sure that you let a professional home inspector qualify the house so you won't end up losing a huge amount of money that you can never get back even if you sell the property of have it rented.
Assuming that you have already made the purchase, it won't be a sounder financial move if you won't avail of insurance. As owner, you have to protect your property. A title insurance will protect you against past ownerships if such claims will arise in the future. Hazard insurance can protect your second home from damages that may be caused by theft, fire, and flood. You need to scout for good insurance that won't cost you that much but will have wider coverage. But you should remember that second home insurance costs higher than first home insurance.
Desare Kohn-Laski is a proud and experienced Florida realtor who is knowledgeable and familiar of the East Coast Florida real estate market. Some of the areas of her service include Parkland, Fort Lauderdale, and Hallandale Beach. Stop the chase for your dream house with her professional assistance. For more information, hop on to http://www.skyelouisrealty.com.