The NATIONAL ASSOCIATION OF REALTORS® Profile of Second-Home Owners describes the characteristic and motivations of second-home owners.CHARACTERISTICS OF SECOND-HOME OWNERS
The typical vacation-home owner is 59 years old,while the median age of investment property owners is 55.
Vacation-home owners reported a median income of $120,600.
The median income of investment property owners was $98,600.
Over three-quarters of second-home owners are married.
Boomers are an important segment of the 2nd home market. Nearly 60% of owners are 45 to 64 years old.
82% of all 2nd home owners drive to their vacation home.
While three-quarters of vacation-home owners purchased their home to use for vacations, one-third of owners reported that it was a good investment opportunity as well.
Over half of vacation home owners noted that their interest near water was one of the motivations for purchasing their home.
The typical vacation home is located 220 miles from the owner’s primary residence.
Nearly half of vacation homes are in resort or recreation areas.
Vacation-home owners spend a median of 39 nights in their home each year.
75% of Vacation home owners don’t rent the property.
For vacation-home owners, lifestyle considerations such as proximity to the ocean or to a favorite vacation spot are often the most important motivations.
With the oldest baby boomers just now reaching 60 years of age and the youngest boomers in their early 40’s, they will figure prominently into the future demand for vacation homes. Ownership of investment properties hinges on the financial gains owners expect from rental income or from appreciation in the value of their property.
Mortgage rates, the strength of the local economy and access to rental markets are more important factors for investment property owners than vacation home owners. Also, investment property owners, more so than vacation-home owners, choose properties near their primary residence.
Not only has the population been rising, Texas has now been named as the number one state in economic development by Business Facilities magazine. A total of $15.4 billion in investment and 9,335 jobs to be created has qualified it as State of the Year for 2007.
With this kind of economic strength and population growth, residents of Texas’ metropolises provide a large continual supply of buyers for our coastal properties.