Tehama Country Real Estate

Tehama Country Real Estate – 3 Real Estate Spotlight By Alex Mason or the right person, buying a vacation home can be a smart and enjoyable financial move. However, times are changing, and adding a second property with a mortgage isn't for everyone. F Here are some things to keep in mind before buying a second home for vacations. Will You Visit It? Avacation home can be a liability with the pay- ments, upkeep and struggle to decide to open the doors to strangers as a rental. Some people think with their hearts instead of their heads when it comes to buying something for their leisure time and then get stuck with a home they cannot afford. For a vacation home to earn it's keep, you must be resolute to use it. If you have a chance to buy a home at a good price in an area that you intend to frequent, then no harm is done to invest into a modest property. However, many people just dream of getting away to a particular hot spot and never actually put the vacation plans in motion as they had intended. Positives The positive side to owning a vacation home is that your belongings are secured and you have a dependable place to stay when traveling. This means your pets are always welcome and the home is outfitted with everything you need for a fabulous getaway. You also have a second piece of property to sell and turn a profit on a few years down the road. Your vacation home should be in a place that draws you like a magnet to ensure you will get your money's worth out of the investment. Ocean front homes, mountain retreats or desert homes located just a stone's throw from the golf course are ideal vacation properties that will get good use. If you intend to rent out your vacation home to generate some income, those same features are likely to bring in consistent renters. In popular vacation areas, you can often find the rental his- tory of different properties to get an idea of how Finding a good property management company is key, though. As an out-of-town owner, you want to make sure your renters and property will be taken care of, so look for a vacation management company with a long track record and lots of happy property owners. Negatives Investing into a second home may be a burden if your primary residence is still carrying a mort- gage. In addition to the monthly payment, your vacation home is going to have property taxes, landscaping issues and general repair to keep it in mint condition. And renting the property out comes with its own risks. By letting strangers into your home, you're running the risk of theft or property dam- age that could turn your vacation dreams into a nightmare. Make sure you carry good insurance and pick a great property manager if you go this route. Time Shares One solution to own a piece of property and keep the responsibility at bay is to buy a time share. This type of vacation home is generally located in premium tourism areas with plentiful city amenities to include shopping, dining and entertainment. It might be possible to sell your time share unit once you've had your fill, but owners are required to pay property taxes and may be stuck with an HOA monthly fee. In addition, the time share is yours to use for a limited amount of time each year. Most plans allow for a one to two week session in the unit with the option to rent out your turn in the unit for a small profit. Although you will be in the same time share unit each visit, remember that strangers will occupy it the rest of the year. The time share idea is just a step up from a hotel room, so if you are seeking absolute privacy and control of a unit, you may wish to buy a low-cost condo of your own instead. Alex Mason is a former real estate agent and mortgage broker living in Los Angeles. T i V A p s aH F mco o rae B i t u yo i nn g

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