Let’s face it: if you had to pick the most suffering, beat-up child in this real estate mess, it would be the second home market. This is probably the worst time ever for the second home market because most areas overbuilt during the boom, priced too high, and are now left with inventory. Getting a mortgage on a first home is hard enough, and investors are now limited to 7 mortgages including your homestead under Fannie Mae and Freddie Mac guidelines.
Now if you have cash on hand, that’s another story and you will command great pricing. Except, of course, in Aspen. AOL RealEstate called on ERA Real Estate to create a list of five lesser-known vacation hot spots where you can still get a good buy in a first rate location. It may not be Aspen or Pebble Beach but if your checkbook is not a bottomless pit, here’s where you should bebuying: Boseman, MT; Cape Cod, Mass; Lake Erie; Siesta Key, Fla; Virginia Beach, Va.. I will add that I would buy in a heartbeat (and have friends who have bought) a well-priced home in Port Aransas, Texas; anything in the Fort Walton/Panama City area like Alys Beach, Rosemary Beach, Watercolor and Seaside, though Seaside is getting a little worn; the Carolinas are on fire; southern coast of Maine; Lake Tahoe Martis Camp; the Texas Hill Country and Coeur D’Alene, Idaho where the house bargains are too good to be true. And I cannot rave about Bozeman enough. Or the plethora of high end fractionals out there. Check out the slide show, and I’ll be posting homes from all these areas.
Where would you buy a second home if you were in the market?