There are many factors to think about when selecting vacation homes. A few important ones include location, finances, and renting. The considerations for selecting vacation homes in Florida below may be helpful as you start the process.
Factors for Florida Vacation Homes
Property Amenities
With vacation homes, the appeal of the home will not only be important to you as the buyer but also to renters and future buyers. A home must offer special features to be desirable. Location, views, property features, and area amenities are all important factors.
Mortgage Options for Vacation Homes
Buyers for vacation homes historically make large down payments. Depending on your finances, this may or may not be required. Mortgage companies will use guidelines similar to properties used as primary residences. Your percentage of debt relative to your income must remain within certain limits. They will consider all of your income and debt, including your existing home mortgages. The loan you can obtain will be largely dependent on those ratios. If you are looking to secure real estate above that dollar figure, a larger down payment may be required. Before selecting properties, consult with a mortgage professional about your finances. This will avoid the disappointment of wanting a property that you cannot afford.
Other Financial Considerations
In the past, loans for vacation homes always required significant down payments and higher interest rates because mortgage companies considered them high risk. This is no longer the rule. Buyers with good credit and finances can often receive rates and terms close to that of regular home mortgages, making purchasing Florida vacation homes easier and more popular. Additionally, there may be tax advantages to owning vacation homes. Speak to a financial advisor for information on whether you can take advantage of those tax breaks. Renting vacation homes can also have tax implications based on how often you rent it to during a given year. If you intend to change a home to a primary residence, this too can have tax implications. Before doing anything with vacation homes, it is important to understand the tax laws and ways that you can save.
More Considerations For Selecting Vacation Homes In Florida
The above considerations for selecting vacation homes in Florida detail only a few of the many things involved with buying vacation homes. A real estate professional experienced in assisting buyers of vacation homes can provide great value and make it a less stressful process. For assistance with buying Florida vacation homes, contact Sonny Solomon at The Keyes Company by calling 561-247-1047 or emailing sonny@sonnysolomon.com.
