Are You Ready to Purchase a Vacation Home?

Trish Lowe  |  January 25, 2023

Are You Ready to Purchase a Vacation Home?

Vacations with loved ones are one of the most important things in life. They can create powerful bonding experiences and memories that last for a lifetime. For individuals and families who go to familiar destinations often, purchasing a vacation home might be a worthwhile investment. Purchasing a lakefront home can not only be a powerful way to create lasting memories, but the property can also be passed down from generation to generation, creating even more memories for years to come. North Carolina real estate is also appreciating in value, so buying a vacation home could be a great investment.

How do you know whether or not you should purchase a vacation home, and what are your next steps for purchasing Jordan Lake NC real estate? Here’s how to prepare for your purchase at The Preserve at Jordan lake homes.

Why purchase a vacation home?

Purchasing a vacation home, especially lakefront property, is not a decision to come to lightly. Added expenses are associated with owning a second home, such as paying for an additional mortgage, insurance, utilities, home maintenance, property taxes, association fees, and more.

So why would it be worth purchasing a home at The Preserve at Jordan Lake real estate? There are many upsides to second home ownership. For one thing, owning a vacation home can save significant money over the long run, especially on travel expenses, such as hotel rooms or rental vehicles. Also, vacation homes often appreciate in value over time, meaning if and when you ever decide to sell your home someday, you will see a healthy ROI on your vacation home.

Get a clear picture of your finances

For many prospective homeowners, financing is one of the most rigorous barriers to second home ownership. Unless you plan on purchasing your home with cash, you will need to secure financing to pay for your vacation home. Most lenders have stricter qualifications for borrowers who wish to purchase a second home than purchasing your first home. This is because lenders consider it a riskier investment, with a greater chance of borrowers defaulting on their home loan.

What are the requirements to secure financing for a vacation home? Prospective homebuyers will likely need a higher credit score, a debt-to-income ratio of 43% or less, a higher down payment than is typical for a first home, and strong financial records to present to your mortgage lender. Provide them with as many supporting documents as possible. The more stable your financial history, the more likely they are to finance your second home. Once you have secured financing for your vacation home, the search can begin.

Choose your location

Before you begin your property search, one of the most important things you need to take into consideration is the location of your vacation home. Your vacation home should accommodate the activities you and your family most enjoy. For example, if you love water sports or just being out on the water, then a waterfront property is your best bet. Alternatively, if you’re looking to spend less, then a home that’s near the water or has easy access to a recreational body of water is ideal. Jordan Lake is an ideal location for those who enjoy boating, swimming, fishing, or just being out on the water. This idea can apply to any outdoor activity you gravitate towards, whether you are naturally drawn to the mountains, the beach, or the lakes.

Once you have taken the location into consideration, you can narrow down your home search even further.

Make a list of your ‘must haves’

Your vacation home should be so much more than just a property you keep. It should be a sanctuary where you go to relax and unwind from the pressures of everyday life. For many people, the location is their primary need, and they are willing to compromise on everything else. For others, location is just one of the many items on the wish list.

Know what you are looking for when searching for a vacation home. If having lake frontage is important to you, then prioritize that in your house hunt. When searching for a vacation home, you should also consider how many bedrooms/bathrooms you need, the size of the home, and other important features. Is your vacation home move-in ready, or are you searching for a fixer-upper? Is your home pre-built, or are you searching for the perfect lot to build your dream home on? Consider what is important to you on the house hunt. Then prioritize your needs versus your wants. Doing so will save you time on your house hunt.

Hire a local agent

When searching The Preserve at Jordan Lake homes for sale, one of the biggest ways you can create a positive home buying experience for yourself is by hiring a local expert. On the surface, it might not seem important who you work with. Yet, your choice of a real estate agent can make or break the sale. What should you look for in a local agent? Choose an agent you feel comfortable working with. Your prospective agent should be straightforward, a clear communicator, be an expert in their local real estate market, and have plenty of experience within the industry. Once you find an agent you feel comfortable working with, you are ready to find your dream vacation home.

Are you searching for your perfect vacation home? Let Trish Lowe Group Real Estate take the guesswork out of finding your dream vacation home. Contact Trish today to get started on your house hunt.

Work With Us

At The Trish Lowe Group, we've helped our valued clients buy and sell their single most important purchase – their homes – across Chapel Hill and the Greater Triangle region. We have a proven track record of over $140 million in gross sales of real estate at The Preserve at Jordan Lake, Montclair, and Briar Chapel. We would be honored to work with you on your own real estate journey.