Learn the difference between buying a second home, a vacation home, and an investment home in as we explore your options in Sarasota.
Whether you’ve been visiting Sarasota for years as a vacation destination or you’re ready to begin investing with a second home, it’s important to know the difference between a second home, a vacation home, and an investment home. Let’s take a closer look!
- 🤷♀️ Does it really make a difference?
- 🏘️ What is a Second Home?
- 👩🦳 55+ Community Homes in Sarasota
- 🏖️ What is a Vacation Home?
- 🌊 Waterfront Homes in Sarasota
- 💵 What is an Investment Home?
- 💲 Short Sale Homes in Sarasota
- 🏠 Buying a Second Home
- 🗺️ Local Real Estate Agent
- 📋 Needs & Goals Checklist
- 💸 Expenses & Tax Benefits
🤷♀️ Does it really make a difference?
When it comes to setting long-term goals and securing a mortgage loan, it definitely makes a difference in the wording you use when referring to your new second property purchase. The three terms may seem the same, but they are different when it comes to how they are categorized by mortgage lenders.
🏘️ What is a Second Home?
A second home is in a different city, neighborhood, or zip code than your primary residence. The property can be a single-family home or a condominium and must be owned by an individual and not a corporation. The owner of the home should live there for a portion of the year and it is not subject to timesharing of ownership.
👩🦳 55+ Community Homes in Sarasota
🏖️ What is a Vacation Home?
A vacation home may be a timeshare, condominium, or single-family home that is owned and placed into a rental pool within a resort location. The frequency of renting may be 30-days or less and is considered transient housing in the state of Florida.
🌊 Waterfront Homes in Sarasota
💵 What is an Investment Home?
An investment home is purchased with the sole intent to rent or lease the property with an annual or short term agreement. These properties can be individually owned, but they are usually owned by a corporation, partnership, or LLC.
💲 Short Sale Homes in Sarasota
🏠 Buying a Second Home
Now that we know the difference between the three terms, let’s dive a bit deeper into buying a second home in Sarasota. Whether you’re looking for a true second home that you plan to live in part of the year or you want to begin investing, here are some tips to help along the way!
🗺️ Local Real Estate Agent
If you’re thinking of buying a second home in Sarasota but you live outside of the area, we understand that it can be a challenge when navigating a different real estate market.
📋 Needs & Goals Checklist
Begin by creating a checklist of your expectations when it comes to owning a second home. Do you plan to use it as a weekend retreat or is this the place where you hope to live fulltime once you retire?
💸 Expenses & Tax Benefits
We’re thrilled that you’re thinking of buying a second home in Sarasota! Be sure to calculate expenses along with your mortgage to include insurance and maintenance. It’s a good idea to have someone looking after the property while you’re not in the area.