Sierra Club to appeal permit

Second Homes are Becoming a Top Priority

According to statistics released in March 2005 by the National Association of REALTORS® (NAR), 2004 was a banner year for sales of second homes. A record 2.82 million second homes were sold last year, an increase of 16.3 percent from 2.42 million in 2003. In fact, investment property and vacation homes account for more than one-third of residential transactions.

The Coldwell Banker® Network offers the following recommendations when considering purchasing a second home:

• Location. Location. Location. The most popular settings for second homes are near bodies of water and mountains, in more rural settings than urban. In most cases, second homes are within less than a day's drive from the primary residence. A real estate professional can help identify the best properties in the area you want.
• Identify your favorite pastimes. Vacation living equals more leisure time so think about your recreational interests. Second homes near golf courses, ski slopes, boating facilities and biking, hiking or horseback riding treks are always popular.
• Know the tax laws. Vacation homes used primarily by the owner are considered personal residences, enabling you to deduct interest on the mortgage and realize other tax benefits. You may also be entitled to tax benefits when if you rent out your second home for a portion of the year. It is important to consult your tax professional to understand the financial aspects of your second home purchase.
• Visit the destination. Get comfortable with the community. You will need to get a feel for the traffic peaks and travel time, as well as the area's culture, shopping outlets and other resources. Second homes often wind up as a primary residence upon retirement, so be sure to think about the destination long term.