The American dream has been a home with a white picket fence for almost a hundred years now: but many are turning this dream on its head. Property investors are becoming more and more enamored with the idea of dual homeownership.
Owning two or more homes allows you to create an income and a business for yourself out of the properties that you own. These are the top perks!
Income From Renting It Out
The main perk possible is to have the home pay for itself while you own it. By making this second home into a rental property, you provide housing for others while also using their rent payments to pay off the mortgage on the property. By the end of the mortgage, your home would have nearly paid for itself, not including the money and time you put into maintenance and it allows you to create a steady income stream.
Possible Vacation Property
Everyone needs a getaway from home, so why not consider looking into a vacation home? This type of second home can still be rented out seasonally, but it’s a great way to ensure you always have somewhere to go when traveling. Although a house payment calculator will show it’s more expensive than just getting a hotel room for the week, if you rent out the property in your off-seasons when you don’t want to use the home, it becomes far more affordable.
Nest Egg You Can Sell
Homeownership is one of the best investments you can make, especially now as property values continue to climb at blindingly fast speeds. Buying a second home gives you a property you can sell in ten to fifteen years that will have gained substantial value and will allow you to live safely and comfortably regardless of your financial future.
This can be doubly important if you have young kids since you can eventually sell this second home to cover college or can teach them the perks of being a landlord and give them the chance to show responsibility by running it as a rental.
The Chance to Move Whenever
If your second home is in a different city or state, then you always have an opening to move and start fresh if you’re getting tired of living in whatever city you currently call home. The second property gives you an excuse, a destination, and a comfortable landing spot so that all you have to do is take that leap and let the new home catch you.
This is an especially important idea if you’re nearing retirement age and want to get a property that feels like home to you. The second house can be located in whatever community you want to spend your retirement in so that when it’s time to settle down, you’re set for the future.
Owning a Second Home is the Dream
Although property prices are continuing to climb, and many are still scrambling to buy their first home: buying a second home is a great way to diversify your investments and plan for your future. Consider these benefits and how much a second home can shape your future.
