Some second home markets not only offer relaxing getaways, but could also prove to be a wise investment. Realtor.com® researchers recently ranked the most lucrative second-home markets, where sellers stand to cash out with some of the largest profits.
Realtor.com® analyzed the 500 largest metro areas where second homes comprise at least 12 percent of the properties. They focused on the homes sold over the past 12 months and then compared the most recent sale prices to their previous ones dating back to 2008. They defined the profit as the difference between those two sales.
The most profitable second-home markets, according to realtor.com®, are:
- Traverse City, Mich.
- Annualized rate of return: 14%
- Median home list price: $315,000
- Claremont, N.H.
- Annualized rate of return: 12%
- Median home list price: $255,000
- Clearlake, Calif.
- Annualized rate of return: 11%
- Median home list price: $325,100
- Brainerd, Minn.
- Annualized rate of return: 11%
- Median home list price: $286,200
- Port St. Lucie, Fla.
- Annualized rate of return: 11%
- Median home list price: $279,300
- Bend, Ore.
- Annualized rate of return: 11%
- Median home list price: $442,000
Source:
“Chill Out, Then Cash In: The 10 Most Profitable Markets for Vacation Homes,” realtor.com® (Oct. 8, 2018)
