Special offer

Buyers - Have a plan...

By
Real Estate Agent with Long Realty West Valley AZ RE Lic. #SA560004000

Over the past several years we in the real estate industry have seen and endured a lot.

My business partner and I work a lot with people buying second homes down here in the Phoenix area.  Most of these people come from colder winter climates looking for an escape from the bitter cold they experience during the winter.

But lately I've run into a few folks who upon first consultation were looking for winter getaways and then mid-stream want to become landlords.

Now, this is all fine and dandy, but what happened to the original plan of having a winter getaway?

When purchasing a property, especially a second home out of state buyers must have a plan.  Do you want a second home or an income property.  Unfortunately they're not one in the same.

Managing an out of state property on your own can be quite cumbersome. And costly.  And although you might be receiving a little cash flow from the property, when you want to getaway for the winter, you're going to have to stay at hotel/resort.  Which may wipe away any of the cash flow profit you plan to gain from your rental property.

So buyers, if you want a rental property, fine, state that from the beginning.  We can help you make an educated decision.

And if you want a vacation getaway, we can help with that too.

But let us know up front.  That way we're all on the same page.

For more information about Anthem, AZ real estate click here.

Paula Swayne
Dunnigan, Realtors, Sacramento (916) 425-9715 - Sacramento, CA
Realtor-Land Park, East Sac & Curtis Park -Dunniga

Hi Jerry!
I always wonder what people are thinking.  We vacation at Lake Almanor every summer. Every summer there are a good number of homes on the market. I truly believe these homes are purchased by people wanting a summer home, thinking they will be renting it when they aren't using it.  What they don't take into account is winter vacancies, upkeep costs and general deterioration (renters generally don't respect rentals as much as they should).  When this realization comes, the homes go right back on the market for the next person to do the same!

Nov 24, 2009 10:36 AM
Amanda Harper
Essential Properties, Inc. - Goodyear, AZ

Great point. With the number of buyers coming from the colder climate many of them have a hard time understanding the difference between a second home and a rental home. That is great advice that you have given them so that they are no suprises from them after the purchase!

Nov 24, 2009 12:23 PM
John Thomas
E3 Green HOMES - Boulder, CO
EcoBroker, MSEE, MBA

I think a lot of folks jump into a second home out of state without really understanding the consequences.

Nov 24, 2009 01:34 PM
Dave Roberts
Healdsburg Sotheby's International Realty - Healdsburg, CA

Excellent advice. I wish I had read something like this last year before I spent a day working with a couple who didn't know what they wanted. My fault, really, for not helping them understand their needs.

Nov 25, 2009 09:46 AM
Mark Watterson
Salt Lake City, UT
Utah Real Estate

Great point. 

There is a huge difference in second home and investment property.  Far to many don't think it through and end up wishing they had. 

Nov 27, 2009 01:29 AM