At a time when many Americans are dealing with pandemic-induced financial hardships, the demand for second homes has skyrocketed 100% from a year ago. As a matter of fact, this is the fourth triple-digit increase in the last five months. While the demand for primary homes has increased by 50%, the demand for second homes has eclipsed this.
Virtual work + Virtual school = second home
For many affluent Americans, the current pandemic has created an environment where both work and schooling can be completed remotely. This has led to a record number of people purchasing second homes in highly desirable locations such as South Florida. It is important to note though that many of these second homes purchased this year will ultimately become primary homes in the future. The reason for this is because it is common for many home buyers to purchase their second home prior to listing their current home on the market. In fact, with the housing inventory being as tight as it is, this is a recommended approach. Of course, not all buyers are in a position to do so.
Summary
The median sale price in seasonal towns grew 21% year-over-year in October to $420,000, outpacing the 14% growth in non-seasonal towns. As expected, we continue to see increased demand for second homes in South Florida as well. As a matter of fact, we are even seeing waterfront homes being purchased as second homes merely for their ocean access dockage. In essence, these high-end buyers are buying homes in order to have a place to dock their boats or yachts.
At Live South Florida Realty, Inc., we have assisted many buyers with accomplishing their dreams of owning a second home in paradise. Whether you are looking for an oceanfront condo, waterfront home, or any other property in Palm Beach, Broward, or Dade counties, we can help. Contact us today!
