This past year Vacation Home Sales Increase was a record breaking one, according to an annual survey done by the National Association of Realtors. The survey focuses on residential homebuyers in the US, and reported that vacation home sales increase amounted to 1.13 million dollars during 2014, which is the highest recorded profit since the survey began in 2003. The volume of sales increased a staggering 57.4 percent since 2013, nearly doubling the quantity of vacation homes purchased in just one year.
Vacation Home Sales Increase
This turnaround is the result of multiple socioeconomic factors, as NAR’s Chief Economist Lawrence Yun remarked in a recent interview. “Affluent households have greatly benefited from strong growth in the stock market in recent years, and the steady rise in home prices has likely given them reassurance that real estate remains an attractive long-term investment. Furthermore, last year’s impressive increase also reflects long-term growth in the numbers of baby boomers moving closer to retirement and buying second homes to convert into their primary home in a few years.” This combination of a healthier economy and a larger number of people entering into retirement contributed significantly to the record-breaking vacation home sales increase during 2014.
Another interesting feature of the market illuminated by this survey was that while sales were up, the median sales price was actually reduced this year compared to previous annual data records. This is because even though sales increased, the size of the homes purchased actually went down since people were more apt to buy condos and townhouses as opposed to large residential properties. There were also more vacation buyers who purchased distressed properties, which additionally contributed to the decline in the median sales price.
With prices falling and the amount of sales going up, now is the perfect time to invest in that dream vacation condo or long awaited retirement home. And what better place to do so than South Florida, with our year-round sunshine, picturesque beaches, and hundreds of incredible events happening every month. If you are interested in real estate throughout the Miami area, then do yourself a favor and contact a RE/MAX agent today! Their staff of skilled real estate professionals will help you find the residential or commercial property of your dreams.