Benefits of Owning Versus Renting a Vacation Home
While on vacation, whether lounging on a sunny beachside patio or overlooking a beautiful valley at a mountain retreat, we’ve all shared a similar thought: Wouldn’t it be great to live here?
With the improving economy this sentiment has been widely shared and has resulted in a surge in vacation home sales, with over 20% of all homes purchased in 2014 being vacation homes. A further impetus in the form of rising interest rates has gotten the wheels turning for many a vacationer on whether a vacation home of their own would be a good idea.
Owning a vacation home is a considerable financial decision and one that should be carefully analyzed, but if you are able to afford this luxury, there are some great advantages that you’ll surely enjoy.
Familiarity & Tradition
One of the biggest advantages to owning a vacation home is an emotional one, rather than financial. A vacation home can serve as a focal point for families that live far apart from each other, making it easier to reunite for holidays and other family get-togethers. Being able to come back to the same place time after time fosters a level of comfort and familiarity. This kind of relaxed atmosphere provides the perfect opportunity to strengthen family ties and create long-term traditions that will be maintained by the younger generations.
Secondary Income & Long-Term Profits
Owning a second home carries with it the same cost obligations as a primary home, including mortgage payments, insurance premiums, and property taxes. However, in recent years, vacation homes have been appreciating fast, to the tune of 28% year-over-year. Properties like beachfront escapes, mountain chalets, and other desirable locations are expected to remain in-demand and continue their upward trajectory. These perennially popular locations offer the opportunity to consistently rent out any unused time to other vacation-goers to help recoup some of the yearly costs of ownership.
Many vacation homes are located in areas that experience a huge seasonal-specific influx of demand during peak times, while the rest of the year sees properties in the area sit vacant. This often makes it difficult for the owners to enjoy their property, while still renting out any unused time to other vacationers.
Obsidian Residence Club, however, located in the Sierra Nevada Mountains of California, welcomes visitors year-round. The slopes of Mammoth Mountain beckon skiers from near and far during the winter, while the warmer months experience a large number of visitors coming to explore the beautiful forests or find solitude fishing or golfing. Either way, there’s always something for everyone, which minimizes any conflict that may arise with your own vacation schedule.
One Property – Countless New Adventures
One of the often-cited disadvantages of owning a vacation home is that it limits owners in their vacation options. However, at Obsidian Residence Club, owners are enrolled into the Elite Alliance Program, which allows owners to trade time at their vacation home for time at vacation homes in other prestigious destinations worldwide. Obsidian owners can enjoy all the benefits of owning a vacation home, but with the exciting possibility of exploring new places and creating new memories!
For more information on the Elite Alliance Program and other benefits exclusive to owners at Obsidian Residence Club, please visit our website obsidianrc.com.