In 2013, the percentage of buyers who purchased primary residences and vacation homes rose slightly while the share of investment buyers declined slightly, according to the National Association of Realtors. The NAR has published a handy guide that outlines what buyers in all three categories are looking for and what their expectations are. Here’s a snippet of their data:
Buyer Motivation and Expectations: Vacation Properties vs. Investment Properties
To use for vacations or as a family retreat
- Vacation Properties 87%
- Investment Properties 29%
To use as a principal residence in the future
- Vacation Properties – 31%
- Investment Properties – 9%
To diversify investments/good investment opportunity
- Vacation Properties – 28%
- Investment Properties – 34%
To rent to others
- Vacation Properties – 23%
- Investment Properties – 50%
For a family member, friend or relative
- Vacation Properties – 22%
- Investment Properties – 22%
Because the buyer had extra money to spend
- Vacation Properties – 13%
- Investment Properties – 8%
For the tax benefits
- Vacation Properties – 13%
- Investment Properties – 17%
Source: 2014 NAR Investment and Vacation Home Buyers Survey
Via: http://www.realtor.org/field-guides/field-guide-to-vacation-resort-and-second-homes