Beyond being located in an ideal vacation spot, a second home should offer strong home value gains and have good rental income potential
There are many things to consider when buying a vacation home. Sure, it needs to be in a place where you enjoy vacationing, but that can be very different for different people. While some may enjoy vacationing at amusement parks and zoos, others may prefer vacation destinations that are more historical in nature. Others still may prefer sleepy beaches or national parks. With such a variety of destinations, a typical ‘Top 10’ list wouldn’t be able to take everything into account and be tailored specifically for the individual.
That is where Zillow’s Second Home Index and the accompanying tool come into play. The higher a location is in the Second Home Index, the better the chances are of that home seeing strong value gains and also having good rental income potential. The tool allows users to pick their preferred destination type, the price range of the home they are looking for, and the location, and creates a unique list of the best cities that match the desired options.
For example, someone who is looking for a home near historical sites (meaning the top cities will have at least 5 percent vacation homes and are within 20 miles of two or more historical sites) with a budget between $150,000 and $250,000 would be best served to take a look at Town of Rochester, N.Y. with a second Home Index score of 99 out of 100. Bolivar, W.V. (97), and Shokan, N.Y. (93) came in second and third.
Anyone searching for beaches and boating with a price range between $250,000 and $400,000 has Hutchinson Island South, Fla. (98), Port Aransas, Texas (97), and Bonita Springs, Fla. (95) as their top choices.
To use the tool to find the perfect location for your ideal second home, follow the link below.