{"id":227226,"date":"2023-04-10T12:24:00","date_gmt":"2023-04-10T16:24:00","guid":{"rendered":"https:\/\/www.livabl.com\/articles\/?p=227226"},"modified":"2023-04-17T13:56:30","modified_gmt":"2023-04-17T17:56:30","slug":"are-second-homes-a-luxury-of-the-past","status":"publish","type":"post","link":"https:\/\/www.livabl.com\/articles\/news\/are-second-homes-a-luxury-of-the-past","title":{"rendered":"Are second homes a luxury of the past?"},"content":{"rendered":"

<\/h4>\n
\"Second<\/a>
Adobe Stock\/Ralf Gosch<\/figcaption><\/figure>\n\n\n\n

Amid limited inventory, elevated mortgage rates, and less demand for short-term rentals, second-home mortgage-rate locks are floating near their lowest level since 2016.<\/p>\n\n\n\n

Down 52% from pre-pandemic levels on a seasonally adjusted basis, mortgage-rate locks for second homes are on the decline, according to a new Redfin report<\/a>. Compared with primary homes with a 13% decline in rate locks, the loss in demand is dropping as potential second-home buyers have been priced out of already more expensive markets.<\/p>\n\n\n\n

In 2022, the typical second home was worth $465,000 compared with a primary home at $375,000. Increased loan fees imposed by the federal government on second homes in April 2022 has also added pressure.<\/p>\n\n\n\n

\u201cWith housing payments near their all-time high, a lot of people can\u2019t afford to buy one home right now, let alone a second,\u201d says Taylor Marr, Redfin deputy chief economist. \u201cAdd the recent increase in loan fees, inflation, shaky financial markets, the end of pandemic-related financial stimulus, and many companies calling workers back to the office, and it\u2019s simply a challenging time for most Americans to buy a vacation home.\u201d<\/p>\n\n\n\n

In August 2020, mortgage-rate locks for second homes hit a peak of 89% above pre-pandemic levels. The peak\u2014fed by low mortgage rates, travel limitations, and remote work\u2014is when many affluent Americans bought second homes. The demand has fallen drastically as workers are returning to the office and second homes become less attractive because there\u2019s less free time to spend in them.<\/p>\n\n\n\n

As owners of short-term and long-term rentals are reporting declines in business, purchasing a second home to rent out is also becoming less appealing, Redfin data reports. As many people became vacation rental hosts during the pandemic, the market became saturated with rental options. Short-term rental regulations through local governments are also dampening the intrigue.<\/p>\n\n\n\n

Because second homes are not a necessity, second-home buyers are more likely to pull out of the search than primary home buyers. With stock market declines and a shaky economy, second-home buyers potentially have less cash on hand for down payments and monthly payments as well.<\/p>\n\n\n\n

\u201cIt\u2019s mostly affluent cash buyers who don\u2019t have to worry about high rates,\u201d Phoenix<\/a> Redfin agent Van Welborn said. \u201cThey\u2019re motivated to buy now because they think they can get a vacation home for under asking price\u2014and, in some cases, they\u2019re right. There are fewer buyers looking to buy properties to be used as short-term rentals, though, as they\u2019re finding that the market is saturated.\u201d<\/p>\n

<\/div>","protected":false},"excerpt":{"rendered":"

Compared with pre-pandemic levels, a new report shows that second-home mortgage-rate locks were down 52% in March.<\/p>\n","protected":false},"author":49,"featured_media":227227,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"content-type":"","apple_news_api_created_at":"2023-04-11T16:24:09Z","apple_news_api_id":"e692452e-4dcc-4d37-b263-b5db44f5a37f","apple_news_api_modified_at":"2023-04-11T16:24:09Z","apple_news_api_revision":"AAAAAAAAAAD\/\/\/\/\/\/\/\/\/\/w==","apple_news_api_share_url":"https:\/\/apple.news\/A5pJFLk3MTTeyY7XbRPWjfw","apple_news_coverimage":0,"apple_news_coverimage_caption":"","apple_news_is_hidden":false,"apple_news_is_paid":false,"apple_news_is_preview":false,"apple_news_is_sponsored":false,"apple_news_maturity_rating":"","apple_news_metadata":"\"\"","apple_news_pullquote":"","apple_news_pullquote_position":"","apple_news_slug":"","apple_news_sections":[],"apple_news_suppress_video_url":false,"apple_news_use_image_component":false,"footnotes":""},"categories":[11108],"tags":[11215,11291,11002],"coauthors":[10332],"apple_news_notices":[],"yoast_head":"\nAre second homes a luxury of the past? | Livabl<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.livabl.com\/articles\/news\/are-second-homes-a-luxury-of-the-past\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Are second homes a luxury of the past? | Livabl\" \/>\n<meta property=\"og:description\" content=\"Compared with pre-pandemic levels, a new report shows that second-home mortgage-rate locks were down 52% in March.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.livabl.com\/articles\/news\/are-second-homes-a-luxury-of-the-past\" \/>\n<meta property=\"og:site_name\" content=\"Livabl\" \/>\n<meta property=\"article:published_time\" content=\"2023-04-10T16:24:00+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2023-04-17T17:56:30+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.livabl.com\/articles\/wp-content\/uploads\/2023\/04\/second-homes-1.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"800\" \/>\n\t<meta property=\"og:image:height\" content=\"533\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Livabl\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Livabl\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.livabl.com\/articles\/news\/are-second-homes-a-luxury-of-the-past\",\"url\":\"https:\/\/www.livabl.com\/articles\/news\/are-second-homes-a-luxury-of-the-past\",\"name\":\"Are second homes a luxury of the past? | Livabl\",\"isPartOf\":{\"@id\":\"https:\/\/www.livabl.com\/articles\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.livabl.com\/articles\/news\/are-second-homes-a-luxury-of-the-past#primaryimage\"},\"image\":{\"@id\":\"https:\/\/www.livabl.com\/articles\/news\/are-second-homes-a-luxury-of-the-past#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.livabl.com\/articles\/wp-content\/uploads\/2023\/04\/second-homes-1.jpg\",\"datePublished\":\"2023-04-10T16:24:00+00:00\",\"dateModified\":\"2023-04-17T17:56:30+00:00\",\"author\":{\"@id\":\"https:\/\/www.livabl.com\/articles\/#\/schema\/person\/36764230a969f18fc6dc798c5a4daedf\"},\"breadcrumb\":{\"@id\":\"https:\/\/www.livabl.com\/articles\/news\/are-second-homes-a-luxury-of-the-past#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/www.livabl.com\/articles\/news\/are-second-homes-a-luxury-of-the-past\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.livabl.com\/articles\/news\/are-second-homes-a-luxury-of-the-past#primaryimage\",\"url\":\"https:\/\/www.livabl.com\/articles\/wp-content\/uploads\/2023\/04\/second-homes-1.jpg\",\"contentUrl\":\"https:\/\/www.livabl.com\/articles\/wp-content\/uploads\/2023\/04\/second-homes-1.jpg\",\"width\":800,\"height\":533,\"caption\":\"Second home - a white home with a dark roof sitting on the beach\"},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/www.livabl.com\/articles\/news\/are-second-homes-a-luxury-of-the-past#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Articles\",\"item\":\"https:\/\/www.livabl.com\/articles\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"News\",\"item\":\"https:\/\/www.livabl.com\/articles\/news\"},{\"@type\":\"ListItem\",\"position\":3,\"name\":\"Are second homes a luxury of the past?\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/www.livabl.com\/articles\/#website\",\"url\":\"https:\/\/www.livabl.com\/articles\/\",\"name\":\"Livabl\",\"description\":\"Building New Home Dreams\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/www.livabl.com\/articles\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/www.livabl.com\/articles\/#\/schema\/person\/36764230a969f18fc6dc798c5a4daedf\",\"name\":\"Livabl\",\"url\":\"https:\/\/www.livabl.com\/articles\/author\/livabl\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Are second homes a luxury of the past? | Livabl","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.livabl.com\/articles\/news\/are-second-homes-a-luxury-of-the-past","og_locale":"en_US","og_type":"article","og_title":"Are second homes a luxury of the past? | Livabl","og_description":"Compared with pre-pandemic levels, a new report shows that second-home mortgage-rate locks were down 52% in March.","og_url":"https:\/\/www.livabl.com\/articles\/news\/are-second-homes-a-luxury-of-the-past","og_site_name":"Livabl","article_published_time":"2023-04-10T16:24:00+00:00","article_modified_time":"2023-04-17T17:56:30+00:00","og_image":[{"width":800,"height":533,"url":"https:\/\/www.livabl.com\/articles\/wp-content\/uploads\/2023\/04\/second-homes-1.jpg","type":"image\/jpeg"}],"author":"Livabl","twitter_misc":{"Written by":"Livabl","Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/www.livabl.com\/articles\/news\/are-second-homes-a-luxury-of-the-past","url":"https:\/\/www.livabl.com\/articles\/news\/are-second-homes-a-luxury-of-the-past","name":"Are second homes a luxury of the past? | Livabl","isPartOf":{"@id":"https:\/\/www.livabl.com\/articles\/#website"},"primaryImageOfPage":{"@id":"https:\/\/www.livabl.com\/articles\/news\/are-second-homes-a-luxury-of-the-past#primaryimage"},"image":{"@id":"https:\/\/www.livabl.com\/articles\/news\/are-second-homes-a-luxury-of-the-past#primaryimage"},"thumbnailUrl":"https:\/\/www.livabl.com\/articles\/wp-content\/uploads\/2023\/04\/second-homes-1.jpg","datePublished":"2023-04-10T16:24:00+00:00","dateModified":"2023-04-17T17:56:30+00:00","author":{"@id":"https:\/\/www.livabl.com\/articles\/#\/schema\/person\/36764230a969f18fc6dc798c5a4daedf"},"breadcrumb":{"@id":"https:\/\/www.livabl.com\/articles\/news\/are-second-homes-a-luxury-of-the-past#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.livabl.com\/articles\/news\/are-second-homes-a-luxury-of-the-past"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.livabl.com\/articles\/news\/are-second-homes-a-luxury-of-the-past#primaryimage","url":"https:\/\/www.livabl.com\/articles\/wp-content\/uploads\/2023\/04\/second-homes-1.jpg","contentUrl":"https:\/\/www.livabl.com\/articles\/wp-content\/uploads\/2023\/04\/second-homes-1.jpg","width":800,"height":533,"caption":"Second home - a white home with a dark roof sitting on the beach"},{"@type":"BreadcrumbList","@id":"https:\/\/www.livabl.com\/articles\/news\/are-second-homes-a-luxury-of-the-past#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Articles","item":"https:\/\/www.livabl.com\/articles"},{"@type":"ListItem","position":2,"name":"News","item":"https:\/\/www.livabl.com\/articles\/news"},{"@type":"ListItem","position":3,"name":"Are second homes a luxury of the past?"}]},{"@type":"WebSite","@id":"https:\/\/www.livabl.com\/articles\/#website","url":"https:\/\/www.livabl.com\/articles\/","name":"Livabl","description":"Building New Home Dreams","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.livabl.com\/articles\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/www.livabl.com\/articles\/#\/schema\/person\/36764230a969f18fc6dc798c5a4daedf","name":"Livabl","url":"https:\/\/www.livabl.com\/articles\/author\/livabl"}]}},"_links":{"self":[{"href":"https:\/\/www.livabl.com\/articles\/wp-json\/wp\/v2\/posts\/227226"}],"collection":[{"href":"https:\/\/www.livabl.com\/articles\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.livabl.com\/articles\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.livabl.com\/articles\/wp-json\/wp\/v2\/users\/49"}],"replies":[{"embeddable":true,"href":"https:\/\/www.livabl.com\/articles\/wp-json\/wp\/v2\/comments?post=227226"}],"version-history":[{"count":0,"href":"https:\/\/www.livabl.com\/articles\/wp-json\/wp\/v2\/posts\/227226\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.livabl.com\/articles\/wp-json\/wp\/v2\/media\/227227"}],"wp:attachment":[{"href":"https:\/\/www.livabl.com\/articles\/wp-json\/wp\/v2\/media?parent=227226"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.livabl.com\/articles\/wp-json\/wp\/v2\/categories?post=227226"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.livabl.com\/articles\/wp-json\/wp\/v2\/tags?post=227226"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/www.livabl.com\/articles\/wp-json\/wp\/v2\/coauthors?post=227226"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}