Vacation Home Destinations

When shopping for a second home, it all comes down to three little words: lifestyle, lifestyle, lifestyle

When one thinks of a vacation home, often the first thing that comes to mind is a bungalow a few short steps from the beach, or a chalet in the heart of a skiing community. The next thing that comes to mind is that second homes are treats for the incredibly affluent.

However, these days, neither assumption is true. The housing boom of the past decade or so has spurred the growth of not just primary residences but also of vacation homes among many income groups. In fact, the National Association of REALTORS® notes that in 2004 a record 2.82 million second homes were sold. Findings from the Coldwell Banker Luxury Index issued in July back up this fact, as 27 percent of respondents surveyed indicated they already had a second home or vacation property, with 17 percent planning to purchase one in 2005.

While we know that the numbers of vacation home buyers are increasing, what is even more interesting is the location of these getaways. Surely beachfront and ski properties remain popular havens; however, these days more Americans are purchasing vacation homes in communities that offer sports, outdoor adventures, spa access and other events and activities that appeal to the entire, sometimes multigenerational, family. Ranches, wine country retreats, mountaintop resort communities are becoming fashionable destinations for second homes.

Many second home communities in areas as diverse as the Carolinas, the Catskills, Minnesota, Arizona and California offer amenities such as top flight golf and tennis facilities, private airstrips, kayaking, camping, children's activities, and even naturalists to teach kids (and adults!) about the local flora and fauna. Others offer buyers the ability to develop "family compounds," with properties on as many as 40 acres with smaller in-law or guest cottages on the grounds.

Viva Las Vegas!

As Las Vegas has transformed itself into a family-friendly destination, the second home market in the area has hit the jackpot. The wealth of entertainment options, together with enticing tax benefits and, of course, the weather, has helped lure retirees, baby boomers and empty nesters to purchase homes in Las Vegas either for personal use or as investments. The Lake Las Vegas golf resort destination nearby is also gaining in popularity.

Just a Stone's Throw Away

Growing numbers of second homeowners are buying in communities just outside of well established vacation areas, for fewer dollars yet with all of the resort area benefits. Such areas include places like Bluffton, S.C., just across the water from Hilton Head; Jensen Beach, Fla., approximately 45 minutes from West Palm Beach; and Bristol, ME, on the mid-coast of the state and not far from the fashionable Booth Bay.

Out west, for those who like to sail, swim, hike and fish, second homeowners are opting for Kern River Valley, Calif., which borders the Giant Sequoia National Monument and is three hours north of Los Angeles.

Exclusive Enclaves

Of course, for homeowners with deeper pockets, there still remain a number of second home areas that offer a variety of entertainment options as well as privacy and seclusion. Some of the priciest areas for second homes include: Aspen, Colo; Palm Beach, FL; Newport Beach, Calif., Water Mill, N.Y.; Nantucket, Mass., Sullivan's Island, S.C., and Jamestown, R.I. Prices for homes here range from $2.47 million at the top end in Aspen, to $473,000 in Jamestown. For the more adventuresome vacation home buyer, Kiplinger's Personal Finance cites Nova Scotia, Canada, Honduras and more non-traditional areas in Italy as highly desirable locations in terms of both finances and recreation.

Ultimately, what drives consumers as to where they will purchase a second home is lifestyle, the vibe of the community. Areas with an abundance of sports, entertainment, cultural and relaxation options will help make the second home market continue to thrive for many years to come.

Sources: CBS Marketwatch.com, New York Times, Kiplinger's Personal Finance, CNN "Open House;" Associated Press; National Association of REALTORS®

About Coldwell Banker®
Since 1906, the Coldwell Banker® organization has been a premier full-service real estate provider. In 2008, Franchise Times magazine's prestigious Top 200 issue ranked the Coldwell Banker system No. 1 in real estate for the ninth straight year and 12th among franchisors in all industries. The Coldwell Banker System has approximately 3,500 residential real estate offices and approximately 100,000 sales associates in 47 countries and territories. The Coldwell Banker System is a leader in the industry in residential and commercial real estate, and in niche markets such as resort, new home and luxury property through its Coldwell Banker Previews International® division. It is a pioneer in consumer services with its Coldwell Banker Concierge ® Service Program and award-winning Web site, www.coldwellbanker.com. Coldwell Banker Real Estate LLC is a subsidiary of Realogy Corporation, a global provider of real estate and relocation services. Coldwell Banker® is a registered trademark licensed to Coldwell Banker Real Estate LLC. Each office is independently owned and operated.