Should You Buy a Second Home?

For many families, a second home is a special place to come together and create lasting memories. After recent upheaval, people are often delighted to have a place to gather with loved ones. 

“Building memories with friends and family is such an enriching aspect to owning a second home,” said a Torreon Golf Club homeowner. “Our relatives came to stay with us last month, our first time seeing them in two years. You can’t beat that.”

Situated near the convergence of Highway 60 from Globe and Highway 260 from Payson, Torreon is a scenic three-hour drive from Phoenix or Tucson. It’s an easy weekend escape where families can play golf, ski, hike, ride horseback, fish, play tennis, ride bikes, or just curl up and read a good book in front of the fire.

Financial planners advise asking these questions before making the investment in a second home

1. Be certain that your other goals are funded; are there enough assets to cover the purchase?
2. Is there enough income to cover the monthly/yearly expenses? Make sure you can afford five to ten percent of the purchase price a year for upkeep and incidentals.
3. Are you saving at least 15 percent of your current income for retirement?
4. Are you out of credit card debt?
5. Do you have enough time to enjoy it?
6. Can you purchase your retirement home before you retire? It’s easier to qualify for a mortgage while you are still employed. Locking in a mortgage at a lower interest rate could positively impact your overall retirement budget. 

If a buyer can answer yes to all those questions, then they are likely in a great position to consider a vacation home. 

Additionally, keep in mind vacation homes are still homes, so make sure other desirable amenities are accessible. At Torreon, things like restaurants, golf courses, fitness centers, pool, spa, plus an arcade and movie room are all part of our everyday environment. A second home that provides conveniences you rely on will help your home retain its appeal as time goes on.

Benefits of owning a second home

1. Long Term Profits. The value of real estate climbed steadily in recent years. A second home is thought to be a “safe” investment due to homes appreciating in value in the long run.

2. Tax Advantages. Using your second home rather than renting it allows you to deduct your interest on your mortgage to the same levels as you can do with your primary residence. Certain rules and limits apply and changes to these rules and limits do occur.

3. Diversify Your Investments. Diversification is important for your investments. Real estate may just be the next way for you to diversify your portfolio. 

4. Purchase Your Retirement Home Before You Retire. With home loan interest rates at an all-time low now might be a better time than ever to purchase your future retirement home. 

Does your future include a second home? If so, we recommend the beautiful, welcoming Torreon community to build or purchase your dream second home.

Located just three hours from Phoenix in Show Low, Ariz., Torreon is a luxury golfing community nestled in the White Mountains. It offers convenience, world-class recreation and amenities for the entire family. Offering everything from a sprawling outdoor pool, expansive fitness center to award-winning food at Torreon Grille as well as a family and game center, fishing pond and endless trails throughout the community, every member or guest is sure to enjoy time at Torreon. Learn more at https://www.torreon.com/  Contact Linda Cedarblade, designated broker for Torreon Realty at (928) 532-3030 or lrc@torreon.com for more information on gorgeous, high country lots nestled in the White Mountains.