April 1, 2010
WASHINGTON (March 31, 2010)â€”Vacation-home sales recovered in 2009 while investment sales fell sharply, according to the National Association of RealtorsÂ®.
NARâ€™s 2010 Investment and Vacation Home Buyers Survey, covering existing- and new-home transactions in 2009, shows vacation-home sales rose 7.9% to 553,000 last year from 513,000 in 2008, while investment-home sales fell 15.9% to 940,000 in 2009 from 1.12 million in 2008. Primary residence sales rose 7.1% to 4.04 million in 2009 from 3.77 million in 2008.
â€œThe typical vacation-home buyer is making a lifestyle choice, with nine out of 10 saying they intend to use the property for vacations or as a family retreat,â€ said NAR Chief Economist Lawrence Yun. â€œInvestment buyers primarily seek rental income, with six in 10 planning to rent to others, although one in five wants a family member, friend or relative to use the home.â€
Only one in four vacation-home buyers plan to rent their properties to others, while one in five investment buyers plan to use their homes for vacations or as a family retreat. However, 26% of vacation-home buyers and 8% of investment buyers intend to use the property as a primary residence in the future.
The median transaction price of a vacation home was $169,000 in 2009, compared with $150,000 in 2008.Â â€œThe higher vacation home price may reflect increased sales in higher-priced markets, particularly in areas of Florida and California where prices became highly attractive for buyers over the past year,â€ Yun said.
Half of vacation homes purchased last year were in the South, 21% in the West, 17% in the Midwest and 12% in the Northeast. Seven out of 10 were detached single-family homes.
Source: National Association of RealtorsÂ®
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