Second Homes Are in High Demand

Google search trends for the terms "buying a second home" and "buying a vacation home" reached a five-year high in July, jumping 235 percent annually. Home sales in vacation destination areas started accelerating in July 2020 and posted a 34% annual gain this past fall, NAR data shows.

C.A.R. data shows that sales in resort markets like Lake Tahoe, Lake Arrowhead, Mammoth Lakes and Palm Springs saw sales more than double during the second half of 2020 from where they were the previous year. While many of these buyers are newly minted work-from-homers seeking a new primary residence, many are shopping for vacation homes, figuring hotels won't be safe for some time now. Funds that may have once been allocated to travel expenses can now be funneled directly into the down payment.