Vacation home market slowing

Green Escrow Services | vacation home

While the pandemic was raging, the demand for vacation homes was also in full force. Now, as the pandemic eases and interest rates rise, the market for second homes is slowing down, although still higher than pre-pandemic rates.

In addition, a new second-home loan fee took effect on April 1 which increased the Federal Housing Finance Agency’s fees for second-home loans from approximately 1 percent to 4 percent.

Finally, the number of listings in what are regarded as “seasonal towns” has reached record lows.