Contact: Keri Henke, RE/MAX INTEGRA, Midwest
Rachel Sorvig, APR
Bose Public Affairs Group
Minneapolis, Wisconsin – Today RE/MAX INTEGRA, Midwest released its 2017 Summer Recreational Properties Report providing insight into the latest trends in the recreational housing markets across Indiana, Minnesota and Wisconsin as the summer buying season reaches its peak.
In almost every region, buyers are competing for fewer available homes in the recreational market, similar to buyers in the primary home market. There is a surplus of buyers in this post-recession era who are now able to afford to purchase recreational properties. The report, which profiles nine markets in the three Midwest states, identifies several major reasons why inventory is even tighter in 2017:
Baby boomers are starting to retire, and they are seeking out homes where they can relax but also have amenities for their children and grandchildren
Pre-retirement buyers are getting a head start on their post-retirement plans by purchasing second homes now with plans to move in full time in 2-5 years
Young families are looking for an escape from the city, and there is potential for significant rental income when they cannot use the recreational property themselves
“In order for buyers to find a home that fits within their budget for a recreational property, buyers might have to make concessions about size, location or amenities,” said Fiona Petrie, executive vice president and regional director for RE/MAX INTEGRA, Midwest. “We have seen low inventory in the primary home market, and now the recreational home market is no different – prices are escalating, and homes when priced right are selling rapidly – often with multiple offers. However, with the help of an experienced agent, it is possible to find your perfect property and stay within budget.”
Rental potential, retirement planning and the fear that prices will continue to increase are all factors driving the recreational home market this summer, according to RE/MAX brokers surveyed and interviewed for the 2017 Summer Recreational Properties Report.
Buyers who are hoping to get a good deal on a recreational property may want to hold off until summer ends. According to the RE/MAX brokers and agents surveyed, buyers can save 5-15 percent by waiting until fall to purchase a recreational property. But brokers and agents in some areas caution that trying to find a recreational property during the non-peak season may be more difficult, since the supply of homes is usually low.