Vacation Home Insider

Ultimate Escapes - higher dues for some, no dues for newcomers

2009-12-05T09:20:00.005-07:00

Ultimate Escapes, the luxury destination club formed by the merger of Private Escapes and Ultimate Resort, is raising dues for 2010 for some current members while offering a "no dues for one year" pledge to new enrollees.

The club, the second largest in terms of members, has a full page ad in the Saturday Wall Street Journal of Dec. 5, 2009 promising no dues for the first year to lure rich folks into becoming members.

Meanwhile, current members seem to be on a bumpy flight. On the Destinations Club forum, some members say they've been hit with an 11% increase in dues for 2010, in line with a rise in the consumer price index (CPI). Yet in the same thread, another member says: "We pre-paid our dues last year, would not pay the assessment, were suspended and then reinstated and have no intention of paying the dues this year. Good luck to everyone else."

On a brighter note, the club is adding three new "Elite Club" residences at See Forever Village at the Peaks in Telluride, CO.(Typical cabin pictured above.) Elite is its top level of 3 tiers of membership (Elite, Signature, Premiere) but within each of these there are 5 sublevels.

Tax Tip -- Don't Collect Any More $ from Second Home Rental

2009-11-03T08:52:00.003-07:00

Here's a tip from Julian Block of CBS MoneyWatch for those who use their second homes to generate extra income through rentals:

Owners are permitted to rent their vacation homes and to bank the rent checks without declaring the rental income in certain circumstances.

First, you must have had a tenant in that second home for fewer than 15 days in order to collect the rent tax-free. If you have rented it for more days, all the rental income becomes taxable. Thus, if you have the option of renting or not renting for the rest of this year, or collecting rents due, and the income is not worth paying taxes on, skip the rentals and money until Jan. 1.

I'm not a tax advisor or accountant, so doublelcheck this info with your tax guru and/or read the IRS’s Publication 527, which has all the details.

Super Bowl bound -- HomeAway online rental network to buy ad spot

2009-10-20T14:41:00.002-06:00

The competition for second-home and vacation home rental listing must be getting ferocious. One of the largest web conglomerates, HomeAway.com, announced today it's going to kick off its most extensive national advertising campaign yet with a spot on the Super Bowl 2010 telecast Feb. 7th.

HomeAway (that's its logo, above) has consolidated a number of popular vacation home rental sites under its wing -- including VRBO (Vacation Rentals by Owner) and VacationRentals.com -- to become, according to its own literature, "the worldwide leader of online vacation rentals, representing more than 425,000 vacation rental home listings across more than 120 countries."

No matter what other TV spots it might buy, this surely will be its most expensive entry ever into national markets. In recent years, a 30-second spot on the Super Bowl has cost in the neighborhood of $2.5-million to $3-million. One Website that has made a Super Bowl appearance for the past five years is the domain name host and Internet registrar GoDaddy.com.

For mom-and-pop outfits that buy into the HomeAway.com network in hopes of getting better visibility for their services, the Super Bowl spot may or may not translate into more, or more easily convertible, clicks by consumers. However, the HomeAway announcement sure raises the stakes for all Web-based vacation home market sites.

Less than a year ago, HomeAway made a splash with the announcement of an infusion of $250 million in private financing. The Austin-based outfit says that private home and condo rentals is the travel industry's fastest-growing segment.

FlipKey rates vacation homes as TripAdvisor does hotels - almost

2009-10-13T11:44:00.010-06:00

Many vacationers rely on TripAdvisor for reviews of hotels written by authentic travelers just like themselves. Now, as more tourists choose vacation homes as their accommodations rather than hotels, FlipKey, a TripAdvisor-owned service, welcomes the same type of peer reviews of thousands of properties.

"We have over 100,000 authentic guest reviews on our site," a spokesman for FlipKey wrote me in an email, but he added that "coverage can vary quite a bit depending on the area."

What makes TripAdvisor so valuable is, in part, its sheer quantity of hotels and reviews. It has 450,000 hotels from around the world in its listings, according to its press material, with millions upon millions of reviews. (TripAdvisor also lists and ranks restaurants and attractions. It is owned, as is FlipKey, by Expedia.)

FlipKey is not there yet. Many properties listed have just one or two reviews. It will take a while before scores of guests judge and post reviews for a single vacation home or condo. Nevertheless, it's making progress toward a critical mass. Some properties in such locations as Disney World and Gulf Shores, Alabama (where the condo pictured above is) have up to 19, when I checked today.

To make properties trustworthy, FlipKey offers a verification program for professional property managers. To make reviews trustworthy, it only allows verified previous customers to post reviews through an email invitation system. However, owners or managers pay for a property listing itself. Properties in a given area -- Disney World, Lake Tahoe etc.-- are not shown ranked by popularity as hotels are in TripAdvisor. And a huge number of reviews I looked at were super-positive (5 stars.)

Still, feature-rich FlipKey provides details of rooms, baths and amenities in each property plus photos, prices, location, availability It indicates whether homes are managed by the homeowner or by a management company.

Given time, FlipKey could develop into a must-check website for discriminating travelers, just as TripAdvisor is.

Ski Helmets Mandatory for Kids at Vail, Aspen, Tremblant, Whistler

2009-10-06T10:35:00.008-06:00

Thinking about winter travel? For those who own or rent vacation homes in ski areas, it's time to think about ski helmets.

Aspen requires children and teens who take ski or snowboard lessons on any of its mountains -- Aspen, Highlands, Buttermilk and Snowmass -- to wear helmets.

For winter 2009-10, Vail Resorts, too, has made helmets mandatory for children and teens who take group lessons. (Vail Resorts operates Vail, Beaver Creek, Breckenridge and Keystone in Colorado and Heavenly in California.) In announcing the helmet rule, Vail also said its employees would be required to wear helmets while on the job.

In Canada, Mt. Tremblant and other resorts owned by Intrawest joined the kids with lids bandwagon Oct. 1. The company announced that children and teens who take lessons at any of their mountains must wear helmets, as must its instructors in those programs.

Tremblant, of course, is the Quebec resort where actress Natasha Richardson fell while taking a lesson without a helmet last spring and later died.

The Intrawest rules applies to all its properties including Winter Park, Copper Mountain, and Steamboat Ski & Resort in Colorado; Stratton in Vermont; Snowshoe Mountain in West Virginia; Mountain Creek in New Jersey; Panorama Mountain near Invermere, British Columbia; and Whistler Blackcomb, which will host alpine events for the 2010 Winter Olympic Games.

Photo courtesy Aspen/Snowmass

Equity Estates - destination club thrives with fiscal transparency

2009-09-28T12:45:00.007-06:00

While the economy takes its time to recover from recession, the destination club Equity Estates is thriving, with 30 new members since the start of 2009 and two more luxury properties in its portfolio -- one in La Jolla and another in midtown Manhattan near Times Square (pictured above.)

CEO Philip Mekelburg calls Equity Estates a luxury residence fund."We re typically cash buyers of homes – we leverage the minimum amount of 23 percent," he told me not long ago. As a result, the company has remained in sound financial condition while other larger, highly leveraged clubs struggled, he said.

Mekelburg points out that Equity Estates is dedicated to fiscal transparency so members know their money is safe. The company puts 80 cents of every dollar into real estate, compared to the 50 % level maintained by some other clubs. It now has 10 residences, with an average price of $3 million. Full members are entitled to 30 nights a year in any of the properties, while executive members get 15 nights.

But perhaps the most unusual thing about Equity Estates is that it has an exit strategy. Starting in 2021, says Mekelburg, the club will start selling off its properties and distribute the proceeds among its member owners. Full membership requires a capital contribution of $375,000 to join. Its properties are in typical luxury vacation areas, such as Turks and Caicos (Caribbean) Deer Valley (Utah) and Hilton Head (South Carolina).

Destination club Ultimate Escapes to be acquired by public company

2009-09-10T10:51:00.008-06:00

In the latest news from the sometimes troubled luxury destination club market, the leading club in terms of properties -- Ultimate Escapes -- is getting a big new public partner.

Secure America Acquisition Corp. has announced it is about to invest a minimum of $20-million in Ultimate Escapes, which itself is in the process of absorbing Private Escapes, another destination club. Ultimate is the second largest club in terms of number of members, with more than 1300 members. (Number One is Exclusive Resorts, with more than 3,000 members.) The club has handsome homes in desirable locations such as Nevis, pictured above.

The deal means that Ultimate Escapes not only gets a cash infusion but becomes a public company. Time will tell if that is good for members. In the short run, it undoubtedly is good for Ultimate Escapes, which lost over $15-million last year,according to the Washington Business Journal. As for Secure America, its previous acquisitions have been in the field of homeland security. Guess you could call this one "vacation homeland security."

Vacation Home Inventory Glut in Steamboat Springs, Colorado

2009-08-31T12:14:00.005-06:00

One real estate agent in Steamboat Springs, Colorado, notes that at the recent pace of property sales in that mountain second home community (163 sales in the first 2 quarters of 2009) he expects to see only about 320 sales in 2009 total. Yet there are more than 2,300 listings available in the community, including commercial. This, says Doug Labor, broker-owner of Buyer’s Resource Real Estate and manager of MLS statistics as quoted in the Steamboat Pilot, translates into an inventory that would last about seven years, he said. A typical rate of supply is about a year, Labor said.

Aspen Cheap -- $475,000 for 355 sq. ft Studio

2009-08-21T10:00:00.002-06:00

So what's the least you can spend for full ownership of your Colorado dream hideaway in Aspen? Looks like some studios have shown price drops to below $500,000, including this one on the Original Curve of Main Street (in what's known as Aspen's "Core"). The online offering from Morris & Frywald shows a handsomely redecorated space including a full bed, although it is not clear whether that's the living room couch artfully made up or a separate piece of furniture within the 355 square feet.

Note to buyers: the MLS for places like Aspen and Vail is chock full of listings that seem to be going nowhere. Price drops, anyone?

Home Sales in Aspen Decline 34 %; $43-million Mansion Still Available

2009-07-23T15:55:00.005-06:00

You can still buy this $43-million vacation estate here in Aspen, but why hurry? According to an analysis by Land Title Guarantee Company as reported in today's Aspen Times, the dollar volume of real estate sales through June was down 34 % from the same 2008 period, to a mere $471.57 million.

Sound like a lot of dough? Not by Aspen's lofty standards. Since 2003, the Pitkin County (Colorado) market has topped a billion dollars every year. If the second half of 2009 parallels the first, the yearly total won't reach that mark.

Wnat's selling? According to the analysis published in the Aspen Times, the answer is fractionals. They've accounted for $139 million so far this year, a jump of 396 % over last year.

The $43-million property? There were two! The first, a 21,400 square foot 11-bedroom "mountain palace," in the phrase used by the Aspen Daily News, was sold in early July. It's got 15 bathrooms and is located in the Pitkin Green area of town. The broker said the views are spectacular. Could they be anything less for that price? It was said to be the most expensive house sold in the U.S. this year.

But since you missed it, how about another $43 million house, the one pictured above, in West Buttermilk? On the other side of Aspen It's only 16,000 square feet and 7 bedrooms, but it is "Tuscan style" and "18th-century inspired" It includes a theater, exercise room and wine seller and comes furnished.

Vail's Four Seasons said to be on track for winter opening

2009-07-21T17:39:00.005-06:00

One of the biggest new projects still under construction in Vail, Colorado is on the fast track to a "winter" finish line. The building includes a 121-room hotel, 19 fractional residences and 16 whole-ownership condominiums.

A few days ago, I toured the site, which is located not far from the main Vail roundabout, and can be seen clearly from Interstate I-70. Jeff Meier, the director of sales for Playground Destination Properties Inc., the official sales agent, showed me the 10-story property. Although it is huge (500,000 square feet), some of the massiveness is concealed by having four of its floors below the level of the inner Vail Village road. When completed it will have a spa and pool at that lower level.

The building has been framed and the pool area as well as the lobby and spa were being worked on when I visited. The 1/12th fractional ownership interests come with 21 days of primary time. Four Seasons is offering 2, 3 and 4 bedroom units priced from $405,900 to $715,000.

Will Four Seasons be ready for the 2009-2010 season? Playground (which is a part of Intrawest, an ironic choice at Vail considering that the ski resort arm of Intrawest is a big competitor of Vail) would not be pinned down on a specific month, saying only that it expected to welcome its first guests "this winter."

Home Price Slide Eased in April

2009-07-01T16:30:00.003-06:00

The latest from a trailing indicator -- Standard & Poor's/Case-Shiller index -- is that the decline in home prices slowed in April in 20 major cities. The index numbers released today show that 13 metropolitan areas had price gains in April, led by Dallas, Denver and Cleveland, where prices rose 1% or more from the previous month. In some second home areas, prices continued to drop. Las Vegas prices fell 3.5% compared with March, while Phoenix prices fell another 2.2%

VRBO Touts Mid-Atlantic Seaboard

2009-06-25T13:58:00.003-06:00

Summertime, and the living is easy along the Mid-Atlantic shore, says vacation-rental giant VRBO (Vacation Rental By Owner). Its headliners: Ocean City, Maryland, Rehoboth Beach, Delaware and Virginia Beach, Virginia.

A virtual hopscotch through VRBO listings in Rehoboth Beach indicate that demand is strong for big houses that sleep 10 or more, with many properties already rented for all of July and August. But there are available weeks and weekends for smaller properties and the price can be as little as $175 per night.

In Ocean City, there seems to be greater availability. But with so many families staying closer to home because of the tough economy, homes from New York's Hamptons to the Jersey Shore all the way south to virginia are looking mighty appetizing.

For example, the house shown above, in Rehoboth Beach, sleeps 8 to 10 and has prime weeks available for up to $4,200. Sounds like a lot of money? Not divided up among 4 couples.

Santa Fe still magnet for art, opera, adobe house lovers

2009-05-28T13:19:00.006-06:00

The real estate market in Santa Fe, that ever-growing favorite of second-home owners who love art, opera and turquoise, is not what it was before the housing bubble burst, but there are buys to be had, as I learned last week. Example: a house with both a studio and a guest house on the property in the desirable South Capitol district (walking distance from the Plaza, if you're accustomed to lengthy walks) is offered at $625,000, which is $50,000 less than the original January price.

That may still sound high to bargain hunters, but the guest house is rented out for $775 per month and has private access, so income is already in place to help you pay the mortgage. It's a tri-level house with 2,443 square feet, 3 bedrooms, 3 baths, as pictured above. Interested? Call agent Laura Lichtenstein at Santa Fe Properties (505) 470-1098. And yes, we're related. (She's my cousin.)

No Smoking Cabins available in Great Smoky Mountains

2009-05-15T16:52:00.004-06:00

The Great Smokies are a bargain this summer, says Money Magazine. In a feature on last minute deals, it recommends the gorgeous area of the Great Smoky Mountains National Park on the Tennessee/North Carolina border, with an assist from Christine Karpinski, author of How to Rent Vacation Properties by Owner. You can rent a wonderful cabin in these woods for as little as $80 a night (for a two-bedroom 1 bath cabin with fireplace and satellite TV) from companies such as Bearly Rustic. I love the fact that this bear-friendly property management firm specifies that some of its rentals are "no smoking."

Value House Shopping in Hamptons, Sanibel, Cape Cod and Other Locations

2009-05-01T14:11:00.009-06:00

When is a million-dollar vacation home considered a bargain? When it was first listed at $2-million, of course.

To analyze the plummeting price of fancy second, third or fourth-home real estate, Business Week's Prashant Gopal and Zillow.com got together and gathered intel sampling some prime property areas and how well they were holding up.

Among those faring the best in the sampling included Laguna Beach, CA, Newport, R.I., Chesapeake Beach, MD, Lake George, NY, Destin, FL, and Oahu Hawaii

On the other hand, in the Hamptons, New York's platinum coast, BW quotes two brokerages as saying "home prices have dropped 23.5% to $675,000 in the first quarter, compared with a year earlier." And what can you get for that price? The 2006-completed house shown here, with 3 BR and 3 1/2 baths, on half an acre in East Hampton.

Here are a few other places to hunt -

Arizona
Hard-hit vacation market: Scottsdale
Annual home value change: -27%
Q4 home price: $437,423

Connecticut
Hard-hit vacation market: Mystic
Annual home value change: -17.2%
Q4 home price: $256,000

California
Hard-hit vacation market: Napa
Annual home value change: -21%
Q4 home price: $405,000

Florida
Hard-hit vacation market: Marco Island
Annual home value change: -27%
Q4 home price: $437,423

Florida
Hard-hit vacation market: Sanibel
Annual home value change: -18.1%
Q4 home price: $516,892

Florida
Hard-hit vacation market: Bonita Springs
Annual home value change: -19.8%
Q4 home price: $251,757

Massachusetts
Hard-hit vacation market: Cotuit (on Cape Cod):
Annual home value change: -14.2%
Q4 home price: $375,740

New Jersey
Hard-hit vacation market: Point Pleasant Beach
Annual home value change: -15.6%
Q4 home price: $513,659

Oregon
Hard-hit vacation market: Sunriver
Annual home value change: -15.7%
Q4 home price: $256,000

Bargain Hunters Heat Up Vegas Home Sales

2009-04-24T08:01:00.004-06:00

More interesting than national numbers on sales of existing homes, both primary residences and second homes, is the growing appetite among shoppers in snapping up foreclosed properties at fire-sale prices.

"Homebuyers shrugged off economic worries and pounced on sharply discounted foreclosed homes in California, Nevada and Arizona, driving up sales last month across the West, according to two reports," the AP reported yesterday.

But the median price for these homes sold in the 13-state West region was down 11 % to $252,400. The red hot center for sales: Las Vegas, which in March saw its median home price fall "about 42 percent to $135,723."

No surprise here. Investors with cash see rock-bottom prices as a chance to take advantage of the opposite end of the Vegas home-building boom. One broker told Alex Veiga of the AP that his buyers were chiefly Californians. ""The biggest difference between now and the investors from '04 is these investors are buying them in full cash, and in '04 it was everyone buying them with zero-down loans."

Takeaway point: We seem to be entering the vulture phase of real estate enterprise.

Vacation Home Prices and Sales Plunged in 2008, says NAR. This is News?

2009-04-17T12:57:00.005-06:00

Surely nobody following the economic crisis was surprised when the National Association of Realtors announced recently that second-home prices and sales fell in 2008.

The real question is: what now? Is there any good news that might pull sellers and real estate agent out of the mire?

In three words, I don't know... and I doubt anyone else does, either. There is anecdotal evidence that banks are beginning loosen up their purse strings a wee bit for primary homes. But vacation or second homes are being sold in large measure either for cash or with seller finanding, say experts.

The data from 2008 itself: bleak.

"The median price of a vacation home was $150,000 in 2008, down 23.1 %from $195,000 in 2007. The typical investment property cost $108,000 last year, which is 28 % below the 2007 median of $150,000," according to the NAR press release. The actual number of vacation homes purchased last year was down more than 30 %, while investment-home sales dropped more than 17 %.

The most important stat: "more than 4 out of 10 investment buyers and more than 3 in 10 vacation-home buyers paid cash for their properties. That's heartburn territory for sellers.

Reefs Club – Landmark Bermuda Hotel Sells Fractionals

2009-04-03T15:38:00.008-06:00

Guests of the Reefs, a 62-year old family-owned boutique luxury hotel on its own idyllic beach in Bermuda, are known for their loyalty. Some have vacationed there 20, 30 and more times. Now the Reefs is counting on loyalists as well as newcomers to buy into its 19-unit private residence club. The Reef Club -- fractional-ownership two- and three-bedroom “villas” adjoining the hotel -- are nearing completion and will open July 3. (Photo above shows what it will look like when villas are completed.)

By Bermuda standards, the 1/10th ownership furnished fractionals are “affordable” -- $350,000 for a 2-bedroom, $410,000 for a 3-bedroom. (Another 13 % is tacked on in fees, taxes and closing costs.) Full ownership condos elsewhere on this adorable, expensive island start at over $1-million, although one real estate agent, Buddy Rego, said last month that no Americans went to closing on condos anywhere in Bermuda in the first quarter of 2009.

Bermuda’s restrictive laws on non-Bermudian ownership of property keep prices high. Yes, the worldwide recession is taking its toll. Since Reefs Club fractionals were first offered, 30 out of 80 early birds who had put down “soft” $5,000 deposits have opted to pull out, according to Chrissy Frith, membership director.

Nevertheless, Reefs president David Dodwell told me that he has no plans to lower prices, although he might consider some “value-added” incentives, such as rebates on certain homeowner fees for a period of time. The villas give Reefs fans a “rare opportunity,” he said, adding that some units might be used for overflow hotel guests during peak times. The villas building will also house a much expanded spa and fitness center.

To Buy, Or Not To Buy A Vacation Home Now?

2009-03-27T15:35:00.006-06:00

An article from CNBC now circulating suggests this is the time to buy the vacation home you've always wanted. Why? Prices down... inventory up... interest rates low.

Nevertheless, those I've spoken to urge caution.

It's still difficult to get a second-home mortgage (CNBC's reporter agrees). Buyers must be ready to come up with a good chunk of cash-- at least 25 % in most cases, say experts.

Long-term trends positive?

CNBC quotes Walter Molony, spokesman for the National Association of Realtors, as saying that the market is“fundamentally healthy,” with a median price in 2007 of $195,000. He argues that while middle-age, middle-income folks -- i.e. baby boomers, are the main buyers now, Gen X and Gen Y (younger people) will come into the market right after them and will "fuel" the demand.

But you need to ask yourself how quickly those 20-to-45 year olds will recover from the current economic crisis. The older ones among them typically would be in their prime earning years. Instead, many are collecting unemployment insurance and more are sure to be in the same hole soon.

As CNBC concludes, buy for enjoyment first and investment value later. And "first-hand knowledge of the market will also help you avoid buying into a community that’s on the outs."

Trump in Trouble in Mexico and Las Vegas

2009-03-15T16:53:00.005-06:00

The Donald is in the dumps. One Trump development project in Baja California, Mexico has gone belly up. Investors there who paid up to $150,000 to reserve a condo in a condo hotel there that was using his rightfully licensed name have been told that there's no way to get their money back. The local developer, PB Impulsores, has not built anything yet. Trump has told the angry buyers that because he is not the developer, he's not liable.

Meanwhile, a joint project -- Trump International Hotel & Tower Las Vegas-- involving Trump and casino tycoon Phil Ruffin is foundering. Word is that the three-quarters of the buyers of its condo hotel rooms have failed to close on their deals. That leaves the project $200 million short in paying off the its construction loan, which comes due this summer, according to the Wall Street Journal.

Utah's Zermatt -- Gemutlich Whole Ownership Resort near Deer Valley at Fraction of Cost

2009-03-06T14:18:00.005-07:00

On a Utah ski trip last week, I was introduced to Zermatt. Nope, I was not teleported magically to Switzerland. Zermatt is a 2 1/2 year old, 4-diamond, full-service ersatz Alps resort with 150 hotel rooms and spa plus 2-BR condos and 24 townhomes (minimum of 3 BR each) on the other side of the Deer Valley ski area. It is only an hour from the Salt Lake City airport but a world away from Park City/Deer Valley in terms of mood, people and prices.

Located in Midway, Utah, Zermatt has a lederhosen look and an apple-cheeked, eager-to-please staff. Lift a phone and the switchboard operator says: "Guten tag!" The atmosphere is centuries removed from the sophisticated, contemporary chic of its neighbors over the mountain (although it must be said that the Deer Valley and Park City work force is typically just as courteous.)

However, while Zermatt is only a 15-minute drive from Deer Valley's Jordanelle gondola, it is not in Deer Valley. Thus real estate is seriously cheaper. Broker Drew Fuller, son of Zermatt's developer, told me resales of "studio" hotel room condos are available for $175,000.

As is true everywhere, sales are suffering from the awful economy, with a few short sales of 2-BR villas in the low $300,000 range, said Fuller. There are 1800+ square-foot townhomes available in the mid-$600,000 range. In Deer Valley, that price tag on that kind of space could be for fractionals, not whole-ownership units.

Zermatt owners who are in financial difficulty are "trying to get the banks to work with them," Fuller said. He is nevertheless hopeful that "this is a property that will rebound very quickly" once the economy starts to climb out of cellar, whenever that may be.

Zermatt's high seasons actually are spring/summer/fall, especially for Utahans, and it is big on conventions and meetings. All in all, it offers an intriguing alternative to Park City/Deer Valley glitter.

Prices Going Down on New Hyatt Beach Fractionals near Sarasota

2009-02-10T10:59:00.004-07:00

The Hyatt Siesta Key Beach, a 44 unit, $100-million fractional ownership resort now under construction has lowered its prices significantly in a move to find buyers in the moribund Florida economy, the Sarasota Herald Tribune has reported. Some units sold in six-week segments that were priced last year ranging from $250,000 to $750,000 have been reduced to a starting level of $150,000.

Hyatt acknowledges it's a response to market demand -- or non-demand, as the case may be."Our new pricing reflects a superior product at a fraction of the cost of what is selling in today's market," said David Lehrman, director of sales and marketing for the resort. "It allows people to be fiscally conservative and responsible without giving up the luxury they have come to expect." He said four segments had been sold with the reduced price tag.

Krueger Commons Jump-Starts Sales with Below Cost Condos

2009-02-04T15:58:00.006-07:00

Krueger Commons, a small, attractive "New Urbanist" condo community in Coupeville on Whidbey Island, in Washington, seems to have the right approach to selling its newest units. There are a total of 20, four per building in 5 buildings. Each unit is a comfy size for a vacation home or empty-nest retreat -- not quite 1250 square feet, with 3 bedrooms and 2 1/2 baths each.

To pump up sales, the developer is not selling all, but only 3 units right now, at the remarkable price of $210,000. "At that price, buyers get $30,000 in equity--current appraisal about two weeks ago," said spokeswoman Stephanie Meehan this week. "And yes, it's below our cost."

A big selling point is that there is a lot of open space for bicycling, walking, jogging and enjoying nature in Krueger Commons. Whidbey itself is in the rain "shadow"of the Olympic range and thus gets less rain than metropolises such as Seattle, with a temperate year-round climate. Those houses shown above are a short stroll from the beach.

Defying Recession, Cape May NJ Summer Visitors Will Return, Poll Suggests

2009-01-30T09:00:00.008-07:00

Cape May, New Jersey is optimistic that people interested in the summer shore area last year will return, recession notwithstanding, says the Cape May County Herald.

Among the 2,000 visitors queried in a recent poll, 77 percent of the respondents said they are planning to vacation in Cape May County this year. One reason: lower gas prices.

Many Cape May vacationers live one tank of gas away from this area. “The lower gas price is going to help put their budget back in order,” said Diane F. Wieland, tourism department director.

What's more, the region will benefit from the large number of second home owners.

Wieland noted that 50 percent of all second homes in the state are in this county and 47 percent of the county’s dwellings are considered vacation homes. A majority are used by owners but others are often rented out.

Vacation home owners "are going to save the day again for the fact they are committed,” Wieland told the paper. “They may not be able to take that cruise or go somewhere else on vacation but they’ve got a vacation home in Cape May County and they are going to come.”
(Photo: 4 BR West Cape May house for sale -- $699,000)

Aspen Sales Drop for Multi-Million Dollar Vacation Homes

2009-01-26T07:58:00.003-07:00

Aspen, welcome to the real real-estate world.

The dollar volume of Pitkin County (Aspen) real estate sales was down nearly 50 percent in 2008 compared to 2007, according to the Aspen Times. “You’re probably not in much of a mood to spend $10 million on a second home in Aspen,” Timberline Bank President Mike Taets told the paper, referring to wealthy corporate honchos.

The paper suggests that attitude is related to the rest of the not so filthy rich world. "When a CEO of a struggling company spends millions on a vacation home, it sends the wrong message to that company’s employees," it says.

Taets believes that real estate buyers are out there, waiting to see the relative bargains they might pick up as sales stagnate. "They want 30 percent or so off the top prices from 12 to 18 months ago. Patient sellers aren’t giving in, so it creates a logjam," it paraphrases Taet as saying.

Shopping? The brand new home finished last summer pictured about is listed at $60-million by Joshua & Co. in Aspen

Bargain Condos in Hawaii? Honolulu Reported Among Weakest U.S. Markets

2009-01-21T09:26:00.006-07:00

Brave investors might want to take a vacation soon in Hawaii to shop for a bargain. Honolulu is among the 25 weakest housing markets in the U.S.,Forbes magazine using Moody’s Economy.com has reported, with prices expected to drop 30.9 percent by 2011.

Why? fewer affluent buyers from Asia and California looking for vacation homes and investment properties, the report said.

But Harvey Shapiro, research economist for the Honolulu Board of Realtors, told Pacific Business News: “My feeling is that the report isn’t really relevant here. Our prices went down 3 percent last year. There are some drops, but they are in the single digits.”

According to listings on Escape Homes, a 1 BR, 638 square-foot condo, in an apartment building in the Makiki area, shown above, recently sold for $305,000. Another is listed for $293,000

National Association of Realtors Cheerleader Suffers from Burst Bubble Too

2009-01-12T08:29:00.006-07:00

David Lereah feels your pain. Today's front page of the Wall Street Journal carries an article about the former chief economist for the National Association of Realtors who is working from home in Virginia these days, trying to pay mortgages on his personal residence and several investment properties with a newsletter he publishes costing $495 a year. He says he has 50 paying subscribers so far. Lereah was quoted here often about the rosy growth in second home investment values before the bubble burst.

New Year May See Second Home "Cram-Down" Mortgage Modifications

2009-01-01T08:26:00.000-07:00

Bankruptcy judges may soon be modifying terms of the loans on second homes. The practice is known as "cram-downs," the Wall Street Journal reports.

"In a cram-down, a judge modifies a loan, often reducing principal so a borrower can afford it. Lenders hate it because they have to absorb the loss. Bankruptcy judges currently have the ability to modify certain personal loans and even mortgages on vacation homes, but they can not cram-down mortgages on primary residences," explains the paper. Lenders have modified "tens of thousands of loans without government help. But often this hasn't solved the problem," the paper says. "A report last week by the Office of the Comptroller of the Currency and the Office of Thrift Supervision found that nearly 37% of mortgages modified in the first quarter of 2008 were 60 days or more delinquent after six months."

One Investor Says Las Vegas Home Prices May Have Hit Bottom

2008-12-27T09:34:00.000-07:00

Steve Bottfeld, a real estate analyst with Marketing Solutions has a 3 point theory of how to gauge the bottom of a real estate market. First, he looks at the inventory of homes listed on the local Multiple Listing Service (MLS). Second, he evaluates the volume of business which is simply the number of homes being sold in the marketplace. Lastly, he considers the average median price of homes. Bottfeld states that once the inventory stops increasing, the volume begins trending upward and the median price stabilizes… you have found the true bottom of the market. Concludes Las Vegas real estate investor Glenn Plantone: "From the data we are now considering for the Las Vegas valley, it appears that the elusive bottom may be right around the corner if not already here." He says the current median price of homes in Las Vegas is near $184,000, and "1in 76 homes is currently in some stage of foreclosure." What can you get for that price? 3 BR home shown above, currently on Las Vegas MLS, built in 2003, is listed at $179,999.

Boosting Vacation Home Rentals with Contests

2008-12-23T09:20:00.004-07:00

One way to prod frugal vacationers to think about renting your vacation home is to hold a contests. That's what HomeAway is doing. The big Website is offering a "Getaway," worth up to $5,000, to the best blog post, video or photo essay submitted before Jan. 8,2009. The company says the contest will "creatively spread the word about the value of vacation rentals," and point out that a family's travel budget "goes further when you rent a vacation home, because you have more space to comfortably accommodate family and friends--at the same, or often lower, nightly rate as hotels." To enter, tell HomeAway why you need a week away and where you want to spend it. Among the choices so far: a house on Lake Travis near Austin, Texas and a mansion in Las Vegas.

Home Owners Alert-- Get a Federal Tax Credit in '09 For Energy Efficiency

2008-12-14T11:30:00.001-07:00

"Ronnie Kweller, a spokeswoman for the Alliance to Save Energy, notes that sealing your house with weatherstripping and caulking, in combination with sufficient insulation, can save up to 20 percent on heating bills in winter and cooling bills in summer" at either your first or second home, writes Billie Cohen in today's Second home column in the NY Times Escapes section. What's more, since you get a tax credit for energy efficiency in 2009, wait until after Jan 1 and then invest in that new boiler, heating system or other big-ticket energy efficiency system. The Emergency Economic Stabilization Act that was enacted in October allows you $500 in consumer tax credits for energy-efficiency home improvements. If you claimed some but not all of the $500 federal income tax credit for energy efficiency home improvements that was in effect in tax years 2006 and 2007, you may be able to use these in 2009. According to the government's Energy Star website, "improvements made during 2008 are not eligible for a tax credit."

Destination Clubs failing? LUSSO and Yellowstone bankrupt -- Who is next?

2008-12-09T11:29:00.005-07:00

The LUSSO Collection, one of the "destination clubs" that offers wealthy vacationers a choice of private homes around the world, has filed for bankruptcy in Minnesota, according to Halogen Guides. LUSSO has homes in 16 prestigious locations around the world, and will continue operating, according to a statement given to Halogen. But the chatter among owners in luxe land suggests everyone is wondering which club will be the next into bankruptcy court. Exclusive Resorts, the largest of the clubs, has apparently laid off staff. The Yellowstone Club, the private Montana ski resort that was a poster child for ultra-rich digs in flush times, and which grew into a network of 10 resorts worldwide, filed for bankruptcy in November, Other clubs are said to be raising their rates and fees. Stay tuned.

Cinnamon Shore, "New Urbanist" Vacation Community, Grows in Texas

2008-12-05T09:46:00.008-07:00

A "new urbanist" development has taken root in Texas. Cinnamon Shore, a vacation home community on Mustang Island, is growing despite the credit crunch, "We have 23 homes either complete or at various stages of construction and 10 homes that will be breaking ground in the next 60-90 days," a spokeswoman said. "Our phase 1 amenities that are complete consist of our golf-cart-accessible dune crossover (beach access), Fishing Pavilion and Boardwalk on Lake Colby." Phase 1 of the community consists of consists of 82 homesites, of which 41 are sold, and an additional 6 are pending with builders. By March, the pool and pool house will be finished. Mustang Island is opposite Corpus Christi on the Gulf of Mexico, but suffered no damage during Hurricane Ike, which hit the Texas coast last summer. "The protective dunes (which were an integral part of the design of the community) shielded the development from any storm surge and harsh weather," wrote PR consultant Randi Tucker in answer to my email about this.

Will Luxury Fractionals Be First to Rebound from Credit Crunch?

2008-12-02T13:31:00.004-07:00

Two prominent voices in the resort development world feel private residence clubs -- the luxury arm of the fractional resort market -- may be among the first to rebound from the credit crunch. Dick Ragatz (pictured) says buying $3 million whole ownership houses on the beach or in a ski resort with the expectation of 20% annual appreciation are gone, but the alternative, residence clubs, typically a shared ownership by six to ten households in each residence, with club staff to care for the property and provides hotel-like services, still make sense.

While Ragatz Associates, points out that fractional sales will undoubtedly be off for 2008, "in the long term, recent events will enhance" their attractiveness" when compared to whole ownership.

Steve Dering of DCP International agrees. His Chicago-based firm helps market residence clubs, and while sales have slowed, he believes “affluent households will always want a vacation home.”

With residence clubs "the use is the same as whole ownership but the purchase price is far lower. Additionally, the shared annual ownership cost is significantly less than the cost of renting a comparable luxury home multiple times a year. When you factor in the abundant amenities and a private staff that takes care everything, it’s more for less without the headaches. The game changer for us," concludes Dering, "is that our buyers do not have to sell other real estate to purchase at a residence club,” Dering said. “And many do not have to finance, although financing is still available.”

Vacation Home Expo to Explain Girlfriend Getaways

2008-11-24T06:40:00.000-07:00

One of the big emerging travel trends is "Girlfriend Getaways." Vacation home owners and renters will be able to learn more about them from the founders of Travelgirl Magazine -- publisher Renee Werbin and editor-in-chief Stephanie Oswald -- and get advice and tips on what's behind this movement of more women vacationing together on January 24 and 25, at Vacation Home Expo. It takes place at the Cobb Galleria Convention Centre in Atlanta. Some observers believe "girlfriend getaways" are now a full-fledged phenomenon. Stephanie Oswald, who also hosts the popular television series All-Girl Getaways on the Fine Living Network, has an up close appreciation and understanding of this vacation lifestyle movement. "I am constantly encouraging women to find their oasis in life, both at home and on the go," says Oswald. The term "girlfriends" can mean any females from 15 to 80, related to one another (mother/daughter, sisters, etc.) or just pals.

More Second Home Owners Renting Out Properties

2008-11-21T16:03:00.001-07:00

"About 25 percent of vacation-home buyers said last year that they planned to rent out the property, up from 18 percent in 2006, according to the National Association of Realtors," the AP reports.

"And real estate agents in vacation hot spots say that trend is continuing, because more owners are watching their retirement savings slump with the stock markets.

"People who have second homes have found the price of operating and maintaining their home have gone up" alongside the increased cost for everything else in their lives, the wire service quoted Justin Halloran, vice president of HomeAway.com as saying.

Las Vegas Prices Still Going Down In a Hurry

2008-11-19T15:47:00.003-07:00

"Asking prices fell at the fastest rate in Las Vegas - down 3.7% during October - and 7.1% over the most recent three-month period" according to The Altos 10-City Composite Price Index, a reliable indicator of current trends. "This marks the seventh consecutive month that Las Vegas has posted the fastest rate of declining prices among major markets."

So is there anyplace where prices are NOT plummeting? "Listing prices rose at the fastest rate in Denver - up 0.7% in October - followed by Houston where prices were up 0.6%. Denver and Houston are now the only markets showing three months of sequential price increases," the report said.

“The fleeting signs of price stability that we saw during the summer have now completely vanished,” said Stephen Bedikian, partner and research director for Real IQ, which is part of Altos. “October’s stock market crash has crushed consumer confidence and housing price declines have resumed across most major markets.”

Flagstaff AZ Home Prices Plunge

2008-11-17T08:43:00.008-07:00

With buyers looking for bargains, median home sale prices in Flagstaff, northern Arizona, continue to fall. "In October, the median price was $328,000, down $58,000 from the same month the year before," according to an article in the Arizona Daily Sun. "But that price remains at least $75,000 more than what a median-income family in Flagstaff can afford." Photo shown is a house for sale at $348,500.

Out of 56 homes sold, said the paper, 33 "were priced below $350,000. In the $350,000 to $500,000 range, houses languish -- there is a 15-month supply, said the newspaper. Flagstaff is home to Northern Arizona University and has been a flourishing second home destination.

HomeAway Gets Millions in Financing; CEO Hopes to Spread Word of Rental Riches

2008-11-14T15:01:00.007-07:00

The real estate market may have cratered, but venture capital obviously is still available for Websites that dominate a portion of the crowded online real estate world. HomeAway, which calls itself the world’s leading online vacation rental marketplace, has announced an infusion of $250 million in private financing. That's a record -- it represents the largest minority investment of a U.S. Internet company in the last eight years, according to Venture Source.

HomeAway describes itself as operating "the world’s leading and most-established vacation rental sites including HomeAway.com, VRBO.com, VacationRentals.com, Holiday-Rentals.co.uk, FeWo-direkt.de, Ownersdirect.co.uk and Abritel.fr. Featuring more than 309,000 vacation rentals in destinations ranging from big cities to remote countrysides." It will use the dough in part to "fund additional strategic investments, eliminate all debt and provide working capital for increased marketing and promotions."

Brian Sharples, chief executive officer and founder of HomeAway, says he wants to raise the profile of vacation homes as money-making opportunities for their owners. "There are nearly 14 million vacation home owners in the U.S. and Europe, and most are still not aware of how easy and profitable it can be to rent their homes, even if for just a few weeks each year," he said.

Upcoming PBS TV Series to Spotlight Vacation Home and Condo Rentals

2008-11-10T16:16:00.010-07:00

A new reality TV series, "Living Large on Vacation," slated to be shown on the PBS network soon, will focus solely on vacation home, villa and condo rentals, according to industry veteran Rick Fisher. A consultant to the Florida-based Discover Vacation Homes group of major property management firms, as well as president of Vacation Home Expos, Fisher tells me that PineRidge Film & Television is getting ready to produce the first 13 episodes, based on the notion that vacation homes are the best kept secret in the travel world. Most American travelers have never rented a vacation home, so "the first time this will be promoted to a national audience – that’s huge,” he says.

What will the show resemble? "It's like 'extreme home makeover goes on vacation.'" says Fisher, who adds that each of the first set of episodes will feature a different segment of vacationers (like the family poolside in photo above, girlfriends, destination wedding, etc.) at various domestic destinations. The emphasis, he says, "will be the experience, the lifestyle in the rental homes — barbecues, hot tubbing, wine on the balcony." The show will make the point that for the price of a hotel room you can get an entire, fully equipped house at which to spend your holiday. A brief preview of "Living Large" is already available on YouTube.

Right now the production company, known for its work that appearing on such niche networks as the Travel Channel and HGTV, is considering locations in such places as Maui, Lake Tahoe, Orlando, and Hilton Head. It's hoped the show can start airing as early as next Spring. The venture is seeking funding sponsors at the moment.

Are California Vacation Homes a Good Buy Now? You Decide.

2008-11-06T14:13:00.005-07:00

California might be a great place to pick up a vacation home right now, declares real estate commentator Broderick Perkins. He notes that the California Association of Realtors reported this fall that the median price of housing in key coastal and tourist areas was way way down -- down "50 percent to nearly 60 percent in the Monterey and Monterey County regions; down 30 to 50 percent in Santa Barbara regions; down more than 42 percent in Palm Springs; down 35 percent in Los Angeles; down 33 percent in San Diego and the Wine Country; down 32 percent in Santa Cruz; and down 29 percent in San Francisco Bay Area." Then he quotes others, such as Christine Karpinski, director of Owner Community for HomeAway.com, as arguing that buyers with cash who can buy and then rent out a vacation home can make it a nice investment. However, these owners should be able to pay the monthly mortgage with enough rental weeks to eke out a profit.

Financial Crisis Hurts 2 Western Canadian Mountain Resorts

2008-11-05T09:43:00.008-07:00

It appears that the international financial crisis is "slowing the work at Revelstoke Mountain Resort, the major new ski area that was opened last year," according to the Idaho Mountain Express and Guide.

According to another source, the Revelstoke Times Review, "What is clear is that significant management and ownership changes are underway, and the credit crunch, as well as other factors, will cause a delay in the scheduled opening for many of the physical components of the resort and on-mountain infrastructure such as chairlifts.

This report quoted a resort official as saying "control of the project had been assumed by the Northland Properties group... which is operated by the Gaglardi family out of Vancouver." The Times Review said "previous control of the project had been held by Don Simpson, a Denver-based developer of housing." Apparently the new Nelson Lodge will be finished but not on its original schedule.

"At Canmore, meanwhile, the $135 million Solar Resort & Spa has gone into receivership and construction has been halted," reported the Idaho publication. Both Revelstoke and Canmore are in British Columbia. Canmore is right near Banff, while Revelstoke is a much-ballyhooed new, big ski/snowboard area in the Selkirk Mountain Range.

Vacation Home Blogs Crucial to Sales, Rentals, Says NY Times

2008-11-03T09:52:00.006-07:00

A front-page NY Times Escapes article Friday spotlighted "the growing importance that blogs play" in today's vacation home market. "For brokers, blogs are, of course, a handy marketing tool: they’re economical, practical and easy to update. But for prospective buyers, a sophisticated blog... can help potential buyers forge a connection to a faraway community, learn the landscape of an area and... make informed purchasing decisions....

"Ultimately, agents’ blogs are tools to attract new clients. 'If you’re going to sell a home in the mountains, you’re going to have to sell the mountains,'" Elwin Wood, an upstate New York broker was quoted as saying.

Hello, buyers, developers, brokers! Vacation Home Insider is a great place to start. Use the search box to locate a region or town, then click on individual posts about these spots in such desirable places as the Colorado mountains, Mexico etc.

Online Vacation Rental Bookings Still Growing, says Study

2008-10-21T03:06:00.003-06:00

From PhoCusWright's Vacation Rental Marketplace: Poised for Change--
"The long-underestimated vacation rental industry has become more than a niche, with leisure travelers driving the growth of the $24.3 billion market.... Co-sponsored by 14 industry players and HomeAway, the world's leading vacation rental marketplace with more than 309,000 properties, the study also reports online vacation rental bookings will grow from $2.8 billion in 2007 to $4.6 billion in 2010. More than 40 percent of leisure travelers considered or booked a vacation rental in the past year."

Williams: Northern Arizona Property Bargains with Owner Carry

2008-10-16T17:27:00.006-06:00

The credit crisis might an opportunity for lovers of the part of Northern Arizona that includes a nice little amenity called the Grand Canyon. John Rushton of Bankers Real Estate, a broker in Williams, AZ, the gateway town to the canyon from the south. told me last week that prices on such vacation-home sites as golf fairway lots, as well a lovely soon-to-be-developed pine and meadow-surrounded community called Escalante, have dropped dramatically -- over 45 percent in some cases. There are numerous parcels of land for under $100,000 and plenty of first-class homes for under $300,000. The key, says Rushton, is that since many owners need cash for mortgages on their primary residents they are willing to talk "owner carry" deals.

Williams, the closest major town to the Canyon, is right off I-40 and features a town devoted to the nostalgia of the old Route 66 that once ran through it. The area has lovely views of the San Francisco Peaks and fine fishing and hunting around the Kaibab National Forest (pictured above.) It's about a 2 1/2 hour drive to Phoenix's Sky Harbor Airport, but a world away in terms of traffic, heat, and pollution.

The Porches at Steamboat: Family-Friendly Houses, Reasonable Prices

2008-10-12T19:20:00.007-06:00

Sales momentum at premier Colorado resorts has slowed, but The Porches at Steamboat, which I visited recently, offers multigeneration-sized single-family homes that would cost a whole lot more in Vail or Aspen. Looking for five-bedrooms? You’d have a hard time finding that big a house for $3-million in those towns. Yet the 5,000 square foot homes at The Porches qualify for that often-misused term “affordable luxury.”

To make The Porches unique in the Yampa Valley, co-developer Bruce Shugart and partners combined an amenity package with a neighborly atmosphere designed to woo those who want their children and grandchildren or grandparents with them in snow country. At the center: “The Barn,” a clubhouse whose wood floors, reclaimed from an 1883 barn in Pennsylvania, reflects Steamboat’s cowboy heritage. There’s nothing old-fashioned about its interior, which includes soaring windows and a generous exercise facility with Nautilus equipment. A concierge and property management team handles everything from stocking the fridge to producing poolside birthday parties.

The goal, says Shugart, is “an environment you can bring families to. We fill a niche – large private homes with services,” including ski shuttle and equipment storage at the base of the ski mountain less than a half mile away. The Porches also is marketing several of its homes – as six-week Private Residence Club fractionals starting at $340,000. And yes, the houses do sport rocking chair-ready porches.

Converting Your Home Into a Fractional Shares Property

2008-10-01T17:00:00.002-06:00

With the market so constricted for vacation homes, the idea of buying only what a family really needs is appealing to more and more shoppers. Now, along comes a company offering to do the work of converting your vacation home sale into a fractional sale.

The outfit, Fractional Retreats LLC of Boise, Idaho bills itself as a nationwide fractional ownership consulting firm. For a seller, "we take care of all the details during the fractional conversion," said founder Daniel G. Morton. He said in a phone interview that the company currently is working on three sales: a $639,000 home in San Diego, a $1.8-million Mexico home (pictured above), and a $1.8 million North Carolina home.

The company notes that according to Ragatz Associates, the leading research firm in the field, "sales of fractional ownership have risen 48.9% over the past four years," even though the broader real estate market is in a general decline.

Have Prices Fallen Enough to Buy in Las Vegas?

2008-09-28T15:36:00.007-06:00

Now may be the best time ever for investors to buy a home in foreclosure-slammed Las Vegas, says Glenn Plantone, whose National New Builds company based in Vegas specializes in undervalued markets."Since the beginning of 2008 the inventory of homes listed in the multiple listing service (MLS) has been slowly decreasing, while the volume of sales has slowly been picking up," he says, adding. "the average price of these homes has been dropping by about $10,000 a month." Thus, as of September 20008, homes with 20% down payments and fully amortized loans will now once again" make sense. Pantone, who says he is a full-time investor and a licensed realtor, declares that Vegas home prices are "as low as 30 – 50 cents on the dollar," making a purchase now a "great cash flow play." He also cites statistics indicating the migration into Las Vegas by residents continues unabated, providing a ready made buying public.

Quintess Members Visit Bali, Zululand via Leading Hotels

2008-09-19T09:02:00.003-06:00

Taking a page from the book of other hybrid destination/travel clubs, Quintessoffers an additional option for members who buy into their portfolio of multi-million dollar homes in resorts and vacation cities around the world. Members, who pay as little as $210,000 membership fee and $21,000 annual dues for access to as few as 20 non-holiday days at these houses, also may choose to use 10 of their days on "Leading Experiences" at Quintess's hotel partner, Leading Hotels of the World. That means a stay at such places as Karma Jimbaran on Bali...a safari with base camp at Thanda, a set of bush villas in Zululand, South Africa... or a dive trip at the Great Barrier Reef while staying on the private Australian island of Hayman, pictured above.

Seabrook, WA: Pacific Coast New Urbanist Town Takes Shape

2008-09-17T10:07:00.002-06:00

Seabrook, Washington, yet another "New Urbanist" development, is located on the Pacific Coast of Washington State, 2 1/2 hours from Seattle. The new community is doing well, say the latest news reports, despite the downturn in vacation home sales. When completed, the beach community will have 400 homes on 303 lots. According to a recent article in the Seattle Post-Intelligencer, quoting developer Casey Roloff, Seabrook has sold 18 homes this year and in 2007 sold 34 houses, up from 23 in 2006, while other real estate areas struggle. Meanwhile, owners put 49 houses in Seabrook's rental pool in August, and they were more than 90 percent occupied. Its literature proclaims that Seabrook is a "pedestrian-friendly community where a short walk will get you anywhere you want to go." Prices began at $399,000 but waterfront property carries much higher price tags.A spokesman said that buyers were from 26 states and 3 countries but about two-thirds are Washington residents.

New Luxury Bus to Aspen and Snowmass: Green, Reliable

2008-09-08T09:57:00.009-06:00

The Hamptons jitney in New York City has proven that high-end vacation home renters and owners will take a bus to their far Long Island destination rather than fight traffic. Now Aspen and Snowmass, coordinating with Gray Line, are out to see if the same type of clients will -- gasp! -- take a bus from Denver International Airport to those Colorado vacation home meccas rather than take chances with iffy weather and sometimes-cancelled air shuttle service to the Aspen airport. Starting Nov. 14, for just over $120, passengers will board a deluxe nonstop bus with video monitors, bottled water, snacks, and a bathroom for the four-hour ground transport trip.

"It carries about 65 people so it's greener," points out Mary Lee Harder of Gray Line. The bus will be part of vacation packages offered by the resort. It should be noted that there is already service offered by Colorado Mountain Express on eight-passsenger vans for about the same cost.

Owners of Las Vegas Property Cannot Rent Out Their Units

2008-09-04T12:26:00.004-06:00

Is there any end to the ugly real estate news out of Las Vegas? The website Halogen Guides forwards this awful glitch:

"Condominium owners at the Meridian Luxury Suites, just off the Strip, have been ordered to stop renting out their units to short-term renters, according to the Las Vegas Review Journal.

"It seems that the property was never licensed to operate as a condo-hotel, and by renting out units for stays of less than one month, the development was effectively running an illegal hotel operation, according to the County. Of the 678 condominiums, ranging from studios to two-bedrooms, only 12 were occupied by full-time residents, while the vast majority of the other units were placed into a rental pool and marketed to short-term guests...."
If you can't sell... and you can't rent short-term... you are left with unpalatable alternatives, such as trying to find a long-term renter (in market awash in rental alternatives), occupying the space yourself, sucking up the cost, or walking away and accepting foreclosure.

Renting Out for 17 Weeks Yearly Pays for Your Vacation Home

2008-09-01T03:25:00.005-06:00

"According to government data, close to 40%, and perhaps as many as 50%, of the foreclosures in 2007 were of nonowner-occupied homes, which generally means vacation homes,"says Standard and Poors The Outlook. S&P Chief Economist David Wyss "expects this trend to continue into 2008 and 2009, pointing out that it's psychologically easier for people to skip payments on a secondary home, whereas they will scrimp and save in other ways in order to hold on to their primary home." But the article also quotes second-home expert Christine Karpinski as pointing out: "If you have a mortgage on your second home, renting it out only 17 weeks will cover your mortgage payments for an entire year ....If it's paid for free and clear, only five off-week rentals will cover costs like bills for your phone, power, cable, and association dues."

Breakaway: "New Urbanist" Homes Sell in North Carolina Mountains

2008-08-28T08:57:00.006-06:00

Despite the real estate meltdown, some vacation developments with unusual qualities are experiencing good sales. That includes Breakaway, a self-described "new urbanist" community 25 miles from Asheville, North Carolina. Breakaway points out it's NOT "another gated-subdivision, outdated cabins, or pointless sprawling mansions." The planned development has its own ski hill, plus homes with views and "inviting streets" that "make walking and biking" part of daily life. An ice cream shop and a grill are finished in the village center. Some homesites are priced below $100,000 and houses are on sale from mid $300,000 up.A spokesperson says so far 5 houses are complete.

"Amenity Migrants" in Flagstaff AZ, Walworth County WI & Elsewhere

2008-08-20T08:00:00.007-06:00

National Public Radio recently ran a segment on "amenity migrants" who are buying vacation homes as weekend getaways and eventually as homes for their active retirement. NPR spoke with Kenneth Johnson, senior demographer at the University of New Hampshire's Carsey Institute, who may have coined the term "amenity migrants."

These people, led by baby boomers looking for retirement spots, he says, are settling in some 300 recreation or amenity regions that he has identified, from Western ski towns to New England and the lake country of the upper Midwest. They include places like Flagstaff, Arizona; Grand Traverse County, Michigan; and Walworth County, Michigan (where you can pick your own at the Apple Barn, pictured).

How do you find these places? "In non metropolitan America today, areas with significant natural amenities, recreational opportunities or quality of life
advantages have new prospects for growth and development," wrote Johnson in a 2006 report on rural America. "Many non metropolitan areas that are seeing significant population growth benefit from scenic landscapes, mild climates, proximity to rapidly growing metropolitan areas, or a combination of these elements."

Boston area "Vacation Homes" Target of Lending Scam?

2008-08-18T12:09:00.009-06:00

"More than a dozen condos, many in abandoned or distressed buildings" in the definitely non-vacation Dorchester neighborhood "have sold at sky-high prices to 'buyers' using mortgages designed for vacation homes, according to a local housing researcher," Scott Van Voorhis wrote in the Boston Herald yesterday. "The rash of vacation-home lending in Dorchester is stoking fears among some industry watchdogs that a new wave of speculation may be brewing in Boston’s poorest neighborhoods, which are already reeling from a devastating wave of foreclosures," the article added. Local observers warn that such loans may be obtained by speculators who put only a small amount of money down using financing that is reserved for vacation-home lending, and then re-sell for quick profits.

Chris Lovett posted a Dorchester Reporter's similar suggestion of strange resales on the blog Civic Boston in late July.

Best Towns for Vacation House on US West Coast?

2008-08-14T07:55:00.001-06:00

Continuing the survey of my most recent two posts, National Geographic Adventurer chooses as its top "next" adventure towns in West Coast states:

* Seattle, Washington
* Hood River, Oregon
* San Francisco, California

Runners up: Coos Bay, Oregon... Lihue, Kauai, Hawaii... Girdwood, Alaska... Joshua Tree, California...Leavenworth, Washington... Arcata, California...Klamath Falls, Oregon... Bellingham, Washington... Malibu, California.

Confession time: a few years ago, I wrote an article for AARP Magazine featuring Bellingham as being among the very best places where baby boomers could spend their prime years. Your thoughts on any of the picks?

Top Vacation House Towns in US West?

2008-08-13T09:14:00.006-06:00

As mentioned in my last post, National Geographic Adventurer spotlights a bunch of varied towns as top choices for living and working... whatever that means. Here are its choices in the Rockies;

* Missoula, Montana
* Ogden, Utah
* Carbondale, Colorado

Runners up: Lander, Wyoming... Idaho Falls, Idaho... Silver City, New Mexico... Prescott, Arizona... Reno, Nevada... Pagosa Springs, Colorado... Red Lodge, Montana...Tucson, Arizona... Colorado Springs, Colorado... Hailey, Idaho.

I have friends in some of these places and I happen to love both Carbondale (that's River Valley Ranch, Carbondale, in photo above) and Missoula. But I think the magazine's choices are much too inclusive. I'd love to hear what you think.

Top Towns in US East & South for Vacation House?

2008-08-13T08:58:00.006-06:00

Magazines love lists of towns that they think are hot new getaways. Latest list appears in National Geographic Adventurer's Sept. issue. Unfortunately, its list for the East includes both New England and the South, which doesn't seem to make sense.

For what it's worth: 4 top picks for places in the East:

* Brattleboro, Vermont (Photo shows $249,000 house offered by Coldwell Banker Bellville Realty)
* Boston, Massachusetts
* Islamorada, Florida
* Chattanooga, Tennessee

Runners up: Charleston, South Carolina... Charlottesville, Virginia... Plymouth, New Hampshire... State College, Pennsylvania... Blue Hill, Maine... Lenoir, North Carolina... Avalon, New Jersey... Salisbury, Maryland... Saranac Lake, New York

How can you lump a chilly metropolis (Boston) with a warm-weather resort in the Florida Keys (Islamorada)? By calling all of them the "next great adventure towns." The phrase is so broad it is meaningless. Agree? Don't Agree? Let me know

Renting or Selling? Add Decor, History or Private Jet Discount

2008-08-08T15:49:00.013-06:00

Owners looking for ways to make their vacation rental properties stand out in a crowded market are adding historical back stories, unique decor and local crafts to their vacation homes, while some resorts are luring vacation home buyers with private jet service, according to the New York Times today.

In one article, reporter Samantha Storey notes that period furnishings, a home's place in local history and interior design employing local art and craft elements are becoming almost as important as location in improving rentals in popular places such as Savannah, Palm Springs and Taos, New Mexico (such as Casa Gallina, where the tiled sink pictured here is located.)

In a separate article, Kevin Brass tells how Cotton Bay Estates and Villas on Eleuthera in the Bahamas now offers as an incentive to buyers a discount on a charter jet service. Officials of both Halcyon Jets and Sentient Jets are quoted as saying their are making strategic partnerships with luxury resort developers because their target demographic lusts for both a snazzy getaway and a deluxe means of transportation to get there.

Monitor Your Second Home via Webcam

2008-08-01T12:58:00.004-06:00

"As Webcams and other home-monitoring devices become smaller, cheaper and easier to install, some people have become voyeurs of their own vacation homes. While the ostensible purpose of the cameras is to monitor for intruders, some people use them to check up on the lawn guy or cleaning service, spy on visiting relatives or renters, or simply daydream about a place they'd rather be.

"Second-home owners often plug Webcams into an old PC or laptop they keep turned on and connected to the Internet. Other Webcams can link up to the Internet directly via WiFi or a cable. Basic Webcams cost as little as $10, though makers put out far more expensive ones with more capabilities. WowWee Ltd. and iRobot say they'll soon launch Webcam-topped robots that can roam about the house while sending pictures, then dock themselves at a base for recharging," From today's Wall Street Journal, by reporter June Fletcher.

Vacation Home Mortgage: Tax Deductible Interest?

2008-07-28T10:21:00.005-06:00

Did you know that the interest you pay on a vacation home is general deductible from your itemized federal tax return -- but only up to a limit of $1 million? That $1 million ceiling means the "total amount" counted as "home acquisition debt" at any time on your main home and second home" combined. If you are married and filing separately, it is only $500,000. For full details, see the IRS publication 936 Part II, which is available on the IRS Web site.

Bailout May Hurt New Vacation Home Buyers

2008-07-26T09:05:00.006-06:00

The federal housing bailout bill, just passed by the House to relieve foreclosures and expected to be signed by President Bush, may not be great for "those who buy a vacation home, or one that they rent out, planning to make it their main residence at a later time," MarketWatch quotes Riverwoods, Ill. tax advisors group CCH. Why? The answer is complicated, for the CCH opinion, see
this article.

Your Vacation Getaway in Bulgaria?

2008-07-23T15:49:00.006-06:00

Even as the US market for second homes swoons except for a few brave souls and overseas value buyers, new overseas markets bloom, says SecondSpace, Inc., a "global online marketplace for second homes and recreational retreats." It has "expanded the selection of vacation home and land listings on its flagship Web sites, ResortScape.com and LandWatch.com" so that buyers "from around the world can now search more than 200,000 new listings" in "burgeoning second home 'hot spots' in Mexico, Central America, the Caribbean, Europe and India. " The organization mentions Bulgaria and Romania for the bold investor.

The 2,000 square-foot house in Stara Zagora, Bulgaria, shown above, has 6 bedrooms and is listed for 33,000 Euros -- or less than $53,000 at today's conversion rates. Never heard of Stara Zagora? Me neither, but one travel outfit says it's an ancient Roman city, 3 hours from Bucharest, and is known as a "town of lime-trees and poets."

Does Your Second Home Waste Energy?

2008-07-12T12:52:00.008-06:00

Two studies in super-affluent Colorado communities show that second homes and condos "use as much energy per square foot per year as fully occupied units," even though second homes remain empty an average of 277 days annually, the Aspen Times reports. The studies were released in 2007 in Aspen (where an estimated 58 % of homes are not primary residences) and this month in nearby Snowmass Village (estimated 61-68 % second homes.)

The head of the local Sopris Foundation, which commissioned the studies, told reporter Scott Condon she'd like to see local officials exert “bold leadership” to cut energy use by such means as banning heated driveways and sidewalks and/or limiting house sizes. One expert also is quoted as saying owners can be taught to save energy with easy steps like "drastically" turning down hot water heaters when not using a home.

Pt. Mansfield, TX: 2nd Home Investor Hotspot?

2008-07-07T10:42:00.006-06:00

Here's a spot for second-home investors that you might not have heard about: the fishing village of Port Mansfield, Texas, about 61 miles north of Brownsville on the shore of Laguna Madre.

"Most of the buyers are second-home investment buyers," The Brownsville Herald quoted Patsy Nolte, who runs SeaWatch Realty, as saying. "People are still discovering Port Mansfield." Even now, with the real estate market collapse nationwide, sales are still hot here, according to Nolte, who said she sold about a dozen homes here so far this year.

An oddity: "the Navigation District leases the land that's luring newcomers here," the Herald says. Port Director Mike Wilson said leases go for monthly charges of $3 per square-foot along the harbor to annual fees of $3 to $6 a square foot in other parts of town. The 30-year leases can be renewed any time, Wilson is quoted as telling reporter Fernando Del Valle of the Valley Evening Star. "Under the terms of the lease, you agree to certain (conditions). You're not as in-control of property as you would if you have a title to land. We have ordinances much like a town does," Wilson is quoted as saying.

New Westin Riverfront: Beaver Creek & Vail Nearby

2008-06-30T14:23:00.004-06:00

The new luxury Westin Riverfront Resort and Spa at the base of Beaver Creek mountain resort in Colorado (how's that for a view, above?) now offers ski travelers a deluxe spot to settle when they are mainly interested in skiing Beaver Creek runs, but also want easy access to those at Vail. The Westin is not way up the mountain. It's actually in Avon, on the Eagle River, with a front door gondola to take skiers from the ski valet to the first BC lift. The location also makes it a lot easier to access the runs at Vail, just 9 miles away. Condos are priced from $395,000 to $2.1 million. The Westin officially opens Oct. 15.

2nd Home Markets: Still Sinking

2008-06-24T15:23:00.004-06:00

The latest S&P/Case-Shiller home-price indexes, via the Wall Street Journal: "Las Vegas and Miami were again the weakest markets over the past year, posting 26.8% and 26.7% drops, respectively. Las Vegas and Miami were the weakest markets each of the other months this year. S&P noted that the two markets saw some of the fastest growth in the 2004/2005 periods, with annual growth rates surging above 53% and 32%, respectively.

Also plunging: Phoenix, San Diego, San Francisco, Los Angeles. Pied-a-terre bargain hunters, investors -- time to shop or time to wait for sinkholes to deepen?

Canadians Eye Scottsdale 2nd Homes

2008-06-22T12:30:00.002-06:00

It may be 110 in the shade in Scottsdale, Arizona in the summer but that is not stopping bargain-hunting Canadians from eyeballing second home residential properties in the area's renowned golf communities.How? Many shop the Web, others actually visit. Mike Weinberger, an agent for TeamFore, says his outfit has closed on 23 sales to Canadians, most of them from the western part of the country, since January. Reason: the dollar is down nearly 40 % compared to the Canadian dollar, a/k/a the Loonie. "The Canadians see this as a sweet spot," Weinberger told me. Buyers are principally looking for vacation homes, not investment properties or places they can flip he said. Prices: under $200,000 for a condo in the heart of town: $400,000 for a handsome single-family, such as the one shown above in Cactus Glen listed by Weinberger's colleague Diane Watson.

Overseas Buyers: Beware Overheated US Markets

2008-06-21T08:08:00.002-06:00

Overseas, Mexican and Canadian vacation home investors shopping for bargain houses are not buying in all the so-called "bargain" communities of the US, according to a New York Times article. "Prospective buyers are still wary of America’s volatile economy and concerned that housing prices could continue to decline. The result is that despite their interest to get a great deal, foreigners have been slow to purchase in all but the most recession-proof properties in the most expensive areas, like East Hampton (above left, courtesy EastHamptonhomesearch.com) and Beverly Hills," the Timesquoted "Agents for properties adjacent to America’s most desired beach and ski communities." The article said while Hamptons may be hot, Cape Cod is not. Also cautious: buyers in California and Nevada's Lake Tahoe vacation home enclaves.

Alabama Bolton Cove Homes Coming to Lake Martin

2008-06-20T07:37:00.000-06:00

Some developers won’t let the housing crisis curtail their openings. Dawn Kent writes in the Birmingham (Alabama) News that a “$25 million community on Lake Martin,” will come into being in the next 2-3 years “with high hopes that the second-home market will continue to attract buyers, despite a slumping national economy.” The community is known as Bolton Cove. It is in the Coosa County town of Equality, and will feature 27 waterfront houses,” according to a quote from Courtland Davis, identified as one of the developers. The 2,700 square-foot homes will sport lakefront balconies. Prices: $700,000 and up. "This is actually one of the hotter spots on Lake Martin," Davis is quoted as saying.

Best Headline of the Day

2008-06-19T14:35:00.003-06:00

"House sales climb -- home prices now cheaper than a tank of gas." -- today on Fairway Supermarket electronic "zipper" sign above West Side Highway at 133d Street in Harlem, New York City. Smart-aleck Noo Yawkers? You better believe it. In between advertising its daily specials in gigantic letters, the zipper has some fun. During the scare about contaminants found in imported Chinese fish, the zipper blared: "USDA set to recall Beijing Olympics."

Software to Manage Vacation Home Rentals

2008-06-10T11:42:00.004-06:00

If you think your not handling tenants as well as you should, there's a new software package to help you. TenantWIZ promises to enable vacation homeowners, property managers, agents and rental businesses to easily and securely build a real-time property rental site, I learned of it from the networking site Mashable. "The software provides users with an extensive suite of Web-based tools for managing properties online anytime from anywhere. The application encompasses all aspects of vacation property rental and management including instant pricing and availability data, renter and owner account access, digital contracts with electronic signatures, online payments and unlocking the property remotely," say a review.

Upside: Sounds like a good way to get a handle on properties especially if you own or manage more than one.

Downside: Cost. TenantWIZ charges $69/month plus a one-time setup fee of $69. Although it says there are no hidden fees, clearly there are very visible ones.

Final thought: TenantWiz says: "Stop paying for booking fees just to use a reservation software." If you pay more than $70 a month for booking fees and want to give the software a go instead, this might be for you.

Vail Upgrades Breckenridge Lodging

2008-06-06T08:44:00.008-06:00

Breckenridge, the Colorado ski resort that has featured mid-price lodging compared to Vail and Beaver Creek, is in the midst of an upgrade. "We are well on the way to transforming Breckenridge real estate landscape and are very excited with our ski-in, ski-out projects ... including Crystal Peak Lodge at the base of Peak Seven," CEO Rob Katz said yesterday in a 3d quarter earnings conference call. All 46 units under are contract and closings on these units are expected this winter of 2008, he added.

The latest project at Breck is Rock Resort’s branded One Ski Hill Place, above. (Vail owns Rock Resorts.) Said Katz, it "will create a unique luxury experience at the base of Peak Eight. To date, we have released 70 units of the total 88 units with an average price per square foot of $1,246, a 29% -- 29% in excess of Crystal Peak released just a year ago."

Breckenridge once was an old mining village and some historic buildings, like those below, remain.

HomeAway Buys EscapeHomes

2008-06-05T08:26:00.006-06:00

Recognize this logo? It now covers the whole second home spectrum.Already "the largest international network of vacation rental Web sites," HomeAway has acquired EscapeHomes.com, a 10-year-old online marketplace for second homes and resort real estate sales.

With EscapeHomes, HomeAway now provides owners the tools to research and find real estate pros who specialize in second homes and their dream vacation, investment or retirement home.

“The purchase of EscapeHomes was a natural next step for our business, making HomeAway the only company specializing in second homes throughout the entire ownership process,” said Brian Sharples, CEO of HomeAway.

Sherpa Report: Rich Will Buy 2nd Homes Eventually

2008-06-04T08:10:00.001-06:00

From the Sherpa Report, which tracks the luxury travel and destination club market, comes a hopeful note on long-term trends based on "a recent survey by Knight Frank and Citi Private Bank.

While second home purchases by the affluent may be slow for "perhaps another 2 years," Liam Bailey, Knight Frank Residential Research Director, says that caution may be temporary.

"The advantage for people with equity is that they can benefit from forced sales from others in the market," said Bailey. "There are bargains beginning to appear in many locations. But due to tight credit you need to be fairly wealthy to take advantage."

Vacation Homes Wyoming: Jackson is Hot

2008-05-30T12:34:00.008-06:00

How hot? "The least-expensive condo in all of Jackson right now is $331,000, and that is a 625-square-foot one-bedroom," broker Jeff Ward of Teton Village Realty told USA Today. The most modest single-family house in town runs $639,000 and the median exceeds $1.2 million. Jackson has heavy demand, limited supply and prices that still remain below Aspen and Vail in the luxury ski market. Besides, Jackson is a true two-season destination -- summer crowds headed toward Grand Teton National Park and Yellowstone National Park are huge. Shown above: $645,000 1-BR Ten Sleep Condo. Below: the Tetons million dollar setting.

New York's Columbia County Bargains

2008-05-27T12:15:00.003-06:00

What a difference a few months make! In December, I wrote that there were still nice second homes that were "affordable" -- in the $300,000 category -- in New York's popular Columbia County, within a 3-hr drive of New York City. A quick visit this weekend shows many homes now available in the $200,000-$290,000 range from Hillsdale to Hudson, Copake to Kinderhook. For listings, see Web sites for Weichert Realtors and Beach and Bartolo, among others.(Beach and Bartolo has the listing of the Chatham house, pictured.) MLS includes houses that with "motivated sellers" and half-finished properties.

Where to Invest? Charlotte, Dallas Show Price Gains

2008-05-27T11:00:00.003-06:00

Charlotte and Dallas are beckoning second-home buyers and perhaps investors. The latest news from the S&P Case/Shiller home index report is that for the first time in as many months, "we finally saw monthly price appreciation" in these two metro areas," David M. Blitzer, Chairman of the Index committee at Standard & Poor’s, said today as the dismal first quarter housing numbers showed declines elsewhere. "Charlotte was up 0.2% in March over February, and Dallas was up 1.1%.”

On the negative side, Las Vegas "remains the weakest market, reporting an annual decline of -25.9%, followed by Miami and Phoenix at -24.6% and -23.0%, respectively. Charlotte is the only market with appreciation over the past year, returning +0.8%. In March, half of the MSAs and both composites fell by more than 2% over February. Miami was the worst performer, returning -4.5%.

"Overall," according to the report, "the markets that grew the most during the recent real estate boom are the ones that are leading the current decline."

Robb Reports "Best" Vacation Properties

2008-05-23T12:05:00.005-06:00

Speaking of the Robb Report, as we did the other day, connoisseurs of luxury properties will be interested to learn that the magazine has named the El Dorado Golf and Beach Club near Baja California's (Mexico) Cabo San Lucas as its numero uno for its 2008 "Best of the Best" issue in the category of vacation properties where homes can be built and/or bought. The runners-up are: The Cliffs at Keowee Springs (pictured), South Carolina... Palazzo Tournabuoni in Florence... and Residential Suites at the Ritz Carlton, Kapalua, Hawaii.

"Best:" Exclusive, Quintess, Solstice

2008-05-21T11:42:00.006-06:00

Would you choose a destination club simply because it was named "Best of the Best" by the luxury-goods magazine Robb Report? Of course not. Still, it is undoubtedly a good selling point for Exclusive Resorts (best "full-size" club), Quintess ("mid-sized") and Solstice ("boutique") to advertise in looking for new members. The Best of the Best June 2008 issue notes that instead of 10 properties promised a year ago, Solstice winds up with 14 (including one at Villa Dolce in Florence, shown above) plus a 90-foot yacht, for its 92 members. By comparison Quintess has 425 members at over 80 homes, while Exclusive has a whopping 350 homes and more than 3,000 members.

Wachovia Finances Mexico 2nd Homes

2008-05-16T07:23:00.001-06:00

Want a vacation home in Mexico? Wondering how to pay for it? Cascadas de Manzanillo, a beachfront community overlooking Santiago Bay and the Pacific Ocean now under construction in Manzanillo, Mexico, has announced a new US-based loan program through Wachovia Bank. It will assist U.S. buyers purchasing or refinancing homes in Mexico. "Designed to look and feel like the loan origination practices in the United States," this program is supposed to give customers at Cascadas de Manzanillo the "confidence of US financing." For more info:go to the Cascadas Web site.

US City Dwellers: Swap for Paris?

2008-05-12T12:16:00.005-06:00

"Do you have a personal home exchange season - like summer time - or do your home exchange requests vary according to your changing personal and business demands?" asks Ursula Godwin Niesmann, founder of Jewett Street, the well-established home swap agency based in Germany. She says that among European members of her group, "2- to 3-week summer swaps to major North American cities like New York, San Francisco, Montreal or Vancouver are very popular." And #1 choice among Americans, "despite the weak dollar": Paris. (Photo above is one of the Paris offerings -- a villa on the Ile de France with three bedrooms You can see more choices at the Jewett Street Web site.

Forbes Picks Posh Deep Creek

2008-05-05T08:18:00.006-06:00

From Forbes magazine comes a list of new "hot spots" for second homes being bought by affluent buyers, even in this down market. Author Lauren Sherman features One Bal Harbour in Bal Harbour, Florida, where prices for condos started at $1-million.... Deep Creek, Maryland, a four-season resort in the western part of the state that includes lakes and Wisp ski resort... South Lake Tahoe, California, where Vail Resorts is building the Chateau at Heavenly Village, a new condo hotel... and Roxbury, Connecticut, a celebrity-studded community with multi-million dollar properties. Click here for article.

Are Residence Clubs OK in Soft Market?

2008-04-29T09:41:00.004-06:00

"Residence clubs are a sensible way to own in any market, but especially now that developers have adjusted purchase prices to reflect today’s economy," says Steve Dering of DCP International. He was commenting on a report at the annual confab run by industry tracker Ragatz Associates that the shared ownership (read: timeshares, fractionals, residence clubs) market still has legs. "The value of residence club vacations exceeds annual ownership costs, so owners have real estate equity and save money relative to what they would spend on luxury vacations," added Dering. DCP, creator of the first equity residence club in Deer Valley, Utah, markets and develops shared ownership clubs throughout U.S. ski resorts and in other top vacation areas.

A & K Rejoins Luxe Vacation Home Biz

2008-04-25T08:49:00.010-06:00

News of consolidation in the luxury shared vacation home field -- two leading outfits, Crescendo and BelleHavens, have been acquired by Abercrombie & Kent, which will thus become a big player in the destination club market. Sound familiar? A & K, a subsidiary of Fortress Investment Group, lent its name to an earlier club that later morphed into the infamous Tanner and Haley. That club went bust into bankruptcy in August 2006, leaving some very angry rich folks in the lurch. The difference now: the new club's portfolio of homes will be owned debt-free, which was the selling point of BelleHavens. And that's a good thing in the current mortgage-wary business climate.

Top dog in the destination club kennel remains Exclusive Resorts. Last September number two and three Ultimate Resort and Private Escapes announced they would merge.

An Abercrombie and Kent spokesman said it will roll out new membership options this summer. Most such clubs offer several tiers, with the most days and best choices going to those who pay heftiest annual membership fees. Presumably members will be able to take advantage of A & K's many ultra-luxury trips, such as African safaris. (Note: this post was amended 4/30 to clarify some points at the request of an A & K spokesman.)

Location: Aspen or El Jebel?

2008-04-21T13:01:00.004-06:00

What's in a name? Plenty, if the name is Aspen, associated with the glitziest of the Colorado mountain towns. A townhome development underway more than 20 miles down the Roaring Fork River valley from Aspen, in a community whose post office name is El Jebel, is calling itself ShadowrockAspen. The developer wants everyone to know that 80 percent, or 24, of its first phase of 30 townhomes is sold out. The subdivision's online literature talks about an "opportunity to own a part of Aspen." Prices start at $875,400, according to advertising materials. For those familiar with the valley, the homes are opposite the huge City Market in El Jebel.

Morocco: Next 2nd Home Hotspot Abroad?

2008-04-15T07:39:00.008-06:00

Hunting for a getaway where mint tea, not a martini, is the drink of choice? jet over to Morocco -- and make it snappy, says both a British real estate website and the Associated Press. The North African kingdom "has become a 'real estate hotspot'" thanks to its good scenery and warm weather. Morocco's vibrancy and diversity" are among the positive features that have made it very popular with 'fashionable and sophisticated' leisure travelers," says the AP. What's hottest? "Marrakech has seen prices quadruple in the last 10 years and prices are continuing to rise about 20% a year," according to the AP. While there are apartments available for as little as$200,000, HomeMove.co.uk cautions that foreign buyers will pay fees that can add up to 13.5% of the purchase price." [Photo copyright Moroccoproperty.org.uk]

Median Vacation Home Price Under $200K

2008-04-08T10:48:00.000-06:00

Thanks to "lifestyle factors and strong demographics" the "underlying demand" for the vacation homes is strong despite last year's market slide, says National Association of Realtors chief economist Lawrence Yun, who notes that “a peak of population is moving through the prime years for buying recreational property." Buyers may pay less now than before the housing bubble burst. The median price of a vacation home was $195,000 in 2007, down 2.5 % from $200,000 in 2006. Another trend: more condos, fewer single homes.

In 2007, 59 % of vacation homes sold were detached single-family homes, 29 % condos, 7 % townhouses or rowhouses, and 5 % other. In 2006, single family homes accounted for 67 % of vacation home sales, while condos were 21 %. (Photo of Club at Crystal Lake, Ft. Myers, FL courtesy Goin2travel.com)

Vail Real Estate: No Slowdown

2008-04-04T08:55:00.004-06:00

Upbeat news from the Four Seasons, now under construction in Vail, apparently not much hurt by national real estate troubles. Fractionals (1/12th shares) are still selling at a brisk clip, says Jeff Meier, senior director of sales and marketing, who adds, “About 18% of our buyers have come from outside the United States.” The project between Vail Village and LionsHead is an amalgam of 120 hotel rooms, 16 whole-ownership units and 19 fractionals. First release fractional prices: $379,000 to $689,000. Completion is set for 2009.

No Joke! Hot Vacation Home Expo Panels

2008-04-01T13:26:00.002-06:00

The first-ever vacation home expo starts in less than two weeks, and these panels scheduled for the Atlanta event sound like must-attends:

“What’s New in the Popular Self Drive Vacation Destinations,” moderated by Keith Sisson, associate publisher for Y’All Magazine. Speakers, ll execs from CVBs in Orlando, Panama City Beach, Hilton Head and Gulf Shores.

“Beyond the USA: Discovering Great International Apartments, Villas, Cottages and Vacation Homes,” moderated by John Newton, news editor for Travel + Leisure. Panelists: Simon Lehmann, CEO for Interhome, Mike Thiel, founder of Hideaways International and Dan Conaway, president of Elegant Adventures.

Dates: Fri/Sat/Sun April 11, 12, 13. Click here for more info.

Hard Times in Northern Michigan

2008-03-31T07:49:00.000-06:00

Northern Michigan is as cool as Texas is hot (see below.) A recent article in the Detroit News says "Many homeowners are stuck paying the mortgage on an up north cottage they can't unload because other families, who might once have ventured into the vacation-home market, are cutting back in light of job-security fears, stricter lending standards, the high cost of gasoline burned on weekend drives north or other economic concerns." Adds writer Joel L. Stein, quoting a Traverse City broker, market time on for-sale properties in that town has doubled or even tripled.

NAR Spin on Second Home Sales Drop

2008-03-29T13:45:00.003-06:00

In case you've been taking a very long siesta, you already know that second home sales -- like all other real estate transactions -- have fallen sharply in the past year. Below is how the National Association of Realtors spinned the details:

WASHINGTON, March 28, 2008 -
The combined total of vacation- and investment-home sales declined with the overall market in 2007, but still accounted for 33 percent of all existing- and new-home sales, which is close to historic norms, according to the National Association of Realtors®.

The market share of homes purchased for investment last year was 21 percent, down from 22 percent in 2006, while another 12 percent were vacation homes, compared with a 14 percent market share in 2006. The total share of second homes declined from 36 percent of transactions in 2006.

NAR’s annual Investment and Vacation Home Buyers Survey shows vacation-home sales dropped 30.6 percent to 740,000 in 2007 from a record 1.07 million in 2006, while investment-home sales fell 18.1 percent to 1.35 million last year from 1.65 million in 2006. At the same time, primary residence sales declined 10.0 percent to 4.34 million in 2007 from 4.82 million in 2006.

Houston Hosts First Second-Home Expo

2008-03-28T09:34:00.006-06:00

The "Escapes! Second Home Expo" is set for Houston Apr. 19 and 20. Organizers say Texas is the "new hot spot for retirement, according to a recent study using U.S. Census data." Texas has now "leapt past Arizona and California to become the No. 2 retirement spot in the US. "Florida is still No. 1, but Texas is gaining." Spokesman Tony Wood suggests buyers from the greater Houston area, where the energy-driven economy is thriving, are in a better position than most to invest in a vacation home these days. The 200 exhibitors who will take part in the show at The Woodlands Waterway Marriott Hotel and Convention Center represent not just Texas destinations but Mexico, Costa Rica and Panama, all reachable by nonstop flights from Houston. More info: EscapesExpo.com

Cape Cod Calls Value Hunters

2008-03-24T13:56:00.000-06:00

With home prices dropping faster than locals can name-drop "Kennedy," Cape Cod, MA has become a buyers' market, says a Boston Globe writer. "Statistics, market trends, and reality on the ground make buying a Cape vacation home one of the no-brainer investment decisions of 2008," writes Kris Frieswick. But who should buy? "Those with a 20 percent down payment and pristine credit to meet banks' new stricter requirements and no need to sell an existing home in this tough market." 5 towns where prices have dropped most from 2005-7: Hyannis, Bourne, Mashpee, Centerville, Provincetown. Frieswick notes that some areas have retaremained strong: "Chatham values have merely flattened. Cotuit never stopped appreciating in value." So shop carefully. But you know that already, don't you?

WSJ Expert June Fletcher on Foreclosures

2008-03-20T14:32:00.003-06:00

Good advice:

"Bargains abound, particularly in foreclosure properties. While many Web sites sell foreclosure information...you don't have to pay an online membership fee to find them. Title companies, real-estate agents and lenders -- including credit unions -- all have information on homes in various stages of foreclosure" and
you can also find listings in local newspapers and Web sites.

BIG BUT: "you will get a better deal if you buy a house before it goes to auction, or after -- if it doesn't sell on the courthouse steps. Bidders at an auction sometimes get caught in the heat of the moment and push up prices."

-- Thanks to always-helpful columnist June Fletcher-- read full article here. Foto credit: ABC News

Vacation Home Show's "Slow Travel" Panel

2008-03-14T12:24:00.005-06:00

First there was the Slow Food movement; now there's "slow travel." At the Vacation Home Expo in Atlanta April 12-13, panelists will explain what it all means. One panel, titled "Slow Down, We’re Moving Too Fast: The Slow Travel Vacation Rental Lifestyle Spreading throughout Europe and Worldwide" features Pauline Kenny, founder of the Slow Travel movement, and Kathy Wood, President of the Luberon Experience. They will talk about the "most popular European Slow Travel destinations and how to save money in planning your trip and booking your vacation rental accommodations" according to an Expo press release.

Money Guru Jean Chatzky Says Buy Now

2008-03-12T13:21:00.003-06:00

One financial expert thinks a vacation home might be a great buy this spring.

"Like most of you, I own my primary residence, have no intention of moving soon and am locked into a fixed mortgage at a decent rate. So rather than getting all worked up about how much my house may (temporarily) decline in value because of the subprime fiasco, I'm thinking about whether falling prices present a real opportunity," writes Money Magazine's Jean Chatzky.

"A second home might be the ticket....So the market is soft. Good. And mortgage rates are down to 2004 levels. Even better. Is it time to buy? Maybe."

Chatzy herself is looking at the Jersey Shore. Still, she urges patience, caution and lowball bids on places on the Altantic and Gulf Coast beach towns, where prices could drop farther.

Near Vail: Cordilllera's New Paramonte

2008-03-06T14:18:00.000-07:00

Cordillera, the luxury community in the Colorado mountains in between Beaver Creek and Vail ski resorts, is going fractional. It is selling 1/8th shares in its new Paramonte residences, which are 3 BR, 3 1/2 furnished homes. Prices start at $400,000 -- not cheap, but Cordillera has a sterling reputation and ownership base. (Resales on existing houses are listed from $1.2-million to over $5-million.) Fractional buyers are guaranteed a minimum of 28 days per year as well as additional time subject to availability. Cordillera is known for its spa and four golf courses, among other amenities.