Interested in buying a second home? The mortgage lenders at Supreme Lending in Allen, Texas, can help with your mortgage loan. We work with lots of homeowners in the area who want to purchase second homes.
A second home is also known as a vacation home. For a property to qualify as a second home, you must live in it for at least part of the year. Additionally, you are not permitted to rent it out to others. Vacation homes that are rented out are considered investment properties, and these qualify for different interest rates.
The location of the home also comes into play when a mortgage company is deciding whether the home qualifies as a second home or an investment property. Homes that are too close to your primary residence may not qualify as second homes, and homes that are too far away may not qualify as investment properties.
Many homeowners opt to buy a second home not just for vacations, but also to move to when they retire. Already having equity in a second home and then selling your first home upon retirement may give you more financial wiggle room. And once your second home becomes your primary residence, you could refinance it for a lower interest rate to save even more.
If you’re interested in learning more about getting a home loan to buy a primary home, second home, or investment property, talk to the team at the top mortgage company in Allen, Texas: Supreme Lending.