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Badger Peabody & Smith Blog

January
16

How To Make a Winter Second Home A Profitable Investment | Badger Peabody & Smith RealtyOwning additional recreational properties is always an appealing idea due to the desire to have a little home away from home for personal staycations. It is also an interesting idea for long-term property appreciation.

But in the last several years, owning a second home has become an even more attractive prospect because you can earn potential rental income through guests.

Here is how you can make the most of your second home in winter.

You may want to purchase one in an area, and with the types of features that are high value, like a hot tub, multiple rooms, skylight, fireplace, etc. You may also want to choose a place that is known for its tourism and nature landscapes. And you'll also want to check the town rules to make sure a short-term rental is allowed. You may find a second home near a ski resort, a great town, a state park, lake, or mountain side.

The location should have a strong local economy, good infrastructure, nature, and consistent tourism opportunities. Pay attention to cell phone and internet access so it's not so far off the grid that some potential guests who need these conveniences won't be turned away.

If you choose a property with year-round appeal, you won't just have guests booked throughout the summer, but could have guests all winter long.

While a winter second home may require some additional year-round maintenance, and you will have to consider things like plumbing and snow access, consistent passive rental income may help cover this.

Make sure to budget about 1 to 3 percent of the value annually for maintenance at your winter cottage.

You'll want to make sure the pathways are kept shoveled and accessible, that all heating, plumbing, and appliances are functioning in between guest visits, and that your winter second home is kept deep cleaned and tidy with everything a guest needs.

When you come to your second home purchase strategically and well-prepared, you may be able to make an investment that works for you. And with the help of an experienced real estate agent, they can help you find just what you need.

Courtney Edgar is a lifestyle journalist and copywriter based in Montreal. Her work has been published in HuffPost, Pop Sugar, Atlas Obscura, Explore Mag, and more.

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