3rd Home Comes Within Reach

By: Melinda Blau: REALTOR® Magazine Online
Third homes once were owned only by millionaires, but a growing number of mainstream buyers are taking advantage of low interest rates and the equity in their first and second residences to make such a purchase.

A 2004 NATIONAL ASSOCIATION OF REALTORS® survey of 8,206 home owners found that 14 percent of respondents owned at least two homes; while 4.3 percent and 1.2 percent of those polled owned at least three and four homes, respectively.

Centex Destination Properties, for instance, reports that 8 percent to 38 percent of the residents of its Dallas communities own three or more properties. Third-home ownership can be difficult, as owners spend three times as much on repairs, maintenance, and other expenses.