Ulster County Real Estate: The Second Home Market
Did you say that now is a good time to buy a second home?
Currently, there is an unparalleled opportunity to purchase a second home. The average cost of a home is declining, and appears ready to hit a soft landing and stabilize. The housing market is rife with a number of solid potential purchased waiting for a deal to be made. Lastly, there are a number of tax benefits to owning a second home, depending mainly on how the property will be used.
1. A second home for personal use, such a vacation homes, the tax benefits fall mainly on your deductible.
2. A second home for rental purposes, depending on the number of days it will be used for this purpose, or personal use, will determine the tax benefits that can be utilized. Some of the time frames that need to be considered are, less than 14 days a year rented and less than 14 days a year for personal use. A tax professional can assist you in determining the tax benefits that you are entitled to and how to best apply them to your individual benefit.
3. Lastly, if you want to sell the property with a profit that is tax free, you must make it your main home for at least two years prior to the sale. Again, check with your tax professional on changes in the law that may have taken place that will need to be considered to better benefit your tax situation.
Even though the market is churning with uncertainty, in chaos comes opportunity! The purchase of a second home could be the beginning of building a financial future that puts you in the driver’s seat.
Whether looking for a new home, a second home, weekender, country retreat..... start your search for Ulster County Real Estate here!