The vacation home buying binge that took flight during the pandemic has stalled, according to a new Redfin report. The number of homebuyers locking in mortgages to buy second homes declined 52% from pre-pandemic levels in March - dropping to their lowest levels since February 2016, Redfin data show.
The dollars-and-cents math of buying a vacation home, either to rent out or use as a home office or weekend getaway, no longer adds up for many homebuyers. Blame higher mortgage rates, soaring home prices, inflation, low home inventory and the return-to-office trend that’s hurting the rental market.
