Is a Cabin a Good Investment?

During the summer months in the Midwest, everyone is looking to get away to their cabin or lake for a weekend whenever they can. If you feel like you’re missing out on the cabin life, then maybe now is the right time for you to invest in purchasing your own home away from home. There are some things to consider when deciding to buy a cabin and hopefully by the end of this you might have a better understanding of it.

 

Pros

Your own private getaway

The main reason people want a cabin is to have a place to escape from their day-to-day lives. Owning a cabin gives you your own retreat that you can always run to. You know it will be set up the way you like and customized just for you so you can leave all your worries at home and spend a weekend relaxing and recharging. No more making plans way ahead of time to set up a room at a hotel or resort or making a plan to stay with a friend. The ease of owning your own vacation home you can go to whenever you want will bring you some peace of mind.

 

Building equity

Cabins are always in high demand because let’s face it, who doesn’t want their own vacation place? That being said, depending on the market, if you ever decide to sell it’s likely that your cabin has built up some value and with you paying off your mortgage you will have more equity to your name to use. You can also rent out your getaway for some extra cash flow when you’re not using it.

 

Cons

Maintenance and upkeep

Taking care of one home is enough work in and of itself. Add a second home to the mix and all the work grows. Sure you won’t be using it nearly as much so it won’t take as much upkeep as your primary residence but it will still require a lot of work to make sure it’s ready for each passing season. You need to think if the work is worth it for how much or how little time you will be spending there.

 

Cost

This is the biggest thing to consider when you start your search for a cabin or lake home. Aside from the mortgage, you need to consider paying for things such as property taxes, insurance, and utilities at two different residences. When you start to factor in all of those things as well as the occasional breakdown and wear and tear the cost can get pretty expensive. Just be sure to take everything into consideration before jumping into this new adventure.

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