What's Hot: How Fast Are Homes Selling In DC?
Demand for Second Homes Grows More Than 80% in January
✉️ Want to forward this article? Click here.
The pandemic (and low interest rates) are not only stirring up demand for primary residences, but a new analysis illustrates how much demand for vacation homes has shot up as well.
Eighty-four percent more mortgage applications were filed for second homes in January 2021 than in January 2020, according to a new Redfin report, making it the eighth month in a row that these applications grew by at least 80%. Second home application growth peaked in September with a 118% jump year-over-year.
Growth in mortgage applications for second homes also outpaced growth for applications on primary residences, for which mortgage applications were up 36% year-over-year in January.
story continues below
loading...story continues above
The analysis notes that this disproportionate demand likely has a lot to do with how skewed the fallout from the current economic crisis has been, as the wealthy are able to take advantage of remote work and most low-income people are unable to make their housing payments, much less purchase a primary residence.
This study uses mortgage rate lock data, or when prospective buyers lock in an interest rate with their lender; 80% of rate locks lead to finalized purchases.
See other articles related to: housing demand, mortgage applications, pandemic, redfin, vacation homes
This article originally published at http://dc.urbanturf.production.logicbrush.com/articles/blog/demand-for-second-homes-grew-more-than-80-for-the-eighth-month-in-a-row/17861.
Most Popular... This Week • Last 30 Days • Ever
UrbanTurf takes a look at the options DC homeowners and residents have to take advant... read »
Last week, UrbanTurf took a look at the Maryland suburbs with the highest home price ... read »
The National Geographic Society has big plans for its downtown DC campus.... read »
Add another new retailer to the growing list of openings in the neighborhood.... read »
Four years after being pitched, a new development along Mt. Pleasant's main drag is l... read »
DC Real Estate Guides
Short guides to navigating the DC-area real estate market
We've collected all our helpful guides for buying, selling and renting in and around Washington, DC in one place. Start browsing below!
First-Timer Primers
Intro guides for first-time home buyers
Unique Spaces
Awesome and unusual real estate from across the DC Metro