Rentals
How to Purchase and Make the Most Out of a California Vacation Home
Many people consider California to be one of the most gorgeous places in America. The weather is perfect, the people are fun, and there is a ton to see and do, and these are just a few of the reasons why many people chose to buy vacation homes in the lovely state. If you are considering buying a second home in California, then you will want to do it right. Here at Desert Life Design, we want to help you do just that. In addition to tips for how to buy a vacation home, we also have advice on how to decorate the space so it can become the perfect getaway.
Buying a Vacation Home
Most people who are looking to buy a vacation home also own another property as their primary residence. Because of this, banks will often have strict guidelines for how you can acquire a second mortgage, often requiring a down payment of up to 25%. They do this because the bank knows that you are already paying an existing mortgage and if you ever have trouble paying off your first home then you will likely not pay off the second.
However, if you know that you can afford both homes then it is a good idea to move forward with your plans. When you do, you have options that can make the process easier. The main thing that you should do is acquire the services of a real estate agent because they can find the best houses and work their magic to try and get you a good price. Another idea is to purchase a vacation home with friends so you can share the cost.
Rent Out the Home
If you only plan to stay in your vacation home for a part of the year, then it is a good idea to rent out the property during the time that you are not there. By doing so, you can make sure that your home is loved all year round and you can make some extra money for the house payments.
Once you decide that you want to turn your vacation home into a rental, you will want to take the proper steps to protect yourself against potential litigation, and the best way to do so is by creating a limited liability corporation for your vacation home. By creating an LLC in California, you are protected from personal liability for business debts and claims and you get special perks, including breaks at tax time. If you are new to the idea, then it is a good idea to hire a lawyer or a formation service to help you get set up so you can ensure that you are following the guidelines of the state.
Perfect Your Home
When you are renting out your vacation home as a way of making money, you will want to do what you can to attract new renters. The best way to attract people is to have a professional photographer ,take pictures of your property and put them on a rental or real estate website. Before you do so, it is a good idea to spruce up the place with some interior design. There are many styles that you can go with, and Desert Life Design can help with many of them, including Modern ,Transitional and Boho among others.
In addition to the design, you can also add new elements to your rental that many people enjoy. For instance, if you have the money then you might consider installing a pool or a deck where renters can sit out and soak in the sun. Many people are also attracted to homes that incorporate sustainable designs, so consider adding solar panels, low-flow faucets, and smart thermostats. All of these aspects reduce energy usage and can lower utility bills.
As you can see, there are many perks to owning a vacation home and when you can make money in the process, then the prospect becomes even sweeter. If you have the funds, then consider the purchase. If you would like to know more about the rental set-up and design services offered by Desert Life Design, then contact us at 760-408-6302.
Many people consider California to be one of the most gorgeous places in America. The weather is perfect, the people are fun, and there is a ton to see and do, and these are just a few of the reasons why many people chose to buy vacation homes in the lovely state. If you are considering buying a second home in California, then you will want to do it right. Here at Desert Life Design, we want to help you do just that. In addition to tips for how to buy a vacation home, we also have advice on how to decorate the space so it can become the perfect getaway.
Buying a Vacation Home
Most people who are looking to buy a vacation home also own another property as their primary residence. Because of this, banks will often have strict guidelines for how you can acquire a second mortgage, often requiring a down payment of up to 25%. They do this because the bank knows that you are already paying an existing mortgage and if you ever have trouble paying off your first home then you will likely not pay off the second.
However, if you know that you can afford both homes then it is a good idea to move forward with your plans. When you do, you have options that can make the process easier. The main thing that you should do is acquire the services of a real estate agent because they can find the best houses and work their magic to try and get you a good price. Another idea is to purchase a vacation home with friends so you can share the cost.
Rent Out the Home
If you only plan to stay in your vacation home for a part of the year, then it is a good idea to rent out the property during the time that you are not there. By doing so, you can make sure that your home is loved all year round and you can make some extra money for the house payments.
Once you decide that you want to turn your vacation home into a rental, you will want to take the proper steps to protect yourself against potential litigation, and the best way to do so is by creating a limited liability corporation for your vacation home. By creating an LLC in California, you are protected from personal liability for business debts and claims and you get special perks, including breaks at tax time. If you are new to the idea, then it is a good idea to hire a lawyer or a formation service to help you get set up so you can ensure that you are following the guidelines of the state.
Perfect Your Home
When you are renting out your vacation home as a way of making money, you will want to do what you can to attract new renters. The best way to attract people is to have a professional photographer ,take pictures of your property and put them on a rental or real estate website. Before you do so, it is a good idea to spruce up the place with some interior design. There are many styles that you can go with, and Desert Life Design can help with many of them, including Modern ,Transitional and Boho among others.
In addition to the design, you can also add new elements to your rental that many people enjoy. For instance, if you have the money then you might consider installing a pool or a deck where renters can sit out and soak in the sun. Many people are also attracted to homes that incorporate sustainable designs, so consider adding solar panels, low-flow faucets, and smart thermostats. All of these aspects reduce energy usage and can lower utility bills.
As you can see, there are many perks to owning a vacation home and when you can make money in the process, then the prospect becomes even sweeter. If you have the funds, then consider the purchase. If you would like to know more about the rental set-up and design services offered by Desert Life Design, then contact us at 760-408-6302.