Look at any of the sales figures for real estate in Breckenridge, Colorado over the past several decades to get an idea of how you can build wealth in Summit County. Now, add up the money you plunk into renting a place over time. Finally, think about income you could earn by renting your own Breckenridge investment property out to other vacationers.
Smart consumers are taking advantage of the excellent low interest rates coupled with the new $729,000 limits for GSE-back loans to get started investing in a second home or vacation property in Breckenridge. Purchasing property in the gorgeous reaches of Summit County real estate and neighboring Park County, which is just beginning to take off, will help you realize who ownership is the single largest creator of wealth for Americans.
Future financial security can be built dollar by dollar. Long-term investing in real estate lives through periodic adjustments and economic conditions. Nationally, the historic appreciation is 5-6 percent a year, evaluating a $200,000 condo about $10,000 if you put down even 10 percent at closing. Ten-thousand dollars is a pretty substantial return on your $20,000 down payment, but over 12 years the home will have gained in value a minimum of $100,000. Compare it to the stock market at 5 percent where you may make about $1,000 the first year, maybe $21,500 over 12 years.
Now, how much do you pay for your yearly or seasonal vacation spot? Do you see that a $10,000 down payment on a property that you could keep for your own family’s whimsical vacations will stretch much further than the same $10,000 paid to vacation rental fees? Add to that the fact that resort properties are appreciating faster than most parts of the country.
Then there are tax incentives. All of your mortgage interest and property deductions can be fully deducted from your gross income, reducing your yearly taxable income. Then, if you sell your primary residence someday down the line (and reap another big tax benefit), our quaint Victorian village offers all of the educational, cultural, recreational, and opportunities for community service in a friendly cosmopolitan atmosphere where your family will enjoy visiting you year after year.
Homeownership and second-home ownership continues to be a stable investment for the long run. Stocks rise and fall but real property continues to gain equity. With the long-term financial benefits, the variety of homes available in all price ranges, and historically low interest rates, this is a perfect time to invest in our Perfect Mountain Town.
Posted by: Editor
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