Purchasing your second home will bring different challenges than your decision to buy your first, and they are each worthy of careful consideration. Today, we are sharing our view on a question we are frequently asked: “What should we plan to do with our first home if we are buying a second? Should we rent it out? Sell it? Hand it over to a property management company?”

Before you can settle on the answer that is best for your unique situation, you will have to weigh your current financial situation, your capacity to take on added mental and emotional strain, and how holding on to two properties will affect your long-term goals. While selling one home and buying another can be a lot to juggle at once, deciding to rent out your first home is

Are you a homeowner who plans to purchase your second home in 2024? If so, you will be applying for a mortgage under different circumstances than those under which you bought your first home. Securing a loan for a second home is more complicated, more difficult, and even includes two separate sets of rules - one for vacation homes and another for investment properties. 

Let’s examine these two types of homes, the rules that govern them, and the pros and cons of each approach when it comes to your finances. 

What Qualifies as a Vacation Home?

Your primary residence is where you’ll spend most of your time, of course, but you are permitted to have one or more vacation homes as well, or even a residence that you use as your office. Either way,