Tom Kelly: Revisit second home possibility during off-season

It’s true … The best time to buy a family getaway often is during the “off-season” when broken pipes, fallen limbs and general clean-up chores cloud the wonderful memories of a seller’s time at the cabin.

If you have used the excuse of poor weather to support the notion that “we’ll never use it enough anyway” to delay your decision of seeking a second home, turn those thoughts around and use the off-season to your advantage.

Take a weekend and revisit your favorite getaway area when the weather is nasty. You might find a few more for-sale signs than you think. Find that block of homes or neighborhood that has always intrigued you – the one you would consider jumping into with both feet. Then consider that it will be an investment that will bring some of the most pleasant memories of your life and one you won’t have to rent to strangers to make it work financially.

Most families are concerned about cash flow, but there are realistic avenues to consider if you genuinely would like to nail down a family retreat. The best way to ensure your sanity, and your second home’s safety, is to first consider renting only to family, friends and neighbors. That way you usually get the renter you know and hopefully trust, who will give you less hassle and who is most likely to leave your getaway in the condition they found it.

Second-home owners often underestimate the large pool of potential renters in their neighbors and friends near their primary residence and near the second home. These two separate and independent areas can produce more than enough folks to fill your rental calendar. And, it’s a huge advantage to have personally witnessed how potential renters keep their own home. You’ll rest easier knowing they probably will keep your place in much the same condition that they keep their own home. Conversely, your visit to their home may be the primary reason not to rent to them!

Think about it – how many weeks do you realistically have available? Wouldn’t you want to fill your available weeks with somebody you know? Why rent to a stranger who has contacted you off the Internet when a family from the parish church known for their terrific kids would love to rent the weeks you can’t use?

If you are concerned about renting to complete strangers from out of your area (and many first-time vacation owners are) the church bulletin or online website is one of the best inexpensive, local advertising outlets that targets high probability prospects for very little cost. Marketing your property in the church bulletin lifts you to a bona fide status because you are helping to bring in revenue for the parish and at the same time indicating that your getaway is of a standard that would be acceptable to those who gather with you. The church bulletin brings an underestimated pride factor not present in local newspapers and circulars.

Remember, good friends, or friends of friends, know the going rate and usually expect to pay – so charge them. If your place clearly is on a resort’s 50-yard line, has the best dock, lakefront view and feather beds, your friends and neighbors will be prepared to pay top dollar for your top spot. (Family sometimes can be a totally different matter, but …) If the getaway is in the middle of nowhere with no obvious amenities (besides serenity) and you have never rented it out, at least consider covering your utility and cleaning costs even if “nobody would be using it during that time anyway.”

If you are renting to someone you already know, chances are you probably won’t sign a rental agreement. One of the more important things to do is try and set some ground rules before they move in. Discuss any issues (broken pipes, best place to park the boat trailer, nasty lifeguard at the pool) that you think could arise while they occupy your place. Preparation always helps prevent some awkward situations down the road.

If you’re visiting in an area that’s always been attractive to you, write down the real estate agent’s name on that nearby for-sale sign and call. After all, why should your friends be the only ones having the great memories and financial reward? If you hold the property long enough, it will appreciate – in more ways than one.