{"id":73557,"date":"2021-12-17T05:00:00","date_gmt":"2021-12-17T13:00:00","guid":{"rendered":"https:\/\/www.redfin.com\/news\/?p=73557"},"modified":"2021-12-16T15:48:32","modified_gmt":"2021-12-16T23:48:32","slug":"vacation-homes-november-2021","status":"publish","type":"post","link":"https:\/\/www.redfin.com\/news\/vacation-homes-november-2021\/","title":{"rendered":"Vacation-Home Demand Rose 83% Above Pre-Pandemic Levels in November"},"content":{"rendered":"<h2><i><span style=\"font-weight: 400;\">Interest in second homes remains strong as buyers race to lock in low mortgage rates and employers introduce permanent rules for remote work.<\/span><\/i><\/h2>\n<p><span style=\"font-weight: 400;\">In November, demand for second homes was up 83% from pre-pandemic levels, an uptick from October\u2019s 72% increase but still slightly below January\u2019s record 91% gain.\u00a0<\/span><\/p>\n<p><img fetchpriority=\"high\" decoding=\"async\" class=\"alignnone wp-image-73558 size-full\" src=\"https:\/\/www.redfin.com\/news\/wp-content\/uploads\/2021\/12\/nov-second-homes-chart-final.png\" alt=\"\" width=\"1302\" height=\"899\" srcset=\"https:\/\/www.redfin.com\/news\/wp-content\/uploads\/2021\/12\/nov-second-homes-chart-final.png 1302w, https:\/\/www.redfin.com\/news\/wp-content\/uploads\/2021\/12\/nov-second-homes-chart-final-300x207.png 300w, https:\/\/www.redfin.com\/news\/wp-content\/uploads\/2021\/12\/nov-second-homes-chart-final-1024x707.png 1024w, https:\/\/www.redfin.com\/news\/wp-content\/uploads\/2021\/12\/nov-second-homes-chart-final-768x530.png 768w\" sizes=\"(max-width: 1302px) 100vw, 1302px\" \/><\/p>\n<p><span style=\"font-weight: 400;\">That\u2019s according to a Redfin analysis of mortgage-rate lock data from real estate analytics firm <\/span><a href=\"https:\/\/www2.optimalblue.com\/\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\">Optimal Blue<\/span><\/a><span style=\"font-weight: 400;\">. Redfin created a seasonally-adjusted index of Optimal Blue\u2019s data in order to adjust for typical seasonal patterns and allow for simple comparisons of second-home demand during and before the pandemic. We define \u201cpre-pandemic\u201d as January and February 2020 and set the index for that period to 100. Any data point above 100 represents second-home demand that\u2019s above pre-pandemic levels and any data point below 100 represents demand below pre-pandemic levels. This data is subject to revision.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">A mortgage-rate lock is an agreement between a homebuyer and a lender that allows the homebuyer to lock in an interest rate on a mortgage for a certain period of time, offering protection against future interest-rate hikes. Homebuyers must specify whether they are applying to secure a mortgage rate for a primary home, a second home or an investment property. Roughly <\/span><a href=\"https:\/\/f.hubspotusercontent10.net\/hubfs\/4225469\/Daily-Briefing-Files\/111720-Daily-Market-Briefing.pdf?utm_campaign=DAILY%20BRIEFING%3A%20Mortgage%20Market%20Trends%20%26%20Rate%20Activity&amp;utm_medium=email&amp;_hsenc=p2ANqtz-_rJREAU041O7dLTCSSszK8thVgx5ZLbxG5gUSP3Lze1YmGVqPGf8qFS1a_J4OJT6bE92hQ0usjKIeSlZ79_9_KNdN5HA&amp;_hsmi=100118857&amp;utm_content=100118857&amp;utm_source=hs_email&amp;hsCtaTracking=dd6feab3-8164-4576-9814-7d1dcdea398c%7C32e55f2c-05c3-4f18-acdf-e0fec0b66c48\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\">80%<\/span><\/a><span style=\"font-weight: 400;\"> of mortgage-rate locks result in actual home purchases.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Demand for second homes surged as pandemic-related lockdowns and a new era of remote work made vacation destinations more desirable, with many wealthy Americans opting to exchange cramped city life for more space. But even as the overall housing market has begun its typical seasonal cooldown, demand is expected to remain above pre-pandemic levels.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">\u201cA combination of permanent remote-work policies and record-low mortgage rates is contributing to an uptick in demand, with buyers racing to snag vacation homes before interest rates increase further,\u201d <\/span><span style=\"font-weight: 400;\">said Redfin Deputy Chief Economist <\/span><a href=\"https:\/\/www.redfin.com\/news\/author\/taylormarr\/\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\">Taylor Marr<\/span><\/a><span style=\"font-weight: 400;\">.<\/span><span style=\"font-weight: 400;\">\u00a0 \u201c<\/span><span style=\"font-weight: 400;\">I expect demand for second homes to remain strong for at least the full duration of the pandemic, which is now being prolonged by the spread of the Omicron variant.\u201d<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Interest in second homes remains strong as buyers race to lock in low mortgage rates and employers introduce permanent rules for remote work. In November, demand for second homes was up 83% from pre-pandemic levels, an uptick from October\u2019s 72% increase but still slightly below January\u2019s record 91% gain.\u00a0 That\u2019s according to a Redfin analysis [&hellip;]<\/p>\n","protected":false},"author":13549,"featured_media":73559,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"site-sidebar-layout":"default","site-content-layout":"default","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"default","adv-header-id-meta":"","stick-header-meta":"default","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center 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