The Expansion Of Second Home Growth
The expansion of second home growth has had two driving forces behind it: increased wealth and favorable demographics. With tax laws that benefited the transfer of wealth, the stock market boom in the 1990's and renewed house price appreciation, average household net worth has risen dramatically. These demographic changes coupled with the recent languishing stock market have intensified second-home demand and contributed coincidently to the extreme rise in prices within destination resort areas. Second-home purchases are most commonly made by middle-aged heads of households in their prime earning years.