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[quote=Anonymous][quote=Anonymous]On top of everything else that has already been listed -- please investigate very carefully the cost of insurance before you buy a waterfront home.  The cost of flood insurance is going to double in many areas over the next few years.  There are protections for residents, but the cost for second homes will go up more quickly, particularly for older homes that are not up to modern "code."  I saw an article where a woman had calculated that in seven years, the flood insurance was going to have cost more than the value of her house.  The problem is that, if you have a mortgage, the bank will require that you have it.  Also, be aware that you will need separate wind insurance, in addition to regular homeowners insurance.  Also, property taxes for waterfront areas tend to be steep.   We had a waterfront home, and even with the old cheaper flood insurance, insurance and taxes were half of our mortgage payment (for a million dollar home).   On the other hand, if you wait a couple of years, and can pay cash, you can probably get a steal on a waterfront home.

As others have mentioned, unless you are there at least twice a month, you will have to have a caretaker/yard service.  If you don't have a caretaker, you will spend all of your time at the house doing the work yourself.  Even if it's just meeting repairmen, etc. -- think about how much of that you do in your residence, and imagine cramming it all into a weekend.

We loved our house, and when dc was young, we spent a LOT of time there.  However, once DC started school, we just couldn't use it enough to make it worthwhile.  After I realized that, for the price we were paying, and the number of days we were there, we could have stayed at Georges V in Paris and had money left over, we decided it was time to get out. VRBO is now my best friend.  The real epiphany was when we rented a house and I realized that I could just drop the key in the slot and walk away.  Someone else was going to worry about where that hurricane is headed, and getting the dishwasher fixed and whether the roof is leaking.  We haven't looked back.  I may buy another second home someday, but only when I'm able to spend an extended amount of time there.  [/quote]

Here's an article about the flood insurance rate increases:http://money.cnn.com/2013/10/21/real_estate/flood-insurance/

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