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Wondering if now is the time to invest in your dream tropical vacation home, peaceful cabin in the woods, or big city condo getaway?

Check out the latest trends to see what kind of second home mortgage rate you might get. 

What are today’s second home mortgage rates?

Because there’s more risk to the lender, mortgage rates on second homes are typically slightly higher than mortgages for primary residences.

Average 30-year fixed mortgage rates have generally been increasing over the last month, though they’ve dropped in recent weeks. 

Rates are expected to fall as inflation cools, which means borrowers who lock their rate later this year may be able to get a better deal on a loan.

How current second home mortgage rates compare

See where mortgage rates are at today for some of the most popular loan types and terms. That these rates are for all mortgages, not just ones for second homes.

The difference between a primary residence, second home, and investment property

When you buy a house, your mortgage lender will want to know how you plan to use the property.

A primary residence is the place you live for most of the year — it’s your home. A second home, on the other hand, is a property that you live in only occasionally, like a vacation home or an apartment in another city you live in part time for work.

An investment property is a property you own that you don’t live in. Instead, the home generates income, such as rental income.

Note that it’s possible to buy a new home with a primary residence mortgage without selling …read more

Source:: Businessinsider