Written by Dan Green
Dan Green
Dan Green (NMLS 227607) is a licensed mortgage professional who has helped millions of people achieve their American Dream of homeownership. Dan has developed dozens of tools, written thousands of mortgage articles, and recorded hundreds of educational videos. Read more about Dan Green.
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Updated: September 19, 2024
Vacation home buyers are particularly attracted to beach towns.
In 2022, vacation home buyers represented 3.43 percent of all U.S. home buyers, with Jersey Shore and Delaware Beach leading the way.
This Homebuyer.com housing market study highlights trends in U.S. vacation home purchases.
The study, titled “The Most Popular ZIP Codes For Vacation Homes In Every U.S. State,” uses data from the FFEIC and the Home Mortgage Disclosure Act (HMDA) to identify where vacation homes are being purchased.
Many states have clear vacation home markets.
39 states have at least one ZIP code where second-home buyers make up 50 percent or more of buyers, and every state but two has at least one ZIP code where at least 25 percent of buyers are purchasing vacation homes.
The study reviews all 50 states and provides additional insights into second-home buyer household incomes, property values, and loan amounts. The highest average loan for second-home buyers is in Big Sky, Montana, 59730, with an average of $2.96 million.
In University, Kansas, 66863, the average loan amount drops to $141,667.
Scroll to the bottom for our complete methodology.
Compare mortgage rates in Stone Harbor
Situated on the Seven Mile Island in Cape May County, New Jersey, Stone Harbor is a serene coastal town graced with an ideal mix of natural beauty and quaint urban charm. The shore town's eastern border meets the Atlantic Ocean, offering pristine beaches and a captivating seascape. Economically, the appeal of Stone Harbor, especially within the ZIP code 08247, lies in its optimal blend of upscale amenities and secluded coastal ambiance. Stone Harbor has cemented its reputation as a premium vacation destination home to boutiques, art galleries, and gourmet eateries. The property market reflects a predominance of luxury homes and condos, indicative of the high demand among vacation home buyers. A significant factor bolstering the area's desirability is the preservation of its wetlands and bird sanctuaries, ensuring that, while urban development persists, nature's beauty remains untouched. The unique equilibrium between upscale living and nature's tranquility makes 08247 a prime spot for those seeking a blend of leisure and luxury.
Compare mortgage rates in Fenwick Island
Nestled between the Atlantic Ocean to the east and the Little Assawoman Bay to the west, Fenwick Island in the ZIP code 19944 stands as a captivating blend of coastal serenity and vibrant community activities. This barrier island, part of Sussex County, Delaware, has long drawn vacation home buyers with its prime oceanfront properties and tranquil bay views. Fenwick Island's economy thrives on tourism and real estate, making it a natural hotspot for second home investments. Its geographic location ensures miles of sandy beaches, ideal for sunbathing, beachcombing, and watersports. Beyond the beaches, the area boasts a rich marine ecosystem, with the bay providing opportunities for fishing and kayaking. The town's limited commercial development ensures a quiet, laid-back atmosphere while still providing essential amenities and entertainment venues. With a balance of natural allure and modern conveniences, 19944 emerges as a favored choice for discerning vacation home buyers seeking both recreation and relaxation.
Compare mortgage rates in Bethel
Located in the southeastern corner of the state within McCurtain County, Oklahoma, the area covered by ZIP code 74724 encompasses the town of Broken Bow. This region is distinguished not just by its picturesque town charm but also by its proximity to the expansive Broken Bow Lake and the lush landscapes of Beavers Bend State Park. Economically, Broken Bow has seen an uptick in real estate interest, notably among vacation home buyers, as awareness of its natural beauty spreads. The vast pine forests, clear waters of the lake, and the undulating Ouachita Mountains offer many outdoor recreational activities, from hiking and bird-watching to boating and fishing. The region's seclusion, coupled with its rich natural resources, presents a compelling value proposition. Properties in 74724 offer a retreat from the urban hustle, a promise of serene lakefront or forest views, and an immersive experience in one of Oklahoma's most biodiverse regions. The blend of rustic wilderness and the convenience of a town setting underscores the ZIP code's appeal to vacation home investors.
Compare mortgage rates in Ludlow
Nestled in Windsor County, Vermont, the town of Ludlow, represented by ZIP code 05149, serves as the gateway to the state's scenic landscapes and offers a captivating blend of New England charm and recreational allure. The region's economic pulse beats in sync with seasonal attractions, most notably the Okemo Mountain Resort, which transforms Ludlow into a winter wonderland for skiers and snowboarders. However, Ludlow's appeal extends beyond the snowy slopes. The warmer months reveal a canvas of lush green forests, providing ideal settings for hiking, mountain biking, and golfing. The town itself is a mosaic of historic buildings, artisan shops, and local eateries, presenting a rich tapestry of cultural and gastronomic experiences. The promise of multi-seasonal activities combined with the serene beauty of Vermont's countryside makes 05149 a sought-after ZIP code. Vacation home buyers are not just investing in property but also in an enriching lifestyle marked by nature, recreation, and New England's timeless allure.
Compare mortgage rates in Naples
Situated in Collier County, Florida, the Gulf Coast ZIP code of 34102 encompasses a significant portion of Naples, a city renowned for its luxury residences, upscale shopping, and white-sand beaches. Naples' geography offers a mesmerizing juxtaposition of tranquil coastlines alongside the serene backwaters of Naples Bay. From an economic perspective, the area's robust real estate market mirrors its appeal among vacation home buyers. With many waterfront properties, homes in this ZIP code often command views of the Gulf of Mexico, the bay, or the intricate network of canals weaving through the city. The charm of Naples doesn't merely rest in its scenic beauty. The historic Naples Pier, the vibrant downtown with its art scenes and dining establishments, and the proximity to natural wonders like the Ten Thousand Islands have rendered 34102 a nexus of luxury, leisure, and nature. The convergence of these elements positions Naples as a premier destination for those seeking an upscale vacation home amidst a paradise-like setting.
Compare mortgage rates in Nantucket
Located approximately 30 miles south of Cape Cod in Nantucket County, Massachusetts, the island of Nantucket, falling under ZIP code 02554, exudes an unmatched maritime charm. As a designated National Historic District, Nantucket’s cobblestone streets and preserved whaling-era architecture underscore its rich historical tapestry and its enduring appeal as a destination. From an economic viewpoint, Nantucket’s real estate market remains resilient, buoyed by the sustained interest of vacation home buyers. Its exclusivity, combined with limited development due to land conservation efforts, adds a premium to properties in this enclave. Nantucket offers many attractions, from its pristine beaches like Surfside and Jetties to cultural experiences at the Whaling Museum. The island's maritime heritage is palpable in its yacht-filled harbors, while artisanal boutiques and seafood eateries offer a taste of its modern-day sophistication. For vacation home investors, 02554 is more than just a postal code; it’s an entry into an island sanctuary where history, luxury, and natural beauty interlace seamlessly.
Compare mortgage rates in Banner Elk
Compare mortgage rates in Westerly
Nestled in the southwesternmost corner of the state, in Washington County, Rhode Island, Westerly is a coastal gem with a diverse range of attractions that blend New England charm with seaside allure. Westerly's geographic orientation along the Pawcatuck River and the Atlantic Ocean gives it both riverside tranquility and oceanic majesty. The array of properties—spanning from historic Victorian homes to contemporary coastal estates—reveals the area’s significance in the vacation home market. One of the standout features of Westerly is its array of beaches, with Misquamicut State Beach being a premier attraction, drawing beachgoers with its expansive sandy shoreline. The town's cultural vibrancy is epitomized in its art galleries, theaters, and the iconic Granite Theatre. The juxtaposition of art, history, and nature solidifies Westerly's reputation as a holistic vacation destination. Investors eyeing 02891 are essentially looking at a harmonious blend of coastal relaxation, rich cultural experiences, and New England's timeless elegance.
Compare mortgage rates in Durbin
Located in Pocahontas County, West Virginia, Durbin is enveloped by the Monongahela National Forest, reflecting the rugged beauty characteristic of West Virginia's highlands. Durbin offers a quintessential Appalachian experience, where the rushing waters of the Greenbrier River meet dense forests and mountainous terrains. Economically, Durbin's real estate potential taps into its appeal to those seeking solace in nature. The town is a magnet for outdoor enthusiasts, lured by fishing, hiking, and hunting prospects in the encompassing national forest. The vintage Durbin & Greenbrier Valley Railroad is a nostalgic nod to the region's history, offering scenic rides through the picturesque landscape. Vacation home buyers considering 26264 are essentially eyeing an investment in unspoiled natural beauty punctuated by the charm of a small mountain town. With its proximity to wilderness and enduring rustic allure, Durbin stands as a preferred choice for those desiring an authentic West Virginian retreat.
Compare mortgage rates in Vail
Located in the heart of the Colorado Rockies, Vail, in Eagle County, Colorado, is globally renowned as a premier winter sports destination. The town's economic backbone is intricately intertwined with the ski industry, with Vail Mountain being one of the largest ski resorts in the world. Geographically, Vail is nestled in a narrow valley, which is surrounded by the imposing White River National Forest, ensuring breathtaking vistas at every turn. The Gore Range to the north and the Sawatch Range to the south provide a dramatic backdrop to this alpine town. But Vail's appeal extends beyond its snowy slopes. Summer months transform the valley into a verdant playground, ideal for hiking, mountain biking, and golfing. The Vail Nature Center and Betty Ford Alpine Gardens further emphasize the town's commitment to showcasing its natural beauty. For vacation home buyers, 81657 offers more than just property; it invites a lifestyle. From luxury condominiums with slope-side access to secluded mountain chalets, the real estate landscape here is as diverse as its recreational offerings. Investing in Vail is synonymous with embracing a world-class alpine experience, marked by luxury, leisure, and nature's magnificence.
Data for this study was sourced from the FFEIC, specifically the 2018-2022 Snapshot National Loan Level Dataset. These datasets include national HMDA data filed by U.S. mortgage lenders as of April 30, 2022. To protect privacy, some data is modified. This study focuses on buyers of 1-4 unit residential properties in the 50 states and the District of Columbia. Only second or vacation home buyers were included. Buyers of one-time construction loans and open-ended mortgages like home equity lines of credit (HELOC) are excluded.
We used advanced database queries that join datasets from the Loan Application Register and the U.S. Census Bureau. Our queries sift through over 30 GB of data to extract the necessary information.
Outlier data, primarily tied to withdrawn or incomplete mortgage applications, was removed. Less than half a percent of the HMDA data was excluded for this reason.
The HMDA data’s robustness and our precise database queries ensure the reliability of our results.
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The #1 ZIP code in each state for second home buyers, based on 100.6 million mortgage applications. Share our research.
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