Beach bummers

We bought our second home four years ago. Ah, 2005—those were the days. My wife and I looked forward to leisurely weekends on Long Island’s North Fork with family, friends and our newborn son. With two thriving careers, the prospect of a second mortgage wasn’t daunting at all. And for a while it was a perfect retreat.

Times have changed. This summer an older couple from Palm Beach, strangers, will be spending their days and nights in our country escape. They found it online after we listed it as a rental property.

Realtors nationwide say that many second homeowners are turning to the rental market for relief from current economic pressures. Diane Saatchi, a senior vice president with the Corcoran Group in the Hamptons, says she’s seen a 20 to 30 percent increase in rental inventory this year.

“People’s portfolios have suffered, they’ve lost jobs,” she says. “Folks who were once skeptical about renting out their places are now very serious about it.” [more]

--Posted by Rob Morrison, RecessionWire.com

Recession Briefing 4.28
Screwed: 21,000 at General Motors
Recession Lexicon: Prayoff