In 2024, the variety of second properties within the U.S. was 6.2 million, accounting for 4.3% of the nation’s housing inventory, based on NAHB estimates. This displays a modest decline from 2022, when the quantity reached 6.5 million. This decline suggests some cooling following the pandemic-era surge in second residence demand.
Regardless of the current decline, second properties stay extremely concentrated in a number of states. Florida had the biggest inventory of second properties, with 943,881 models accounting for 15.2% of the nationwide whole. Total, half of the nation’s second properties are positioned in simply eight states: Florida, California, New York, Texas, Michigan, North Carolina, Arizona, and Pennsylvania.
A better take a look at county-level information exhibits that the focus of second properties isn’t merely restricted to standard areas like beachfront areas. In whole, 738 counties throughout all 50 states had second properties making up a minimum of 10% of the native housing inventory. Solely Washington D.C. was the exception, reporting a second residence share of 1.7%. Furthermore, 272 counties—round 8% of all counties nationwide—had second properties accounting for a minimum of 20% of housing models.
In some areas, second properties dominate the native housing market. Counties the place a minimum of half of their housing inventory is second properties had been broadly unfold over in fourteen states. Of those counties, there have been three counties in Colorado, two counties in Utah, California, Massachusetts, Wisconsin, and Pennsylvania, and one county every in Alaska, Idaho, Maryland, Michigan, Minnesota, Missouri, New Jersey, and New York. These nationwide patterns are proven within the interactive map under.
Counties with greater than 25,000 second properties are principally positioned in or close to metropolitan areas. The highest ten counties with essentially the most second properties account for round 11% of second residence shares, most of that are in Arizona, Florida, California, Massachusetts, and New York. Of the highest 10 counties concerning absolute numbers of second properties, solely two counties (Barnstable County, Massachusetts, and Collier County, Florida) had greater than 20% of their housing inventory in second properties.
When it comes to methodology, this evaluation focuses on the quantity and placement of second properties that might qualify for the house mortgage curiosity deduction by people and makes use of the Census Bureau’s 2024 American Group Survey (ACS). It doesn’t account for properties held primarily for funding or enterprise functions.
NAHB estimates are primarily based on the definition used for residence mortgage curiosity deduction: a second house is a non-rental property that’s not labeled as taxpayer’s principal residence. Examples could possibly be: (1) a house that was once a main residence as a result of a transfer or a interval of simultaneous possession of two properties as a result of a transfer; (2) a house beneath development for which the eventual house owner acts because the builder and obtains a development mortgage (Treasury rules allow as much as 24 months of curiosity deductibility for such development loans); or (3) a non-rental seasonal or trip residence. Nevertheless, properties beneath development aren’t included on this evaluation as a result of the ACS doesn’t accumulate information on models beneath development.
