According to Redfin, second-home sales in the U.S. jumped 70 percent in October from pre-pandemic levels. California has seen a 54 percent increase in 2021 with an estimated 35,000 vacation or second homes expected to be sold this year.
Low interest rates and a strong stock market are seen as major contributors to the second-home boom.
But while the second-home market is strong, many would-be buyers struggle to purchase their first home. It is estimated that just 20 percent of Bay Area families can afford to buy a median-priced home.