Mon May 12 11:50:00 UTC 2025: ## Second Home Market Cools as Mortgage Rates Rise

**[City, State] – [Date]** – The demand for second homes in the United States has plummeted, according to new data from Redfin. The real estate platform’s analysis of Home Mortgage Disclosure Act data reveals a significant drop in second-home mortgages, reaching its lowest point since 2018 in 2024.

A total of 86,604 second-home mortgages were issued in 2024, a 5% decrease compared to 2023 and a dramatic decline from previous years. The year-over-year decrease was even steeper in 2023 (-40%) and 2022 (-42%). Second-home mortgages now represent a mere 2.6% of all mortgages nationwide, down from 2.8% in 2023.

Florida experienced the sharpest decline, with Miami leading the way at a 32.2% drop in second-home mortgage originations in 2024. Orlando and West Palm Beach followed closely behind, experiencing declines of 28.4% and 28%, respectively.

While some areas saw slight increases—including Detroit (26%), San Francisco (17%), and San Jose (15.9%)—these increases remained minimal, representing less than 1% of all mortgages in Detroit and San Jose, and only 1.7% in San Francisco.

Redfin attributes the decrease in second-home mortgages to several factors (although these factors are not specified in the provided text). The cooling market underscores the impact of rising housing costs and likely higher interest rates on the previously booming vacation home market.

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