As they've done since birth, baby boomers are again redefining American life.
MILTON HINNANT / DMN
Art Jarboe and his wife bought a second home on Cedar Creek Lake in Tool, Texas, which is about an hour's drive from their home in Garland.
This time, they're redoing the American dream of homeownership.
For a growing number of boomers, one house isn't enough anymore.
They're scouting lakeshores, beachfronts and the mountains for the peace and quiet of a second home that can be a weekend getaway now and maybe a place to retire later.
"As boomers become empty-nesters, they're looking for ways to spend their newfound leisure time," said Ellen Roche, vice president of research for the National Association of Realtors.
The boomers' budding interest in out-of-town retreats drove vacation home sales 20 percent higher in 2004, according to a Realtors association survey.
It was the first year that vacation home sales had topped 1 million.
The survey also found that the second-home buying spree extends beyond the wealthy – last year's typical buyer earned $71,000 a year and paid $190,000 for a vacation home.
"Middle-income boomers are creating the surge," Ms. Roche said. "They're in their peak earning years and can afford a second home, particularly now with the kids out of school."
Real estate consultant John Ansbach of Coppell says boomers are reinventing the second half of life, which includes deciding where to live next.
HOT SPOTS
These rankings are based on the traffic on EscapeHomes .com's Web site, not on real-estate transactions:
Top 10 markets
1) Myrtle Beach, S.C.
2) South Padre Island, Texas
3) Naples, Fla.
4) Holden Beach, N.C.
5) Ocean City, N.J.
6) Las Vegas, Nev.
7) San Diego, Calif.
8) Park City, Utah
9) Orlando, Fla.
10) Santa Fe, N.M.
Top 10 developing markets
1) Big Lake, Alaska
2) Brunswick, Maine
3) Clear Lake, Calif.
4) Livingston, Mont.
5) Linden, Nev.
6) Murphy, N.C.
7) Paonia, Colo.
8) Talent, Ore.
9) Vashon Island, Wash.
10) Venice, Fla.
SOURCE: EscapeHomes.com
"This generation likes to indulge itself," explained the vice president of Recon Intelligence Services. "At the moment, boomers are looking for cool places to relax."
Away from it all
Art and Mavis Jarboe found their cool place about an hour's drive from their Garland home. They visit their weekend getaway on Cedar Creek Lake, in Henderson County, twice a month in the summer.
"As soon as I get there on Friday nights, I look out at the water, and all the stress from the workweek leaves me," said Mr. Jarboe, 57.
Without the distractions of running the restaurant he owns in Fort Worth, Mr. Jarboe enjoys playing his guitar and writing poetry.
Cedar Creek Lake has been popular with weekenders for years. But the area's real estate agents say boomers, buoyed by historically low mortgage interest rates, made it a hot real estate market.
"Most of our business has come from Dallas-Fort Worth, but we're also beginning to see folks from out of state who find us on the Internet," said Judy Pierce, owner of Excite Realty in Seven Points.
The demand for waterfront properties has prompted developers to tear down some of the lake's original cabins and build 4,000-square-foot homes priced from $400,000.
"We're becoming the Park Cities on the Lake," joked Sam Wise of Johnson/Monroe Realtors in Gun Barrel City.
Realtors report the same boomer home-buying binge at other vacation destinations in Texas and neighboring states – from Galveston and South Padre Island to Santa Fe, N.M., and northwestern Arkansas.
Getting in the game
Susan Feil of French and French Sotheby's International Realty in Santa Fe says 75 percent of her clients are second-home buyers.
Many buy a condo to get into the market, then trade up to a house, she said.
Boomers are also making second homes affordable by finding fixer-uppers.
John Marrs, 49, a Dallas interior designer, bought a house in Eureka Springs, Ark., after helping clients redo their vacation homes.
"I wanted something in a raw state, something I could fix up, because that's what I do," he said.
After looking at the town's charming Victorian-style homes, he spotted what he thought was the ugliest house he had seen.
An adjustable-rate mortgage and a year of handiwork later, he's able to relax.
"There's no pretense up there," he said. "It's my lifesaver."
Boomers aren't just seeking peace and quiet – they also see vacation homes as good investments.
"The stock market's instability is prompting boomers to turn to real estate," Ms. Roche said. "They've seen their primary residences rise in value, so they're concluding a second one will be a solid deal."
A survey by EscapeHomes.com, which lists vacation properties, found that real estate values in 10 markets known to attract second-home buyers increased 22 percent between 2003 and 2004.
Alice Donahue, who owns Alice Donahue Real Estate on South Padre Island, says a beachfront, two-bedroom condo that sold for $150,000 five years ago goes for twice as much today.
Market outlook rosy
Housing experts don't expect the recent increase in mortgage interest rates to dampen the second-home market much – too many prospective buyers still compete for too few properties.
Dan Hurley, editor of the Second Home Journal, expects "another 10 years of frantic activity" because of strong boomer demand and the tight supply of vacation homes, especially near water.
"The trick will be to find the next hot spot before everyone else does," he said.
The trendiest places for vacation homes are just beyond metropolitan areas, said David Hehman, chief executive of EscapeHomes.com.
"Boomers are placing a premium on convenience," he said. "They don't want to drive more than three hours."
Gregg and Diane Parker of Katy, Texas, paid $245,000 for a three-bedroom, two-bath house on Galveston Island last fall and have spent all but three weekends there, fishing and looking for seashells.
"It's the best investment I've made," said Mr. Parker, 46. "We considered other places in Texas, but this is only 1 ½ hours from home."
Building boom
Lured by 76 million boomers, builders are jumping into the market.
Dallas-based Centex Corp. has created a vacation home division – Centex Destination Properties – and is building second-home resort developments across the country. Two are in Texas – on Galveston Island and at Lake Travis.
Pulte Homes Inc.'s Del Webb unit also expects second homes to account for about 15 percent of the "active adult community" that it is developing in Frisco.
"Out-of-state people are asking about our 'lock-and-leave' homes," said Patrick Vedra, director of operations for Frisco Lakes. "They want to maintain a home elsewhere but also be near children or grandchildren in Dallas."
As much as a vacation property may tug at a prospective buyer's heartstrings, Realtors advise boomers to purchase a second home with the same care as their first – they must be sure they have the financial wherewithal.
"Remember, you'll be making two monthly mortgage payments, two property tax payments and two sets of utility payments," said David Lereah, author of Are You Missing the Real Estate Boom?
Some buyers cash in other investments or have enough money to pay for second homes in cash. But most take out 15- to 30-year mortages, real estate agents say.
Some rent out their homes part of the year to defray expenses.
And occasionally, a second home becomes a one and only even before the owners retire.
Betty Dunn and Judy Huemmer bought a place for $86,000 at Cedar Creek Lake 3 ½ years ago and became weekend visitors, only to tear down their cabin and build a $200,000, three-story house where they now live year-round.
Ms. Dunn commutes to her job in Dallas, 65 miles away.
"It's a trek, but I have no complaint," she said. "From our screened-in porch, you can see the moon shining down on the lake. It's so peaceful out here. It's where I want to retire."
E-mail bmoos@dallasnews.com
The median age of a second-home buyer is 55.
The median size of a second home is 1,290 square feet, and the median price is $190,000.
The median distance between a buyer's primary residence and vacation home is 49 miles.
13 percent of homes purchased are vacation homes.
60 percent of buyers spend at least one month a year at their vacation houses.
71 percent of buyers have no children younger than 18 living at home.
83 percent of vacation homes are detached, single-family houses.
SOURCE: 2005 National Association of Realtors' Profile of Second-Home Buyers
Ask yourself how often you'll use your vacation home. Even if you're not there, your bills will be. Will it be worth the money?
Use the Internet to look at real estate listings in vacation areas that appeal to you. It can help narrow your search.
If you plan to turn your vacation home into your permanent residence after retirement, check the area for year-round activities.
Because some lenders view second homes as a greater risk, you may be required to pay a higher interest rate or make a larger down payment.
Consider hiring a property management company to maintain your vacation home when you're not there.
SOURCE: Dallas Morning News research