For many Americans, the dream of retiring comfortably is starting to feel more like a moving target than a milestone. If you’ve been wondering whether you’re on track for the future, you’re not alone. According to a recent study by Intuit, 69% of people say today’s financial climate makes it difficult to plan for retirement, and 68% are unsure if they’ll ever retire at all.

The good news? There are still powerful ways to take control of your financial future—and one of them might surprise you.

Real estate, especially buying a second home, has emerged as a reliable strategy for building wealth and preparing for retirement. While it’s not the right move for everyone, if the numbers work for you, this could be one of the smartest investments you make for your long-term security.

Let’s explore how owning a second property can support your retirement goals and why now could be a great time to act.

Why Consider Real Estate as Part of Your Retirement Strategy?

For decades, real estate has proven to be a solid investment. It offers multiple benefits that make it especially appealing for those looking to secure their future, generate income, or simply diversify their portfolio.

Here’s what a second home can do for you:

1. Grow Your Wealth Over Time

Historically, real estate tends to appreciate in value. While there are ups and downs in any market, over time, home values typically rise—especially in growing areas. By purchasing a second home now, you’re giving that property time to increase in value before you reach retirement age. This growing equity can contribute significantly to your net worth, and you don’t need to sell the property immediately to benefit from it.

2. Create a New Income Stream

If you rent out your second home—either short-term or long-term—you can generate passive income. This income can be used to supplement your retirement savings, cover the home’s expenses, or even reinvest into other opportunities. While you’ll need to account for maintenance costs, taxes, and mortgage payments, the right property in the right location can produce consistent returns.

3. Potentially Sell for Profit Later

As retirement gets closer, you may decide to sell your second home. Depending on how much the property has appreciated, this could result in a substantial lump sum that can be added directly to your retirement savings or used to fund a move, travel, or another goal.

4. Diversify Your Financial Assets

Many people invest primarily in retirement accounts, stocks, or mutual funds. While those are all valuable tools, real estate gives you a tangible asset that moves independently of the stock market. Adding a physical property to your portfolio can reduce risk by spreading your assets across different investment types.

Think Second Homes Are Only for Wealthy Investors? Think Again

It’s easy to assume that owning more than one property is only for real estate tycoons or full-time landlords. But the data paints a different picture.

According to research from BatchData and CJ Patrick Company, 85% of people who own more than one home only own between one and five properties. That means most second home buyers are everyday individuals—people just like you—who have chosen to invest in their future, not massive property portfolios.

These are teachers who bought a cabin in the mountains, nurses renting out a condo near a university, or parents purchasing a beach house they plan to retire to someday. They aren’t “big investors”—they’re regular people planning ahead.

Why Now Might Be the Perfect Time to Buy

Timing is everything when it comes to real estate. And according to industry experts, the current market conditions could be creating an ideal window for buyers looking to secure a second home.

Danielle Hale, Chief Economist at Realtor.com, notes:

“The balance of power in the housing market keeps shifting in favor of homebuyers. A confluence of factors—including more homes for sale, rising price cuts, and slower-moving inventory—is giving buyers more leverage than they’ve had in years.”

This shift benefits buyers in several ways:

• More negotiating power on price and terms

• A wider selection of homes to choose from

• Less competition from other buyers

• Increased seller motivation to work with qualified buyers

If you’re in a financial position to consider a second home, taking action while the market is more buyer-friendly could mean locking in a better price—and more favorable conditions—before demand swings upward again.

How to Know If Buying a Second Home Is Right for You

While owning another property sounds appealing, it’s not a decision to rush into. Real estate requires thoughtful planning, especially when it involves long-term goals like retirement.

Here are a few questions to consider:

• Do you have a stable income and strong credit?

• Do you have enough savings for a down payment and reserves?

• Are you prepared to manage the responsibilities of a second property?

• Have you evaluated local rental potential and market trends?

• Would the home be used now, rented out, or saved for later use?

If you’re unsure about the answers, that’s okay. This is exactly why assembling a team of trusted professionals is so critical.

Start With the Right Team

You don’t need to be an expert to make a smart real estate decision—you just need to work with the right ones. A few key people can make all the difference:

1. A Knowledgeable Real Estate Agent

Your agent should be well-versed in the local market where you’re buying. They’ll help you evaluate potential properties, understand pricing trends, assess long-term value, and spot any red flags. They can also provide data on rental income potential and future resale value.

2. A Mortgage Lender Familiar with Investment or Second Homes

Financing a second property is different from a primary residence. Some lenders specialize in these types of loans and can walk you through the process, including down payment requirements, interest rates, and how rental income might factor into your qualifications.

3. A Tax Professional

There are tax implications—both positive and negative—when you own a second property. An accountant or financial planner can help you understand deductions, income reporting, capital gains, and how the property fits into your larger retirement plan.

Real-Life Benefits of a Second Home

Still wondering if it’s worth exploring? Here are a few examples of how a second home can fit into your retirement journey:

• Vacation Now, Retirement Later: Use the property as a getaway while you’re still working, and transition to full-time living in retirement. This works well for those targeting lifestyle changes like moving closer to nature or living near the beach.

• Rental Income to Boost Savings: Buy a condo in a growing city or near a college, rent it out for a decade, and use that income to pay down the mortgage. By the time you retire, the property could be paid off and ready to sell or move into.

• Sell for Equity: Purchase a home in an up-and-coming area. In 15-20 years, if the market has grown, sell the property and use the equity to fund part of your retirement lifestyle.

• Leave a Legacy: A second home can also be passed down to children, offering them a valuable asset and a place with family memories.

Bottom Line: Could Real Estate Help You Retire Smarter?

The fear of never retiring is real for many Americans. But that fear doesn’t have to be your reality. By thinking creatively, taking smart financial steps, and exploring options like real estate, you can build a more stable, more independent future.

A second home is more than just a property—it’s a path to possibility. Whether it brings rental income, long-term appreciation, or simply a sense of security, it can play a key role in your retirement plan.

If you’re curious about how this might work for you, start by talking to a local real estate professional. They can help you explore the market, understand the process, and decide whether this move makes sense for your goals.

You don’t have to be wealthy to make real estate work for you—you just have to be willing to take the first step.