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I have recently been pondering this issue of "Real Estate as an invesment". It sounds like a sound investment to me, but hard to get into with little cash. A 10% down payment can be tough for a first timer like myself.

Here is the Question:
Is a "second home" or a "vacation home" a sound investment. From everything I've heard, it seems so. I've been looking at property near a local ski resort and the prices are quite affordable. 2 - 3 bedroom Cabins, Houses, and Condos are in a reasonable range. We would probably use it 3-4 times a year. The rest of the time I would hire a "Vacation Rentals" place to handle renting it out to vacationers. They have a good track record, and claim low vacancy rates. The money we get from renting it out should pay the mortgage, insurance, and property taxes. In addition, we get a cheap vacation spot every few months.

I'm hoping to hear from someone who has experience doing this. Would the Mortgage be considered an investment mortgage? What risks might there be? How does this financially compare to investing in a "residence property"?
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