How to buy a vacation home in 5 steps (plus, key considerations)

Savvy investors know that portfolio diversification can be a key to long-term investment success. For that reason, investors should understand the variety of investment opportunities open to them. One exciting option for investors, offered via Regulation A+ (“Reg A”), enables individuals to invest in businesses that aren’t yet publicly traded. Reg A gives companies the framework to publicly offer securities without the rigorous and costly process of a traditional initial public offering (“IPO”). Here is what potential investors should know about Reg A. What is Regulation A? At a high level, Reg A is a regulation adopted by the Securities and Exchange Commission (“SEC”) that allows private companies to raise capital from the public. The recently updated regulation, which is an exemption from registration under the Securities Act of 1933, helps democratize the investment landscape by opening the door for the general public to invest in private companies. Reg A gives individual investors a chance to invest in opportunities historically open only to institutional and angel investors. Due to its structure, many types of companies can use Reg A to raise money. Reg A offerings are a popular choice for technology companies seeking to fund business growth or product development, for consumer goods companies looking to expand their product line, and for real estate developers funding property acquisition.  Reg A offerings are typically launched by companies that focus on select industries or have niche fundraising structures. For example, in the real estate context, many companies elect to use Reg A offerings to fund their real estate investment trust (“REIT”). In a REIT, pooled investor funds are often used to invest in a portfolio of real estate assets. Reg A provides a streamlined way for the REIT to raise money from the public and efficiently acquire the real estate assets. Types of Reg A offerings  As set out by the SEC, Reg A offerings can be completed under one of two tiers. The two tiers have different reporting requirements and authorize companies to raise different amounts of money. The regulation provides more flexibility for companies seeking to raise while ensuring investors receive adequate information from the company raising. Tier 1 Companies can use a Tier 1 Reg A offering to raise up to $20 million over 12 months. The company must file a Form 1-A offering statement with the SEC, including the company’s financial statements. In most cases, Tier 1 offerings do not require audited financial statements, but the SEC has outlined cases where audited financials may be required. Though Reg A is a federal regulation, companies using Tier 1 usually need to file state-by-state registrations in each state where they intend to sell securities. The offering will likely be subject to review by those states under state-specific Blue Sky laws. After the offering, companies must file an exit report 30 days after the offering closes, but are not required to submit annual or semi-annual updates to investors. Overall, given the $20 million raise limit, the Tier 1 requirements are lighter than those for Tier 2. Tier 2 Tier 2 Reg A offerings permit companies to raise up to $75 million over a 12-month period, which is substantially higher than the Tier 1 limit of $20 million. Like Tier 1, companies must file an offering statement with the SEC and undergo a thorough SEC review. The SEC must qualify the offering before the company starts selling securities. That process and its related requirements can often take companies four to six months to complete, which may partly relate to the requirement of including audited financial statements. Companies offering under Tier 2 need to work with an auditor who is willing to consent to their audit being included in the offering and publicly filed. Unlike Tier 1, Tier 2 does typically preempt state law, although companies should work with counsel to determine any state compliance that may be required. Additionally, Tier 2 requires more rigorous ongoing reporting, including annual, semi-annual, and current event reports. These reports are designed to provide investors with more comprehensive financial and business information to keep them updated on their investment status. It is also worth noting that in a Tier 2 offering, non-accredited investors may only invest up to 10% of their annual income or net worth. Tier 1 does not include that limitation. Overall, Tier 1 and Tier 2 offer different raise amount authorizations and come with different reporting requirements. Investors must understand which tier they are investing in and what ongoing reports they should expect to receive. The chart below outlines the high-level differences between Tier 1 and Tier 2. How Reg A offerings work For a company to participate in a Reg A, it must first determine its eligibility and determine whether it will offer under Tier 1 or Tier 2. Certain eligibility requirements must be met before a company can offer securities via Reg A. For example, in a Tier 2 raise, the company must be formed and have its principal place of business in the United States or Canada. It must not be an investment company required to register under the Investment Company Act of 1940, not be a business development company, and not be disqualified under “bad actor rules” as outlined by the SEC. After determining eligibility, the company will prepare the required financial statements, draft an offering circular, and file the offering circular and all required documents with the SEC. The main document the company drafts is a Form 1-A, which includes the offering circular and exhibits. The offering circular outlines the details of the offering, the business, required disclosures, and any necessary financials. The two main authorizations the company needs to receive before selling securities to the public are “qualification” by the SEC and receiving a no objection letter from the Financial Industry Regulatory Authority (“FINRA”). Once the offering is qualified by the SEC and a no objection letter is received from FINRA, the company can start to sell securities and individuals can start investing via the company’s offering page. To ensure regulatory compliance, the Reg A investment process must be facilitated by a broker-dealer that assists the company in offering the securities. Benefits of Reg A offerings for investors There are multiple benefits for investors who participate in a company’s Reg A offering. First, investors have the opportunity to invest in typically early-stage companies with significant growth potential and financially back companies they support and want to see grow. Over the life of the investment, investors will likely receive insider updates on the company, particularly if the Reg A is offered through Tier 2. Second, Reg A offerings may be a way for investors to diversify their investment portfolio beyond traditional investments like public stocks and bonds. Finally, if the company reaches a successful exit or IPO, investors may see their investment grow in value.  Drawbacks of Reg A offerings for investors Like any investment, there is no guarantee of returns for investors choosing to invest in a Reg A offering. Many early-stage companies opt to use Reg A to fundraise, and that investment may be more risky than an investment in a larger, more established company. Compared to a traditional public company investment, Reg A requires fewer disclosures to investors, particularly if the company offers under Tier 1. This means that investors may receive less information about the company throughout the life of their investment. Some companies, however, provide regular updates to investors including investor calls, webinars, and conferences. Additionally, investors should always refer to the offering circular drafted by the company to do their own up-front research about the company. Lastly, shares purchased in Reg A offerings may not be liquid, meaning that investors may need to wait for a company to exit or IPO for them to be able to sell their stake.  How to invest in a Reg A offering Before investing, it is important to consult with a financial advisor or investment professional who can provide personalized advice based on your financial goals and risk tolerance. Once you decide to move forward, you follow these general steps to invest in a Reg A offering:  The future of Reg A investments With the evolution of technology and securities regulation, it is becoming more efficient for individuals to participate in the investment market. As investor interest in private offerings and alternative investments continues to grow, Reg A offerings will likely gain popularity. Reg A serves as a lighter form of a traditional IPO, providing both companies and investors with flexibility and a new range of investment possibilities. Reg A offerings can be an exciting way for individuals to participate in private companies on the ground floor and potentially benefit from their growth. Like any investment, investors should conduct research, consult with financial advisors, and understand the risks before investing to ensure alignment with financial goals and risk tolerance. Invest in Pacaso’s Reg A offering Looking to diversify your portfolio and participate in a Reg A offering? Pacaso is giving investors the chance to get in on the ground floor as we expand. As a pioneer and leader of the co-ownership category in real estate, Pacaso has a successful track record backed by venture capital support and proven leaders, including former executives at Zillow, dotloop and Hotwire. With nearly $100 million in adjusted gross profit in just four years, Pacaso is tapping into a growing market and is poised to enter the next stage of growth. Learn more about the

Over the last 10 years, the investing world has seen many firsts, including several new types of opportunities for investors. One developing opportunity is equity crowdfunding, which offers the chance for everyday investors to own a piece of, and participate in the growth of, private companies.  Until the mid 2010s, it was quite difficult for most people to access these types of opportunities. That changed with the 2012, Jumpstart Our Business Startups Act, known as the JOBS Act, which paved the way for investors to access private company investments. At that point, companies could start to leverage the JOBS Act and its innovative and community-building crowdfunding model to raise rounds of capital.  This introduction to equity crowdfunding is most helpful for investors starting to explore the space and the opportunities it holds.  How equity crowdfunding works At a high level, companies can use certain crowdfunding regulations (like Regulation CF), adopted by the Securities and Exchange Commission (SEC), to offer shares to everyday investors. Companies using crowdfunding must work within the SEC’s guidelines, and comply with federal regulations. Unlike traditional investments offered by brokerage accounts (think Charles Schawb, Merrill Lynch, or Fidelity), equity crowdfunding opportunities often live on crowdfunding platforms or on the private company website directly. These platforms and self-hosted fundraises provide simple, accessible investment processes just like your typical brokerage.  There are numerous equity crowdfunding platforms and some (like Crowdfunding appeals to companies because they can raise money from a broad range of people and continue to build their community. As an investor, you can diversify your portfolio and invest in private companies that may see great returns in the long run. Substack, for example, recently ran a These investors were new and existing community members, and now they all can share in Substack’s potential success. Opportunities and benefits of equity crowdfunding Because of its unique nature, equity crowdfunding offers a broad range of benefits to investors. It an opportunity to: Get in on the ground floor Equity crowdfunding gives investors the chance to invest in companies early, sometimes even before traditional venture capital or private investment. If the company is successful, investors could see very high returns. For example, the company Soliton raised $11 million of common stock in an equity round in 2019. They raised that $11 million at an $86 million valuation, and were acquired by Diversify Crowdfunding opportunities allow investors to broaden their investment portfolio, and diversify their investments. As an everyday investor, you are no longer limited to trading only traditional stocks and bonds. With just a small amount of capital, you can diversify your portfolio and invest in private companies through crowdfunding. Support companies you love Crowdfunding is a way for individuals to support businesses they love. For example, The Oakland Ballers, the new Oakland baseball team, recently launched Enjoy perks Investors may receive perks for investing in a crowdfunding round. For example, you may get early access to product releases, opportunities to meet key executives, company swag, and invitations to VIP events. Companies can benefit from investor feedback on their products or services, knowing that you have an incentive to provide an honest review to help the company grow in the long run.  What are the risks of crowdfunding investing? While there are many possible benefits of equity crowdfunding, there are some risks for investors:  Lack of liquidity One major risk of investing in a private company through crowdfunding is the possible lack of liquidity. This means that you may not be able to sell your shares until the company reaches an exit or Initial Public Offering (IPO). Your money may be tied up in the company for an unknown period of time, so you should only invest if you are comfortable with that possibility.  For example, Uber completed its Series A round in 2011, but did not go public until 2019. Although it did not raise via crowdfunding, this example shows that even very successful companies may have lengthy time horizons for investors to see a return on their investment. Some companies may provide liquidity opportunities before an exit or IPO, but that is not guaranteed. It is important to check each specific investment opportunity to see if it provides liquidity.  Startup risk Startups tend to be risky. With the potential for high reward also comes great risks. In an often-cited statistic, about 90% of startup companies fail. Research from Cost to the company From a company perspective, there is an added cost of compliance for the initial raise as well as ongoing obligations. These costs are not nearly as high as for a traditional IPO, but they may be more expensive than seeking a private raise led mainly by one or two institutional investors. This added cost can have a negative financial impact on the company if the raise does not earn them as much capital as they anticipated. When researching potential investments, you may see references to a “minimum raise amount,” which helps the company ensure it raises enough to cover all of its costs with a large amount designated for company growth once the raise is complete. Additionally, in some crowdfunding offerings, companies are responsible for keeping investors informed of their investment status on an ongoing basis. This is an extra cost for companies, but does provide good insight for investors.  How to get started? If all of this detail about equity crowdfunding excites you, your next step is to search online for equity crowdfunding opportunities just like you might research traditional stocks. There are many equity crowdfunding platforms — StartEngine, Wefunder, DealMaker, and Republic among them — that host numerous opportunities.  Other platforms, such as DealMaker, help companies host the raise on their own websites. You will want to do some research to confirm you are comfortable investing on any of the sites. One key feature of these crowdfunding platforms is that businesses usually need to pitch the platforms themselves in order to partner with the platform. The platforms are incentivized to host successful raises because the platforms take a cut of the raise, so the platforms does its own background research and vets companies before launching a raise. You will find many different investment opportunities on each crowdfunding platform. Typically, companies will have their own investment websites, pages explaining the investment opportunity, and update posts showing offering progress. You will find all of the company’s offering documents on the platform or site. These offering documents usually include pitch decks, marketing materials, and any regulatory filings. For example, After your research, making the actual investment is a seamless process. For example, let’s say you want to invest in Platforms like The future of the industry Online crowdfunding platforms and current regulatory frameworks make it easier and more efficient for investors to participate in equity crowdfunding. Equity crowdfunding opens a new route for companies to raise money, and the data backs up the dramatic increase over the last several years. Since 2020, companies have Invest in Pacaso’s Reg A offering Looking to diversify your portfolio and participate in a Reg A offering? Pacaso is giving investors the chance to invest in our company via Reg A. As a pioneer and leader of the co-ownership category in real estate, Pacaso has a successful track record backed by venture capital support and proven leaders, including former executives at Zillow, dotloop and Hotwire. With nearly $100 million in adjusted gross profit in just four years, Pacaso is tapping into a growing market and is poised to enter the next stage of growth. Learn more about the

Real estate crowdfunding gives individual investors direct access to participate in larger, often long-term real estate projects. These opportunities,  typically facilitated online, allow developers or property owners to connect with many investors in order to fund their real estate project, and share the returns to that same investor group over time. Unlike traditional real estate investment, which usually requires significant capital, crowdfunding enables investors to access the benefits of real estate investing with only a small amount of initial money. Even $100 will get you access to many real estate crowdfunding opportunities, providing you an entryway into the real estate investment arena.  Real estate crowdfunding How real estate crowdfunding works For real estate crowdfunding to be successful, a project developer or sponsor must raise adequate funds to finance the project. Using online real estate crowdfunding platforms, real estate developers or project managers (called “sponsors”) pitch their investments. These sponsors are typically individuals or companies that will find, organize, and manage a real estate crowdfunding investment. These investments include purchasing rental properties, developing land, or making loans to real estate-related parties. Real estate crowdfunding platforms provide the necessary infrastructure for sponsors to seek investment, while ensuring regulatory compliance. Investors can be individuals or entities. For example, some platforms are limited to accredited investors. To be an accredited investor, you must generally have an annual income of over $200,000 or a net worth of over $1 million. Other crowdfunding opportunities are open to everyday investors, with investment minimums as low as $100. There are two main types of real estate crowdfunding: equity crowdfunding and debt crowdfunding. Each type has a different risk profile and different potential investment returns. Equity crowdfunding In the real estate equity crowdfunding space, investors purchase shares of a property directly,  or they buy part of a business that will buy properties or operate a business that earns income from real estate. Like traditional real estate ownership, equity crowdfunding investors may benefit from property appreciation, rental revenue, and other streams of income produced by the property. However, just like any real estate investment, equity crowdfunding investors also assume their share of the risk if the project is unsuccessful.  Equity crowdfunding gives investors a slice of ownership, and the success of the investment is tied to the success of the property or project. With this investment strategy, there is a chance of larger returns, because the property or project may exceed expectations and produce significantly more income than anticipated. Because the investor owns equity, they get their piece of the income as it is passed on directly to investors after other expenses are paid. Overall, you can think of equity crowdfunding as owning a stake in a property or business. Debt crowdfunding Debt crowdfunding is slightly different from equity crowdfunding. In debt crowdfunding, investors usually lend money to the sponsor in exchange for a fixed return, typically in the form of an interest payment. Investors can think of debt crowdfunding as similar to a loan. For example, a sponsor may want to raise $10 million in debt in order to purchase rental properties.  In equity crowdfunding, the investor would either own shares in the sponsor, or own shares of the properties themselves. In debt crowdfunding, the sponsor simply promises to give a certain return, but investors do not own shares of the sponsor or property. For example, an investor might invest $1,000 in a debt crowdfunding project and receive a 10% return for five years. Each year, the investor will receive $100 from the sponsor. At the end of the five years, the sponsor must return the initial $1,000 to the investor. Returns for debt investments may be lower than equity investments, but debt crowdfunding is considered less risky, as investment returns tend to be more predictable. Benefits of real estate crowdfunding For individual investors who may not have the expertise or capital to fully fund a standalone real estate investment (such as buying a rental property outright), crowdfunding offers a range of benefits.  Accessibility  One of the biggest advantages of real estate crowdfunding is accessibility. Many platforms have low minimum investment requirements, leveling the playing field for investors interested in investing as little as $100. Since the crowdfunding platforms are accessible online, it is easy for investors to get started, without the need for an investment advisor, industry connections, or prior real estate investing experience.  Portfolio diversification  Only a small amount of money is typically required per investment, making it possible to diversify investments. Investors can spread their money across property types, geographic locations, and projects, reducing overall risk. For example, an investor using any one of the top real estate crowdfunding can invest in a single-family rental home in Georgia, a vacation rental in Phoenix and a real estate debt fund, all on the same platform.  Passive income opportunities Many real estate investments give investors the opportunity to earn passive income through rental earnings or interest payments. This is a key benefit to real estate crowdfunding; investors do not have to be involved in the day-to-day management of the property. For example, investors in a rental property might earn money every month as rent comes in, the expenses for the home are paid, and the profit is distributed to investors. Potential for high returns Like any investment, real estate crowdfunding does not guarantee any level of returns. However, given the reputation of real estate for strong returns over time, it can be a strong, risk-adjusted investment. That is why you will see many real estate crowdfunding projects with timelines of five years or more. Industry experts know that the greatest returns often come to those who are invested for a longer time period. Risks and challenges While there are many potential benefits to real estate crowdfunding as an investment avenue, there are some risks and challenges that all investors should be aware of.  Market risks and economic factors Macro, or large-scale, factors like economic downturns can disrupt the real estate market, which also includes real estate crowdfunding investments. When real estate values drop, investors may experience losses or diminishing returns. However, some Lack of liquidity When you invest in a real estate project, your money may be tied up for quite a while. Unlike publicly traded stock, which you can buy and sell within moments, real estate investors may not be able to easily sell shares or withdraw funds before the project is completed. For example, in a development project, investments may be used to build the project, so funds won’t be available until the project starts to receive a return on investment. This is a key reason to do your research and understand the details of your investment. Some investment opportunities include the ability to sell your investment after a certain time period, so keep an eye out for those details. Many crowdfunding platforms have sprung up over the last decade, but not all platforms are created equal. Some platforms may have different levels of vetting processes for projects, leading to different levels of risk for investors. It is important to always research the platform itself before moving forward with a project-specific investment. Also, every real estate project will have a different risk profile, so it is best to dig into the details before diving in. Regulatory and legal considerations As the real estate crowdfunding industry is relatively new, laws and regulations continue to evolve. The legality and custom of today’s practices may change with new regulations and innovations. Investors must accept potential regulatory uncertainty and the risk associated with it. Getting started with real estate crowdfunding Ready to get involved with real estate crowdfunding? Take an approach that prioritizes careful planning and informed decision-making. Here are a few steps to follow:  1. Choose the right platform Seek out an online investment platform that is reputable, well-regulated, and transparent. Be sure they outline any and all fees, and get a good understanding of what exactly you are buying (for example, equity or debt). Check that the platform has a strong track record of successful projects, and review their vetting process for projects and sponsors. If you know other people who invest in real estate crowdfunding, ask for recommendations. There are many websites that go over real estate crowdfunding opportunities in depth, such as BiggerPockets and NerdWallet. Some real estate crowdfunding platforms to consider are Arrived, Fundrise, Yieldstreet, RealtyMogul and EquityMultiple. 2. Know the investment limits The federal Securities and Exchange Commission sets “If either your annual income or your net worth is less than $124,000, then during any 12-month period, you can invest up to the greater of either $2,500 or 5% of the greater of your annual income or net worth.  If both your annual income and your net worth are equal to or more than $124,000, then during any 12-month period, you can invest up to 10% of annual income or net worth, whichever is greater, but not to exceed $124,000.” 3. Carefully evaluate each investment opportunity Do not jump in without doing your research. Take time to review the details of each project, including property type, location, expected returns, and investment timeline. You should also review the sponsor’s experience and take a deep dive into the financial details of the project. Within the context of each opportunity, be sure to evaluate market conditions and potential risks.  4. Follow the step-by-step investment process After you have decided on an investment, you will need to first create an account on your selected platform. Review and sign all necessary documents, and transfer funds. Then track your project’s progress on the platform throughout the life of your investment.  Future trends in real estate crowdfunding It is an exciting time to be a real estate crowdfunding investor, as many industry experts expect the market to First, technological advancements are widening the investor pool and making it easier for individual investors to participate. These innovations include new blockchain technologies and smart contracts, as well as improved online investment portals. All are poised to streamline transactions, boost transparency and increase investment efficiency. Second, the growing popularity of real estate crowdfunding is seen as a These reasons outline a case for the future continued growth of real estate crowdfunding, and it is definitely worth exploring as an investment strategy. Invest in Pacaso’s Reg A offering Looking to diversify your portfolio and participate in a Reg A offering? Pacaso is giving investors the chance to invest in our company via Reg A. As a pioneer and leader of the co-ownership category in real estate, Pacaso has a successful track record backed by venture capital support and proven leaders, including former executives at Zillow, dotloop and Hotwire. With nearly $100 million in adjusted gross profit in just four years, Pacaso is tapping into a growing market and is poised to enter the next stage of growth. Learn more about the

Searching for a place to unwind, reconnect with loved ones and create lasting memories? 1. Enjoy your own personal retreat 2. Have flexibility for your vacations With a vacation home, you no longer need to fight for reservations during peak season or scramble to find last-minute Do you need a quick weekend escape to clear your head? Or a 3. Build a lifetime of memories A vacation home transcends bricks and mortar — it becomes a cornerstone for creating cherished memories with the people you love. Host unforgettable holidays and family gatherings to create lifelong memories.  Imagine cozy nights by the fireplace at your 4. Relish familiar settings Owning a vacation homes has the benefit of being your home-away-from-home. Equip your space with 5. Embrace a new community Purchasing a vacation home can open doors to a new community. Strike up conversations with friendly neighbors who share a love for the area. Explore local shops and restaurants, gaining a deeper understanding of the region's culture and hidden gems. This sense of belonging can enrich your vacation experiences and grow your sense of community at your second home. 6. Cultivate a sense of adventure A vacation home can serve as a springboard for exploration. Since you have a convenient home base, you can delve deeper into the surrounding area. Explore nearby towns, hike or bike scenic trails or discover hidden Proximity to these activities allows you to embrace a more adventurous spirit and enjoy experiences beyond the typical tourist’s itinerary. 7. Create a healthier lifestyle A vacation home can be a catalyst for embracing a healthier way of living. Many vacation destinations offer opportunities for Inside you vacation home, consider creating a dedicated 8. Pass down an asset to your children A vacation home can become a cherished part of your family's legacy. It can be a gathering place for future generations to reconnect with loved ones and create lasting memories.  Eventually, you can pass vacation homes down as an inheritance. A valuable asset like this can give your children and grandchildren a special connection to their family history. 9. Choose a location close to activities you love Finding a second home in a place that supports  your interests and hobbies can significantly enhance your lifestyle. Imagine living by a lake and spending your weekends fishing, or owning beach house with nearby easy access to kayaking or paddleboarding. For those who crave the thrill of winter sports or the serenity of mountain hikes, a cozy cabin could be the perfect fit. 10. Take advantage of unique financing options When buying a vacation home, you can access Additionally, your vacation home expenses don’t end with the Advantages of vacation homes Although owning a second home has some down sides, the advantages can greatly outweigh the trouble of finding and financing a vacation home. The pros of owning a second home or Personal use When you own your vacation accommodations, you always have a great place to stay (even if it’s a busy holiday weekend). You can keep all the comforts and necessities — clothes, toiletries, outdoor gear and more — at your vacation home so you can get away from it all at a moment’s notice. Unlike relying on reviews to choose a hotel room or short-term rental, you always know exactly what to expect when you arrive at your vacation home. Buying Your vacation home could become your primary residence once you retire, but you can start enjoying it and building equity long before it’s time to turn in your employee badge. In the meantime, it’s a special place to bring family together for vacations and special events. You can also pass down your vacation home to your heirs. Passive income potential Although some owners prefer to keep their vacation home exclusively for personal use, listing your second home as a short-term rental may also be possible. If you don’t want your vacation home to sit vacant when you’re not using it, you may be able to rent it out to others and use the money toward the mortgage and maintenance expenses. Investing in vacation rentals requires considering things like the home’s proximity to local attractions, rental competition, local housing rules and the possible cost of  property management. Your short-term rental may serve as an Potential property appreciation Whether you plan to keep your vacation home for personal use or earn passive income, your property may increase in value. A secondary residence can increase equity and value appreciation like a primary residence.  In this way, buying a vacation home can be an investment. Of course, housing markets fluctuate, so value appreciation depends on market trends where you buy. Adding real estate to your portfolio is a great way to diversify your portfolio and hedge against the ebb and flow of different markets. It’s always smart to consult a financial planner before making such an investment.  Tax benefits You can deduct any mortgage interest paid on up to $750,000 of principal mortgage debt, including your vacation home. Other If your vacation home doubles as a short-term or long-term rental, you may also be able to claim certain costs as business expenses for your vacation rental business. Consult with a tax professional to determine which  tax deductions you’ll be eligible for. Challenges of vacation homes Vacation home ownership also includes several challenging cons. Property maintenance and management Your second home likely won’t be close enough to your primary residence for you to stop by frequently. Home repairs and regular maintenance (lawn mowing, snow removal, etc.) can become a hassle. And if you’re renting out your second home, you must deal with reservations, clean up and more.  A potential solution is to Income volatility If you plan to rent out your vacation property, you’ll need to be aware of the high and low tourist seasons in your home’s locale. Plan for income fluctuations and charge appropriate nightly rates to curb potential low-season vacancies.  To keep attracting bookings, you may need to pay for marketing and advertising your property to help decrease income volatility. Local vacation rental laws Many towns are passing ordinances prohibiting short-term rentals or requiring homeowners to pay hefty fees to list a home as a rental. Check local laws before banking on your ability to rent out your vacation home.  Remember that other Limited location Once you invest in a vacation home, you’ll probably want to use it as much as possible. That means you’ll likely spend more time in one Just like an unused gym membership or a new dress in the back of the closet, a distant vacation home can easily turn from a dream come true into a money pit if you’re not committed to using it regularly. Co-own a vacation home with Pacaso While there are nearly a dozen reasons to buy a vacation home, the initial cost and ongoing maintenance can be daunting. Pacaso offers a unique DISCLAIMER: This content is published solely for informational purposes and isn’t intended to be investment advice. You should consult an appropriate professional for specific advice tailored to your situation.

Buying with friends may also help justify the purchase, since a vacation home with multiple owners will likely get used more weeks each year than properties owned by an individual or a single family. Plus, co-owning allows you to share the workload of owning and maintaining a second home.  But just because it may make financial and logistical sense to 1. Get on the same page The first step in the process is to make sure all would-be owners have the Make sure to iron out these big decisions before you begin your home search. It’s important to go into home shopping with a clear set of criteria. And remember: Everyone will need to make compromises to keep the process moving forward.  2. Evaluate finances Many people are uncomfortable talking about money with people outside their immediate family, but it’s an absolute must if you’re considering making a real estate investment with friends. Sit down with all potential owners for a conversation about ideal purchase price, down payment size and credit scores. You’ll also want to make sure everyone has 3. Have the tough conversations Take the time to ask each other hard questions about how and when the home will be used. Here are a few questions to get you started:  4. Assign tasks Owning a second home — especially in another city, state or country from your primary residence — can be a lot of work. Luckily, owning a home with friends means you can share the responsibilities. Before purchasing, make plans for who will take care of specific tasks. You might assign one person to take care of paying the bills, like the mortgage, utility bills and insurance, while someone else might take care of overseeing vendors like house cleaners, landscapers or 5. Create a co-ownership agreement Protecting yourself legally is an absolute must before investing in real estate with friends. It’s always worth the time and expense to hire a real estate attorney who can draft a co-ownership agreement that all parties sign. These legally binding contracts establish an ownership structure for the purchase. There are In addition to defining the ownership structure, a co-ownership agreement can 6. Find the right home Now comes the fun part: house shopping! Hire a real estate agent who has experience both in your target market and with friends buying together. Provide your agent with your predetermined wish list and find a time when all parties can travel to the destination to tour homes in person. After each showing, have an open conversation about pros and cons to narrow the options. Remember to pack your patience. It may take some time to find a property that fits everyone’s wants and needs.  7. Keep the lines of communication open  Good, honest communication among owners shouldn’t end as soon as you receive the keys. Home ownership is an ongoing responsibility, so stay in contact with your co-owners so you can decide on things like vacation dates, maintenance needs and home improvements. And don’t forget the fun stuff. Be sure to share tips and tricks with your co-owners, whether that’s the great new restaurant they won’t want to miss or a local hiking trail you discovered on your last visit.  Pacaso: Fully managed co-ownership  However, it can be a challenge to find a friend (or multiple friends) who share the same second homeownership and financial goals. But that doesn’t mean You’ll find Pacaso second homes in

After years of raising and supporting your children, what happens to you when they leave home for college, career or marriage? While most parents are eager to see their children spread their wings, the transition can be a little bittersweet. Many people experience a combination of the loneliness of a quiet house and the excitement of getting to put your wants and needs first. Here’s what you need to know about empty nest syndrome and Who are empty nesters? What is empty nest syndrome? While empty nest syndrome isn’t classified as an official health condition, it’s well documented — and very common. Signs of the syndrome include feelings of sadness, anxiety and loss of purpose. And it’s easy to understand why, after so many years of prioritizing your children’s needs over your own.  Symptoms of empty nest syndrome While the experience is different for every parent, it’s common to have a variety of emotions during this time:  How to embrace this new phase of life Most empty nesters settle into their 1. Practice self care Be gentle with yourself. With a newly open calendar, shortened to-do list and big emotions, now is the time to focus on taking care of your physical and emotional needs. Exercise, sleep, 2. Invest in yourself You may have spent many years prioritizing your kids’ needs over your own, with their activities dominating the family calendar. Once the kids have flown the nest, you might find yourself with more free time than you’re used to. This is the perfect time to re-prioritize 3. Focus on friends An abundance of free time means you can expand your social horizons. You may choose to reconnect with old friends you’ve lost touch with over the years or seek out new relationships. Volunteer activities, affinity groups and community organizations can be great places to find new friends who may be in the same season of life.   4. Get to know your kids — as adults  Your kids may not be little anymore, but part of the beauty of watching them grow up is the opportunity to know them as adults. This transitional period offers the chance to redefine your relationship and establish new roles and communication norms.  5. Reconnect with your partner In dual-parent families, it’s easy to slip into a routine where your daily and weekly routines revolve around caring for your children. Once your kids move out, it’s an ideal time to rediscover your partner and focus on spending quality time together. Consider taking more vacations or starting a new hobby together. 6. Seek professional help  If your empty nest syndrome seems to last longer than expected or seriously affects your day-to-day life, it may be time to seek out a therapist or counselor. As an objective third party, a therapist or counselor can provide coping strategies and connect you with helpful resources.  7. Find a change of scenery  When the kids have flown the nest, many parents find themselves feeling less tethered to their primary home. That can be a good thing — vacation, anyone? 

For most travelers, the flight is a means to an end — a way to get to your destination but certainly not a highlight of the trip. With long security lines, limited leg room and inconvenient flight times, flying commercial is usually far from luxurious. Alternatively, an ever-growing list of private and semi-private aviation companies are ready to whisk you away on your next vacation. Here’s what you need to know about ditching commercial carriers and choosing a more comfortable, convenient flight.  Private aviation vs. semi-private aviation  You may hear the terms “private airlines” and “semi-private airlines” used interchangeably, but there are a few important differences between them.  Private You charter an aircraft and crew to whisk you and your companions from point A to point B. Private aviation has plenty of perks. Since most operate from smaller airports or FBOs (fixed-base operators), you can arrive just a few minutes before takeoff or relax in a lounge before your flight. Inflight, the only other passengers will be your traveling companions, and you’ll have plenty of space to stretch your legs. The customer service is top notch, too. Of course, flying private doesn’t come cheap. Prices start at between $1,250 and $3,000 per hour of flight time for 4-6 passenger planes, and prices go up from there. Some private jet companies offer memberships, where you pay a flat yearly rate for access to flights with as little as 24 hours' notice (an hourly charge still applies).  Semi-private This offers many of the same benefits of flying private, but without quite as much sticker shock. You’ll still enjoy a quick security screening and boarding process, great customer service, and the convenience of flying out of smaller or private terminals. You’ll fly on smaller, often more luxurious aircraft, but unlike private aviation,  you’ll be sharing the space with passengers who are not in your party. Semi-private flights are most commonly available for flights of two or three hours or less. Costs vary based on duration and destination, but you can expect to pay more than a commercial flight and quite a bit less than true private air travel.  Top private and semi-private aviation companies There are many choices when it comes to flying private or semi-private, and each company structures its offerings a little differently. Here’s what some of the most popular companies offer their travelers.  1. SurfAir Considered one of the more affordable options for semi-private travel, 2. Aero Launched in February 2021, Aero is one of the newest companies on the scene. Similar to SurfAir, Aero offers personalized concierge service, luggage service, a curbside welcome, ground transportation coordination and pet-friendly flights. The planes themselves are works of art, with custom-designed interiors that feature dynamic lighting, professional sound systems and hand-stitched Italian leather seats. 3. FlyExclusive FlyExclusive owns a fleet of over 90 planes, including light jets, mid-size jets and super-mid jets available for both domestic and international trips. 4. JSX 5. Blade With a fleet that includes jets, turboprops, helicopters and seaplanes, 6. NetJets NetJets is one of the best-known carriers in the semi-private and private aviation space, and for good reason. It’s the biggest and oldest private jet operator, founded in 1964, with 700 planes in its fleet from Embraer light jets to 14-seat Bombarbiers.  Unlike carriers that pair membership fees with per-hour flight charges, 7. XO With Membership costs vary significantly. For $595 a year, you can purchase individual seats on private jets. This option can be appealing to occasional fliers. Full membership is available with a minimum deposit of $100,000, which you can use to schedule flights and seats on XO’s fleet of over 360 aircraft. The highest tier of membership is available with a minimum deposit of $250,000. It boasts priority access to the fleet, no blackout dates and a price cap for non-peak days.  Membership isn’t the only option. You can also fly on demand by searching on their website or the app and choosing from non-member rates. 8. Wheels Up  Another big player in the private jet scene, Wheels Up members enjoy a myriad of on-the-ground perks, like invites to exclusive events, the ability to earn Delta miles and elite status, president’s circle status with Hertz, and more. Jet set to your dream second home With private or semi-private air travel access and a second home in your Looking to fly to your second home in style? As a Pacaso owner, you can also enjoy complimentary

Coordinating Selecting the Ready, set, go fetch your next dog-friendly vacation destination! 1. Block Island, Rhode Island With scenic walks and water taxis, Block Island is one pet-friendly vacation destination you won’t want to miss.  Brenton Point State Park offers beautiful views of the bay, with kite fliers taking advantage of the gusty ocean winds. Have a picnic at Grab a bite to eat at 2. Nantucket, Massachusetts The City of Brotherly Love extends its hospitality to four-legged friends. Visit For a break from the concrete jungle, head to the This Northeast pet-friendly vacation spot has beaches, brewskies and bogs to entertain you and your dog. Surfside, Brant Point and Cisco Beaches all provide sandy ocean fun. Take a ride on the When it’s time to rehydrate and replenish your calories, head to Easy Street Cantina or the Sandbar at Jetties Beach for fresh food and refreshing drinks. 3. Philadelphia, Pennsylvania This Northeast pet-friendly vacation spot has beaches, brewskies and bogs to entertain you and your dog. Surfside, Brant Point and Cisco Beaches all provide sandy ocean fun. Take a ride on the When it’s time to rehydrate and replenish your calories, head to Easy Street Cantina or the Sandbar at Jetties Beach for fresh food and refreshing drinks. The City of Brotherly Love extends its hospitality to four-legged friends. Visit For a break from the concrete jungle, head to the 4. Jim Thorpe, Pennsylvania What may at first seem like a sleepy town in the Poconos is a must-see place to go with your dog. Fido is welcome on the vintage 5. Long Island, New York The largest island in the country offers pet-friendly beaches, hiking trails and more. Take your dog walks up a notch by strolling around Long Island has plenty of dog-friendly breweries, and there’s even a tour that takes you to all of the best neighborhood taprooms. 6. Lake Placid, New York There’s so much to experience in Lake Placid. Enjoy a convenient stay at the pet-friendly Town House Lodge, just a stone's throw away from the lake and a short walk from Main Street. Rent a boat from The 7. Stowe, Vermont Stowe has no shortage of pet-friendly vacation ideas. The 8. Bar Harbor, Maine If you and your furry friend share a love for the ocean, the seaside town of Bar Harbor has everything you need. This quiet town of 5,000 provides nature cruises for leashed pets, so you both can try spotting a variety of sea creatures, like porpoises and seals.  Take a picturesque walk around dog-friendly 9. Chicago, Illinois Bring your pet to this lakeside city for fun on and off the water. Multiple Montrose Dog Beach allows your pet to dip their paws in the lake and even provides free waste bags and a dog wash area. The pet-friendly 10. Madison, Wisconsin Sitting on an isthmus between two lakes, Madison has a whole lot of green space perfect for traveling dogs, including For two-legged visitors, The BarleyPop Tap and Shop provides another dog-friendly taproom with an extensive craft beer selection. If spirits are more your thing, the 11. Milwaukee, Wisconsin Stroll Milwaukee’s winding Treat your good dog to a spa day at 12. Grand Haven, Michigan This cozy western Michigan town offers plenty of fun for you and your pup while avoiding the overwhelming crowds of some better-known dog-friendly getaways. Take your time as you stroll down the Rent your own pontoon for a relaxing cruise or a water skiing excursion. Then step back into a time capsule at 13. Cleveland, Ohio This Lake Erie city blends freshwater fun with urban attractions. The downtown dog park offers 3,500 square feet of off-leash play space. The Then head to the 14. Indianapolis, Indiana This dog-friendly getaway blends city entertainment with natural attractions. The Enjoy the Downtown Canal Walk’s 3-mile loop, or rent a pedal boat for a unique view of the city. Treat your pup to a movie at the 15. St. Augustine, Florida St. Augustine, the oldest continuously inhabited city in the U.S., is brimming with history for you and your pet to experience together. Ponce de Leon’s Fountain of Youth Archaeological Park includes a planetarium, Timucua Native American village and observation deck. Wild peacocks roam the park, so be sure to keep your dog leashed.  In town, you can take your dog on a wine-tasting tour in a horse-drawn carriage or ride on 16. Key West, Florida Your leashed dog can stay by your side as you tour the local aquarium and witness shark feeding and alligator exhibits. You won’t want to miss your chance to dine on fresh seafood like fish tacos at 17. Asheville, North Carolina If the Southeast is more your style, grab the leash and head to Asheville, Asheville has trolley tours of its own for dogs up to 25 pounds, or you can scratch nature’s itch with a walk through 18. Charleston, South Carolina Fans of the macabre won’t want to miss the city’s 19. Hilton Head, South Carolina You can stick to living on island time at pet-friendly The 20. Shenandoah Valley, Virginia Virginia may be for lovers, but it’s also great for your fur baby. Shenandoah Valley has dog-friendly wineries, nature trails and other activities.  The 21. Birmingham, Alabama Get a taste of Southern comfort food at Crazy Cajuns’ Boiling Pot, the punk rock-friendly Black Market Bar and Grill or Back Forty Beer Company.  22. Austin, Texas Prepare for sensory overload at the When you need a little extra energy to make it through the day, or maybe just to burn some of your pet’s energy, head to the 23. Sedona, Arizona 24. Albuquerque, New Mexico This Southwest city is well-known for its delicious food and lively festivals, but its reputation as a pet-friendly destination is also noteworthy. Your leashed dog can join you on an outdoor adventure along the La Luz Trail, much of If you need to give your paws a break, hitch a ride on the open-air 25. San Francisco, California San Francisco makes our list of best pet-friendly vacation spots thanks to its gorgeous scenery and dog-friendly accessibility. Your dog can splash in salt water at Golden Gate Park’s off-leash section is a viable alternative for dogs wanting to keep sand out of their fur. For an added activity, try the modern treasure hunt known as geocaching, which is great for dogs and children alike.  26. South Lake Tahoe, California Bring your dog with you as you try your hand at sport fishing, kayaking or paddleboarding. Lake Tahoe’s dog-friendly beaches also provide the option for a restful day soaking up the sun. Stop at the 27. Huntington Beach, California Huntington Beach — aka Surf City, with its 10 miles of coastline — is an evergreen pet-friendly vacation destination, thanks to its sunny After a day of frolicking on the beach, try some fresh seafood at 28. San Diego, California Make your dog’s ocean dreams a reality by taking a pet-friendly vacation to For a more sure-footed activity, spend the afternoon at the 29. Napa, California Stock up on necessities or treats for you and your dog at the 30. Colorado Springs, Colorado Get away from big city vibes and get back to nature in Colorado Springs. The impressively named For the less adventurous, Colorado Springs has plenty of places to go with a dog. 31. Kanab, Utah You have to see Kanab to believe it. Known colloquially as “Little Hollywood,” dozens of movies and television series are filmed in and around the area’s national parks due to the striking scenery. Your dog can join you as you walk remote trails, or you can both jump in a 4x4 for a guided desert safari. Be sure to stop by the 32. Boise, Idaho If you and your hound are tired of being confined indoors, Boise is a perfect pet-friendly escape. Tree-lined paths link the Winstead Park offers designated off-leash hours throughout its 11 acres of green space. The Spacebar Arcade lets you drink and game with your dog by your side. And your pup is welcome at the 33. Seattle, Washington Beat the heat with a pet-friendly vacation to the Pacific Northwest. Visit the city’s largest downtown green space at Along the shores of Lake Washington, you’ll find the 230-acre 34. Bend, Oregon The city of The Riverbend Beach Dog Park is a fenced oasis for your furry friend to socialize in and out of the water. Drink in Bend’s craft beer scene by walking the Tips for a pet-friendly vacation The key to a successful pet-friendly vacation is preparation. Keep these tips in mind before hitting the road or taking to the air.  1. Consider the mode of transportation How you’ll get to your destination depends on how far away from home you’re going, of course, but you’ll also want to consider your dog’s comfort. Some dogs are perfectly fine flying on an airplane, but it can be traumatic for others. Some dogs love a road trip, while others don’t like being stuck in a car for a long time. Consider your dog’s personality before plotting your course.  2. Test your pet’s travel tolerance Before you go on a vacation with pets, see how they respond to being cooped up or in a car for long periods. You may discover they get motion sickness or need more frequent breaks than you were prepared for. 3. Double-check dog-friendly accommodations Before you leave, it’s smart to verify that you can bring your furry friend along to your hotel or vacation rental. Businesses can change their policies at any time and you don’t want to be left without a place to stay. The best dog-friendly hotels go out of their way to welcome four-legged guests, with special amenities like treats and dog beds.  Regardless of where you stay, it’s important to note even when dogs are allowed, many hotels won’t allow you to leave your pet unattended in a hotel room while you’re out and about.  4. Make a dog-friendly vacation itinerary Think through the places you want to visit on your vacation. For example, dogs are allowed in most national parks, but you’ll need to keep them on a leash and on the trail at all times. In town, look for pet-friendly restaurants with outdoor dining options. 5. Pad your travel schedule Even a well-trained dog can act out of character in new or unfamiliar environments. Allow for extra time for your four-legged friend to get acclimated so you don’t miss out on sought-after activities or reservations.  6. Update your pet’s identification and vaccinations Make sure their collar or chip has your current contact information. This way if you get separated while on vacation, they can be identified and reunited with you. On top of that, doublecheck that all of your pet’s vaccinations are up to date. Many businesses, including 7. Bring extra supplies Pack more waste bags, medications and other necessities than you think you’ll need, just in case.  Don’t forget to pack food, a water bowl and a few items to help your pet feel comfortable, like a portable dog bed and a few of their favorite toys and treats.  Buy your own dog-friendly vacation home Like most humans, most pets enjoy a sense of familiarity and routine. Instead of staying in a new hotel in a new city every time you travel, consider setting down roots in your (and Fido’s!) favorite dog-friendly vacation destination.  As a second home owner, you can enjoy all the comforts of home, while venturing out together in search of local dog-friendly parks, dog-friendly hiking trails and maybe even a dog-friendly beach.  It should come as no surprise that man’s best friend can also make a great companion on your travels, but pet-friendly vacations require a special type of planning to make them enjoyable. Use the destinations on