Aussie Homes has partnered with House Hunters to help you find, buy and own your next home.
You’re picturing mountain air, a quiet verandah, a second set of keys to your weekend life. Maybe it’s a break from the grind, a step towards your future tree change, or a smart way to earn passive income. Whatever shape it takes, more Australians are chasing the dream of owning a holiday home.
But if you’re not careful, that dream can quickly become all maintenance and no magic. Before you start bidding, here’s what it really means to make a holiday home work for your lifestyle, your budget, and your long-term goals.
What to look for when buying a holiday house in the bush or by the beach
It’s easy to romanticise the idea of a remote retreat: a quiet cottage in the hills, a shack by the sea, or a country escape with space to breathe. But if you're used to city living, there’s a lot about owning a holiday home in the country that can catch you off guard.
Many of Australia’s most beautiful areas are also prone to bushfires, floods, storms or all three. And insurers pay close attention. Properties in high-risk zones often come with higher premiums, limited coverage, or in some cases, no cover at all.
Before you fall in love, check the bushfire overlays and flood maps and get a realistic quote on insurance. If a lender sees the property as risky, it could impact your loan options, too.
Second: access. A long, winding road might feel like part of the charm until you’re doing it in peak traffic, bad weather, or the dark. Can you get there easily on a Friday night? Can emergency services? What happens if you or a guest needs medical help in a hurry?
Then there’s the local infrastructure, or lack of it. Some holiday spots look dreamy on the surface but are a hassle to live in. Limited internet, poor phone reception, unreliable power, or no local tradies can turn a minor issue into a major one. Who’s going to fix the plumbing when you’re not there? Where’s the nearest hardware store, grocery shop, or mechanic?
In short: don’t just fall for the location, pressure-test it. A little research now can save you a lot of hassle later. Your Aussie Broker can help you weigh up the pros, the pitfalls, and the real cost of living outside the city grid.
The trap of the all-rounder holiday home investment
One of the most common mistakes buyers make is trying to find a property that does it all: lifestyle getaway, income earner, long-term investment, future retirement plan. The problem is, those goals often pull in different directions. A great rental isn’t always a great weekender.
A capital growth hotspot might be a four-hour drive away. And a home you love now may not work when you’re ready to move in full time.
That’s why the smartest buyers pick a primary purpose and let it lead. Is this about holidays, income, growth, or your future lifestyle? Get clear on that up front, and every decision, from the location to the loan structure, gets easier.
If you’re buying for lifestyle, simplicity should be part of the plan. Look for properties that are close enough to use often, easy to lock up and leave, and liveable across all seasons.
A lot of holiday towns empty out once summer ends. If you’re hoping to rent out your property, make sure there’s enough year-round appeal to attract guests outside school holidays. Wineries, markets, bushwalks, festivals all help.
Crunching the real costs of owning a holiday home
The numbers matter. Because the costs of owning a holiday home don’t stop at the deposit.
There’s stamp duty, insurance, council rates, utilities, and if you’re planning to rent it out, property management fees. Off-grid charm might also mean septic tanks, water tanks, or solar systems that need ongoing maintenance. And if it sits empty for long stretches, you’ll still be paying to keep it safe and secure.
None of this is a deal-breaker. But it’s the kind of stuff that turns a good decision into a great one, or stops a bad one before it starts. If you're not sure how a second property fits into your finances, a broker can help map it out clearly from the start.
Even if you're buying a holiday home just for fun right now, how you set it up matters. The right loan structure could make it easier to pivot later, whether that’s turning it into a rental, renovating for capital gain, or living in it full time down the track.
And if you're tapping into equity to fund the purchase, it’s worth getting clarity on how much you can borrow, what your repayments look like, and how a second mortgage will impact your financial freedom.
How do I finance my holiday home?
A lot of people don’t realise that you might not need to save a full deposit to make your weekender dream real. If you already own a home, there's a good chance your equity could do the heavy lifting.
Aussie has helped thousands of Aussies unlock the value in their current property to fund a second one, and for many, it's a faster, smarter path than starting from scratch.
If you've made extra repayments on your home loan over time, you may be able to access those funds using a redraw facility.
How it works | Best for |
|---|---|
You withdraw the surplus funds you've already paid. | Smaller deposits or renovation budgets |
Access is usually fast and flexible. | Owners with a strong repayment history |
Your repayments continue on the new adjusted loan balance. | Buyers wanting minimal change to their loan setup |
Home loan top-up: same property, bigger loan
A top-up increases your current loan amount using your existing equity. If your home has grown in value, and you still hold at least 20% equity, lenders may let you borrow more against it. Using your existing home loan to fund a holiday home, rather than taking out a second loan, can be a smart move for buyers who want to keep things simple.
It’s best suited to homeowners with significant equity who’d prefer not to juggle two separate loans. You’ll stay with your current lender (unless you choose to refinance), and you’ll have just one repayment to manage, which can make budgeting easier.
Just be aware that this approach could increase your overall repayments and interest costs, and may extend your loan term or impact your rate.
Second mortgage: clean slate, separate loan
Do you prefer to keep your finances separate or need more flexibility? A second mortgage is a brand-new loan for the new property, totally independent from your current one.
What to expect | Best for |
|---|---|
You'll need to qualify for a new loan on its own merits. | Investors keeping assets separate for tax or accounting |
Holiday homes can be seen as higher risk, with tighter lending rules. | Buyers seeking different loan features or structures |
Features and rates may differ from your main home loan. | Properties that will be rented or treated as long-term investments |
That's why having a Broker in your corner matters. We'll help you determine how much equity you can access and which lending path makes the most sense for your situation.
A few things to watch out for:
Holiday homes often come with different lending rules.
Some lenders are more cautious with remote, off-grid or short-stay properties.
You may need a larger deposit or face stricter assessment criteria.
Whether you're tapping into equity or exploring new loan options, we'll help you find a solution that fits, so your next move feels exciting, not overwhelming.
Ready to make the dream real?
Buying a holiday home isn't just about weekends away; it's about making a choice that fits your life now and later. Whether you’re craving a quiet escape, looking to invest smart, or planning a future move, the right property can do more than deliver mountain views or sea breezes.
It can deliver freedom, flexibility, and even financial upside when you buy with purpose. But the best holiday homes aren't just found. They're chosen with care, clarity, and the right team behind you.
At Aussie, we'll help you:
Sense-check your location, costs, and upkeep plans.
Avoid common pitfalls like underestimating the costs.
Whether it's your first foray into a second home or your fifth property play, we're here to back your next move with real insight, local knowledge, and tailored advice.
Your holiday home should work for your lifestyle and your finances. Let's make sure it does.
Book a free^ appointment with your local Aussie Broker today and let's unlock what's possible.
Watch back-to-back episodes of House Hunters every Friday night at 7.30pm.