Posted by Luke Bouman on Tuesday, August 18th, 2026 9:00am.
By Luke Bouman | Luke Bouman Real Estate Team | September 2026
West Michigan is one of the Midwest's premier second-home markets, drawing buyers from Chicago, Detroit, and beyond who want a lake retreat within driving distance. But buying a second home involves considerations a primary residence does not, from financing to rental rules to seasonal costs. Here is what to know. As a Resort and Second-Home Property Specialist, this is exactly the market I focus on.
Second-home mortgages typically require larger down payments and can carry slightly higher rates than primary-residence loans, and lenders scrutinize your ability to carry two properties. If you plan to rent the home part of the year, financing gets more complex still, since investment-property terms differ from second-home terms. Understanding how you will use the property before you finance it matters.
Many second-home buyers offset costs with short-term rental income, but rules vary sharply by community. Saugatuck, South Haven, Holland, and the inland-lake townships each have their own short-term rental regulations, some with permit caps or restrictions. If rental income is part of your plan, verify the specific rules for the exact property before buying, because a home that cannot legally be rented changes the math entirely.
A second home carries costs a primary residence buyer might not weigh: winterization, dock removal on inland lakes, higher insurance on waterfront, and maintenance for a property you are not always present to watch. Budgeting realistically for these prevents the second home from becoming a burden.
The right location depends on your use. Lake Macatawa and Spring Lake for connected-lake boating, Saugatuck and South Haven for beach-town culture, the inland lakes for accessible entry points. Matching the location to how you will actually use the home is the key decision. RSPS certified. The Lakeshore's most reviewed real estate team. Call (616) 344-9923.
Related: Lake Michigan Waterfront Homes | Waterfront Investment Property | Best Lakes in West Michigan