Cabin Ownership Study
Busting the myth of the "rich" cabin owner
Key Findings
- Minnesota resident seasonal property owners have an
average age of 62 years. In 1999, the average
Minnesota seasonal property owner age was 58.
- 55% of seasonal property owners are retired
and over the age of 62 and 45 % live on fixed incmes and
are over the age of 65.
- Seasonal property owners do not have "higher incomes" and thus
are not financially "more able to afford higher property taxes."
Average seasonal property owner household
income in 2005 was $58,383. In 1999, the average
seasonal property owner income was $58,504, and in 1995,
$53,682.
- 86% of seasonal properties have homes, cabins or trailers on
their property and 62% are not winterized and not inhabited
during the winter months.
- Average length of seasonal property ownership is 24
years. The average ownership in 1999 was 19.5 years and in
1995 was 25 years.
- Minnesota resident seasonal property owners occupy/utilize
their properties, on average, only 55 days per
year. They use far less of the tax funded services and
facilities than year around residents.
- The 2005 average assessed market value of
seasonal property is $119,637.
- Only 8% of Minnesota seasonal property owners purchase
recreational property as an investment.
- 72% purchase their seasonal property for recreational
and retirement use while 20% of seasonal property owners
inherited their property or purchased it from a family member.
- On an average, Minnesota seasonal property owner's tax bill for
2004 was $1,183.
- 75% of Minnesota seasonal property owners do not believe that
there is a correlation between their tax bill and the services
received.
- 86% of Minnesota seasonal property owners indicated
that they would not sell their property in the next three
years. In fact, 30% of the 86% said that they would pass
or have passed their property on to a family member. Some
seasonal property owners are fourth generation owners of some
seasonal property.
-
6% of property owners said they may possibly sell their
property in the next three years because it is no longer affordable
for them to keep their property. Others cited health reasons; while
2% said it required too much upkeep and 3% cited they could not
spend time there.
Methodology
From a Minnesota resident seasonal property owner/tax payer
database of 185,000 unduplicated names and addresses - 3,400 target
households were selected on an "nth" name basis.
75% of Minnesota seasonal property owners do not
believe that there is a correlation between their tax bill and the
services received.
The 3,400 names list was turned over directly to Norman F.
Strizek, consultant, Minneapolis, Minnesota who conducted the
telephone interviews and recorded the questionnaire
data/information. Calls to approximately 3800 households were
required to complete the 512 interviews*.
The respondents interviewed are therefore a statistically
project-able, representative sample of the total Minnesota seasonal
property owner universe (estimated by MSRPO to be approximately
120,000 households/property owners).
The overwhelming majority of respondents answered all questions
in the survey.
Based upon this methodology, it is a reasonable assumption that
the sample includes a homogeneous homeowners mix of:
- Both non-MSPRO and MSRPO member seasonal property owners.
- Lakeshore seasonal property owners
- Inland (non-lake shore) seasonal property owners
(However, no attempt was made during the interview process to
identify any of these owner segments).
*The questionnaire data were recorded and tabulated
by Norman F Strizek and reviewed by MSRPO administrative
staff.