Will the next generation of Minnesota cabin owners be able to afford the costs?

A lot of younger Minnesotans might soon find themselves with a lake property – and the costs that come with it.
Author:
Updated:
Original:

This is for those of you who have ever spent time on the deck of the family cabin looking over a sparkling lake and thought, "Some day this will be mine."

Minnesota's cabin owners are now mostly in retirement, but there are concerns that younger generations won't be able to afford the costs of lakeside living in future years.

The latest lake home and cabin ownership survey by the Minnesota Lakes and Rivers Advocaters found that as of 2016, the average length of lakeside property ownership is 34.6 years – including one that had been in a family for 104 years.

It's therefore unsurprising that the average cabin or lakeside home owner's age rose to 68 in 2016 – compared to 62 in 2005, and 58 in 1999.

This figure is described by the advocacy group as a "disturbing trend," according the Duluth News Tribune, as it means Minnesota is about to undergo the "largest intergenerational transfer of shoreline property in our history," as younger generations inherit the land.

With younger people facing student loan debts, plus rising health costs and housing prices, the group's director said inheriting the family cabin could give them the added pressure of maintaining another property and keeping the shoreline healthy, the newspaper notes.

Owners find it expensive

The costs of having a cabin can be severe in some cases. Six percent of owners surveyed by the group said they'll sell in the next three years as they can't afford it any longer, with one saying he spends $30,000 a year on upkeep, taxes and maintenance, according to the report.

Two percent said the upkeep costs too much, and 3 percent said they can't spend that much time in their cabin because of the costs.

Around 72 percent of lakeside property owners bought it for recreational use or retirement, while 20 percent of owners inherited their property or bought it from a family member.

That latter number is likely to rise considering the increasing age of the current crop of owners, meaning some Minnesotans will be getting some premium property over the next few decades – but also hefty upkeep costs, leaving them the choice to stick it out or sell.

Average costs of lakeside property vary greatly depending on the area, but realtors from Lakeplace.com put the average first quarter sale in 2015 at $206,578, according to the Star Tribune.

Next Up

Flickr -  Bank Plaze Nov 2020 - Chad Davis

US Bank employees won't return to downtown Minneapolis office next month

The company, citing COVID's resurgence, has pushed back its office return plans.

Katie Storm Twitter Bally Sports North - Aug 4 2021

MN native Katie Storm returning home for role with Bally Sports North

The St. Cloud State grad had worked for Fox Sports North before leaving for Philadelphia.

Flickr - Wisconsin State Fair cream puff - USDA

Free cream puff for people who get vaccinated at the Wisconsin State Fair

Get a shot, then head over to Cream Puff Pavilion for a free treat.

theodore wirth trailhead

Minneapolis parks now requiring masks in all indoor spaces

Anyone going inside recreation centers, ice arenas, and indoor spaces at pools must put on a mask.

Eric Reinbold - Pennington County Sheriff Aug 4 2021

At-large murder suspect was caught after triggering trail camera

Authorities had been searching for Eric Reinbold for nearly a month.

Flickr - toxic algae bloom - MPCA Photos

Climate change is warming lakes, leading to more toxic algae blooms

The MPCA says blue-green algae blooms are occurring all across the state.

vaccine, covid

Minnesotans can now register to get $100 for getting the COVID-19 vaccine

It's available for those who get their first jab between July 30 and Aug. 15.

Phillip Miller

Benton County prosecutor charged with sexual assault of teenager

Phillip Miller has been charged with varying levels of sexual assault charges.

Pixabay - pistol holster handgun

Permit-to-carry law doesn't violate 2nd amendment, MN Supreme Court says

A man charged with carrying a pistol without a permit argued it was unconstitutional.

covid

Here is Minnesota's COVID-19 update for Wednesday, August 4

The delta variant has been leading to higher case counts and hospitalizations in Minnesota.

Related

The average cost of health insurance will drop next year, on one condition

166,000 Minnesotans learn how their individual health plan costs could change next year.

That child you're about to have is going to cost you more than $200K

Housing, feeding, educating and clothing a baby costs a whole heap of cash.

The price of happiness: Average MN wedding costs more than $25K

If you're planning on popping the question anytime soon, better get saving.

Grand Marais

Cook County warns cabin owners: Stay at your first home

The North Shore county is worried about its healthcare capacity.

Cabin owner's body pulled from lake near Brainerd

The 60-year-old man from St. Paul never resurfaced.

Yours for $10M: Historic Lake Superior resort put up for sale

Who wants to buy a whole lot of North Shore land and property?