Costs in traditional

vacation areas are rising as available property gets snapped up.

So, where do

you look? Hint: It's a big planet out there. That's right, don't restrict

yourself to the United States.

Certain trends

are favoring the foreign home market. First, the U.S. dollar remains strong,

so you can get a lot more for your money in most foreign countries.

Second, you

might be surprised at how accessible a foreign vacation community might

be. A flight to Mexico or Canada might take less time than fighting traffic

from other commuters heading for allegedly "convenient" vacation

homes.

A cautionary

word or two, however, for adventurous types who want to explore the far

flung vacation home destinations: research, research, and research. Some

places are friendlier to foreign buyers than others.

First of all,

these places aren't discovered for a reason. Finding a home and getting

a loan isn't exactly the consumer-friendly experience that it is in the

United States.

Remember that

the real estate and home finance industries are regulated here but you

may not have the same recourse as a consumer if something goes wrong abroad.

Also, be sure

to check out laws restricting property ownership by foreigners. And watch

out for clouded property titles. You don't want to buy a jungle-view hacienda

only to discover that three local families have claims to your title.

And there still

are some relative bargains left in the U.S. The expanded sunbelt now includes

places like Nevada, or the Florida Panhandle, where you can still find

fairly good deals just remember it's still rural in many of these areas.

For more information

on any aspect of buying a home, go to www.realhome.com , the web

site for American Homeowners Association.