As popular rural tourism destinations evolve from the provision of general tourism products and services to also becoming desirable second home destinations, particularly where there is high-end real estate development, important planning, policy, and management issues must be addressed. Decisions regarding these issues will only be effective if based upon an accurate understanding of the impacts of a second home economy and the amenities that must evolve to serve the needs of second home residents and the workers who in turn serve them. Using research from Colorado, this chapter addresses the significant effects of high-end second homes on rural resort destinations. These include such elements as housing prices, the number and types of jobs generated, effects on community services and on the overall economy, among others. This chapter also assesses the usage patterns of second home owners of community amenities and the similarities and differences of recreation patterns and assessments of community offerings. A basic industry economic analysis documented the substantial impact of second homes on the region’s economy and on the number of jobs created due to home construction, maintenance, and operations, as well as on second home services. Elected officials, community planners, nongovernmental organizational personnel, community leaders, and public managers can use this information to understand, estimate, and manage both the primary and secondary effects of second homes in tourist-based economies and thus contribute to the long-term sustainability of mountain resort rural communities.
