Here in Washington County, Utah, 4 hours south of Salt Lake City, 2 hours North of Las Vegas, we have plenty of investors who are trying to decide whether to purchase a Long Term or a Short-Term rental (vacation rental or VR). 

To answer that question, you have to look at a few things: What are your goals? Are you planning to do this on your own or hire a company to manage the unit? Where is the home located and what is its condition?
Typically homes that perform well as a short-term rental are zoned for nightly rentals, the more bedrooms the better the nightly rent, are memorable to return guests (private pool, hot tub, theme decorated, ping pong table/foosball/shuffleboard, etc...) Financially, a vacation rental is higher risk (you never know if you'll rent it 30% or 60% of the time), higher reward (some homes grossed $10k+/month this summer & fall). Plus you have a place that's all yours to come stay when you want with your family assuming it's not booked on the days you want to stay! :-) Property management fees are typically around 30%.

Meanwhile, long-term rentals are lower risk (you know you have a well-screened, long-term tenant constantly paying rent), lower reward (hopefully clearing a few hundred bucks a month). A home that performs well is clean, been updated with flooring, paint, molding, landscaping & outdoor areas. Again, a private pool is a huge bonus. Also, the tax benefits are better on a long-term rental. Check with Washington County Assessor's Office on how to get an exemption. Property management fees are around 10% here.

With real estate prices on the rise, both long-term & VRs should continue to appreciate & pay off in the long run but what are your goals? Let that determine your choice in a purchase!