Hudson Valley Vacation Rental
I'm trying to decide where to invest my money. I'm torn between investing in a traditional multi-family rental property in the Philadelphia or purchasing a vacation rental in the Catskills or the Hudson Valley. I've had rental properties in the past and rely on cap rates to typically understand what I will make. However, a vacation rental property is new territory for me.
I have a few friends who have purchased properties in the Hudson Valley. One friend told me he breaks even on his property but doesn't really make money. His house is near Hudson and he does a bulk of his rentals in the summer. Another friend told me he makes between $70-$80K each year off of his rental property, however, he has a very, very nice home with 6 bedrooms, a sauna, a lake and it's near Hunter ski mountain so he pretty much gets year-round rentals. His POV is you have to make a home a dream home with high design touches to get repeat visitors (which I agree). He also thinks being close to a ski mountain is important but unsure if you could be profitable if not near a ski mountain.
My question is, what are the essentials to having a successful vacation rental property in the Hudson Valley or Catskills? Are there areas I should focus on? Is being close a ski mountain essential? Could we buy near Hudson (not near a ski mountain) and still plan to make money or am I lucky if I just break even? What do people typically make off vacation properties in these areas (know it's impossible to account for all factors)?
My wife and I plan on using the property so selfishly, I'd prefer a vacation rental over a traditional rental in another city. We also like the east side of the Hudson more because of train access and overall it seems a little nicer and closer to towns. However, I'm not opposed to the Catskills, especially, if I could turn a better profit.