The Hot Spots for Buying a Cold Weather Second Home

If you've got more money than you know what to do with, perhaps a winter home is just the thing for you.

If you really have money to blow, you might consider buying a winter home.

You can either use the home yourself, rent it to others, or both, staying in the home during some periods and renting it out at other times.

Vacasa, a vacation rental management platform, compiled a list of the top 10 places for buying a winter vacation home. Here’s the ranking, including the median home sale price, capitalization rate and rent for the last 12 months.

The cap rate is (annual rent income minus property taxes, utilities, insurance, and property management fees) divided by the purchase price for the property.

Here’s the list:

1. Wallowa Lake, Ore. Home price: $282,237, cap rate: 9.9%, annual rent: $43,852

2. Poconos, Penn. Home price $298,067, cap rate: 8.7%, annual rent: $45,696

3. Bear Lake, Utah. Home price: $377,061, cap rate: 7.9%, annual rent: $48,516

4. South Fork, Col. Home price:$387,173, cap rate: 5.5%, annual rent: $34,991

5. Banner Elk, N.C. Home price: $457,608, cap rate: 4.9%, annual rent: $39,372

6. Ludlow, Vt. Home price: $459,888, cap rate: 4.2%, annual rent: $41,958

7. Warren, Vt. Home price: $369,829, cap rate 4.2%, annual rent: $35,334

8. Girdwood, Alaska. Home price: $508,051, cap rate: 3.6%, annual rent: $40,438

9. Teton Village, Wyo. Home price: $2,131,796, cap rate: 3%, annual rent: $105,090

10. Lake Pend Oreille, Idaho. Home price $935,395, cap rate 2.7%, annual rent: $48,619.

Wallowa Lake: It has “crystal-clear water and snow-capped mountains creating a breathtaking backdrop,” Vacasa said.

“The area is a peaceful winter wonderland offering plenty of snow-filled activities like hitting the nearby slopes or catching the Eagle Cap Extreme Sled Dog Race. But come summertime, boats and swimmers will be splashing about.”

Poconos: Skiing is a focus. “Modest mountains, deep snow, fast lifts, and impeccably groomed trails” are draws there, Vacasa said. The low home price makes it attractive for first-time buyers.

Bear Lake: “Bordering Utah and Idaho, this freshwater lake is surrounded by two mountain ranges and is known to many as the Caribbean of the Rockies for its brilliant turquoise waters,” Vacasa said.

“The lake freezes over and becomes one of the most popular ice-fishing spots in Utah, where fishermen flock for cutthroat trout. The area also offers ideal terrain for snowmobiling.”

South Fork: It’s a “hot spot for outdoor adventure located in the foothills of the San Juan Mountains, with the Rio Grande and South Fork rivers running through town, Vacasa said.

“A 25-minute drive will take you to Wolf Creek Ski Area, which is known to have the most snow in Colorado, with 255 miles of winter recreation trails.”

Banner Elk: “Tucked into the Blue Ridge Mountains of North Carolina’s High Country, Banner Elk is nicely situated between two major ski resorts—Sugar Mountain and Beech Mountain Resort,” Vacasa said.