There were some shifts in the rankings for America's hottest real estate markets for higher-end vacation homes this year compared to last, and the top spot this year saw a meteoric rise in popularity. A fresh analysis from second-home co-ownership marketplace Pacaso revealed which U.S. counties were the hottest markets for luxury vacation homes in 2024, based on increases in second-home activity, the proportion of second homes to primary homes and demand for properties priced above $700,000.
The report showed Cape May County off the Jersey Shore catapulted from outside the top 20 last year to the title of No. 1 second home destination in 2024, and it wasn't even close. Cape May leads this year's list with a staggering ratio of second homes to primary residences exceeding 150%, thanks to its iconic beach towns like Ocean City and Avalon, according to the analysis. Pacaso attributed the area's rise to its mix of family-friendly activities, nightlife, cultural experiences and wide beaches, coupled with its close proximity to urban hubs like New York City and Philadelphia. 'In Florida, Gulf, Walton, and Collier counties – home to the Panhandle towns along 30A and Naples – are emerging as top luxury home destinations, offering prime oceanfront properties that are scarce in hotspots like Miami and Palm Beach,' Pacaso CEO Austin Allison told FOX Business. While Florida's East Coast counties like Palm Beach (#13 on the list) are known for vibrant nightlife and cultural attractions, buyers continue to be drawn to the exclusivity of oceanfront living that the West Coast of the state offers families, Pacaso said. Pacaso said Barnstable County, Massachusetts, home to iconic Cape Cod, continued to see growth in vacation home purchases in 2024