Catskills and Hudson Valley Real Estate: Financing Guide for Buyers and Investors in 2026

The Catskills and Hudson Valley have emerged as two of the most dynamic real estate markets in the Northeast — driven by remote work migration, STR investment demand, and buyers priced out of the New York City metro seeking space without sacrificing accessibility.

Primary Residence Buyers: Remote Workers and Relocators

Remote work has enabled a wave of buyers to purchase primary residences in Hudson Valley communities — Kingston, Rhinebeck, Hudson, Catskill, Woodstock — that were once considered too distant for daily commuters. These buyers bring NYC-market purchasing power into a previously more modest market.

Financing these purchases as primary residences is straightforward: conventional, FHA, VA, and USDA (in eligible rural areas) all apply. Lenders will require documentation that remote work is permitted permanently, not temporarily.

Second Home Buyers

Buyers using properties primarily for personal seasonal enjoyment can finance as second homes — typically 10% down and better rates than investment classification. Given the proximity to NYC, many buyers can credibly demonstrate primary use, particularly for weekend homes.

STR Investors: The DSCR Market

The Catskills has become one of the most active Airbnb markets in the Northeast, with strong year-round demand from NYC-based travelers. DSCR loans with AirDNA projected income are the primary vehicle for STR investors acquiring Catskills properties.

Important: Sullivan, Delaware, Greene, and Ulster counties have some USDA-eligible areas for primary residence zero-down purchases — worth checking before assuming only conventional options apply.

Unique Properties and Portfolio Lending

The Catskills inventory includes many unique and unusual properties — converted barns, historic structures, cabins on large parcels — that may not fit standard appraisal comparables. Portfolio lenders with local market knowledge are often better positioned to finance unusual Catskills properties than national agency lenders.

At East Coast Mortgage, we finance primary, second home, and STR investment purchases throughout the Hudson Valley and Catskills. Submit your scenario and we will identify the right program for your property.