A new ranking lists the hottest markets for luxury vacation homes in the U.S., and this year, Cape May, New Jersey, is No. 1. An analysis from second-home co-ownership marketplace Pacaso shared that Cape May County has grown in popularity because of its family-friend activities, nightlife, cultural experiences, and wide beaches. The report also says that people like the fact that the beach town is close to both Philadelphia and New York. Jersey Shore Dec 17 How a Jersey Shore town came together to honor late teen's life with inflatable Santas Jersey Shore Dec 6 ‘What better time than the holidays': How spots at Jersey Shore are celebrating According to the New York Post, Pacaso’s ranking was based on increases in second-home activity, the proportion of second homes to primary homes, and demand for properties priced above $700,000. Gulf County, Florida; Walton County, Florida; Barnstable County, Massachusetts; and Collier County, Florida, followed on the list. Sign up for our Breaking newsletter to get the most urgent news stories in your inbox.