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Kerhonkson, NY
Challenging To Investors
Local STR Agent
Local STR Agent

YES — Short-term rentals are explicitly allowed in Kerhonkson, New York. However, operations must comply with Ulster County regulations and any applicable Town of Rochester requirements. Kerhonkson is an unincorporated hamlet within the Town of Rochester in Ulster County, making it subject to both county-level and town-specific oversight.
Kerhonkson hosts earn a median $42,283/year with $306 ADR and 51% occupancy.
Top performers pull in $67,726+ per year.
See the full Kerhonkson market breakdownStarting an STR business in Kerhonkson requires a systematic approach involving multiple regulatory layers:
First and foremost, register your property with Ulster County for the Hotel & Motel Room Occupancy Tax. This is mandatory for all lodging facilities in Ulster County, including those in Kerhonkson.
Since Kerhonkson falls within the Town of Rochester boundaries, you must obtain a Short-Term Transient Rental Permit from the town. The town has established specific zoning districts where STRs are permitted and maintains a cap on new non-owner-occupied permits.
Ensure your property meets all safety requirements, zoning restrictions, and registration obligations before beginning operations.
Kerhonkson's STR market thrives on rural properties, primarily cabins and cottages, attracting tourists to the Catskills region. The area experiences strong seasonal demand, particularly during summer and fall months.
Given the regulatory framework, investors should prioritize early application for permits, particularly given the cap on new non-owner-occupied permits in the Town of Rochester. The owner-occupied pathway may offer fewer regulatory barriers and faster market entry.
STR operators must maintain current registrations, file required tax returns, comply with inspection requirements, and monitor regulatory changes at both county and town levels.
This framework provides the foundation for STR investment in Kerhonkson, combining county-wide requirements with town-specific regulations to create a compliant and sustainable business operation.
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Kerhonkson is a small hamlet in the town of Wawarsing in Ulster County, New York, with a population of roughly 1,500 residents. Tucked at the foot of the Shawangunk Ridge in the Rondout Valley, it has a quiet, rural character shaped by farmland, forests, and the creeks that drain off the ridge above. The hamlet serves as a popular gateway to some of the most celebrated outdoor destinations in the Hudson Valley, including the Minnewaska State Park Preserve and the world-famous rock cliffs of the Shawangunk Ridge, often called "the Gunks." It sits about 90 miles northwest of New York City, roughly a two-hour drive via the New York State Thruway.
Minnewaska State Park Preserve lies just minutes from the center of Kerhonkson, with the main entrance about a ten-minute drive west. The preserve wraps around a series of sky lakes perched high on the Shawangunk Ridge, including Lake Minnewaska and Lake Awosting, and offers more than 35 miles of carriage roads and footpaths, clifftop overlooks, and seasonal swimming. The cliffs themselves draw climbers from across the country, while less strenuous visitors can hike, bike, or simply enjoy views that stretch from the Catskills toward the Hudson River.
For climbers and hikers, the Shawangunk Ridge is the headline draw, and Kerhonkson sits at its eastern base. The ridge's conglomerate cliffs, managed in part by the Mohonk Preserve and partner organizations, are considered one of the premier traditional rock-climbing destinations in North America, with hundreds of routes for every skill level. The nearby Mohonk Preserve, about a 20-minute drive northeast in the New Paltz area, adds more than 8,000 acres of protected forest with a similar network of trails, scrambling routes, and carriage roads, plus carriage rides and a long-running historic mountain house resort.
South of the hamlet, the Sam's Point Area extends the Minnewaska experience with a more remote and dramatic landscape. The drive from Kerhonkson is roughly 25 minutes, leading to high-elevation dwarf pine barrens, the glacially carved Lake Maratanza, and the celebrated Ice Caves, which remain cold enough for ice to persist well into summer. Beyond the ridge, the broader Wawarsing area opens into the Catskill Mountains, with the village of Ellenville a few miles to the south and the historic city of Kingston about 35 minutes northeast, both offering additional dining, breweries, and small-city amenities.
Kerhonkson's appeal as a short-term-rental base comes from this rare combination of low-key country atmosphere and immediate access to high-quality outdoor recreation. Visitors can spend the day on a clifftop or a sky lake and return to a quiet hamlet with room to breathe, while still being within easy reach of New York City, the Hudson Valley college town of New Paltz, and the cultural offerings of Kingston. The result is a destination that draws weekend climbers, families, and leaf-peepers in every season, with a rental market that benefits from both peak summer stays and steady shoulder-season demand.
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