What are the best Vacation/Short Term Rental Towns in New England

[Christopher Lynch]

I am currently in the due diligence process for my second income property. After some research it seems like short term rentals are going to be the best option to maximize monthly cashflow and ROI.

I am currently a couple chapters into short term rentals by Avery Carl. So far this is a great book and has highlighted some concerns I already had. Mainly city regulations on short term rentals. I am worried about setting up a profitable Air BNB only to have it torn down with harsh guidelines and regulations. 

To say that, I wanted to open the discussion and ask for your opinion on what towns I should be looking into in the New England area ( MA, RI, CT, NH, VT).

I have already done some research into the following towns:

1. Newport, RI- Great summer location. However property values are so high it worry's me to high such high operating expenses on the first one. Still doing research.
2. Rye, NH- Great property prices. Close to the beach. Could be a good location. Still doing research. 
3. Conway, NH- This one looks promising so far, but I am unsure about regulations and restrictions. Ski area with many attractions. Might be good for winter/fall rentals.

So, what other areas should I look into? Also, if you have any insight into any of the areas I am already looking into I would love to hear it.