Go see Box Canyon.

Go see the vapor cave at the weisbaden hot springs.

Meant Box Canyon Falls - there's hiking there too.

We also ate at a mexican restaurant on main street that was really nice but can't remember the name.

Black Canyon of the Gunnison NP.

Telluride for a day trip. Fun hike in town, I believe is called box canyon too. Take the free chair lift up the mountain.

Mesa Verde and/or Chimney Rock

We loved Ouray and the whole area. We stayed in Telluride and my husband said that the golf course there was one of the most beautiful courses he has ever played.

Here is my report
http://www.fodors.com/community/united-states/summer-in-telluride-co.cfm?11

Ouray is tiny. The main attraction is the hot springs and the incredible scenery. You might want to look into a jeep trip.

The Mexican Restaurant mentioned above is Buen Tiempo.

Take the train from Durango to Silverton or reverse. Spend some time exploring Durango.

Loads to do, you will not be bored.

One of the main things people do there is to either rent their own Jeep or hire a guide to ride the old mining roads. Some trails take you over passes--Imogene Pass is over 12k feet and breathtaking. We have used Swiss America twice and found them to be very professional and their vehicles in great repair.

The following are in no particular order--just as they came to me:

Drive around to Telluride in your car or Jeep OVER. The gondolas up to the mountain ski village are free and give you good views.

The Durango/Silverton train is a must IMO.

Black Canyon of the Gunnison

Drive the Million Dollar Highway down to Silverton and back. The Pickle Barrel Restaurant has pretty good sandwiches.

Ridgeway is where the original True Grit was filmed. The square, where the first scenes of the moving showing a hanging, still looks the same. It's a short drive from Ouray.

A monument was built to honor Dennis Weaver in Ridgeway as well. Large, carved eagle. Free

For a long day of driving the whole San Juan Loop---Ouray, Silverton, Durango, Cortez, Telluride, Ridgeway and back to Ouray.

Another loop is Montrose, Hwy 149, just west of Gunnison, down to Lake City and Creede, South Fork, Pagosa Springs, Durango and back up to Ouray.

Box Canyon Falls---I've seen it gushing water where everyone got wet and I've been there where you could hardly see it at all. It was so small it was back up into the canyon. It wasn't worth our time or money that time. You might want to ask first.

If you are interested in boating/fishing, Ridgeway State Park is a fine facility on a pretty large lake.

Mesa Verde National Park just west of Durango---Anasazi cliff dwellings. Said to be the best preserved cliff dwellings in the world.

Kayaking in Durango

Since you are renting a house, I'm guessing you will need groceries. Montrose will be your best bet for that. It's the closest regular size town with services. There is a Russell Stover Candy outlet store there as well!

Just from looking at Google Maps, the closest golf is Montrose and Telluride. I would think the course at Telluride would be more upscale since that is their clientele. There is a course north of Durango, as well.

The roads are slow and curvy in the area so give yourself more time than it looks on a map but they give you tons of mountain scenery which is why you are in Ouray, I would guess.

One of the most spectacular hikes we've ever done when visiting Ouray was Blue Lakes. It's probably a 15 mile drive (at least) outside of town, but has some of the most spectacular scenery I've ever seen.

http://www.rockymountainhikingtrails.com/blue-lakes.htm

You will love Ouray, it's a quaint little town in a beautiful setting.

Box Canyon falls for sure though as Connie mentioned, check conditions before paying for admission. We were there last July and really loved it except for the rain which kept us from checking our more of the trails.

Food - outdoor restaurant next to/part of Beaumont Hotel - we had some of the best burgers ever there. I'd recommend the bison burger.

Million dollar highway is beautiful and worth the drive. It was rainy the day we did it which prevented us from doing much hiking/walking at our various Kodak moment stops along the way.

If you're considering going as far as 4 corners, I'd skip it. Very touristy, not much to see other than many local crafts so if you're not into shopping for kitchy souvenirs or t-shirts, just not worth the drive out to it, imo.

Beautiful area around Ouray - enjoy your trip!

Several years ago, our family of four took a hot air balloon trip out of Ridgeway..can't remember the company now, but if you EVER want to do a hot air balloon, I can't think of a more spectacular place than over that mountain area!

If you want to do 4wheel drives over mountain passes, please pay and go with a tour company. The roads are narrow, with steep drop offs and are not for inexperienced (mountian; 4 wheeling) drivers. You can find yourself in very precarious and SCARY situations that can be unpleasant to say the least.

Thanks everyone!! Great suggestions! One more thing. We are flying into Denver, then driving to Ouray. Would you drive US 50 or 1-70 - don't know if there are any places to stop in on the drive down? Also, is there any organized rafting in that area?

Listen, please, to DebitNM.