STR Yield
← Back to deals
MortgageCash
2890 Balaton Ave

2890 Balaton Ave

Redding, CA 96001

$715,000

5 bd · 4 ba · 3,293 sqft · Listed 26d ago

View on Realtor.com →
Low confidence

Year built

1981

Sqft

3,293

Lot sqft

34,848

HOA / mo

$0

Furnished

No

List date

2026-09-03T19:34:12.000000Z

Revenue

Annual revenue

$52,766

ADR

$310

Occupancy

47%

Cleaning fees (12 mo)

$10,322

Confidence

Low (34.9), 6 comps

Comp revenue range (p25 / median / p75)

$27,785$47,028$69,182

  • Dog Friendly + Canopy Lit Pool + 2 Masters w/Kings

    House · 4 bd · 3 ba · sleeps 8 · 1.0 mi

    Revenue $84,114ADR $355Occ ≈ 65%4.8★ (161)

    AirbnbVrboBooking

  • "GOOD VIBE" Magnificent home away from home!

    House · 6 bd · 3 ba · sleeps 10 · 1.6 mi

    Revenue $50,625ADR $268Occ ≈ 52%4.8★ (105)

    Airbnb

  • Casita Shasta: Spacious Poolside Retreat w/ Spa

    House · 5 bd · 3 ba · sleeps 10 · 2.0 mi

    Revenue $75,368ADR $395Occ ≈ 52%4.9★ (59)

    Airbnb

  • Large 4 bedroom w/ play space, office, 3 king beds

    House · 4 bd · 3 ba · sleeps 10 · 2.0 mi

    Revenue $43,431ADR $243Occ ≈ 49%5★ (39)

    AirbnbVrbo

  • Large Redding, CA Oasis

    House · 5 bd · 3 ba · sleeps 15 · 2.0 mi

    Revenue $4,293ADR $505Occ ≈ 2%4★ (6)

    AirbnbBooking

  • Spacious 5-bedrooms house in fabulous Redding with Swimming pool 12 beds,3 bath

    House · 5 bd · 3 ba · sleeps 12 · 2.1 mi

    Revenue $22,569ADR $561Occ ≈ 11%4.4★ (3)

    Vrbo

Revenue and nightly rate (ADR) are trailing-12-month figures per listing. Occupancy is estimated as revenue ÷ ADR ÷ 365 and can read high when revenue includes cleaning fees.

Cash flow calculator

Financing

Est. revenue

$52,766

NOI

$21,744

Cash flow /mo

$1,812

Cash needed

$770,100

Cash-on-cash (all cash)

2.8%

ROE (yr 1)

5.6%

Cap rate

3.0%

DSCR

—

Year-1 write-off

$209,482

Year-1 tax shield @ 32%

$67,034

Year-1 return on equity

  • Cash flow (annual)$21,744
  • Principal paydown (n/a, cash)$0
  • Appreciation at%$21,450
ROE5.6%
ROE incl. year-1 tax savings (32% bracket, STR loophole)14.3%
Opex, cash-needed & tax-savings breakdown

Annual operating expenses

  • Management (20% of revenue)$10,553
  • Platform fees (3% of revenue)$1,583
  • Maintenance / capex (5% of revenue)$2,638
  • Utilities & supplies$4,200
  • HOA$0
  • Property tax$8,938
  • Insurance (STR-rated)$4,183

Cash needed to close

  • Purchase price (all cash)$715,000
  • Closing costs (4.0%)$28,600
  • Furnishing (bought new)$26,500

Tax savings if the STR loophole applies

  • Tax shield @ 32%$67,034

Property tax, insurance rate and the land/building split come from this listing's county tax record; other assumptions match the daily feed (see tasks/plan.md).

The write-off comes from the cost segregation estimate below. Not tax advice.

Cost segregation estimate

An estimate from the listing: every part of the home is priced from national construction costs, less wear for age, and the price (less land) is spread over the parts in proportion. The headline is what a typical cost seg study would claim for this property. The answers below are optional refinements.

Depreciable basis

$561,000

Short-life (5/15-yr)

$182,000 · 32%

Year-1 deduction

$209,000

Year-1 tax shield @ 32%

$67,000

Land 21% (county tax record, assessed value split) · building $380,000 over 39 years · new furniture $27,000

Based on: 3,293 sq ft, built 1981, 5 bd / 4 ba, unfurnished, listing features (pool, deck, fireplace, flooring types).

IRS-guide safe-harbor floor: $149,000 in year 1 (22% short-life, $48,000 tax shield), the conservative amount following the IRS audit guide's residential classification table.

5-year property$80,600

  • Kitchen cabinetsdefault

    $13,000 new × 40% good × 1.94 allocation

    $10,100

  • Kitchen countertopsdefault

    $10,700 new × 40% good × 1.94 allocation

    $8,300

  • Decorative trimdefault

    $5,800 new × 40% good × 1.94 allocation

    $4,500

  • Mirrorsdefault

    $600 new × 40% good × 1.94 allocation

    $500

  • Shelvingdefault

    $1,800 new × 40% good × 1.94 allocation

    $1,400

  • Window coverings (33)default

    $8,300 new × 40% good × 1.94 allocation

    $6,400

  • Carpet, vinyl & laminate (25% of floors)listing

    $5,300 new × 40% good × 1.94 allocation

    $4,100

  • Kitchen & laundry equipment plumbingdefault

    $10,100 new × 40% good × 1.94 allocation

    $7,900

  • Kitchen, laundry & data equipment electricaldefault

    $6,100 new × 40% good × 1.94 allocation

    $4,800

  • Appliances (range, microwave, dishwasher, disposal, refrigerator, washer, dryer)default

    $8,100 new × 40% good × 1.94 allocation

    $6,300

  • Furniture bought newlisting

    $26,500 new × 100% good · bought separately

    $26,500
15-year land improvements$127,700

  • Paving: driveway & walks (paved)default

    $14,900 new × 50% good × 1.94 allocation

    $14,400

  • Landscaping (typical)default

    $11,400 new × 50% good × 1.94 allocation

    $11,100

  • Patiosdefault

    $3,300 new × 50% good × 1.94 allocation

    $3,200

  • Decks & porches (attached)listing

    $37,000 new × 50% good × 1.94 allocation

    $35,900

  • Pool (in-ground)listing

    $65,000 new × 50% good × 1.94 allocation

    $63,000
Building, 39-year$379,600

  • Structure: foundation, framing, walls, windows, doors, roof, interior finishesdefault

    $357,400 new × 40% good × 1.94 allocation

    $277,300

  • Building plumbing & fixturesdefault

    $37,100 new × 40% good × 1.94 allocation

    $28,800

  • Building electrical & lightingdefault

    $39,000 new × 40% good × 1.94 allocation

    $30,300

  • HVACdefault

    $37,100 new × 40% good × 1.94 allocation

    $28,800

  • Hardwood & tile floorsdefault

    $15,900 new × 40% good × 1.94 allocation

    $12,300

  • Fireplacelisting

    $2,600 new × 40% good × 1.94 allocation

    $2,000

About the property

Depreciation schedule: typical cost seg study

Year5-yr15-yrBuildingTotal
1$80,600$127,700$1,200$209,500
2$0$0$9,700$9,700
3$0$0$9,700$9,700
4$0$0$9,700$9,700
5$0$0$9,700$9,700
6+$0$0$339,400$339,400
Total$80,600$127,700$379,600$587,900

Model-based estimate, not an engineered cost segregation study. The IRS doesn’t approve studies; get a professional study before filing. Using these losses against W-2 income needs the short-term rental exception (average stay ≤7 days + material participation). The 39-year building life applies because stays average under 30 days, a separate test (27.5 years for a long-term rental). Federal only: California and Georgia disallow bonus depreciation, Ohio adds back 5/6 of it, and Tennessee has no personal income tax. Not tax advice.

Market note

Rules differ by jurisdiction. City of Redding caps whole-home vacation rentals at 400 with a 600 ft spacing rule (300 ft with a physical buffer), and its permit is NOT transferable to a new owner. Shasta Lake city and unincorporated Shasta County allow permitted rentals with no cap found, but permits also do not transfer on sale. Lodging tax ~10% plus a 2% tourism assessment in Redding. Verify parcel eligibility with the city or county before you buy.