Rate 7.78% = 7.03% Freddie Mac 30-yr avg (Sep 24) + 0.75% investor premium

12424 Quartz Hill Rd

Redding, CA 96003

$329,000

3 bd · 2 ba · 1,500 sqft · Listed 11d ago

View on Realtor.com →

Low confidenceNegative cash flow

Year built

1961

Sqft

1,500

Lot sqft

79,279

HOA / mo

Furnished

List date

2026-09-18T22:38:20.000000Z

Revenue

Annual revenue

$39,337

ADR

$169

Occupancy

64%

Cleaning fees (12 mo)

$6,205

Confidence

Low (29.98), 7 comps

Comp revenue range (p25 / median / p75)

$14,118$24,474$45,510

Modern Woods Retreat | Treehouse, 10 min to Bethel
House · 3 bd · 2 ba · sleeps 6 · 0.8 mi
Revenue $16,290ADR $256Occ ≈ 17%5★ (11)
Airbnb Vrbo Booking
Modern Woods Retreat
House · 3 bd · 2 ba · sleeps 6 · 0.8 mi
Revenue $43,933ADR $249Occ ≈ 48%5★ (18)
Airbnb
Lakes and Bethel close by 30 days
Apartment · 3 bd · 2 ba · sleeps 6 · 0.9 mi
Revenue $24,474ADR $147Occ ≈ 46%4.8★ (28)
Airbnb Vrbo
Cozy Modern Home with Views | Quiet & Central
House · 3 bd · 2 ba · sleeps 5 · 1.5 mi
Revenue $11,945ADR $206Occ ≈ 16%5★ (1)
Airbnb
2 Kings~10 min Bethel~5 min downtown
House · 3 bd · 2 ba · sleeps 8 · 1.7 mi
Revenue $47,086ADR $224Occ ≈ 58%5★ (104)
Airbnb Vrbo
Panorama green belt view with hot tub & fireplace
House · 3 bd · 2 ba · sleeps 6 · 2.0 mi
Revenue $50,944ADR $227Occ ≈ 61%5★ (50)
Airbnb Vrbo
|The Ritz 66| Posh + Pool + Views!
House · 3 bd · 2.5 ba · sleeps 12 · 2.1 mi
Revenue $769ADR $384Occ ≈ 1%—
Airbnb

Listing	Size	Revenue (12 mo)	ADR	Occ ≈	Rating	Distance	Links
Modern Woods Retreat \| Treehouse, 10 min to Bethel House	3 bd · 2 ba · sleeps 6	$16,290	$256	17%	5★ (11)	0.8 mi	Airbnb Vrbo Booking
Modern Woods Retreat House	3 bd · 2 ba · sleeps 6	$43,933	$249	48%	5★ (18)	0.8 mi	Airbnb
Lakes and Bethel close by 30 days Apartment	3 bd · 2 ba · sleeps 6	$24,474	$147	46%	4.8★ (28)	0.9 mi	Airbnb Vrbo
Cozy Modern Home with Views \| Quiet & Central House	3 bd · 2 ba · sleeps 5	$11,945	$206	16%	5★ (1)	1.5 mi	Airbnb
2 Kings~10 min Bethel~5 min downtown House	3 bd · 2 ba · sleeps 8	$47,086	$224	58%	5★ (104)	1.7 mi	Airbnb Vrbo
Panorama green belt view with hot tub & fireplace House	3 bd · 2 ba · sleeps 6	$50,944	$227	61%	5★ (50)	2.0 mi	Airbnb Vrbo
\|The Ritz 66\| Posh + Pool + Views! House	3 bd · 2.5 ba · sleeps 12	$769	$384	1%	—	2.1 mi	Airbnb

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

Term

Purchase priceDown payment %30-yr rate %Already furnishedTax bracket

Rate 7.78% = 7.03% Freddie Mac 30-yr avg (Sep 24) + 0.75% investor premium

Est. revenue

$39,337

NOI

$18,579

Cash flow /mo

-$225

Cash needed

$114,910

Cash-on-cash

-2.3%

ROE (yr 1)

8.1%

Cap rate

5.6%

DSCR

0.87

Year-1 write-off

$63,616

Year-1 tax shield @ 32%

$20,357

Year-1 return on equity

Cash flow (annual)-$2,695
Principal paydown$2,153
Appreciation at%$9,870

ROE8.1%

ROE incl. year-1 tax savings (32% bracket, STR loophole)25.8%

Opex, cash-needed & tax-savings breakdown

Annual operating expenses

Management (20% of revenue)$7,867
Platform fees (3% of revenue)$1,180
Maintenance / capex (5% of revenue)$1,967
Utilities & supplies$4,200
HOA$0
Property tax$4,113
Insurance (STR-rated)$1,925

Cash needed to close

Down payment (25%)$82,250
Closing costs (4.0%)$13,160
Furnishing (bought new)$19,500

Tax savings if the STR loophole applies

Tax shield @ 32%$20,357

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

$186,000

Short-life (5/15-yr)

$44,000 · 23%

Year-1 deduction

$64,000

Year-1 tax shield @ 32%

$20,000

Land 43% (county tax record, assessed value split) · building $142,000 over 39 years · new furniture $20,000

Based on: 1,500 sq ft, built 1961, 3 bd / 2 ba, unfurnished, listing features (fireplace, flooring types, septic).

IRS-guide safe-harbor floor: $50,000 in year 1 (16% short-life, $16,000 tax shield), the conservative amount following the IRS audit guide's residential classification table.

5-year property$49,000

Kitchen cabinetsdefault
$9,100 new × 40% good × 1.51 allocation
$5,500
Kitchen countertopsdefault
$7,400 new × 40% good × 1.51 allocation
$4,500
Decorative trimdefault
$2,600 new × 40% good × 1.51 allocation
$1,600
Mirrorsdefault
$300 new × 40% good × 1.51 allocation
$200
Shelvingdefault
$1,200 new × 40% good × 1.51 allocation
$700
Window coverings (15)default
$3,800 new × 40% good × 1.51 allocation
$2,300
Carpet, vinyl & laminate (50% of floors)listing
$4,800 new × 40% good × 1.51 allocation
$2,900
Kitchen & laundry equipment plumbingdefault
$7,100 new × 40% good × 1.51 allocation
$4,300
Kitchen, laundry & data equipment electricaldefault
$4,300 new × 40% good × 1.51 allocation
$2,600
Appliances (range, microwave, dishwasher, disposal, refrigerator, washer, dryer)default
$8,100 new × 40% good × 1.51 allocation
$4,900
Furniture bought newlisting
$19,500 new × 100% good · bought separately
$19,500

15-year land improvements$14,200

Paving: driveway & walks (paved)default
$8,000 new × 50% good × 1.51 allocation
$6,100
Landscaping (typical)default
$7,700 new × 50% good × 1.51 allocation
$5,800
Patiosdefault
$1,500 new × 50% good × 1.51 allocation
$1,100
Decks & porches (attached)default
$1,500 new × 50% good × 1.51 allocation
$1,100

Building, 39-year$142,300

Structure: foundation, framing, walls, windows, doors, roof, interior finishesdefault
$162,400 new × 40% good × 1.51 allocation
$98,400
Building plumbing & fixturesdefault
$16,800 new × 40% good × 1.51 allocation
$10,200
Building electrical & lightingdefault
$16,300 new × 40% good × 1.51 allocation
$9,900
HVACdefault
$16,900 new × 40% good × 1.51 allocation
$10,200
Hardwood & tile floorsdefault
$4,800 new × 40% good × 1.51 allocation
$2,900
Fireplacelisting
$2,600 new × 40% good × 1.51 allocation
$1,600
Septic systemlisting
$12,000 new × 50% good × 1.51 allocation
$9,100

About the property

Sold furnishedGame roomHot tubPoolDeckDrivewayLandscapingFencedIrrigationLong-term rental (27.5-yr)Carpet / vinyl / laminate %Placed in serviceClosing costs $ (adds to basis)Land %Bonus depreciation %

Depreciation schedule: typical cost seg study

Year	5-yr	15-yr	Building	Total
1	$49,000	$14,200	$500	$63,600
2	$0	$0	$3,600	$3,600
3	$0	$0	$3,600	$3,600
4	$0	$0	$3,600	$3,600
5	$0	$0	$3,600	$3,600
6+	$0	$0	$127,300	$127,300
Total	$49,000	$14,200	$142,300	$205,500

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.