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

3845 Loustalot Way

3845 Loustalot Way

Redding, CA 96002

$377,500

3 bd · 2 ba · 1,602 sqft · Listed 18d ago

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Low confidence

Year built

1963

Sqft

1,602

Lot sqft

14,375

HOA / mo

$0

Furnished

No

List date

2026-09-11T18:12:16.000000Z

Revenue

Annual revenue

$52,625

ADR

$229

Occupancy

63%

Cleaning fees (12 mo)

$7,485

Confidence

High (86.49), 6 comps

Comp revenue range (p25 / median / p75)

$49,679$54,198$57,169

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  • Jardin Pasatiempo with Gourmet Kitchen & EV Charger

    House · 2 bd · 2.5 ba · sleeps 6 · 0.3 mi

    Revenue $51,753ADR $253Occ ≈ 56%5★ (299)

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  • Foosball+King Bed Costco Closeby Huge Master Suite

    House · 4 bd · 2.5 ba · sleeps 10 · 0.5 mi

    Revenue $39,788ADR $269Occ ≈ 41%4.2★ (17)

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  • Rivercrest Branch House

    House · 4 bd · 2.5 ba · sleeps 8 · 0.5 mi

    Revenue $57,344ADR $364Occ ≈ 43%4.7★ (6)

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  • The Rivercrest Branch House | Spacious + Bright

    House · 4 bd · 2.5 ba · sleeps 9 · 0.6 mi

    Revenue $48,988ADR $390Occ ≈ 34%4.6★ (13)

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  • Comfortable home near river access trail

    House · 3 bd · 1 ba · sleeps 6 · 0.7 mi

    Revenue $58,315ADR $304Occ ≈ 53%4.8★ (48)

    AirbnbVrboBooking

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

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

Est. revenue

$52,625

NOI

$27,329

Cash flow /mo

$243

Cash needed

$128,975

Cash-on-cash

2.3%

ROE (yr 1)

13.0%

Cap rate

7.2%

DSCR

1.12

Year-1 write-off

$107,962

Year-1 tax shield @ 32%

$34,548

Year-1 return on equity

  • Cash flow (annual)$2,919
  • Principal paydown$2,470
  • Appreciation at%$11,325
ROE13.0%
ROE incl. year-1 tax savings (32% bracket, STR loophole)39.7%
Opex, cash-needed & tax-savings breakdown

Annual operating expenses

  • Management (20% of revenue)$10,525
  • Platform fees (3% of revenue)$1,579
  • Maintenance / capex (5% of revenue)$2,631
  • Utilities & supplies$4,200
  • HOA$0
  • Property tax$4,719
  • Insurance (STR-rated)$2,208

Cash needed to close

  • Down payment (25%)$94,375
  • Closing costs (4.0%)$15,100
  • Furnishing (bought new)$19,500

Tax savings if the STR loophole applies

  • Tax shield @ 32%$34,548

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

$309,000

Short-life (5/15-yr)

$88,000 · 28%

Year-1 deduction

$108,000

Year-1 tax shield @ 32%

$35,000

Land 18% (county tax record, assessed value split) · building $221,000 over 39 years · new furniture $20,000

Based on: 1,602 sq ft, built 1963, 3 bd / 2 ba, unfurnished, listing features (patio, fence, fireplace, stone counters, flooring types).

IRS-guide safe-harbor floor: $84,000 in year 1 (21% short-life, $27,000 tax shield), the conservative amount following the IRS audit guide's residential classification table.

5-year property$70,400

  • Kitchen cabinetsdefault

    $9,300 new × 40% good × 2.37 allocation

    $8,800

  • Kitchen countertops (stone)listing

    $9,500 new × 40% good × 2.37 allocation

    $9,000

  • Decorative trimdefault

    $2,800 new × 40% good × 2.37 allocation

    $2,700

  • Mirrorsdefault

    $300 new × 40% good × 2.37 allocation

    $300

  • Shelvingdefault

    $1,200 new × 40% good × 2.37 allocation

    $1,100

  • Window coverings (16)default

    $4,000 new × 40% good × 2.37 allocation

    $3,800

  • Carpet, vinyl & laminate (67% of floors)listing

    $6,900 new × 40% good × 2.37 allocation

    $6,500

  • Kitchen & laundry equipment plumbingdefault

    $7,200 new × 40% good × 2.37 allocation

    $6,900

  • Kitchen, laundry & data equipment electricaldefault

    $4,400 new × 40% good × 2.37 allocation

    $4,200

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

    $8,100 new × 40% good × 2.37 allocation

    $7,700

  • Furniture bought newlisting

    $19,500 new × 100% good · bought separately

    $19,500
15-year land improvements$36,800

  • Paving: driveway & walks (paved)default

    $8,300 new × 50% good × 2.37 allocation

    $9,800

  • Landscaping (typical)default

    $8,000 new × 50% good × 2.37 allocation

    $9,500

  • Patioslisting

    $7,200 new × 50% good × 2.37 allocation

    $8,500

  • Decks & porches (attached)default

    $1,600 new × 50% good × 2.37 allocation

    $1,900

  • Fencinglisting

    $6,000 new × 50% good × 2.37 allocation

    $7,100
Building, 39-year$221,100

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

    $173,500 new × 40% good × 2.37 allocation

    $164,500

  • Building plumbing & fixturesdefault

    $18,000 new × 40% good × 2.37 allocation

    $17,100

  • Building electrical & lightingdefault

    $17,600 new × 40% good × 2.37 allocation

    $16,700

  • HVACdefault

    $18,000 new × 40% good × 2.37 allocation

    $17,100

  • Hardwood & tile floorsdefault

    $3,400 new × 40% good × 2.37 allocation

    $3,300

  • Fireplacelisting

    $2,600 new × 40% good × 2.37 allocation

    $2,500

About the property

Depreciation schedule: typical cost seg study

Year5-yr15-yrBuildingTotal
1$70,400$36,800$700$108,000
2$0$0$5,700$5,700
3$0$0$5,700$5,700
4$0$0$5,700$5,700
5$0$0$5,700$5,700
6+$0$0$197,700$197,700
Total$70,400$36,800$221,100$328,300

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.