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Rate 8.03% = 7.28% Freddie Mac 30-yr avg (Oct 1) + 0.75% investor premium

1128 Sanctuary Shores Way

1128 Sanctuary Shores Way

Sevierville, TN 37876

$725,000

3 bd · 3.5 ba · 3,240 sqft · Listed 1d ago

View on Realtor.com →
Low confidenceNegative cash flow

Year built

2025

Sqft

3,240

Lot sqft

13,068

HOA / mo

$100

Furnished

No

List date

2026-10-02T15:43:35.000000Z

Revenue

Annual revenue

$53,373

ADR

$244

Occupancy

60%

Cleaning fees (12 mo)

$11,827

Confidence

Low (35.45), 14 comps

Comp revenue range (p25 / median / p75)

$24,036$43,040$54,721

Median revenue of shown comps: $39,016

  • Lakefront 3BR Home w/ Free Attraction Tickets

    House · 3 bd · 2.5 ba · sleeps 8 · 164 ft

    Revenue $8,107ADR $231Occ ≈ 10%4.8★ (34)

    AirbnbBooking

  • 10.7 Mi to DT Sevierville・Lake View Cabin・Pool Use

    House · 3 bd · 2.5 ba · sleeps 8 · 177 ft

    Revenue $24,283ADR $212Occ ≈ 31%4.8★ (12)

    AirbnbVrboBooking

  • Lake Views | Log Cabin | Hot Tub | Resort Pool

    House · 3 bd · 2.5 ba · sleeps 6 · 371 ft

    Revenue $4,120ADR $221Occ ≈ 5%5★ (6)

    AirbnbVrbo

  • Spacious Sevierville Home w/ Hot Tub!

    House · 3 bd · 2.5 ba · sleeps 6 · 377 ft

    Revenue $89,564ADR $397Occ ≈ 62%4.9★ (86)

    AirbnbVrboBooking

  • Modern Cabin | Hot Tub | Pet-Friendly

    Cabin · 3 bd · 2.5 ba · sleeps 8 · 0.1 mi

    Revenue $52,768ADR $267Occ ≈ 54%5★ (123)

    AirbnbVrbo

  • 3BR lakefront home w/game room, movie room, Wi-Fi

    Cabin · 3 bd · 3.5 ba · sleeps 9 · 0.2 mi

    Revenue $47,063ADR $269Occ ≈ 48%4.7★ (23)

    AirbnbVrboBooking

  • Sanctuary Retreat | Lake Cabin Near Pigeon Forge

    Cabin · 3 bd · 3.5 ba · sleeps 9 · 0.2 mi

    Revenue $23,954ADR $290Occ ≈ 23%2.6★ (3)

    AirbnbVrboBooking

  • Beautiful Lakefront Home, Game room, Movie Room

    Cabin · 3 bd · 3.5 ba · sleeps 9 · 0.2 mi

    Revenue $39,016ADR $236Occ ≈ 45%3★ (1)

    AirbnbVrboBooking

  • Cozy 3BD Near LAKE! HOT TUB + Pool Access + Games*

    Cabin · 3 bd · 3.5 ba · sleeps 10 · 0.2 mi

    Revenue $89,236ADR $313Occ ≈ 78%4.8★ (45)

    AirbnbVrbo

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
Management
Term

Rate 8.03% = 7.28% Freddie Mac 30-yr avg (Oct 1) + 0.75% investor premium

Est. revenue

$53,373

NOI

$25,304

Cash flow /mo

-$1,893

Cash needed

$235,750

Cash-on-cash

-9.6%

ROE (yr 1)

1.5%

Cap rate

3.5%

DSCR

0.53

Year-1 write-off

$192,160

Year-1 tax shield @ 32%

$61,491

Year-1 return on equity

  • Cash flow (annual)-$22,711
  • Principal paydown$4,515
  • Appreciation at%$21,750
ROE1.5%

Tax savings aren't counted. Turn on “Count tax savings in returns” above if you can use the losses.

Opex, cash-needed & tax-savings breakdown

Annual operating expenses

  • Management (20% of revenue)$10,675
  • Platform fees (3% of revenue)$1,601
  • Maintenance / capex (5% of revenue)$2,669
  • Utilities & supplies$4,200
  • HOA$1,200
  • Property tax$3,375
  • Insurance (STR-rated)$4,350

Cash needed to close

  • Down payment (25%)$181,250
  • Closing costs (4.0%)$29,000
  • Furnishing (bought new)$25,500

Tax savings if the STR loophole applies

  • Tax shield @ 32%$61,491

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

$680,000

Short-life (5/15-yr)

$166,000 · 24%

Year-1 deduction

$192,000

Year-1 tax shield @ 32%

$61,000

Land 6% (county tax record, market value split) · building $514,000 over 39 years · new furniture $26,000

Based on: 3,240 sq ft, built 2025, 3 bd / 3.5 ba, unfurnished, listing features (hot tub, deck, game room, fireplace, stone counters, flooring types, appliance list).

Try the cost segregation calculator on any property →

IRS-guide safe-harbor floor: $118,000 in year 1 (14% short-life, $38,000 tax shield), the conservative amount following the IRS audit guide's residential classification table.

5-year property$124,900

  • Kitchen cabinetsdefault

    $12,900 new × 96% good × 1.11 allocation

    $13,800

  • Kitchen countertops (stone)listing

    $13,200 new × 96% good × 1.11 allocation

    $14,100

  • Decorative trimdefault

    $5,700 new × 96% good × 1.11 allocation

    $6,100

  • Mirrorsdefault

    $500 new × 92% good × 1.11 allocation

    $500

  • Shelvingdefault

    $1,200 new × 96% good × 1.11 allocation

    $1,300

  • Window coverings (32)default

    $8,000 new × 90% good × 1.11 allocation

    $8,000

  • Carpet, vinyl & laminate (100% of floors)listing

    $20,900 new × 92% good × 1.11 allocation

    $21,300

  • Kitchen & laundry equipment plumbingdefault

    $10,000 new × 98% good × 1.11 allocation

    $10,900

  • Kitchen, laundry & data equipment electricaldefault

    $6,100 new × 98% good × 1.11 allocation

    $6,600

  • Appliances (range, microwave, dishwasher, refrigerator, washer, dryer)listing

    $7,700 new × 92% good × 1.11 allocation

    $7,900

  • Hot tub (freestanding)listing

    $9,000 new × 90% good × 1.11 allocation

    $9,000

  • Furniture bought newlisting

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

    $19,500

  • Game-room equipment bought newlisting

    $6,000 new × 100% good · bought separately

    $6,000
15-year land improvements$66,700

  • Paving: driveway & walks (paved)listing

    $11,800 new × 96% good × 1.11 allocation

    $12,600

  • Landscaping (typical)default

    $11,400 new × 96% good × 1.11 allocation

    $12,100

  • Patiosdefault

    $3,200 new × 96% good × 1.11 allocation

    $3,400

  • Decks & porches (attached)listing

    $36,500 new × 95% good × 1.11 allocation

    $38,500
Building, 39-year$514,400

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

    $352,400 new × 98% good × 1.11 allocation

    $385,700

  • Building plumbing & fixturesdefault

    $36,500 new × 98% good × 1.11 allocation

    $39,900

  • Building electrical & lightingdefault

    $38,300 new × 98% good × 1.11 allocation

    $41,800

  • HVACdefault

    $36,500 new × 95% good × 1.11 allocation

    $38,600

  • Fireplaces (3)listing

    $7,900 new × 96% good × 1.11 allocation

    $8,400

About the property

Depreciation schedule: typical cost seg study

Year5-yr15-yrBuildingTotal
1$124,900$66,700$600$192,200
2$0$0$13,200$13,200
3$0$0$13,200$13,200
4$0$0$13,200$13,200
5$0$0$13,200$13,200
6+$0$0$461,100$461,100
Total$124,900$66,700$514,400$706,000

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, Georgia and Wisconsin disallow bonus depreciation, Ohio adds back 5/6 of it, and Tennessee has no personal income tax. Not tax advice.

Market note

STR allowed in most of Sevier County; inside Gatlinburg city limits only in overnight-rental zones.