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601 Old Knoxville Hwy

601 Old Knoxville Hwy

Sevierville, TN 37862

$379,000

3 bd · 1 ba · 905 sqft · Listed 2d ago

View on Realtor.com →
Rental history

Year built

1900

Sqft

905

Lot sqft

14,810

HOA / mo

None

Furnished

Yes

List date

2026-09-25T19:43:00Z

Revenue

Annual revenue

$34,362

ADR

$200

Occupancy

47%

Cleaning fees (12 mo)

$4,632

Confidence

Low (44.72), 13 comps

Comp revenue range (p25 / median / p75)

$16,986$25,448$43,866

  • Daisy's River Log Home w/ Hot tub & Kayaks

    3 bd · 1 ba · sleeps 7 · 0.2 mi

    Revenue —ADR $217Occ ≈ —4.7★ (150)

    AirbnbVrbo

  • Charming Log Cabin Perfect for Families in Sevierville, Tennessee

    3 bd · 1 ba · sleeps 8 · 0.3 mi

    Revenue —ADR $305Occ ≈ —5★ (1)

    Vrbo

  • Hidden Retreat Huge family area. Fireplace, outside grill, private, secluded.

    3 bd · 2 ba · sleeps 6 · 0.5 mi

    Revenue —ADR $203Occ ≈ —4.8★ (11)

    Vrbo

  • Lazy Bear Hideaway

    3 bd · 2 ba · sleeps 7 · 0.6 mi

    Revenue —ADR $201Occ ≈ —4.8★ (145)

    AirbnbVrbo

  • Hidden Retreat 10 minutes from city, but quiet!

    3 bd · 2 ba · sleeps 6 · 0.6 mi

    Revenue —ADR $211Occ ≈ —4.8★ (68)

    AirbnbVrbo

  • Blessed Mountain Acres w/ Hot tub & Mtn Views

    3 bd · 1 ba · sleeps 8 · 0.6 mi

    Revenue —ADR $233Occ ≈ —4.3★ (92)

    AirbnbVrbo

  • Smokey Mountain Acres w/ Hot tub & Views

    3 bd · 1.5 ba · sleeps 8 · 0.7 mi

    Revenue —ADR $239Occ ≈ —4.7★ (116)

    AirbnbVrbo

  • Love View

    3 bd · 2 ba · sleeps 6 · 0.7 mi

    Revenue —ADR $291Occ ≈ ——

    —

  • A Dolly Good Time with Fireplace and Game Room

    3 bd · 2 ba · sleeps 8 · 0.7 mi

    Revenue —ADR $234Occ ≈ ——

    —

  • Cubb’s Cottage|Prime Location|Pet-Friendly|Firepit

    3 bd · 2 ba · sleeps 6 · 0.7 mi

    Revenue —ADR $210Occ ≈ —5★ (13)

    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

Est. revenue

$34,362

NOI

$17,721

Cash flow /mo

$1,477

Cash needed

$394,160

Cash-on-cash (all cash)

4.5%

ROE (yr 1)

7.4%

Cap rate

4.7%

DSCR

—

Year-1 write-off

$80,426

Year-1 tax shield @ 32%

$25,736

Year-1 return on equity

  • Cash flow (annual)$17,721
  • Principal paydown (n/a, cash)$0
  • Appreciation at%$11,370
ROE7.4%
ROE incl. year-1 tax savings (32% bracket, STR loophole)13.9%
Opex, cash-needed & tax-savings breakdown

Annual operating expenses

  • Management (20% of revenue)$6,872
  • Platform fees (3% of revenue)$1,031
  • Maintenance / capex (5% of revenue)$1,718
  • Utilities & supplies$4,200
  • HOA$0
  • Property tax$546
  • Insurance (STR-rated)$2,274

Cash needed to close

  • Purchase price (all cash)$379,000
  • Closing costs (4.0%)$15,160
  • Furnishing (conveyed with the sale)$0

Tax savings if the STR loophole applies

  • Tax shield @ 32%$25,736

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

$201,000

Short-life (5/15-yr)

$80,000 · 40%

Year-1 deduction

$80,000

Year-1 tax shield @ 32%

$26,000

Land 48% (county tax record, market value split) · building $121,000 over 39 years

Based on: 905 sq ft, built 1900, 3 bd / 1 ba, furnished, listing features (hot tub, deck, fence, game room, fireplace, flooring types, appliance list, wooded lot).

IRS-guide safe-harbor floor: $53,000 in year 1 (26% short-life, $17,000 tax shield), the conservative amount following the IRS audit guide's residential classification table.

5-year property$54,900

  • Kitchen cabinetsdefault

    $7,800 new × 40% good × 2.29 allocation

    $7,100

  • Kitchen countertopsdefault

    $6,400 new × 40% good × 2.29 allocation

    $5,800

  • Decorative trimdefault

    $1,600 new × 40% good × 2.29 allocation

    $1,500

  • Mirrorsdefault

    $200 new × 40% good × 2.29 allocation

    $100

  • Shelvingdefault

    $1,200 new × 40% good × 2.29 allocation

    $1,100

  • Window coverings (9)default

    $2,300 new × 40% good × 2.29 allocation

    $2,100

  • Carpet, vinyl & laminate (50% of floors)listing

    $2,900 new × 40% good × 2.29 allocation

    $2,700

  • Kitchen & laundry equipment plumbingdefault

    $6,100 new × 40% good × 2.29 allocation

    $5,600

  • Kitchen, laundry & data equipment electricaldefault

    $3,700 new × 40% good × 2.29 allocation

    $3,400

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

    $7,700 new × 40% good × 2.29 allocation

    $7,100

  • Hot tub (freestanding)listing

    $9,000 new × 40% good × 2.29 allocation

    $8,300

  • Furniture conveyed with the sale (used)listing

    $19,500 new × 40% good · out of the price

    $7,800

  • Game-room equipment (used)listing

    $6,000 new × 40% good · out of the price

    $2,400
15-year land improvements$25,200

  • Paving: driveway & walks (gravel)listing

    $1,900 new × 50% good × 2.29 allocation

    $2,100

  • Landscaping (minimal)listing

    $3,000 new × 50% good × 2.29 allocation

    $3,400

  • Patiosdefault

    $900 new × 50% good × 2.29 allocation

    $1,000

  • Decks & porches (attached)listing

    $10,200 new × 50% good × 2.29 allocation

    $11,700

  • Fencinglisting

    $6,000 new × 50% good × 2.29 allocation

    $6,900
Building, 39-year$121,300

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

    $97,500 new × 40% good × 2.29 allocation

    $89,500

  • Building plumbing & fixturesdefault

    $10,100 new × 40% good × 2.29 allocation

    $9,300

  • Building electrical & lightingdefault

    $8,700 new × 40% good × 2.29 allocation

    $8,000

  • HVACdefault

    $10,200 new × 40% good × 2.29 allocation

    $9,400

  • Hardwood & tile floorsdefault

    $2,900 new × 40% good × 2.29 allocation

    $2,700

  • Fireplacelisting

    $2,600 new × 40% good × 2.29 allocation

    $2,400

About the property

Depreciation schedule: typical cost seg study

Year5-yr15-yrBuildingTotal
1$54,900$25,200$400$80,400
2$0$0$3,100$3,100
3$0$0$3,100$3,100
4$0$0$3,100$3,100
5$0$0$3,100$3,100
6+$0$0$108,400$108,400
Total$54,900$25,200$121,300$201,300

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: Georgia disallows 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.