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

2081 Kerr Rd

2081 Kerr Rd

Sevierville, TN 37876

$925,000

3 bd · 3.5 ba · 3,960 sqft · Listed 5d ago

View on Realtor.com →
Rental historyLow confidenceNegative cash flow

Year built

2007

Sqft

3,960

Lot sqft

45,302

HOA / mo

None

Furnished

No

List date

2026-09-22T20:40:28Z

Revenue

Annual revenue

$76,829

ADR

$330

Occupancy

64%

Cleaning fees (12 mo)

$16,699

Confidence

Med (67.01), 6 comps

Comp revenue range (p25 / median / p75)

$53,921$76,831$90,128

  • Indoor Pool & Theater Cabin Near the Lake!

    3 bd · 3 ba · sleeps 12 · 433 ft

    Revenue —ADR $461Occ ≈ —5★ (11)

    AirbnbVrbo

  • PoolCabin-Sleep16-KingBeds-Renovated-NewListing

    3 bd · 3.5 ba · sleeps 16 · 515 ft

    Revenue —ADR $1,586Occ ≈ —4.9★ (178)

    AirbnbVrbo

  • Discount Tickets! Indoor Pool+Theater+Douglas Lake

    3 bd · 3.5 ba · sleeps 12 · 522 ft

    Revenue —ADR $449Occ ≈ —4.8★ (79)

    Airbnb

  • Galaxy Splash: Hot Tub, Pool, Theater, & MTN Views

    3 bd · 3.5 ba · sleeps 10 · 0.1 mi

    Revenue —ADR $286Occ ≈ —3.1★ (14)

    AirbnbVrbo

  • Moonside Retreat | Dock, Fire Pit, Fireplace!

    3 bd · 2.5 ba · sleeps 14 · 0.3 mi

    Revenue —ADR $480Occ ≈ —3.6★ (24)

    AirbnbVrbo

  • 3 bed, 3 bath Lakeside Retreat

    3 bd · 3 ba · sleeps 8 · 0.5 mi

    Revenue —ADR $316Occ ≈ —4.9★ (101)

    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
Term

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

Est. revenue

$76,829

NOI

$43,985

Cash flow /mo

-$1,319

Cash needed

$293,750

Cash-on-cash

-5.4%

ROE (yr 1)

6.1%

Cap rate

4.8%

DSCR

0.74

Year-1 write-off

$179,715

Year-1 tax shield @ 32%

$57,509

Year-1 return on equity

  • Cash flow (annual)-$15,829
  • Principal paydown$6,053
  • Appreciation at%$27,750
ROE6.1%
ROE incl. year-1 tax savings (32% bracket, STR loophole)25.7%
Opex, cash-needed & tax-savings breakdown

Annual operating expenses

  • Management (20% of revenue)$15,366
  • Platform fees (3% of revenue)$2,305
  • Maintenance / capex (5% of revenue)$3,841
  • Utilities & supplies$4,200
  • HOA$0
  • Property tax$1,582
  • Insurance (STR-rated)$5,550

Cash needed to close

  • Down payment (25%)$231,250
  • Closing costs (4.0%)$37,000
  • Furnishing (bought new)$25,500

Tax savings if the STR loophole applies

  • Tax shield @ 32%$57,509

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

$884,000

Short-life (5/15-yr)

$152,000 · 17%

Year-1 deduction

$180,000

Year-1 tax shield @ 32%

$58,000

Land 4% (county tax record, market value split) · building $732,000 over 39 years · new furniture $26,000

Based on: 3,960 sq ft, built 2007, 3 bd / 3.5 ba, unfurnished, listing features (hot tub, deck, game room, fireplace, stone counters, flooring types, appliance list, septic).

IRS-guide safe-harbor floor: $108,000 in year 1 (9% short-life, $35,000 tax shield), the conservative amount following the IRS audit guide's residential classification table.

5-year property$106,300

  • Kitchen cabinetsdefault

    $14,500 new × 40% good × 1.92 allocation

    $11,100

  • Kitchen countertops (stone)listing

    $14,800 new × 40% good × 1.92 allocation

    $11,400

  • Decorative trimdefault

    $6,900 new × 40% good × 1.92 allocation

    $5,300

  • Mirrorsdefault

    $500 new × 40% good × 1.92 allocation

    $300

  • Shelvingdefault

    $1,200 new × 40% good × 1.92 allocation

    $900

  • Window coverings (40)default

    $10,000 new × 40% good × 1.92 allocation

    $7,700

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

    $12,700 new × 40% good × 1.92 allocation

    $9,800

  • Kitchen & laundry equipment plumbingdefault

    $11,300 new × 62% good × 1.92 allocation

    $13,400

  • Kitchen, laundry & data equipment electricaldefault

    $6,800 new × 62% good × 1.92 allocation

    $8,100

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

    $7,700 new × 40% good × 1.92 allocation

    $5,900

  • Hot tub (freestanding)listing

    $9,000 new × 40% good × 1.92 allocation

    $6,900

  • 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$71,000

  • Paving: driveway & walks (paved)default

    $13,000 new × 50% good × 1.92 allocation

    $12,500

  • Landscaping (typical)default

    $12,600 new × 50% good × 1.92 allocation

    $12,000

  • Patiosdefault

    $3,900 new × 50% good × 1.92 allocation

    $3,800

  • Decks & porches (attached)listing

    $44,600 new × 50% good × 1.92 allocation

    $42,700
Building, 39-year$732,200

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

    $431,000 new × 68% good × 1.92 allocation

    $565,100

  • Building plumbing & fixturesdefault

    $44,700 new × 62% good × 1.92 allocation

    $53,200

  • Building electrical & lightingdefault

    $47,500 new × 62% good × 1.92 allocation

    $56,500

  • HVACdefault

    $44,600 new × 40% good × 1.92 allocation

    $34,200

  • Hardwood & tile floorsdefault

    $12,700 new × 40% good × 1.92 allocation

    $9,800

  • Fireplacelisting

    $2,600 new × 40% good × 1.92 allocation

    $2,000

  • Septic systemlisting

    $12,000 new × 50% good × 1.92 allocation

    $11,500

About the property

Depreciation schedule: typical cost seg study

Year5-yr15-yrBuildingTotal
1$106,300$71,000$2,400$179,700
2$0$0$18,800$18,800
3$0$0$18,800$18,800
4$0$0$18,800$18,800
5$0$0$18,800$18,800
6+$0$0$654,800$654,800
Total$106,300$71,000$732,200$909,600

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.