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

1825 Sunnydale Dr

1825 Sunnydale Dr

Sevierville, TN 37862

$589,900

3 bd · 2 ba · 1,885 sqft · Listed 2d ago

View on Realtor.com →
Rental historyNegative cash flow

Year built

2001

Sqft

1,885

Lot sqft

36,155

HOA / mo

None

Furnished

No

List date

2026-09-25T06:16:06Z

Revenue

Annual revenue

$50,478

ADR

$228

Occupancy

61%

Cleaning fees (12 mo)

$10,250

Confidence

Low (51.55), 15 comps

Comp revenue range (p25 / median / p75)

$30,196$45,003$51,304

  • Sunshine Cottage: Hot Tub, Game Room, Grill, MORE!

    3 bd · 2 ba · sleeps 10 · 95 ft

    Revenue —ADR $323Occ ≈ —4.2★ (5)

    AirbnbVrbo

  • Cozy Farmhouse, The Wildflower Cottage, 3 Bedrooms

    3 bd · 2 ba · sleeps 8 · 151 ft

    Revenue —ADR $418Occ ≈ —5★ (49)

    AirbnbVrbo

  • 1 mi. to Dollywood mins to all attractions & GSMNP

    3 bd · 2 ba · sleeps 10 · 0.1 mi

    Revenue —ADR $260Occ ≈ —4.8★ (270)

    AirbnbVrbo

  • Dreamy Cottage 1.5 to Dollywood

    3 bd · 2 ba · sleeps 10 · 0.1 mi

    Revenue —ADR $256Occ ≈ —5★ (47)

    AirbnbVrbo

  • Wildflower Lodge Farmhouse 2, Dollywood 1.5 miles. Now open.

    3 bd · 2 ba · sleeps 8 · 0.1 mi

    Revenue —ADR $299Occ ≈ —5★ (4)

    Vrbo

  • Quaint Lodge 1.5 miles Dollywood

    3 bd · 2 ba · sleeps 8 · 0.1 mi

    Revenue —ADR $215Occ ≈ —5★ (31)

    AirbnbVrbo

  • The Secret Spot - Private Hidden Gem at Dollywood

    3 bd · 3 ba · sleeps 8 · 0.2 mi

    Revenue —ADR $248Occ ≈ —5★ (7)

    AirbnbVrbo

  • Swinging S’Mores | Indoor Pool, Fire Pit, Location

    3 bd · 3 ba · sleeps 6 · 0.2 mi

    Revenue —ADR $436Occ ≈ —4.2★ (31)

    AirbnbVrbo

  • WOW 3BR Cabin just 2 miles to Dollywood + Arcades!

    3 bd · 2 ba · sleeps 9 · 0.3 mi

    Revenue —ADR $231Occ ≈ —5★ (195)

    AirbnbVrbo

  • Dog Friendly! Great Location! 2 miles to Dollywood

    3 bd · 3 ba · sleeps 8 · 0.3 mi

    Revenue —ADR $262Occ ≈ —5★ (228)

    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

$50,478

NOI

$27,985

Cash flow /mo

-$847

Cash needed

$196,571

Cash-on-cash

-5.2%

ROE (yr 1)

5.8%

Cap rate

4.7%

DSCR

0.73

Year-1 write-off

$150,928

Year-1 tax shield @ 32%

$48,297

Year-1 return on equity

  • Cash flow (annual)-$10,160
  • Principal paydown$3,860
  • Appreciation at%$17,697
ROE5.8%
ROE incl. year-1 tax savings (32% bracket, STR loophole)30.4%
Opex, cash-needed & tax-savings breakdown

Annual operating expenses

  • Management (20% of revenue)$10,096
  • Platform fees (3% of revenue)$1,514
  • Maintenance / capex (5% of revenue)$2,524
  • Utilities & supplies$4,200
  • HOA$0
  • Property tax$620
  • Insurance (STR-rated)$3,539

Cash needed to close

  • Down payment (25%)$147,475
  • Closing costs (4.0%)$23,596
  • Furnishing (bought new)$25,500

Tax savings if the STR loophole applies

  • Tax shield @ 32%$48,297

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

$509,000

Short-life (5/15-yr)

$124,000 · 24%

Year-1 deduction

$151,000

Year-1 tax shield @ 32%

$48,000

Land 14% (county tax record, market value split) · building $385,000 over 39 years · new furniture $26,000

Based on: 1,885 sq ft, built 2001, 3 bd / 2 ba, unfurnished, listing features (hot tub, deck, patio, game room, fireplace, flooring types, appliance list, septic).

IRS-guide safe-harbor floor: $103,000 in year 1 (15% short-life, $33,000 tax shield), the conservative amount following the IRS audit guide's residential classification table.

5-year property$91,900

  • Kitchen cabinetsdefault

    $9,900 new × 40% good × 2.44 allocation

    $9,700

  • Kitchen countertopsdefault

    $8,100 new × 40% good × 2.44 allocation

    $7,900

  • Decorative trimdefault

    $3,300 new × 40% good × 2.44 allocation

    $3,200

  • Mirrorsdefault

    $300 new × 40% good × 2.44 allocation

    $300

  • Shelvingdefault

    $1,200 new × 40% good × 2.44 allocation

    $1,200

  • Window coverings (19)default

    $4,800 new × 40% good × 2.44 allocation

    $4,600

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

    $8,100 new × 40% good × 2.44 allocation

    $7,900

  • Kitchen & laundry equipment plumbingdefault

    $7,700 new × 50% good × 2.44 allocation

    $9,400

  • Kitchen, laundry & data equipment electricaldefault

    $4,700 new × 50% good × 2.44 allocation

    $5,700

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

    $7,700 new × 40% good × 2.44 allocation

    $7,500

  • Hot tub (freestanding)listing

    $9,000 new × 40% good × 2.44 allocation

    $8,800

  • 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$57,800

  • Paving: driveway & walks (paved)default

    $9,000 new × 50% good × 2.44 allocation

    $11,000

  • Landscaping (typical)default

    $8,700 new × 50% good × 2.44 allocation

    $10,600

  • Patioslisting

    $8,500 new × 50% good × 2.44 allocation

    $10,400

  • Decks & porches (attached)listing

    $21,200 new × 50% good × 2.44 allocation

    $25,900
Building, 39-year$385,100

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

    $204,500 new × 58% good × 2.44 allocation

    $291,400

  • Building plumbing & fixturesdefault

    $21,200 new × 50% good × 2.44 allocation

    $25,900

  • Building electrical & lightingdefault

    $21,200 new × 50% good × 2.44 allocation

    $25,900

  • HVACdefault

    $21,200 new × 40% good × 2.44 allocation

    $20,800

  • Hardwood & tile floorsdefault

    $4,000 new × 40% good × 2.44 allocation

    $4,000

  • Fireplacelisting

    $2,600 new × 40% good × 2.44 allocation

    $2,600

  • Septic systemlisting

    $12,000 new × 50% good × 2.44 allocation

    $14,700

About the property

Depreciation schedule: typical cost seg study

Year5-yr15-yrBuildingTotal
1$91,900$57,800$1,200$150,900
2$0$0$9,900$9,900
3$0$0$9,900$9,900
4$0$0$9,900$9,900
5$0$0$9,900$9,900
6+$0$0$344,400$344,400
Total$91,900$57,800$385,100$534,800

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.