586 Ball Mountain Way
Gatlinburg, TN 37738
$1,099,000
6 bd · 5 ba · 3,784 sqft · Listed 4d ago
View on Realtor.com →Year built
1976
Sqft
3,784
Lot sqft
33,541
HOA / mo
None
Furnished
No
List date
2026-11-08T19:03:32.000000Z
Revenue
Annual revenue
$123,816
ADR
$710
Occupancy
48%
Cleaning fees (12 mo)
$21,002
Confidence
Med (60.12), 6 comps
Comp revenue range (p25 / median / p75)
Few similar-size comps were found, so all comps are shown.
Median revenue of shown comps: $119,119
Twin Peaks by American Patriot Getaways
Vacation home · 6 bd · 5 ba · sleeps 12 · 0.2 mi
Revenue $168,028ADR $627Occ ≈ 73%—
| Listing | Size | Revenue (12 mo) | ADR | Occ ≈ | Rating | Distance | Links |
|---|---|---|---|---|---|---|---|
Theater + Sauna + Hot Tub • Mins to Smokies House
| 6 bd · 4 ba · sleeps 16 | $96,785 | $636 | 42% | 4★ (23) | 256 ft | AirbnbVrboBooking |
Best Smoky Mountain Panoramic Views! 3 porches Cabin
| 6 bd · 4 ba · sleeps 12 | $87,287 | $627 | 38% | 5★ (101) | 0.2 mi | AirbnbVrbo |
Twin Peaks by American Patriot Getaways Vacation home | 6 bd · 5 ba · sleeps 12 | $168,028 | $627 | 73% | — | 0.2 mi | Booking |
Dancing Bear Lodge - Upscale Cabin, Views, Arcades Cabin
| 6 bd · 6 ba · sleeps 16 | $122,562 | $933 | 36% | 4.8★ (59) | 0.3 mi | AirbnbVrboBooking |
PanoViews~FallSpecials~GmRm~PS5~FirePit~HotTub Cabin
| 6 bd · 6 ba · sleeps 16 | $233,275 | $927 | 69% | 4.8★ (84) | 0.4 mi | AirbnbVrboBooking |
Luxury Mountain Lodge w/ Views, Games & Hot Tub Cabin
| 6 bd · 5.5 ba · sleeps 16 | $115,675 | $678 | 47% | 3★ (2) | 0.5 mi | 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
Rate 7.93% = 7.18% Freddie Mac 30-yr avg (Nov 5) + 0.75% investor premium
Est. revenue
$123,816
NOI
$77,233
Cash flow /mo
$428
Cash needed
$348,710
Cash-on-cash
1.5%
ROE (yr 1)
12.9%
Cap rate
7.0%
DSCR
1.07
Year-1 write-off
$234,905
Year-1 tax shield @ 32%
$75,170
Year-1 return on equity
- Cash flow (annual)$5,138
- Principal paydown$6,982
- Appreciation at%$32,970
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)$24,763
- Platform fees (3% of revenue)$3,714
- Maintenance / capex (5% of revenue)$6,191
- Utilities & supplies$4,200
- HOA$0
- Property tax$1,121
- Insurance (STR-rated)$6,594
Cash needed to close
- Down payment (25%)$274,750
- Closing costs (4.0%)$43,960
- Furnishing (bought new)$30,000
Tax savings if the STR loophole applies
- Tax shield @ 32%$75,170
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
$962,000
Short-life (5/15-yr)
$204,000 · 21%
Year-1 deduction
$235,000
Year-1 tax shield @ 32%
$75,000
Land 12% (county tax record, market value split) · building $758,000 over 39 years · new furniture $30,000
Based on: 3,784 sq ft, built 1976, 6 bd / 5 ba, unfurnished, listing features (deck, fireplace, flooring types, appliance list, septic).
Try the cost segregation calculator on any property →
IRS-guide safe-harbor floor: $120,000 in year 1 (9% short-life, $38,000 tax shield), the conservative amount following the IRS audit guide's residential classification table.
- $18,300
Kitchen cabinetsdefault
$14,100 new × 40% good × 3.25 allocation
- $15,000
Kitchen countertopsdefault
$11,500 new × 40% good × 3.25 allocation
- $8,600
Decorative trimdefault
$6,600 new × 40% good × 3.25 allocation
- $1,000
Mirrorsdefault
$800 new × 40% good × 3.25 allocation
- $2,700
Shelvingdefault
$2,100 new × 40% good × 3.25 allocation
- $12,300
Window coverings (38)default
$9,500 new × 40% good × 3.25 allocation
- $14,200
Kitchen & laundry equipment plumbingdefault
$11,000 new × 40% good × 3.25 allocation
- $8,600
Kitchen, laundry & data equipment electricaldefault
$6,600 new × 40% good × 3.25 allocation
- $7,400
Appliances (range, microwave, dishwasher, refrigerator)listing
$5,700 new × 40% good × 3.25 allocation
- $30,000
Furniture bought newlisting
$30,000 new × 100% good · bought separately
- $20,700
Paving: driveway & walks (paved)default
$12,800 new × 50% good × 3.25 allocation
- $19,900
Landscaping (typical)default
$12,300 new × 50% good × 3.25 allocation
- $6,100
Patiosdefault
$3,700 new × 50% good × 3.25 allocation
- $69,200
Decks & porches (attached)listing
$42,600 new × 50% good × 3.25 allocation
- $533,600
Structure: foundation, framing, walls, windows, doors, roof, interior finishesdefault
$410,600 new × 40% good × 3.25 allocation
- $55,500
Building plumbing & fixturesdefault
$42,700 new × 40% good × 3.25 allocation
- $58,800
Building electrical & lightingdefault
$45,200 new × 40% good × 3.25 allocation
- $55,400
HVACdefault
$42,600 new × 40% good × 3.25 allocation
- $31,600
Hardwood & tile floorsdefault
$24,400 new × 40% good × 3.25 allocation
- $3,400
Fireplacelisting
$2,600 new × 40% good × 3.25 allocation
- $19,500
Septic systemlisting
$12,000 new × 50% good × 3.25 allocation
About the property
Depreciation schedule: typical cost seg study
| Year | 5-yr | 15-yr | Building | Total |
|---|---|---|---|---|
| 1 | $118,200 | $115,900 | $800 | $234,900 |
| 2 | $0 | $0 | $19,400 | $19,400 |
| 3 | $0 | $0 | $19,400 | $19,400 |
| 4 | $0 | $0 | $19,400 | $19,400 |
| 5 | $0 | $0 | $19,400 | $19,400 |
| 6+ | $0 | $0 | $679,300 | $679,300 |
| Total | $118,200 | $115,900 | $757,800 | $991,900 |
The building's share of the price ($962,000) is 3.2x our depreciated replacement cost of the home ($296,000). The IRS guide treats a gap this size as a reason to review the land share: if land is worth more than the county ratio says, the basis and the write-off are smaller.
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.