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586 Ball Mountain Way

586 Ball Mountain Way

Gatlinburg, TN 37738

$1,099,000

6 bd · 5 ba · 3,784 sqft · Listed 4d ago

View on Realtor.com →
Low confidence

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)

$101,508$119,119$156,662

Few similar-size comps were found, so all comps are shown.

Median revenue of shown comps: $119,119

  • Theater + Sauna + Hot Tub • Mins to Smokies

    House · 6 bd · 4 ba · sleeps 16 · 256 ft

    • Hot tub
    • A/C
    • Free parking
    • Pets OK
    • +4

    Revenue $96,785ADR $636Occ ≈ 42%4★ (23)

    AirbnbVrboBooking

  • Best Smoky Mountain Panoramic Views! 3 porches

    Cabin · 6 bd · 4 ba · sleeps 12 · 0.2 mi

    • Hot tub
    • Pool
    • A/C
    • Free parking
    • +6

    Revenue $87,287ADR $627Occ ≈ 38%5★ (101)

    AirbnbVrbo

  • Twin Peaks by American Patriot Getaways

    Vacation home · 6 bd · 5 ba · sleeps 12 · 0.2 mi

    Revenue $168,028ADR $627Occ ≈ 73%—

    Booking

  • Dancing Bear Lodge - Upscale Cabin, Views, Arcades

    Cabin · 6 bd · 6 ba · sleeps 16 · 0.3 mi

    • Hot tub
    • Pool
    • A/C
    • Free parking
    • +7

    Revenue $122,562ADR $933Occ ≈ 36%4.8★ (59)

    AirbnbVrboBooking

  • PanoViews~FallSpecials~GmRm~PS5~FirePit~HotTub

    Cabin · 6 bd · 6 ba · sleeps 16 · 0.4 mi

    • Hot tub
    • A/C
    • Free parking
    • Wifi
    • +5

    Revenue $233,275ADR $927Occ ≈ 69%4.8★ (84)

    AirbnbVrboBooking

  • Luxury Mountain Lodge w/ Views, Games & Hot Tub

    Cabin · 6 bd · 5.5 ba · sleeps 16 · 0.5 mi

    • Hot tub
    • A/C
    • Free parking
    • Kitchen
    • +4

    Revenue $115,675ADR $678Occ ≈ 47%3★ (2)

    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

Est. revenue

$123,816

NOI

$77,233

Cash flow /mo

$6,436

Cash needed

$1,172,960

Cash-on-cash (all cash)

6.6%

ROE (yr 1)

9.4%

Cap rate

7.0%

DSCR

—

Year-1 write-off

$234,905

Year-1 tax shield @ 32%

$75,170

Year-1 return on equity

  • Cash flow (annual)$77,233
  • Principal paydown (n/a, cash)$0
  • Appreciation at%$32,970
ROE9.4%

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

  • Purchase price (all cash)$1,099,000
  • 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.

5-year property$118,200

  • Kitchen cabinetsdefault

    $14,100 new × 40% good × 3.25 allocation

    $18,300

  • Kitchen countertopsdefault

    $11,500 new × 40% good × 3.25 allocation

    $15,000

  • Decorative trimdefault

    $6,600 new × 40% good × 3.25 allocation

    $8,600

  • Mirrorsdefault

    $800 new × 40% good × 3.25 allocation

    $1,000

  • Shelvingdefault

    $2,100 new × 40% good × 3.25 allocation

    $2,700

  • Window coverings (38)default

    $9,500 new × 40% good × 3.25 allocation

    $12,300

  • Kitchen & laundry equipment plumbingdefault

    $11,000 new × 40% good × 3.25 allocation

    $14,200

  • Kitchen, laundry & data equipment electricaldefault

    $6,600 new × 40% good × 3.25 allocation

    $8,600

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

    $5,700 new × 40% good × 3.25 allocation

    $7,400

  • Furniture bought newlisting

    $30,000 new × 100% good · bought separately

    $30,000
15-year land improvements$115,900

  • Paving: driveway & walks (paved)default

    $12,800 new × 50% good × 3.25 allocation

    $20,700

  • Landscaping (typical)default

    $12,300 new × 50% good × 3.25 allocation

    $19,900

  • Patiosdefault

    $3,700 new × 50% good × 3.25 allocation

    $6,100

  • Decks & porches (attached)listing

    $42,600 new × 50% good × 3.25 allocation

    $69,200
Building, 39-year$757,800

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

    $410,600 new × 40% good × 3.25 allocation

    $533,600

  • Building plumbing & fixturesdefault

    $42,700 new × 40% good × 3.25 allocation

    $55,500

  • Building electrical & lightingdefault

    $45,200 new × 40% good × 3.25 allocation

    $58,800

  • HVACdefault

    $42,600 new × 40% good × 3.25 allocation

    $55,400

  • Hardwood & tile floorsdefault

    $24,400 new × 40% good × 3.25 allocation

    $31,600

  • Fireplacelisting

    $2,600 new × 40% good × 3.25 allocation

    $3,400

  • Septic systemlisting

    $12,000 new × 50% good × 3.25 allocation

    $19,500

About the property

Depreciation schedule: typical cost seg study

Year5-yr15-yrBuildingTotal
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.