STR Yield
← Back to deals
MortgageCash
10632 Cheshire Way

10632 Cheshire Way

Palo Cedro, CA 96073

$410,000

3 bd · 2 ba · 1,479 sqft · Listed 1d ago

View on Realtor.com →
Low confidence

Year built

1990

Sqft

1,479

Lot sqft

261,360

HOA / mo

$0

Furnished

No

List date

2026-10-10T00:44:31.000000Z

Revenue

Annual revenue

$20,911

ADR

$144

Occupancy

40%

Cleaning fees (12 mo)

$2,345

Confidence

Low (—), 4 comps

Comp revenue range (p25 / median / p75)

$17,762$22,869$25,451

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

Median revenue of shown comps: $22,869

  • Serene Homestead Hideaway

    House · 3 bd · 2 ba · sleeps 6 · 0.9 mi

    Revenue $24,633ADR $162Occ ≈ 42%4.7★ (21)

    Delisted

  • Palo Cedro Country Family Home on Creek

    House · 3 bd · 2 ba · sleeps 7 · 2.0 mi

    Revenue $7,735ADR $221Occ ≈ 10%—

    Delisted

  • Palo Cedro 22-Acre ViewPoint Lodge

    House · 3 bd · 3 ba · sleeps 8 · 2.0 mi

    • A/C
    • Free parking
    • Wifi
    • Kitchen
    • +2

    Revenue $27,906ADR $293Occ ≈ 26%5★ (23)

    AirbnbVrbo

  • Peaceful Craftsman on Acres w/Labyrinth

    House · 3 bd · 2 ba · sleeps 5 · 2.0 mi

    Revenue $21,104ADR $201Occ ≈ 29%4.9★ (9)

    Delisted

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

$20,911

NOI

$3,947

Cash flow /mo

$329

Cash needed

$445,900

Cash-on-cash (all cash)

0.9%

ROE (yr 1)

3.6%

Cap rate

1.0%

DSCR

—

Year-1 write-off

$133,440

Year-1 tax shield @ 32%

$42,701

Year-1 return on equity

  • Cash flow (annual)$3,947
  • Principal paydown (n/a, cash)$0
  • Appreciation at%$12,300
ROE3.6%

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)$4,182
  • Platform fees (3% of revenue)$627
  • Maintenance / capex (5% of revenue)$1,046
  • Utilities & supplies$4,200
  • HOA$0
  • Property tax$5,125
  • Insurance (STR-rated)$2,399

Cash needed to close

  • Purchase price (all cash)$410,000
  • Closing costs (4.0%)$16,400
  • Furnishing (bought new)$19,500

Tax savings if the STR loophole applies

  • Tax shield @ 32%$42,701

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

$381,000

Short-life (5/15-yr)

$114,000 · 30%

Year-1 deduction

$133,000

Year-1 tax shield @ 32%

$43,000

Land 7% (county tax record, assessed value split) · building $267,000 over 39 years · new furniture $20,000

Based on: 1,479 sq ft, built 1990, 3 bd / 2 ba, unfurnished, listing features (deck, flooring types, septic).

Try the cost segregation calculator on any property →

IRS-guide safe-harbor floor: $84,000 in year 1 (17% short-life, $27,000 tax shield), the conservative amount following the IRS audit guide's residential classification table.

5-year property$82,900

  • Kitchen cabinetsdefault

    $9,000 new × 40% good × 2.98 allocation

    $10,800

  • Kitchen countertopsdefault

    $7,400 new × 40% good × 2.98 allocation

    $8,800

  • Decorative trimdefault

    $2,600 new × 40% good × 2.98 allocation

    $3,100

  • Mirrorsdefault

    $300 new × 40% good × 2.98 allocation

    $400

  • Shelvingdefault

    $1,200 new × 40% good × 2.98 allocation

    $1,400

  • Window coverings (15)default

    $3,800 new × 40% good × 2.98 allocation

    $4,500

  • Carpet, vinyl & laminate (100% of floors)listing

    $9,500 new × 40% good × 2.98 allocation

    $11,300

  • Kitchen & laundry equipment plumbingdefault

    $7,000 new × 40% good × 2.98 allocation

    $8,400

  • Kitchen, laundry & data equipment electricaldefault

    $4,300 new × 40% good × 2.98 allocation

    $5,100

  • Appliances (range, microwave, dishwasher, disposal, refrigerator, washer, dryer)default

    $8,100 new × 40% good × 2.98 allocation

    $9,700

  • Furniture bought newlisting

    $19,500 new × 100% good · bought separately

    $19,500
15-year land improvements$50,300

  • Paving: driveway & walks (paved)default

    $8,000 new × 50% good × 2.98 allocation

    $11,900

  • Landscaping (typical)default

    $7,700 new × 50% good × 2.98 allocation

    $11,400

  • Patiosdefault

    $1,500 new × 50% good × 2.98 allocation

    $2,200

  • Decks & porches (attached)listing

    $16,600 new × 50% good × 2.98 allocation

    $24,800
Building, 39-year$267,400

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

    $160,100 new × 40% good × 2.98 allocation

    $190,800

  • Building plumbing & fixturesdefault

    $16,600 new × 40% good × 2.98 allocation

    $19,800

  • Building electrical & lightingdefault

    $16,000 new × 40% good × 2.98 allocation

    $19,100

  • HVACdefault

    $16,700 new × 40% good × 2.98 allocation

    $19,900

  • Septic systemlisting

    $12,000 new × 50% good × 2.98 allocation

    $17,900

About the property

Depreciation schedule: typical cost seg study

Year5-yr15-yrBuildingTotal
1$82,900$50,300$300$133,400
2$0$0$6,900$6,900
3$0$0$6,900$6,900
4$0$0$6,900$6,900
5$0$0$6,900$6,900
6+$0$0$239,700$239,700
Total$82,900$50,300$267,400$400,600

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: 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

Rules differ by jurisdiction. City of Redding caps whole-home vacation rentals at 400 with a 600 ft spacing rule (300 ft with a physical buffer), and its permit is NOT transferable to a new owner. Shasta Lake city and unincorporated Shasta County allow permitted rentals with no cap found, but permits also do not transfer on sale. Lodging tax ~10% plus a 2% tourism assessment in Redding. Verify parcel eligibility with the city or county before you buy.