STR Yield
← Back to deals
MortgageCash

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

772 Deer Path Ln

772 Deer Path Ln

Gatlinburg, TN 37738

$550,000

2 bd · 2 ba · 1,632 sqft · Listed 4d ago

View on Realtor.com →
Est. land %Negative cash flow

Year built

2008

Sqft

1,632

Lot sqft

20,909

HOA / mo

None

Furnished

Yes

List date

2026-09-23T16:54:42Z

Revenue

Annual revenue

$47,101

ADR

$208

Occupancy

62%

Cleaning fees (12 mo)

$8,740

Confidence

Med (58.74), 48 comps

Comp revenue range (p25 / median / p75)

$36,923$46,391$61,567

  • Dog-friendly 2BR Cabin w/ Free Attraction Tickets

    2 bd · 2 ba · sleeps 6 · 59 ft

    Revenue —ADR $225Occ ≈ —4.5★ (37)

    AirbnbVrbo

  • Luxe Cabin, Sleep 6, Hot Tub, Fireplace, Views

    2 bd · 2 ba · sleeps 6 · 177 ft

    Revenue —ADR $222Occ ≈ —4.5★ (17)

    AirbnbVrbo

  • Quiet Gatlinburg Retreat・Hot tub・Fireplace・Pool

    2 bd · 2 ba · sleeps 6 · 272 ft

    Revenue —ADR $216Occ ≈ —3.7★ (11)

    AirbnbVrbo

  • NEW! Fifty Shades Themed-Honeymoon Cabin

    2 bd · 2 ba · sleeps 6 · 377 ft

    Revenue —ADR $235Occ ≈ —5★ (39)

    AirbnbVrbo

  • Charlottes Haus | Wraparound Porch + Game Room

    2 bd · 2 ba · sleeps 6 · 449 ft

    Revenue —ADR $301Occ ≈ —5★ (2)

    AirbnbVrbo

  • 2BR cabin w/shared pools & free attraction tickets

    2 bd · 2 ba · sleeps 6 · 502 ft

    Revenue —ADR $235Occ ≈ —4★ (14)

    AirbnbVrbo

  • Views+Hot Tub+TreeTops+Bears+W/D+Easy Parking

    2 bd · 2.5 ba · sleeps 5 · 0.1 mi

    Revenue —ADR $249Occ ≈ —5★ (222)

    Airbnb

  • Gatlinburg Smoky Mountain Cabin with a view

    2 bd · 3 ba · sleeps 8 · 0.1 mi

    Revenue —ADR $340Occ ≈ —5★ (227)

    Airbnb

  • Peace And Serenity Lodge - Hot Tub, Game, Views!

    2 bd · 2.5 ba · sleeps 8 · 0.1 mi

    Revenue —ADR $247Occ ≈ —5★ (36)

    AirbnbVrbo

  • Peaceful privacy of Smoky Mtns! Sleep 8/Hot Tub!

    2 bd · 2.5 ba · sleeps 8 · 0.1 mi

    Revenue —ADR $245Occ ≈ —5★ (49)

    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

$47,101

NOI

$24,108

Cash flow /mo

-$955

Cash needed

$159,500

Cash-on-cash

-7.2%

ROE (yr 1)

5.4%

Cap rate

4.4%

DSCR

0.68

Year-1 write-off

$89,070

Year-1 tax shield @ 32%

$28,502

Year-1 return on equity

  • Cash flow (annual)-$11,457
  • Principal paydown$3,599
  • Appreciation at%$16,500
ROE5.4%
ROE incl. year-1 tax savings (32% bracket, STR loophole)23.3%
Opex, cash-needed & tax-savings breakdown

Annual operating expenses

  • Management (20% of revenue)$9,420
  • Platform fees (3% of revenue)$1,413
  • Maintenance / capex (5% of revenue)$2,355
  • Utilities & supplies$4,200
  • HOA$0
  • Property tax$2,305
  • Insurance (STR-rated)$3,300

Cash needed to close

  • Down payment (25%)$137,500
  • Closing costs (4.0%)$22,000
  • Furnishing (conveyed with the sale)$0

Tax savings if the STR loophole applies

  • Tax shield @ 32%$28,502

No county tax record split for property tax, insurance rate and the land/building split, so those use market defaults — edit the price above; 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

$468,000

Short-life (5/15-yr)

$88,000 · 19%

Year-1 deduction

$89,000

Year-1 tax shield @ 32%

$29,000

Land 15% (market default, no usable tax-record split) · building $381,000 over 39 years

Based on: 1,632 sq ft, built 2008, 2 bd / 2 ba, furnished, listing features (hot tub, fireplace, flooring types).

IRS-guide safe-harbor floor: $67,000 in year 1 (14% short-life, $21,000 tax shield), the conservative amount following the IRS audit guide's residential classification table.

5-year property$64,400

  • Kitchen cabinetsdefault

    $9,400 new × 40% good × 2.38 allocation

    $8,900

  • Kitchen countertopsdefault

    $7,700 new × 40% good × 2.38 allocation

    $7,300

  • Decorative trimdefault

    $2,900 new × 40% good × 2.38 allocation

    $2,700

  • Mirrorsdefault

    $300 new × 40% good × 2.38 allocation

    $300

  • Shelvingdefault

    $900 new × 40% good × 2.38 allocation

    $900

  • Window coverings (16)default

    $4,000 new × 40% good × 2.38 allocation

    $3,800

  • Kitchen & laundry equipment plumbingdefault

    $7,300 new × 64% good × 2.38 allocation

    $11,100

  • Kitchen, laundry & data equipment electricaldefault

    $4,400 new × 64% good × 2.38 allocation

    $6,700

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

    $8,100 new × 40% good × 2.38 allocation

    $7,700

  • Hot tub (freestanding)listing

    $9,000 new × 40% good × 2.38 allocation

    $8,600

  • Furniture conveyed with the sale (used)listing

    $16,000 new × 40% good · out of the price

    $6,400
15-year land improvements$23,400

  • Paving: driveway & walks (paved)default

    $8,400 new × 50% good × 2.38 allocation

    $10,000

  • Landscaping (typical)default

    $8,100 new × 50% good × 2.38 allocation

    $9,600

  • Patiosdefault

    $1,600 new × 50% good × 2.38 allocation

    $1,900

  • Decks & porches (attached)default

    $1,600 new × 50% good × 2.38 allocation

    $1,900
Building, 39-year$380,600

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

    $177,100 new × 70% good × 2.38 allocation

    $295,300

  • Building plumbing & fixturesdefault

    $18,300 new × 64% good × 2.38 allocation

    $28,000

  • Building electrical & lightingdefault

    $18,000 new × 64% good × 2.38 allocation

    $27,400

  • HVACdefault

    $18,400 new × 40% good × 2.38 allocation

    $17,500

  • Hardwood & tile floorsdefault

    $10,500 new × 40% good × 2.38 allocation

    $10,000

  • Fireplacelisting

    $2,600 new × 40% good × 2.38 allocation

    $2,500

About the property

Depreciation schedule: typical cost seg study

Year5-yr15-yrBuildingTotal
1$64,400$23,400$1,200$89,100
2$0$0$9,800$9,800
3$0$0$9,800$9,800
4$0$0$9,800$9,800
5$0$0$9,800$9,800
6+$0$0$340,400$340,400
Total$64,400$23,400$380,600$468,500

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.