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Rate 7.93% = 7.18% Freddie Mac 30-yr avg (Nov 5) + 0.75% investor premium

1014 Potters Way

1014 Potters Way

Gatlinburg, TN 37738

$1,030,500

5 bd · 6.5 ba · 4,414 sqft · Listed 7d ago

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

Year built

2022

Sqft

4,414

Lot sqft

—

HOA / mo

$375

Furnished

No

List date

2026-11-05T16:05:58.000000Z

Revenue

Annual revenue

$74,096

ADR

$383

Occupancy

53%

Cleaning fees (12 mo)

$8,334

Confidence

Med (62.97), 32 comps

Comp revenue range (p25 / median / p75)

$51,142$73,678$84,044

Median revenue of shown comps: $53,200

  • 5BR, hot tub, theater, and elevator.

    Cabin · 5 bd · 5.5 ba · sleeps 12 · 174 ft

    Revenue $50,198ADR $484Occ ≈ 28%4.5★ (71)

    Airbnb

  • Pirates Peak • Luxe 5BR Chalet -Indoor Pool, Game

    Chalet · 5 bd · 6.5 ba · sleeps 14 · 210 ft

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

    Revenue $66,171ADR $537Occ ≈ 34%5★ (6)

    AirbnbVrboBooking

  • Modern 5BR, hot tub, game room.

    Cabin · 5 bd · 5.5 ba · sleeps 12 · 240 ft

    Revenue $74,980ADR $482Occ ≈ 43%4.7★ (87)

    Airbnb

  • Gatlinburg 116 - Five Bedroom Villa, Sleeps 14

    Villa · 5 bd · 7 ba · sleeps 14 · 282 ft

    Revenue $21,492ADR $467Occ ≈ 13%—

    Delisted

  • Harmony Peak – Luxury 5BR Chalet with Indoor Pool,

    Chalet · 5 bd · 7 ba · sleeps 14 · 285 ft

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

    Revenue $73,304ADR $517Occ ≈ 39%5★ (2)

    AirbnbVrboBooking

  • Head Over Hills –Luxe 5-Bed Chalet with Theater, S

    Chalet · 5 bd · 5.5 ba · sleeps 12 · 318 ft

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

    Revenue $56,630ADR $506Occ ≈ 31%4.6★ (5)

    AirbnbVrboBooking

  • Gatlinburg 114 - Five Bedroom Villa, Sleeps 12

    Villa · 5 bd · 6 ba · sleeps 12 · 384 ft

    Revenue $24,859ADR $393Occ ≈ 17%—

    Delisted

  • Firefly Nights – 5-Bed Mountain Chalet with Privat

    Chalet · 5 bd · 5.5 ba · sleeps 12 · 404 ft

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

    Revenue $53,200ADR $516Occ ≈ 28%5★ (3)

    AirbnbVrboBooking

  • Brand New Luxury 5 BR with Indoor heated pool

    Cabin · 5 bd · 6.5 ba · sleeps 14 · 476 ft

    Revenue $39,996ADR $533Occ ≈ 21%4.8★ (5)

    Booking

  • 5BR, theater, game room, resort pool.

    Chalet · 5 bd · 5.5 ba · sleeps 12 · 0.1 mi

    Revenue $26,764ADR $540Occ ≈ 14%4.8★ (39)

    AirbnbBooking

Show 9 more

  • Modern 5BR, hot tub, game room.

    Cabin · 5 bd · 5.5 ba · sleeps 12 · 0.1 mi

    Revenue $38,277ADR $535Occ ≈ 20%4.5★ (1)

    Booking

  • Starry Starry Night – Luxury Chalet with Indoor Po

    Chalet · 5 bd · 7 ba · sleeps 14 · 0.1 mi

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

    Revenue $70,539ADR $520Occ ≈ 37%5★ (8)

    AirbnbVrboBooking

  • Brand New Luxury 5 BR with Indoor heated pool

    Cabin · 5 bd · 6.5 ba · sleeps 14 · 0.1 mi

    Revenue $71,313ADR $585Occ ≈ 33%4.8★ (35)

    AirbnbBooking

  • Break Time - Modern 5BR with hot tub, game room, a

    Chalet · 5 bd · 5.5 ba · sleeps 12 · 0.1 mi

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

    Revenue $48,243ADR $566Occ ≈ 23%4.2★ (7)

    AirbnbVrboBooking

  • New luxury 5 BR with Indoor Heated Pool

    Cabin · 5 bd · 6.5 ba · sleeps 14 · 0.1 mi

    Revenue $51,456ADR $758Occ ≈ 19%4.9★ (18)

    AirbnbBooking

  • Gatlinburg 59 - Five Bedroom Villa, Sleeps 12

    Villa · 5 bd · 6 ba · sleeps 12 · 0.1 mi

    Revenue $10,963ADR $378Occ ≈ 8%—

    Delisted

  • New luxury 5 BR with Indoor Heated Pool

    Cabin · 5 bd · 6.5 ba · sleeps 14 · 0.1 mi

    Revenue $97,263ADR $651Occ ≈ 41%5★ (16)

    Delisted

  • 5BR, indoor pool, game rooms, hot tub.

    Cabin · 5 bd · 6.5 ba · sleeps 14 · 0.2 mi

    Revenue $101,746ADR $605Occ ≈ 46%4.7★ (35)

    AirbnbBooking

  • Mountain View - Rooftop Patio - Theater - Games

    Cabin · 5 bd · 5.5 ba · sleeps 12 · 0.5 mi

    • Hot tub
    • A/C
    • Free parking
    • Pets OK
    • +5

    Revenue $82,899ADR $577Occ ≈ 39%4.7★ (180)

    AirbnbVrboBooking

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
Term

Rate 7.93% = 7.18% Freddie Mac 30-yr avg (Nov 5) + 0.75% investor premium

Est. revenue

$74,096

NOI

$38,346

Cash flow /mo

-$2,438

Cash needed

$331,345

Cash-on-cash

-8.8%

ROE (yr 1)

2.5%

Cap rate

3.7%

DSCR

0.57

Year-1 write-off

$259,084

Year-1 tax shield @ 32%

$82,907

Year-1 return on equity

  • Cash flow (annual)-$29,255
  • Principal paydown$6,547
  • Appreciation at%$30,915
ROE2.5%

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)$14,819
  • Platform fees (3% of revenue)$2,223
  • Maintenance / capex (5% of revenue)$3,705
  • Utilities & supplies$4,200
  • HOA$4,500
  • Property tax$120
  • Insurance (STR-rated)$6,183

Cash needed to close

  • Down payment (25%)$257,625
  • Closing costs (4.0%)$41,220
  • Furnishing (bought new)$32,500

Tax savings if the STR loophole applies

  • Tax shield @ 32%$82,907

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

$876,000

Short-life (5/15-yr)

$226,000 · 26%

Year-1 deduction

$259,000

Year-1 tax shield @ 32%

$83,000

Land 15% (market default, no usable tax-record split) · building $650,000 over 39 years · new furniture $33,000

Based on: 4,414 sq ft, built 2022, 5 bd / 6.5 ba, unfurnished, listing features (hot tub, pool, deck, game room, fireplace, stone counters, flooring types, appliance list, wooded lot).

Try the cost segregation calculator on any property →

IRS-guide safe-harbor floor: $176,000 in year 1 (16% short-life, $56,000 tax shield), the conservative amount following the IRS audit guide's residential classification table.

5-year property$130,800

  • Kitchen cabinetsdefault

    $15,500 new × 84% good × 1.11 allocation

    $14,400

  • Kitchen countertops (stone)listing

    $15,800 new × 84% good × 1.11 allocation

    $14,700

  • Decorative trimdefault

    $7,700 new × 84% good × 1.11 allocation

    $7,200

  • Mirrorsdefault

    $900 new × 67% good × 1.11 allocation

    $700

  • Shelvingdefault

    $1,800 new × 84% good × 1.11 allocation

    $1,700

  • Window coverings (44)default

    $11,000 new × 60% good × 1.11 allocation

    $7,300

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

    $28,400 new × 67% good × 1.11 allocation

    $21,000

  • Kitchen & laundry equipment plumbingdefault

    $12,000 new × 92% good × 1.11 allocation

    $12,300

  • Kitchen, laundry & data equipment electricaldefault

    $7,300 new × 92% good × 1.11 allocation

    $7,400

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

    $7,700 new × 67% good × 1.11 allocation

    $5,700

  • Hot tub (freestanding)listing

    $9,000 new × 60% good × 1.11 allocation

    $6,000

  • Furniture bought newlisting

    $26,500 new × 100% good · bought separately

    $26,500

  • Game-room equipment bought newlisting

    $6,000 new × 100% good · bought separately

    $6,000
15-year land improvements$127,600

  • Paving: driveway & walks (paved)listing

    $13,800 new × 84% good × 1.11 allocation

    $12,800

  • Landscaping (minimal)listing

    $6,600 new × 84% good × 1.11 allocation

    $6,200

  • Patiosdefault

    $4,400 new × 84% good × 1.11 allocation

    $4,100

  • Decks & porches (attached)listing

    $49,700 new × 80% good × 1.11 allocation

    $44,000

  • Pool (in-ground)listing

    $65,000 new × 84% good × 1.11 allocation

    $60,500
Building, 39-year$650,000

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

    $479,600 new × 93% good × 1.11 allocation

    $496,000

  • Building plumbing & fixturesdefault

    $49,800 new × 92% good × 1.11 allocation

    $50,800

  • Building electrical & lightingdefault

    $53,200 new × 92% good × 1.11 allocation

    $54,300

  • HVACdefault

    $49,700 new × 80% good × 1.11 allocation

    $44,100

  • Fireplaces (2)listing

    $5,300 new × 84% good × 1.11 allocation

    $4,900

About the property

Depreciation schedule: typical cost seg study

Year5-yr15-yrBuildingTotal
1$130,800$127,600$700$259,100
2$0$0$16,700$16,700
3$0$0$16,700$16,700
4$0$0$16,700$16,700
5$0$0$16,700$16,700
6+$0$0$582,700$582,700
Total$130,800$127,600$650,000$908,400

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.