Gatlinburg STR Condo?

Question

How well do condos do compared to cabins in Gatlinburg? There seem to be a good amount of them for sell. I’m trying to figure out is it worth going for.

Collin Hays · Answer

Condos are easily duplicated.  Any asset that is easily duplicated doesn't hold its value as well.  That holds true for every material possession, from cars to watches to real estate.

That being said, I know a fellow who scored some terrific condo deals in the heart of Gatlinburg last year, and he's banking.  So there are exceptions to every rule.

John Carbone · Answer

At the end of the day, the Gatlinburg area does not have very good hotels, even the decent ones are mostly dated and regularly go for $200 a night. These are all pretty much booked up too. Contrary to the belief of people on here, millions of people travel and stay in hotels for vacations - even in the smokies. as Colin mentioned, someone is killing it because they most likely modernized it and filled it with top amenities which local hotels do not have, and they are able to be priced lower than the hotels and still crush it. That being said, the high hoa fees will suppress your future real estate value (I’ve seen some as high as almost 1k a month in the area), just run the numbers though. In this environment, I think the boat has sailed for these opportunities in the area.

Kyle Smith · Answer

Good advice here.   I’ve heard the same advice from other management companies in the area.  A lot of these condos were $125k not even a year ago but people are buying on the hype

Gatlinburg STR Condo?

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