Panic sales starting to pop up in the Smokies: Approved short sales

[Collin Hays]

I assumed we would start seeing this as the summer peak neared.  I predict the market will be flooded with these types of listings by the end of August, with things getting really ugly as the end of year approaches. 

This home is now an "approved short sale", which means the owner owes more than it is worth, and the bank is willing to allow them to sell it "short" (below what the loan is), and eat the rest.  This sold for $850K in 2022 brand new.

3453 Laurel Ridge Way, Sevierville, TN 37862 [Updated 7/11]

[Collin Hays]

Quote from @Bill B.:

It looks very nice, but still seems expensive to someone who doesn't know the market. Are the new Airbnb rules/emulations at least partially to blame for accelerating the collapse? I don't do any STR but the last Kathy retake podcast I listened to talked about a lot of bad changes.

Pay nothing or a small portion to hold the property until 3 days before stay and then cancel without penalty.

Allow credit card charge back months later even with no complaints and Airbnb still gets paid. 

Airbnb can hold your payments for violations they think you committed without telling you what violation, when you’ll get money, or when it will resolved. 

Again no experience with them/this but sounds like they’ve decided they’re the only game in town and screw the hosts, they’re going to make more money. 

The environment for investors has become increasingly hostile over the last three years, primarily cash grabs from the booking platforms, counties, municipalities, insurance companies, and even utility companies.

Everyone is making a grab, leaving the investor with less and less.  But the greed monster always ultimately consumes itself, new players emerge, and the game resets, albeit often in a different form.