Advise on where to build our next short term rental.

[Peter Castrianni]

I live in NJ, we build a awesome A-frame in Sevierville TN and its doing great so far. We are ready to do our 2nd build STR. We would like something closer to home 5 hours max drive time instead of 11 hours to TN. Ime getting analysis paralysis trying to figure out where to build. I keep going back and forth between Shenandoah valley area such as Luray, Stanley. Finger Lakes NY, Catskills NY, or Poconos PA. Or should we just build another in TN. What market can a new modern unique a-frame cabin do the best. Need some advise. Thanks!

[Chris Watson]

Quote from @Collin Hays:

I'm interested in this topic, too.  I have always held that building is the most expensive way to get into STRs, but with the prices in the Smokies staying high with very little activity, I do wonder what the current building cost psf is in the Smokies. Any ideas Peter?

I have built seven in the Smokys and currently waiting on final structural drawings from the architect for my next build.  So in a few weeks I will have current costs from a highly reputable builder in the area.
Building costs change greatly depending on the lot.  I built two last year across the road from each other with one well 800 ft deep and the other 1,600 ft deep.  Have a flat lot? It can save up to $100k on foundation.  Do you have solid rock a few feet deep? Then you will pay more for hammering out stone for septic and foundation. Do you need a longer driveway? It could add $25k for concrete.  Is the lot already cleared? If not it might cost up to $20k if you want it hauled away.  We haven't even touched design and material choice. Do you want tile showers or regular tubs? I expect without furniture you can expect a build to run from $175sq ft for plain Jane cabin to $400+ sq ft for a unique design with custom cased glass.
My design is in between so I am expecting $225 to $275 sq ft with a $50k well allowance and $20k septic allowance on what I call a medium grade slope for Sevier County.
I am choosing to build because out of the about 2,500 cabins on the market right now only about a dozen interest me design and location wise and they are wanting $400 to $600 a sqft. Now I can build something unique to the Smokys at a lower price per sq ft including land acquisition.  Building isn't for everyone. There are still several subpar builders in the area so if you go the building route pay for a background check of your builder.  If the builder has been cutoff of credit at the local building supply store (84 Lumber/Tyndalls) and is on a cash only basis then stay away from them. Building isn't for the faint of heart, but can be very worthwhile for those who persevere.