Smoky Mountain Cabin

11 Replies

Hi all who are investing in Smoky Mountain area (Gatlingburg/Pigeon Forge/Severville)! Is it too late for me to try to get into the game? Are those cabins overpriced? I just saw one cabin had a price cut $100k...Is it normal?

It looks like to get a decent (not updates needed) cabin in 1b1b needs to be at lease $300k and above. Is it worth it to invest in 1b1b cabin around 500sq?

Any of your opinions would be really appreciated!!

Yes they are overpriced, but yes you can still make great returns. It’s never too late. You just may need to put more cash down in order to cash flow. (Not that you need to right now.) 
It all cash flows if you pay cash!


Originally posted by @Joshua Strickland :

Yes they are overpriced, but yes you can still make great returns. It’s never too late. You just may need to put more cash down in order to cash flow. (Not that you need to right now.) 
It all cash flows if you pay cash!

 

Compare to Florida, do you think it is better to invest in Smoky?


Originally posted by @Xumin(Cassie) Ma :

@Joshua Strickland

How do you finance the property?

20% as investment property or commercial loan since they don’t need to look at my debt to income ratio?

Full disclosure… I’m not a lender or have a ton of knowledge of that world, but with that said…..

I’ve did 3 types of loans. First was a 10% second home loan, then a private money loan from a family member which I cash out refi’d, then a 15% second home loan on a condo(which I had to call 20+ lenders to find and was more headache than what it is worth.) I’m closing on the sale for one of my cabins in a week and am doing my first 1031 exchange to get that under my belt.

Investment and portfolio loans tend to be easier and less headache in my opinion. Especially from some of the national companies that I’ve been quoted from like Visio, Host Financial, but I’ve never actually closed on with them yet so it is TBD.

All depends on your situation. If you have a low DTI then a second home loan most likely has the best rates and down payment, but once your DTI gets higher lenders have questions and will request every financial document that you've ever been a part of. Maybe best to go with investment or portfolio loans at that point to forgo some of those issues.

Originally posted by @Joshua Strickland :

@Keleisha Carter Movement Mortgage in Knoxville. All are in my personal name. Haven't did the LLC thing yet, but hope so soon!

 Thanks for all the advice! I have reached out to Visio and Host Financial to see what options they have. Meanwhile I also just had my eye on Movement Mortgage. I am going to contact them as well!