Investor · Raleigh, NC · Member since 2013 · 1k+ posts · 708 votes
5y
I own a cabin off of a dirt road in the Smokies also (just private use, not as STR), and you should pay close attention to what @Ken Boone points out. You WILL absolutely have trees and branches fall across the road (even during light rains or wind, definitely during heavy storms), and they can't always just be moved out of the way. Often, a chainsaw is needed. So if you can't easily get up there and clear the road yourself, make sure you have someone local you can rely on. Also, as Ken said, dirt roads DO wash out, especially in Winter, so be prepared to scape and gravel occasionally. Finally, when wet/icy/snow conditions prevail, inexperienced people (aka: STR guests....) CAN (and WILL) get stuck in mud ruts, soft shoulders, etc. Do not underestimate these issues - they are real. Not a huge issue if it is just for your own use (and you are willing to handle a chainsaw, toss some gravel, etc), but it is much dicier for vacation guests.
All that said, by providing lots of upfront information, and meticulous maintenance, you can probably minimize these issues, so it may still be worth giving it a shot as STR. Just be aware that bad stuff can and will likely happen from time to time. Consider providing a backup power generator and/or wood fireplace also - most powerlines in the mountains are above ground and get knocked down all the time.
Investor · The worst town to live in, KS · Member since 2016 · 4k+ posts · 4k+ votes
5y
Don't believe that for one second. We made an offer on a house that had been on the market for 12 months. 2 days later the agent said there was another offer, and wanted us to make our highest offer. We upped it by $1000 but the property did no sell. Same thing happened 2 years later. But this time I told the agent "You can let the other people have it, I withdraw my offer." A week later she comes crying back to me and asks me to make my initial offer again. Told her I wasn't interested. The house didn't sell.
Point of the 2 stories is that there was no other person making an offer in either situation.
Saw the same thing happen with an auctioneer. He got an opening bid of $10k, then $11k, then 12k, 13k, was trying to get 14k but no offer. So he restarted the auction at $5k, then $6k, then, $7k, couldn't get $8k. Then he turned to the seller and said "sorry, it didn't sell" then he walked out. Point of these 2 auctions is that there were zero bids. He was bidding it up with ghost bids. There were only 5 of us at that auction, and we were all curious as to who would buy it. Nobody there had any intentions of making a bid.
Your heading says new to real estate and you started this post with not familiar with the roads in the TN mtns, yet you don't sound like you want to take seriously what anyone says.
Bingo. And there you have it folks. Jeep Thread 2.0. It's almost like someone is playing with us just to see how long we'll keep offering advice that will never be taken.
Investor · Maggie Valley, NC · Member since 2020 · 284 posts · 85 votes
5y
@Paul Sandhu Yeah, It is very likely. I have an idea to negotiate down on the purchase price though. I got a great interest rate (2.7%), which does bring the payment down quite a bit. That makes up for a bit of the price difference.
Contractor/Investor/Consultant · San Diego / Phoenix · Member since 2021 · 12k+ posts · 15k+ votes
5y
Nope newbie, I don't think I will.....I will avoid any of your posts like the plague though. I get the feeling you have no intention of even doing any of the things you're talking about. OTOH, sometimes your thread is entertaining as hell though, I gotta admit...I think I'll keep you around just for the comic relief.... :-)
Knoxville, TN · Member since 2021 · 1 post · 0 votes
5y
@Kyler J Sloan I do not know much about Airbnb, but, as someone that has lived in East Tennessee all my life and have rented cabins and houses around Gatlinburg, I would say that you’re alright. Lots of places in East Tennessee have very steep driveways, especially cabins for rent and houses overlooking lakes. I believe you will be okay, but please take that with a grain of salt.
Rental Property Investor · Member since 2019 · 276 posts · 235 votes
5y
If you’re going to go through with it be VERY, VERY clear with guests what they will encounter. Our cabins are on a road that’s not even really crazy (compared to other roads in the area) and no matter how many times I say it, many people still comment about how “scary” it is. You will be accommodating mostly flat landers. 80-90% of my guests come from the south or mid-west where they have hills….kind of. :)