Started a new blog on Smoky Mountains investing

Short-Term & Vacation Rental Discussions
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Started a new blog on Smoky Mountains investing

Collin HaysBusiness Member
Property Manager · Gatlinburg, TN · Member since 2020 · 3k+ posts · 4k+ votes

I have received calls and emails from a number of folks on this board about investing in the Smokies. I wouldn't term myself an expert, but I have been investing in the Smokies since 2005.  I decided to start a blog addressing topics that come up a lot.  Feel free to follow along at your pleasure.  Have a great day everyone!

https://www.biggerpockets.com/...

[email protected]806-672-7102
SMOKY MOUNTAIN FALLS INC.51 Review
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  • Justin BeasleyPro Member
    Pigeon Forge, TN · Member since 2020 · 102 posts · 69 votes
    5y

    @Collin H. I bet you like the equity gain for those 2005-2015 investments:)

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  • Collin HaysBusiness Member
    OP
    Property Manager · Gatlinburg, TN · Member since 2020 · 3k+ posts · 4k+ votes
    5y

    It’s always enjoyable when prices are soaring.  It’s not as fun when you lose half of your home value, such as between 2005 and 2009.  Not that long ago, I recall hundreds of homes in the Smokies that were short sales.  “Just give me something to take this cabin from me.  I owe $300K, but if you can give me $200K, I think I can come up with the rest.”

    Today, you can sell any cabin by naming your price.  At times, you can buy any cabin by naming your price.  

    And when everyone starts saying “but this time it is different”, it’s time to run for your financial life.

    [email protected]806-672-7102
    SMOKY MOUNTAIN FALLS INC.51 Review
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  • Nancy Bachety
    Rental Property Investor · North Fork, NY · Member since 2016 · 1k+ posts · 631 votes
    5y

    Spoken like a man who knows. I’ll follow your blog, Collin. 

    0Reply
  • Wilson Hunter
    Investor · Greenville, SC · Member since 2020 · 210 posts · 302 votes
    4y

    Excellent blog! Thanks so much for this. I'm a new investor in the area and took about a year going through the new investor journey (devour content, analysis paralysis, get lending / agent in place, start making bids but no luck, finally win one, reno / pics, get STR team rolling, STR listing active / mission complete). I'm now looking for my second cabin.

    I can see this being easy if someone has average ROI goals and is maybe looking for some stock resort cabin, but man your Cosby cabin story and other stories of how to truly get creative in this market show that there is a lot of room to increase your return, even with all the sharks in the water.

    0Reply
  • Patrick M.
    Investor · Chatham County, NC · Member since 2014 · 89 posts · 20 votes
    4y

    Looking at some Smokies listings again today. Clearly in the current market getting in at a condo/townhome/attached unit is much more affordable on purchase price on a standalone cabin most of the time. Of course there are more likely to be higher HOA fees on the attached units. Can anyone speak to how much going with a condo/townhome impacts the profitability of STRs? Do they do better than cabins because of their lower debt carrying costs? Do they do worse due to higher fees and lower per-night rental rates? Does their vacancy perform similar to standalone cabins?

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  • Collin HaysBusiness Member
    OP
    Property Manager · Gatlinburg, TN · Member since 2020 · 3k+ posts · 4k+ votes
    4y
    Originally posted by @Patrick M.:

    Looking at some Smokies listings again today. Clearly in the current market getting in at a condo/townhome/attached unit is much more affordable on purchase price on a standalone cabin most of the time. Of course there are more likely to be higher HOA fees on the attached units. Can anyone speak to how much going with a condo/townhome impacts the profitability of STRs? Do they do better than cabins because of their lower debt carrying costs? Do they do worse due to higher fees and lower per-night rental rates? Does their vacancy perform similar to standalone cabins?

    I would like to hear from condo owners in the Smokies on this, myself.  In 2015, we conducted a focus group with a small number of vacationers to the Smokies.  We found that most go to the Smokies expecting a “cabin” experience. Bear decor, logs, plaid comforters -the whole nine yards.  

    Of course, with a little creativity, even a condo owner can make the place feel rustic and “cabin-y”.

    We occasionally have an owner-client want to move away from these things and to transition to a more modern, minimalist look, currently all the rage. I caution against this:  Vacationers to the mountains do not typically want their accommodation to appear trendy.  They usually want something that “fits” the area, even though I might personally think it is corny or passé.

    Vacation experience preferences vary greatly from person to person, so a condo owner in the Smokies is going to be focusing on vacationers who are either ambivalent about their acccommodation type, or have a preference to condominiums. 

    Best of luck to you!
     

    [email protected]806-672-7102
    SMOKY MOUNTAIN FALLS INC.51 Review
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    1Reply
  • Thomas Bass
    Salem, IN · Member since 2018 · 11 posts · 3 votes
    4y

    @Collin H. I would love to talk to you about this when you have a second.

    0Reply
  • Collin HaysBusiness Member
    OP
    Property Manager · Gatlinburg, TN · Member since 2020 · 3k+ posts · 4k+ votes
    4y
    Originally posted by @Thomas Bass:

    @Collin H. I would love to talk to you about this when you have a second.

     Happy to help any time!

    [email protected]806-672-7102
    SMOKY MOUNTAIN FALLS INC.51 Review
    WebsiteView Page
    0Reply
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