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Updated over 3 years ago on . Most recent reply

STR Cabin near Gatlinburg
So I have recently been exploring the area of Gatlinburg and surrounding towns for a str cabin. Obviously, prices have risen an astonishing amount, and that puts investors like me in a tricky spot. I want to get in on str and I love this market, but at the same time, I don't love the idea of putting down such a large down deposit, even at 10%, and having a $3,000 monthly mortgage payment to worry about. You go down to the 1bed1baths and even then prices don't drop enough to justify the drop in ROI. I wonder how other people are handling these struggles?
Anyways, I recently found an $85,000 cabin in Cosby, TN (30 minutes from Gatlinburg), that I think might make a great 1b1ba rental. With some TLC it would be a cute 600+ sq ft studio on a half-acre lot. I'm thinking I could get it all in for $30,000 after rehab and pull $100 a night on it. My monthly PIMI would be $422 and my potential ROI would be 36%. Any local investors know if these numbers make any sense? Thanks for reading!