All Forum Posts by: Kyle Smith

Right now you have to think about recession proofing things the best you can.  #1 - Mountain Views, #2 - proximity to Gatlinburg/PF, #3 Cabin Amenities (indoor pool a big plus). You have to think about competing with a few thousand cabins and what will make yours stand out from the rest.  There are a ton of big view cabins out there.  Position yourself correctly for the bad times and you will float through the bad and do well when things are great. 

All in on my 2600 sqft pool cabin with a big view, and me doing most of the construction management, was around $365/sqft.  It was built on a critical slope and the foundation was around $150k.  I’m with Luke. I wouldn’t build again…not in the smokies. Too many bad builders, contract labor is out of hand and the material costs haven’t came down like they should.  Also, better dang sure know who your contractor is and have many references and call those references.  If his estimates are too low, stay away.  Also note, if he can start this month then he has no business building in the mountains.  As far as I know, all the good builders are backed up for 6 months to 2 years to start. 

Collin, what drop percentage in valuations do see on the horizon?  Many of these properties jumped 100%+ in price. I’m assuming they will never come back down to 2020 prices but my fear is valuations could drop 30-50%. 

My advice to anyone wanting to build in Sevier County…

Even when you do you’re own due diligence the variables are great.   Tough to nail down a case for that. 

I consider myself a fairly knowledgeable owner/builder but the variables for these mountain cabins can be numerous and very expensive.  Most view lots left are on hardship slopes meaning they are so steep you may need a $100-200k foundation.  I don’t necessarily trust contractors to get the estimate right so many of these are cost plus construction contracts.  Builders know this and do not want to take on the liability for a 100k change order.  Believe me when I say this, building in the mountains is not for the faint of heart.  Be prepared to have overages and overruns and when they start coming in they can be potentially huge.  I will not build another cabin on a significant slope or on a cost plus arrangement.  I’ve spent too many hours in stress and anxiety over this stuff. The end result will be amazing but be prepared for the ride of your life and it can go south fast if you don’t know what you are doing.   My advise to everyone is to buy a 80-100% built cabin which is near completion if you are going new.  Best scenario is buy existing if you can. You may pay more but in my opinion the peace of mind is worth it. 

Quote from @Collin Hays:

Many guests want a real fire. I have a cabin in Gatlinburg that does outstanding, in part because it has a real, wood- burning fireplace.

Electric fireplaces have their place, but they are fake.  They are heaters with some flame effect that is cheesy at best.  

There is not a surcharge on insurance if you have a wood burner.  That is a misnomer.

I totally see your point. I have a wood burning in my home and I absolutely love it but I’m really hesitant allowing guests who have never owned one to properly work it. If it doesn’t pull air right or the wind is blowing in the wrong direction at a certain speed it could smoke Up the entire house.  Sometimes you never know if a particular fireplace will properly pull air right. So, I bought a highend electric and did away with all possible safety issues.  It really is pretty sweet. 

I do think saturation will be a problem in the coming years in the Smokys for non-view plain knotty pine cabins. My builder just signed a contract to build 130 cabins next year. I also spoke with an excavation company owner who’s saying he’s so busy he can’t keep up. I asked him if these cabins being built are cabins with a view and he said the vast majority are not.  So, I would make sure you build with location and amenities at the forefront of your mind. If you can’t build or purchase better than the rest I wouldn’t build or purchase. My 2 cents. 

Quote from @Ken Boone:

Kyle

Go down and talk to Sevier County Electric. They will sell you the Rheem Marathon 85 gallon unit with a lifetime warranty for cost.  You can check it out on their website. I have these units in all my cabins but one where it won’t fit. 

Will do!  Thanks

Quote from @Ken Boone:

The 50 gallon with booster would probably work too.  The one cabin I don't have the 85 gallon rheem marathon in has a 50 gallon with a booster.  Now me and a buddy have pretty much the same cabin by the same builder except when he built his the plumber did not put the booster on.  He got complaints pretty quick from guests.  The problem is if you have the jacuzzi tubs.  In this particular cabin we have a jacuzzi tub in each king suite.  A standard tub can take up to 80 gallons, these jacuzzi tubs typically go more than that.  Someone would fill one tub up and pretty much drain the hot water, then someone else hopped in the shower and the 50 gallon couldn't recover fast enough.  I have not had that complaint in mine that has the booster so far.  The cabins I am referring to sleep 8 btw.  With 10 I would definitely feel more comfortable with the 85 gallon rheem though.  I wanted to swap this one out to an 85 but it won't fit in the space the builder provided.  Sevier county electric offers 3 sizes of the rheem marathon though.

So I’m just now learning about these boosters.  I was thinking of putting in an 80 gal medium height with booster. They are advertising the 80 with booster performs like a 120 gal.  It’s sounding like you have some experience with the results and it sounds promising.