Cash on Cash Return Blue Ridge GA

[Alicia Hall]

Happy Saturday! I know I have posted a few questions recently regarding Blue Ridge, but being first time investors in the area this forum has helped a ton so I appreciate everyone who responds!

We are looking at a 2 bed 2 bath new build - but we thought when first entertaining the idea it would have a better cash on cash return than it is showing for $500k. As of now it is showing a estimated 10% COC and that's a bit lower than we were hoping for - looking for 20% at least..

For those currently investing do you feel for better COC in the area we should shift from new builds to more established cabins for sale that may be a bit cheaper up front on price which would help? Also what are you seeing average for your expenses maybe the calculator we are using is a bit too conservative for expenses to expect. the nightly rate it the area just doesn't seem high enough to build more than a 10% COC return.

Any insights or your shared experience would be helpful! Worth a new build in the area? What are you seeing for COC? Average expense amount for a 2 bed 2 bath? Occupancy you have been seeing? thank you so appreciate it!

[Gerald Pitts]

My understanding in this market is that you have a lot of affluent, young ATL folks that "want it to look like Joanna Gaines threw up in it."  I would go w / newer as possible, or fix up the old one as much as possible to get to this place.  Like @Quinn Olivarez was saying, you have cash involved either scenario.  To me, if it's not a significantly higher amount at the end of the day, I would prefer newer in this mkt.