How’s is Gatlinburg

[Mark Berardi]

I was wondering how the Gatlinburg market is these days? I see lots of cabins for sale but I’m concerned if the market is strong. I would appreciate any feedback from people who own property there. 

[Chris Watson]

I concur with @John Underwood the right property with right management (right self-management) will do fine.  My cabins (1 to 5 bedrooms, all with views, and all except the 1 bedroom is further from town) are still performing well and most are on track to meet or exceed 2023 returns.

The days of buying and everything running easy with people filling your dates and throwing cash at you are over. You have to be an active manager and many current owners are not wanting a second job and are selling. Another reason people are selling are guests and platforms (Airbnb) are becoming more demanding by expecting more from owners including refunds over the simplest things. I am in multiple markets and see this as a societal trend. A third reason people are selling is failure to run their business and their finances on a fiscal year. Profitable months cover non-profitable months, so budget and expect it. Do not spend profits (or pay yourself) for atleast 6 months. Beach and ski market owners already know this, but for all the post-Covid Smokys owners this is the first year they are experience this and they are scared. Scared people sell. Another reason for selling is owners are finding out being a STR owner is not for them. They do not want to deal with other people's problems and for them it is draining. Most can't handle their own problems and it is overwhelming to some to deal with others problems on a longterm basis at the most inconvenienttimes. The wisest thing for them to do is to find a manager like @Collin Hays or sell. Now after being told by so many "gurus" self-managing is the only way to make things work, they automatically list it for sell. The last reason for the sells in 1031 into other investment properties. Now I have sold Smokies properties in the past to 1031 into other investment properties to diversify my portfolio and some are selling for other "better for them investments".  Also I have seen a few listed due to divorce....I wonder how the STR strained their marriage.