STR Investment in Ellijay GA

[Ryan Cushman]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $171,000
Cash invested: $29,000

Small 600 square foot cabin tucked away just outside of the quaint city of Ellijay GA. Bought it as a safe bet thinking it would do roughly $35k annually in short term rents. It has surprised us delivering nearly $60k in gross revenue annually. After acquisition, we furnished it, added a couple decks for a hot tub and solo stove fire pit, as well as a ton of string lights and were off to the races!

What made you interested in investing in this type of deal?

The low purchase price was a big part of it. At the time, just about everything was going for much higher price per square foot and with multiple offers.

How did you find this deal and how did you negotiate it?

We identified it on the MLS with it's low asking price and nice aesthetics. We got it under contract but then canceled the contract after some concerns with the foundation. It sat on the market and dropped in price a couple more times at which point we decided to make a new offer. Originally listed above $200k, we landed at $171k.

How did you finance this deal?

10% down 2nd home loan and savings from the proceeds of already owned STR's.

How did you add value to the deal?

We added value by furnishing the property, added 2 decks (one for a solo stove, and one for a large hot tub), improved the gravel driveway, mulched the landscape, and added a lot of string lights.

What was the outcome?

The outcome has resulted in a short term rental that has way outperformed what we anticipated. Where we expected to gross between $30-40k, we are grossing $60k and generating around $2000 per month in cash flow.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

As an experienced agent working on the Cushman Homes team, I can help guide you through your own STR journey. Let me help you find a great deal in north GA!