Italian Villa in The Great Smoky Mountains

[Kim Warren-Page]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $250,000
Cash invested: $50,000

We purchased this property specifically as a short-term rental. It is an Italian Villa located one exit from The Great Smoky Mountain National Park. European patio with a hot tub and gorgeous view of the mountains keeps it booked!

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

I was looking for a house within two hours of our primary residence in a tourist area in order to invest in a short-term rental. My budget was $300,000 and I wanted a 20% CAP rate. I thought I could make 100,000 gross on this property and $72,000 net.

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

I found this house on the Realtor app. Loved it from the minute I saw it... so much potential. A true diamond in the rough.

How did you finance this deal?

Brought in a partner who finance this deal as a second home

How did you add value to the deal?

We remodeled the property from a one bedroom into a two bedroom. My husband remodeled the bathrooms, painted, installed new tile in the kitchen. The antique church doors were outside being damaged by weather. My husband brought those in and installed them as the master bedroom doors. Stunning!

What was the outcome?

It STAYS booked! We are so pleased with this property's performance. Definitely looking to repeat this process again!

Lessons learned? Challenges?

Finding the right realtor in an unfamiliar market was new to me. The company I chose also managed short-term rentals in the area. They were very knowledgeable and helpful.