All Forum Posts by: Josh Feit

 100% -- it's been nice not to have to market for renters in the Smokies -- just letting the booking partner sites do the heavy lifting on that. In a secondary or tertiary market, I'm assuming a big part of my job would be marketing the property.

Good question. I think the dynamics in this market are changing. I can't be certain, but it seems like the market has been flooded with new STR rentals (admittedly most are very generic / not differentiated). I am not sure that the Smokies are attracting more visitors -- and if so, I'm guessing demand for each rental will keep dropping. So looking to new markets that may not have the saturation issues that the Smokies are having.

Hello all -- I have been running STR rentals in the smoky mountains (PF / wears valley) for six years. I currently have three, but have bought / run / sold six others. At this point I am very familiar with the business and this particular market.

I am considering purchasing 10 acres or so of land for an eco dome / clamping concept with multiple glassy domes on the site. (Maybe 8-10 once it's all built out.) Of course I am considering Sevier County TN, but there are so many new rentals coming on in this market, and I am thinking the supply will outpace demand.

So, I have been looking into other markets for this concept -- namely Chattanooga, North Georgia, surrounding east Tennessee areas, and even NC Mountains (Robbinsville etc.)

In these other markets, land is about half the cost, and they are much less restrictive about the structures / STR regulations etc. But of course, a lot less people come to these areas for tourism.

Any preferences / ideas on a market that you think may work well for this concept? I'm in Atlanta, and I prefer a max of 3-4 hours in the car to get there.

Thanks!

Hello BP -- I have a purpose-built duplex in 30318 (Atlanta / Grove Park) that has become a problem property.

It is very large -- almost 2700 SF with eight bedrooms and six full baths. Each side has four bedrooms and three full baths. For a long time I have rented it as a section 8 property. Tenants were very stable, and the rents were good (about $2,000 per side / 4K total).

Bought for $140K and put in about $40K over time to renovate to its current current condition. Similar properties with both sides rented have sold in the past three months for about $500K, but I think the local market has probably softened somewhat. And the vacant side doesn't help.

There's no HOA. It's on a Main Street (Perry BLVD), and it is on a bus line.

About 8 months ago, one unit went vacant, and we can't find another tenant no matter what we try or how low we go with the posted rent. I understand that a lot of units in ATL are now accepting section 8, so newer, nicer properties are taking the tenants.

Possible strategies:

-Just lower the rents to the lowest price I can find for a 4BR in Atlanta -- probably around $1200 or $1300, and get a market tenant in there.

-Convert the vacant side to a PadSplit. This would take a decent amount of investment to improve the kitchen and bathrooms. Currently the unit is rent ready, but it is very basic / utilitarian, with section 8 tenants as the main audience.

-Get rid of tenants on the other side, and renovate both sides for Padsplit.

-Sell the property and move on (but if I sell it, I imagine I need to find a tenant first to maximize the sales price...)

Does anyone have any creative ideas of what I should consider doing with this property?