DSCR Refinance Loan for Short-Term Rental in Sevierville, Tennessee

Easy Street Capital, a direct private real estate lender, funded a $1,422,850 1st lien position rental refinance loan secured by a short-term rental home in a planned unit development (PUD) in Sevierville, TN. The property value was estimated at $2,189,000 so our loan-to-value was 65%. The subject property is a 2,350-square-foot single-family residence with an accessory dwelling unit in the grandeur backdrop of the Smoky Mountains. With a total makeover of the kitchen, bathrooms, bedrooms, basement, attic, and ADU, the style reflects the earthy and remote feel of the nature it lays within. Without a real commerce-based economy, the Smoky Mountains excel in tourism, with short-term rentals as a hot commodity. The interest rate was fixed at 7.13%. The debt service coverage ratio (DSCR) was 1.94. The loan term was set at 30 years. This DSCR equity cash-out loan was funded in March 2024.