4460 W Us Highway 23

This property stands out as a large, purpose-built waterfront retreat with authentic log construction and expansive gathering spaces, making it well-suited for group-oriented short-term rental demand in Northern Michigan. The combination of high bedroom and bathroom count, direct Lake Huron frontage, and proximity to regional attractions supports a premium ADR and above-average occupancy assumptions. The underwriting metrics indicate strong projected cash flow and returns, but these are sensitive to continued demand for high-end STRs in the area and operational execution. The primary caveat is the need to confirm ongoing STR regulatory permissibility and to validate that projected occupancy and ADR are sustainable given local competition and seasonality.

Cheboygan, MI is a Northern Michigan market with appeal for vacationers seeking waterfront experiences and proximity to Mackinac Island and the Straits. The property type—a large, log-constructed lakefront home—caters to group and family rentals, which can command premium rates in peak seasons. The market supports STR activity, but demand is likely to be highly seasonal, and performance will depend on effective marketing and guest experience. Confidence in income projections is high given the alignment of valuation anchors and rental estimates, but ongoing market monitoring is advised.

The property is situated on a sizable lot with direct Lake Huron frontage, offering privacy and scenic views that are attractive to vacationing groups. The area between Mackinac City and Cheboygan is known for its natural beauty and recreational appeal, though detailed guest demand signals are limited. The residential character is likely quiet and rural, with guest appeal driven primarily by the waterfront setting and access to regional attractions. Conclusions about neighborhood-specific demand are moderate-confidence due to limited granular data.

At a list price of $885,000, underwriting projects an estimated STR ADR of $551 and a 58% occupancy rate, resulting in monthly expected income of $9,721 and cash flow of $2,862. The expense ratio is modeled at 25%, with no management fee assumed, and financing is based on a 20% down payment and 6.4% interest rate. The resulting 19.4% cash-on-cash return is attractive for the segment, but is contingent on achieving modeled occupancy and ADR. Investors should focus diligence on validating these assumptions, confirming STR legality, and assessing operational costs for a property of this scale and vintage.

Asking sits within the modeled range.