1st Advantage MortgageA DSCR loan in Pigeon Forge turns on rent versus payment. Citywide medians from the Census are $1,053 a month for rent, $291,800 for home value and $669 a year for real estate taxes.
Local data for Pigeon Forge investors
The Census Bureau's 2020 to 2024 American Community Survey puts median gross rent in Pigeon Forge at $1,053, about 11% below the Tennessee median of $1,189. Median home value sits at $291,800, which is close to the Tennessee median of $286,700. Annual median rent is about 4.3% of the median home value in Pigeon Forge. That is on the low side, so the payment, not the rent, usually decides whether a file clears, but it blends every housing type, so a house on a specific street needs its own rent comparables.
| Indicator | Tennessee | Pigeon Forge | Difference |
|---|---|---|---|
| Households that rent | 33.1% | 54.0% | +63% |
| Annual property tax bill, median | $1,442 | $669 | -54% |
| Household income, median | $69,595 | $53,261 | -23% |
| Typical owner-occupied value | $286,700 | $291,800 | +2% |
| Persons per household | 2.45 | 2.70 | |
| Share in 2-4 unit buildings | 5.6% | 12.5% | +125% |
| Share of homes detached | 68.3% | 46.6% | -32% |
| Long commuters, 45 min plus | 15.2% | 7.7% | -50% |
| Degree holders, age 25+ | 31.1% | 14.5% | -53% |
| Workers on their own account | 9.8% | 14.2% | +46% |
| Renters paying 30%+ of income | 48.8% | 39.7% | -19% |
| Units sitting vacant | 10.2% | 53.1% | +423% |
| Typical construction year | 1987 | 1995 | |
| Annual rent divided by value | 5.0% | 4.3% | -13% |
| Residents (Census estimate) | 7,066,383 | 6,375 |
Renters occupy 54.0% of Pigeon Forge's occupied homes, well above the Tennessee median of 33%, so tenant demand is deep and investors compete mainly on condition and location. Against a median household income of $53,261 (about 23% below the Tennessee median of $69,595), 40% of renters report rent at or above 30 percent of income.
What Pigeon Forge investors are buying
Pigeon Forge has a deep multifamily layer: roughly 42% of units sit in buildings of two or more, with 13% in duplexes through fourplexes. The median home dates to 1995, so newer construction competes with investors and warranties and modern systems can help with insurance and repairs.
About 53% of Pigeon Forge's housing units are vacant, and the rental vacancy rate (units for rent against rented plus for-rent units) works out to 28.0%. Seasonal use covers 18% of the housing units, so expect off-season gaps in nightly income and a lender who asks for history.
Investor takeaways for Pigeon Forge
A 4.3% gross ratio leaves little margin in Pigeon Forge. Every dollar of insurance, tax and association dues matters, and some deals work only with lower leverage. A newer stock in Pigeon Forge shifts the diligence toward HOA documents, leasing restrictions and builder warranties. Because 54% of households rent, vacancies tend to refill, and the pricing question is how much to charge relative to nearby units.
The payment side of the Pigeon Forge ratio
Property taxes in Pigeon Forge run a median $669 a year for owners, well below the Tennessee median of $1,442. As a share of median value, that is about 0.23%. That is about 5% of a year of median rent gone to taxes before the loan is even counted.
Insurance follows risk. FEMA's National Risk Index lists Sevier County as relatively low overall, with lightning (relatively high), landslides (relatively moderate) and riverine flooding (relatively moderate) as the main drivers.
| Hazard in Sevier County, FEMA index | Level |
|---|---|
| Winter weather exposure | Relatively Moderate |
| Riverine flooding exposure | Relatively Moderate |
| Landslides exposure | Relatively Moderate |
| Lightning exposure | Relatively High |
| Social vulnerability score | Relatively Moderate |
| Annualized loss estimate | Relatively Low |
| Composite risk | Relatively Low |
A Pigeon Forge landlord policy is priced on roof, age, wiring and location, and the annual premium divided by twelve lands in the payment the lender tests.
Rent math for Pigeon Forge buyers
Take the median rent ($1,053), subtract median taxes spread over twelve months ($56), and you have $997 of room at a 1.00 ratio. A lender asking for 1.25 cuts that to $787. Real quotes for the address decide the rest.
Rental rules for Pigeon Forge, TN
This page does not claim to list every Pigeon Forge rental ordinance. Before you buy, call the city's planning or code office and Sevier County to ask about rental registration, inspections and short-term rental permits, and read any association declaration. For Pigeon Forge short-term hosts, one state-level point stands out. Tennessee charges sales tax on short-term rentals and a local occupancy tax on stays of 30 consecutive days or fewer, and platforms such as Airbnb collect both on bookings they process, while owners still handle business tax and direct bookings.
On deposits, Tennessee law (Tenn. Code Ann. § 66-28-301) says: No statutory cap (Tenn. Code Ann. § 66-28-301 sets none). That figure belongs in your Pigeon Forge pro forma as cash you hold, never as rent. For month-to-month tenants in Tennessee, the landlord's termination notice is 30 days written notice before the periodic rental date (10 days for week-to-week). For Pigeon Forge rent levels, note that No; local governments may not control rent (Tenn. Code Ann. 66-35-102).
Pigeon Forge next to nearby cities
Of the cities listed, Asheville is the most expensive ($440,000 median value) and Knoxville the least ($239,700); Pigeon Forge sits at $291,800.
| Market | Renter share | Tax bill | Home value | Residents | Rent |
|---|---|---|---|---|---|
| Asheville | 48% | $2,960 | $440,000 | 94,535 | $1,402 |
| Knoxville | 53% | $1,527 | $239,700 | 195,185 | $1,191 |
| Gatlinburg | 36% | $1,018 | $332,000 | 3,663 | |
| Pigeon Forge | 54% | $669 | $291,800 | 6,375 | $1,053 |
What fills Pigeon Forge rentals
The self-employed share of the workforce is 14.2%, and those owners tend to be exactly the buyers DSCR financing was built for. The same survey shows government workers are about 5% of employment, 15% of adults hold a bachelor's degree or higher and 8% of commuters travel 45 minutes or more.
Taking a Pigeon Forge deal to a lender
Run the Pigeon Forge rent, tax and insurance figures through the DSCR calculator. When they clear the ratio, start an application or ask for a quote.
More Tennessee markets
- All Tennessee DSCR loans
- DSCR loans in Gatlinburg, TN
- DSCR loans in Knoxville, TN
- DSCR loans in Asheville, NC
- Every market we cover
Sources
- Tenn. Code Ann. § 66-28-301, the Tennessee deposit law
- Tennessee short-term rental tax manual
- Tennessee local occupancy tax (Tennessee)
- Census ACS profile behind the Pigeon Forge figures
- Federal hazard index, TN
- Wikipedia article, Pigeon Forge, Tennessee
The Pigeon Forge statistics are five-year ACS estimates (2020 to 2024), which have sampling error. RedFlagLease (CC BY 4.0) supplies the Tennessee landlord-tenant notes, and the statutes are linked. Reviewed in October 2026, with no promise that rules have stayed put.
A short buyer checklist
On a Pigeon Forge purchase, line up the lease, the tax estimate, the insurance quote and any association dues before the appraisal is ordered, and ask the appraiser's office what rent comparables they plan to use.
DSCR loan availability varies by property and lender program and is not an offer to lend. See our disclosures.
Frequently asked questions
Lease or market rent: what counts in Pigeon Forge?
Underwriters take the lease if one exists and compare it with the appraisal's rent estimate; the lower figure often governs. Pigeon Forge median rent is $1,053.
How do taxes and insurance affect a DSCR loan in Pigeon Forge?
Taxes, insurance and dues are inside the payment the lender tests. Run $1,053 through a 1.25 ratio and the ceiling is about $842; subtract $56 for median taxes and $787 remains.
What does Sevier County charge in property tax, in practice?
Pigeon Forge owners report a median $669 in annual real estate taxes, an effective 0.23% (Tennessee: 0.50%). Your own bill depends on the assessed value after purchase.
What about VRBO or Airbnb income on a Pigeon Forge purchase?
Where lender guidelines allow it, yes, with platform history or a market projection. First confirm that Pigeon Forge and any HOA permit stays under 30 days, and that you can register for Tennessee lodging tax.
What does Tennessee law say about deposits at a Pigeon Forge rental?
The cap is stated as follows: No statutory cap (Tenn. Code Ann. § 66-28-301 sets none). Both come from Tenn. Code Ann. § 66-28-301.
Is flood or storm risk a concern for a Pigeon Forge rental?
Overall risk is rated relatively low for the county. Because the rating covers a whole county, look up the specific property on FEMA's flood map before you offer.
Do I need an LLC to buy a rental in Pigeon Forge?
It is optional. Lenders will close in a properly formed LLC and generally want the members to guarantee. Ask your accountant how a TN entity would be taxed.