LOVE Mountain Stitches by Susan. The owner is so nice and usually her husband is in the shop folding fat quarters for her. They are a SUPER sweet couple! I'm also a big fan of Machine Quilting by Iva. Don't let the name fool ya - tons of fabric in this shop. It is off the Old Knoxville Highway (right along the Little Pigeon River). Also, if you're in the area, you might as well make the trek over to Maryville and visit Pappy's Quilting Place - very friendly staff here and also more fabric! Take the Chapman Highway out to Seymour and turn left at the Walgreens. There's a relatively new place - Redbarn Custom Quilts on the Dolly Parton Parkway in Sevierville. Again, the name might lead you to think they only do quilting for hire, but nice fabrics and patterns here too. Oh, can you tell I'm wishing I were going too?
If you visit Mountain Stitches by Susan in Gatlinburg, be sure to visit the little ice cream parlor across the hall. Best chocolate milkshake I've ever had. Have a blast!!!