how I got this 1-ACRE shop space for FREE

Mike Andes walks through a one-acre property he bought for $540k (listed at $650k) to house his lawn-care shop, rent the main house for $3,200 a month, and operate a tiny house Airbnb at $200-$300 a night. He waived inspection and put down $20k earnest money on the flood-zone lot with a remodeled 1925 house and plans for a gravel shop area with privacy fencing.
Make sure you tune into the vlog because I'm actually show you the new facility and property, the shop space that we just recently purchased in person. Saturday run complete. Today's challenge was to do it without any water. I don't know if that was a good idea. My mouth is completely dry. Can't even spit. Because I did the same run every single week, I try to mix it up a little bit. Last week I put one of these size rocks in my shoe just to make it a little harder. So I don't know if today was smart though. I do hard things.
All right, so we are actually at the property that next week we're going to start construction on and is the middle of the county. We got dairy farms over here. Look at that, dairy farms. It's fantastic. There's no one out here. It's beautiful. And it's only like eight minutes from downtown, probably 10 minutes from the center of our territory. So I'm gonna walk you through what we're gonna do and then literally in a couple days you're gonna see it actually happening. So we're gonna create a gravel driveway in the back of the property. One acre parcel that I just bought is the one we closed on last week. It's an old house, 1925 house, but completely gutted and remodeled. There's a basement and an upstairs second level. So there's like 2400 square feet of a building. I'm actually here with Liz today because he's already found a tenant, someone that works at as a petty officer, a local Navy base. And so they're going to be living here as a family. It's a the best place to live as a family. You got an acre of property, you're out here on the farms. It's incredible. Like the sunrise is right over those mountains right there and you can see the sunset that goes on that direction. So anyways, gravel driveway is going to come through here all to the back of the property. This whole back of the property is going to be graveled and going to be the shop space for this location. We're going to build a privacy fence all the way through here to kind of separate the house and then back shop space here. And there's not a lot of trucks. Our goal for this location is, you know, 5, 600,000 revenue. We only need five or six trucks for that. So it'll be plenty of space back here we'll have a storage box, one of the shipping containers that we'll bring over here that we own and then Again, like I said, privacy fence there and then back here is what's really cool is this. This property is actually zoned for an ADU or an accessory dwelling unit. Instead of going through the permitting process, though, what we're going to do is we're going to bring an RV on, which is actually a tiny house. This is a tiny house. I bought this bad boy and it's hopefully going to get delivered here next week, so you guys will be able to see it. And my goal is to make this pay for the entire property that we're getting for the Mount Vernon location. So, yeah, house hacking to its finest. And our tiny house, it only is like 250 square feet. But what we're going to do is we're going to make this all gravel. We're going to make it super flat, like really nice and level. Bring the tiny house right here. And in this back sanctuary area is going to be part of the Airbnb. So this tiny house is going to be something I can rent out for 200 bucks a night, no problem. And back here is kind of the sanctuary. It has a gate so that if they want to bring a dog, they can just like lock the dog up in here. But also I'm eventually going to put a pad in here of concrete and put in a hot tub and then also a fire, fire pit here. Now, this is a goat farm behind us. And right now it's pretty hot out, so they don't have the goats out, but typically you hear them all bleeding.
It's just like a beautiful atmosphere out here. And what we're going to do is put a fence in between the main house and the Airbnb unit, so that way there's some privacy here. We'll tear this bad boy out. But all of this back here is going to be gravel and then privacy fence around it for Augusta Lawn Care. So really we're trying to kill three birds with one stone. We got Augusta Lawn Care, the shop space. We have the Airbnb unit back here. I've already purchased the tiny house. It's coming from California and it is $75,000 brand spanking new. And we will easily rent that out for 200 a night, like every day of the week. Might be you can go up to 300 during the summer, especially around the Tulip Festival is around here. But anyways, there's gonna be another fence here to protect from the house. Now the house is going to be rented out. Like I said to a tenant, we. I think we already got somebody Liz is making a video for them because they are moving to town in a few weeks and they are going to move in here. And I think we're getting 3200 dol for the rent at this property. If you think that's really high, trust me, we're in Washington state. It's a really good deal for a 2400 square foot on this type of property. And we're going to mow the lawn for them. It includes their wi fi, includes their garbage because we're going to have a big garbage bin anyways. So we're going to just basically share it with tenant. Now right here, this is the garage. Now the garage is not going to be for the tenant is going to be for Augusta Lawn Care. So we will have our shop space in the back there in terms of parking, the trailers, the trucks, etc. But then over here is where we're going to have this two car garage to basically typically have for stand up meetings. And it already has like plenty of storage space. A bench has the garage doors that we can move up. So if we want to have larger team meetings again there's probably only going to be five, six employees here max. So it's not gonna be a huge operation. We'll keep raising prices and making a pretty profitable location over the next few years. But this is perfect to be able to have a bench for grinding and sharpening blades and just storage of stuff here. Now the problem, I really wish this garage was about 100ft in that direction because I don't really like the fact that it's right next to the house where the tenants are going to be living at. So we'll have to kind of figure out how we're going to keep this probably as the entrance and then we the guys head back there in the morning. But this is a great property here and I'll probably show you a little bit inside. But it's. I know most of you are most interested in just the business side of things, but it's a great property here on the middle here, the dairy farms. It's quiet. A lot of this stuff is brand new. They did all the AC, the heating was brand new, etc. Let me check. Let me show you this. This is the actual listing here. You can see here you got it was for 700 or sorry, $575,000. We didn't pay that originally. It was actually listed for 650,000. But they really put on the market a really, really bad time when interest rates had just really ramped up to like six and a half percent. And so we came in, they had just lowered the price down to 575. I came as a, hey, look, I know this property. I know that we can turn this into a three in one kind of terms of a rental unit, an Airbnb and a shop space, which is obviously huge value to me, a lot more than what the typical a buyer is going to get. And so came in here, offered $540,000, waived the inspection, closed really quickly, put down $20,000 in earnest money, because I knew I wanted the property. And yeah, man, this is great. There's a lot of space. They're like four or five bedrooms, but one or two of them don't have a. A closet. So it's technically not bedrooms. But you can see here it's somewhat dated in terms like colors and things, but everything is new in terms of the finishes, like flooring tile. We've got stainless steel appliances, granite countertops. This is a perfect unit. This is gonna be an amazing place to raise kids. So I'm really looking forward to this. I don't really have any single family houses. I guess I do have one in my rental portfolio. Most of my places are apartments, duplexes, things like that. Upstairs here, this is a cool. This will be the coolest place to be a kid. You got these really low ceilings, you got like these nook, little storage things. And then back here you got a bathroom. But then this is like the coolest thing ever. Kind of like a walk around kind of closet area. So obviously it was like an old design because 1925 is originally built. It's all been brand new, redone, new AC, new heating, etc. So this is upstairs. I'm gonna go down now down to the very basement and show you some cool stuff down there. Okay, so now I'm headed downstairs to the third story or like down basement. Now we are in a flood zone. This is another thing. A lot of people is a big red flag for them as other buyers. But, like, look at this. You got storage down here. They left us a couple deep freezers and then this. You could actually make this bottom story a separate unit. You could, because this goes right outside, right up to the garage. You can make this a separate unit and sell this as like a separate suite almost. But the reason I did not try to do that is, number one, I live like 30, 40 minutes away from here. I don't want to have to have any problems. Even though Liz is the manager, I don't want her to have to come down here. We want to sell it to a family. It's going to stay here for years to come. And secondarily down here does not have a shower. There's a half bathroom and to build a shower off of this would be a pain in the neck. We looked at where the heating was at and load bearing walls. It's not worth it. Now another reason why a lot of people wouldn't buy this house is because it's in a flood zone. And so this will probably flood every 10 years or so. They have a brand new sump pump. It worked great. It was inspected with all the rest of it. But this whole downstairs area is really nice. They really renovated it all, made it brand new. They got brand new AC and heating here. They have all the bones of the house are fantastic. Even though it's 1925 built like check out these washer, dryer like these things are brand spanking new. So I really true believe that this property would have sold for almost 700,000 if they would have sold this eight months ago. But because the downturn, the local market, people stopped buying. But you got this brand new heating, literally just put it in June, August, now it's the first part of August. This is that pump I was talking about. It's in the lowest part of the building of the house here and automatically comes on as soon as water would get inside of there. So yeah, of course have to pay a little bit extra for a flood insurance. But honestly the value of this property to me is a lot more than any other buyer. That's the type of properties you're looking for if you're doing real estate is where can I buy a house where even though the math might not look good for a regular person, it makes it worth it for me. For example, this is going to be a $3,000 mortgage basically with once I pay my insurance and all the rest of it. This is brand new, all remodeled, full bathroom here. But to a regular Homeowner, this is 30, you know, $3,000 for a mortgage. They're going to come live here. That's great for me. I'm going to get 3200 for rent. I'm going to probably save $1200 in having a shop space at least 1200 like with that garage space for and everything. This is probably $1,500 of a shop space would typically cost me. Plus I'm going to get an Airbnb and make at least $3,000, at least $3,000 a month in rental income from that. So, okay, we got 3,200 for rent from the actual main house. Then we got 3,000 at least a month from the Airbnb. I got to be very conservative. And then we have probably fifteen hundred dollars worth of value that we're going to have. The storage of the vehicles. Like literally $7,000 in value I'm paying with taxes, insurance, interest, the mortgage, everything. $3,000 on this. So this will be a great property for Augusta to be able to grow in this local area as well as just for rental portfolio income. And this is something with Augusta Lawn Care. We've talked a lot about with them as they begin to grow their locations and they get multiple locations is owning the real estate and actually turning into an investment instead of a cost of having storage space, having an office space and how to house hack properties like this one to turn it into where now I have an Airbnb and can make really good rental income. So hopefully that was helpful. Inspiring. Places like this, you can make this work. I'm around dairy farms zoned where I can do this sort of thing. And this is a great place to live, but it's even a better place to invest with the business, the ADU or the RV that we're using. It's going to be the tiny house. It'll be a fantastic place for Airbnb and I'm really looking forward to it. So take care everyone. We'll see you tomorrow.










