Tiny House in the country - Husum, WA - 2015

[Nate Bell]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $79,000
Cash invested: $70,000

Purchased a 1-acre lot in a very desirable small town in the Columbia Gorge at a great price. were living about an hour away at the time, and spent weekends, holidays, and vacations for almost two years building a tiny house. We did everything ourselves except for the drywall. 340 square feet, with a nice kitchen and full bathroom. Ladder access to a sleeping loft. Wood burning stove as primary heat source

What made you interested in investing in this type of deal?

At first, we just wanted a weekend getaway, now we're getting great appreciation and ROI.

How did you find this deal and how did you negotiate it?

We found a distressed seller of the land on the MLS and then built the home ourselves.

How did you finance this deal?

Cash.

How did you add value to the deal?

Built the house, shed, and improved the water system.

What was the outcome?

Long term hold. Rented for $900/month, which includes all utilities except for internet (we pay power only, there is no water bill, trash service, etc.)

Lessons learned? Challenges?

Not the first home I've built, but a great learning experience all the same. In terms of tiny homes on foundations, the cost per square foot is VERY high, and only makes for a good investment in some areas. Septic system is the same, electrical system is almost the same, plumbing almost the same, lot price is the same. I'd build the next one a little larger.