Going tiny has many benefits.
Living in a tiny home didn’t only offer Precious Price the chance to live simply; it also started her on the path to eliminating her housing costs.
Now, the speaker, marketing strategist, and social and real estate entrepreneur is helping others to find the same financial freedom.
After buying her first investment property in Atlanta in 2019, Price built a tiny house in the property’s backyard for about $35,000.
She would earn that money back within two years by renting it before she moved in to live rent and mortgage-free.
“This tiny house is less than 300 sq. ft. Yet, I have everything that I need. I do not see myself getting rid of this property any time soon. This tiny house is definitely like a baby to me,” Price told CNBC Make It.
The 26-year-old documented the process on a YouTube series called “Going Tiny.”
Price’s cozy Atlanta abode was even featured on CNBC Make It’s YouTube channel, which was viewed more than 130,000 times in just a few days.
Her viral success and rental portfolio helped her to go on to coach others to earn five figures with short-term rentals and launch her company LANDRIFT.
LANDRIFT is a learning platform that offers insights into the real estate market to build wealth and promote homeownership as a fundamental human right.
Price also did a 2022 TEDx talk discussing housing insecurity and the need for capital and “social good” in real estate.
But it all started with the building of her tiny home.
Price said she decided to construct a smaller unit after she felt her three-bedroom, two-bathroom house, which she purchased for $196,000, was just too large for her.
She was able to rent out the large home full-time since she was working and traveling as a consultant during the week.
Construction began on Price’s tiny home in October 2020.
She had a decent amount of money set aside from the short-term rentals of her large house on Airbnb.
She also used $20,000 in credit cards and cashed out $8,500 in stocks she had from her 9 to 5.
In the meantime, Price began renting a room in her neighbor’s house while her new micro-dwelling was being built.
Price started the process with a cost of $2,000 toward city planning and electric permits.
Her original budget was $25,000, but she ended up spending a total of $35,836 after construction was completed in March 2021.
Precious ran over in costs because of some shoddy work by contractors that had to be redone.
She also bought a lot of wood ahead of time that was never used.
Just a few blips that were a part of her learning experience.
So, she started renting out the tiny home on Airbnb to make up for overages.
During the first year, she did short-term rentals and then started renting it out long-term.
She made about $32,000 by renting the little house over two years.
She later moved into the tiny house to experience tiny home living and to save cash.
She describes the home as basically a standalone studio apartment.
Walking through the front door, you see the living room to the left and the dining area to the right.
There is a comfy couch with extra storage underneath.
A small TV mounted high on the opposite wall provides the perfect viewing angle.
The extended countertop serves as a dining nook with two stools tucked in underneath it.
Beyond the nook is the kitchen, Price’s favorite area of her home.
It hosts an almost full-sized refrigerator, abundant counter space and cabinets, a small induction cooktop, and a full-sized sink.
A floating shelf holds a microwave and some other items.
Price made sure to add windows and mirrors throughout the unit to make it feel open and airy.
The bathroom is hidden away behind a sliding barn door.
Price installed glass doors on her full-sized shower, which also has a small window, to create the illusion of a larger space.
The toilet and sink are adjacent to the shower, along with a towel rack and floating shelf for extra storage.
Stepping out of the bathroom, you have a view of the front door. To the right of the door is a compact office with a wall-mounted folding desk and chair.
To the left of it is a library ladder that leads up to the loft space sleeping area.
There isn’t much room up there to do anything other than lie down since the ceiling is fairly low.
However, it’s just enough space to curl up with a book or take a snooze.
Outside of the home is a 70-foot by 104-foot backyard with a fire pit that is shared with the student tenants of the larger house.
Price’s tenants pay the mortgage on the primary house, along with bringing in additional income.
She lives in the smaller house for free.
This has allowed Price to get ready to look toward building an additional structure on the site.
Get a glimpse inside of Price’s home in the video below.
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Source: CNBC Make It, Precious Price
