How Michael locked up two Airbnb deals in one week

0:00 so in today's episode we're going to be speaking with Michael who's a wildly successful entrepreneur who was able to lock up two deals in one week that's producing him over 12 000 a month in cash flow we also get a bit personal today on how he's able to raise his kids to help him see the importance of Financial Freedom and his entrepreneur journey and why he's shifting his Focus to Airbnb I personally learned a lot from this conversation and he even casually threw in that he's friends with Gary Vee which goes to show how successful Michael has been in his career all right uh thanks for helping on Michael thanks uh you know super looking forward to getting to hear more about your story I know you've been absolutely absolutely crushing that you came out of the gates um you know getting a few deals done you know one swoop so if you don't mind just kind of giving some background on you know how you got to where you are now and then we'll go from there yeah thanks for having me on um I have always been an entrepreneur I've actually never worked for somebody it's kind of funny uh when I semi retired at 47 um at that time I sold all of her companies we had five companies out there everything from construction into TV stations uh and I actually went to go look for a job uh and the people said to me goes oh you've actually never worked for anybody before uh so you know I don't think you could take orders from somebody and I'm like really because my last instruction company had 1400 people

1:17 below me and you know I had an answer from all of them they don't realize as an entrepreneur you technically don't answer to anybody but you have to answer to your clients to your vendors to your Finance people you answer to a lot more than people than if you've actually worked for an individual and only had one boss and that's the plus and minus of being an entrepreneur so my wife and I moved up here to the Space Coast in Merritt Island Florida uh to be closer to our son who's a rocket scientist in Orlando uh our daughter lives in Manhattan so we're going to move to New York and give up the Florida life and uh and when I saw your program on Tick Tock uh Instagram fake anything where you were um I I really enjoyed the genuine of you um that you weren't selling us about hey you gotta buy this you got to do this which a lot of people are doing it's like listen I I did this uh it's work but I really enjoy it and if you can take what I did and have a little grit uh you can do it uh and for me it was really that blueprint how much

2:39 would I ever have to pay or learn or go through trial and error to get to that point a lot of people were not as fortunate as I am that have money uh we have a lot of money in the bank from working hard for many years so for us to do what you gave me for the your quote nominal amount would have cost me hundreds of thousands of dollars headaches and mistakes and so forth uh so different than any other program out there I'm glad that I jumped on your program to learn about how to get where I am to make and and in six weeks we already have our first unit open and in five minutes it got listed and that's it man I appreciate the background and the kind words you know that does mean a lot um so you know I think a lot of people that join the program are people that are looking for additional income um you know it sounds like you've done really well for yourself as an entrepreneurs for you know most of your career so what made you want to get started in an Airbnb business you know I I was really looking for the passive income so I look at every single thing I do is time um if you ever you read my emails the only easy day if it was yesterday they

3:56 used to call me when I was if my entrepreneur's spirit how my company they used to call me Mr half day because I would really only work half dates in my entire business career I just had to decide what I wanted to work the first 12 hours or the second 12 hours uh and that's what an entrepreneur does so I look at it is that if I were to invest anything of time into something what is the return I'm going to get so for me to invest ten thousand dollars twenty thousand dollars into a property and have it give me a return of let's say 10 a month on that initial investment well that's better than the market it's better than anything else and the time factor of that I can get 10 of those units and yes I'm still doing time doing what I am but I'll you know I'm still able to use my time more valuably than if I were to be working full-time at something else right no for sure and I think you know just having another passive income stream right like once you get to a level where you are I'm sure you're looking to diversify your Investments and you know trying to have multiple sources so you can kind of hedge against you know risk and all that so that's awesome and that's the key what you said about there is the risk the risk is is knowing there's a couple things number one especially in the Arbitrage side which is what you start

5:14 off with the wrist is very very low so if everything goes wrong all right you're out Ted Grant now don't get me wrong 10 grand is a lot of money I remember you know today but that was a lot of money or a certain point uh now it's less less of a risk you know for example we talked about the Arbitrage but we talked about also buying a property we just bought this property we built it we talked about that and it's 465 000 of cash not alone not anything else that's a bigger risk than if I would have gone to a different route of the 10 000 which we are doing on other properties and so forth so it it for the Arbitrage program which you put together is really very risk-averse and yes if you can do it it's a great passive income to take your money out of the bank or out of the stock market which you have no control over on those property on those Investments you have no control of the bank as we saw now for Silicon Valley Bank uh and you have certainly no control over the stock market when you do have control over is your own time to control what you're doing yeah for sure and I want to talk about your properties here in a little bit but um just kind of going back as well so what are some of the challenges that you faced when you know starting your Airbnb business like what were some of the hurdles you had to

6:31 had overcome you know when when they looked at the Arbitrage portion of it one of the challenges I saw in the group was getting people to agree to read their home to you either the value that is challenged once again a little different on a really phenomenal sales person so I'm able to sell my way into getting the high points as somebody and so forth so we literally had them stacked up ready to pull triggers then I realized the harder card is putting the the airbnbs together you have to be able to just like today and we had to move our meeting because all of a sudden our Airbnb got listed and we'd have a grill on site not that we did we plan to buy the grill it just wasn't there but it was listed in our portfolio so I had to get up go to get a grill get it there am those little small little things can add up if you're not aware of it uh I did take advantage of certain time frames uh but at the end of the day the client uh came in an hour and a half early thanks so us was very happy and the place looks spectacular and you at that point just like anything

7:48 else in life okay what do I do next oh yeah for sure um really looking forward to seeing the property I don't think uh we've seen have you have you posted those listings yeah the listings posted it uh on on the on on our website in a chat for people to look at uh uh your your messages are probably far far behind but take I'm going to get the photos that are in there are my photos so I know it's against the law but it's kind of funny I just quickly took the photos and five minutes later got booked because of where it is you know what we've done to the place I mean we're Ocean View two minute walk to the beach rocket launches behind behind you uh so it literally got sucked up in seconds yeah I mean that's that's one of the biggest keys right is the location aspect because obviously you know I preach professional photos because that is one of the lowest Roi items that you can do to you know get it property listed but you've proven that if you have a great listing in a great location then you're going to get booked like that so I'm really looking forward to seeing those and we'll post on the screen here what your properties are looking like right now but um so let's kind of talk about like where do you foresee yourself going with this business like are you trying to scale this to 10 you know 20 plus Properties or are you looking just to

9:06 have it to get to a point where it's like maybe a few and then you know you're just gonna sit on that um and go from there like can you talk about more of your goals with with this business yeah I I really think our goal is to have an incredible passive income which is what this was originally started for and to be able to do something uh with my wife who is a nurse and be able to uh get those steps I think the hardest part is always the first go around I think the worries of getting it done and not in our case the money worries the worries of hey are we doing it right hey is is this gonna work um and I think after our first visitor to see how it goes it's kind of funny because as soon as we listed the property we got contacted by other Airbnb VRBO people in our space coast Cape Canaveral and they're like welcome this is the best place to have one what a beautiful thing we were driving by we saw you know your construction and this and that so uh uh yes our ultimate goal is I think once the uh adrenaline of worriedness wears off I think we're going to our ultimate goal is to scale up to at least uh 10

10:24 properties this year and then hopefully uh grow it from there I'll give you a quick story uh so our daughter's roommate um one in New York wanted to do Airbnb Arbitrage and I said hey I'm doing it as well let me try and so forth and be the saver we always save for everything for our kids so we put money aside for our daughter for her wedding a long time ago uh my daughter calls me up and says listen I'm not getting married anytime soon why don't you give me that money let me do the Arbitrage and I'll I'll grow it so when four or five years when I get ready to marry I'll have more money and I'm like oh okay I see where the entrepreneur's spirit comes up yeah that's awesome um I mean having obviously like my kid is almost two and I'm sure your kids are all grown up but what are like I like talking about this stuff just because I like to kind of gain experience with someone successful like you what are some things that you did to kind of instill that entrepreneur's Spirit you know within your own kids so when our kids were six and nine um we grew we we you know our job was to raise them in a very affluent house um they've traveled the world more than

11:42 most adults have uh you know I mean done everything uh and then at six and nine my wife and I saw that they weren't giving the respect to the money in the and and the situation that they had uh so at that age we sat them down and said okay guys um things are going to change you each have to pay us a thousand dollars above for room and board uh it's six to nine and they're like okay where do we get this money from you can't touch our trust you know who's Maddie said no but here's an invoice book each of you get an invoice book and you write down everything that you do has a value like time you you brush your teeth that has a value you tie your shoes that has a value you make your bed you do your dishes you do your homework they all have values and at the end of the month we're going to gather up your invoices and the money if you're short we roll it over to the next month if you're over and it's validated that you're over again to say you know a thousand and two that you get that towards your allowance uh within six months they got it uh to date uh both of my children uh savings wise

13:00 um as soon as they both got their jobs out of college uh not even out of college they both got hired six to eight months before they even graduated college from their careers um they called up and said they canceled their cell phones canceled their insurance canceled everything they said you taught us to live our own we're off the payroll and to date they still sent me every quarter of their balance their checks of how they're within their budgets because of that one lesson at six years old and nine years old of how to understand the value of money and how in life if you was overspend you cannot do certain things so that's as a young entrepreneur I know at two years old it's difficult um but teaching them to understand the value of time and money is going to help them be successful that down the road yeah I mean that's a great lesson you know six and nine you would think that they're trying to watch cartoons and you know try to you know whatever they're doing at that age but you know I think one of the biggest failures of the school system is not teaching us how to you know budget how to you know do these basic Financial things investing and all that and so that's definitely one of the things that I'm trying to help kind of bridge the gap

14:16 um you know between that but that's you know that's awesome and some you know obviously you've done a very successful job sounds like you're you know your kids are thriving and so that's something that you know I want to instill in my own kids so that's that's that's great stuff um they've also seen Downs you know the busted minus Summit they've yeah seen the ups and downs they've seen they've seen private jets and it's kind of funny our daughters spend eight months in Italy or Europe and when she was in college and she said to me she was dad you know I I learned to travel rich and I've learned to travel poor and the difference is is I can travel between the both of them because of the way your mommy makes sure that we understood that yes we are on a private jet but it took this to get on that chat you follow what I'm saying to you yeah for no for sure and that's one of those things where you know of course I want to give as much as I can to my my kids but at the same time I want to you know kind of instill in them that this is all earned that's not just given right and I think you know that really does go a long way because you you can you can tell when someone you know has been spoon fed their entire life and someone that you know might have had a better upbringing but they their parents you know instilled in them at an early age how to actually you know work for that so I think that's that's a really important lesson there and you want to have that obit dialogue with

15:33 your children I know your your son is only two but still today you know my children will call me up and say Hey listen I want to make this purchase and I would go okay how is it within your budget what are you gonna have to give up to get it you know this and that because we explained to them that nothing is perfect in life yes you're working for two successful companies yes you're successful but you have to live on 40 of your money because if you don't have six months to a Year's worth of cash reserves if you lose your job you know you're going to be in trouble and you know I the communication has to be has to be open with them you can't kill them if they make a mistake you gotta let them understand the mistake and how to make the mistake work or go forward from there perfect um so I'm actually curious you know now that you're starting to you know scale your your uh Airbnb business pretty quickly here like what are some of the systems and you know some of those foundational pieces in place that you're looking to implement so that way you know it can run without your presence in the future because I know obviously we don't want this to turn into another job right and so what are some of the ways that you're implementing to you know basically streamline this and make it more passive for you yeah uh so right now I I've got you know my Airbnb my VRBO

16:51 um getting with upside a couple of groups I'm trying to uh look into the AI program we talked about I think the key thing of it is is that uh the good thing for me is that my Airbnb that we have is only nine minute drive away uh so it allows me to experiment that what I want to do one in Dallas about I want to do one in Kentucky I don't have to worry about x amount of things I know exactly what it's going to take to make it happen um and then scale it from there I think the key of it is is that um you know and this is please in no way uh uh a kiss but session I give credit where credit is due uh your vignettes in your program it's really easy to go back and look and learn hey what did he say here because I'm a fast learner I'm really one of those ones but a lot of times I don't pay attention to a little little details you know like press like programming the remote control for the garage door opener and it says put the code in and it wasn't working but it said put the code in and hit pound but I wasn't hitting I was skipping by the pound you know so sometimes you have to go back two or three times to see what Preston said on this piece and I think I

18:10 even did that I even asked a question in the chat and then I said I'm not going to wait for an answer for somebody let me go back and watch the video over again oh I got it let me go order the quick set sort of in the door lock you know that sort of thing yeah and you know that's a good point so like what are some of the maybe strategies or techniques that you know you learn from the program that help you like we're the most effective for you to really help you know bring your your property to life I I think the most effective thing that being taught in your group I once again the key for the Arbitrage is finding the properties you have to be a hunter uh I I was always in my like in sales a hunter so I'm a little different a lot of people don't want to spend that time hunting if you if you follow what I'm saying to be they don't want to spend that time moving forward and saying okay you know they'll make two or three calls and then give up okay it's really the fifth sixth call that's going to come to life because you're getting better and the calls as you go along almost like ai ai there's a word run away AI learns faster faster as it gets the mistakes so I think the the things that really were helpful is understanding how to call but then how to build your your network to

19:30 be able to make it happen how to get your cleaners how to get your handyman and again all that together um and I I think that's the key to your program but once again if you don't make the calls defying them I see a lot of people in the group just giving up and says oh I call three or four and they turn me down okay there's a 20 others why aren't you making 20 calls why why are you making one call you know uh I would make for my for your program I would hunt the best areas Circle them and just blast them and love the whole people go oh yeah that sounds great you know okay yeah yeah I think that's a good point because there's a lot of people like you said that aren't in sales like you know I have a sales background it sounds like you have a sales background as well you know like they're like oh two people said no to me so this doesn't work um but like we realized like you have to talk to at least 100 people to at least make you know any sort of meaningful like gather the data what am I doing right what am I doing wrong and then that suggests from there and I think you know people with the sales background do excel really well in this program just because you know a lot of it is calling landlords um and so maybe can you talk about because I know one of your properties is an Arbitrage deal so what was kind of your strategy going into that um you know more from like a tactical

20:46 standpoint to really close the deal and go from there yeah so my my goal is to get in front of the uh the landlord try to get to the landlord that be the best uh the owner the best thing but a lot of times property managers and explain to the property manager that you know I we loved your property my wife and I are a nurse my wife's a nurse and she has seen many traveling nurses or Ras or doctors go out there and really want to go with their families and sometimes they come to an area for three days Sometimes They Come to an area for three weeks that they really want to be able to bring the family and go into a nice place to be able to enjoy the area uh so I explain to him that's what our company does our company helps these nurses these Ras these texts to come into the area and enjoy Cape Canaveral enjoy Cocoa Beach enjoy Satellite Beach would you allow me to uh rent your place but also be able to give a service to those organizations to bring those uh uh First Responders in uh to your area we have million dollar insurance coverage you know we have no problem of Furnishing it we have no problem paying in advance for rents what do you say and you know we have a 60 closing ratio we're very convincing of

22:05 what we do um but once again like I said earlier we do our research research is hunting making sure we have the right location the right setup don't pick a condominium because it doesn't work you know pick a standalone home or a town home in a neighborhood that you could do the research okay this neighborhood allows this town allows airbnbs I mean you could be calling all these places the owner will share it great then you find out for the town they don't allow they have 30 day minimums what are you going to do that you know you've already signed a lease with the landlord so that's I think the the thing that I learned the most from your uh program along with my pitch which you just heard yeah and that and that they came across like you sold me right like I've been doing this for a while and you came across professionally you're confident and those are some of the things that I think people don't really understand until they record themselves listen back um and so that's why I encourage you know as many students hey record your calls let's let's let's hear them um and that way we can give feedback on what you can do to improve it and so um yeah and that's that's one obviously one of the most important aspects of this business um and I think we're also having somebody else you know my wife is a nurse she's heard me do business deals all along I don't know what your wife's

23:22 profession is um but my wife will sit in the background and listen and she'll say you spoke too fast um you said too many ums you didn't describe what you were doing and that's her opinion of you know not being a business what she hears as a woman as as a as a non-business person of what she hears yeah no that's great because my my wife's uh was an RT it's a respiratory respiratory therapist and so similar background as your wife you know being a nurse in the medical field she hates talking on the phone uh every chance that she gets she's like here I can't I can't talk to him here hand over and so uh for me like I'm you know I'm an introvert at heart but I do you know how to build that you know that thick skin to get into sales and all that it's getting yelled out cussed out whatever um but yeah that is a good point to be around someone that can listen to and like critique you just to get you to get better right um and so that's obviously you know yeah for sure um so let's talk about you know cash flow projections I know you know you're you're about to hit it out of the park so uh maybe over the next you know five to six months once everything is stabilized what are you guys looking at with your portfolio currently yeah so so the one in Cape Canaveral because we paid cash for what I did is I took the

24:42 amount of money and I gave myself a mortgage at eight percent interest um so when we put the cash flow in we put that in as an eight percent so automatically I'm making eight percent on my money which is Affair uh returning your investment because a lot of entrepreneurs um a lot of Airbnb people tend to leave that out they tend to oh I I own it so you know I don't I don't pay a mortgage yeah but you got you you don't realize because you're not paying a mortgage that money should be making you some kind of money uh can look at the equity value of it you have to look at the return of investment on it like we talked about in your your program so I put that in there uh and then I calculate hey if I did this minimally I always look at the worst case scenario because the best case scenarios anybody from the best case scenario the worst case scenario so I look at it I even sent this into uh the group and the group came back and said look it's a good deal if you could squeeze this or squeeze that and you could be able to get a little on this one property we should be doing if everything goes away goes well uh

26:02 probably about three to four thousand dollars a month cash flow from this after paying you know being the mortgage insurance and everything that's great I mean for your first property like that's a that's a killer deal I'm not sure anyone would take that um no that's great so let's kind of talk about like what are some of your you know like longer term perspective goals right like maybe in like the next two to three years I know you you're wanting to get to potentially 10 units this year uh where do you see yourself you know in the coming coming year coming years um I'm hoping to be adopted by Preston uh you know and then be able to you know have him you know same way for his two-year-old to put me in and think no um but you know my ultimate goal dude my son's getting married next year our our daughter I don't know 23 in Manhattan living in Manhattan but I feel bad for Manhattan when her and her girlfriends go out um you know I I really don't have any I mean I'm the co you know I would say I'm the worst person because I've already achieved more than most people will ever achieve in a lifetime and I'm grateful for it I I've been places that most people will never go I've done things that most people will never do uh so I really what I do is I really try to every time I do something I do it a

27:21 hundred percent and I don't see it as work I don't see it as anything else but a hundred percent the downside to me Preston is that I don't have an addictive personality I'm what they call manic depressant so it's either 100 percent or I'm zero so uh I I want to continue with this 100 in three years from now my ultimate goal is to have you know 30 40 units cash flowing and actually have people running them within my own organization uh so I can continue to do what I'm doing but once again I'm sure something else will come up in my brain and you know all my wife says yeah you retire good luck you know you'll you yeah she says you can only golf so much you can only I mean by on I'm a six handicapper I have a boat I've you know she can only do so much at 15 years old so you got to find something to do and right now this your program is what I'm doing and yeah I think when it comes to entrepreneurship like because I'm the same way like I was in Mexico a couple months ago and all I wanted to do to do was work and my wife looked at me he's like like why can't you just relax like get off your phone get off your laptop and just stop working but I think once you are wired a

28:38 certain way a the entrepreneurship the kind of the journey becomes the fun part right it's not about the money it's not about any of that it's just like building stuff that you're proud of and I think that's something that we both definitely have in common so yeah it's a point system it's it's saying that you know I've done this and be able to um well say I've I've grown this I failed at this I I've done gone through that process and while at the same time of making sure that your journey is a step Journey it doesn't be like this it and you surely don't want to like that but it's got to be a little even if it's Little Steps A little step better um and you know if you can do that and learn and put a little money in your pocket great if you don't put money in your pocket at least you try something new yeah they'll love it so to wrap this up you know what advice would you give to someone you know either considering joining the program and just starting in every business like what would you say to that person you know I I I've got to tell you your Arbitrage program that you put together uh you know but once again I'm on the rare side within your group

29:55 because you know for me you know it it sad um but the key of your group first of all the fact that you have millions of followers and you have thousands of people in your group the fact that you will communicate to somebody uh or have a call like this is different um I'm friends with garyvee I don't know if you know garyvee uh Gary vaynerchuk and he is the same way with the empathy he thinks he's he has to give back to everybody and you you I got to tell you from a social media or whatever they call influencer you know and so forth you're the same way uh so kudos to you on that I can never do that uh uh but I I truly think that if you have the time to do this you know there's 24 hours in a day and I would always tell people add up the albums who here sleeps eight hours not me I'd be lucky to get six but let's say I slept eight okay and then you work eight hours okay that's 16 hours okay so what do you do with the other eight hours you know what you know don't watch TV take a half hour off of watching TV or take a half hour look at

31:13 your phone how much screen time are you including on your phone well just cut that screen time in half and dedicate it to going in Zillow and to be able to do those programs and go forward with it uh to get into your Arbitrage program uh for the price you have coming in is the best investment you could ever make in yourself um I bit the Tony Robbins I've done all these self-help stuff and there's nothing there's no better self-help than helping yourself and I think a lot of people miss that point of when a self-help is uh and your program is that program to 100 so I can give you great kudos for that no I do really appreciate that um I think that's a great place to kind of wrap this up thank you so much Michael thanks for the insights uh you're crushing it I'm super excited to see where you're going to be out here in the next few months even um so yeah thanks for the time again today my pleasure thanks Preston