From Frat Houses to Private Islands with Mike Cossette, Ep. 728

Mike Cossette is an award-winning RE/MAX broker and co-owner of RE/MAX Gateway in Austin, TX. With over 20 years of experience, Mike has built an impressive investment portfolio of 18 properties—including multifamily units, Airbnbs, and even a private island. Known for blending lifestyle, creativity, and strategic investing, he helps clients and fellow agents scale sustainably while leveraging both real estate licenses and entrepreneurial grit.

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Key Takeaways

• Mike’s first house hack was a frat house—literally—with bullet holes in the roof, but it appreciated enough to fund his investing journey.

• Being both an agent and investor gave him an edge: faster access to deals, deeper market data, and commission savings.

• Scaling too quickly without stabilizing operations or budgeting for CapEx can lead to long-term setbacks.

• His private island investment was driven more by lifestyle than ROI—but it’s still appreciated significantly.

• Adaptability, multiple exit strategies, and alignment with personal life stages are key to sustainable investing.

Topics

From Frat House to Financial Freedom

• Started investing in college by house hacking a four-bedroom home with his fraternity.

• Learned property management, rent collection, and legal risks the hard way.

• Despite the chaos, the home appreciated, teaching him about leverage and wealth creation.

Agent + Investor = Advantage

• Uses his license to act fast, save on commissions, and analyze market trends in real time.

• Warns that agents sometimes skip due diligence when investing for themselves—treat every deal with care.

• Highlights liability risks agents face if they don’t operate with transparency or try to “cherry-pick” deals.

Scaling Tips for Agents and Investors

• Warns against growing too fast—stabilize one deal before jumping to the next.

• Many new investors ignore CapEx and exit strategy planning.

• Focus on cash flow and structure, not just buying “a good deal.”

Investing in a Private Island

• Bought a 1.2-acre island in Florida with friends during COVID—initially as a land rental play.

• Faced challenges with permits, infrastructure, hurricanes, and tide levels.

• Currently undeveloped but used for camping, treasure hunts, and family escape—zero pressure to monetize it now.

What He’s Seeing in Austin’s Market

• Submarkets are performing very differently, even within the same price bands.

• Distressed sellers are creating negotiation opportunities not seen since 2008–2009.

• Long-term fundamentals in Austin remain strong, especially with companies like Tesla and Apple investing there.

Make sure to download our free guide, 7 Questions Every Passive Investor Should Ask, here.

Round of Insights

Failure that set Mike up for success: Bought a short-term rental in Florida that was hit by multiple hurricanes. It was initially a disaster, but insurance and creative management turned it into a profitable recovery.

Digital or mobile resource:

• RPR (Realtor Property Resource) – gives quick access to property data and demographics.

• BiggerPockets – his go-to for deal calculators, forums, and investor tools.

Book recommendation: The Slight Edge – teaches how small, consistent actions lead to transformational results over time.

Daily habit: Starts at 5 a.m. with workouts and positive podcasts, then quiet meditation after school drop-off to recharge and stay centered.

#1 insight for scaling as an investor agent: Stay adaptable. The market changes—your strategy should too. Always have Plan B and Plan C.

Favorite restaurant in Austin, TX: Matt’s El Rancho

Next Steps

• Connect with Mike or follow him on social @askmikecos

• Check out our 35 Hacks to Find the Best Places to Invest

• Explore dual-track growth as an agent-investor for speed, savings, and insights

• Remember: not every deal needs to be about ROI—some should serve your lifestyle and family values

Thank you for joining us for another great episode! If you’re enjoying the show, please LEAVE A RATING OR REVIEW, and be sure to hit that subscribe button so you do not miss an episode.