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Show Summary
In this conversation, John Harcar interviews Jared Galde, who shares his transformative journey from a reluctant entry into real estate to becoming a successful entrepreneur in the sober living space. Jared discusses the pivotal moments that led him to embrace real estate, the importance of community and mentorship, and his current business model focused on helping individuals in recovery. He emphasizes the significance of relationships, vision, and a commitment to leaving a positive impact on the world.
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Investor Fuel Show Transcript:
Jared Galde (00:00)
It’s sober living. really does come from a place of learning how to serve first, learning how to actually help people because there’s so many bad actors, so many slumlords, there’s so many trap houses, there’s so many people billing insurance and not helping people. ⁓ It really started from a place of learning ⁓ how the right people are actually helping people get off. Drugs, What’s special about us is that we can acquire assets that are safe spaces for you to recover in.John Harcar (02:05)
Alright, hey guys, welcome back to our show. I’m your host John Harcar and I’m here today with Jared Galde and I think I said that right? Yes Alright, Jared Galde and and what we’re gonna talk about with him and I’m super excited Besides his journey in real estate and what brought him up to today. Well, we’re gonna talk about his passion for sober living ⁓ It strikes a very personal chord with me. So I I’m definitely excited to talk more about this ⁓ Jared welcome to our showJared Galde (02:14)
Yes, sir.Awesome, thanks for having me bro.
John Harcar (02:35)
Yeah, I’m like I said this topic and we’ll touch on it maybe later. Pretty personal to me. before we go into all that, why don’t you give our audience a little background on you? Kind of what brought you to today? What got you into real estate?Jared Galde (02:47)
Yeah, cool. Well, you know, I grew up, my mom is a real estate agent.And oddly enough, you know, in my adult years, I sort of blamed everything bad in my childhood on real estate. And I hated the idea of real estate. I sold… Like I said, I blamed everything. Like I didn’t know what I didn’t know. I didn’t know it could change my life. And I literally blamed my parents’ divorce on it. I blamed, you know, all of the weed I smoked. All of the idiot that I was.
John Harcar (03:03)
Why?Yeah.
Okay, all right, that’s what I was doing.
Jared Galde (03:23)
You know, I sort of blamed it on real estate and then fast forward to 2007, my wife and I have been married a couple of years. I buy my first house. 2011, I give it back to the bank. And then 2012 is where I’m just, I’m selling lumber and I’m just, I’m wondering what on earth is next. I’ve got a couple of kids, my second kid’s just born and it’s, you know, I’m, I’m, I’m on my knees really begging God to show me what on earth I’m supposed to do to, to make my wife’s dream.happened because what I was doing wasn’t it you know and so in the middle of that you know storm in my my mom sends me a message me and my brothers and sisters she said hey your grandmother’s cancer is back and I would love it if one of your kids got your real estate license and help me and as you can tell I freaking hated that idea with everything in me
John Harcar (03:55)
Right, right.I
was gonna say that, I bet that didn’t gel well with you.
Jared Galde (04:17)
No, Iwas like, I was like, that’s a really, really stupid idea. But I mean, the timing just couldn’t have been more. mean, I was, I really was just kind of having it out. I was sort of pissed that I didn’t really know where I was going with my life. And I knew that I knew inside me, I was made for more than what I was doing, you know? And so I eat the same that same day, like right before this, I send my wife this email that’s probably, you know, way too long. She sends me an email back. She goes, I agree. And I was I was like, well, you like you freaking agree with what I just told you everything that’s on
my whole heart, you know? And she comes back with one more word, she said more. And then I read through my email again and I’m like, yeah, like I know I was made for more than what I’m doing right now. And so
that’s where it started 2012. And then I got my, you know, I got my real estate license in 19 days. I, whether it, whether the, I wanted to or not, it seemed like the timing was it. So I put in a two week notice at Boise Cascade where I’d been for a decade since high school and I was selling wholesale lumber there. And I just, I,
John Harcar (05:55)
Mm-hmm.Jared Galde (06:04)
I just burned the ships, you know? so started selling real estate. And a couple years in, I met a couple of investors and they became my main clients. Started helping them find flips and move them. And what I realized a couple of years in is I’m basically managing these deals for them because of who I am. And I’m like, hey, like it’s my turn. How do I do this? How do I figure this out? And ⁓ so that’s where the investment started. then, you know, I was at, there’s, you know, you get to know me and you’ll know.John Harcar (06:07)
Sure.Yeah.
Jared Galde (06:35)
that church is a big part of my life. was at church one day in a board meeting and I learned that the only church I’d known at that point in my life, because I grew up way outside of the church, I learned that they spend roughly 75 % of their budget on staff. And I was like, how are we supposed to change the world if we spend 75 % of our budget paying people to hang out here? And that’s where this vision of passive income came. Now I know that passive income is aJohn Harcar (06:46)
Mm-hmm.Jared Galde (07:04)
myth, but that’s where it came from. And so I really, you know, had this vision of I want to serve at church and I want to ⁓ be a blessing here financially, not a drain on it. so that’s where things shifted for me. was like, I’m going to figure out how to do this. Two years later, I had no freaking clue how to do it still, like, you know, you get in the right rooms. I believe the saying we’re in the right people get in the right place at the right time, the right things always happen.and ⁓ masterminds in different rooms and learning different things. ⁓ finally, as I’m in the middle of flipping houses and not being very fricking good at it, ⁓ this sober living house, the first sober living house just landed in my lap. And ⁓ my partner now, who’s become my best friend in the world, Travis, ⁓ he looked at me after a couple hours of explaining this deal and asking questions. He’s like,
dude, if you let me in on this deal, I will make sure money keeps coming forever. And I was like, well, nobody’s ever said anything like that to me before. So let’s ride. And so yeah, that was 2019 and 85 houses ago that we own and 135 houses that we managed ago.
John Harcar (08:13)
Right?That’s awesome. That’s a great story. let’s kind of go back and you touched on one thing I like to ask people like, where was that real estate seed planted for you? It seems like it was planted, but kicked right the back out of the out of the garden. But as things went by and as things grew and eventually, I mean, your path led back that, you know, God led you back that way. What were some of the things that really kept you kind of focused on, you know, when he found out this is
what I want to do. What were the things that kept like, look, I’m going after this no matter what.
Jared Galde (08:57)
You talking like sober living houses?John Harcar (08:59)
Yeah,well anything, even if it’s just the whole, you know, when you did decided to go in on real estate, like what made you say, okay, this is going to be my focus or what tools did you use that helped you elevate?
Jared Galde (09:09)
That’s very good. Yeah, I mean, I’m just a full send person. That’s one, you know…I believe that there’s principles that anybody can take and principles that anybody can stack on. Like you said, like we talked about, it’s getting in the right rooms with the right people. There’s, there was a lot of that, like learning that basically, Socrates said, all I know is that I know nothing. Right. And so as I, as I was humbled and humbled myself through that whole process, ⁓ you know, just really, really learning. But I am an, I am an all in person. Like if I’ve decided to do something, you’re going to get all of me every minute.
John Harcar (09:31)
Right.Jared Galde (09:46)
And so I believe like right now, 13 years later after going all into real estate, I’m walking into a season where it’s like, oh, he’s an overnight success because I’ve been all in for 13 years.John Harcar (09:59)
Yeah.Yeah, when you hear overnight success or you, mean, everybody’s seen that picture, right? What success looks like. You got the iceberg, right? You got the little tip above water and you got all the stuff below. ⁓ I think that’s important for people to hear is that, yeah, I mean, there, it is a struggle. It is something that, you know, you had to push and pull through. Why was it really important to you to be around those people? Right? I mean, nowadays that anybody can learn anything on the internet. you can go and learn from, from other things. Like why were the people part of it important for you?
Jared Galde (10:44)
sure.Hmm.
Yeah, you can absolutely learn anything on the internet. I’m a huge proponent. I mean, we’re integrating AI into our business like crazy, right? You can.
John Harcar (11:12)
Yep, you haveto.
Jared Galde (11:14)
I believe that you could have a great mentor in chat. GPT, you could ask it to speak to you. ⁓ You know, tell me, tell me what John Harcar would say about this. And you know, you’ve been on the Internet enough where it’s going to help coach me to do what it says to do. I believe that. But there’s there’s just there’s power there of of surrounding yourself and actually believing it’s possible. think that that’s what it is for me is like seeing that it’s real. And hey, I, as you can tell, I love God. I love humans.John Harcar (11:27)
Right?Jared Galde (11:44)
but I also saw that there’s some real idiots that are doing really well. And that gives you something extra special in regards to like, I can do this. It creates a grit. ⁓ It created a grit in me where I was like, okay, you know, I’m going to continue to figure this out the right way. Just keep pushing through. mean, there’s so many different hard times, but being around the right people, seeing that it is possible. Then there’s the other side of like the resources that come from actual relationships in this.John Harcar (11:53)
Mm-hmm.Jared Galde (12:13)
game, right? And so you figure at first it’s like, wait a second, you, you raise money for everything. Like how does that work? Like, what does that look like? And then it’s like the, that guy is like, Hey, I see something in you and yeah, you have access to what I have access to. And so there’s, I forget, I forget who it says it is. I think it’s maybe John Maxwell, but it’s, it’s not about what you own. It’s about what you have access to. And in real estate, if you have access to capital and you have access to deals and you have integrity and youknow that you’re going to follow through on that, it’s kind of a, you’re never going to lose if you ask me. So, ⁓ it’s resources, people, possibility. so many reasons. Yeah.
John Harcar (12:50)
Yeah.It’s the who, not how, right? It’s, you know,
who can I have this relationship with, this connection with this community with whatever to help me exceed my goals? And I think it’s also too with the people learning their mistakes, you know, learning from what they did and not having to go through it yourself. So we talked a little bit before, you got a lot of homes that you own and under contracts or that you’re under management. So tell us about your current business.
Jared Galde (13:09)
Yeah.Good.
Yeah, and under contract. Praise the Lord for that. So let’s see, today that’s 2,6.
John Harcar (13:24)
There we go.Jared Galde (13:30)
There’s 14 under contract today closing in the next 30 days. So that’s good. ⁓ We’re starting to cook with gas.sober living. really does come from a place of learning how to serve first, learning how to actually help people because there’s so many bad actors, so many slumlords, there’s so many trap houses, there’s so many people billing insurance and not helping people. ⁓ It really started from a place of learning ⁓ how the right people are actually helping people get off.
drugs because I mean most people that need ⁓ rehab, that need help, they’ve burned every bridge that they have. They’ve burned every relationship that they have. so figuring out how to actually be a resource to really help them is the first part. And then for us, was really realizing what’s special about us. What’s special about us isn’t that I’m the greatest ⁓ clinician that’s going to help you get over your drug problem. What’s special about us is that we can acquire assets that are safe
spaces for you to recover
Right. And so that we started to get really good at that, ⁓ I would say pretty early. you know, back to what we talked about a minute ago, it was also just burning the ships. It was deciding that this is this is the thing. This is my thing. This is my problem that God sent me to solve. And I’m to use everything I can to figure out how to create these spaces for for those people. And one thing that on that note
Proverbs 29, 18 says, where there is no vision, the people
I had this vision of creating a thousand beds. The houses are cool. It’s great that we have assets. I’m a fan of making money. I believe that you can’t change the world without it. But we made a vision of getting to a thousand beds and I thought that was like this lifetime vision and it happened this May.
John Harcar (15:42)
people perish it.That’s incredible, man.
And, you know, like I said earlier, you my experience 14 years ago or 11 years ago, I was in a sober living. Right. And by the grace of God, I came through and never looked back. But that’s why it’s when I heard the story, it’s really passionate and I love what you’re doing and I love you doing it. So what’s your process when you evaluate a house or, you know, when you reach out and you find a property like how are you marketing? What’s the process to to underwrite those type of things?
Jared Galde (16:26)
Yeah, so like I said, service first. So it’s…I would say contradictory, different than most of the real estate world. I learned how to go find a crappy house or go to find the asset that I was looking for, right? Create a buy box, get out there and find those houses and then figure out what to do with the house. For us, it’s completely opposite. We find the tenant first. We want to find a tenant who’s doing this right ⁓ and let them know that this is who we are. Most of those tenants, whether for nonprofit or for profit, they need us to come in and
these houses, they don’t have a structure to buy them themselves. They’re set up to rent them and they’re set up really well to rent them. But it’s finding them first, figuring out what they need. We create really our buy box for them by listening to them, understanding their need, understanding where they need these assets, where they need to help people. And then from there we work with them, honestly. mean it’s kind of crazy to me that when you build relationships with the right people in this space and frankly you do care about them.
If you really actually care about them, you really love them, you really will figure out how to work with them and make it a win-win with them, then they shop for houses and they send them to me constantly. So like these 14 houses, I didn’t go, I don’t have teams in six different states hunting for properties. I have sober living tenants that trust and believe in us and are gonna send them to us that are there out shopping for them.
John Harcar (17:56)
Right.That’s awesome. That’s incredible.
Jared Galde (17:57)
So then likeyou said, how do we create our buy box? For us, it’s a simple cash on cash return. We’re signing either a three, five, or a six year lease depending on the organization we’re working with. And we set everything based upon a cash on cash return looking to create spread, knowing that now we can raise a lot of money at 8%. And so we can create spread on top of that 8%. So we look at cash on cash return. then part of our business is we’re buying
I don’t keep this close to the best or anything. We cherry pick the best deals that we’re buying. Then about middle of last year, we switched our business model to, we built a management company just around sober living. We don’t want to manage anything but sober living. We have a property management company that manages all of our properties. In the middle of last year, we’re like, look, we’re pretty good at this and it really is about these people. And we’re getting, say 10 deals, middle of last year,
and say 10 deals a month sent to us and we’re only buying two to three of them. Because of the flow of capital or where our management company was, how we felt like we could manage it or whatever, but we decided, what if we built the management company to where we could buy those? So that’s been our main focus and part of our struggle is building the management company to subcontract all across the country. But what we do now is we’ll
John Harcar (19:02)
Mm-hmm.Jared Galde (19:26)
say though now those 10, 15 deals come in, we’ll buy the best ones and then we’ll package the rest of them and send them out to a buyer’s list and other people can buy them. We call it, it’s like a turnkey sober living. They get to own them and we’ll manage it for them for the life of the lease.John Harcar (19:40)
I love it, man. Great plans. What are your goals? What’s the, you said 1,000 doors or 1,000 beds and you’ve already reached that. What does the goal look like now? mean, where have we set the bar at?Jared Galde (19:47)
Yeah. Yeah.Weird.
We’re in, I just brought on a guy who is CEO and I can’t believe somehow he was freed up to work for us. ⁓ He’s flipped 350 houses in Phoenix and he came to us like, hey, I wanna be, if you know EOS at all, he’s like, I wanna be an integrator, not a visionary. And he’s like, if I’m gonna integrate for anybody, I wanna integrate in your vision. And so he’s making it possible for us to go faster. Different team members we’ve added to the team
John Harcar (20:11)
yeah.I love it.
Jared Galde (20:25)
making it possible to go faster. And so we’re really in the, in the thick of it, in the weeds of it as a team, uh, at the end of, uh, 2025 here to get clear on what that vision is and, uh, meaning as far as the numbers, all I know is that, uh, you know, our, our guiding vision statement would be, we’re going to, we’re going to get the next bed for the person who needs it. And we’re going to continually create companies and products that make the next bed come faster and be more profitable.I know that much, but then it’s like, what are we have? We’re looking at what are the overall goals since thousand was a wimpy freaking goal and not looking back on it, you know? It’s like, so what do we, what do we do with that? So we’re, we’re really in the thick of numbers wise. What does that mean? We just know we want to keep helping people as fast as we can.
John Harcar (21:03)
Right?I love it, man. I love the vision. What are your keys to success? What are the couple things that you think really keep you going, keep you driving, and are what got you here?
Jared Galde (21:25)
⁓ I think it’s deep in me that I want to leave the world better than I found it.And ⁓ I believe that that’s a guiding force. was talking to a buddy of mine that’s a Navy SEAL. Excuse me, I wasn’t talking to a buddy of mine. Mason, my CEO, and I were talking. A mutual friend who’s a Navy SEAL that is a buddy. He’s like, hey, William called. And he’s like, dude, I didn’t know you were working with Rudin, with Jared. He’s like, do you know Jared’s like a super freaking Christian, bro? He’s like, are you sure you want to
mix faith and business that much and ⁓ so that’s why I bring that up is like…
I’m not the guy who doesn’t pray for my business. I’m not the guy who doesn’t mix those two worlds. I believe that God has brought my team together. I believe God trained me my entire life for any given moment, including this one. believe that my life’s not about me. It’s about my family, my children, and the legacy I leave behind is about the impact I left on this world. I feel like some people could think that’s cliche. I get chills down my back when I say
John Harcar (22:23)
Yep.Jared Galde (22:37)
My life is just bigger than me, you know, so.John Harcar (22:38)
Me too, bro. Yeah, I love it.⁓ If there are some folks on here that are listening and they want to learn from you, maybe they want to get into the Sober Living game, how do they get in touch? What’s the best way to reach out?
Jared Galde (22:52)
Yeah, it’s simple as rooted soberliving.com. ⁓It’s a simple way to get into our sphere, get into our buyers list. We don’t necessarily have any sort of coaching or anything to sell anyone. You can see our deals and if you want to buy them, can. But that kind of gets you into our sphere. We’re constantly doing free webinars with people, teaching them how to get in the game because it really is about the next bed. But yeah, rootedsoberliving.com is how you find me.
John Harcar (23:23)
Awesome. We’ll put that in the show notes. Jared, man, I appreciate you coming on here. All that you shared. I love your heart. I love your business, man. God bless you what you’re doing. Folks, if you’re out there listening and resonated with you, reach out, man. ⁓ If there’s anything that he could help you with, please reach out. And we thank you for coming on the show again, Jared. And guys, hope you enjoyed it. Cheers.
