Subscribe via:
Show Summary
In this conversation, Lamontis Gardner shares his journey from being a collegiate football player to becoming a successful real estate investor in Mobile, Alabama. He discusses the challenges and opportunities in the real estate market, his strategies for acquiring properties, and the importance of mentorship and education in his journey. Lamontis emphasizes the significance of taking action, leveraging available time, and understanding the local market to succeed in real estate investing.
Resources and Links from this show:
-
Listen to the Audio Version of this Episode
Investor Fuel Show Transcript:
Lamontis Gardner (00:00)
I’ve paid as little as 40,000 for a property and I’ve also you know paid up to, I think 160 for a property. So it varies, but I think the BRRRR market here is really good. You know so even when investors are struggling in other places across the country, I’m still able to BRRRR and do a perfect BRRRR actually, you know where I have zero left in the deal.I just had a recent deal where I purchased it at 45,000. I think I put about 38 into it. It appraised at 138 and I’m getting 1,400 in rent. So I think cashflow on that property alone is I think $490 if I’m not mistaken. And so I’m all in at $0 of my own cash.
Dylan Silver (02:22)
Hey folks, welcome back to the show. Today’s guest, Lamontis Gardner, is a former collegiate football player at the University of South Alabama, who then transitioned into college coaching. When COVID abruptly ended the season in 2021, that was a turning point, leading him to spend a full year studying real estate before taking action, cold calling, and landing a major lead that resulted in his first deal that same year. Fast forward to today, Lamontis owns 30 rentals and has completed over 40 deals.building businesses rooted in discipline, consistency, and long-term growth. You can reach him through his website, lg7realestate.com, or at his Instagram, @Lamontisig. Lamontis, thanks for taking the time today.
Lamontis Gardner (03:06)
I appreciate you guys having me.Dylan Silver (03:08)
It’s great to have you on here. And when we talk about starting a business in real estate, you’ve really come from humble beginnings. I saw, you know, teacher, you know, cold calling on that first deal, really educating yourself along the way. Did you have anyone who was like a leader or mentor for you in this space or was this really a leap of faith getting into real estate?Lamontis Gardner (03:32)
Man, honestly, it was a leap of faith. The only person that I had in my life at the time that was in the real estate world was like one of my best friends. He introduced me to Rich Dad, Poor Dad, the book. And I read that and it kind of gave me the itch, but I didn’t really dive into it into you know until like a few years later. So yeah, but at the start of it, it was really just books and podcasts for me.Dylan Silver (03:54)
You know, I think a lot of people, and I mentioned this, come to our show and also just get into real estate through listening to podcasts like BiggerPockets. And when we talk about the education process, a lot of times people will have this like analysis paralysis, but you pretty much dove right in. You you spent some time studying, but then you immediately got started. Walk me through what that first deal was like, acquiring it, and then also, you know, understanding.the deal cycle and what’s involved in a real estate acquisition.
Lamontis Gardner (04:27)
Yeah, so that first deal, ⁓ you know, I just made a few cold calls, just took a leap of faith. I don’t even think, I didn’t have a list or anything like that. I was just looking at like the lot lines on, I think on PropStream, I was looking at lot lines and I just went down each property and just started making calls. Got a guy that had three duplexes in the same neighborhood and he was willing to sell like within the next year.So I just stayed in contact with him over the next few months and then eventually he was ready to do the deal. At the time I was, you know, I was kind of nervous just because it was three deals, I mean, three homes and I really couldn’t afford it. So just talking to my former college coach about the deal and he asked me like, hey, does the guy still have it? And I was like, yeah. And so we reached back out to him and you know, we partnered together and took that deal down.
As far as just analyzing the deal, I think my year of preparation is what prepared me for that, just studying it. Something I used to do was try to analyze at least five deals a day, just on Zillow, just random houses. And I taught myself how to analyze deals. So when the opportunity came, I just took advantage of it.
Dylan Silver (06:28)
Now I understand that you’re in Mobile, Alabama. Now this is of course a niche market, but also I’ve seen investors from across the country looking at Alabama. I’ve looked at deals in Alabama. I’ve had properties under contract as a wholesaler in Alabama. And it’s one of these places where there’s a lot of interest, but there’s alsoLamontis Gardner (06:32)
Mm-hmm.Dylan Silver (06:52)
a lower cost to entry to where you can kind of thread that needle and get faster into the on ramp of real estate investing than say if you were in the coasts. How has been living in Mobile, Alabama and doing deals out there impacted your real estate journey?Lamontis Gardner (07:10)
It’s been great for me. I don’t think Mobile is like this huge market that a lot of people you know are investing in just right now, but it’s starting to ramp up. But like you said, the barriers to entry is pretty low, which allows me to move at a faster rate. I think the thing that we may not have is the appreciation play. But when I’m buying them low and doing bird deals, I’m putting, going, you know75 % loan of value. So my equity is pretty strong in every deal that I do but I think it’s been great so far man and it’s allowed me to you know, go at the rate that I’ve been able to go at
Dylan Silver (07:46)
Now from 2021 until today, 30 rentals in the portfolio. Was that very intentional? Were you looking at, Hey I’m going to have 30 by 2026, or was this really a progression and the chips fell in line?Lamontis Gardner (08:04)
Yeah, it was really just a progression. didn’t have this plan, honestly. My plan was just to continue coaching and buy Reynolds throughout my teaching career, but it just took off. The more knowledge I gained, the more people I met, the more deals were coming across my plate, and I was able to take them down. So I just got to a point where the real estate was keeping me you know more busy than my job, and I had to let one go. andyou know I had to let the teaching side of it go and just went full-time real estate.
Dylan Silver (08:35)
Any feedback for teachers, either newer teachers or experienced teachers who are looking at getting into real estate and don’t have a mentor or someone that they know who’s investing?Lamontis Gardner (08:48)
I think that’s a great question actually. I think teachers have like a unique career where you have a lot of time off, you know, and you get off, you know, at an earlier part of the day. So the way just the schedule of structures has been off in the summer times and getting off at, you know, maybe two two 30, you know, mid day, you have a lot of time to go and, you know, invest yourself in other things and or whether it’s studying or, you know, just meeting up with people.me in that property. So um for me, it was first, you know, just aligning my financial structure and preparing myself. And then secondly, just taking that time that I had allotted in the summertime and, you know, in the latter part of the day and just taking advantage of that time to go and meet with realtors or meet at properties and talk to contractors and different things like that. So you know, my advice to, you know, a teacher is just take advantage of that off time that you do have.
whether it’s after work or especially in the summer where you have like three months free. So I think it’s the perfect career to go and tackle something else that you may be interested in.
Dylan Silver (10:28)
Yeah, I when we talk about having some, you know, free time, a stretch of a couple months, you can really dive in to really any number of passions. But with real estate specifically, I do feel like it does require some level of like an all out effort. you might not acquire your first deal over the summer, but you can dive in deep enough to where you have like a base layer of foundation and it won’t be asmuch of a tall task because when you’re on the outside looking in, it almost seems like an endless sea of, what do I gotta learn? How do I do this? What’s the process like here? It can be you know ⁓ very difficult. You have this analysis paralysis when just starting. I speak with a lot of folks and myself included who are in that.
Lamontis Gardner (11:15)
Yeah, I mean, I gotta face the same thing, you know, just, you know, starting out, but, you know, I think you just gotta be disciplined and just trust the knowledge that you have, you know, just put together over that a certain time period. I think the biggest thing that made me feel comfortable was truly just studying it, attending webinars and podcasts, and it got to the point where information became redundant.And that’s when I knew that it was time for me to jump in. Like when I just kept hearing the same thing over and over again, was like, hey, I think I’m over analyzing this thing and now it’s time to jump in. And that’s when I got on the cold call train.
Dylan Silver (11:52)
I want to get into the weeds a little bit here into mobile Alabama. Walk me through what the market is like. what does a single family home cost for in mobile Alabama? And then, you know, what’s a typical acquisition price of a off market property?Lamontis Gardner (12:07)
Um I’m payingI’ve paid as little as 40,000 for a property and I’ve also you know paid up to, I think 160 for a property. So it varies, but I think the BRRRR market here is really good. You know so even when investors are struggling in other places across the country, I’m still able to BRRRR and do a perfect BRRRR actually, you know where I have zero left in the deal.
I just had a recent deal where I purchased it at 45,000. I think I put about 38 into it. It appraised at 138 and I’m getting 1,400 in rent. So I think cashflow on that property alone is I think $490 if I’m not mistaken. And so I’m all in at $0 of my own cash.
And so I’m still seeing.
those type of deals you know every now and then. You know So sometimes I may leave five to seven grand in a deal, but that’s pretty standard. I really don’t go above that. So I’ll take that any day, you know zero to $5,000, $7,000 into a deal.
Dylan Silver (13:20)
Now, when we talk about acquisition in Mobile, Alabama for newer investors, I don’t want to create competition for you, but maybe if we can give away some of the gold out here. If folks are looking at deals, would you recommend you know looking starting, for instance, the same way that you did with with cold call in and maybe looking for off market deals? Or are there deals you know on market on the MLS where folks could maybe find a rental that does cash flow?Lamontis Gardner (13:28)
Yeah.Dylan Silver (13:46)
Where would you start if you were starting all over again in mobile elevator?Lamontis Gardner (13:50)
I think for someone that’s new in the market, I think, ⁓ I think it’s very possible to start on the market. Honestly, I’ve bought two deals than the last three, three months on the market. you know, I didn’t offer at the asking price, but you know, I just took a shot and made an offering. got it. I felt it. So I think that’s a way, you know, utilizing wholesalers here or just, you know, cold calling, like we spoke about earlier. I think the advantage that I have in this market is just being from here and knowing.you know, most people here in the city. So, you know, I know a lot of wholesalers, realtors. I do marketing of my own and just working with realtors on the market, which, you know, I think gives me an advantage. And also about, you know, in Mobile, I think you have to know, like, because you can go on the market and see, you know, what you think is a deal, but that neighborhood may not be as great. So I think, you know, that’s important as well, like knowing.
the different streets, the different neighborhoods, and where to stay away from. And you know I have a good idea of where and where not to invest within the market.
Dylan Silver (15:33)
Yeah, I mean, that’s a great point. I speak with a lot of investors who and lenders who do this remotely. And my feedback has always been, you know, how do you know exactly to your point which streets to stay away from? Because it is such a regional game, right? So you could be, you know, investing in the wrong part of where you’re at mobile, right? Or you could be investing in the wrong part of, you know, that where I’m licensed in Texas, you could be looking atLamontis Gardner (15:48)
Mm-hmm.Dylan Silver (15:59)
you know, a side of San Antonio or Houston or Dallas, which isn’t maybe trending in the direction that you’d like it to. And it could maybe pencil from from what you’re seeing. then knowing where things are going, it might not be the best investment. When you’re looking at deals in mobile, are there certain areas where you’re more favorable to? Are there certain areas that you stay away from?Lamontis Gardner (16:24)
Yeah, for sure. You know, I have my zip codes for sure. And within those zip codes, you know, some zip codes are better than others. So just knowing like within a zip code, what ⁓ neighborhoods or parts of town to just stay away from. Like I said, I’m from here. So I got a pretty good idea of where I will and won’t, you know, buy properties at. So, you know, I get deals all the time sent to me, but I just won’t invest there becauseI don’t see really an upside. So my biggest thing when I’m you know just purchasing a house, is it in a decent area? Especially if I’m going to rent it out, is it in a decent area? Will I get the ARV that I’m looking for after I fix it up? And is it going to be appealing to tenants when I’m listing the house or whatever? So I just want a house that’s going to be in a decent area and you know a tenant that’s not going to come in and wreck the place. And so I think
you have to stay away from those areas in order to just get the top quality tenant that you’re looking for and you know just have them in the house over a long period of time, which you know saves you money, definitely as an investor.
Dylan Silver (17:31)
I mean, yeah, when we talk about a year to year lease, if you have a good tenant in there, that can be a huge factor. And certainly having someone who’s not a good tenant or doesn’t pay on time or who’s squatting, right? This can really hurt margins. we talk about going back to acquisition, when we talk about acquisition, are you looking right now at single family properties? Are you looking at small multifamily or is it a mix across the board? I know one of those first deals was a triplex, butWhat kind of deals are you looking at these days?
Lamontis Gardner (18:02)
mainly single family, here at Mobile, we don’t have a lot of like just multifamily options. so it’s really just, you know, just mainly just a single family world, for me, in which I just developed a niche in it, you know, and I love just taking a single family, you know, and that’s a fixer upper and, and, you know, just taking it from something that nobody wants to touch until, you know, something that everyone wants to live in. So yeah, that’s, that’s my niche and, you know, something I love to do.Dylan Silver (18:30)
When we talk about fixer uppers, right? There’s a level of rehab knowledge and an understanding, right? How to get a property to a rental grade or you know a flip grade level. How did you learn how to rehab these properties? Have you subbed this out? Did you grow up swinging a hammer? What was the process like in learning how to flip these properties?Lamontis Gardner (18:52)
man, I always make a joke that I don’t know how to do anything. You know I can’t lay floors. I don’t have a construction background. I’ve never been the manual labor type of person, you know all honesty. But I think the first flip I did, I did it with a partner, a friend of mine. And you know I was learning from him in the process. I read a few books on renovations. think it was a book by Jay Scott.the flipping book you know that taught me just how to price things out. And I just think over time, I just got better and better at it, working with different contractors. And to the point where now you know I just have a crew that really I can call my own. You know I don’t necessarily, like they’re not W2 employees, but 1099, but we’ve been working together for probably three years going now just because.
uh you know my deal flow is pretty good. So you know we’ve been sticking together since I think 2021. I mean, well, not 2021, but 2022, I’m sorry.
Dylan Silver (19:48)
We are coming up.We are coming up on time here. Any new projects that you’re working on or how can our audience reach out to you if maybe they’ve got a deal in Mobile or if they’d like to get your feedback on something that they have worked on
Lamontis Gardner (19:53)
Mm-hmm.Yeah, uh you know or me it’s just all real estate. You know I already bought two projects this year so far, but you know I’m always buying. So you know if anyone wants to reach out to me, I’m on Instagram. You can just search it by my name, Lamontis Gardner, and I’m pretty sure you’ll be able find me that way. And I have a Facebook page at LG7 Real Estate. So you can reach me there as well.
Dylan Silver (20:28)
Lamontis, thanks for taking the time today. Thanks for coming on the show.Lamontis Gardner (20:31)
Thank you for having me.
