Okay. So, >> within 5 months, >> five months, >> I stopped being a uh real estate agent and I went full investor within 5 months and I let my license uh >> expire. >> Expire. >> Wow. >> And I think that taught me a lot to be disciplined with money because the that's something that you see currently in a lot of flippers fail I think >> is they start getting all this draw money, right? and do

>> pop and then when it starts towards the end of the project >> and it's you know that drawing coming in >> you know so I've learned how to be very disciplined from day one and I think that's what helped me now still stay disciplined >> right >> I' I've always been a risk taker that's something some of my wife said dude you just too much risk you know >> but that's the only way you know

to be you know make something or create uh wealth in real estate you have to you know debt is >> it's a big factor of you making wealth, >> right? >> Because they wanted to code me as apartment complex. So they said, "Dude, there's there's nothing in Houston like this, you [music] know, and they want to do sprinklers like they're like like apartment just like a true apartment complex. But we can't do that because it's not

going to make sense for you." >> Welcome to another episode of Pick Up the Phone podcast. I am your host Jiannis. I'm the founder of Get.ai. The first I have the first emotional intelligent voice AI for real estate investors. It's not artificial intelligence, it's emotional intelligence. Today's guest is Larry Reyes. Larry has uh completed 38 projects last year. 19 of those were duplexes. Uh Larry came up with the creation of the stackable duplex floor plan in

the city of Houston. So, I'm excited to hear that entire story and how it all came about. And uh you just went under contract for your first commercial property, 12 units, huh? >> Correct. I guess. >> Yeah. Nice, man. Thank you for being here, bro. >> Thank you. Appreciate you having me, man. >> Absolutely. So, um, dude, let's just get into it, man. Let's, uh, let's hear about your story. Let's hear about, you know, uh, where

you're from, uh, your upbringing. Um, you know, I it's not every day that, uh, someone pulls up here with the Lamborghini, bro. So, I think everyone at home wants to hear about how you got to where you're at right now. >> Sure. Sure. So, uh, I was actually born here in Houston, Texas. Uh, same era where I'm actually building all my stuff. same uh people might know it's uh >> Federal and Fleming. It's a pretty rough

area. >> Yeah. >> So that's where I grew up majority of my life and then I moved from there to just city >> and then uh to Northshore area. So I've been living in the Houston area for entire life and majority of my projects are in the same area. >> Nice. Nice. Nice. So are were you uh you went to school there in that same area? >> Correct. Correct. Correct. Same area. Uh elementary school, middle school,

and high school. >> Very cool. >> I finished my high school in uh Northshore. >> Got it. Yeah. >> Nice, nice, nice. Have you always been interested in real estate or how did that come about? >> That came about in 2007, right? So, I went to get my real estate license. So, when I got my real estate license, uh you know, back in the day, probably might not, but in in in real estate, uh they would

have you do uh uh office time. Yeah. Right. So, the first lead that I had was an investor. >> Okay. So when I saw the whole, you know, part of that and I'm like, dude, money this guy's making back then, right? Versus an agent and when I sold him the property, I made $300. >> You made 300 bucks. >> 300 bucks for that deal. That deal. And I still have that paycheck. Yeah. >> I haven't paid

stuff. >> And how much how much did the investor make? >> Uh, dude, I I can't remember cuz I was I I sold him property, right? >> So the back end of it, I don't know, he listed or he kept it. I'm not sure. Right. >> But he showed me the numbers and I tried to explain, you know, this really makes sense. So he explained to me exactly what all he was going to do. rehab it,

you know, same thing we do right currently. >> Right. >> And uh I said, "Dude, that's the area that I want to be in, right?" So that was in November and then by March, I already had one flip. >> Okay. So >> within five months, five months, >> I stopped being a uh real estate agent and I went full investor within five months and I let my license uh >> expire. Expire. >> Wow. Yeah, >> man.

That's bossy, dude. That's, you know, congrats. Like uh I feel like a lot of times people It it takes a lot of courage to get out of something like out of their comfort zone. You know what I mean? >> Correct. I' I've always been a risk taker, dude. That's something sometime my wife say, "Dude, you just too much risk, you know?" >> Yeah. >> But that's the only way, you know, to be, you know, make something

or create uh wealth in real estate. You have to, you know, debt is >> it's a big factor of you making wealth, you know? >> Right. Right. Got to have debt, >> right? Well, the right kind of debt, right? Because there's also bad debt. So, >> what do they say? They say uh death creates uh wealth and helps you pay taxes legally, right? Something like that. Helps you avoid tax helps you avoid taxes legally. >> Yeah,

absolutely. Absolutely, man. Man, so um so what what were you doing before real estate? What kind of did you have a job? >> I was a nothing uh I was a uh personal trainer at 25 Fitness. >> Oh yeah. >> Yeah, [laughter] that was a did about three years. But even then, that's so me being a uh entrepreneur s it it always uh from the very beginning, right? So, I was the youngest fitness manager in 24-hour

fitness. So, they gave you like a uh you know like a free trip to Vegas after you accomplish so much. So, I was the number one sales uh person in uh the whole 24-hour fitness. Yeah. >> Really? >> Yeah. In the whole United States. >> The whole United States. >> Correct. Yeah. And back in and uh I was 20 22 years old, dude. Wow. Yeah. I was I was making a 100 grand. >> That's a 22y

old 21 22 year old being a fitness >> 22y old fitness trainer. >> Fitness trainer making 100 grand. >> Get out of here. Damn. That's a lot of memberships. >> But no, no, it's a it's a personal trainer. So you were selling uh personal training time. >> Yeah. Got it. Got it. >> But so people don't know this, but yeah, when you're in as a personal trainer, >> and I get a lot of heat for it.

I still say it, but you are you are a salesperson first, then you're a trainer, right? You know, people, oh, I'm a trainer, but no, you're a sales person for people. Without selling, then you're not going to have nobody to train you, >> right? Absolutely, man. Yeah. >> So, 5 months after you have your real estate license, you see someone, an investor, you see the process, and you're like, "Wow, this is what I want, >> right?"

>> Right. So, what what was your first deal like? >> Uh, the first deal, so I had no money, right? >> So, back in the day, you were able they were able to give you money back for repairs, >> even included in your loan, >> right? So, I had I got an FHA loan on it. Okay. >> So, the property was valued even it was distressed, it was still it appraised for about $65,000. Right. Okay. >>

So, what I done is we offered 40 $40,000. So, the property was up for sale for 48 or 49, right? And in the same area, coincidentally, in the same area, Clinton Drive, actually. >> So, uh I bought the property and I made a uh an amendment, right, that he was going to give me $25,000 back. So, we did a contract at 65. the sales price was 40 and I did an amendment to get uh for repairs

25 grand, >> right? >> And it got approved and everything and that's how I started, you know. >> So, so with an FHA loan, >> correct? I bet. >> So, so the very first deal was >> and and then back in the day, I don't know, remember you were able to uh get approved just by saying, "Okay, make this much money." So, it's very easy to >> to [laughter] to Right. >> That's kind of that's kind

of what led to the uh 2008 crash. But people that were able to took advantage of that like I did, you know, I used it on my favor, right? Cuz I obviously didn't defaulted on my properties, >> right? >> So you bought your first deal then and then uh that was when in 2007 or 2008? >> 2008. I bought two. Right. And immediately when I bought them, market crash. >> Boom. >> Boom. And then I went

into the oil field. Yeah. >> Right. And then I uh I went into the oil field in 2008 and uh I I I was in the logistic part. Right. So, I built that company to like a $5 million company. >> Okay. >> And then and then in 2013, it's like everything fell in place. Like 2013, the oil field crashed. >> Yeah. >> And then when the oil field crashed, the real estate market started coming up. >>

So then I'm like, dude, so I sold the company and and it was a it was a partnership between uh my dad and I. >> Yeah. >> And then uh that just tanked and it just never recuperated, dude. It's never recuperated the oil field. And then the real estate came back and then I was like, dude, well, I needed some type of income. So, I opened up a restaurant >> and then uh I created that concept

in and opened it in 2014 and then I sold that restaurant in 201. >> Mhm. >> Uh and it's still open. That restaurant is still open. >> Very nice. >> And uh then I went I was flipping 2013. I was doing one or two a year, right? Because I had the restaurant. >> And uh then I went full out like maybe on 16. I said, "Fuck it. ago and then in 2017 I did my first new

construction. >> 2017. >> Yeah. So I so I flipped for I when I came back I was doing two or three years of flipping >> and then in 2016 I went to uh new construction. >> Very nice. >> So you've kind of done a little bit of everything. What what kind of uh oil and gas company did you have? >> I was the uh logistic part. So everything that has to do with the uh casing or

2 and 38 all the way up to 20 in before it goes down hole. We would inspect it, right? to say, "Okay, you know what? Uh uh Petrohawk or wherever the company is, they would hire me as a third party." So, well, they would buy the uh tubing from a brokerage, right? And then to [clears throat] ensure that that pipe was good, they would hire me to inspect the pipe before they say, "Okay, give the green

uh green light. Okay, goes down the hole, >> right?" >> And when it came out of the hole, we would reinspect them and whatever was good >> back to the shelf. And then whatever was bad, then reject them and they would cut them and rethread them and all that kind of >> very cool. uh maintenance and knowledge. >> How did you get into that? >> My dad actually. Yeah. My dad was in the old for his

entire life when he immigrated here to the states in ' 81. >> Yeah. >> Uh he started in the old field. >> Okay. >> And he never left the old field. >> Yeah. He's still still in it. >> No, my dad passed away in 2017. Yeah. He was he was young. 57. >> He was young. Very young. >> Had a massive uh stroke. >> Stroke. >> Yeah. >> Damn. Stress. >> Yeah. Yeah, I think that's uh

he had a lot of stress cuz on uh like June they uh uh got my uncle my uncle was in immigrant immigrant. >> So you know they had that big old raid like they have currently. Yeah. >> In 2017 when I think when Obama was uh Obama was uh office. >> Yeah. and uh he got busted and then I got a I had a sister she had a bike accident and then my grandmother in within those

three months bro June July and August and my grandmother had uh diagnosed with uh cancer skin cancer >> and yeah and then we had that that uh storm remember what was it in 2017 uh yeah his house flooded bro all the way to like the roof >> like my dad's my dad's house >> so all that compacted within 3 months right and then the oil field was done. So he was like, you know, a little bit

of work that just just got him through the month till the next >> Yeah. >> you know, job came over, >> right? >> So I think that just >> there's a lot of stress, dude. And then I was talking to him like >> a day just like normal, right? 10:00, 10:30, and then 30 minutes they call me, hey, dude, your dad just passed out and Yeah. >> Wow. >> He never woke up. >> Wow. Sorry to

hear that, man. Yeah. But um man that's uh I'm sure that's given you a lot of fortitude over time, right? >> Yes. A lot a lot. >> Yeah, for sure man. Well, let's uh let's uh switch gears, man. I mean I you know I think it's important to you know focus on uh the positives of life, right? And everything all the opportunities that you've had. So what happened after you got your uh uh your your uh

restaurant? Like what happened after that? >> So I open the the restaurant cuz uh my dad loved restaurant. So I decided selling it because he passed away, right? So when he passed away, I said, "Dude, I don't want to have nothing to do with this restaurant, >> right?" >> And then my wife's like, >> "It's okay." So it took me like 6 months just to step foot into that that and she was handling the whole >>

business of it, right? >> So I was just kind of like in a rest mode just for 6 months. So he passed away in in September and I didn't go back into the restaurant like February. Wow. >> So it was a big collapse, right? >> Yeah. >> And uh and I said I told her, "You know what? Just I'm going to sell it or close it." I would tell her, you know, just close it. what what

do you mean we're going to close this making good money this and that and I'm like >> do whatever you want within those six months but then >> obviously it's not that you forget but you start living with the actual not not being there with you know >> right right >> so then little bit just just healing right just part of part of the part of the process and uh then dude I put up in the

market on Saturday and by Sunday I had two people in there and boom sold it really yeah and then when I I I took a chunk but I wanted a chunk to be in monthly installments for like two years. >> Yeah. >> So that I had >> uh I was able to focus on real estate 100% and not focus on income. Right. >> So with that money that was coming in, it was about six grand a

month. >> Uh I was living off of that, you know, paying my, you know, bills, just >> my life, right? And then so I could start building this uh real estate and and do uh full-time real estate. Yeah. >> Yeah. Yeah. Nice, man. Love to hear it. So, uh, that was around 2017. >> 2016 2017. >> 2017, correct? So, sold the restaurant and then you're you're like, "All right, full back in." And that was the right

timing to get right back into real estate, bro. Right. Harvey. >> Yes. Yes. Correct. Correct. And uh, so I got into flipping, right? But then I immediately saw that it wasn't the same as it was in 2007 or 2008 >> the numbers perspective >> because now there was more more flippers more so the spread wholesalers you know there's wholesalers now so the spread of you making money wasn't as much as and there and it still isn't

you know uh flips you know people would tell you oh dude you're lucky if you're making 20 grand on a flip you know well in my business right cuz I do nothing but spec homes I don't flip anything that's above 240 250 grand Right. >> So I stay within the little, you know, the big buying point. >> So uh immediately when I saw it, I was like, "Dude, it's I was making 15 20 grand." I'm like,

"Dude, if I was just doing two a year, right?" >> Yeah. It's not enough. >> Dude, you're like, "Dude, that's not enough." >> Yeah. >> So then I was like, "How can I?" That's when I >> got the idea of new construction and then I bought my first lot and then uh that's when I built the duplex. >> So you developed it at the beginning, >> correct? At the very beginning, not knowing anything about new construction,

but >> you just went right in. Yeah. Talk about taking risks, right? >> Yeah. But same thing, you know, but uh but I had the, you know, idea of how, you know, everything structured and stuff like that because I've been flipping for for so long, you know. >> Yeah, for sure. At that point, how many deals you had done or how many? >> I had done probably I'm going to say in my entire career probably about

20. >> 20. Okay, cool. So, you had experience and you probably had some cash in the account and everything. >> Yeah. Oh, yeah. Yeah. I sold the business. So, I had I had sold my rest. I had that's what I was telling you about our lender, right? So I met my lenders in 2015 >> and uh we've been doing business for 11 years already >> 11 years >> 11 private private lender right >> so uh and

it's funny cuz now dude they'll fund me up front like so I'll buy a house today like I'll bought a house uh yesterday and then like they'll tell me hey how much money you need for tomorrow and they'll you know for demoing >> but I I've built that >> trust it took me like seven years to build that so that's that's another part of my success of building so fast because money never stops coming in >>

right >> you know because It's everything's upfront, you know, and I appreciate that, you know, but >> I do pay my dues and I am very responsible and you could >> you could ask them that's something that they tell me goes, Larry, >> we lend to few people and you are the only person the only person that hasn't called one month and say, "Hey, can you wait for me a week?" The 11 years that we they've

been lending me, not one time of the have I asked, "Hey, do can you wait for me a week?" I can't. >> Yeah. >> Never. They're payment on time. >> Right. Yeah. That builds a lot of trust, a lot of reputation, man. Yeah. Correct. Correct. For sure. So yeah, no wonder they uh they they just financed everything else. >> So So when I when I had the uh it took him a year, dude, to convince me.

So I met him in 2015. So we did the first deal at 2016 and he like, "Dude, it's cuz that's the only way you're going to scale." But I was still my little box, right? >> Mhm. >> Uh no, no, no. I don't want to pay interest. So I said, "Okay, this is what we do." The house was uh 90 grand, right? >> Yeah. >> So I said, "This is what we do." 90 grand. Just lend

lend me 30 grand. Yeah. Right. >> And then he goes, "So you're going to fund the rest?" I said, "Yeah, I'll fund the rest." and the rehab. And then he goes like, [clears throat] but at mind you at this time I didn't know, right? >> He's telling me, "So, can I be first lean?" >> And I'm like, "Sure, you could be first lean." Right. And at that point, he's like, "Dude, that's when I knew that you

weren't going anywhere because you allowed me to be first lean on $30,000." >> Yeah. >> And that's all that land. And then little by little, we start, you know, increasing. And then they've helped me a lot. They've guided me a lot how to scale, you know. Yeah. >> So, we became very good friends. Very, very good friends. >> So, at the beginning, were you just financing everything by yourself? >> Everything by myself. 100%. Yeah. purchase >>

purchase rehab everything >> everything holding costs >> so no lenders at all >> no lenders at all >> that's wild yeah that's uh that's a really good way to stay very lean in your operations >> and I think that taught me allowed you to be disciplined with money because the that's something that you see currently and a lot of flippers fail I think is they start getting all this draw money right and do you popping b

and then when it starts towards the end of the project >> and it's you know that draw ain't coming in no more right >> you know so I've learned how to be very disciplined from day one and I think that's what helped me now still stay disciplined you know >> yeah yeah yeah >> and responsibilities you know that you have to >> liquidity is so important whenever you're doing real estate man >> so now my focus

is in three years I'm going to be a lender >> lender >> that's the focus yeah >> so I'm almost three years away >> what's it going to take for you to be a lender >> I'm $5 million liquid >> $5 million okay >> you need to have five liquid and then >> 5 million >> right and then be able to go and maybe get a line of credit with a bank or something >> no I'm

just going to lend my 5 million >> that's That's it. And then uh but if if you you know if you lend it at you know 10 11% that's half a million dollars. >> Yeah. >> But I'm building also at the same time I'm building uh portfolio that I'm going to have about 25 30 grand monthly you know cash flow. >> And if I have that I have that and then lending I think I'll be all

right. >> Yeah. The the rhythm of of of life that I have currently dude it's not not healthy. It's a lot of work. People like oh my god you're doing this >> but dude it's not healthy dude. It's not healthy. I I don't see myself doing this 10 years or five more years, you know, >> right? It's a lot of work. >> A lot of work. But then >> all my cruising and and projects, my son

will inher inherit that, you know? So then I'll be his lender and then I'll make him what these lenders made me. >> Yeah. Yeah. Be able to kind of pass on the torch. >> Correct. Correct. Correct. >> Yeah. Yeah. It's amazing, man. That's a great legacy you'll be able to leave behind. Um, man, I'd love to get into uh your story on how you created the first uh stackable duplex floor plan. Um, but before we do,

let's uh let's take a quick commercial break here. If you're a real estate investor in Houston, Texas, you need to listen up. Andrew F with Renovo is the number one lender with DSCR 30-year fixed loans. He can do one to four family. Um, he can do five units plus. He can do commercial, anything you need. Andrew Fot is your number one source for long-term financing. Right now, his current rates are high fives to low sixes. Uh,

he's got a one to two points in origination, and he can fund up to 75% loan to value. So, he can refinance you, cash you out right out of that hard money loan that you have, no problems. and he's a direct lender, which means that you don't have to go through any AMC BS, right? So, what that means is they have an in-house appraiser. No need to chase an appraiser to figure out how they do business,

Renovo has it all inhouse. They also have a in-house uh servicing company. So, anytime you need uh any help with tax forms, um any help with servicing your loan, Andrew is one phone call or email away to help you out. I'm a testament of this. He has one of my long-term uh notes and it's always uh smooth as pie to get any sort of documents uh that I need. So, Andrew is a relationshipbased lender, meaning that

if you're trying to figure out something with your loan, he can help you through it, guide you through it, and set you up for success. So, if you're interested in a 30-year fixed rate loan, hit up my boy Andrew F with Renovo. His phone number is 2110425219. If you're a wholesaler in Houston, Texas, Kase Sullivan is the number one guy to getting your deal sold in as little as three days. So, Kase Sullivan works for the

number one buyer in all of Houston. Um, this is called New Western. It's a massive operation. Um, they have 20 to 30 dispo agents working around the clock to sell your deal as soon as you get it. All you need to do is uh if you have your deal, call up Kasein. Um, if you give him just 2 to 3 days, if you give him property access, he can get you any number on any deal. Um,

they have a full closing team, so you don't have to worry about escrow, transaction coordination, any legal. Uh, and that gives you less time selling the property and more time to source your own deals. And that's how you that's how you scale your company. Um, Casey Sullivan closed 72 deals last year. So, you know that this guy is the real deal and an actual operator. Um, you can reach out to Kase at 409-5271115. If you're a

real estate investor in Texas, Natalie Basak with Black Label Title is the number one title company for real estate investors. Here's why. Natalie can pull free instant property reports for existing clients that show leans, nearby foreclosures, any delinquent taxes. Uh this is so that investors can do their due diligence before going under contract. Uh I'm sure she could even help you out if you need to do some sort of due diligence if you're going to go

buy at the auction. Natalie Basak is the number one person for you. Um they have they are backed by multiple underwriters. So they have um you know different people that can make sure that your deal gets closed. Uh and I think what's really cool about them is that they do pass through A to B closings. This means that you don't need transactional funding. This alone saves you several thousand dollar on every closing that you do. That

is a double closing. So that means that you can use the BTOC transaction to be able to fund the A to B. No transactional funding needed. They're familiar with all investor transactions from assignments, double closes, noations, sub twos, wraps, anything that's creative. reach out to Natalie Bisak. Her phone number is 936-4428486. Natalie Bisach with black label title. All right. And we're back. So Larry, let's uh let's talk about the uh duplex the stackable duplex floor plan.

You said you're the the first one that came up with the stackable duplex. >> Stackable duplex. >> Yeah. So let's hear about that, bro. >> So uh I'll start from the beginning, right? How I came up with that idea. So uh in 2015 before I started my uh I had the idea of new construction, right? I was telling you that I did new construction in 2016 or 17 was the first project, >> but the idea started

coming in 2015. >> Yeah. >> So, a trip that I had in Chicago. Uh I uh >> visited my cousin and then he lived in an apartment complex, but they weren't apartments. There were duplexes. Just one story duplexes, massive, right? >> And anywhere you drove by that there was apartment complexes, the majority of them were duplexes. It's weird, right? And I asked him, I said, "Dude, what what you know what's this?" He goes, "Dude, they call

them duplex." I said, "Duplex?" Yeah. I' I've never heard that, you know, or we would didn't have seen them here in in Houston. >> Yeah. >> And then I I come back to Houston and then I was working with my engineer and I told him I said, "This is what I this is what I have planned." He goes, "Dude, why do you want to do a duplex? Who's going to want to live side by side? This

is and that blah blah. It's not going to work. This is that just build a house." >> I said, "Dude, but I just don't want to be just like everybody else." Right? So anyhow, so he said, "Okay, let's do it." So we we we built it and uh in that same area. So everything started in that same area where I did the stackables, right? >> Yeah. >> And mind you, back in the day, I was buying

lots for $7,000. It was that neighborhood was pretty pretty tough. You know, >> you're buying lots for seven grand. >> $7,000. Holy crap. >> Now they're going 5,000 ft. >> Okay. What are they selling for now? >> Now they're selling for 55 50 55. So I bought a lot, dude. I bought when that I bought a lot. >> Yeah. And uh so as I was building, you know, when I when I built the first one, everybody

was building single family homes. So they were selling those homes for 160 170 175, right? >> And then he wrote with my duplex and I'll sell it at 245 and it appraised, right? >> So it they caught on, right? Like dude, this is it. >> Yeah. So they were doing duplexes, one store, but at this point they weren't, you know, copying the floor plan because it's a it's a big, you know, big uh uh piece of

land. So they were able to do be creative, I should say, right on the elevation and the floor plan. So, but at that point, I was like, dude, it's getting saturated with duplexes, you know, and it it was >> harder for you to sell the duplexes because there was more inventory. >> Yeah. Right. Well, let's back up a little bit because um I think the the biggest story here is >> you creating the first stackable duplex,

right? So, before you came along, obviously there was a lot of duplexes in Houston, right? But the main the main distinction was that they were side by side. >> Correct. Correct. >> Okay. So, can can you explain a little bit for everyone that's watching and listening to this? What is the difference between, you know, the side by side and why is it special that now you're putting it, you know, stackable? So you're able to build more

square footage in the least amount of land, right? Okay. So when I created that is uh I split the lots, right? So it had a 5,000 foot lot, so it's 50 by 100. So I split it 25 by 100, right? >> So when I done that, uh you the traditional duplexes you're going to see, it's a wall in the middle, right? You'll see two story duplexes, unit A up and down, unit B up and down with

a firewall in the middle. Right. >> Right. So, what I created was a a a a true one unit downstairs and a true one unit upstairs in 2500 ft² uh lot 25 by 100 and each duplex is 1,184 ft² 3bedroom two bath each unit. >> M >> so when I create when so when I when I was trying to separate myself from I said how can I separate myself from everybody that's you know doing duplex again.

So that's when I went, you know, my engineer, he's like, "Dude, I don't know." Same thing. Same thing that happened with didn't believe the first one, right? And even my lenders are like, "Dude, I don't know that's going to work. Who's going to want to buy a duplex on a 2500 foot lot? There's no backyard blah blah blah." >> Is it because most duplexes are on a typically they're side by side. So because they're side by

side, they'd have to be on a 5,000t lot. >> No, not necessarily because nobody had to had had this idea before, right? So my idea came from town homes. You know how town homes are like like they're behind each other. >> So I said, "Dude, what if I do that on a duplex?" Right? So your traditional So your traditional duplex has always been duplex and I said fire one in the middle. That's it. Unit A and

unit B. Period. >> All right. So but they there's an unit A, unit B, >> and a fire one in the middle. >> I know. I know. But what what kind of uh square foot lot are they sitting on? Typically >> a 5,000 square foot lot. Correct. 5,000 square foot or maybe more, you know. >> So but that's so that's the difference, right? That >> correct. You can't you can't build a duplex uh in anything smaller

than 50 foot wide a one story >> before you came along. >> Before I came along. Correct. >> So that's that's a specialty is that now you're able to take advantage of of a 5,000 foot lots >> and do four units instead of two. Correct. Right. >> Because now you're going up and down because there's a minimum amount of of of uh width of land that you need for doing two properties, right? Two homes. And now

that we have uh theoretically you're still doing the same thing, right? Using the half of it, but then you're doing the other half on top. >> So that's what that's what we created and that's what uh so when when we're with the city, it took me like nine months, man, >> back and forth with the city because they wanted to code me as apartment complex. So they said, "Dude, there's there's nothing in Houston like this, you

know, and they want to do sprinklers like they're like apartment just like a true apartment complex, but we can't do that because >> it's it's not going to make sense for you, you They and they really truly wanted to help me out, right? To to [clears throat] evolve, right? >> Mhm. >> And so when we done it, uh they helped them how to draw, you know, fire codes and like firewalls, everything how it needed to be

done, AC stuff, like they just helped on everything, uh the whole process. >> Mhm. >> And then my engineer took another maybe month to draw it up and then submit it to the city and it took about maybe another five or six months to approve. >> Yeah. But then after that, the building part of it because I've never been in in in uh I've done duplexes of fire codes, but these fire codes were complete different. Complete

different. >> Yeah. How so? >> But dude, there's because you have a you have a unit downstairs and a unit upstairs. So you have to have a 2hour, you know, delay if downstairs catch on fire so that upstairs has two hours to get out of the property. >> So that's the code, right? >> Yeah. So you have to build do some sort of different building materials there. >> No, it's just it's uh uh pretty much just

it's sheetrock, right? So you have to do uh 1 hour two hour sheetrock on on between up and down, you know? >> That's it. >> Separate. Yeah. >> Okay. Got it. >> And then the AC there's no pockets of air. There's there's a bit complex especially on the unit downstairs. Upstairs cuz you do your AC in the attic. So there's >> there's uh uh little uh regulations and codes that they want you to do, >> right?

>> Especially in the unit downstairs. >> Yeah. in the unit downstairs. Correct. Okay. Interesting, man. >> And then and then so so I built it, right? And then this is a funny part. So I built it and uh so we put up for the market, right? And then the first day, right, we had 45 showings, dude. >> 45 showings. >> 45 showings, right? >> The first day. >> And when was this? >> This was 20. >>

2021. >> Yeah. >> 45 showings. And then my my son was like, "Dude, what the fuck?" No. 25 show. at at uh at that point my son was helping me but he was doing all the transactions through a buddy of mine his real estate license so he he didn't have his real estate license yet. >> Yeah. >> And uh so uh we got we got him on the contract the next day. But >> did I know

that the majority of those cats were uh going in there measuring and taking pictures and stuff like that? >> Really? >> So they asked when Yeah. So I didn't know. So four or five months later we start seeing them popping up and I'm like dude that's my stuff you know. >> Yeah. And uh that's how everything started just getting out of control, you know. >> Wow. >> Of doing the similar floor plan, you know. And it

became very popular. It's very popular. And and like I was telling you earlier, it became popular because even if you don't want to, you got to copy me, right? Because we've maximized the width. >> Yeah. >> Of the construction and the length of the construction on a three-bedroom, two bath. So even if you don't want to, you have to you have to copy >> to stay competitive with you, right? >> With the square footage, right? >>

Correct. And then uh so we were having them at 390, right? Uh uh I sold the last one 390 January of last year 2025 and then it just got saturated you know from people coping me to people building duplexes like mine on 2500 foot. So >> so they sat you know January so they sat February and March and I told my son I said dude we got to figure this out right because we have a lot

of inventory. I had six in the market. >> Yeah. >> Six. Right. >> And they weren't selling. >> They weren't selling because dude there was there was a lot of them. Right. So I had six and there was about 10 more dude in the market. So, I said I told my son, "You know what? What are we going to do?" I said, "We're going to saturate the the market." He goes, "What do you mean?" I said,

"Uh, how many lots I got?" He said, "Well, you can still have 10 more lots." I said, "Okay, list them all. 16 lots of the six that I have plus 10 lots pre-construction uh slash $10,000 off them." So, $379. That's the first 10 grand >> uh slash that I've done. Right. >> And uh that was on a Wednesday. By Monday, all six were under contract. up to 10 grand. >> Yeah. Only 10 grand. >> 10 grand.

>> Yeah. >> And uh two weeks later, uh an agent calls me, right? But first, she said she was the agent >> of one of the guys that had copied me, right? >> He's like, "Hey, uh we're seeing that you guys are moving these, you know, but you know, dropping the price doesn't really help, you know, because in, you know, you want these to appreciate, not depreciate, you know." And I'm like, "Okay." So, and I was

just listening, right? And then she's like, "So, I just talked to this guy and he was telling me to get with you and see what you think. What's the number that you want because you're the guy that created this? What what's the number you want to be at so we could all be in?" I said, "Dude, you can't do that. You're steering, >> right?" I said, "Number one. Number two, I say, tell them that, you know,

that's what you get for being, you know, for copying this stuff. And number two, there's that's not the reason. The reason is because we're, you know, there's so many duplexes." So, it's not because you copy, it's just because there's so many duplexes. You know, we have to drop the price. when there's there's uh a lot of it, what do you got to do? Yeah, >> you got to drop the price or they're just going to sit

there. >> But I said, but I'll tell you one thing. I said, if you tell him that if he matches my price, I'm going to drop another $10,000. >> And guess what he done? >> What's that? >> He matched the price, right? >> Yeah. >> And guess what I done? >> Dropped the dome. >> $10,000. Right. So, uh I think now they they got it because I've been dropping every time they match me, I've been dropping

them 10 grand. So, I'm at 359 right now. 359 >> and I tell you I go to 310 dude I don't >> I'll still make because I'm in the volume you know so for me if I make 20 30 grand per building I'm doing you know 40 50 a year it's not it doesn't you know >> it doesn't bother you too much >> so let let's back up here you uh you created the this stackable duplex

plan and then uh people started copying you when was that was it again that you mentioned that you made the >> 2021 >> okay so then you get started you're doing these duplexes it didn't take long for people to catch on. Correct. >> And now the market's kind of saturated at this point. Now we're sitting here in 2026. 5 years later, the market's saturated. >> Correct. >> Right. And so what have you done to distinguish yourself

now from everyone that's kind of come in and try to copy your design? >> So what I've done is I've dropped it like I was telling you three uh excuse me 360$ 359. >> Yeah. >> But I sell them pre-sale. So now everything you see that's up for sale >> Mhm. >> that's [clears throat] under contract >> it's uh still under construction, right? So I'm able to turn key these things in 12 weeks, right? So I'll

build them in 12 weeks. So they'll they'll call me and say they'll call my son and say, "Hey, when these things are going to be ready, right?" So that's how I separate myself from everybody because everybody doesn't doesn't have the system that I do to build so fast, right? Like this year I was telling you earlier, this year we've done 13. So that's what separates me from everybody. I have a system. >> Yeah. >> You know?

>> Yeah. So, uh, from the beginning of the year, January to now, we we're on our 13th, uh, build. So, that's what's that's what separate and the price obviously. >> Yeah. 13th. You're on your 13th. >> 13th build. Yeah. Duplex. >> Yeah. >> This year alone. >> Wow. >> And out of those 13, I've sold uh I just closed two today. So, I've sold four. I sold six of them this year. >> Six. >> Close. Yeah.

>> Wow. >> And then out the other four are under contract. >> What do you think is your secret to success? right now because you're doing a lot of volume, right? But um obviously there was some decisions that you made, >> right, >> in in the previous years to >> to lead you to where you're at today. What do you think those decisions were? >> Man, I think [sighs] I've never been I think I've always been

very very good with my people, right? And >> this growth, right, it started since probably four years ago. And I I sat down with my team, right? My framer, electrical, plumber, and all. I said, "Dude, this is my plan, right? But I want you to guys be part of me. Right? So all my my entire crew has been with me since 2015, dude. My AC guy, electrical plumber, framer, a hotel guy, everybody. Shirro guy, they have

all been that's why a lot of people like, dude, you know, I mean, you but they they're they're always going to be loyal to me, right? >> Yeah. >> And uh I've always taken care of never, hey, I need my money today. That's their money, you know. So I think that's that's a a pretty big key. Hey man, let me get my draw, you know. I've never done that, you know. They get they get paid whenever

they want to get paid or when they're done with the work. And I think that's that's a a lot of people, you know, they don't take care of their subs, you know, and they they, you know, milk them as much as they can saying, "Okay, I got to get my draw, you know, right?" >> So, I think that's that's that's one of the the uh uh reason and >> how much I build, you know? So, I

build very very cheap, very very cheap because I have volume prices, right? So, my framer is going to give me a price, right? Because I'm giving him 4050 a year, but he's not going to give you that price, right? >> Right. Plus, he doesn't have time, you know, because he's do from what he doing. Yeah. From one project to another. Yeah. Like right now we have we have 18 projects right now, dude. >> Yeah. >> Running.

>> 18 projects >> running. Between flips >> and uh >> How many of those are flips? New construction and duplexes. >> Uh flip new construction uh uh duplex. I got five, six, seven, eight, nine duplexes >> under in construction. And then uh uh the rest are home flips. Homes. >> Okay. So nine nine flips. >> Correct. >> Okay. And the rest are >> the rest. Yeah. >> Nice. Okay. Um, at the beginning you started selling them

for 240 245. You said >> the one the one story. >> The one the one story. Yeah. But but when I when I when I started I to set test the test the waters I was doing threebedroom one bath. >> Okay. >> And again you know those other you know they hadn't appraised so much. So you know we were at the you know lower end of of of value of homes. You know >> what are what

are those uh units renting for? >> Uh 1700 bucks. >> 1,700. That's another thing, you know, if when you when you walk in that area, right, we've maximized the rent comp, right? >> So, if you have Larry here, right, that's selling at 360, right? Why am I going to go buy yours that you're selling them at 390 when I'm going to get the same amount of rent, >> of course, >> right? >> And they're still doing

it, right? I think it has a lot to do, you know, sometimes the agents don't are not very transparent, you know, and then we'll get to know another, we'll get to to that about agents uh in that area because the deal is that they're still appraising for 390, right? They are appraising for 390 because that's the value of the duplex. Even though I'm selling at 360, I'm still getting appraisals even though I'm selling 360 for 390.

Yeah. >> Even the buyers like they're happy like, "Dude, I just got $30,000 worth of equity." Yeah. >> I said, "I told you so." You know, they're between 390 and 394, right? [clears throat] But a lot of a lot of uh agents just to make the sale or get more commission, they'll go and show the more expensive duplex, you know, when um bigger square footage and cheaper by $30,000. And these people, you see, they're listing them

and they're giving them some bogus numbers, right? Like 20 like $2,000 rent or $2,100. And this dude, they're sitting there for >> months because they're not renting. People are not going to rent them at $2,100, right? So now that investor is like, "Dude, >> well, I don't know." You know, that's out there to rent, but they it's not that. It's just that that rent comp is it's not what you told it was going to be. You

know, it's 1,700 bucks. That's what it is. >> When did people um um you know, you've established yourself as, you know, the duplex king, right? And and uh creating this uh stackable duplex model. And uh I'd love to get into when it happened that people started copying, you know, your your product and I I I can tell you're very passionate about this. So I'd love to talk to you about um when they first started copying you

and then like what that process has been like. Um because obviously, you know, we're we're in a very competitive market >> and you're going to want to stand out, right? And you're going to want to like, you know, win. So, uh, I'd love to talk to you about how the competition has came in and, you know, done all these things. But, uh, before we do, let's let's take a quick moment and and hear from our sponsors

real quick. Guys, if you're doing business in Houston and you don't have a great title company, I highly recommend you guys to use Natalie Mario with Black Label Title. They were awarded the best title company in 2026 by Houston Latino Magazine. Um, but I think what's truly impactful of working with Natalie is that her title company can do pass through funding for A to B closings. If you're an investor, this is very important to you because

it it means that you don't you don't need to have your own funds to be able to finance an A to B closing on a double close. You can use the funds from the C to B to fund A to B transaction. If you don't understand what that means, reach out to Natalie. She can explain it all to you. More importantly, you can make a very big assignment fee without your buyer or your seller finding out

what that fee is. So, it's a great opportunity to get with a investor friendly auto company. They also do blind huts, assignments, novations subject to wraps. Um, and so they close in all Texas counties, right? So, they they can do e signing. You know that you don't even have to have a closing in the title company, right? They do CE classes. Um, listen guys, if you're wholesaling or you're investing in Texas, you need to call Natalie

Marrio with Black Label Title. And um, the link for Natalie is going to be in the show notes. So, the number for Natalie Marrio is 9364428486. Make sure you mention Joseas with Pickup the Phone Podcast. If you're a real estate investor anywhere in the United States, you need to listen up. Get hardmoney.com is a free platform for real estate investors. You can find local hard money, connect with the lender directly, request term sheets, and chat all

in one single place. What I really like about the website is that they have free tools. They have built-in AI comping. They can they have flip property calculators. They have cash to close calculators. Everything's 100% free. You don't even need to sign up to be able to use their calculators, which I find extremely useful whenever I'm running numbers on a property. Um, so it's going to be free all the time, no cost ever. So if you're

investing and you need a lender connections or you need deal analysis tools, it's a it's a no-brainer, right? It's a no-brainer. Sign up. So the way to sign up is you go to get hardmoney.com and the link is going to be in the show notes. If you're a nationwide real estate investor, you need to go check out gehardmoney.com. Gethhardmoney.com is the number one place to find local hardmoney lenders. You can connect with them directly. You can

request term sheets. You can chat all in one single place. The coolest thing that I think about get hardmoney.com is that you have free tools built in. Um, AI comping, you have a flip profit uh, calculator, cash to close calculator. Um, what's really cool about it also is that it's 100% free. You don't have to go and buy anything. You can sign up. You can use all the tools that they have. Um, they have tools added

there all the time. No cost ever. So, if you're investing and you need lender connections, this site works nationwide. Uh, if you need deal analysis, this thing is a no-brainer. There's no cost to sign up. It's just free value, free connections to any real estate lender out there. So, get go sign up get hard money.com. All right, Larry. So, we're back. So, let's um man, let's get into it, man. Let's uh let's talk about the journey

of creating something and then you know competition coming in kind of uh taking a little bit of your creation. You spoke a little bit you know before we started filming here about uh different things. You said the interior floor plan is uh you can't trademark that. You can't >> copyright it. >> You can't copyright it. So how is that different from you you caught it elevation >> the the front the front look of the property. Uh-huh.

>> You could copyright the front part of the property, but if they change I think 10 15% then it doesn't it doesn't work right. So that copyright you can't sue them for it. Right. And at the end it's not going to be me who's suing them is the engineer because the stamp it's my design but really who owns it >> is the engineer because that's a stamp, right? >> Got it. >> So uh cuz you know

my engineer went with the city and I told her what was going on and they that's what they told her and uh floor plan you can't copyright because it's it's a uh private property. Yeah. Right. So you could do the same exact thing that would never cop I mean you can't do anything about it. >> Yeah. Yeah. Yeah. So so uh so so what happened bro? Like >> so I was telling you right so when we

put these up in the market right we had 45 45 showings right >> when was this? What year was this? >> 2021 end of 21. >> Okay. >> 45 showings. Right. Out of those 45 I'm assuming a lot of those were because we only had out of the two buildings we had four offers. Right. So we had multiple offers. Uh, so we only kept two obviously. So theoretically maybe I don't know 30 of them were investors,

people in the area that just wanted to go see what I'd done, right? Because I we people thought it were town homes. People thought it were a two-story home. >> Yeah. >> Till we listed them and it said duplex. >> Yeah. >> So then that's when people went. So a couple people, you know, copy me, right? And which it it doesn't matter, right? Because if you do something right, you know, or something good, they're going to

copy, right? Same thing happens Home Depot, Lowe's, you know, uh these franchise McDonald's, you know, they copy each other, the system, right? >> I think when people copy you, it's the best form of flattery. >> Correct. Correct. >> But where I got hurt is there was a >> I wouldn't call it friend, but yeah. And and and he wanted me, you know, to be his mentor. He wanted to follow me, like jump on my truck, and

he did for a few times like a month. >> Yeah. But did I know and he was very persistent of of walking my new constructions, you know, not necessarily my flips, right? And I would tell him, "Hey, I'm going to be here on my flip. You want to come?" >> Mhm. >> No, just tell me when you're in new construction, right? >> But did I know that behind my back, I don't know if he was filming,

taking notes, taking pictures, what, whatever the case may be. And it was two people. I'll tell the story of the first one and the second one. >> Yeah. >> So, the first one and dude, and I call them out every day, even at this point, I call them little Larry's, you know. They're all little Larry's, you know. Uh, and I call him up, you know, sometimes he'll have he'll show his band and I'll say, "Yeah, you

just need the duplex king right there, you know, or sometimes I'll say, "Dude, how does it feel, you know, uh, knowing somebody that creates something that you're you're doing, right?" And he's just like high-fiving and stuff like, but so, uh, did I know I didn't even know what he was doing, how was he was filming, taking measurements, whatever he was doing, right? >> And, uh, 6 months later, right, >> I see that he's posting that he's

building in the area. Right. >> Mhm. >> Right. [clears throat] Uh, and I'm like the island and and I drove by there and I saw just by the pipes of the ground pipe. I knew exactly what it was, right? And uh, I called him. I said, "Hey, dude." I said, "Is that my stuff?" He goes, "Uh, yeah, but you know what? I was just hired to be the builder," which he is. He's the builder. He's not

an investor or anything. He's just a builder. Yeah. They just hired me, you know. I said, "Well, how did they come up with that floor plan, >> right?" I said, "That's my floor plan." >> Yeah. >> And he goes, "Oh, I don't know, dude. I mean, I don't No, you know, and he tried to blame it to another roast agent, right? >> Which they that real estate agent approached me, right? >> During this uh coping or,

you know, taking notes or whatever. So when when when they done their homework with me or on me, >> uh they sold I I now I know what they've done. So what this agent done and it's very bad, you know, very bad. I think it's I think they're it's to a certain point it's like fraudulent, right? because they're selling the project, right? They're telling they'll hire you, right? And say, "Hey, man. You want to be an

investor?" "Yeah." "Okay, this I got this project, right? It's going to cost you this much to build. I got the builder, which is this guy that you know that the one that copy my stuff >> and I'm going to be the agent and it's going to cost you $5,000, $6,000 for this project, >> and it's selling for $390." Right. >> Right. But you don't know any better because you don't have access to her. Right. >> But

again, it's your fault for not doing the work. Right. But they forget to mention, hey, by the way, the original creator, it's Larry, and he's still building in the era and he's selling for 360. >> So people come in here, you know, with the illusion, right, that they're going to sell for 390, but they're going to sell 350. >> So these guys are making their money at the, you know, front end >> and when they're done,

>> that's the investor's problem, right? >> You know, >> because they already charged the money. They've already charged the money, right? >> Correct. Correct. >> That's mainly what, you know, would hurt, right? >> Right. And uh but dude, and I knew this is what's going to happen, you know, because he this is he's never he's never he used to be he was never new never a new constructor of flipping homes. He started doing this two years,

right? So I knew he was going to have a hard time, right? Which >> he started these projects and I feel bad for the investor, dude, because he started this project I think June of last year. He took one year and they still can't finish. >> They haven't finished it yet. >> Haven't finished it. Why not? >> Lack of experience, dude. I mean, that's all it I mean because if you have a if you have a

loan they have a loan cuz I know the the the the lender >> approach me you know also he didn't know about me right so I explained the whole just kind of what I'm doing >> and he's like dude he's like dude what the [ __ ] you know so it >> again you know that's that's uh the money is there for the project but it was just never you know they just can't finish it the

fire codes are very very crucial you know but once you get it it's it's pretty easy you know >> so how many how many projects are they are is that guy doing >> I so between between that street Right. It's uh between him and the and another guy uh I think it's like eight or nine. You do the math. If he charged five or six rand that's the number allegedly I heard that they were charging per

project. Yeah. >> Right. Plus the building fee. >> Right. >> So uh but the other guy is didn't he only bought the project. He's doing three. He only bought the project but didn't hire him for builder. He's got his own crew to build. >> And uh but the same thing Daddy forgot to tell him about me. You know, the same thing. He should have done his homework, right? >> Yeah. >> Everything's in heart, right? You can

look up and say, "Okay, this guy's selling for this much." >> So, uh, >> but then he he this other guy reached out to me and I'm helping this other guy just much as I can, you know, cuz I am a good person, right? >> And, uh, so, uh, but yet they can't finish. >> Yeah, >> they can't finish. >> So, that was the first guy. And then what what happened with >> So, so the second

guy, also a friend of mine, right? >> He approached me. He goes, "Man, I like what you do. I want to get in this business." And I don't build for nobody, right? But if you're a friend like say you're a good friend, right? And and you want to start. I'm always up for it, right? To build, >> hey JV or do this or do that, right? And I'll say, "Okay, this is what I'll do." No JV

because then I'll be taking money off your table, right? So this will do. I'll build it for this much, right? Which is, dude, it was like $15 a square foot. Cheap, you know, cheap. It's just for me to keep my people busy, just to help them out, dude. Right. >> Okay, fine. Then he calls me like a month later, right? >> And then and then he says, "Hey, Larry, you know what? I really want to get

into this game. I want to learn and that's I'm going to do it by myself. >> Mhm. >> I said, "Yeah, yeah, go for it, bro. Do your thing." But there's one issue. It's in the same neighborhood you are doing. And I'm like, "Okay, no problem, dude. I mean, it's it is what it is, you know? You just do your thing." >> Yeah. >> But I didn't know he was going to copy my stuff. Right. >>

Right. I knew at the same time that this guy also either either he was copying my stuff or writing out or he went with the other guys to ask him and he pay that fee. I don't know. Mhm. >> So I told him, I said, "Okay, this is what's going to happen, dude. You're going to do on your own." I said, "It's going to be past month seven, month eight, and you're still not going to be

finishing them." >> Mhm. >> And you're going to be over like $120 square foot. And he looks at me. What do you mean? No, I'm going to be done in 3 months. I said, "Trust me, it's going to be month seven or eight, and you're still not going to be done." >> Yeah. >> You'll be done within a 10 months to a year. >> No way. All right. So this conversation was September. Guess where we're at

right now? April. April. How many months? >> Eight. >> And he's not done, dude. He's probably 80%. >> Yeah. >> What's the reason that he's taking so long? >> It's just complicated. You know, this dude plays the fire co. It's just complicated. That and then finding the team. Dude, I make it look easy >> because my team is very solid and we have a system. Right. >> So, by me saying system, we know what we're using.

The same blinds, the same lighting, the same switches, the same everything's hinges, doorork knobs, doors stoppers. Everything is a system now. Yeah. Right. So, so, so the system runs the business. Right. that I run the system. So that's the reason why they're they're they're always going to take longer. Anybody that does one is because >> I have these people pretty much full-time, right? And these guys don't have for by the time they find somebody. No, you

know what? I can't I can't do it today. I can do it next week. So that's another week, right? Yeah. >> And they don't know the system of how do things how to do things, right? So that's part of it as well, you know, not having the the right people in a system. That's all it is. >> Yeah. Yeah. Yeah, man. That's a pretty unfortunate for a lot of people out there. So yeah, so so I

told him that right and he's like okay. So then uh he posted something on on Instagram and immediately bro I'm very confident when it comes to do you give me a set of plans I could read your plans I could tell you so people don't know this about right so I self-educated myself like red plans and set of engineer for her to teach me right so I know you know uh I know how to how to

tell you how much rebar you going to need how much wood you need for your form how much you know wood for your framing how much sheeting how much decking how many shingles I could tell you everything how many hangers everything how much concrete and I'm I'm off by a a little bit. >> Yeah. >> So, I'm very very good. So, >> I say all I say is uh he posted something right immediately, bro. I reply,

"Hey, dude, that's my floor plan, right?" >> And it took him a while to respond. He seen it. It took He goes, "Yeah, it is. It's kind of I said, no, kind of, bro, it is." Yeah. >> I said, "I'm going to call you right now." >> Yeah. >> Boom. I call him. I said, "Dude, >> dude, >> man. I know, but you know, it's cuz it's so perfect and this and that." And we tried different.

I said, "Dude, just call me, dude. say, "Hey, Larry, it's perfect." There's two guys, right? This guy, I'm going to give you his name. >> There's a guy named Gilbert and a guy named Miguel in the area, right? They came to me, bro, right, to help him out. They even use my engineer and my floor plan and my elevation, >> right? Not a problem. So, when they say, "Oh, he's just petty cuz we're doing No, dude.

Those two guys >> came to me and they were and I allowed them to do and guess what? Those guys finished fast because I coached them. I helped with no cost, right? >> No cost. It's just what they've done, you know?" >> Yeah. So now >> it's a matter of principle then at this point. >> Correct. So what they say they say never never underestimate the power of honesty, right? So just be honest, dude. It does,

you know, I'm going to help you out. Just be honest. Right. >> Give credit where credit is too. >> Yeah. Not necessarily. Credit is just just say, "Hey Larry, you know, your [ __ ] is good, right? Can we use it and make some money off it, right? >> Maybe we'll throw something at you and I'll say, you know what? I don't need no money, bro. It's okay. Just just give me credit. That's it." Right? Yeah.

>> And uh so a lot of people think that I'm dropping the prices because of that because they copy, but it's not that. It is just it's it's saturated. There's so many duplex. Kind of like Sunnyside. Same thing happened in Sunnyside. It it just got real hot and people were building left and right. And same thing's happening right now, dude. It's just hot. So we just got to control that, dude. Because if we don't control it,

it'll get out of control and nobody's going to sell, you know? So a lot of their stuff is sitting because they they just can't afford to drop the prices, you know, to our indeed. Like I was saying, I could drop that thing to like 310 if if there's an issue and I'll still make money, good money, you know, at 310. >> Yeah. >> What's the reason that you can drop down to 310? Is it because of

your build cost and also because you you bought the uh you said you bought a lot of lots back in the day? I mean, correct. Is that is that the reason you own a lot of these lots? >> Those lots are gone. They're they're long gone. I think since 2022. Yeah. 2020. Yeah. >> So everything I have it's it's I still have 18 lots in the area. >> Okay. >> Yeah. That's everything. I And I'm I

just got on the contract uh two more lots and I'm closing on actually Monday. >> Nice. >> Yeah. >> So, the reason then that you can drop the price down is because you >> volume price I mean uh volume price per square footage, right? So, my frame is going to give me one price, >> but he's not [clears throat] going to give me that price, you know. Yeah. >> Because I have them work every, you know,

360 throughout the whole year. >> Would you say your competitors are mainly doing maybe two projects at a time more or less or maybe like not really to the same volume? What does volume mean in this case? >> Volume and it's it's how many projects you're doing a year, right? For me, right? So, for me, volume is I tell people they kind of laugh. I want to be the Walmart in real estate, right? So, I want

to be, you know, >> same product at cheaper price, you know, good quality, right? So, so volume is doing so many projects to keep these people not having to go chase work somewhere else, right? So, my framer's been working me with me non-stop for the last two years. >> Two years. Yeah. But he started working with me and this is where this this goes. I I started he started working with me 2015. But I was doing

two or three a year, right? >> So that's where it comes where these guys have a problem, right? Because I would call them, hey, you know, I'm going to have a project kicking in, man, I got a project going on. You're going to have to wait two weeks till I'm done with this, right? >> So now me having them work for me 100%. I dictate and I and I'd set >> when things need to be done

and I kind of map it out, you know, start projects as, >> you know, they're finishing when the other, you know. >> Yeah. Yeah. >> So that's volume for me. That's volume. You know, creating x amount of uh >> of a project and I'm and like I said, this year I'm going to try to hit 60 and then next year uh 100. Want to hit 100. >> And then uh so last year you did 38, right?

>> Yeah. 30 like 30. Yeah, 38. >> Yeah. Okay, cool. Um what do you what do you think what do you think is the reason that like I mean Houston is so large, right? Se like uh 7 [snorts] million people here, something like that. >> A little bit on there, I think. Six six something. it it's such a big city. Why are they why are people going into this little pocket of the city and building these

lots, these duplexes there? Why not go to other different neighborhoods? You know, like you mentioned the second guy and that they're talking about, "Hey, Larry, we're going to go and do the exact same thing in the exact same neighborhood." That doesn't make sense to me, right? Like what do you think is the reason that they're just >> So, I think the reason is my whole business has always been in the spec world, right? So, single family

meaning 250, $230,000 or under, right? And I've created I think in the area it it's spec duplex, right? >> Either like or not it's a spec duplex, right? It's something cheap that anybody that makes 100 grand can afford it, right? House you get an FHA loan, you live in one and rent the other one, right? >> So it's hot because of what it's being sold for and what you're able to buy lot land, right? Because at

the end of day numbers got to work out, right? So if you buy land for 80 grand, you're going to have to sell it for more, right? Just it just makes sense. So, I think it's hot because of of of the price of the land and uh how high the rents are. Because they are high for the area. They're high. 1,700 bucks. They're high. Well, not anymore. Two years ago, they were high, but not not at

this point. Yeah. >> Yeah. What do you think they're at right now? >> 1,700 bucks. 1,700 bucks. Yeah. Between 16 to 17. So, you know, they're telling 18. It's a lie. You're never going to get 18, 19, 1900 bucks with rent. You know, I own a few in the area. And for me, same thing with rent. Dude, for me it's I want to move everything fast, right? So for me, I rent them at some 1550 and

some 1,600 bucks. >> Yeah, >> just let them go, dude. Just rent. I would rather make three 400 bucks cuz for me it's not the cash flow. For me, it's just, you know, recycling money. So I dump money in a cash out refi and just for tax purposes, right? So for me, I don't care about the cash flow. So that's why I ran them. As long as they pay the mortgage, dude, it's it's it's good. >>

Yeah. Yeah. Doesn't matter. >> It doesn't matter. So uh I think that's why it's so hot. It's just like anywhere that you could sell a home. Like say if you're selling homes for in this market that they're going for 220 240 and you're selling for 180, right? It's going to be hot. Why? Because you're buying dirt cheap. The the cost of of building is going to be the same anywhere you go. So where it's going to

be the difference is the cost of land. So I think it's because the cost of land in in the area. >> Got it. >> It's so hot. >> The the cost of land in that area, would you say, is a lot cheaper than a lot of other places in town or >> Yes. Yes, it is. >> Yeah. And and you said initially that there were like that was a rough area. You know, it kind of seems

that maybe with all this new construction now may not be that may not be the case anymore, >> huh? >> No, not I mean it hasn't been like that for the last >> 3 years. That's why it's been it became so and dude you're you're like 10 minutes away from downtown like 12 15 minutes 10 or 12 minutes from downtown. >> Yeah. >> So right uh right outside the uh loop 610 loop. >> Okay. Okay. >>

So >> yeah. Yeah. >> Close. >> Very cool man. That's amazing dude. So where do you see it going next in that area man? Uh what do you you know like you're you have big goals. >> Yes. I I think right now duplexes are very very very hot, right? So I think it's going to be it's going to phase. I mean it's going to just you know kind of balance out. So that's why I was mentioned

that I always set myself go. So >> uh I think by the time this is I'll become a lender like three years. My goal is to be lender in three years. So by that time I think it's going to kind of cool down the duplex hype that's going on right now. The or how hot the market is on duplexes. Yeah. I do believe so. It's going to, you know, uh, how people want them now. It's going

to drop a little, you know, not as hot as as it is now. >> Well, and not only that, but you're also going to run out of land, you know, >> there's Dude, I think even if we're still building >> at the rhythm that we are in that area, dude, I think there's land there probably for the next seven years, dude. There's a lot of land there. Lots and lots of homes that you could buy and

tear down. D I mean, it's it's it's pretty big, dude. pretty big. >> Yeah. >> Well, and >> and not just be me and me uh being me in there, right? Everybody that's in there, right? Probably another seven years. >> So, there's a ton of >> Dude, there's a ton >> ton of ton. >> Yeah. A lot of acres. >> Lot of y lots >> and vacant >> vacant lots. >> Vacant lots. >> Yeah. Yeah. Yeah.

>> What do you think is uh you know, like obviously these homeowners are sitting on these uh lots. Are are you buying them for retail costs or how are you sourcing your land now? I do a lot through uh wholesaling like I get them from wholesales or or uh HR depending and and it's coming up for sale a lot because >> a lot of the land that's been inherited you know kids up kids don't want to

live in the area right so a lot of the older people that are dying I think that's the reason why also there a lot of land is coming up for sale right because a lot of people are they're are dying right and their kids are inheriting these properties and they're just selling them because they don't want to live in that area >> right >> that's that's the There's that is the reason why there's opportunity to buy

land because of that. It's it's switching, you know, generations or >> Yeah. Do you have like a specific price per square footage? So, you're looking to pay for land or >> Dude, I I offer, you know, low at the lowest possible. I mean, the lowest possible. I mean, what you're going to get with me, you close in seven days, eight days, you know, as long as your title clears and cash, you know, we'll close. So, so

that's very uh attractive, you know, for the buyer. You don't have to wait for a loan or a month or this. And because I know the area and and there's areas in that in that neighborhood that there's no power, no I mean no water, no sewer. So all the areas I know exactly cuz did I've been building for so long in that area. So I know where's water and where's no water, where no sewer, you know.

>> So >> Okay. Yeah. So it kind of goes back to kind of just being an expert, right? Being an expert in in the area, being an expert in your process and >> just knowing the knowing what's going to happen from the beginning all the way to the end. Correct. Right. Yeah. And then we build them in 12 weeks, dude. So it's fast. People like >> you built you build your duplices in 12 weeks. >> Yeah.

And remind you >> 12 weeks. >> 12 weeks. Close. >> 12 weeks. >> Close. Dude, like right now we're on weeks on one of my project. And remind you, I'm not just doing one. Right now we're on we have 13 projects going right now. >> Yeah. >> Okay. And uh like on one set of duplex I am on uh >> on week six and uh we're already doing floors. >> Wow. >> And Monday kitchens come in.

>> Wow. How do you keep track of all of this, man? I mean, it seems like you have a very uh efficient process, right? You said you wanted to be the Walmart of uh of duplexes, correct? So, it seems like you you you may have a really good understanding when it comes to having tight deadlines, knowing when people are going to come in. >> How do you keep track of all of this, >> dude? You just

got to, you know, uh set a system and set dates, right? And due dates, right? So, I'll give, you know, sometimes bonuses to people. Hey, you finish this date, boom. You finish this date, boom. Right. And and majority of the time I do finish, but you know, weather, you know, you just can't. But >> my son is my agent and my GC, PM, you know, uh contractor, he's everything, you know. So, he handles a big portion

of the projects and I handle big portion of project. So, he gets a salary from me uh every week and he gets all the commission of me of all the purchases and sales. So, so the real estate part, I don't let him represent nobody. >> So, all his deals are mine. So you go to his his h heart that's all mine. >> Yeah. >> So uh that's a big key you know having a especially my son

right he's family he's going to care about you any other person when he's going to go in there for the paycheck and you know if it happens happens if it deadline gets met >> great if not who cares right but having a son is different. Yeah. >> Yeah. Absolutely. But in terms of like scheduling, you know, like I'm always really interested in like knowing about like what kind of technologies are you implementing right now, you know,

like is it just like Excel spreadsheets or like how are you staying and you know, like I had Shakone in here and he's like, "Man, I have like a whiteboard blah blah blah and you get, you know, this that and the third." So, >> how do you stay organized? >> Yeah, I stay so my daughter handles a lot of my uh bookkeeping, right? Uh she's 19, but it's very it's very because we already have a set.

We do XLR but if it's it's we have set prices for everything like my AC my electrical so they're all set numbers framing package framer so it's very easy to keep control that because it's the same price over the only thing that changes sometimes would be like she rock but we'll turn in uh our our receipts every every day and then she'll just put them in in the system and and that's how we keep control of

stuff you know. Yeah. And then the scheduling of the construction is pretty easy, you know. It kind of it kind of it starts, you know, doing itself for what's needed for the next day, you know. So yeah, you just start planning >> it's steps then. >> Yeah. Yeah. >> It's all about steps. >> But like say >> I'll plan okay, I want to start this project Monday, right? So once I start the key is starting, right?

After it starts, then it'll by itself they'll start asking, right? Okay, I need material, you know, I need this and I and then we'll just start uh feeding the business. >> Yeah. >> Or the project or whatever it's needed, you know. >> Yeah. I think the cheat code right now that you know one of the biggest competitive advantage that you have is that you have a it's almost like a small family business. >> Correct. Right. So

you have your your son daughter. Yeah. It's on house and it's all people you're going to trust entirely. Right. >> Correct. And that's what I'm telling you know when when I become a lender I'll I'll lend truly majority of my money to my son so that then he because he he'll inherit my cruise and he'll inherit this process and system I got going on. So then it's his turn to you know build wealth, you know, >>

and then I'll be his lender. Yeah. It'll be the next duplex king. >> No, I don't I could only be one of them. >> Hey, and it's we're going to get on that on that duplex. And so it's funny, you know, because that name came from the uh city of Houston inspectors, dude, because they were obviously now I know they're buddies of mine. They're friends, right? >> Uh but but uh some of the guys like, "Dude,

you're like you're you're you're the king of these things, man. You're the king of these things, right? You're the king of the duplexes. You know, you build them all the time." And that said, >> and then then one and then another inspector comes. Yeah. Yeah. They told him about you're the king of these things, man. So, they say anytime there and anytime that we come and inspect, we're not going to have any issues because everything's done

right. And that's another component that that I handle a lot. So, all my inspections and all my inspections, it's either me or my son. I don't let nobody or inspectors don't go in there by themsel. >> Yeah. >> So, that's why they got to know me, you know. >> So, I'm always in my like this morning, I was in inspection this morning. >> What's the reason that you you say that it's either going to be you

or your son for the inspection? Why is that important? >> Because it's just by time, right? Because if if if you're there, he'll say, "Hey, just fix this." And then we'll fix it. And if it's mine, right? Or he'll say, "You know what? Just fix it. Send me pictures." And then because now I've built that relationship of trust, right? Because they know that I'm going to get if it was I was a new guy. No, they'll

fail and then next day, >> right? And it just especially like if you fell on a Friday, now you can't pass inspection to what? Monday. >> Yeah. So you can't start with the next phase. >> The next phase. Correct. And then in city of Houston, depending on how your engineer >> Mhm. uh does your plans, you have you could have up to 21 inspections a 21 inspection. >> 21 inspections. >> 21 inspection >> throughout the lifetime

of the project. >> Correct. From the moment you start to the moment you're you get your final. >> Wow. >> 21 inspection. >> Yeah. >> Pretty lengthy. >> Yeah. Pretty lengthy. Yeah. >> Yeah. >> So, for anyone that's out there trying to compete with you, I mean, they're they're facing an uphill battle. >> Uphill battle. And then and then the city of Houston doesn't tell you the steps or how those inspections come. And sometimes you'll just

pass an inspection like, "Hey, bro, you haven't passed this inspection." I've seen guys that have to tear down sheck because they they didn't pass their ruffins, you know. >> Yeah. >> And a lot of >> the city of Houston didn't tell them. >> Correct. And a lot of uh the people that build, they depend on they depend a lot on the your master plumber plumbers or your master plumber, master electricians, they they know the codes, but

they don't know >> what passes and what doesn't pass. Right. >> Yeah. So, uh, that's where the part I got educated through my engineer to see the process, the steps of how, uh, every phase of the construction goes, you know. >> Yeah. Yeah. And it sounds like you're pretty reasonable, you know, like, uh, if anyone that's watching this or listening to this and, you know, they they may even want to get into, you know, doing something

similar. I mean, it sounds like you're pretty reasonable in in actually wanting to either help out or >> always, dude. Always, >> you know, maybe you have like certain plans or something. Have you ever thought about like selling your plans or anything like that? Oh, the what's to sell that got everybody is very popular. It's hot out. It's it's out there already. There's nothing. [laughter] No, but I never thought about that because that's another that's another

reason why I've never went that route like being a builder because then it would take away from me building my brand, right? my because if I were to you know deviated myself to build or sell something or whatever the case may be then >> I wouldn't be able to focus 100% of doing what I'm doing for me my company right because I would have been >> chasing money right and not the process so it's very difficult

whenever you're trying to build something you got to chase process right when you're chasing money then what happens is you're you're you're you start you'll be a builder you'll be a this you'll be this and and I just you know put my head down and just took the good and the bad And then so now we're good, you know. >> Yeah. No, makes perfect sense. Where do you see uh where do you see yourself besides, you

know, your lender, but where do you see your brand going? You know, >> I was, you know, I was thinking probably when I become a lender, I'll lend I'll probably do some coaching stuff, you know, just little, you know, maybe say, "Hey, you know, I'll lend you all right and uh if you want me to help you, it's going to be this much a month and I'll come in there and I'll guide you through the whole

thing. I have these plans. you want to use them, you can use them. They've been successful in the past. If not, >> yeah, >> you know, that's something that I will I'm I'm planning to do. Maybe, maybe not because I just don't want to be uh the uh uh employee of somebody. Yeah. Because you'll become an employee of somebody if >> on your time at that point. >> Correct. Correct. Because they you're on their time. Yeah.

>> Yeah. No, it makes perfect sense. Um I think um for anyone that's that's watching this uh you know there they can probably definitely the way that they can bring you value is by presenting you with maybe some land some offmarket opportunities. >> Correct. Correct. >> Um what else are you looking for right now for for the audience at home? >> I I buy anything flip flip wise. I buy anything that uh it's a full rehab.

So now my model of business is not TLC, right? So you come in there makeup. No, for me it's got to be a tear down and redo completely. That's that's I don't buy anything that's not that. >> Yeah. >> So, if anybody's selling stuff like that, I buy them all the time. I have a couple wholesalers that I buy stuff from. >> So, I'll buy flips and and uh they're about 70 80 grand. I put in

them another 60 70 80 grand on them and then sell them for 220 230. So, my business model is uh uh ARV 240 and under. Nothing above 250. >> Yeah. >> People ask me, >> first time home buyers. >> Yes. And people say, "Dude, you do so much. Why not do a half a minute home? I said, dude, that's this is this is working for me and I don't see it >> the reason changing it, you

know. >> Yeah. Yeah. >> But just you got a bigger you got a bigger buying point and all that stuff. So, >> well, if someone's uh someone has a deal for you, how can they reach out to you there? >> Uh you get uh Instagram Larry Reyes. Uh you reach me out there, DM me or or uh uh phone number. >> Yeah. Phone number. You want to give your number or >> Well, just DM me. I

was [laughter] DM. >> You don't want You don't want anyone just like cold calling me or call me or something. >> Yeah. DM me and then I'll just uh send them my number and and I've helped a lot of people through through DMs and and bought a lot of deals actually through DM. >> Oh yeah. Yeah. >> Very cool. Very cool. >> People reach out to me. So, but sometime sometimes wholesalers get a little aggravated because

the >> wholesalers never add your your your your cost of purchase and your cost on the back end. They'll just say, "Okay, this much is going to cost this much rehab. Potential profit." Yeah, bro. That's not the profit. >> There's a lot of other costs. >> A lot of other cost, but you see, you know, that's how they they promote it, you know. >> Of course. Yeah. Yeah. Yeah. I mean, I I get it. They're trying

to maximize my profit. Correct. So, so, >> man. Well, um, Larry, thank you so much for coming on here, man. You've, uh, shared a lot. Uh, is there anything else that you want to share before we wrap up the podcast here? >> That's it. You know, I mean, if anybody needs uh I could help in any way, sure. You know, I I always, you know, take my hat off and help anybody I can, you know. >>

Yeah, absolutely. >> Just ask. You got to ask. >> First step, [laughter] right? >> First step, ask. >> Yeah. Cool, man. Well, thanks a lot. Um I think uh everyone's going to have a lot of fun listening to this podcast. So, thank you for being here. >> Thank you. Thanks for having me. Absolutely.