A real estate investor critiques a Florida seller's inflated asking price for a 5-acre property, calling them a "Willy Wonka" for pricing without comps. Using the Deal Hunter GPT tool, he runs the numbers: 13 units per acre, construction costs, and market rents point to a $6.3 million value at 6% cap rate, with a condo sell-off generating roughly $2.7 million profit.
Are you in the deal room? For 5 acres with a like 3,000 square foot house. And the guy's like, well, there's nothing to comp it over there. Well, it doesn't mean you get to make it the price you want, Willy Wonka. So, and the guy was literally Willy Wonka. You could hear it in his voice. He knew everything about everything. So perfect. Get a golden ticket and find somewhere else to be. But from that, it sparked more to go out and like be like, me see what we can do, because the proper way to comp these things when you get these white elephants in the middle of town is you go find comparable properties in other metropolis areas then, and then base it on that. You know, where else? Because rich people buying property like this, they don't care if they're in Pinellas or in Melbourne, Florida. They just want to be in Florida and they are looking for a specific product. They're not looking for a specific area. And so they're 5 acres with a beautiful house and that's what they're going to go after. We want to walk people through this. Yeah, let's go through it. Jumping into— Yeah. ChatGPT. We're going to run a real estate deal using our GPT called Deal Hunter by Land Shark. It's part of our, our Land Shark Mastermind package. You get this wonderful tool, tool to do things. They've been around since the 1800s. And so that's why that needs to be redone, is because it's old. It has a lot of, a lot of wear and tear, but you can redo it in a traditional, in its traditional fashion and restore it to being something beautiful. And then also set up back here with United Tiny Homes like crazy, right? Right. So do we have somebody? Coming in? I think it was a member. Huh? It looked like one of the members. Oh, oh, oh. Anyway, jump back over to the discussion over on Deal Hunter and we can go through it from the top here. It shows that, uh, breaks down to the snapshot, quick, uh, some quick assumptions right here. It shows pro forma assumptions. It says that zoning allows for 13 units per acre, which is potential of 18 units. Uh, it says the average rents here, cost of construction, sales comps, et cetera. Shows that there's a value of almost $6.3 million at a 6% cap rate if we set it up that way. So to do a condo sell-off would show about a $2.7 million profit. So not much, uh, not much of a, of an, like the increase isn't really there, but it's still profitable.
