This AI *JUST MADE* $500,000 in 4 Minutes [USE THIS]
FULL TRANSCRIPT
In this video, I'm going to show you how
I'm using an app to snipe $500,000
of value by scrolling. I'd rather scroll
on that than on Tik Tok. But first, I'm
going to show you exactly the worst kind
of property to buy just as a freebie in
this video because I like educating.
Don't buy this kind of real estate. Now,
why would I tell you to do that? Is it
to bag on this listing? No, not at all.
It's just to educate you on what's not
normal. And yet sometimes people still
buy or even build this kind of real
estate. And I just don't get it. First
red flag if you're ever going to buy a
house, be careful when people label it
literally a compound. The compound can
act as a distinctive single family
alternative. Hm. With four bedrooms and
four baths and three additional studios
with powder rooms or operate as an
income property. Well, why don't you all
just pick one? because now you're
presenting it as a single family for who
needs a four-bedroom, four bath house
with three guest units. But then let's
talk about this. First of all, why do we
have commercial clearance style bars?
Who box overhangs a property like this
anyway in the first place? And if you're
going to spend this much money designing
a 7bedroom, 7 bath quote unquote
compound, why are you using chicken wire
fence? I don't know. I guess technically
it's chain link, not chicken wire. I
know. But still, sometimes
I just get confused why people make
these mistakes. And the problem is
people end up getting suckered into
buying stuff like this and then they
wonder why they can't turn around and
resell it. Now, we might think, okay,
come on, Kevin. It is kind of cool.
Maybe it's like forward thinking or uh,
you know, contemporary.
Well, I don't know how contemporary
aluminum framing is with literally what
appears and I don't know, but what
appears to be greenhouse style plastic
or siding here. That's it. No
insulation. Now, in fairness, Ventura
climate, maybe you don't need it. They
literally got the building plans as part
of their staging right here. That's
pretty funny. But anyway, I don't know
how I feel about this from an insulation
or noise point of view or a
functionality point of view. you want to
hang something on your um what is this
greenhouse uh uh you know cardboard
wall, it probably ain't going to last. I
mean, at least you won't have to use a
stud finder. But I can tell you there's
probably
not a it's probably not a surprise why
they have a fan right here given that
they probably have essentially zero
insulation here. Anyway, I don't
understand why people do this. But the
good news is you don't have to get upset
about a funky powder room kind of
bathroom like that or a funky master
bedroom partition with more greenhouse
wall paneling or portals on your front
door that nobody can look through other
than somebody who's tall enough, I
guess, to look through it. So, forget
about children or shorter people. Or, I
hate to say it, a backsplash that is now
larger than your actual countertop. The
good news is you don't have to worry
about that because instead we're going
to talk about sniping net worth. And
I'll tell you this kind of property to
me, this is how to lose net worth. Just
my opinion. But this photographer, poor
photographer, bless their soul, they
literally had to stand under the water
heater to get this picture. And not only
that, but if the red flags weren't
obvious enough for this puppy, the GFCI
is literally tripped. Or at least it
appears it's tripped. All right. Anyway,
enough of that. First things first,
though, don't buy abnormal stuff. You
can buy tracked homes that are older and
have character, but as soon as you go
buy something that's super unique like
this, it becomes really hard to sell
real estate. And that's what noobs do.
Noobs go in and they're like, "Well, I
want it cuz it's cool." And a pro says,
"What's going to be easy for me to
actually sell if I need to? What if
something happens with my family or
whatever and I need to flip this puppy?
Uh-uh. That's not what I want. So, a few
lessons in there. Buy normal. Buy
something liquid. Stay away from funky
custom junk that I don't even know if
they fully thought through. I I don't
even know how you get permits for that
with I just don't get it. I'm going to
leave it at that. Maybe I'm just broadly
missing something. But for now, we got
to get to the juice of the video, which
is how do we snipe something like
$500,000?
That seems absolutely ridiculous,
especially by scrolling on something
like a Tik Tok style tool. Well, that's
what we're building. And I'm not here to
shill it. I'm actually just here to show
you how in the future you'll be able to
use this. Well, actually, we released
the app within about 24 hours. So,
within about 24 hours, you'll be able to
use it. And I want to show you this.
Take a look at this. You go in here, you
pick a zip code. So, why don't we go
ahead and pick a zip code? I did this
literally yesterday and I typed in
Thousand Oaks. You could type in a zip
code or you could type in a city. I type
in Thousand Oaks. I'm like, "Ah, let me
see if there are any good deals in
Thousand Oaks." So, I just go ahead and
click on Thousand Oaks zip codes and
like, "All right, I get these little
banners here. Less likely, unlikely."
You know, I'll just go ahead and reject
those. Kind of like I'm swiping on uh
Tinder, if you know what I mean. No, I
don't actually swipe on Tinder. I'm
married. I got seven kids. Okay, I don't
swipe on Tinder. But anyway, I could
also swipe to the right and save a
listing if I want, but I don't care
about unlikely junk. I get rid of this
so I never have to see that. Oh, what's
this? A likely deal on Appalachian
Court. A million49,000.
Well, golly. If I don't mind, I'd like
to take a look at this. Ooh, some old
funky lenolum. Old kitchen. Ooh, old
wallpaper. Now, that that one to me
looks like a save. And see, that's
exactly what I did yesterday. I'm
scrolling through and I'm like, "Oh my
gosh." Okay, this looks interesting.
Now, let me go run some comps for that
property. So, it's listed for a,49,000.
And what do lo and behold, what do I
find? that this three-bedroom, two bath,
1462
foot property literally has a model
match sale for $500,000
more than it. It took me less than 2
minutes yesterday to find this deal.
Just throwing in a zip code in a city
and then I pull up a comp. I'm like, "Oh
my gosh, dude. That's a money bagger
right there." Now, in fairness, this
place really nicely remodeled. There are
a lot of factors on this. It's in the
same neighborhood, slightly better
location, but I mean, look, they dalled
it up. Gorgeous kitchen, gorgeous
flooring, uh, great appliances. So, you
got the backsplashless appliance over
there on the range. Although, honestly,
I would have carried the kitchen
backsplash through. I feel like that
kind of looks a little funky. Personal
design choice there. And I personally
think for selling it looks great to have
these shelves, but women like cabinets.
Okay, so a a dude was probably involved
in designing the kitchen there or who
knows, maybe they just wanted to flip it
and get out, right? Sometimes, you know,
flippers don't really think about that
longevity. But compare these two
listings. I got a $500,000
gap between this, which is a model match
compared to what I just showed you. Now,
obviously they look substantially
different, but I can fix this place up
for less than $500,000 and certainly
probably for under $125,000 make it look
95% as good as the other one. And to me,
that is a positive net worth boost. And
see, that's what I think is so exciting.
And so, this app that I showed you, and
then we'll go back to lessons, is the
app that we are pre-selling right now at
reinvest.co. or house hack.com. We also
have our company. So, if you want to
invest in the company, we have the
company's investment round ending
tomorrow. I just want to take a moment
and be super grateful for you. We have
we're almost at $5 million for the
month. It's insane. In the last 24
hours, we're over $900,000 of people
investing in this company. Not just for
the real estate exposure that we have,
the free and clear over $65 million of
real estate, probably more once they're
all fixed up and done, and the 14-ish
million dollars in the bank with no bank
debt. I think people are investing in
that for one reason, but then they're
also getting a slice of ownership of
this artificial intelligence. And see,
artificial intelligence is what's
helping us snipe those deals. Now, if
you want that kind of artificial
intelligence, you could use the reinvest
AI. Just click get our AI and you could
get lifetime access for it. You could
pay in four. In the future, we'll move
to a monthly pricing model, especially
once our valuation AI comes out. It's
one of the downsides of what I just had
to do. I actually had to go look the
valuation up myself by running comps.
Not that hard to do, but it'd be nice to
actually sort these by net worth. Now,
reason I say that is because if we go
back to this deal, I actually saved a
deal over in Irvine. Or go back to the
app. I saved a deal over here in Irvine.
It's 46 Chrismonton West, Irvine,
California. So, I look at this deal and
I run the comps on it and I'm like, ah,
you know, yeah, it's about 100K, maybe
$150,000 under market value. I've got
some comps at $1850. But the problem
with this is I'm not going to have much
money left if I put 80,000 bucks into it
or a h 100,000 bucks left into it.
There's not going to be a lot of room
and meat on the bone for me to say, "Oh
yeah, this is a good deal worth buying."
And so in the future, that's where we're
going to release this fair market value.
That's our fair market value, not like
some estimate garbage. No, like a meat
heaven valuation on these properties.
And that way we can then compare what
it's listed for to what the fair market
value is according to Kevin and our
artificial intelligence and then
actually give you the difference, the
potential net worth boost. And that's
what this app just did for this
particular property. Again, there's a
$500,000
spread between this property and really
a model home version of the same exact
floor plan. That's really impressive.
And obviously you can't guarantee that,
oh, you're going to get a full 500K. But
this feels like I'm sniping multi6ig
deals rather than scrolling on Tinder or
Tik Tok or Instagram or Twitter. I'd
rather do this. Now, what's a big lesson
on top of all of this? Because remember
the whole thing is learn lessons over
time. And while you get started hunting
for real estate yourself, you have to
know this yourself. you're going to
start identifying things called yabotss.
So yabotss are things like properties
that back directly up to busy roads.
This one technically doesn't because
it's the second unit in but we have to
adjust for the fact that this is an
attached or zero lot line property.
Other factors being under high tension
power lines or under highways are
obviously abnormal things that can make
a deal look good, but it's not. So, this
is where there's still some value in
having somebody, you know, kind of go
with you that knows what they're doing
in real estate that's like, "Hey, don't
be a knucklehead." But I'll tell you,
I'm really blown away that I feel like I
can go snipe deals with an app now as
opposed to swiping girls. As much as I'd
love to swipe girls, I'm not allowed to.
I can't. I haven't been able to swipe
girls ever because I think I'm pretty
sure when did Tinder come out? I've been
in a relationship for like 16, 17 years.
Six or seven. When did Tinder come out?
Tinder came out in 2012.
Yep. Been in a relationship since 2008.
But anyway, going back to this, look at
this puppy. You go back into this deal.
Uh, and not only do we have, as we've
seen, the sort of like, uh, funky
partitions over here, uh, which I really
think provide absolutely zero sound
barrier. But I really hope that's not
how they're dividing out the studios
with those barriers either. And so
here's just another example where I
understand they're trying to maximize
this sort of like city downtownish view
that they're going for in this compound,
but people like storage and so missing
out on some kind of upper cabinets here
or upper shelving I think is a mistake.
Even if they went with upper shelving
like that other that flip listing had
might be worth it. But hey, sometimes
people don't think a head like that. Uh,
and to me, I'm just surprised that
something like this could ask for $2
million, but hey, somehow people pull
this stuff off. So, I find red flags and
super custom stuff like this. Another
example, and maybe you love it, but it's
just something that bothers me. This
floor drives me nuts. I can't even tell
what this is, and I don't know who it's
going to appeal to. So, I'm going to do
is I'm going to drag it and we're going
to zoom in on it and we're going to look
at this a little bit closer because I'm
having a little trouble wrapping my head
around what this actual floor is. It
almost looks like cork, like some kind
of fancy cork flooring that they put
down. And again, I don't understand why
people customize real estate like this,
but this is the kind of stuff that gets
people in trouble because to reflo the
place is a pricey ticket, especially
when you've got those disappearing
baseboards along the side, uh, then you
have to add quarter round. If you try to
reflo or whatever the heck this is,
lenolium or or tile or whatever, then if
I go over it, I'm going to have to put
lenolium down. My my door heights are
going to be screwed up. If I try to
scrape it off, gh good luck. At least
here they have a decent sized vanity
with no bullnose on the edge of the
tile. But, you know, whatever. They
tried. I I I don't know. I I guess I
guess maybe I'm just broadly confused as
to how you could sell something like
this for $2.1 million. But some people
do. I look for net worth boosters. And
that one to me is a net worth scam.
>> Why not advertise [music] these things
that you told us here? I feel like
nobody else knows about this.
>> We'll we'll try a little advertising and
see how it goes.
>> Congratulations, man. You have done so
much. People love you. People look up to
you.
>> Kevin Praath there, financial analyst
and YouTuber [music] Meet Kevin. Always
great to get your take.
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