Suppose you had a clone. It’s a clone that can draft property descriptions while you negotiate deals and sip your morning latte.
Or it can analyze market trends while you focus on expanding your real estate investment portfolio.
Using ChatGPT in your real estate investing business the right way can come close to this scenario…
And in today’s article, I will dive into how ChatGPT, an artificial intelligence language model developed by OpenAI, can be almost your digital doppelganger in the hectic world of real estate investing.
From drafting engaging ad copy to playing the devil’s advocate in your decision-making, I will discuss 13 ways, including prompts, it can support and assist you.
So let’s jump right into it…
The Core Benefit of Using Chat GPT to Assist in Your Real Estate Investing Business
In a past article, I’ve already discussed the general benefits of using AI in real estate investing.
However, there are some nuances regarding the benefits of using ChatGPT in real estate investing.
Yes, ChatGPT is also AI, but it’s a limited one. How so? You interact with it through a chat interface. So the chat part creates other benefits.
I identified “saving time” as AI’s core benefit in a different article.
This benefit stays the same regarding ChatGPT.
The use cases, however, look a bit different due to its chat interface limitation, as you will learn in the following section…
How Can Investors Use ChatGPT (13 Use Cases Plus Prompts)
1) Market Summaries & Analysis
Have you ever embarked on a road trip without checking your route first? Doesn’t sound like a fun experience…
That’s exactly how diving into real estate investing feels without a comprehensive market summary.
ChatGPT, however, can offer you help in this case.
It can condense lengthy, jargon-heavy market reports into digestible chunks and simplify the main indicators, such as median property prices, rental yields, demand, and supply, or trends impacting the market.
So, instead of diving into a 50-page market report, you can ask ChatGPT to provide a concise summary.
Remember, though, that as handy as this tool is, it doesn’t replace professional advice.
But for a quick summary or a beginner-friendly overview, ChatGPT can be pretty suitable.
Just copying and pasting a 50-page market report into ChatGPT will have you run into issues. It only can work with 1,000 to 1,500 words at a time.
So you will need a workaround.
The one I already used involved the ChatGPT plugin “Chat With PDF.”
So in whichever format the report you have, you first want to convert it into a PDF and then use the plugin to have Chat GPT summarize it.
Now, how about market analysis?
As you may know, a market report results from a preceding market analysis.
So, where does ChatGPT fit in this case?
It can make sense of the available data, identify trends and patterns, and present them quickly.
Whether it’s breaking down demographic data, analyzing property price trends, or monitoring shifts in supply and demand, ChatGPT can help you navigate the noise.
But one word of caution. In the case of market analysis, you will need to feed ChatGPT first with the current data.
If you don’t do that, it will use data before September 2021 (it’s data cutoff). This would be the best-case scenario.
In the worst case, it will not even use accurate data before September 2021 but invent some.
Here is a prompt example of market analysis for real estate investing. It’s a generic prompt, and you may need to tailor it to your type of real estate investing (e.g., long-term buy-and-hold investing, wholesaling, etc.).
[As a Market Analyst for Real Estate Investing, your role involves studying real estate market trends, conducting in-depth analysis, and providing valuable insights to aid in real estate investment decisions. Your expertise lies in understanding the dynamics of real estate markets, assessing property values, and predicting future trends. Describe your approach to collecting and interpreting market data, your tools and methodologies, and how you present your findings to stakeholders. Discuss the common challenges real estate investors face and how your analysis can guide them in making informed investment decisions. Share examples of successful investments made based on your market analysis. Explain how your expertise as a Market Analyst for Real Estate Investing can help investors identify profitable opportunities, mitigate risks, and maximize their return on investment in the real estate market.]
Analyze the real estate market in LOCATION. The goal is to find investment opportunities for TYPE OF REAL ESTATE INVESTOR. Before you generate a reply, ask me which market data you need.
2) Drafting Property Descriptions
Depending on the real estate niche you do business in as a real estate investor, you may also need to write property descriptions or similar real estate prospectus.
This is also one of those time-consuming tasks where ChatGPT can help.
You can give it the raw data – the number of bedrooms, the locality, the unique features – and watch as it weaves this information into a compelling narrative that brings the property to life.
While ChatGPT can craft engaging descriptions, the final touches and verifications should be yours.
A simple prompt for a property description, as I already discussed in my article about ChatGPT real estate prompts, could be like that:
Write a property listing description for an X-bedroom, Y-bathroom house in LOCATION, with a CORE FEATURE 1 and a CORE FEATURE 2.
In the case of a real estate prospectus, it could be a prompt like that:
Generate a real estate prospectus including an executive summary, property description, market analysis, investment strategy, financial projections, management team, risk factors, legal and regulatory information, and terms of the investment. Before you generate the text, ask which data you still need to be able to proceed.
3) Text-Based Role Play for Negotiation Practice
Suppose you’re an actor rehearsing for a big performance.
You’ve got your lines, you know your character, but to truly shine when the spotlight’s on you, you need to practice…
That’s where text-based roleplay comes in.
I discussed the importance of role plays already in my article about real estate sales training, by the way.
So these role plays are your safe space, your rehearsal stage, to try out different negotiation strategies, practice handling objections, and perfect your persuasions.
ChatGPT can also help and take on the role of a potential buyer, seller, or even a hard-nosed real estate broker, allowing you to practice different scenarios.
A basic prompt for a roleplay could look like this:
I’d like to roleplay a negotiation. I’m a real estate investor looking to purchase a residential property. You’re the property owner. I will start with a low offer, and I’d like you to push back so I can practice negotiating the price. Let’s start. I’m interested in your property, but based on my analysis and the current market conditions, I’m prepared to offer $200,000, even though the listing price is $250,000.
I know that this is not the best prompt. You could still improve it to make the interaction more realistic.
For instance, you could make it play various random characters, some reluctant, some agreeable, etc. You could go pretty far with these improvements…
4) Brainstorming & Validating Ideas
In any business, brainstorming and validating ideas is an important thing to do occasionally.
So in real estate investing, you may need to create new marketing strategies, explore unique property investment opportunities or niches, or seek fresh ways to engage with clients.
All this often starts with brainstorming.
For instance, you can use ChatGPT to develop a catchy name for your real estate newsletter or ideas to maximize a property’s rental income.
However, don’t replace your unique perspective and intuition with its suggestions. It’s there to provide inspiration and suggest paths you hadn’t considered.
But the final decision will always be yours.
Once you have collected some ideas, you can also have ChatGPT validate them.
This means inspecting them from all angles to ensure they’re sound and viable.
It can provide perspectives based on its extensive training data, helping you see potential pitfalls or new opportunities you might not have considered.
Let’s say you’ve got an idea for a unique real estate marketing campaign.
You can bounce it off ChatGPT, gather feedback, ask for pros and cons, or even get suggestions to refine it.
However, ChatGPT can’t validate the ideas on its own. It can provide valuable assistance and insights, but the final decision should be yours.
This is what a prompt could look like:
[As an expert in Brainstorming & Validating Ideas in Real Estate Investing, your role involves facilitating creative thinking sessions and developing and implementing methodologies to evaluate the viability of ideas. Your expertise lies in promoting creative thinking, problem-solving, and decision-making processes. Describe your approach to sparking creativity in individuals or teams, how you guide them through the brainstorming process, and the tools or techniques you use to validate the potential of the ideas generated. Discuss common challenges in brainstorming sessions and idea validation and how your expertise can overcome these. Share examples of successful projects or ventures that originated from the brainstorming sessions you facilitated and the idea validation methods you employed. Explain how your Brainstorming & Validating Ideas expertise can help teams generate innovative solutions, make informed decisions, and drive successful project outcomes.]
Generate 30 ideas on how I could increase the rental income of a townhouse in LOCATION. Ask questions if something is unclear.
5) Exploring Scenarios
Exploring scenarios is similar to validating ideas. It’s just a slightly different approach.
So you may wonder what would happen if you invested in commercial real estate instead of residential.
Or maybe you’re curious about how different interest rates could affect your long-term returns.
This is where exploring scenarios come in.
It’s about peering into the future, considering different possibilities, and seeing where each choice might lead.
And ChatGPT can play out different scenarios with you, helping you consider various paths and their potential outcomes.
For instance, you could ask ChatGPT to help you explore the scenario of investing in a fixer-upper property versus a turnkey property.
A prompt could look like that:
[As an expert in exploring Real Estate Investing Scenarios, your role involves analyzing potential real estate investment situations and evaluating various factors, such as market conditions, property values, and risk, to generate detailed projections and recommendations. Your expertise lies in understanding real estate market dynamics, financial analysis, and investment strategy. Describe your approach to analyzing different investing scenarios, how you gather and interpret relevant data, and the tools or models you use to make projections. Discuss the common uncertainties in real estate investing and how scenario analysis can help investors navigate these challenges. Share examples of investing scenarios you’ve explored that resulted in successful real estate investments. Explain how your expertise in exploring Real Estate Investing Scenarios can assist investors in making informed decisions, managing risk, and achieving their investment goals.]
Explore investing in a fixer-upper property versus a turnkey property in LOCATION. Before you proceed, ask me which data you need to thoroughly analyze.
6) Creating Content & Creative Headlines
For this use case, ChatGPT is probably mostly known.
Suppose you need a creative headline for your latest market analysis blog post. In that case, it can generate various options to get your creative ideas flowing.
Based on the market analysis, you can also have it help you write a more digestible blog post for your content marketing or emails for your newsletter that you may send to partner investors, potential buyers, or sellers.
A subset of content creation is the property descriptions I discussed earlier.
However, while ChatGPT can be a great tool for creating content and headlines, it doesn’t replace your unique perspective and understanding of your audience.
It often starts nurturing your creativity with its suggestion, and you can go from there.
So it’s there to assist and inspire, but the final touch should come from you.
This is what a prompt example could look like:
[As an expert in Creating Real Estate Investing Content & Creative Headlines, your role involves developing engaging and informative content related to real estate investment and crafting compelling headlines to attract and retain readers. Your expertise lies in understanding the real estate investment industry, content creation, copywriting, and audience engagement. Describe your process for researching and writing content that resonates with your target audience and your approach to creating eye-catching headlines. Discuss common challenges in creating engaging content and headlines in the real estate investment field and how your expertise can address these issues. Share examples of content pieces and headlines you’ve created that resulted in high reader engagement. Explain how your expertise in creating Real Estate Investing Content & Creative Headlines can help businesses or individuals communicate their insights, attract potential investors, and establish their authority in the real estate investment industry.]
Generate 30 captivating headlines based on the following title of this market analysis report: TITLE.
7) Property Valuation Reports
As you know, a property valuation report can be filled with many details – about the property’s condition, location, recent sales of similar properties, and so much more.
And your task to consider it as an investment is to interpret this data to understand the property’s true value.
Like the market summaries earlier, ChatGPT can help you decipher the complex language often used in these reports.
It can translate into plain English, that’s easier to understand.
Moreover, you could ask ChatGPT to assist you in summarizing the report’s key points, making it easier to review and digest.
Think of it as having your assistant carefully cataloging the findings of your “treasure hunt.”
Like the market summaries earlier, you may need a workaround to deal with a larger text (larger than 1,000 to 1,500 words).
So again, I would suggest you use the ChatGPT plugin “Chat With PDF.”
If the report is in another file type than PDF, you want to convert it into a PDF before so you can use the plugin to summarize it.
8) Building Networking Messages
Perhaps you need to introduce yourself to a potential partner investor or a potentially motivated seller.
ChatGPT can assist in drafting a message that highlights your strengths and aligns with your audience’s interests.
Or maybe you’re following up with a contact you met at a conference?
ChatGPT can help pen a memorable message that keeps the conversation going.
However, while ChatGPT is a handy assistant in crafting these messages, it doesn’t replace your unique voice and authenticity.
An example prompt could look like this:
[As a Copywriter specializing in Real Estate Investor Direct Mailing, your role involves crafting compelling and engaging direct mail copy to potential real estate investment clients. Your expertise lies in understanding the real estate investment industry, crafting persuasive copy, and effectively using direct mail marketing strategies. Describe your process for writing copy that captures attention, communicates value, and motivates recipients to take action. Discuss the unique challenges of direct mail marketing within the real estate investment field and how your expertise can help overcome these issues. Share examples of successful direct mail campaigns you’ve written for real estate investors that led to significant responses or conversions. Explain how your skills as a Copywriter for Real Estate Investor Direct Mailing can help businesses or individuals effectively communicate with potential clients, generate leads, and drive successful real estate investment deals.]
The USP of my real estate investing business is the following: USP
The need of my target audience (partner investors) is the following: NEED
My offer to my target audience is the following: OFFER
My CTA is the following: CTA
Craft a persuasive sales letter for a direct mailing campaign using the above USP, need, offer, and CTA.
A word of caution, though…
I have been studying, applying, and writing sales copy for several years. And it makes me cringe a bit when thinking of ChatGPT writing a sales letter and expecting it to be above average.
It can do okay for someone who does not know much about copywriting.
However, with a trained eye, you will see that it produces just a “meh” copy. GPT can’t think laterally and understand the target audience’s context with true human empathy.
The situation is slightly different with the next one…
9) Writing Ad Copy
With ad copy, you can use the power of large language models like Chat GPT uses to have it generate a wide array of different ad copy variations consisting of important words you may suggest it.
Let’s say you need to write a Facebook ad for a new property listing.
You can share the property details with ChatGPT and ask it to help you craft a compelling ad.
It can generate various copy options, from ones highlighting the property’s investment potential to those emphasizing its unique features.
This is primarily a benefit if you need, for example, Google Ad copy.
In Google Ads, you can only use a limited number of characters per line.
It can be a nightmare if you generate ideas and must adjust your ad copy repeatedly to fit this constraint.
But remember, while ChatGPT can provide a solid foundation, it doesn’t replace your understanding of your target audience. It’s a tool to inspire and assist, but the final polish, the finishing touch, that’s your domain.
This could be a prompt example for a Google Ad…
[As a specialist in crafting Google Search Ads Copy, your role involves creating concise, engaging, and persuasive ad copy that compels users to click on the advertisement. Your expertise lies in understanding user intent, crafting compelling calls to action, and adhering to Google’s advertising policies. Describe your approach to understanding target audience demographics and search habits and how you incorporate this understanding into your ad copy. Discuss common challenges in creating Google Search Ads Copy and how your expertise can overcome these issues. Share examples of successful ad campaigns you’ve created and the results they achieved regarding click-through rates, conversions, or return on investment. Explain how your skills in writing Google Search Ads Copy can help businesses or individuals reach their target audience, increase their online visibility, and achieve their marketing goals.]
This is the target audience’s need: NEED
This is our USP: USP
These are the keywords to use: KEYWORD 1, 2,3,4…
The character limit for the headline: 30
The character limit for description lines: 90
Based on the above requirements, generate 50 Ad Copy ideas.
This article has been reviewed by our editorial team. It has been approved for publication in accordance with our editorial policy.