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Deal Sourcing & Market Research

Deal Sourcing & Market Research · Playbook 15

Four strategies to know before recommending a deal.

Every property investment is one of four shapes: Core, Core Plus, Value-Add, or Opportunistic. Each shape fits a different kind of client. Two prompts pasted into Claude name every deal and show which fits your client's actual goals.


The four shapes.

Institutional funds sort every deal into one of four categories before they buy. There's no good or bad category, only the one that fits what a specific client actually wants. Core suits an income-focused, low-risk client. Core Plus adds moderate growth. Value-Add suits a hands-on client with renovation bandwidth. Opportunistic suits a long-horizon client comfortable carrying construction or timing risk.

Score it. Classify it. Advise accordingly.

01

Paste the framework once

A three-dimension scoring rubric: asset stage, source of return, and execution required. Highest score sets the category.

02

Paste the client's or portfolio's properties

One row per property: status, year, price, current value, rent, costs, and a one-line note on intent.

03

Read the rendered dashboard

A risk-return bar, an allocation donut against reference ranges, and a card per property naming the kind of client each one fits.

04

Match the category to the client

A Value-Add recommendation to a passive client is a mismatch regardless of the numbers. Use the category to check fit before you check price.

The classifier framework
Score each property 1 to 4 on: asset stage, source of return, execution required. Categories: 1=Core, 2=Core Plus, 3=Value-Add, 4=Opportunistic, assigned by the highest score. Render a card per property with the three scores and a one-line note on the kind of client it fits.

What it still gets wrong.

i.

It doesn't check the price

An Opportunistic deal at the right price is a winner; the same deal at twice the price is a disaster. This sorts strategy, not value. Underwrite separately.

ii.

The category depends on the plan

A property is Value-Add because someone intends to renovate it. Change the plan and the category shifts.

iii.

Leverage isn't in the framework

The classifier scores the asset, not the financing. Track leverage on a separate sheet.


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