Frequently Asked Questions
How Smart RE Investors Stay Ahead of the Market
DealGeneraitor is your automated deal analysis expert, obsessed with delivering accurate property valuations and rehab estimates in real-time and scale. Make confident offers before your competition even runs their numbers.
What is DealGeneraitor?
DealGeneraitor is an AI-powered platform that helps real estate investors:
- Find Deals - Automated market analysis and deal scoring
- Submit Offers - Streamlined instant offer processing
- Close Faster - Professional buyer agent support with updated video tours
- Scale Up - Submit multiple offers with verified proof of funds
How does it work?
Our AI-powered platform streamlines every step:
- Real-time analysis of market opportunities
- Instant renovation cost and ARV assessments
- Smart offer builder with built-in negotiation insights
- Automated document handling and agent coordination
How is the ARV (After Repair Value) evaluated?
ARV is evaluated using:
- Recent comparable sales in the area
- Property condition assessments
- Market trends and location factors
- AI-powered predictive modeling
How accurate are the renovation cost estimates?
Renovation costs are estimated based on:
- Local contractor rates
- Property condition and size
- Required improvements
- Historical renovation data
While estimates are data-driven, we recommend verifying with local contractors for precise quotes.
What's the difference between fix & flip and rental analysis?
Our platform now offers both investment strategies:
- Fix & Flip Analysis: Focuses on ARV, rehab costs, and profit potential from reselling the property after renovation
- Rental Analysis: Evaluates monthly rental income potential, rental-specific rehab costs, and long-term ROI metrics
You can switch between both views in the results page to compare strategies for any property.
How do Deal Scores work?
Our Deal Scores system helps you quickly identify the best investment opportunities through four key dimensions:
Value Score
Indicates how good the deal is relative to the property's potential:
- Based on ratio between (Listing Price + Rehab Cost) and ARV
- Lower ratio = higher profit potential
- Example: A property listed at $150K with $30K rehab and $250K ARV scores better than one with $200K ARV
Motivation Score
Shows seller motivation based on:
- Days on Market (DOM)
- Median DOM in the area
- Price reduction history
- Status changes
A strong Motivation Score (A or B) suggests the seller may be more open to negotiation.
Confidence Score
How confident is the analysis for this property, based on comp info and data quality.
Deal Score
The composite score that combines Value and Confidence:
- Weighted combination of Value and Confidence factors
- Lower score = better potential deal
- Focus on properties with low Deal Score values and strong individual scores
Smart Rehab Cost Estimates for Value-Driven Investors
Our SRCE (Smart Rehab Cost Estimates) are grounded in real, local data. We use up-to-date material prices from leading investor-focused home improvement suppliers, paired with average labor rates specific to the Pittsburgh area—validated by top-tier investment contractors. Our on-the-ground team continuously monitors pricing trends and project benchmarks, ensuring our estimates reflect current market conditions and real-world renovation practices.
Baseline Renovation Cost Guide for Investors – Pittsburgh
| Item | Unit | Approx. Cost | Notes / Source |
|---|---|---|---|
| Flooring | Vinyl plank | $2–$3 /sq ft | Retail, material only |
| Vinyl tile | $1–$5 /sq ft | Retail, material only | |
| Kitchen | Small to mid-size kitchen | $4,500–$14,000 | Typical remodel range |
| Bathroom | includes fixtures, flooring, labor | $5,000–$15,000 | Typical remodel range |
| Paint | Interior (Gallon) | $10–$13/gal | Based on average Home Depot paint pricing |
| Exterior (5 gal bucket) | $40–$60 | Retail price range | |
| Lights | Fixtures | $25–$80 each; recessed cans $10–$30 each | Estimated based on Home Depot listings |
| Roof | Installed cost | $3.50–$5.50 /sq ft | Market average for asphalt shingle installed roof |
| HVAC | Full system | $9,000–$16,000 total | Average replacement range |
| Service | $200 | Standard service call | |
| Appliances | Refrigerator | $1,000–$1,300 | Typical Side by side refrigerator |
| Microwave | $150–$350 | Standard over‑range models | |
| Washer / Dryer | $700–$1,000 each | Depends on capacity & features | |
| Dishwasher | $500–$800 | Low to Mid-range standard built‑in models | |
| Range | $1,000 | Freestanding gas range | |
| Garage Door | Door only | $650 | Steel panel door Home Depot listing estimate |
| Baseboards | Material | $0.50–$2/linear ft | MDF or pine board pricing |
| Gutters | Installed | $1.50–$3/ft | Aluminum, installed |
| Drywall | Sheet | $12–$15 per 4×8 sheet material | Retail price |
| Installed | $2–$3/sq ft | Hanging, taping, finishing | |
| Interior Door | Pre-hung | $90–$150 each | Standard hollow-core types |
| Exterior Door | Insulated steel | $300–$600 (installed) | Typical 6‑panel steel or fiberglass entry doors |
| Windows | Double-hung vinyl | $300–$500 each | Standard Energy Star rated models |
| Masonry | Brick | $10–$30/sq ft; $4–$10/ft | Repair & repointing labor/materials |
| Siding | Vinyl siding | $3.50–$7.00 /sq ft installed | Installed cost range |
Investor Tip
Reduce your rehab expenses by sourcing discounted materials. Look for leftover inventory, closeouts, and clearance deals at big-box stores, local supply warehouses, and online auctions. These smart finds can significantly lower your material costs without compromising on quality.
NEW Feature: Comprehensive Rental Analysis
Our platform now offers detailed rental property analysis to help investors evaluate long-term rental opportunities alongside fix & flip potential.
How are monthly rental estimates calculated?
Our rental estimates are derived from:
- Current rental listings in the area
- Historical rental data specific to the neighborhood
- Property characteristics (bedrooms, bathrooms, square footage etc.)
- Property condition and features
- Seasonal market adjustments
Rental estimates are provided for the property in its rental-ready renovated condition.
What's included in the rental renovation cost?
Rental renovation costs are specifically tailored for rental properties:
- More cost-effective materials suitable for rental properties
- Focus on durability rather than high-end finishes
- Improvements that maximize rental appeal while controlling costs
- Required repairs to meet rental code compliance
This differs from fix & flip renovation costs, which often include more premium finishes to maximize resale value.
How does Deal Score work for rental properties?
Deal Score for rental properties is specifically designed to evaluate rental investment potential:
- Calculated using rent yield, cash flow potential, and rental market strength
- Considers rental-specific metrics like rent-to-price ratio
- Includes rental vacancy rates in the area
- Evaluates long-term appreciation potential
Like the Deal Score for fix & flip properties, rental Deal Score uses a 1-5 scale where 1 is exceptional and 5 is weak.
Can I view both rental and fix & flip analyses for the same property?
Yes! Our platform allows you to easily toggle between:
- Fix & Flip analysis - Focused on ARV and short-term profit
- Rental analysis - Focused on rental income and long-term returns
This dual analysis helps you determine the best strategy for each property or even consider a hybrid approach like BRRRR (Buy, Renovate, Rent, Refinance, Repeat).
How is the Maximum Allowable Offer (MAO) calculated for rentals?
MAO (Rental): Maximum Allowable Offer: The highest price you should pay to achieve your target cap rate. The calculation includes rehab costs, buying costs, and your configured expense ratio (covering taxes, insurance, maintenance, vacancy, etc.).
Our MAO model helps investors confidently buy rentals that hit their return targets and avoid overpaying. It takes into account:
- Expected Monthly Rent: Based on our rental estimate
- Rental Operating Expense Ratio: Configurable in your co-pilot settings (defaults to 30%), covering taxes, insurance, vacancy, management, and maintenance
- Target Cap Rate: Defaults to 7%, but can be customized in your co-pilot settings
- Rehab Costs: Rehab estimates tailored to the property condition to reach rental-ready condition
- Buying Costs: Acquisition costs including all closing costs
Do mortgage assumptions factor in?
Yes — while MAO is cap-rate based, we use mortgage assumptions to evaluate how financing impacts each deal:
- LTV: 65%
- Interest Rate: 7.0%
- Loan Term: 30 years
These are used to calculate monthly mortgage payments and assess the deal's actual financing performance.
How is the Maximum Allowable Offer (MAO) calculated for fix & flip?
MAO (Fix & Flip): Maximum Allowable Offer: The highest price you should pay to achieve your profit goal. The calculation includes rehab costs, buying costs, holding costs, and selling costs.
Our MAO model for fix & flip helps investors achieve their target profit margins while accounting for all project costs:
- After Repair Value (ARV): Based on our comprehensive comparables analysis
- Rehab Costs: Detailed renovation estimates based on property condition to reach the ARV
- Buying Costs: Acquisition costs including all closing costs
- Holding Costs: Financing costs during renovation period
- Selling Costs: Agent commissions, closing costs, and transaction fees
- Target Profit: Your desired profit margin
Understanding Our Deal Scoring System
Our Deal Scores system evaluates properties across key dimensions: Value, Confidence, and Deal Score. Each dimension provides unique insights into the deal's quality and potential.
Deal Score (1-5)
Score Scale (A-E)
A = Best, E = Worst
Value Score
Indicates how good the deal is relative to the property's potential:
- Primary Metric: Ratio between (Listing Price + Rehab Cost) and ARV
- Example: A property listed at $150K with $30K rehab and $250K ARV has a better scoring than one with $200K ARV
Motivation Score
Shows seller motivation based on:
- Days on Market (DOM)
- Price reduction history
- Status changes
Confidence Score
How confident is the analysis for this property, based on comp info and data quality.
Higher confidence scores (A or B) indicate high confidence in the analysis results.
Understanding Our Rental Scoring System
Our Rental Scoring system helps you evaluate rental properties with the same precision as our fix & flip analysis. Below is an explanation of each score component.
Deal Score (1-5)
This is the overall rental deal score, with 1 being the best. It's not a simple average of the other grades, but rather a holistic ranking that considers how all scores interact, along with additional proprietary logic (e.g. specific market trends, anomalies, etc.).
This score is designed to prioritize the most promising rental deals for your investment strategy.
Rent Value (A-E)
This score reflects the financial potential of the rental deal based on:
- The listing price of the property
- Our estimated rehab cost (rental)
- The projected monthly rent
A higher grade (closer to A) means the property appears to offer strong cash flow potential relative to its total investment cost. A lower grade (closer to E) may mean the property is overpriced or won't generate enough rent to justify the expense.
Motivation (A-E)
This grade measures how likely it is that the seller is eager to make a deal. We look at signals such as:
- Days on Market (DOM)
- Price reductions
- Listing status changes (e.g. contingent → for sale)
A property with an A rating is showing high seller motivation, which could give you room to negotiate or move quickly. An E might suggest the seller isn't in a rush or isn't flexible.
Rent Confidence (A-E)
How confident is the analysis for this property, based on comp info and data quality.
This score represents the certainty of our rental analysis. Higher confidence scores (A or B) indicate high confidence in our analysis.
An A means we're highly confident in the numbers. An E indicates limited or inconsistent data—proceed with caution.
How does the offer process work?
Our streamlined offer process follows these steps:
- Initial Terms Review
- Select a property and review our AI-powered analysis
- Use our offer builder to create your initial terms
- Upload proof of funds for verification
- Submit initial terms for listing agent review
- Buyer Agent Services
- If terms are acceptable, our local buyer agent takes over
- Handles all negotiations, documentation, and closing details
- Coordinates property viewings and inspections
- Payment is made directly to the professional buyer agent
What are offer limits?
Offer limits are based on:
- Your verified proof of funds
- Account type (Starter vs Pro)
- Active offers in progress
Understanding Your Property's Neighborhood Rating
When analyzing investment properties, the neighborhood quality is just as important as the property itself. Our platform automatically evaluates every neighborhood using official U.S. Census data and assigns a letter grade from A+ (best) to D- (challenged).
What is Neighborhood Classification?
This classification helps you quickly understand:
- Where your property is located on the quality spectrum
- What type of tenants or buyers to expect in that area
- Risk level associated with the location
- Investment strategy that works best for that neighborhood
The Classification Scale
We use a 12-point grading system similar to how schools grade, but applied to neighborhoods:
| Grade | Quality Level | Description | Investment Potential |
|---|---|---|---|
| A+ | Premium | Top 10% of neighborhoods | Highest property values, appreciation potential |
| A | Excellent | Top 20% of neighborhoods | Strong buyer demand, stable growth |
| A- | Very Good | Top 30% of neighborhoods | Desirable, competitive market |
| B+ | Above Average | Upper-middle tier | Good rental demand, solid appreciation |
| B | Good | Middle tier | Reliable cash flow, moderate appreciation |
| B- | Average | Middle tier | Steady market, affordable entry |
| C+ | Below Average | Working class, stable | Value-add opportunities, higher yields |
| C | Working Class | Moderate turnover | Cash flow focused, manage turnover |
| C- | Challenged | Higher turnover | High cash-on-cash, active management needed |
| D+ | Distressed | Improvement potential | Speculative, turnaround plays |
| D | Distressed | High vacancy/poverty | High risk, requires expertise |
| D- | Severely Distressed | Highest risk | Avoid unless highly experienced |
The 5 Key Factors We Measure
Our classification analyzes 5 critical neighborhood metrics from the U.S. Census Bureau:
1. Median Household Income (35% weight)
What it measures: Average income of households in the area
Why it matters:
- Higher income = Higher property values and appreciation
- Indicates ability of residents to pay rent or purchase
- Strong predictor of neighborhood stability
• A+ neighborhood: $120,000+ median income
• B neighborhood: $60,000-$80,000 median income
• D neighborhood: Under $30,000 median income
2. Education Level (30% weight)
What it measures: Percentage of residents with Bachelor's degree or higher
Why it matters:
- Highly educated areas have better schools and amenities
- Educated residents value property maintenance
- Strong correlation with neighborhood appreciation
- Lower crime rates in educated communities
• A+ neighborhood: 60%+ have college degrees
• B neighborhood: 30-40% have college degrees
• D neighborhood: Under 15% have college degrees
3. Vacancy Rate (15% weight)
What it measures: Percentage of homes sitting vacant
Why it matters:
- Low vacancy = High demand, easy to rent/sell
- High vacancy = Economic distress, harder to find tenants
- Indicates neighborhood health and momentum
• A+ neighborhood: 3-5% vacancy (healthy turnover)
• B neighborhood: 6-10% vacancy (normal)
• D neighborhood: 15%+ vacancy (struggling market)
4. Poverty Rate (10% weight)
What it measures: Percentage of residents living below poverty line
Why it matters:
- Low poverty = Economic stability and security
- High poverty = Higher crime risk, collection challenges
- Affects tenant quality and payment reliability
• A+ neighborhood: Under 5% poverty rate
• B neighborhood: 8-15% poverty rate
• D neighborhood: Over 25% poverty rate
5. Renter Percentage (10% weight)
What it measures: Percentage of occupied homes that are rentals
Why it matters:
- For rental investors: High renter % = more rental demand
- For flippers: Lower renter % = more owner-occupied buyers
- Owner-occupied neighborhoods tend to be more stable
• High renter area: 60%+ are renters (good for landlords)
• Balanced area: 40-50% are renters
• Owner-dominated: Under 30% are renters (good for flips)
How to Use This Information
Target: B+ to C+ neighborhoods
- Best balance of cash flow and stability
- Affordable purchase prices
- Strong rental demand
- Manageable tenant issues
• B neighborhood: $150K house, $1,500/month rent, quality long-term tenants
• C+ neighborhood: $100K house, $1,200/month rent, higher turnover but strong cash-on-cash returns
Target: A- to B neighborhoods
- Strong buyer demand for renovated homes
- Higher ARV (After Repair Value) potential
- Buyers have financing approved easily
- Faster sales with less negotiation
• A- neighborhood: Buy at $250K, renovate $50K, sell at $350K
• B neighborhood: Buy at $150K, renovate $40K, sell at $230K
Target: A+, A, A- neighborhoods
- Highest appreciation potential over time
- Most stable during economic downturns
- Attracts best tenants if renting
- Easier refinancing and future exit
Buy in A- neighborhood, hold 10+ years
Lower cash flow now, significant equity gain later
Real-World Examples (Pittsburgh, PA)
Shadyside - Classification: A-
- Median Income: $82,000
- Education: 68% college graduates
- Vacancy: 5.2%
- Poverty: 8.1%
Investment Insight:
✅ Excellent for flips - strong buyer demand
✅ Premium rentals - can charge $1,800-2,500/month
⚠️ High purchase prices - lower cash-on-cash returns
⚠️ Competitive - multiple offers common
Penn Hills - Classification: C+
- Median Income: $48,000
- Education: 22% college graduates
- Vacancy: 8.9%
- Poverty: 14.2%
Investment Insight:
✅ Great cash flow - 12-15% cash-on-cash returns possible
✅ Affordable entry - houses $80K-$120K
⚠️ More management intensive - tenant screening critical
⚠️ Lower appreciation - focus on cash flow not equity
Homewood - Classification: D
- Median Income: $28,000
- Education: 11% college graduates
- Vacancy: 18.3%
- Poverty: 42.5%
Investment Insight:
⚠️ Very high risk - only for experienced investors
⚠️ Collection challenges - expect payment issues
⚠️ High turnover - properties may sit vacant
⚠️ Safety concerns - affects property management
🔍 Potential for turnaround plays if area is improving
Common Questions
Q: Can a neighborhood's grade change?
A: Yes! Our system updates with new Census data annually. Neighborhoods can improve (gentrification) or decline (economic distress). We automatically recalculate grades as new data becomes available.
Q: Should I avoid all D-rated neighborhoods?
A: Not necessarily, but proceed with extreme caution:
- If you're experienced and have strong property management, D neighborhoods can offer 15-20%+ cash-on-cash returns
- If you're new to real estate investing, stick to B and C neighborhoods until you gain experience
- D neighborhoods require active management, strong tenant screening, and higher cash reserves
Q: Is A+ always better than B?
A: It depends on your strategy:
- For appreciation: Yes, A+ is better
- For cash flow: No! B and C neighborhoods often have better cash-on-cash returns because purchase prices are lower relative to rents
- For beginners: B neighborhoods offer the best balance of stability and returns
Q: How accurate is this classification?
Very accurate because it's based on:
- ✅ Official U.S. Census data - not opinions or estimates
- ✅ Comprehensive metrics - 5 different factors, not just income
- ✅ Percentile-based - compares each neighborhood to all others in the county
- ✅ Objective algorithm - no human bias
However, remember:
- Individual streets within a neighborhood can vary
- Recent changes may not yet appear in Census data
- Always drive the neighborhood yourself before investing
Q: Can I filter properties by neighborhood grade in the platform?
A: Yes! Use our filters to:
- Show only A and B properties for flipping
- Show only B and C properties for cash flow
- Exclude D properties if you want lower risk
- Sort by neighborhood grade to see the best locations first
Pro Tips for Using Neighborhood Data
- Match Strategy to Neighborhood: Don't try to flip in D neighborhoods or buy-and-hold in A+ neighborhoods (unless you're targeting luxury rentals)
- Understand the Borders: Census tracts have boundaries. A property 2 blocks away might be in a different grade neighborhood. Always check the specific address.
- Look for B-/C+ Transitions: These "border" neighborhoods often offer the best risk/reward ratio. You get C+ prices with potential for B- appreciation.
- Consider Multiple Properties: Having 5 properties in B neighborhoods is often safer than 1 property in an A+ neighborhood (diversification).
- Watch for Trends: If a C neighborhood was a C+ two years ago, that's a red flag. If it was D+ two years ago, that's a positive trend.
Quick Reference Guide
| Your Goal | Target Grades | Priority Metric | Expected Cash-on-Cash | Risk Level |
|---|---|---|---|---|
| Appreciation | A+, A, A- | Income, Education | 4-8% | Low |
| Flip Houses | A-, B+, B | Income, Education | N/A (profit on sale) | Low-Medium |
| Balanced | B, B-, C+ | All metrics equal | 8-12% | Medium |
| Cash Flow | C+, C, C- | Vacancy, Renter % | 12-18% | Medium-High |
| High Risk/Reward | D+, D | Poverty (low), Vacancy | 18-25%+ | High |
Data Source & Updates
Data Source: U.S. Census Bureau American Community Survey (ACS) 5-Year Estimates
Update Frequency: Annually (typically released in December for the prior year)
Coverage: All census tracts in Allegheny County, Pennsylvania
Transparency: You can verify any metric yourself at data.census.gov
Remember: Neighborhood classification is a powerful tool, but it's just one piece of your investment analysis. Always combine it with property condition, deal numbers, and your personal investment strategy for the best results.
What are the offer limits?
Currently, all users can have up to 5 active offers at any time. An offer becomes inactive when it's closed, cancelled, or rejected—freeing up a slot for a new offer.
Pro accounts with higher limits and additional features are coming soon.
How can I get help?
Support options include:
- Email support at support@invest-mtre.com
- In-app messaging system
- FAQ documentation
- Priority support for Pro users
What are your business hours?
Our team is available 24/7 to assist you:
- 24/7 automated analysis and offer submissions
- 24/7 support team for offer-related inquiries
- Buyer agents available for showings and negotiations during standard business hours