Interviews Ira Zlotowitz, Founder & CEO of GPARENCY

0:00 Speaker 2 Good morning.

0:01 Speaker 1 This is Mike Stolar for the Solar real Estate Report on the Cats Roundtable. Everybody’s talking about AI, the stock market, the investors, the real estate world. What is AI today? I have Iris Atlowitz, an individual who has been very active in AI. He is the president and founder of g Parency. Thanks for being here, Ira.

0:20 Speaker 2 Thanks for having me, Mike. So tell me what AI is.

0:24 Speaker 3 What AI is, I’ll probably narrow down more for in our space and the commercial real estate space. So AI, I like to tell people instead of you know, I like the way Apple sells calls it Apple Intelligence, automation, change the eight to automation. I think it’s automation and search on steroids. So whatever you thought, possibly you could

0:43 have someone do tasks. Ay, I could do those tasks for you. Break it down to pieces and the most global, most powerful search.

0:50 Speaker 2 So explain what do you mean by different tasks.

0:53 Speaker 3 So in an office, a deal comes in and you have to you go to one website to get to get the taxes. You got to another website to look up a different set of numbers. Those are steps in a process someone does. You could write a program through AI that will do those tasks for you. Instantly and

1:11 they’ll get that information right away on the spot for you. So I’m speaking like to some banks they’re developing that as soon as a deal comes into the bank, they could automatically underwrite it based on all the data they have.

1:23 Instead of someone going from step by step by step, they could do all the automation. So it’s the same automation we had a whole life, but the cost to make the automation programming was expensive today and video spending billions and trillions of dollars. They’re talking about is to build out these technologies, and I’ll talk about some of

1:39 the things we use and real estate owners are starting to use.

1:42 Speaker 2 So what are you using and what are the real estate owners using this for?

1:46 Speaker 3 So I found most things to be able to use AI. It’s about that first mile, the first step, where do I start? It sounds complicated to a lot of people. So I found the first step to be and how we use it by us is we’rehiring commerial mortgage brokers throughout the country. In the last six months, we hired

2:03 one hundred reals mortgage brokers. I’m going to bring on twelve new a week now.

2:06 Speaker 2 How do you find these people.

2:09 Speaker 3 There are people always want to go into the commercial realist space. My whole career has been hiring and training new brokers. That’s been my whole career and now with the products we’re offering as a mortgage broke up until now, so just to go take it back a step. As a commercial mortgage broker, typically a client had one way

2:26 to engage a mortgage broker. If you engage them, or you don’t, and you pay a big fee at the closing, a one percent fee. And many owners were troubled that a mortgage broker is the only part of this business where you could do in the same exact work one deal lifted the next the same bank, but because the

2:43 deal is larger, the fee is larger. It always bothered owners, but that’s the way it was. Also, we’re in twenty twenty four, you should have options. So I to revolutionize the industry and until now as a mortgage broker, I found that I was working on about thirty percent of the mortgages use mortgage brokers, seventy percent go direct, and even

3:00 those thirty percent thought it more and more using going direct and or negotiating the fee. And I said I’d rather be in the game of the seventy percent, well one hundred percent than thirty. So I rolled out three products to solve an owner. Once number one, half a point captain, A hundred thousand, the deal number two. Most

3:16 owners think a broker as a professional. I have an attorney, he’s a professional, he went to law school. I have a accountant, he’s a professional. He like a pay professional eleven thousand dollars to do the transaction. A to Z doesn’t make a difference how big of small it is you pay for it. But my signature product, which is

3:30 the big game changer is think about a half Falaffel, whole Falaffel, but forty five hundred dollars. I will do all the work of a broker until the term sheet assigned. So most clients say, I have a direct relationship. I love my relationship, but I don’t know if I’m getting the best rate or I have this great broker.

3:44 Speaker 2 I love boutique shop.

3:46 Speaker 3 They don’t know all the banks, But forty five hundred dollars, you could come to me. I’ll shop the rest of the market. Bring you back to the term sheets. So prow let’s.

3:55 Speaker 2 Look at how AI is having an effect on you.

3:59 Speaker 1 What about owner? How do they look at it? Because it’s a different thing. It’s an educational process, right, So I’ll go with AI.

4:05 Speaker 3 How we use it and the same way we use it any every business in the world, we use it, just like every business has a website and a CRM. Is how they’re using AI. It’s their knowledge base. What I mean by that as as follows. I hired one hundred brokers. They have the same questions, every broker. Every week,

4:18 twelve new brokers, same questions, all different questions they used to ask different managers. I woke up one day I said, okay, fine, well you slack. From now on, all questions go into one channel. You ask it in one place. Each manager responds to the question relevant to them. And then I hooked up that channel to open AI with some Now,

4:36 what is open AI Chat GPT the altstio company. It’s called open AI that when you go on and use chat GPT, you could ask it a question. And the fact that communicate within simple English. You don’t have to like ask a detailed question and like if you wanted to know’s take the real estate business. If you’re a broker,

4:52 a mortgage broker, you want to find out who’s the right bank for this? I want to find out I have to answer a series of questions drop box, what’s the loan amoun, what city, what property type? I if I’m a real estate broker selling real estate? Oh, for this property, which of my buyers will spend ten million

5:07 a cap rate of this? And it filters AI. The technology. The beauty of the technology allows you speak in English, so you could say, which of my clients would buy a building for eight million dollars in New York City, an office building that has the rights with air rights on it, and will narrate and then that will go

5:21 behind the scenes and give you the instant results like that. So we did in the office by us is that we connected it to all of our data behind it. I’ll walk through the steps soon. But the concept how works the use case that every new broker I asked the question. We name this chatbot called Read. He gave

5:39 it a name Read for real estate education internally, and they ask on Slack and they ask the question to read. Read answers the question based on every previous answer, based on all the documentation and videos and training manuals. We just kept uploading it and no work to it. He’s the coolest part. The manager goes in the answers correct,

5:58 thumbs up, answers wrong, it puts his thumbs down and tells it how it should answer in the future. But if it answers something factually wrong in our controlled environment, it says weird.

6:07 Speaker 2 Did you get the answer from?

6:08 Speaker 3 And the system basically says IRA’s Lotowitz gave a video three weeks ago on a minute twelve and fourteen seconds. He said, ABC, the manager changes the B to a D and from now when it gives the right answer.

6:21 So two weeks ago, while was scaling up, two managers walked in and said, Ira, we have nothing to do and I get in questions anymore.

6:27 Speaker 1 So what about the residential brokers a resident let’s talk about that.

6:31 Speaker 2 That’s a big guy on the sales side of it. Both pleasing.

6:34 Speaker 3 So the same thing for them to use AI tools is what makes a broker special is when I came into this business, Bob Knackle took me aside and he asked me.

6:42 Speaker 2 What do you do? I said him, a mortgage broker. He goes, Nope, you sell data.

6:47 Speaker 3 You know all the data points why someone to want to work with you, and instead of co Star or companies like that, which get a monthly fee, you get this nothing up front and a big fee closing. So it’s about the data every single shop is going to take.

7:00 They’re in their their knowledge base, they’re going to store it in one centralized box that they’re going to sync with open ai. And this way everyone in the company is just as smart as the smartest one in the room.

7:10 Speaker 1 So who’s promoting this, Who’s how are people learning about it?

7:14 Speaker 3 It’s there learning about it by every company is trying to going on. They’re going on to these going on to open ai. There’s someone on chatchbut they ask you can ask the question, chatbote you what to do. But there are companies out there that are building what’s called a connector. We use a connector a company called plug

7:30 Beer that we pay one hundred dollars a month. That’s it.

7:32 Speaker 3 The cost for this whole thing was one hundred dollars a month and you could dump everything in. And here’s the cool part. I found it today on the way in. I wanted to test it. Since it’s licensed to chat to open ai. We pay a penny a search every time they ask a quer. It’s about a penny each query.

7:47 Speaker 2 That’s it.

7:48 Speaker 3 But I now found out now that I asked it this morning on the way and to test it out. I get all the benefits of all this Nvidio technology and a open AI Chatbut I said, how our sales pitch?

8:00 Can you please print it after me in Spanish? If answer the same would have done in English.

8:05 Speaker 2 So what’s different about Siri? Going back?

8:08 Speaker 3 Siri is what I call read is called Sirius series, basically chatbot. Basically Apple came out with Siri. The first chap you could talk to it and the same we could talk in simple English, go back and forth. The next version of Siri, which they talk about, which is it’s just crazy. The efficiency is it’s scary how much

8:26 they know about you. But right now, if you have to catch a flight because your son was coming in from somewhere and your wife would say, hey, when they have to leave, you would first go check his flight, take us onto a flight where one of the planes landing, then go check the traffic, and then oh, I’m gonna

8:39 leave at three fifteen. Now you’re able to tell Syra in the next version, hey, Siri when they have to leave to pick up my son. It knows from the email it’s who your son is. It knows which flight is on instantly goes to Google Maps, So whatever does behind the scenes probably doesn’t go to Google Maps. But

8:53 and right there it tells you to answer and I’ll send you notification in advance.

8:56 Speaker 1 So I think, in conclusion, AI is something that people should definitely be aware of. It’s what’s happening in the future. I think people have to be adapted and have to learn and like to thank Irisattlaw’s for being here. Thank you very much, and I’ll see you next week.