Summary In this episode, Chris J. Luna discusses the five things he looks for in every real estate deal he buys in San Diego. The first thing he looks for is the Floor Area Ratio (FAR), which determines the amount of square footage that can be built on a lot. The second thing he considers is the lot size, preferring lots that are 6,000 square feet or larger. Location is the third important factor, as properties in desirable areas will have higher value. The fourth thing he looks for is barriers to entry, such as high property prices or difficult development conditions. The fifth and final thing is revealed at the end of the episode! Keywords real estate, San Diego, Floor Area Ratio, lot size, location, barriers to entry Takeaways Floor Area Ratio (FAR) is an important factor to consider when evaluating real estate deals. Lot size should be at least 6,000 square feet for optimal development potential. Location plays a crucial role in the value of a property. Barriers to entry, such as high property prices or difficult development conditions, can be advantageous for investors. The fifth thing Chris looks for in real estate deals is not revealed in this episode. Sound Bites "The first thing I look for is FAR. Chris, what is FAR? Floor area ratio." "Lot size, super important. Because if you have a 6,000 square foot lot and you have one of these zones, you can multiply this number times the lot size." "Location is super important to me. I've only bought in like three or four zip codes in San Diego." Chapters 00:00 The Importance of Floor Area Ratio (FAR) 01:35 The Significance of Lot Size 02:57 The Impact of Location 03:45 Barriers to Entry in Real Estate 04:44 The Fifth Factor in Evaluating Deals 04:56 Underwriting Real Estate Deals.mp4 09:56 Real Estate Investment Strategies 💼.mp4