But a "quick" sale to amateur investors who just paid for a course organized around the guru model advertised on a cheap wordpress website?

But it's really a matter of personal preference and your business model.

Arbitrage is not a good business model and is generally discouraged.

do you know your total valuation model number before and after the permitted garage conversion? 

Again, I'm just looking at these investors and wonder why they think its better to put their money into cd's making 5% when STRs clearly make a far bigger return - especially when you put them in a 5 or 10 year model. 

It is an interesting business model.  

In Joes model, there is infinite leverage and therefore unlimited liability.

Both of those models involve potentially comprehensive rehab to make a good return and new investors often hire the wrong people and spend way too much.Higher returns on her money can be found in debt fund syndications which are totally passive and can pay 12%.

My model projects these can be without private or individual site water, power, bathrooms, and/ or wifi and still be worthy investments. 

If the tenant wants a fan they can buy a floor model and take it with them when they leave.