You Would Never Believe What I’m About to Show You (Were it not for the Indisputable Evidence.)
By now, you hopefully understand the difference between forced and automatic appreciation. If not, click here and I’ll explain it all.
Automatic appreciation requires NO special real estate skills.
It has UNLIMITED acquisition candidates.
It’s All About Knowing When to Sit Out THIS Part of the Dance.
If you followed my Las Vegas Illustration, you would know that compared to investing in Vegas real estate, even if you sat on the couch eating potato chips for all of the 80’s and 90’s – you still did much,
In case you missed it, you may want to check out the Vegas Article before reading this as we will be working from that example.
Have you ever heard the expression, “Sooner or later, even a broken clock is right twice a day?”
That’s how most folks go about real estate investing.
Their Investing ‘Strategies’ And How It’s The Exact Opposite Of How You Build Lasting Wealth
All appreciation is NOT the same. And it’s not all equal, despite the way everyone from the experts to the financial news guys throw around the term. The truth is when it comes to real estate there are two types of appreciation:
Forced and Automatic.
I was looking to pick up a beach house or two here in Florida before this down cycle ran its course. Not a permanent long term hold, I just wanted to catch the snap-back appreciation wave bound to hit. Some of these markets were pounded so hard they were coiled like a spring, waiting to explode as soon as Market Psychology shifted.
Live Where You Want… Invest Where It’s Best!
Part 1 of 3
Step inside the modern world of real estate investing.
(Click Now and See The latest Real Estate Market Report That Will SHOCK YOU!)
Total Market Masters®
It was never within reach until now!
So far,
Live Where You Want… Invest Where It’s Best!
Part 2 of 3
This is a continuation of an amazing real-world investing illustration. If you have not read Part 1, I advise you do so now. Click here.
As “Total Market Masters,” (TMM) you’re no longer limited to only your local area,
Live Where You Want… Invest Where It’s Best!
Part 3 of 3
I am going to jump in right from where we left off. In case you missed it, you will want to read the first two parts of this illustration – click here now. Or check out the latest Real Estate Market Report for free –
You may know a bit about me and my history. Yes, I am a proud Harvard man. As proud as I am of my education though, my Harvard MBA didn’t help me much in learning how to predict real estate markets. However, I did learn a priceless lesson I think you need to hear about cut throat competition.
There are many ways to make money in real estate. Unlike the stock market or most other asset classes, real estate is what’s called an ‘imperfect’ market; each property is unique, immoveable and illiquid; It creates enormous opportunity for anyone ‘in the know.’
Real Estate is also highly leverageable. You can control a very valuable asset with little (or no) cash investment.
If you dig deep enough, you’ll find similar horror stories for every investing strategy… (like the ones I reveal on our new Real Estate Market Report here.
Remember the big craze over “Subject-To” investing a few years ago? …where you get the deed by promising to take over and PAY the seller’s existing mortgage?
Remember that amusement park ride, the little helicopter where you could push a bar back and forth to go up or down? It would spin around a circle, and if the operator threw a switch, you could ‘control’ the copter in a very small way.
As a child, it felt like you were really flying,
The STAR momentum indicators show the ‘energy’ behind any market. For a sustained up-cycle, it MUST be supported by momentum. Market Psychology influences momentum but is not the only driver.
The first step in locating investment candidates is evaluating the STAR indicators. Each of the six ‘triggers’ represent a distinct Technical Analysis (TA) ‘event.’
The left-most columns are Short-Term triggers and carry far less significance than the Long-Term indicators on the right.
However, all Trend Reversals (up or down) BEGIN with the short term triggers. They provide early-warning signals, especially when they develop a consistent pattern of changing colors (from green to red, or red to green) ‘growing’ from left to right.
Green means positive, upward sloping momentum. Red means the opposite. Yellow occurs when, in the current period, the slope/direction changed for that trigger.
Markets that do not display a consistent color pattern; with seemingly random horizontal color changes from one period to the next, especially in the long-term triggers, are generally lacking ANY momentum, and are poor investment markets for Leveraged Appreciation.
Watch this video:
How to use these hot market tools.
The TAPS (Technical Analysis Point Score) indicator is an easy to understand, graphical way to show the results of complex Technical Analysis (TA) ‘Studies.’
The simple ‘slider ball’ can move a total of five notches starting from far left (Weak) to far right (Strong).
If the ball position has moved since the prior period, it will have a series of arrows behind it. If the arrows are on the left, that signifies a move from the left, from a weaker to a stronger position, and vice-versa.
Each detailed TA Study has its own slider ball indicator and consists of dozens to hundreds of individual calculations (collectively referred to as ‘algorithms’).
These detailed algorithms are aggregated and weighted to produce higher level Summary slider indicators until the top-level, overall score is attained.
Watch this video:
How to use these hot market tools.
Charts showing the annual appreciation or decline in real estate values over time are visual snapshots of Supply and Demand forces in action. Technical Analysis (TA) relies on these charts because they accurately reflect what ACTUALLY happened.
The practice of TA consists of what are called “Studies” – different sets of calculations and algorithms proven over time. These Studies include Market Psychology, the most powerful driver of all.
Because real estate is so cyclical (compared to the Stock Market, for example), relatively simple Studies can be used to accurately track local markets.
Using these charts and Studies, HousingAlerts.com deciphers the data into two broad categories:
1) Market Momentum (the Six Trigger Alert Report or ‘STAR’)
and...
2) TA Point Score (TAPS)
Watch this video:
How to use these hot market tools.
The STAR momentum indicators show the ‘energy’ behind any market. For a sustained up-cycle, it MUST be supported by momentum. Market Psychology influences momentum but is not the only driver.
The first step in locating investment candidates is evaluating the STAR indicators. Each of the six ‘triggers’ represent a distinct Technical Analysis (TA) ‘event.’
The left-most columns are Short-Term triggers and carry far less significance than the Long-Term indicators on the right.
However, all Trend Reversals (up or down) BEGIN with the short term triggers. They provide early-warning signals, especially when they develop a consistent pattern of changing colors (from green to red, or red to green) ‘growing’ from left to right.
Green means positive, upward sloping momentum. Red means the opposite. Yellow occurs when, in the current period, the slope/direction changed for that trigger.
Markets that do not display a consistent color pattern; with seemingly random horizontal color changes from one period to the next, especially in the long-term triggers, are generally lacking ANY momentum, and are poor investment markets for Leveraged Appreciation.
Watch this video:
How to use these hot market tools.
The TAPS (Technical Analysis Point Score) indicator is an easy to understand, graphical way to show the results of complex Technical Analysis (TA) ‘Studies.’
The simple ‘slider ball’ can move a total of five notches starting from far left (Weak) to far right (Strong).
If the ball position has moved since the prior period, it will have a series of arrows behind it. If the arrows are on the left, that signifies a move from the left, from a weaker to a stronger position, and vice-versa.
Each detailed TA Study has its own slider ball indicator and consists of dozens to hundreds of individual calculations (collectively referred to as ‘algorithms’).
These detailed algorithms are aggregated and weighted to produce higher level Summary slider indicators until the top-level, overall score is attained.
Watch this video:
How to use these hot market tools.
Charts showing the annual appreciation or decline in real estate values over time are visual snapshots of Supply and Demand forces in action. Technical Analysis (TA) relies on these charts because they accurately reflect what ACTUALLY happened.
The practice of TA consists of what are called “Studies” – different sets of calculations and algorithms proven over time. These Studies include Market Psychology, the most powerful driver of all.
Because real estate is so cyclical (compared to the Stock Market, for example), relatively simple Studies can be used to accurately track local markets.
Using these charts and Studies, HousingAlerts.com deciphers the data into two broad categories:
1) Market Momentum (the Six Trigger Alert Report or ‘STAR’)
and...
2) TA Point Score (TAPS)
Watch this video:
How to use these hot market tools.
