Is this really a useful tool?

Question

While roaming around here on B.P, I somehow got on this link that sells a forecasting tool. It's from a company called Housing Alerts. Have any of you seen or use this? Or is this just another "Guru" trying to sell his own flavor of snake oil? Here is the link (hopefully it won't be removed). Please give me your feedback.

http://www.realestateinvestingforthefuture.com

Joshua Dorkin · Answer

The page is a sales page, but here's what bothers me: There is no contact information, there is no way to identify who's business it is, and without watching that video through, I couldn't figure out any more about the people marketing this. I also tried to lookup this information and the company who is on the whois info and came up empty.

Typically, when someone is trying so hard to remain anonymous, there's a reason. Just something to think about.

Typically, when someone is trying so hard to remain anonymous, there's a reason.  Just something to think about.

Aaron Mazzrillo · Answer

Here are a few things I think don't make any sense:
He says in the last few years if you bought real estate, you lost money. I disagree. If you paid retail, through an agent, and got a bank loan, then yes, you are most likely upside down now. However, if you are an investor, the last few years (2-3) have been phenomenal. 
His whole schtick about timing - based on this alone, I would have to believe he is investing for appreciation which is pure speculation at best. Timing is irrelevant when it comes to investing in real estate. It is all about price & terms. I bought several properties in 2005 and 2006 and they are great investments. Negotiating favorable seller terms makes price almost irrelevant. It just depends on what you are investing for. I prefer monthly cash flow. I can spend that today. I invest for amortization. I will eat negative cash flow if it is 100% applied towards amortization. Appreciation is the kicker that makes this business fun, but one should not invest purely for appreciation. Especially in the current market we are experiencing.

I closed the site during his timing talk. I got tired of listening to him. He should really hire a professional speaker to do his sales videos.

Ryan Kurth · Answer

I also did not listen to the entirety of the video.. on that note, I know that Fannie Mae's chief economist provides his forecast for free on their website, and has been relatively accurate (#4 according to WSJ)

http://www.fanniemae.com/media/economics/index.jhtml?p=Media&s=Economics+&+Mortgage+Market+Analysis

C & J Metzger · Answer

Joshua,

Thanks so much. sometimes I get these funny feelings, but want another person to validate them!

Is this really a useful tool?

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