As veteran real estate appriaser, I have to convert an emotional feeling into a form using numbers and text. Nowhere in the appraisal form is a section “how did the buyer feel”? However, when we are buying our personal home, more likely than not, it is a feeling that made our final decision.
There was something; that neighborhood, the view, the trim, kitchen or even the house color that “felt right”. And as an appraiser, I am continually amazed at how well we measure that emotional buying decision with numbers.
I recently did a study on garages in our market area using regression. out of a sample of 1,000 comparable sales, the median market value was $10,000 per parking stall. Why did people gravitate to this number? I have no clue, but they did.
Maybe take a step back for a minute and consider the financial markets work the same way. Instead of one person making a decision to buy or sell, it is thousands of people collectively making that decision. The market (is still) made up of human beings and I am making the bold claim that once you learn how to measure their emotions and turn it into a number, the investment game is now be in your hands.
I believe we are all connected emotionally on some level, scientists are starting to agree and trying to figure out how.
What if I can teach you how to “know” the markets and apply a set of rules to profit from your quiet but reliable gut instinct?
The technique I teach is getting out of your head and listening into your gut instinct.
Next… What is your gut instinct?