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RT@isitallbull:

#Dean Graziosi Saves the WorldORHow Not to Get Sucked in by the Hype.

Let me ask you all a question

When someone tells you Half of the Truth, are they Half Lying?While reading this post, try to decide if you think that your followers shouldbe allowed to make fully informed decisions and if you decide that theyshould, then kindly Retweet this post by:RT@isitallbull:

Yesterday, I watched #DeanGraziosis second Pre-launch Video for his newest BSProgram #RockBottomBlueprint.In true Slick Willey Style #Dean gives his viewers half the information and leadsthem to the wrong conclusion based on just one half of the formula.#DeanGraziosi tells his sheep that we have reached the bottom of the #Real EstateDownturn because the Days on Market has fallen recently.What he fails to mention are two very important facts that would support a trueshift in the down cycle.1.

Days on Market always drops in the First and Second Quarter.Isnt it interesting he chose to release his NEWEST PILE OF BS just after the secondquarter numbers are released so that anyone who is wise enough to check the statswill see a small resemblance of truth in what he says?Home Buying Activity always increases from January to June because people like totime their purchase and eventual settlement to when the children will be out of school for the summer or when they (the buyer) will be on vacation.2.

Half the Equation

. Days on Market is

NOT

the criteria that determines ashift from Buyers Market to Sellers Market.Days on Market is one half of the Calculation of the ABSORPTION RATEwhich is itself only one of the factors that helps to determine when the shift to a sellers market is taking place.

bsorption Rate - IS the other half of the equation.

bsorption Rate is:

The rate at which homes will sell within a givenperiod of time.Absorption rate is what gives an Investor a clue, albeit a small clue asto the type of market he is working with.< 5 months absorption = Sellers Market5-7 months absorption = Neutral Market> 7 months absorption = Buyers Market

Calculating the Absorption Rate

To calculate the Absorption rate one needs several facts.

INVENTO

- The total number of houses for sale within adefined market area

Average Sales Per Month

Is what it says.

ONTH

INVENTO

If the current Inventory of homes for sale in a particular market is 80homes and the average sales per month is 8, then the Months Of Inventory is 10.Unfortunately, The Inventory today cannot be precisely knownbecause of what is known as

Shadow

nventory

INVENTO

is the number of homes that Banks have intheir respective Foreclosure Pipeline that either have not gone throughthe process to completion or which the bank has not released to themarket yet in an attempt Not to Flood the Market.

Remember that M

cannot be precisely determined because of the Shadow

nventory but

could be determined, then:

AMPL

88 houses in current inventory divided by 10 MOI = an

absorption rate

of 8.8 and based on the Criteria to determine thetype of Market we have, and Absorption Rate of 8.8 = Buyers Market.

CURRENT US ABSORPTION RATE According to the National Association of Realtors:

³The average inventory of existing homes for sale in the first quarter was 3.472 millionunits, down 6 percent from the fourth quarter but

virtually the same as the first quarterof 2010.

That inventory would support 8.1 months of sales at the current sales pace´.This folks represents an Absorption Rate of 8.1 and there has been no change in theabsorption rate between this year and last.When that Shadow inventory eventually gets added in, well you decide.

Bones to Pick Some of you have written to me suggesting that I have a bone to pick with #DeanGraziosi. Let me set the record straight here. I have a Bone to pick with anymarketer who attempts to persuade you with slick videos and half-truths. Mr.Graziosi would like you to believe that he is a Real Estate Expert who made hismillions Investing in Real Estate.I suspect, but can¶t prove that he made his millions selling Information Products.

As far as I can determine,

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