ZipRealty, Inc. (ZIPR)

pbrman (< 20) Submitted: 8/15/07 7:58 PM : Start Price: $6.33 ZIPR Score: -20.28

Real estate commissions are going to get pinched as housing prices get tight. ZIPR offers discount rates, plus they send the buyer cash after the close of escrow. Who wouldn't use them? There has been some talk about competition from Google Base Beta. My foolish opinion is that Google Base Beta is going to BENEFIT internet based real estate. Google sells advertisements; they are not real estate brokers. Google will get the press, but not the commissions. ZIPR has cash and are expanding aggressively. This is a growth stock in a slowing sector, so don’t expect this stock to move until the street’s perception of real estate changes. Going against the tide is tough even for a good company, but this is where you find gems. At some point companies in this sector will exceed expectations. This will be a rewarding test of patience.

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