Market Inefficiency?

By definition a well functioning market is efficient at matching supply with demand, and therefore we should presume that market is efficient at pricing any asset at a given moment. Even for assets that are relatively inliquid and non-transparent like the real estate, we can still presume that the average pricing is set correctly to balance demand and supply.

I cringe when people claim that a certain property is mispriced and therefore there is an opportunity to make money on it. I believe in market efficiency. While even if there is mispricing I believe I will be the last one to know about it and won't be in a position to take advantage of it and I believe most people are in the same boat.

Do we then despair that there is no investment opportunity other than for the professionals? No far from it. I just want to caution the thinking that one can get a bargain for nothing. There is always something traded and we want to be aware of the additional factors other than asset and dollar changing hands.