If they are buying properties that can not possibly produce positive cash flow without having to buy it and all they talk about is how much their properties have appreciated then yes.

Exactly you REALLY want in the game get a license and get paid to learn get on a top producer team. 

As you progress in real estate it will pay to have a producer who can more than earn their commission and put more in your pocket at the same time.  

On going maintenance and repairs, CAP Ex and high turn over costs can easily wipe out the lower cash flow that these properties produce because of their lower rents. 

You need to meet one of them to be considered materially participating.Spend more than 500 hours on your rental businessDo substantially everything for the rental businessSpend more than 100 hours on the activity and no one other individual spends more time than you doSignificant participation activity for more than 100 hours, and your combined activity in all significant participation activities exceeds 500 hoursParticipating in the business for five of the 10 previous taxable yearsPersonal service activity (non income-producing) for three of the previous taxable yearsRegular, continuous, provable participation in the business for more than 100 hoursThe first three are the ones the majority of real estate investors will evaluate and attempt to qualify for....

Personally I feel if the the property produces enough for you to make the monthly payment, handle expenses/prep for repairs and money is being made.

Whereas with the Online version you are paying a huge monthly fee .It produces perfect and professional Profit and Loss Reports. 

Overall this has netted over 3/4 of a million in equity in that time (sure, not a realized gain but still amazing) and produced true cash flowing properties.

The house to produce some income, the acreage to sell to a developer some time in the future.

Some rent estimators like Rentometer can also produce reports of comps for you to check.