* Highly Recommended *
Why
Some People Get All the Good Real Estate Deals
"Ten days ago, I settled on a real estate investment I’d never have had the confidence (or competence) to make without your Main Street Millionaire Program. The second I signed the papers on this lot-and-construction project, I made $145,000 in immediate equity according to the bank’s official appraisal. And depending on the home’s final options, I could easily make as much as $215,000 in profit once I sell in 6 months or so. These are conservative estimates, based on the market in my area. If I do this just a few more times, you’ll have made me rich! Thanks, Justin."
- Jim A., Freeland, MD
Jim has it right - getting the best real estate deals boils down to two things: confidence and competence. Main Street Millionaire real estate success program can help you with both. If you want to start getting those great deals, there’s no better time to start than now.
Know Your Options
By
Rick Pendergraft
I recently moved to a new neighborhood, which means having to introduce myself to the neighbors. And I've noticed that when I tell people I trade options for a living, they react as if I'd just said I was a professional gambler. That's because most people have the preconceived notion that options trading is always very risky. But this just isn't true. Using "put" options as a part of your investment strategy can actually reduce your risk.
A put option gives the buyer the right to sell the underlying stock at a specific price, regardless of where the stock is trading. So if, for example, you own the January 25 put option, you can sell the shares of that company at $25 any time between now and the third Friday of January (when it expires) ... even if the stock is trading much lower than $25.
Let's say you own shares of Microsoft (MSFT - going for slightly over $27). You don't want to sell them, but you are concerned about them dropping over the next few months. To stamp out that risk, you could buy the January 25 put for, maybe, $0.80. That's $0.80 for each share. An options contract represents 100 shares, which means it costs you $80. If you own 1,000 shares and wish to hedge the entire amount, you would need to buy 10 contracts.
Now, if MSFT drops below $25 a share, your put options will gain in value and should offset any money lost on the stock. This allows you to reduce any downside risk on a particular stock and the overall risk to your portfolio.
As you can see, options are not just highly leveraged trading instruments for adrenalin junkies.
[Ed. Note: Options expert Rick Pendergraft is a contributing writer for ETR's Investor's Daily Edge newsletter. His market insights have been seen in USA Today, Forbes.com, The New York Times, and numerous other publications. If you share Rick's passion for trading, watch for ETR's soon-to-be launched options service. We'll tell you more about it soon.]
"Of the modes of persuasion furnished by the spoken word there are three kinds. The first kind depends on the personal character of the speaker; the second on putting the audience into a certain frame of mind; the third on the proof, provided by the words of the speech itself..."
-Aristotle
The Desire for Consistency
By Larry Fredericks
A few years ago, Harry T. wanted to buy a house - but he only had $5,000 for the down payment. So he had a conversation with the seller.
Harry started by pointing out that the most important thing when selling a property is to get a good price - one that reflects the fair market value of the home. The seller readily agreed. Harry then explained that he was willing to pay the full price, but he would need help to do so. And he asked the seller to hold a second mortgage of $50,000. (That was the amount of the owner's equity plus Harry's proposed $5,000 down payment.)
At first, the seller wasn't enthusiastic about this proposal. But Harry was able to persuade him to accept it, because he knew a secret about human nature: the desire to maintain a consistent position.
Harry reminded the reluctant seller that he'd already agreed the most important thing was to get a good price for the house. Harry also reminded the seller that he would be getting his full asking price - $260,000 - with this deal. And because he had gotten the seller to commit himself to the concept that the price he got was more important than how that money was received, Harry got the house on his terms.
When most people decide on a course of action, they have a very strong desire to stay with that course. Frequently, this desire is so powerful that they will refuse to alter their chosen path ... even when there is overwhelming evidence that it is unwise.
There are several reasons for this. For one thing, there's the simple power of ego. Nobody likes to feel like they made a bad decision. Perhaps more important is that nobody likes a "flip-flopper." The Bush campaign took advantage of this by portraying John Kerry as a man who "flip-flopped" on his position and, therefore, couldn't be trusted. In many polls, voters cited that as a reason they voted against Kerry.
Once a person chooses a certain position, his desire to be consistent will compel him to behave as promised.
An interesting study illustrated this universal human tendency. A "beachgoer" (an accomplice to the study) would stroll onto the sand and choose a spot near a target subject. The "beachgoer" would then spend about five minutes spreading out his blanket and setting up with suntan lotion and a small portable radio. Just another person enjoying a day at the beach. He would then stand up and walk away, without saying anything to the target.
Shortly after the "beachgoer" left, a second accomplice would approach the unguarded blanket and make a move to steal the radio. Only five percent of the time would the target make any effort to confront the "thief" or do anything to try and prevent what appeared to be a crime.
Now ... here's the interesting part of the study: With a second group of targets, instead of simply walking away from his blanket, the "beachgoer" asked them to keep an eye on his things. And the results were drastically different. Ninety-five percent of the time, these targets aggressively attempted to prevent the "thief" from stealing the "beachgoer's" radio.
What made the difference?
Like the first group, this second group of targets didn't know the "beachgoer." The only communication they had with him was that single verbal exchange when he asked them to watch his things.
But because these subjects had agreed to do something, they aggressively stayed the course ... despite the fact that it was not in their best interests. In fact, it put them in the potentially dangerous position of confronting a brazen thief in order to protect the low-value property of a stranger they'd only spoken with for one moment.
Understanding this tendency of people to follow a consistent course of action can help you persuade them to act in a way you want them to act - whether you want to get your boss to assign you to a particular project or get your child to do better in school.
There are three steps to making this technique work:
1. Make a statement of fact that the person will agree with. ("Going to a good college greatly improves your odds of making a good income.")
2. Link a conclusion to this statement of fact. ("In order to get into a good college, you have to get good grades.")
3. Obtain a commitment from the person based on that conclusion. ("So, Joanie, can I depend on you to do a great job on your homework before fooling around on the Internet?")
Daniel P. used this three-step persuasion technique to get his boss to purchase a new computer system and software that would allow Daniel to complete his work in half the time.
Daniel first got his boss to agree that if Daniel had 50 percent of his time freed up to work on other projects, the company would be able to earn additional (and quite substantial) profits.
Then he noted that he would actually have that much free time if the company bought the new computer and software. And he presented his boss with the calculations he had done to show that the equipment would pay for itself in only a matter of months.
Daniel finished by saying, "Then I have your okay to go ahead and order it, right?"
Because Daniel's boss had agreed with his initial argument, he found himself unable to say no.
With this powerful persuasion tool at your disposal, you can get almost anyone to take a position that will be consistent with your objective. Just think of all the ways you might be able to use it to your advantage.
[Ed. Note: Larry Fredericks is an entrepreneur with a history of successful business dealings in retail, direct mail, the Internet, and real estate. He is also the creator of the Master of Persuasion program.]
* Highly Recommended *
How
Many Automatic Income Streams Can YOU Handle?
How
much would an extra one thousand dollars a month make to your
life - particularly if the effort involved to get it was practically
nothing?
I'll
show you how to do that on the Internet almost with your eyes
shut!
"This
program is a NO BS way of making money! STOP chasing your tail
America, this works - it TRULY does!" says Peter Dobbins
from Ohio.
The
Internet is here to stay and growing daily. You just need the "keys
to the door". Join
me - you won't look back...
Worth Quoting: Michael Masterson on the Low Cost of the Good Life
"Smart savers (i.e., wealth builders) understand that they don't have to spend a whole lot to live well. They know that the best things in life really are free - requiring nothing more than an investment of time and love. And that the next-best things - the material things that make life good - can be purchased wisely and enjoyed forever."
(Source: Seven Years to Seven Figures: The Fast Track Plan to Becoming a Millionaire, Copyright (c) 2006 by Michael Masterson. Reprinted with permission of John Wiley & Sons, Inc.)
[Ed. Note: Michael's newest book is being released for sale on Tuesday, October 10th. Buy it on that date and help make it Number One on the best-seller list. Plus, you'll get a great package of bonuses - over a $537 value.]
Staying Healthy on the Road
By
Virginia Thomas
Maintaining a healthy lifestyle at home is hard enough ... but it's even worse while on a business trip. You face a series of long luncheons and dinners with clients, not to mention the temptation to sink into bed at the end of a busy day and watch TV.
Here are a few suggestions that will help you lower the stress on your body while on the road:
1. Travel can dehydrate you, so make it a point to drink plenty of bottled water.
2. Make sensible choices when ordering in restaurants: yogurt with fruit for breakfast, a piece of grilled chicken or fish with steamed vegetables for lunch, and a large salad for dinner. And, of course, limit your alcohol intake. This will keep your calories down and energy levels high.
3. Try to avoid sugar and caffeine. Although both may give you instant energy, the "high" is only temporary and not worth the lethargic low that follows.
4. You may not be able to follow your regular exercise routine, but find a way to do something. Pack a pair of walking shoes and get out and walk between appointments. Take advantage of your hotel's exercise room or swimming pool.
5. Plan ahead and stick with the plan. When you return home, you'll feel great - and maybe even find that you've dropped a few pounds.
[Ed. Note: Virginia Thomas is a fitness trainer and Pilates instructor. She'll be at ETR's Info Marketing Bootcamp: "Making a Fast Fortune on the Information Revolution," where she'll help attendees stay fit and healthy with massage, exercise, and stretching techniques.]
Dear Michael Masterson: "What do I do? Never meet with a client? Buy a wig? Go under the knife?"
"I love reading Early to Rise, and do so right before I start my work. It inspires me and gives me that extra push so that I am very motivated for the day.
"Here is my problem. I do search engine optimization. Recently, I did some rewriting of a site, and am in the process of launching a Google AdWords campaign for the client. At first, he seemed happy to follow my advice. Then he wanted to meet with me in person. I agreed.
"Since our meeting, he has rewritten my copy, taking out keywords (garnered by Google's keyword tool that tells me exactly what people are using in their search queries) and saying that the copy is not technically correct or that he just doesn't like it.
"Before our meeting, he had no idea that I was a woman collecting her Social Security check - white hair, wrinkles, unhip. I was referred to him by a previous client. Now that he has seen me, the trust between client and expert has been broken. But I know he will not get the results he is looking for and would do better to stick with my suggestions.
"This is not the first time this has happened to me. I have submitted several proposals via e-mail that seemed to be on the verge of acceptance. Then the client wanted a meeting and decided against me.
"What do I do? Never meet with a client? Buy a wig? Go under the knife? Or do you have some other solution for me?"
- Gail Werner
Bethesda, MD
Dear Gail,
It would be naive to deny it: Age discrimination is widespread. I would bet that your impressions are real. When these people discover you aren't the young "thang" they were expecting, they immediately label you as superannuated.
You seem to have a good sense of humor. That will help. You'll need it to follow my advice, which is limited to two suggestions.
First, try NOT to meet with clients. In your profession, there is no real need to, so why bother? If a client suggests a meeting, say you are too busy. Say you are training for a marathon. Or say you are a contestant in a Coppertone bikini contest that weekend.
I realize this advice will horrify our politically correct readers who will want you to pursue a political remedy ... like writing your congressman (congresswoman?) or lodging a complaint with the client's boss. But that kind of activity won't solve your income problems.
Second, when you do meet with clients, use your personality to disarm them. Then, once they are relaxed, ask them flat out if they are prejudiced against wrinkles. They will say "no." But push them a little. Keep it fun, but make them commit to that "no" ... just a little. (Remember what Larry Fredericks said today about getting people to commit to a position.)
One final thing: You need to recalibrate your expectations. As an older person, you will probably be victimized by this prejudice half the time you interact with people. So make twice or three times as many appointments. And market yourself twice as hard.
Keep at it. You'll do just fine.
- Michael Masterson
* Highly Recommended *
Start
Making Money Today
Interested in getting a nice little side-business going on the Internet? Or maybe even from your living-room table?
But you don’t have too much money, you don’t have too much time, and you’re not exactly Bill Gates when it comes to technology. Sound familiar?
A lot of people are in the same boat. The good news is that ETR has heard you. And now we’ve done something about it...
We’ve asked our colleague Marc Charles to be on the lookout for profit opportunities that can be run from a kitchen table, your desktop or out on the road.
Criteria? They’ve got to be inexpensive, easy to start, and still have great income potential, but without a lot of red tape.
They say when you’re first getting your feet wet with a side-business, the most important dollar to make is the first one. Well, Marc is an expert at taking beginning entrepreneurs and showing you how to make that first buck. He knows, because he's done it dozens of times for himself, his family and his friends.
If you've been dreaming about starting your own business...now you can get started for about the price of 2 lattes.
And get this – you could be making money literally just hours from now. Imagine the feeling of finally getting a side business launched -TODAY!
Why not go for it?
Let me introduce you to “The King of Business Opportunities”:
- Charlie Byrne
Word to the Wise: Superannuated
"Superannuated" (soo-pur-AN-yoo-ay-tid) means too old for use, work, service, or a position.
Example (as I used it today): "It would be naive to deny it: Age discrimination is widespread. I would bet that your impressions are real. When these people discover you aren't the young 'thang' they were expecting, they immediately label you as superannuated."
