Archive for November, 2006

Thursday, November 23rd, 2006

Yesterday morning, I was driving to work, with my wife, via Woolloomoolloo, in Sydney’s Eastern suburbs… on a reasonably busy road at that time of the day.

When… all of a sudden this great big truck jumps in front of us. He had totally disregarded the road rules… and in my opinion, disrespected the drivers going in both directions.

Not only that, he drove over the median strip… and went rather close to tipping when his wheels hit the ground.

And my wife was fuming… calling him all sorts of names under her breath.

Needless to say, she felt justice was done when we saw a cop car five cars back from this big mother of a truck. He put his siren on, and no doubt caught up with him to deliver him with a fine of a few hundred bucks.

And that, Axel, is what happens when you disregard the rules. Now in his case… he was only getting a fine of a few hundred bucks. But when you disregard the rules of advertising… when you spend money on advertising that doesn’t work…

It Costs You A lot More Than A Few Hundred Bucks

For instance, when you run a yellow pages ad… if it fails it can cost you tens of thousands. If you run a magazine ad… and it flops it can cost you thousand of dollars. If you overinvest without testing… I’ve seen it literally put people out of business as a result.

So I thought I’d take a moment to re-iterate 7 of my time-tested rules to advertising success:

1.Always create a powerful headline. Write 30 50 and then choose the one that suits you from there. A successful headline can make a massive impact on the success of your campaign.2.Make sure you’re advertising in the right medium. A great ad in the wrong medium may not pull a great response.

3.Test… Test… Test. Do not plough tens of thousands into anything until you have tested it to make sure it works.

4.Use sub-headlines to draw the reader back into the copy

5.Use the 12 proven words to add ‘mojo’ to your copy

6. Make your copy as long as it needs to be to get the result. If you’re selling Coca-Cola for 50c all you need is a sign on the side of the road saying “Coca Cola 50 cents it’s true.” But if you’re selling a share trading course from a company nobody has ever heard of - you’re not going to sell it in one or 2 pages. You need to make a powerful promise… get the reader to picture the benefits and most importantly… 7. Prove what you’re saying is true. We live in the age of skepticism. We’ve been lied to by politicians, cheated by ‘blue chip’ companies in the stock-market, ripped off by the banks. And we don’t believe everything we hear until it’s well and truly proven.

So for the sake of your success, do everything you can to prove what you’re saying is true. Use…

a)Testimonials

b)Statistics

c)Quotes from proven sources (a sworn statement from your accountant if you’re saying you’re wealthy from following a wealth creation seminar, a doctor’s word if you’re selling a health product.) You get the picture.

There’s plenty more of course. But if you follow these 7 you’ll be heads and shoulders ahead of 99% of your competitors.

All for now.

For CopyWriting That Sells visit

Great signature files.

Wednesday, November 22nd, 2006

A cheap and easy way to send people to your home page is to use attention-getting signature files. Don’t use boring signature files such as:
The world’s best home-based business opportunity
with lifestyle enhancement features. Go to
http://www.boringopportunitypage.com
Now, that’s bad.
Instead, use your imagination. Make a signature file that creates curiosity and interest. Here are a few
examples:

Click here to see a picture of my wife’s stomach.

Click here to see a picture of my boss’ face when
I told him I quit.

Click here to see a picture of the new car I won.

Click here to see the strange check I got in the
mail.

Click here to see why my neighbors think I am weird.

Click here to see what I do on Tuesday afternoons.

Click here to see why jobs stink.

Click here to see why my neighbor is jealous.

Click here to see my “before” and “after” picture.

See the difference?
And all this is free. Yet, of all the emails that I personally receive, only 50% use a signature file.
Time to make a signature file or improve the current signature file, right?
Want more neat prospecting ideas?

Get seven examples of ways to sponsor new distributors,
taken directly from the ‘103 Ways & Places To Sponsor
New Distributors’ manual.
Simply send a blank e-mail to:
liz3-15187@autocontactor.com
Or go directly to:
http://www.fortunenow.com/resources/103manual.htm

——————————————————-
Why did I want to learn more networking skills so badly?
When I first started, I was frustrated. I blamed the
weather, the economy, my spouse, and even that the
meetings were too far away.
Here is how I finally “got it.”
A friend asked me:
“How do you explain it when others have big groups
and you don’t?”

Ouch. I then realized that everyone has excuses, but
they took personal responsibility and learned how to
build their business. I had simply complained.
That’s when I got busy learning more networking skills.
——————————————————-
Tom Paredes told me …
Stop trying to fix all of the problems your
distributors face. You can’t fix all of the problems.
Even the government with an unlimited budget can’t fix
all of the problems.
Instead, give your distributors vision.
“When a distributor has a vision, nothing gets in
his way.”
“When a distributor doesn’t have vision, everything
gets in his way.”
This advice has saved me hours of grief.
If you need a few more ideas on how to make your business
better, just go to www.SponsoringTips.com and read
the suggestions there.

“Here’s how to measure how much desire you have to succeed in Network Marketing 4Life Research Global business. Ask yourself how much pain you’re willing to put up with before you quit.”

Tuesday, November 21st, 2006

“Here’s how to measure how much desire you have to succeed in
Network Marketing 4Life Research Global business. Ask yourself how much pain you’re willing to put up with before you quit
.”?
Ever wonder how network marketing works?
?
? * If a surgeon decides to quit operating, the money stops.
? * If a dishwasher decides not to wash dishes, money stops.
? * If an attorney stops suing people, the money stops.
? * If an mechanic stops working on cars, the money stops.?
That is why folks the statistics will tell you at the age of 65 over 80% of people are either dead or dead broke.? Tell me if you were starting a career right now knowing what you know now do you think you would choose the above plan knowing it does not work for most people.
?
In almost every profession, when the person stops working, the money stops. But not network marketing!
?
In your? 4Life Research Global? Network Marketing business, it’s different. In the beginning, you do a lot of groundwork and foundation building, and you don’t make a lot of money. If you were being paid hourly, you could complain that you were underpaid or getting less than minimum wage.
?
However, most network marketing leaders look at this building period as a learning period It’s like going to school. But, instead of paying tuition, you can earn some money while you learn.
?
Once you’ve complete the groundwork and foundation, the money
formula changes drastically. Now, you are getting paid bonuses every week, even if you don’t work hard or are on vacation.
?
So, in the beginning you do a lot of work that you don’t get paid for, but in the end you get a lot of pay for work you aren’t doing.
?
On a sad note, there are some individuals who get into the 4Life Research? Global? business and build a foundation. But because they didn’t feel they’ve earned enough money during this learning and building stage of their career, they quit. Yes, they quit…just before they go into the collecting stage of their careers.
?
I guess the rewards go to people with persistence and vision..
******************
?
Don’t be a statistic!!? In EVERY industry, especially ours, MOST people quit after they’ve done about 95% of the work…but before they are about to recieve 95% of the benefits for their work.
? HOLD OUT FOR THE HOME STRETCH–IT WILL BE WORTH IT…I PROMISE!!?
P.S. Reminder visit http://www.millionaire-makers-international.com not only for great training but to look up this weeks conference call schedule.? If you missed last weeks Leadership training call with Tax Reduction expert Sandy Botkin you can listen to it by visiting the above site it is now available on the Training page.?
Have a great week, ?
God Bless your friend & business partner,
Axel Henriksen

DEATH BY PRESCRIPTION!!

Tuesday, November 21st, 2006

Did you know…?

  • The use of prescription medication is the third leading cause of death in the U.S.?

  • An adverse drug reaction is five times more likely to kill you
    than an automobile accident or AIDS.?

  • Don’t become the FDA’s guinea pig … the use of newly released drugs could be potentially life-threatening.?

  • Discover the deadly partnership formed by the U.S. Congress between the FDA and pharmaceutical companies.?

  • The leading drug problem in the U.S. today is not the use of illegal drugs- it is the use of legal drugs.?

  • Each year there are more than two million hospital admissions due solely to adverse drug reactions, and 180,000 of them
    result in death.?

  • When the FDA approves a medication for use by the general public, less than half of the serious drug reactions are known.
    To find out about the other half, the FDA relies on the consummer.?

? ? If you aren’t aware of these facts, and you don’t have the tools and? information to
counter them, you are at risk!
?

Check Out The Alternative Here: www.axel.4healthdirect.com?

Where You Get Yours At The Direct Wholesale Price?

?

Is MLM Really a Pyramid Scheme?

Tuesday, November 21st, 2006

First, what’s a pyramid scheme? Why do people “run for the hills” at the first indication of a pyramid scheme? If you really knew exactly what a pyramid scheme was, would it be easier to handle this objection from prospects??

To answer this so you really understand it, I need to take you back to the origin of the pyramid scheme. No, it didn’t start at the pyramids of Egypt in 2650 BC but it’s a very interesting story. The first famous pyramid scheme where money was the focus occurred in the early eighteenth century in France. What you’re about to read goes down as one of the greatest deceptions of all times.?

Near the end of King Louis’ XIV reign (1643 to 1715) the economy of France was on a steep decline. The country was 3 billion livres (the currency at the time) in debt. There was a debate whether the government should just declare bankruptcy and start from scratch, but the politicians of the time feared revolution and looked instead for a more expedient solution.?

Their first attempt to remedy the problem was to devalue the currency through recoinage (making new coins). New coins were issued weighing 20% less than the old coin, but with the same face value, and the public was ordered by law to make the exchange. So, if the government “shaved off” 20% of every coin they could create enough gold to pay off their national debt.?

But the people of France weren’t that dumb. They didn’t want to hand their full valued coin to the government and be handed back one that weighed less, therefore worth less. This greatly discredited the government of France and threw the economy into greater economic depression.?

After King Louis’ XIV death, the Regent (temporary ruler) and a Scotsman friend named John Law came up with a new idea to pay off the national debt. John Law, whose father was a banker, understood money and how banks worked. Together they devised a masterful plan (scheme) whereby they could pay off the national debt.?

First, the Regent (temporary ruler) of France authorized John Law to establish a central bank, under the name of Law and Company. (A central bank is a nation’s principal monetary authority. In the USA it’s called Federal Reserve Bank. In the UK it’s called the Bank of England.)?

Second, the Regent authorized Law’s bank to issue bank notes (paper money) INSTEAD of real gold and silver coins and put into law that the paper money would be accepted for the payment of taxes. This would in effect give the bank and it’s “paper money” credibility.?

Third, John Law knew that he had to establish public confidence in this bank’s notes (paper money) for the entire scheme to work. He immediately announced that all notes from his bank were payable in coin. Meaning, if anyone received his paper money, they could walk into the Law and Company bank and exchange it for real gold or silver coins. This gave the appearance that the paper money was the same value of the gold coin! This was perhaps the greatest deception of the 18th century.?

Because of the discomfort of carrying coins around in their pocket, people preferred to carry the paper currency. Therefore, the public would deposit their gold and silver into the bank in exchange for a piece of paper. Just as today - people put their coins in a jar because the coins are too heavy to carry around. Once the jar gets full, they take it to the bank (or grocery store) and cash it in for paper money.?

The entire scheme required people to believe in the credibility of Law’s bank and his ability to redeem his notes in coins. Once that belief was established, the paper money was literally “as good as gold.”?

As more and more people cashed in their gold in exchange for paper, the banks vault filled with gold.?

Now I need to explain how banking began in order to complete this explanation.?

In the early days, there was no such thing as credit. If you wanted to buy something, you carried the coins (gold and silver) to the store and paid in coin. A person didn’t want to have their coins in their home or on their person when traveling for fear of being robbed. So they would keep their coins in a bank’s vault. As more and more people put their coins in banks, the banks vault would fill up.?

Banks recognized that at no time did EVERYONE pull ALL their gold out of the bank [at the same time]. So the banks started “loaning” out someone else’s gold for short periods of time. This was the birth of “credit & loans.”?

John Law learned of “credit & loans” working in his father’s bank. Now, for the first time we have “credit” as a financial tool.?

This is where the pyramid formation begins to take place. Because of my divergence into banking and credit, let me recap to ensure you’re still following all of this…?

We have the country of France wanting to pay its debt by simply “changing the weight of the coins.” We have a gentleman with banking experience who knew that if they filled the vaults with gold then they could make loans to the public because the probability of everyone asking the bank for their gold at the same time was really low. He established a central bank that was supported by the government and which allowed people to pay their taxes with this bank’s paper money.?

The scheme worked… for a while. The Law and Company’s bank received enormous sums of gold to put in their vault. Now, with all that gold in their vault they could loan some of it out… but they would loan it out with paper money instead of actual coins. This was the magician’s act. The real product (gold and silver) vanished and the fake product “paper money” was now in the spot light.
–RIGHT HERE IS THE POINT THAT THIS BECAME A PYRAMID SCHEME–?

The Regent made Law’s bank a publicly traded company declaring it the Royal Bank of France. Now people could buy stock in the government’s bank as well as receiving credit in the form of loans from the bank. Over the course of a few years, the bank issued over one billion livres in paper currency to the public.?

Keep in mind that all of these paper loans and paper stock were based upon the “product” of gold and silver coins in the vaults. You see, once the magician got you to believe that the paper was as good as gold - he didn’t need to show you the gold any more.?

Businesses went crazy trying to get this “free” money (loans). Businesses began to grow very rapidly and they started selling their goods and services to foreign consumers as well as setting up businesses in foreign countries. Slowly but surely, the gold and silver that backed this paper money began to drain out of France and into foreign countries. People in India didn’t want to receive a piece of paper from France because they couldn’t cash it at their bank in India - so they required payment in real gold and silver coins.?

The people of France began to suspect that with all the currency being loaned out, surely there wasn’t enough gold and silver in the bank vaults to back up all the currency that had been loaned out and sold as stock. They quietly began converting paper to coins and transporting the coins to foreign banks.?

By 1720 the scarcity of coin began to increase. The vaults, once filled with gold and silver were becoming empty, but the paper money was still being loaned out. In an effort to stop people from converting their paper money into gold and silver coins, the government depreciated the coin to 10% below the paper, and the bank would limit the amount of coins any one person could receive. The limit was 100 livres in gold and 10 livres in silver. So now the government was claiming that gold and silver was worth less than the paper!?

In February of 1720 John Law made a fatal error. At his suggestion to the Regent, a decree was issued forbidding anyone to hold more than 500 livres in coin, and also prohibiting people from buying up precious stones, jewelry, silver settings, and so forth, under penalty of a heavy fine and confiscation of the holdings. The government was trying to stop the public from buying up the gold that the government needed to control in order to keep the bank legitimate. This enraged the public.?

In May of 1720 the bank was out of gold and silver in the vaults and was forced to stop making payments in coin and the bubble burst, and the pyramid tumbled.?

John Law, once a national hero became the scapegoat for the entire problem. The government of France blamed him for the whole debacle and he was nearly murdered by angry crowds.?

To prevent this from happening again and elsewhere, the policy became - there has to be a “product” backing the currency.?

Most countries adopted gold as the standard “product” or backing of their currency. Meaning, every bank had to have a vault of gold to back their currency.?

However, today all well established currencies (US Dollar, Pound, Yen, etc.) have NO PRODUCT that backs their currency. It’s all “belief.” The governments can simply “create more money out of thin air” just by simply printing more.?

Oops. Uh, I think I’ll just leave that alone and save further comments for the conference call :) ?

You do not want to miss the upcoming conference call!?

In conclusion, you now understand how the perception of pyramids began. You can also understand why people run from pyramid schemes.?

But you can also see why M.L.M is not a pyramid… but could be. And as you just read, any organization - government included - could be operating as a pyramid scheme. In other words, a pyramid scheme is NOT a method of doing business such as network marketing, but the detachment from a real product that makes it a pyramid scheme.?

Much Respect and Admiration,?

Advanced Real Estate Workshop Highlights -Your Home Inspector

Tuesday, November 21st, 2006

Advanced Real Estate Workshop Highlights Your Home Inspector Whether you are buying your first home or your hundredth investment property, a home inspection could save you time and money. Every time you purchase a property you have the option of having it inspected before you close. Never buy a home without an inspection! This article will help you find and utilize a good home inspector. You should always get a home inspection! Home inspectors go through the whole property -in depth- to see if anything is wrong. They check the grounds, roof, plumbing, electric, etc. If something is wrong in any area they will write it in a report that you will receive when the inspection is finished. This will give you power to negotiate with the seller and thereby, save you money. Anytime your inspector finds anything wrong with a property, ask for a discount! The inspection report is very thorough. There should be a list of 10 areas that your inspector has meticulously investigated: 1. Grounds (everything outside except for the actual building) 2. Foundation 3. Roofing 4. Exterior shell of property 5. Plumbing 6. Electrical 7. Heating and Cooling 8. Interior 9. Appliances 10. Attic Have your home inspector give you a repairs estimate if it is not against the rules. If he is not permitted to give you a repairs estimate, use the list of things to fix and ask a contractor. A repairs estimate is a list of the estimated costs to fix the things that should run properly, but at the time of purchase do not operate, or need work. With the repairs estimate you will be able to show the seller how much you will need to invest in repairs in order to make it “livable.” You can then renegotiate the price of the property. When choosing your home inspector, ask questions such as: • What was your experience before you were a home inspector? Anyone can be a home inspector. There is not a legal test that one must pass. You want to be sure that your inspector knows what he/she is doing and that he/she has prior experience in the field. You don’t want someone that flipped burgers until last week when he decided to become a home inspector. • Are you in full-time business as a home inspector? What is your business name? You want someone who has a real business as a home inspector. This will ensure quality and knowledge. • How many home inspections have you done? Choose someone who has completed 200-300 jobs per year and has at least two years experience. • Do you have insurance (for errors and omission)? Get a copy of the insurance certificate. If there is no insurance policy in force, don’t use that inspector. • What is the cost per inspection? Three hundred dollars is the average cost. Don’t pay a lot more than that. • How long will the actual inspection take? A good, thorough inspection should take no less than three hours. Your inspector should have the report to you via email within 24 hours. You should get a full breakdown of everything wrong with the property, pictures and a cost estimate (if it is not against the rules). Make sure to request those things in advance so your inspector is prepared with a camera at the time of the inspection. After you get a home inspection, you usually have much more negotiating power. Use the faults in the property to your advantage. Take the list of faults/problems to the seller and get the discounts you deserve. You will see that spending $300 may save you thousands! Get information or sign up for the next Advanced Real Estate Workshop.

www.millionaire-makers-international.com

Great Questions Answered: Do You Present The Business ,Products or Both?

Tuesday, November 21st, 2006

“I had a chance to review Brilliant Compensation again and found the reference where Tim is talking about ‘How Sales Volume Moves’ using three gears to illustrate (Exploratory, Wholesale Consumption, and Retail). Under retail, he states “Also, another way I retail products is I show someone the business and the products and that person may say to me ‘I’m not interested in the business right now but I am interested in the product(s).’ ‘ Clearly Brilliant Compensation predates Professional Inviter where Tim states that you present either the business or the product but not both. So I’m curious as to why the change?”? As a rule when explaining the business I do not go into detail about the product. However, on occasion it’s somewhat impossible to explain the business to some people without explaining the product to them. Meaning, some people are “product” people that believe that nothing else matters other than the product. This would be contrasted to someone who believes that the most important thing in selecting a business is that the company is going to stay in business long term–or the product is in front of large trends, etc.?

I found when selling skin care in particular, the comment, “If I like it, then I can sell it” came up. Therefore the prospect needed to try the products and like (love) them before they would feel right about joining the business. Some of those ended up being customers but not doing the business. So I have gotten some customers this way–not a lo In weight management, I’ve heard similar comments like, “if I get results, then I can sell it.”? In these cases, during the explanation of how to achieve their needs/wants/don’t-wants, if one of these types of comments are made–go ahead and explain the product–but do so without using big words or slang words the prospect doesn’t understand. And, I prefer to keep the specifics of the product out of the explanation and only explain the general product category.?

In summary:? 1. Greet prospect
2. Qualify–find out what they need/want or don’t want.
3. Invite them to look at something that will help them achieve step 2.
4. Handle any questions or objections
5. Close to action
6. Follow up/follow through. In the follow through step if they say something like, “I have to believe in the product…” Reply, “I respect that! So let’s get you some products to try.”?

If they don’t say something like that, you should suggest it. That’s what leads you to getting them the product.? In Professional Inviter, when I say, “present either the business or the product but not both,” what I mean there is, when trying to get a customer don’t explain the product and then say, “… you can make money doing this.” I’ve seen this kill the product sale because you’ve now introduced a LARGE thing for them to decide–THAT THEY NEVER ASKED FOR! When you were first doing the Inviting Formula (six steps above) and they stated they wanted to; “have better skin,” or “lose fat,”–that has nothing to do with making money–then you shouldn’t bring it up. But, if while doing the Inviting Formula they say, “I want to make more money” and during the discussion they say, “I have to believe in the product”, then you help them get the product.?

I hope this is helpful to you,? t–but some.?

Build a Pipeline With Developing Emerging Leaders and Reap the Benefits!

Tuesday, November 21st, 2006

Build a Pipeline With Developing Emerging Leaders and Reap the Benefits!? ? ________________________________________ Developing the right people can produce many positive effects on your organization. Building with the right people can increase your team’s productivity, improve downline moral, and organization profitability and make your job as a leader a lot easier. With the possibility of one or all of these positive effects taking place, it is important to invest your time and perfect your developing process to ensure that you are giving yourself the best chance to find the right people-those who will join you and make positive contributions to the entire team. All top income earners want to recruit and develop the best possible talent available; but you have to interview emerging leaders before deciding to invest all your time into them. How do you guarantee that you are working with the best? One way is to partner with your producers who share same values in your company and organization, and make sure they have a complete understanding about the business. Demonstrate to them the urgency of getting things done and communicating via timely feedback on their production levels and commitments. Establish continued face-to-face meetings with your emerging leaders and communicate the importance of their position on the team as well as related duties and responsibilities. Allow your emerging leaders to get a feel of your leadership style and organizational culture to see if they really want to take on responsible roles. The more they learn about what finding the right people will mean to you, the better they can serve the team in those necessary roles. By taking the time and sharing pertinent information with your emerging leaders, you communicate the investment you and your organization are making. This helps you allocate the proper amount of team resources to continue their development. Once you establish a pipeline for talented people you’re grooming for leadership roles in your organization, it is time to look internally at your processes. Investigate your systems for finding, developing and releasing your new leadership within your organization. Establish consensus among your existing leadership team and confirm with them that you are not precluding anyone from participating in the process that could potentially add value to the team. Also take an unbiased look at your organization and consider how the new potential leaders will interpret you and your organization. Think back when you first went through the process and began developing into the leader you are now. What was your perception of the organization? Use your imagination. The more aware you are about what you’re looking for, the easier it will be to attract the right people to the leadership levels of your organization. Take the time to closely examine your pipeline of emerging leaders, both internally and externally, and you will begin to improve the quality of people in your entire organization.

Develop a Prosperity Consciousness

Monday, November 20th, 2006

Develop a Prosperity Consciousness
The starting point of all riches is the development of a prosperity consciousness. You must become a financial success in your thinking long before you achieve it in your reality. Both poverty and riches are the result of a state of mind, and the most important single step you ever take on the road to wealth and financial independence is the decision to change your thinking, to impress into your mind an unshakable belief that you can and will achieve your financial goals. This must happen before anything else happens.? Think And Grow Rich
When I was growing up, I was fascinated by stories of successful men and women and how they made and lost their fortunes, and then made them over again. I read about the importance of a prosperity consciousness in the book, Think And Grow Rich, by Napoleon Hill, several times. But I never fully understood what it meant until about five years ago. Then it hit me and I’ve never been quite the same since. Every aspect of my life has improved dramatically, especially in the area of accumulating wealth, since I finally understood what is meant by a prosperity consciousness.
?

Two Great Discoveries?
Here
are two of the most exciting principles ever discovered in the long search by mankind for the secrets of health, happiness and great personal wealth.? All Causation is Mental
The first principle is this. All causation is mental. That means that everything that you are or ever will be will be a result of how you use your mind. You are merely a mind with a body to carry it around with. The entire man made world that you see is simply an expression of thought. Your entire life is an expression of your own thinking. And since the quality of your thinking determines the quality of your life, if you improve the quality of your thinking, you must, you will, inevitably improve the quality of your life.?

The Law of Expectations
The second principle is what we call the law of expectations. This law says that whatever you expect with confidence, positive or negative, becomes your reality. If you confidently expect to succeed, if you confidently expect to learn something from every experience, if you confidently expect to become wealthy as a result of applying your talents and abilities to your opportunities and you maintain that attitude of confident expectations long enough, it will become your reality. It will give you a positive optimistic cheerful attitude that will cause people to want to help you, and will cause things to happen the way you want them to happen.?

Action Exercises
Here are two things you can do immediately to practice these principles in your day to day life:
?
First, start thinking today in a positive, optimistic, confident way about personal and financial success. Continually imagine what differences it would make in your life if you were financially independent. This is the starting point of developing a prosperity consciousness.?

Second, develop your own attitude of positive expectations. Look for the good in every situation. Look for the valuable lesson in every setback or difficulty. Be positive and cheerful about everything that happens and you will be amazed at the difference it makes in your life.
? Get Your FREE copy Of “Think And Grow Rich” Now By Visiting:

www.millionaire-makers-international.com

With Regards

Axel Henriksen
Wamzam Holdings Limited
Your Wealth Creation Coach
?
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Lease/Option a “Junker!”

Monday, November 20th, 2006

Lease/Option a “Junker!” The lease/option can be an excellent tool for profiting on rehab properties. Many “junker” properties can be bought cheap, but this requires cash. Furthermore, you need cash to fix up the property. You also have to pay monthly interest payments while waiting for your subcontractors to finish the job and for the new buyer to qualify for his loan. Rather than purchase the property, lease it for six to nine months with an option to purchase. If the property is not habitable, offer the owner a discounted rent with most or all of it applied toward purchase. Compare this strategy to borrowing money and making interest payments while you are fixing up and holding the property for resale. You can save yourself extra closing and financing costs by leasing with an option, fixing, the exercising your option rather than buying, fixing and selling. Better yet, fix up the property, then sell your option to another investor. Of course, make certain that your option is protected before you start sinking cash into the property (see my previous article on this site, “Lease/Option Tips and Strategies.” If you are not into fixing properties, find a subtenant who has handyman skills. Let me share a personal story which fits right into this strategy??? I found a vacant property owned by a prominent college professor who lived out of state. The property had a finished basement, but literally had no upstairs! The entire first floor had been cleared out and used as a place of worship. The professor, the former leader of the church, had taken out the loan on the property and been making payments for over a year after he had left town! The property needed about $10,000 worth of work to get the upstairs back to speed, none of which I was willing to pay for or do (sorry, these hands only get dirty in the kitchen). The rents for similar houses in the neighborhood (with an upstairs) was $650. I offered to lease it from him for two years at $400/month with an option to purchase price at $40,000. Without so much as cleaning the house, I placed an ad in the paper: EL DUMPO! RENT-TO-OWN $0 down, U-Fix 555-5555 Needless to say, my phone rang off the hook (and onto the floor and out the door)! Rather than look for a tenant to pay me option money, I was looking for someone with skills to do the fixup in exchange for option consideration. The first tenant, who claimed to be skilled (boy am I a sucker!), moved in an started paying $600/month. After six months, he did no work, stopped paying and I evicted him. I advertised it again - same ad. I also made the same mistake of letting in a tenant who did no work (but paid me $625/month for a year). After I evicted him, I learned my lesson, which was??? NOBODY MOVES IN UNTIL HE DOES THE WORK! This time, I found a guy who was in the drywall business. He did the work, and a beautiful job! He paid me $650/month for six months and exercised his option to purchase at $54,000, less a “repair credit” of $4,000. This was truly Win/Win - I got paid and I didn’t break any fingernails. Learn how to Structure a Lease/Option

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