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The Subtle Differences of Real Estate, The Stock Market, and MLM

by James Yancey

Real Estate, The Stock Market, and MLM

mlmWhether your goal is to prepare for retirement, provide more for your family, or create an abundant lifestyle you’ve probably considered investing in real estate, trading the stock market, or maybe even building a multi level marketing business.  While all have the potential to help you achieve any financial goal you set – each have an extremely subtle characteristic that may be able to help you decide which method you should pursue to achieve your goals.

Buying Right In Real Estate

Real Estate is a time tested and proven method to financial freedom and there are many ways to invest.  Ultimately to succeed in any real estate transaction you’ve got to buy right.  When investing in real estate buying at the right price is everything.  If the price is right, location, timing, and the neighborhood just don’t matter – price trumps everything else.

To buy any real estate asset at a substantial discount you have to solve a financial challenge.  There would be no motivated sale taking place without a challenge or emergency that motivated the seller to sell.  An investor who wins in real estate has mastered marketing and has the ability to locate a large number of motivated sellers, uses the ability to negotiate a price that solves the immediate financial challenge of the seller while at the same time creating a profit for the investor.  While both parties can win, more often than not the true winner is the investor.

Trading The Stock Market

The idea of investing in the stock market is common and widely accepted by the masses as a path to financial security.  Passive investments though work or through mutual funds are the norm.  While few expect to achieve riches through the stock market, success from a retirement standpoint is expected almost across the board.  This odd thing is most view the stock market as a complex game of chance, yet somehow still expect it to provide for their retirement.

The truth is the stock market is a zero sum game – simply put to win someone else has to loose.  For each and every trade made in the stock market there is a winner and a loser.  Which means the only way to win in the stock market is to take money from another investor.  To succeed you’ve got to make decisions quickly, intelligently, and have a specific strategy that you’ve mastered and can implement to take money from the competition.

MLM – Building A Community

While Multi Level Marketing is a newer way to create financial freedom when compared to real estate or the stock market.  MLM has been around for over 70 years and has proven to be a legitimate method to create an immediate and long term income stream.  The primary difference that sets multi level marketing apart from real estate and the stock market is that in MLM you have to build an organization of individuals who have achieved success in order to achieve success yourself.  An MLM business is built and based on the relationships of like-minded individuals that have chosen to collaborate towards their individual goals.  Like real estate and the stock market MLM is a numbers game, however success is achieved differently.

Success in MLM is achieved by communicating with a large number of people to find the individuals who want to participate, learn, and grow personally while building a community of like minds.  The business is based on products, but is all about people.  Regardless of what is being offered the business is a people business and in the process of building the business you’ll master many skills the most relevant being communication.

Finding Your Niche

mlmWhether you choose real estate, the stock market, or build an MLM business– don’t forget money only comes from one place and that’s another person.  In choosing which one makes the most sense for you – you want to consider your personality, goals, your resources and what you would most enjoy.

Each method takes commitment, a burning desire, and a positive mental attitude.  Success in business, life, and financially require you to look at closely at yourself – more often than not the best tool you can use is the mirror.

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