Try out the Patreon here: patreon.com/Davidflanks?RobertKiyosaki Patreon includes: - Early access to flankinvesting.com, the world's first pure Buffett-style fundamental research platform - Access to our private discord community, with 200 members
I was like your Dad in the GFC. Realestate schills are pure BS. I have managed property. You have to find property that has a very high value to cost ratio so that the rent is high enough just to cover maintenance. Let alone Tennant disasters and castastophe's both of which will happen.
@@anonymousdonor8084 Was a landlord for 12 years in the 70's and 80's. It was hard work to keep the money coming in and pay the bank its money, real estate taxes, insurance, maintenance, etc. Not much left after all the bills are paid. Would never do it again that way. Would of been alot farther ahead taking the money and investing it into REITs. Saw this guy touting his going into debt to make money and knew instinctively it was not as easy as he made it appear.
As a guy who sells call credit spreads on the SPX, I can't condemn him for not being risk adverse. I can say that there are far better things to gamble on than commercial real estate though!
Yes don’t just follow any financial advice or influencer. Heck my uncle lost a huge amount of money just owning stocks in 2008. I don’t like everything Robert kiyosaki says sure, but I will say he’s great because he makes people think. He got me to really think and spend time learning about how U.S. dollars are created out of thin air and that’s how banks, government and rich people steal from others. I have a friend that’s been doing a real estate fund and getting people to invest and then they buy buildings in various states. But he joined the real estate club Renatus which is $20,000 to join but it’s lifetime membership with videos made by real estate people and lawyers and they actually help you. If I had money I’d do that some day. Robert got me to eventually read the book creature from Jekyll island and then that lead me to read U.S. monetary history by Murray Rothbard.
@@starfleetcommander You don't know when this book was release do you? 1997. It was a best seller for years. Whatever money to be made from this book has been made. Now there are 100's of versions of it, not even written by him. Ofcourse you can get it for free now.
leafed through his 'books'? Lotsa extra pages, reiterated concepts with repetitive graphs over & over. Oh. That and 'buy near gov't/military complexes, to get a supply of consistently paid renters. ' - okay. the Big Secret. lol.
I'm an ex investment banker and real estate professional. His money comes from selling people classes on how to make money. Last time I checked, there was no credible information on his real estate portfolio. It is likely he tags along certain deals to be able to claim he's involved with large transactions. But for people reading this, make no mistake: you are the product. Real estate isn't the product.
100% correct. I have a friend that does this and he basically sells his "brief" knowledge as a class. Participants pay $$$ to be in his online class where he teaches them how to flip homes amongst other things. THIS is how he generates cash-flow. NOT what he is teaching.... (Which CAN work but is very market susceptible! )
I agree - I worked for brothers who were property billionaires - they eschewed Debt (only occasionally venturing into it , on a small scale, in Joint Ventures) - but the main point is that they were far far too busy to ever either write a book on how to get rich or to record youtube videos or run courses....owning that much propery requires 'stewardship' and acquisition analysis etc - that doesn't involve the need for 'How to get rich ' schemes ..It's laughable to imagine them doing that!
Kyiosaki is the man. I read his books and built a portfolio of real estate. Retired when I was 35. Its not for everyone. Many people are too buy bitching and moaning to see straight. Worked for me. Stakeholder capitalism is straight from WEF....that's Communist bullshit.
Kiyosaki has always struck me as a grifter and slimeball, but it was confirmed to me when i heard him on a podcast laughing about a gold mine that he spun up and pumped using sneaky advertising tactics. He then suckered in a whole lot of stakeholders, and then foreclosed on the mine, taking all their money. A person who could laugh and take pride in stealing money from people knowingly through a fraudulent scheme is the scum of the earth.
My favorite story from kyosaki, as told by himself, is when he threw a young mother and her children and all of their possessions out on the street on Christmas Eve for being behind on the rent. He laughed very heartily while telling this story.
@@violinfanatickamraz1403 when I first read his book twenty years ago, the thing that struck me was how he threw his real, hardworking, good family man father under the bus in favor of the (now known to be fictitious) rich dad. It left a bad taste in my mouth. Imagine working hard in a respectable line of work to provide for and raise a family only to have your kid write a book that portrays you as a looser for doing so.
I read Rich Dad. There's a section in which he says "I bought a 2 bedroom, 1 bath condo from a bank. Total working time: 2 hours." I have actually done that, and it took WAY more time and effort than 2 hours. It was a 6 month project. In "Rich Dad's Prophecy" he said the stock market would crash in 2016-2017. But it soared. He advocates buying real estate (which I did between 2000-2008) because it would yield great returns. But if I had invested just $1000 in APPL in 2000 I'd have $456,000 today--GREATLY outperforming gold and silver. I think there is more and more scrutiny on Kiyosaki, but I see it coming from RU-vidrs, not financial media.
This is such a great comment, please DM me on IG or X and I’ll give you a free invite to our discord. I think your opinion would would be really great for our community
Hindsight is 20/20...Anyone can look back 24 years or so to 2000-2008 and say they would have $450k+ today had they invested X amount of dollars in 2000 into whatever stock they look up today and see that it has soared over the last 24 years. I had a CPA salary in 2000 and started buying investment real estate "on the side" around 2005. My net worth is now over $8M. Use common sense and work hard. Every type of investing or job/career may not be a match with your skills and abilities.
Yep! Ask Levi Strauss. Or American Express. Or Wells Fargo. Or the buddies and business associates Charles Crocker, Mark Hopkins, Collis Huntington, and Leland Stanford.
@@johnc2438 This is the way the world operates. I used to hate the game, now I play it at a high level. We were born in this inverted world, so you must play the game if you want to survive. The challenge is becoming wealthy while not breaking the law and having some type of moral compass.
@@davidflanksshell game, you minimize the significance and importance of something while becoming the very thing, liquidity, and boy do your priorities change and does that become important it's like the illusion of control chasing no risk management on 70 percent winner trades, with the same game plan losing big on 30 percent, but more false confidence. (Post course? Lol)
I lost my first wife to multi level marketing. She became obsessed with how much money she was going to make (she didn’t) and thought I was a loser to not join in. She was a fan of his.
Here are my five rules to become rich. 1. Maximize income 2. Minimize expenses 3. Never borrow money 4. Spend as little money as possible on depreciable assets 5. Buy as much as possible appreciable assets. Got me to a million dollars in 24 years. You don't need to attend a seminar to know this.
Point 3 should be borrow money at your own risk. There's nothing inherently bad about borrowing the money, only the inability to take the right opportunities to pay it back. No risk, no reward
The REASON Kiyosaki has released a new book with the words "FAKE" and "FRAUD" in the title is not because he is both (he is), but because he wants to control the search optimization around searches for "Robert Kiyosaki is a fake" and "Robert Kiyosaki is a fraud".
Robert Kiyosaki came to Australia and could not believe the home prices and advised people to sell fast as the market was going to crash. Never did. He ignored our real estate history where home prices on average double every 7 to 10 years. Those poor people who took his advice and sold their homes could never afford to buy another one.
@@erictoombs4842 No, the worst that happens is they flatline for a few months. the odd property may drop 2 or 3% in a recession but even with record high interest rates the prices are going up faster than ever before.
I once attended a free Robert K-branded RE seminar. I then paid $400 for the next level seminar. At this seminar, they had people list ALL their assets IRA, 401-K, RE, etc to help people figure out how they can pay 10s of 1000s for some higher level program. I knew then, this is a scam. I skated.
Yeah, it just seems like the old idea that if someone knew a surefire way to get rich, they wouldn't sell it in a seminar unless that seminar IS their way to get rich.
He's a con man. I can't count the number of broke people swearing to his advice. He sold some books. Even his wife got tired of pretending and left him.
I have always seen RK as a typical scammer. I wouldn't buy a used car from him. Besides the BS he tries to sell you, he doesn't come across as a happy person. He looks angry, frustrated and bitter.
I sense he is an evil prowling beast seeking whomever he can destroy for his gain.
23 дня назад
He is trapped in a cycle of always having to find new fools to fund his lifestyle. With the age of internet, it is a lot harder to find a new supply of suckers.
I turned 40 today. I meet with 2 financial advisors earlier this year who estimated my net worth between 1.6 and 1.8 mil. I live in the middle of nowhere, work a bluecolor job in a very poor state, have an associates degree from a votec school. Anyone can do what I did. Most of my net worth is my 401k. The next chunk is my paid off house. I haven't had debt in years and live well below my means. I dont lose sleep over the housing market or stock market swinging.
BOOM! This is the way. Well done man, seriously. If it doesn’t make sense to you, never invest in it. And the number one investment of all time (according to Buffett) is you!
Sounds like half a story. How do you break down 1.8 mil just by working a normal job at 40? Must be through investments, or untold benefits you received. 1.8 mil not something ‘anyone can do’ with a regular job and no particular benefits to start off with.
I work in IT as freelancer and earn well today, but have been salaried before. I know for fact that it is not possible except when going independent or making risky investments.
@@kimgysen10 look up Ronald Reid. dude was a janitor who at the time of his death gave $6M to charity at his death and $2M to his kids. It can be done. Fees and risk are corrosive to longterm gains
@@davidflanks Didn't say it can't be done. But it requires an explanation and calculation. Numbers are thrown around too easily, and too much is lied about extra sources of income that not everybody can afford. I can explain where my income comes from, and know for fact not everybody can do that. A million is NOT as easily achieved as claimed here. And it will leave people wondering.
@@DarklyViolet Surprisingly, Amway has been around for a LONG time!! I know people who are still in it today. Why do you think it has lasted for so long?
The "easy money" and the "how to get rich" themes are, alas, irresistible. They mesmerize and bypass the natural common sense of many people. Gurus, "mentors" and scammers of all ilk (you mentioned a few) thrive on it.
I am a middle aged Scottish female, came across this man years ago, 2 mins in and I knew he was an untrustworthy, disregardful drama queen who could not run a household budget.
Finally someone is saying it! Debt is debt. Those who are truly "rich" are those that are free to do what they want no matter what the outside circumstances in the world are!
Leverage is a tool. Making 1 for 1 investments where a win gets you a dollar and a loss loses a dollar is no way to invest. You will always have investments that fail so your winners must gain more than losers. Doesnt mean it's easy to use debt but nothing is easy
People buy both houses and businesses on debt. Like the man in the vid says, nothing new. It works for people, but the risk is higher and some dose of luck is an important factor. You will see both people who succeeded and failed using this strategy. Countries are in debt, a lot depends also on trust worthiness; they can negotiate terms more dynamically.
People completely overlook survivorship bias. Just because one dude got lucky doesn't mean he gets to write a book, claim to be an expert, and then have a bunch of people follow his advice and also get rich. Ever wonder why there are so many books telling people how to get rich, but not a ton of people getting rich following those books? Lucky ones come along after thousands have failed, then the money they earned (with luck) essentially powers them the rest of the way. Quick, give me $500M. I'll go invest it at a super safe, super conservative 5% and then tell everyone it's easy to make $25M / year.
Well, ya know, investing money at 5% in conservative things is a tried-and-true method that can work for anyone. I do get what you are saying though :)
If you’re dumb enough not to see his contradiction written in front of you then you probably deserve to lose your money. He says “don’t buy unimportant things, don’t create expenses. Only invest in assets that give you an immediate ROI”. At the same time he’s saying “spend your money on my course which is listening to me about ideas”. His course isn’t an investment with an immediate ROI. It’s a needless expense. The very thing he tells you to avoid!
If everyone dropped out of school then where do we get nurses, engineers, doctors, chemists, etc. We’d literally have none of the conveniences of the modern world without these professionals and researchers
@cupidok2768 he def has real estate but he didnt make his money from real estate or atleast a large part of his wealth from it, its from his courses. Real estate investment are very well documented and studied, RK's in recent years stopped preaching about realestate investment, instead pivoted to debt financing and some gold and silver bs, leveraging debt at extreme risk which almost no one would recommend. So when you are someone thats unware of the risk and hear it from a "rich" guy you think he hacked the matrix and buy his course.
Buffett's 2 rules of investing: 1. Never lose money 2. Never forget rule number 1 Used to think Buffett was just being cheeky when he said that, but after working in finance I learned that risk-adjusted return is all that matters to people with real money
I went to a Kiyosaki seminar in Melbourne a few years ago, he spent half the time berating an audience member for not looking interested enough, told us we were too stupid to compete with the Chinese in business and anyone that went to college was wasting their time, which is how I felt coming to his seminar.
Chinese lack creativity and have little risk tolerance. They don't want to risk showing off their children's ability to master a musical instrument or showing off their prestigious degree at at ivy league daycare center. This is why the Chinese depend on Western companies telling them what to do or simple IP theft.
I moved to the Philippines back in 2018. Robert is correct. I have College Degrees in Electricity & Electronics, Computer Science, and Information Technology. They were all a waste. China is kicking our colletive asses because they are smart, not educated, smart. They are industrious and figure shit out. There is no Plan B, no safety net. If they fail, they starve.
Textbook con artist: “College is for suckers and losers.” RK spent a bunch of time in his first book lambasting his dad for being a paycheck-to-paycheck academic. Anyone who plants their flag squarely in “higher education of any sort is a waste of your time” is either already scamming you, or REALLLY wants to.
About a decade ago when I first started learning about personal finance, I bought RDPD because it was mentioned frequently on financial forums. I got maybe 1/4 into before I said, "this is theatrical trash" and put it down. So happy more people are calling this guy out on his bs.
That book was great. Just cause it didn't work for you, or you didn't get it, doesn't make it trash. The issue is people don't know when to stop when they're ahead, and clearly Mr Kiyosaki didnt know when to stop. 1.2B in debt is greed.
It doesn't matter what investment system you have, someone is going to criticize you. I followed Dave Ramsey, and paid off my home in 5yrs. I've been debt-free for a decade+ because of him. Then I watched a video recently saying paying off your home is a bad idea.
My friend studied the Rich Dad/Poor Dad method, even attending a seminar in 2007. She lost her home, her boat, her ATV, a secondary rental property by 2010. Lost everything through leveraging by age 45. Moved half-way across the country and started rebuilding her life over an extended period. Took a lot of humbling.
Sounds like she got into it at the height of the housing market and then lost everything during the crash. Unfortunately, sometimes it's all about timing.
Building wealth involves developing good habits like regularly putting money away in intervals for solid investments. Instead of trying to predict and prognosticate the stability of the market and precisely when the change is going to happen, a better strategy is simply having a portfolio that’s well prepared for any eventually, that’s how some folks' been averaging 150K every 7week these past 4months according to Bloomberg.
The professionals presently control the market since they not only have the essential business strategy but also have access to inside information that the general public is not aware of.
The issue is most people have the “I will do it myself mentality” but not skilled enough. Ideally, advisors are perfect reps for investing jobs and at first-hand experience, my portfolio has yielded over 350%, since covid-outbreak to date, summing up nearly $1m.
I find this informative, curiously explored Rebecca on the web, spotted her consulting page, and was able to schedule a call session with her, she shows quite a great deal of expertise from her resume.. very much appreciated
If Scientology were a wealth strategy, Robert Kiyosaki would be David Miscavige. I bought and read his first three books back in the '90s (paperback, of course). That was the extent of my investment in his approach to wealth building. At the time, I was supporting a family with small children, living paycheck to paycheck with no real savings. It always seemed like a pipe dream. The one thing that didn't make sense to me was his vision of a home being more of a liability than an asset and it still doesn't to this day. If you really want to build wealth, don't get married, don't have kids, focus on improving your career, live below your means, and invest in yourself. You may not drive a Ferrari, but you'll live a less money-stressed life.
Debt is cancer. If you don't do regular chemo and management, it will kill you. People wanting too many things is the problem. Just a house, some savings, and little bit investments in the long run is more than enough if you are able to live below your means. Being debt free is as liberating as it gets.
Not having a heart attack inducing phone ringing out of no where does wonder for Cardio health. My dad was such a fuckster huckster 90's he might as well grow a bushy stash. He fucked off back to HK in the late 90's, getting a "Job" with the new government. He left us with a fuck tonne of card debts, house debts, condo debts (one of his huckster unfinished schemes). So I got a pt job to help with the bills, and mom retrained in a woman's business course got a job at the cable company (a a fuck tonne of severance package shares), paid off the house (now that's generational wealth), paid off the condo as a manger. I helped. Dad? Well he got jailed for misapproprating his very generous living allowance (his apartment had a bath tub, a luxury over there (space issues), a Mazda car, a GREAT salary, and pensions. So the tramp he ditched us for he dumped her, she informed the government....Dad gets out of Jail and heads to the mainland to try his luck there, racking up debts, along the way, sowing his seeds, (some of whom I met, they all did well with good morals (accountants, regular joe but honest jobs). And same story, remarries 90's way, divorces, infidelity, the wife pays off the house and keeps the bling, and just gets kicked more and more to the curb. I only build up my credit rating to get a better deal on the house and car. So I borrow about 1000, from each source, pay that back quickly. the 1000 goes to investments, and it has the potential to double. Then you save a fuck tonne of money on larger borrows like the house and car, the house you can pimp up and sell at a higher price. Just 800 to redo the lawn, a few thousand to remodel, for appeal. Or get larger loans for well though of ventures. And grow your net worth.
Your understanding of money is the way the vast majority of people think. You are comparing consumer debt (credit cards, auto loans, etc) to leverage (debt used to buy an investment). They are simply not the same thing. If you understand how leverage works, and use it wisely it's an extremely powerful tool. Kiyosaki makes money because people ALWAYS want the "shortcut". Problem is there is no shortcut, no prosthetic. You simply have to take the risk, and understand the reward. RK's advice about gold and silver I agree with to a certain degree. Paper money is a liar's promise because it's not against the law for the government to print more money making your paper money lose spending power. If you can buy a nice used car for an ounce of gold now chances are 20 years from now the same ounce of gold will buy a nice used car. I started buying commercial real estate in 2008 right after the crash. I had a small very modest house in a great neighborhood. Was diligent and bought what I could afford. Got married, tried to sell to just buy something more suitable, and it was 2008 demand wasn't there. It was either walk away, or rent it out. So I rented it out. I still lost my shirt on that house because it took years to get back to even. That lesson though taught me it was time to buy. That's something you can't learn in a book or course. I sold all of my commercial real estate in the last two years because the market has been on fire. So I used a mixture of cash, and leverage to do that, but overall I quadrupled my initial investment in less than 15 years. So when used properly leverage can be an insanely good tool. It can also put you in the poor house. Everything has risk, and everyone has fear.
Finally, someone who has the same opinion of Kiyosaki.... who is a snake. A horrible guy, just nasty, and you can see it in everything he speaks. Thanks for this.
@@alanlawlor3134 you have boomers to blame for that, they set in motion everything that's wrong with the economy, and they are responsible for most of the economics theory and practices which need heavy rethinking.
The best-selling book, the Bible, literally warns us that debt makes you a slave to the debtor. It's been accessible knowledge, right there for thousands of years.
Debt forgiveness is also in the bible, but people, usually right leaning, always start screeching when lower income people receive it while they are perfectly fine with the rich paying little to nothing in taxes.
You actually believe the story? I think a lot of you are so over emotional to the point you can’t actually learn anything. You don’t have to like someone to learn from them.
If you do it without debt, the rich dad's advice holds true: "Rich people buy assets, poor people buy liabilities". However, Kyosaki's debt advice is poison.
You can own real estate using the banks money and have tax benefits, appreciation, cash flow, and equity build from principle pay down and sweat. I took his advice and lived in a multi family house for 8 years, built a real estate portfolio whilebworling as a fitness Coach and quit work when I was 35. If that's poisen, I'm immuned!
I´m 47 years old and allow me to share my experience: - Just like every pie is a good pie, every income is a good income. You should not attach that sentiment to a certain currency, but the value of it! - The best investment is when you don’t invest your own money, learn how to leverage using others, but beware not to fall into your own scam - Let the people around you grow with you and you will have tons of collaborators and not competitors. Even if one of them becomes your competitor, remember that you are ahead in the race, just keep the pace. - (using one of the video words) Pricing is one of the most important division of any company. Thanks to the pricing skills, our company is where it is. - Last one… I don’t follow the money, my pursuit is for work. Why? Because finding the mine is where all gold is but if you find the gold you will still try looking for the mine. Just cut the chase!
Man, I had a distaste for him before, given my family's history of following his advice, but after digging into him for this video, it really solidified and justified the distaste lol
As he has increased, I don’t like how he treats people who don’t follow his path, he talks them down. When wealthy people do this, diminish your trust. Also, his debt views were very popular in the 1970s with a lot of narcissistic chancers. “Let debt be somebody else’s problem.”
Robert kiyosaki got his start as a multi level marketer. Another investigator showed that Kiyosaki lied in his book about his 'dad' who Kiyosaki later admitted was an amalgamation of rich people and not a real person. I repeat: His real father was NOT rich. It was all a lie.
If you read the book you would know that his real father wasn't rich and he never claimed that he was . But of course there was plenty of things he did lie about.
@@intothebeyond8763 You are correct, I did read the book years ago and forgot that the rich dad was not his (a friend's dad right?), but even this 'dad' was a fictional character that he later admitted in interviews was never real but a composite of a bunch of people he knew who were goo with money.
With the interest rate over 5% he’s probably struggling just a little. Fortunately I don’t think he owns any commercial real estate in SF or NYC. With $1BILLION in debt he’s going with the “too big to fail” narrative
What I know is that everyone makes money in his own way. What works for one doesn't work for someone else.Theres always a winner and loser in every business. There's no one rule works for all. Otherwise everyone would take the method and the boat would be so full and heavy it would sink anyway
I agree with you, only 100%. I did read Rich Dad, and liked that book a lot. However, beyond those basics, the guy has very strange theories. His seminars are absolute scam. As I recall, he had this strategy that you purchase a $20,000 watch in order to be in debt just to pay it off. So yes, the guy gives horrible advice and is completely nuts. However, as much as I can't stand Robert Yikosaki, Grant Cardone is worse --- Grant is far, far worse.
I personally got some fundamentals from Rich Dad that served me well as basics for the last 25 years. The notion of "only buy assets" is a good core tenet. yes, beyond that book he is just a grifter who realised idiots would throw money at him the more outlandish and "incomplete" his advice was. I think he learned that fundamental from Napolean Hill's Think and Grow Rich - the original content-vacant money advice book.
@@alostpilgrimsjourney5953 And Grant totally seems to be 'that guy'. He has never impressed me and gives me shyster vibes. I could be rich too, if I was a heartless con artist.
My late Mother tried getting me into Kyosaki's garbage. I went camping with some friends and used Rich Dad Poor Dad to get the campfire going. At least it was good for something.
I soured on him for bagging on "working men" who are regular guys working as plumbers, teachers, mechanics, etc...that they're chumps for just working, saving and just living life. Not everyone wants to be a landlord, high-profile, high-stress, over-leveraged investor.
His book wasn't designed for people that just want to take a paycheck and work for a living. Time is everyone's most valuable asset and trading time for money is one of the worst trades you can make IMO. The underlying principle of the book is making your money work for you instead of you working for your money.
@@Banc2008 he’s millions of dollars in debt. Not impressed. Once a bank decides to cut their support he’s screwed. We’ve all seen many operators standing on a house of cards.
Never assume people are telling the truth. Two experts on the same subject often disagree. Take advice, but make up your own mind. Own your decision. Don't blame the advisor.
Well to start with, go to a licensed financial advisor regulated by the government. Most people listen to their friend for financial advice because they trust them not because they know better. I've seen this so many times as a former licensed financial advisor.
Ok, just because two experts tell you different things does not mean one or both are lying to you. Perhaps you meant to say that a person should not assume they have to follow the advice of one or the other, and tune everything else out…?
He is not 1.2 billion in the hole as you stated. You never mentioned how much his assets are worth, How his debt is structured, or what his cash flow situation is.
Okay guys, let's he honest here. If this was a blk man, this comment section would be full of rcst language. The man is obviously a scammer. I own a hotel and debt was never my friend. Yes, borrowing is often necessary and one can stretch it to the limits to achieve a reasonable goal but his overall message is flawed.
A very generous man. The guy could get a college education taking a student loan, it would definitely make him value his education and use it to earn his living instead of wasting his time making RU-vid videos. The problem with having a "free" (i.e. paid by parents) education is that students do not think hard enough when they choose a program. That's why we have a lot of graduates having worthless degrees that cannot help them earn their living. Or students who decide to drop off in the middle of the education process "because they need to find their true vocation". When a student knows that he will pile a lot of debt for their education, they consider it much more responsibly. And study FFS, not just waste time partying and drinking.
White collar jobs require a college degree minimum. It’s just a badge to get your foot in the door. Sometimes it’s not about the cost or education but the networking that happens in these top tier schools that are just priceless. you attend great colleges to network and that network is exclusive to others that also attend top tier schools. Attend any social event with prominent people and they will ask what school did you attend and that’s all they need to know.
Kiyosaki has been broke for years....has never been able to prove he owns anything, even a house. Where is the stuff he has that results in his debt? NOT THERE!!!
fatalist attitude.....we can talk ourselves out of all risky behavior.....just get the Federal job and log into your government laptop 5 times a week...but don't wonder why you retire a nobody....
CPA here but make my living as a full time RE investor. Ppl need to know what they are doing...get KNOWLEDGEABLE...and assess the amount of RISK they are willing to take on. If you have $1.2B in debt, that may not be bad if you have $7.2B in STABLE assets where you can access a portion of it reasonably quickly. Most ppl who are listening to Robert's classes are NOT at the level to fully implememt the practices Robert implements.
While his Rich Dad, poor dad books are inspiring; I only bought 1 home in 2004 and that's it. I see my military co-workers buying 2nd and 3rd homes by co-signing each other. Then 2008 came. For a fact, i know they all lost their investment homes. My real estate agent parents lost 2 homes. My 2nd job manager's brother lost a mini mansion, nail salon, and his 2nd home. I kept my home till 2014 because it was too far to manage, but the 10 yrs of ownership was the best 10 yrs of tax breaks i ever got. Dont' be greedy, and lose less.
House always wins. Government is the house. Banks are the tables. Loans are bets. Market is cards. There is no possible scenario where house loses as long as it takes fee for every transaction you make.
I agree with you his books are inspiring. I could not sleep with all that debt. One of the best days in my life was the day we paid off our last debt and started to go full bore saving and investing for our future. We have saved enough to purchase an income property but that is not for me.
I made it halfway through his book and realized he was of the Steve Martin economic theory: “How to become a Millionaire: First,.. get a million dollars…”
@davidpark2509 crypto is for fools, the tech is completely unnecessary. Noone can actually justify why distributed databases (which cost ridiculous amounts to maintain and validate transactions) are useful, because they aren't. Bitcoin is basically centralized at this point with companies such as Blackrock buying up most of the supply.
@@davidpark2509 He makes his money scamming financially illiterate people who pay for his seminars. Similarly people who made money on crypto made it intentionally or unintentionally off people who are technically or financially illiterate. Crypto is a zero sum (actually negative sum) game. Any money you make comes out of the pocket of someone else. You're gambling that you will will be the thief and not the victim in the grand scheme.
@@davidpark2509 crypto is a zero sum game (technically negative sun). In the longest run you can only make money off bag holders. The "hodl"ing true believers or the folks that don't think it a scam and take a position as if it were a stock. It's not a stock, your betting you will be the scammers and not the scammed.
I watched a few of Kiosaki's videos, and while I could dimly understand some of his points, I found NO ACTIONABLE ADVICE that I would be comfortable following. I take in many varied viewpoints on everything, and then gradually formulate my plans, re-evaluating as needed when new info comes in. I feel bad for anyone who took RK's advice literally, but you gotta take responsibility for all your decisions in the end.
I can relate to you. I watched debt kill my father too. I have been following Dave Ramsey for many years. We have 1 car paid off, about to pay off the other. I’ve also read Kiasaki’s books and he’s been promoting an impending monthly crash for as long as I can remember. He’s also been promoting gold. I think Dave is spot on, I pay my taxes, I pay my credit card in full every month. My wife shares our vision for the future. You have to be able to sleep at night.
gold is simply an ASSET THAT WE HOPE KEEPS up with inflation!,,50 pound sacks of dry brown beans are about as good as a commodity!selling your gold to get something you can use to trade for goods costs 2-5%...! buying it to begin with, is 3%....selling bags of these brown beans is easier!
My uncle was a billionaire with thousands of employees. He got rich from working hard from an early age, lived a modest life in a normal house, was never on social media bragging about how much he had, rode a bike to the office because he didn't have a driver's licence, and he used his money to invest in the community (built parks, fixed streets etc).
"rode a bike to the office because he didn't have a driver's licence" and was to stingy to hire a driver 😂 Dude, billionaires have their own security service for a reason. Otherwise they would be an easy target for guys not shy of spilling a little blood. And any security service worth their salt would prohibit their boss from riding a bike to the office.
anyone can 'expose' anyone if they put their minds to it, and these YT grifters are only doing it for cash, they give zero Fs about you. Try to see through the game!
so glad someone called this guy out on his bs. When I found out he built his teaching business while him and his wife lived for free in a friends basement (for years, mind you), I realized he was a fraud. The majority of people don't have that opportunity
Like anything, the truth lies somewhere in between. Ramsey has his utter foolishness too. His attitude to debt is like someone who almost drowned so says no one should ever touch water. Conservative debt is the backbone of businesses and property.
Ramsey is playing to the lowest common denominator. 99% of people are ignorant, that they are stuck in Quadrant I. In THAT scenario, yes. His advice to get out of PERSONAL debt is good. Will you please, explain to me the function of an LLC, an S-Corp, and a C-Corp?
Rich people aren't a monolith some drive a Toyota and an average house and penny pinch. Some have palaces and live extravagantly. Some love the spotlight and others you will never even know about because they are so secretive. Some are good people who are altruistic and some are despots.
@@impyrobotthe idea he wants to say rather is, he keeps flaunting and publicizing all these shady things that rich people definitely do because of loopholes, but rich people aren't keen on talking about it for a reason. Ask yourselves, what would drive a rich person to be handing out their secret formula for acquiring wealth? Shouldn't they be using their time applying their formula, instead of trying to squeeze pennies out of commoners?
Dangerous to believe in such stereotypes, as they are nearly all white, so what dose that tell us? Try and apply some critical thinking to the bs thoughts you have.
I appreciate Robert Kiyosaki in the sense that he points me to Dave Ramsey. To me, the point of being wealthy is not to own everything, but to not be owned by everything. To each their own, good luck on everyone's journey.
Pretty sure Kiyosaki is describing the 2008 real estate bubble as a plan of action to get rich. Banks got leveraged up on false valuations and then figured out if valuations dropped it simply didn't work, their house of cards not only would crash, but go up in flames along with the bank and the dumping of volatile debt began.
He poped up in the 1980's. His book was a big hit with the emergence of the IRA's for the average worker. He and his wife never showed their 1099 when it came to investing.
I thought Rich Dad Poor Dad was his first book 1997 - & he got well known after that (& then went off the rails trying so hard to make money off his followers).
You are a little vague about your father's predicament. It sounds like he was over leveraged on his personal residence. A home is an expense, not an investment. Job loss, or a balloon mortgage, or sudden decline in asset value could quickly get you in trouble. This is completely different from what Robert Kyosaki is doing. He is using debt as a business, and if he gets in trouble because of a recession he will use bankruptcy as a tool to renegotiate with banks. His personal assets are not at risk.
Only reason rk plan has worked over the years is for the same reason he is getting rich by selling fear. Inflation has shrunk his debt while increasing the value of his assets. The irony is, if the government took his advice and started to deflate our monetary supply, rk would become the poorest American citizen. He should be more positive about the system he spent his life taking advantage off.
@@MichaelRosen-pp1pr RK knows the human material too well to fear them stopping printing money 😂 Ask yourself a very simple question: how the deflation of our monetary supply would affect the government employees on all levels and you will have an answer why they will NEVER stop printing money.
@@SvirepiyBambr-xw8rw exactly… this is how rk got wealthy. He is taking advantage of a system that he complains about. If the government stopped printing, rk would go broke.
@@superking___ Every time someone takes out a loan, new money is created. The Bank of England recently released a report explaining how this process works: “Where does money come from? In the modern economy, most money takes the form of bank deposits. But how those bank deposits are created is often misunderstood. The principal way in which they are created is through commercial banks making loans: whenever a bank makes a loan, it creates a deposit in the borrower’s bank account, thereby creating new money. This description of how money is created differs from the story found in some economics textbooks.” - Bank of England
There are rules about that and bank runs happen, bank go out of businesses. RK never took the risk and he make money off YOU paying for the seminar while also taking the risk yourself.
In my country if you cant pay back banks money , the bank will come for all your assets, and then your name will be blacklisted you will never be able to take any loan in the future. In my country there is no way you can be in $1B debt and you still own assets. The bank will take your house, cars and everything. Buying a house to rent it out maybe works in the US but in my country the rent is way lower that the bond on all cities and the house prices increase less than inflation. Sometimes the property value depreciates. In my country having an investment account will give you more profit than buying a house to rent out.
One thing to note, Kiyosaki's debt of $1.2 billion did NOT happen overnight. He has been doing this for several decades. So it just snowballs and compounds over time.
It doesn't sound like we are getting the full story. Either he lying about being $1.2 B in debt or he has very substantial assets or he somehow convinced the banks he had very substantial assets. Banks don't just lend giant amounts of money without doing a ton of due diligence .
I agreed. Bank is not stupid. Bank always takes collateral on debt and first in position to take control of the asset. Someone has to be very capable in order to get a debt of that size. I only have a few millions in debt. The bank always do their due diligence.
He has apartment complexes around the country that have mortgages and other properties and they cashflow. He's got an economic engine that could go on for generations. At this point they come to him with those deals. For him to go broke it would take a catastrophe like 1929 and I'm sure he's got hedges for that.
Facebook randomly suggested this to me, and it really resonated. When I was a kid in the 90s, his infomercials were everywhere. I was too young to know anything about finances, but I immediately disliked him. Maybe it wasn't so much because of his financial advice, which of course I didn't understand or really even recall it being explained in the informercials, but it was how he came off, and how he trashed his own "poor dad", who just seemed to be doing his best, while idolizing someone else's. Now I live in Armenia where I am distressed to see advertisements for the Armenian language version of his book, here to take advantage of people who are in an even more difficult financial situation than the average American, it's sad how much harm he does globally.
@@LILDroidDEX the economy already crashed in 2009 and he's still driving a Ferrari. The way he got rich is probably extremely dishonest, he probably scammed lot of people out of their money. But I don't think this guy is ever going to feel the consequences of his dishonesty and scams. He's probably going to die rich.
@@dougg4633 yeah, I took a strong position in the video, but I have had a ton of people tell me they got value from the book (just from my experience)… was it because the timing of the book (did you read it decades ago?)
@@davidflanks I read it around 2005. I started a small cleaning business. Bought 20 homes between 2008 - 2020 . Now trying to convert the cash flow into other assets (stocks, bonds, etc) . I do agree he does seem like a dick though
@@davidflanksthe timing play the big part because at that time not all people have internet so a ocean of knowledge of finance even if it's a basic thing are mostly viable via book that people sell whic in turn make the book marker richert because people wanna be richest. The same as right now with people who sell course to other so the could make course to sell to other a cycle of guru that some hopeless people gonna be followed.
Robert is the only person who reveals the simple secret.....buy assets.....not liabilities......get on the correct side of the the cash flow quadrant.....this advice is priceless!!!
I'm always suspicious of "rich" people who have enough time to write books and do TV specials "teaching" ordinary people how to be rich. I mean if you've found some great business niche and you're just raking it in then you should keep doing that with all the time you want to spend working. Why write a book that might not sell and compete with all the other finance books out there? Plus why do you want people to do what you do and compete with you? It makes no sense. You're just killing your own margins by doing that. But on top of that this guy just gives off sleazy vibes. From the first time I ever saw him I thought he was a total shyster.
Robert K knows real estate investing and the stock market. Mostly he just sells books and courses. His style of borrowing to invest is really risky. For every successful RK style investor are ten who try and lose everything they have. I’m for lower risk investing. I bought two rental houses after the 2010 real estate crash, and stuffed money into my 401k for decades. I paid off my home. I hate debt. Now I’m retired with zero debt. I make enough off my rental income, social security, and a small pension to cover all my monthly expenses. I don’t even have to dip into my 401k at all.
I like many of his ideas but what disturbs me is his support of shady MLM companies and his expensive seminars are superficial. He says buy assets rather than liabilities and mind your own business. Nonetheless, I see Warren Buffet as a parasite being more repugnant than kyosaki.
@@MA9ELLANIce Cream Cone Buffet is a Lord of Darkness on the Ethereal Plane of Evil, by comparison Kiyosaki is simply a scruffy wildcat opportunist selling magic beans.
99.999999% of the time, if somebody has a book or a class or a an eight part course or a monthly membership/mentor program, they are not making money because of what they are teaching you: They’re making money because of the classes, etc. they’re selling you. That’s why I could never do any of those things with a clear conscience. If your hear somebody say, “I charge $10,000 an hour for one on one coaching” understand that they’ve never gotten paid $10,000 an hour and if they have celebrity clients, they’re not gonna be running a RU-vid channel with less than 100,000 people on it. Makes me sad because I see a lot of people really hustling, but they clearly all took the same marketing funnel “8 part course.” It’s circular irony.
Yeah I hear you! We actually are working on a course (the irony kills me, I know) but we’ve built a pretty cool data platform that sits behind it. Idk, I’ll never pretend someone needs Flank to become an investor, we’re just going to try to make it a bit easier. would love any thoughts you have on how to not be POS finluencer haha, I’m still so new at this. I just like investing and studying businesses a lot
@@timursalikov5911 In non recourse loans interests are usually much higher. And of course they don't loan you the amount equal to the value of the property, basically you need to put a large down payment.
@@VultureXV the banks don’t want the asset unless they think they can sell it quickly for a profit. They are not in the landlording business. Banks and leverage is what makes real estate profitable.
His assets can be far greater than his debt but not be liquid. Elon Musk and Jeff Bezos are extraordinarily wealthy, but it's not all liquid. If people can't understand the basics of it, then they should just stay grinding away, invest in that 401k plan, and stay on the hamster wheel.
I'm glad I watched this video. In my late 30s / early 40s I read The Millionaire Next Door and The Millionaire Mind. I saw a lot my own financial experience detailed and examples in these books. Later I bought and read Rich Dad, Poor Dad and while some of his experience sounded right to me there were other glaring examples that raised red flags right away. When he said that he wanted to buy a Porsch (if I remember the car correctly) so he bought another rental property and used the income to make the car payments I was completely stunned. Everything I knew about building wealth was diametrically opposed to taking out a large mortgage and absorbing the risk in order to pay for a rapidly depreciating asset like a car. I pretty much disregarded all else Kiyosaki had to say.
Have you actually done anything with the materials from those books to improve your financial condition or just read the book and continued working for a paycheck
So essentially what most rich people do, is they risk other people’s money under and place it under a business entity. If they do well they pay themselves, yet the leverage remains under the business entity. If the business goes under, the investors ultimately pay the price.
Buying real estate by borrowing money you can't afford to pay back is what caused the financial crisis in 2008. It's called subprime lending. What made the crisis worse was that institutions (banks/insurance industry) KNEW this. But banks chose not only to ignore the dangers, but to spread the risk to others (and make profit whilst doing so) by selling on the bad debts after liberally mixing them with some 'Good' loans. The insurance industry then decided to make money selling insurance on 'bad debts' (that they knew the banks were pushing) and then others took out insurance on OTHER PEOPLE'S BAD DEBTS. So when it all exploded, the insurance industry was paying out on bad debt insurance to the debt holder PLUS whoever had decided to 'take a gamble' on those debts defaulting to make a quick buck...which often was DOZENS of different entities...so they often increased their losses tenfold...acquisition of wealth isn't rocket science, but it's also not magic either.
Not really. Many companies and wealthy individuals bought houses and backed their debt with those houses. Sounded like a good idea...until it wasn't. At one point houses stopped selling at the prices they were selling before and rents went down also. The companies and wealthy individuals started doing the math and understood they were better off just defaulting on the loans even with the 7 years of bad credit scores. Banks took those houses and couldn't sell them at a price high enough to recover their money. Now, the loans from to these companies and individuals were top rated loans considered to have minimum risk when they had larger risks than people realised. This is another factor.
Well Ill say this, Kiyosaki did help me with his book. Not to get rich, but to help change my mindset. The idea of going from, " I cant afford that" to "How can I afford that". That helped me stop closing off my mind off and thinking something was impossible to, "how can I make that possibly happen?" I didnt follow everything stated in the book blindly or his every word, but what I felt could make sense for me. I've learned how to problem solve better. He speaks on getting rich and getting out of the system. I liked the getting out of the system part and am working towards that steadily in my own way. At the end of the day, we have to follow our own best judgement and not blame others for our own actions. Fraud or not, anyone pursuing the highest wealth will leave a trail of bodies in their wake. "The path to hell is paved with good intentions."
@@solarstormgames I agree with you because I liked his ideas about the difference between being rich and wealthy. And ironically I often quote that. However it does not stop him from being a charlatan. In fact this is a common charlatan trick where you mix some good with a lot of bad. He has to draw people in somehow.
@@500dollarjapanesetoaster8 Yea, that 18% mortgage rate 40 years ago got a lot of people rich. Really? 30 years ago that mortgage rate was 7.6% and after 2001 it was 2.4%. So if we follow your concept, higher interest rates get people rich. But I did love that 2.4% mortgage rate in 2003. That was great....
@@zaco-km3su Not really. It's a pretty lousy investment. In 2010, the DOW was at 7,000 and now it is at 40,000. In that time, silver has barely kept up with inflation.
