# What 'Rich Dad' is Saying About the Property Market!!



## Jazz (4 Jul 2005)

I'm sure most AAM members want to know about "both sides of the coin" when it comes to the property market, and as there are several followers here of the 'Rich Dad' website, I thought I'd post a link to an article on their website which details how they currently feel about the American property market.

[broken link removed]



> [size=+1]*ALL BOOMS BUST!*[/size]
> *Words of Caution from Robert Kiyosaki*
> Lately, I have been asked if we are in a real estate bubble. My answer is, “Duh!” In my opinion, this is the biggest real estate bubble I have ever lived through. Next, I am asked, “Will the bubble burst?” Again, my answer is, “Duh!”


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## daltonr (4 Jul 2005)

I treat everything he says as a lie unless I have evidence to the contrary.
E.g.



> Eight months ago, Kim put on the market a small apartment house valued at $1 million, for $1.4 million. People complained and no one bought it. So four weeks ago, she raised the price to $2.0 million and it sold in one day for full price.


 
-Rd


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## DrMoriarty (4 Jul 2005)

But you have to admit that *Robert Kiyosaki* fellow sounds like a brilliant conversationalist...


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## Brendan Burgess (4 Jul 2005)

Good one Dr M. Exactly my thoughts! 

I love these stories of people doubling the price of an overpriced item and finding a queue of buyers. Why does it never happen to me when I am selling something? 

Should be call him "Rich Duh!"? 

Brendan


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## joe sod (7 Jul 2005)

Also see what he is saying about gold and silver. He is bullish on gold


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## Purple (7 Jul 2005)

I would think that being bullish on gold at the moment is a bit of a no brainer.


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## joe sod (7 Jul 2005)

"I would think that being bullish on gold at the moment is a bit of a no brainer."

Many leading commentators and investors are now staying away from all investments in the current inflated environment. For example Warren Buffet is not investing but remaining in cash. It seems that all assets are currently inflated not just real estate because of the huge credit expansion over the last few years. Assets held in cash are now at historically low levels. So the key to the next few years is to remain liquid and reduce debt and wait.


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## Purple (7 Jul 2005)

I agree in the medium term joe but Gold in the short term looks good.
Personally I have no money to invest at the moment so I don't really care what gold does...


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## CGorman (8 Jul 2005)

daltonr said:
			
		

> I treat everything he says as a lie unless I have evidence to the contrary.



I would'nt say he tells outright lies, but I would agree that he points out the obvious and then repeats it over and over. I tryed really hard to read one of his books (I can't remember which one anymore, but it was one of his first) and I just could'nt get past the halfway mark, I was so sick of him repeating his ideas - he's the sort of guy who takes 200 pages to explain something that could be explained in 25. Its very unusual for me not to finish a book, the only other book that i've started but have yet to finish is "Ulysses" - im on page 630 or so - which I intend going back to once I finish Ray Burke's "Press Delete"). 

As for Buffett he might be sticking to cash, but its euro not dollars he's keeping his money in and certainly in the short term his (very few) critics are having a field day. However he piled into euro quiet a while ago and I believe he's still got his head well above water on that investment. Anyone with a bit of time on there hands sould read the 1100 page "The Warren Buffett way", its a fantastic read that describes almost every single investment he made from his beginning to now.


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## daltonr (8 Jul 2005)

>I would'nt say he tells outright lies

I would.   
He tells outright lies.  

http://www.johntreed.com/Kiyosaki.html
[broken link removed]


Don't get me wrong.   I actually liked (sort of) the original Rich Dad Poor Dad book.
I agree with your point about him repeating himself,  Rich Dad Poor Dad could have contained just as much useful Info if it had been a pamphlet.

The only thing that was important was "Before you buy luxuries, buy assets, and let the assets buy you the luxuries".   

His "Rich Dad" doesn't exist.   Financial advice like "Buy your Porsche as a business expense" is more likely to get you arrested than rich.    And I'd be astonished if any of his tales of business deals are more than wishful thinking.

-Rd


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## CGorman (8 Jul 2005)

Great links, the  '' I loved the what he said.... takes a different line'' sort of section was very humorous.


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## Guest127 (9 Jul 2005)

I like the bit where warren buffet is going to hold cash a few years to see what happens. without saying that he thinks there might be pockets in shrowds, when exactly does he expect to start spending some of his cash? as far as I can remember his is not exactly  in his first flush!


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## daltonr (10 Jul 2005)

> when exactly does he expect to start spending some of his cash? as far as I can remember his is not exactly in his first flush!



He's running a business that will presumably still be around after he moves on to the big pot of gold in the sky.   So he might not be expecting to be the one who starts spending it again.

-Rd


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## Square Mile (15 Jul 2005)

I liked the bit in Rich Dad where Rich Dad made the two kids work for nothing to liberate their minds from day to day survival needs.  Robert K then went on to tell of the story of Rich Dad trying to do the same to some established high flying executive who attended an interview, 'work for me for nothing, and I will show you how to become a millionnaire".  Complete bull.   

Best bit was when he spent his vacation in the mountains with his wife and best friend.  They spent the whole time talking about investments.  Never heard him talk about children or even having a pet dog.  Seemed like a fairly sad act.

I think however that his main point is good in that to become wealthy or even comfortably survive in old age , one must change one's mind set i.e. build assets and do not work for anyone apart from yourself.


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## cathybun (19 Jul 2005)

I have to defend Robert K, because anything that encourages you to create and develop ideas for yourself and not spoon-feed you with specifics gets my attention.  Who cares how much he's worth?  Even if he was really broke and didn't even own his own house, at least he makes people think about doing things for themselves instead of going into mindless jobs each day making their bosses rich.

CGorman, you had me with my almost maxed-out credit card out, "standing" at the check out in Amazon, ready to buy the Buffett Way.  Then I read some reviews on Amazon.com (not .co.uk) and changed my mind, then was "standing" there about to buy "Buffett: The Making of an American Capitalist" and some other book on investing and I thought "What am I doing?  I can't afford it and even if I could, I'm kinda contradicting myself buy a book on investing and then spending $13 on delivery".  Well, I soon "walked out" of the store and now I'm looking forward to the bookshop in town tomorrow.
Anyway, as for good books, Branson's auto-biography is the best I've ever read.  So funny and very inspirational.  However, the final bit is about 10 years old, with very final piece on September 11th, so there isn't any up-to-date stuff in it, but I still couldn't find a flaw with it.  Brilliant.


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