Rich Dad Poor Dad Property Chat advertising

Discussion in 'Property Experts' started by albanga, 8th Apr, 2016.

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  1. albanga

    albanga Well-Known Member

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    Just noticed a banner for Robert Kyiosaki via a banner on this site.

    I attended a Kyiosaki seminar last year I think in Melbourne and it was horrendous!
    Started at 8am and by 4pm he had not hit the stage. In that time I was told how rich I could get buying US real estate, playing the money markets and Domain real estate (Yes buying domain names and parking them until someone who legitimately needs it buys it from you). The list went on!

    I had to be somewhere at 4.30 so had to leave before seeing him. Someone I know stayed and said it was his usual Doom and Gloom again and pretty ordinary.

    Just a heads up for anyone thinking of going.
     
  2. Barny

    Barny Well-Known Member

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    Just started reading his latest book, second chance. So far so good
     
  3. Sackie

    Sackie Well-Known Member

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    RDPD has never resonated with me in terms of his investment advice. With regards to his mindset philosophy, there are much bigger giants than him in this field who I have preferred to learn from.

    I also don't agree with some of his fundamental beliefs either regarding assets/liabilities/cash flow/CG. Way to rigid for my liking.
     
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  4. jins13

    jins13 Well-Known Member

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    My issues with Robert K, there are so many evidences of him being a fraud. How is he any different to any scammer or spunkier out there?
     
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  5. albanga

    albanga Well-Known Member

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    Well I thought the seminar was a perfect example of this fraud TBH. They deliberately had no run sheet and charged people to sit through garbage! Did I mention they actually had someone selling a product to buy domain names which I think is totally unethical to begin with giving examples of people becoming millionaires buying the .z domain 30 years ago.....

    The mentors I respect may have a similar thing but at the very least they won't charge you $100 to attend, it will be free and not filled with garbage.
     
  6. Gockie

    Gockie Life is good ☺️ Premium Member

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    Sounds just like the National Achievers Congress...
     
  7. jins13

    jins13 Well-Known Member

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    Another indicator of avoid at all cost. Surprised that this clown is still around and making money from the masses.
     
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  8. Azazel

    Azazel Well-Known Member

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  9. Eric Wu

    Eric Wu Well-Known Member Business Member

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    Hi Leo, could you elaborate a bit more on the above point pls?
     
  10. Sackie

    Sackie Well-Known Member

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    "an asset is only something that puts money in your pocket. If you have a house that you rent out to tenants, then it’s an asset. If you have a house, paid for or not, that you live in, then it can’t be an asset. Instead of putting money in your pocket, it takes money out of your pocket."

    "Rather than invest for appreciation (CG), my rich dad taught me to invest for cash flow and to treat appreciation like icing on a cake. I encourage you to do the same."

    "The rich buy assets. The middle class buys liabilities they think are assets. Stay away from liabilities in order to join the rich."

    I strongly disagree with him.

    I think he may be slightly more relevant to the US market than Australia. But he addresses all readers across the globe the same.

    Not my cuppa tea at all.
     
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  11. Barny

    Barny Well-Known Member

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    Leo, are you disagreeing with his statement that your house you live in is not an asset?
     
  12. Gockie

    Gockie Life is good ☺️ Premium Member

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    I think Robert Kyosaki's "Rich Dad Poor Dad" was great in that he got a lot of normal people in the public thinking about investing. These people never would have considered investing and he got people going to events about investing.

    That part Leo quoted though... I agree. Cashflow is not everything. But that's more for the next level. Its true, capital growth is more important in the early stages. Well, you need both capital growth and good/adequate cashflow. Its hard to build a portfolio without it.

    And yes, your home is an asset in Australia in that it generally increases in value (if you bought ok) over time without you having to do anything, so Robert Kyosaki's advice doesn't really fit in our market here.

    Sure your home generally doesnt pay an income, (unless you chuck in a granny flat, take in a lodger etc), but you can sell it later, downsize, move elsewhere and pocket lots of $$$....
     
  13. Barny

    Barny Well-Known Member

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    Hey gockie, I'd have to say I've never seen my family home as an asset, and agreed with Robert that it is a liability. And the reason I say this is because the home you choose may not generate the best return over time, even in Australia. I've been looking to purchase in the country recently, and in the past few years it's been 3% return, but my current ppor which I don't won't to live in, has returned near 21% in the last 12 months alone.
     
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  14. kierank

    kierank Well-Known Member

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    I view my PPOR as an asset for two reasons:

    1. It doesn't pay me an income but it saves me paying rent. Our PPOR is debt free so it costs me nothing but rates and maintenance. If I was renting, I would be paying rent for the rest of my life. To me, a negative expense has the same effect as income; that is, I have more in my pocket to invest/spend.

    2. I get as much CG from my PPOR as I do from the rest of my property portfolio. And it is CGT free. Gotta love that!!!

    Income (negative expense) + CGT free capital gain. I call that a great asset. I don't care what you call it. I just like it.
     
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  15. Eric Wu

    Eric Wu Well-Known Member Business Member

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    agreed. thanks
     
  16. Sackie

    Sackie Well-Known Member

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    Yes. It may be a 'poorer' asset depending on what/where you bought but in my view its still an asset.

    But my bigger issue with him is that if something "is not returning a positive cash flow income then it is a liability and generally should not be bought."

    From my perspective, that is a very rigid/narrow/simplistic way to surmise what an asset worth investing in is.
     
  17. Redwing

    Redwing Well-Known Member

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    There are ad's on this site?
     
  18. ellejay

    ellejay Well-Known Member

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    I agree it's probably a bit simplistic, but I found it really helpful starting out in investment. It made me think before spending, which is good. As I've made more money and got older I've got more comfortable buying what he defined as non asset stuff but at least he made me think before buying what it meant for me financially. It depends on your background and starting point.
     
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  19. Gockie

    Gockie Life is good ☺️ Premium Member

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    Totally agree.
     
  20. Cactus

    Cactus Well-Known Member

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    I like "pay yourself first" so simplistic except when your living pay check to pay check.

    The house is not an asset thing though resonated with me and helped me make the choice to sell my home and build a rental portfolio. Whilst where I want to live has good CG it has 3% yields so it's a lot cheaper to rent and invest. When I can afford to do development in my desired suburb I will then make my PPoR.
     
    ellejay likes this.

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