Who’s Getting Rich Off Rich Dad?
By jp | Category: Featured, Real Estate Investing News
So have you ever been to one of those hotel real estate investing seminars over an evening or weekend?
No, not your local REIA or Meetup group. I mean the ones we see advertised all the time in newspapers, late night TV or now even Facebook actually:
“Free Home Buyer Seminar!”
“Real Estate Secrets Revealed!”…
BEHIND CLOSED DOORS: “Real Estate Secrets Revealed!” (…Really???)
So Vena Jones-Cox recently pointed me to this video from CBC (Canada) – a hidden camera expose’ on Robert Kiyosaki’s traveling Rich Dad seminars. And while I’ve had longstanding respect for the book Rich Dad, Poor Dad – mostly due to its key place in my early REI career – this scathing video actually pulls the curtain back on a number of alarming shenanigans apparently going on behind closed doors. Things like…
- RK’s seminars are not actually his own – they’re run by Russ Whitney’s organization, which just licenses and leverages RK’s name brand…
- During the interview RK ends up seeming rather embarrassed himself at what he hears is going on…but also doesn’t seem willing to take responsibility for what’s being done under his name…
- People are consistently being seduced into raising their credit card limits right there at the seminar, then systematically enticed to “invest” their new credit on even more training…to the tune of multi-multi-thousands of dollars…training that sadly has a reputation for being questionable at best…
- We see people belittled and humiliated if they raise objections…and even thrown out by security…
I actually watched the whole shebang this afternoon, mouth wide open. And frankly I found myself feeling simultaneously disgusted and kind of sorry for RK. Weird mix, I know.
Whether or not you have the 22 minutes available to watch the video, I’m betting you still have an opinion on this – maybe even some experience of your own you can share.
And I’d really love to hear how you feel about this one…
Why Rich Dad Still Has a Warm Place in My Heart…
The fact is I first got started in real estate investing because of the book, Rich Dad, Poor Dad. I feel I owe much of who I am today to the invaluable lessons I learned from reading that book – and I still recommend it to people.
But I now recommend it with one caveat: Watch out for the seminars.
While starting and running our local REIA group for 6 years, I came across more than a few bruised and battered newbie investors, fresh off having wasted tens of thousands of dollars on training that was basically crap. There’s just no other way to say it.
And I quickly learned that, while RK’s first book (and maybe his second…maybe even his third) were great eye-openers and thought stimulators, the seminars that follow are apparently little more than machines designed to suck as much money out of attendees as possible…for as long as they can dupe them into it.
Now I don’t say this lightly. This comes from literally years of hearing this from investors who’ve been through their program to some level. I know a couple folks who “invested” upwards of $30,000 with them on “training”, only to come to one of our Saturday Workshops and proclaim through teary eyes they just learned more from us than their entire $30,000 bought them from Rich Dad and/or Whitney.
How to NOT Get Taken in by Real Estate Seminars
Now let me be clear: I’m not saying all real estate seminars are bad. Far from it. Nor am I suggesting everything that’s “Free” is a scam. After all, I give tons of free stuff away here…and last time I checked I wasn’t scamming anyone with it. 
But some of these things are just plain bad… downright sleazy in fact…and telling the difference honestly can be really hard sometimes for hungry folks new to the REI biz.
Some quick tips to help you discern…
- Search the interwebs for the seminar instructor and/or company hosting the event beforehand. Now of course you can’t believe everything you see on the net – good or bad – about a company or guru. You gotta keep in mind that some folks are just hateful and/or chronic grumblers and will concoct complaints about even some of the best out there just because they can. But it’s a place to start, and if you find more than a couple of red flags out there, then be very cautious.
- Be wary of “free” seminars. Often they serve as forums to sell you more stuff. Which isn’t necessarily a bad thing, mind you. Remember, we’re all in the business of selling, and there’s nothing immoral with offering some base level training, then higher levels of training and coaching for some people to elect. But if they overpromise and under-deliver at the event you attend…then want you to pay even more for the “real secrets” you thought you were promised already…that’s a big warning sign, Kemosabe.
- If you’re ever invited to go raise your credit card limits – RUN! There’s a big, BIG pitch headed your way and they want you primed and ready to go when the time comes.
- Always ask other respected investors for their opinion first… before you go and spend a Fajillion Dollars on any “soup to nuts training”. Just get another respected real estate entrepreneur’s advice – preferably someone with a clear head and a little more experience under his/her belt already. And don’t look for ways to justify an emotional decision you’ve really already made anyway.
- ____________________________ (Insert your own tip – in comments below )
So how do you feel about all this Ever been to one of these things? Ever known (or been) someone sorely duped by them? Thoughts on the “expose’” video – was it balanced/fair? Looking forward to hearing what you think…
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45 Comment(s)
By juliebroad (2 comments) | Reply
Oh how I wish I didn't have my own story to tell about the $20,000 we spent on these courses … which are now Rich Dad Poor Dad but at the time were RWI. But alas, we were young, keen and pretty new and these folks are master marketers. I wrote about our experience in January if you want to check it out:
http://revnyou.wordpress.com/2010/01/13/a-broad...
I love love love the book. I owe a lot of what I have done in my life to the book Rich Dad Poor Dad. And even knowing that the book is based on fiction (there is no real rich dad – most of those teachings are based on what Robert learned from his partner at the time Keith Cunningham) I will always be grateful to Kiyosaki and his book. But the courses are totally set up to sell you more courses not to actually get you going as a real estate investor.
Having taken a lot of the courses AND still occasionally attending the odd free seminar by these folks just to see what they are doing these days I can say that video is fairly representative of what I have witnessed. It's just that taken out of context of the rest of the course you wonder how anybody can “fall” for it. But when you're keen and they know how to sell to the keen well … these little snippets aren't really what sell you on the bigger programs!!
Good article JP!!
By David (9 comments) | Reply
I really enjoyed his first book. Its a shame that his name is being used in such a way. I hope he is not really involved in the scam. I am very cautious about all RE seminars and courses anymore and try to check them out throughly before I buy anything. I've often thought about doing real research in this area and writing a book on it myself!
By Jay (4 comments) | Reply
The only thing good I have to say about Rich Dad Seminars is that they got me into real estate. Otherwise I consider the $15,000 wasted money. There's real education for 10% of of that!
By Tim Callahan (1 comments) | Reply
Hey JP!
I read RDPD way back in the day, around 1999 when his books were first coming out. Those books changed my thinking forever, the whole concept of assets vs. liabilities. I really learned a lot from him and he deserves that credit. Then around 2005, I went to a seminar in Boston with RK and Donald Trump, as well as many other well known gurus. I expected the sales pitches because I knew how the seminar industry worked. But I wanted to see him speak live. I was very disappointed. He got on stage and just started railing against the middle class, calling us losers, wusses, and saying the rich will rule the world, and the middle class is just a bunch of losers. If you use US currency, you're a loser, you should trade in gold and silver. He was visibly angry during his talk, and got VERY mad when one attendee tried to ask him a question during his talk. I walked away from that event with the impression that he was a very wealthy, but very bitter man. I actually enjoyed The Donald's talk better because he was upbeat, funny, very friendly, and stayed to answer lots and lots of questions.
I have not attended any RD events, and I don't plan to. I learned over 10 years ago from Robert Allen in his book “Multiple Streams of Income” that the seminar industry is like a funnel. The wide part at the top is where most people are drawn in, a free report, free book, free seminar. Then the upsell begins, maybe a next level training, or course. Then a “Gold circle” type event in some remote location. Then the bottom part of the funnel is a “platinum” ongoing coaching program for those who still want to spend more money.
JP, the good thing is, we both know other gurus who are way more ethical and have more integrity than this. Yes they do sell products and seminars, but there is no deception, no intimidation, and their products are superior and less expensive!
By shaemacy (1 comments) | Reply
haha, so the further I can bend over to reach my toes the more investment savay I become? I don't want to put other workshops in the same arena but, foreclosuresdotcom is another one to be wary of. Thanks JP
By kimfal (1 comments) | Reply
Ok, hmmmm quite some contradictions! But greed is the easiest thing to take control! Hmmm…..like I always say, it's not what someone says but what they do! And that goes for everything in life!
By Jack (4 comments) | Reply
I don't remember how but I had heard about stuff like this before and it really doesn't surprise me. Usually seminars that are less than 100$ to free come with a sales pitch of some kind. Some instructors pitch a lot, but some don't. As long as you are prepared for the sales pitch before you go there, you can usually at least get one new important piece of information, and that makes it all worth it.
But either way I would rather trust a seminar to provide real information(free or not) from my local REIA who hires a guest speaker(usually they do some sort of check beforehand) compared to those touring seminars who go state to state.
I'm pretty sure a real estate personal coach would be less expensive and more productive than those crappy 12-45k seminars anyway.
By Patrick Riddle (14 comments) | Reply
That's too bad. I love his book Rich Dad Poor Dad and Cash Flow (the board game) … they made a huge impact on me when I was first getting started in real estate investing.
It would have been refreshing had Robert taken responsibility for anyone operating under his name. Once someone starts casting blame, my respect starts to dwindle.
He needs to realize and acknowledge that regardless of what his “partner” did, his name and reputation is on the line … no matter how big his company grows.
Thanks for the sharing this jp … as usual, you're on it!
~ Patrick Riddle
By Bill Seckbach (1 comments) | Reply
I think we all are constantly learning in this life. (includes Rich Dad) I lost my job 9 months ago but having read the Rich Dad book 8 years ago I made some good investments and will be ok. The Bible tells us that THE LOVE of money is THE ROOT of all evil and as we know Richard has lots of money. He may have surrounded himself with the wrong kind of people that now use his good name for bad. (thats sad) I think we should all learn from Richard NOW as we have in the PAST. We must never forget that with money…evil is always nearby. Thanks for sharing JP, and thanks for not charging me 500 bucks to share!
Bill Seckbach
By Tina (1 comments) | Reply
Wow, deja vu! It wasn't long ago (in 07) that I found myself in one of those “upsells” with associated Russ Whitney. What can I say…if I had to do it all over again I would skip the seminars and go directly to the classes. We all have to remember that there is no such thing as “get rich quick.” And like all things we choose as a career, we need to learn and study all we can to achieve the best outcomes. One thing I would do different (besides not spend so much on the classes) is to look up and research who will be the instructor. As in life, a good instructor makes all the difference!
By Rick Bassett (1 comments) | Reply
Robert Kiyosaki: Greed took him from “Hero To Zero.” ” Now known as Robert Kindasucki. I guess he skipped his Poor Dads speech on integrity & honesty!
By Jay Banks (1 comments) | Reply
I don't know, but slogans like “Free Home Buyer Seminar!” and “Real Estate Secrets Revealed!” have always sounded suspicious to me. You read tons of these when deleting spam from your inbox, you see bothering ads like this on the Internet… I think it's always better to trust well-known real estate schools with good references – they're more expensive, but it's worth it. Thanks for posting this, anyway.
By Robert J (1 comments) | Reply
They must do things differently in Canada. The trainer appears to be a very hard sell kind of a guy. The people who attended and paid money for the training were sheep waiting to be fleeced. Was there any lawyer or professional that could have challenged the guy? I personally would have walked out and called my credit card company to reverse the charges for the class. No one has the right make you leave (peaceably) wiithout refunding your payment.
When the trainer made that pitch about the mobile home project and the TV reporter checked it out and found the empty lot, shouldn't she have brought this up at the next day's training? Knowing that the trainer was blatantly lying and keeping it a secret from the rest of the group made her less credible to me.
I've attended numerous training and some are paid and others were free. People who attend free training should expect to be “sold” some additional training. If I paid for a training, then I expect that there is some information, process, or system that I can learn about and implement to achieve the same result as the trainer. I can also expect to be sold more training but it is up to me to make a decision whether I want to invest more with the organization.
People who pay for training MUST still implement the system in order to realize the fruit of their investment. Many people, including myself, never to anything more than learn. Nothing works until you do.
By jp moses (111 comments) | Reply
Yes indeed we do, my friend.
And thanks for adding your valued insight on this.
By Shae Bynes (2 comments) | Reply
Patrick, you've summed up my precise thoughts….all I can say is DITTO! RDPD and Carlton Sheets “No Money Down” are the two things that really changed my thinking about wealth building and got my husband & I on the right track with real estate investing. Nevertheless, RK needs to take responsibility…period.
jp, thanks for sharing this video.
By Steward (1 comments) | Reply
I attended the free Rich Dad Seminar and went to the weekend one for $500.00 and yes at the end of the weekend they do offer you other cources that are expensive. I attended two on my own dime at a cost of $8000.00 and another I share with a friend. The cources are good but expensive. The one thing I did found was they kept saying the cources could be claim on your taxes but I ran into a problem with this and took one good accountant to push it through. The infornation at the courses are good just need to followe a plan like any bsiness.
By Camille (1 comments) | Reply
I am like Juilebroad – sure wish I did not have my story to tell of the $32k we spent on Russ Whitney training! There was lots of pressure to buy and then once we were in a lot of pressure to buy into Cape Coral Florida and other properties. Thank goodness we did not buy in Cape Coral. We made a lot of mistakes and got burned badly a few times on bad advice. But we have survived and will hopefully recover our investment in his program. At least we are in real estate.
By ericblow (1 comments) | Reply
It is really hard to believe that Robert Kiyosaki could be so careless. I have always been skeptical about these sorts of courses and systems but I didn't expect it to come from one of his courses.
Rich Dad Poor Dad was a great book. As Julie mentions, even though the story was fiction, it taught valuable lessons.
Great Article!
By Steve (15 comments) | Reply
All I can say is when it comes to Russ Whitney I go the other way… The guys outfit is a joke!
Along with all the rest of them out there that promise the moon and stars for tens of thousands of dollars… They know the odds that only 3% will ever be successful with there stuff, and thats where they get there testamonials…
Lets be honest here, most of these gurus are great marketers, of themselves… What they have to sell half the time is really not all that great, and when your a desperate newbie trying learn this game, they know how to get you…
I have yet to find a course thats looks like the person actually put alot into it like they try to sell you on…
Actually, I'm tempted to reveal some names, but I won't… There is some good stuff out there, but its never a business in a box where you can become a millionaire over night.. All I can say is beware…
By Disgusted. (1 comments) | Reply
I applaud the author for this story. It is very well done and the questions she asked are very fair.
Whitney’s reputation is what Kiyosaki wanted in a partner, thinking that the two of them were too slick to get caught.
He is still stuffing his pockets because he can’t get out of a contract he doesn’t want out of.
How many victims are there?
How much personal harm has he caused?
How many legitimate opportunities has he stolen from folks forced to quit because of his seminars?
The honest mentors in our industry should form a coalition to get Attorneys General to focus on both the Kiyosaki and Whitney many businesses.
By Greg Stoner (1 comments) | Reply
I'm glad I never went to one of his seminars. I'd heard that they were nothing but pitches for more expensive packages. Thank the Lord that the few people I have decided to follow are ethical and moral individuals.
I loved the books and the game, but that is all he has to offer. If you read John Reed's scathing reviews, you will think twice about attending many guru's events.
By jc (2 comments) | Reply
It is too bad. I love the RDPD books. I do not blame RK for licensing his name, but he needs to take some responsibility! After all, that's HIS name on their product. But it is the same thing with the Robert Allen seminars circling the country. Robert Allen has licensed his name! They have a free introduction seminar, big upsell at each of the subsequent seminars, selling you into bigger and more expensive packages each time, coaching, bootcamps, helping you get new credit cards and upping the limits on the others, so you can charge more education, etc., until you have spent $5000, $15,000, even $50,000. And if you don't take all of the bootcamps you have purchased within a year, you lose your money, left out in the cold. Ask me how I know. Buyer Beware!
By Dale (1 comments) | Reply
I do think that Robert knows whats going on.It's clear to see that.If there using his name why wouldn't he know what's going on at these events and the trainings that take place. I have been to a couple of seminars myself and did realize that they always told you certain info. but not everything.They always want you to spend more,they should be banned.LoL but I dont think the way they treated people at that seminar was right. I'm glad I wasn't there and spent my money because there would have been problems.Instructors were very rude and unprofessional,and told many lies. THUMBS DOWN FOR RICH DAD!!!!
By Dave (10 comments) | Reply
OK, watched the video and boy did it bring back some memories. Went to this work shop in May 07 in Pittsburgh, PA with a friend. Thinking it was Robert and Rich/Dad, I paid for the 3 day work shop and found a friend to go along and split the cost. Did get some good basic knowledge the first couple days, but the whole thing was an up sale to more expensive workshops. I'll admit, I was drinking the kool-aid and bought into the game. However, I then did some research and found the connection between RK and Russ W and got sick to my stomach. I canceled by fax, telegram, and overnight letter to be certain there were no slip-ups prior to the 72 hour cancel period. I even called my credit card company to try to stop payment before they got anything more from me. I was really disappointed in RK and lost much respect for him after that. I would advise anyone thinking about going to this, don't. Come to my workshop instead. lol
By tim okla (1 comments) | Reply
russ whitney at it again he is like the dave deldotto of the 90s all fluff no substance
when i first got into realestate i went to one of his free seminars what a joke
the same high pressure sales pitch I didnt buy into it!
By taragem72 (1 comments) | Reply
I agree with your tips except for raising your credit card limits (lowering your interest rate and raising the credit limit). We were asked to do that at a Trump seminar, but there were no high-pressure sales at the end. The instructor made it clear the CC stuff was part of expanding our monetary thinking and having more credit available to do RE deals.
By Glenn (13 comments) | Reply
Thank you JP!!!
As one who has likewise attended a Rich Dad training weekend myself, and having in the past attended a weekend of Russ Whitney's Real Estate traning, it was immediately clear to me upon the start of the seminar who was actually behind it. The sad thing about this is that after my first exposure to Whitney's organization and its methods I wouldn't trust them as far as I would be able to throw the Rock of Gibraltar. I believe that their organization should be legally mandated to post their student 'success ratio' in large bold print across the foreheads of all of their instructors. The fact that some [or even all] of their instructors may possess knowledge of real estate is irrelevant. The degree to which their students are subsequently able to effectively apply such knowledge to their benefit – as the direct result of their [exorbitantly-priced] training – is the only measure worthy of consideration.
I would also like to make what for me is a clear distinction. I believe in the teachings and 'philosophy' of the author of Rich Dad Poor Dad, Robert Kiyosaki himself. It is effortless for me to retain my 'belief' in the man also. I have read most of his books. I pose that for anyone who has done so and understands his teachings, it is actually quite obvious that the Rich Dad “Learn To Be Rich” seminars have little if anything to do with Robert's teachings. Translation: The seminars teach little if any substantive instruction pertaining to the teachings and philosophy of Robert or of his Rich Dad. What the seminars are in fact is a recasting of the Whitney organization, its methods and pricing – with the trademark colors of the Rich Dad brand cleverly draped over itself by way of a licensing agreement. I neither intend or perceive this to be a slanderous statement. I truly believe this to be self-evident.
If anyone is inclined to think my comment to be emotionally charged in any manner, that I wish to vent hidden feelings of contempt for the Whitney organization, all I can offer is that while in attendance at the Rich Dad seminar, fully aware of what I say herein, I purchased Robert's Cash Flow board game for $200.00. I valued the product with no regard to the endpoint of its distribution. I can also say that only those who understand the value of the game would choose to do this. I WILL share that I did NOT obtain that knowledge from the seminar. I walked in the doors with it.
Fellow readers of Robert's works are familiar with the intrinsic value of licensing. For Robert and his organization to practice licensing of names and products should come of no surprise. The quagmire is the fact that, as is evident to me, the Rich Dad name has been tainted through association with his 'partner,' whose actions he certainly knows to be the antithesis of his intentions for the Rich Dad brand. Whatever form this partnership takes, that which joins them together is certain to be a very binding contract – one that may not have been well-enough conceived and written so as to protect Robert's interest in the brand. I can suggest to be virtually certain that the Rich Dad brand, known worldwide, is far more valuable to the organization that whatever stream of income is associated with the Whitney partnership.
The video reveals Robert Kiyosaki in a poor light, of course. The problem, of which it appears that he is intimately aware, is that it is extremely difficult for him to separate himself, his behaviors, his teachings, etc. from certain of those to whom he has granted permission to fly under his banner, the Rich Dad brand name. My take pertaining to his response on the video is that he clearly recognizes this partnership to be a mistake, has already taken light to medium measures in an attempt to resolve it, yet finds no 'room' in the terms of his contract by which to provide him the means to do so. Given the extreme importance of protecting a brand, I am inclined to assume that the Whitney organization is not deemed to be in breach of the contract that exists between them.
I guess that we will have to wait for the time of the agreement's renewal to see what Robert and his company choose to do. As for me, I sincerely believe that he will act in a manner that is consistent with restoring the integrity of the Rich Dad brand. There is simply too much opportunity for unsuspecting followers to act in a manner that I am inclined to believe most often results in financial hardship to those who walk down this sales funnel . . . under arguably false pretenses. That isn't Rich Dad or Robert Kiyosaki that awaits you at the end. It's a sales process that is designed to yield maximum effect – dressed to appear to you as if it were.
I do believe that Mr. Kiyosaki recognizes this, and no, I do not believe that he is at all comfortable with the fact.
Hey Robert, should you come to read this yourself, I would strongly advise revising your contracts so as to have far more flexibility when it comes to maintaining the integrity of your brand. For what it's worth, I still believe in you, Kim and your company mission. However, I propose there to be sufficient evidence to suggest the need for more viable controls to ensure that those who fly under your brand are actually aligned with the mission to which your brand is presumed to be associated. To take it one step further, I sense the love you had for your Rich Dad. I do not believe that you would willingly besmirch his name – or the perpetuity of references to him that you have ensured in his honor.
By Been there (1 comments) | Reply
If you really believe that Robert Kiyosaki didn't know what was going on in the seminars and that he couldn't do anything about the way his name/brand was being used, do you really think he's savvy enough to be giving advice? And if he knew and let it happen anyway, do you want to take his advice?
By vetbuyshomes (2 comments) | Reply
I echo the thoughts on what most everyone said here so far. The book Rich Dad Poor Dad was an eye opener for me when I first got into investing and I'm sorry to hear that RK's name is mixed up with this. He most certainly needs to take responsibility.
By jp moses (111 comments) | Reply
Thanks so much for your comments, Greg. I just wanted to add my $0.02 about John Reed since you brought him up. Reed has a longstanding history of casting every real estate expert except himself in a negative light. He does this with rare exception.
Reed has enjoyed the good fortune of having his website rank very well in the search engines due mostly to it's seasoned age (I first ran across his site back in 1999 I think)…So he tends to get visited at some point by about every new investor out there with an internet connection. And they all leave at first wondering if he's a lone voice of reason.
But for what it's worth, I would NOT use Reed's perspectives as a litmus test for who's respectable and who isn't in the industry. He may be spot on with Whitney/R.K., but he's also got a good number of GOOD folks on his naughty list — people I know personally who have SOLID, WELL DONE training that I believe in and recommend.
Bottom line: Many people at first believe Reed might be a lone voice of reason, crying out in the wilderness, to save a few lost souls from the big, bad real estate guys…but in the end it's all self serving and extremely unreliable. On the up side, I've only ever heard good things about Reed's books he sells on his site. If you can get past the ego, he's probably got some good stuff in there.
Again, just my two cents. Thanks again for commenting!
…jp
By jp moses (111 comments) | Reply
Thanks for commenting, and for sharing your own experiences, Julie! As always, you my colleague in “keeping it real!”
By Cashflowboy (1 comments) | Reply
I don't believe Kiosake is at fault here. I have read his books and find his advice sound. I have done well following most of his teachings. The problem lies with the fact that his company has grown very large and any large company must be pruned and maintained regularly.
He sounds genuine in the post-interview. Once a problem is discovered it is not always that easy to fix. He says he is having problems with his partner. Partnerships can be very sticky to deal with from a legal standpoint.
The other side of that is that these type of TV programs exist to sell their 'product' which is dramatic sensational 'exposes'. They find one glitch and blow it way out of proportion to 'sell' their product.
I take this all with grain of salt.
I would still recommend the Rich Dad books.
By gregstoner (3 comments) | Reply
JP I agree with your take on John Reed. John has some great stuff and I own most of his books. But he thinks that virtually everyone else is a crook, and I don't agree. John is a brilliant man, if you don't believe me, just ask him.
But he isn't the only game in town. You have to be able read past his opinions and get to the meat, of which there is lots. John has a lot of great information and I endorse his books. And I certainly find his Guru ratings entertaining. But when all is said and done, I form my own opinion based on my own experiences.
By vegaslady (1 comments) | Reply
Don't ever go into anything expecting to get rich quick. Everything takes work. And realize all of us are interested in making money: this is their business. Lastly, no one ccan make you do something you don't want to do unless you allow them to without taking responsibility to check them out. I spent money on another proven RE training and the success I've had is a direct reflection on my decision to apply (or not) the information I have been given for my money. EYES WIDE OPEN!
By gregstoner (3 comments) | Reply
Amen to that Vegaslady. There is no “done for you” system out there. They all take work. And anybody that expects that, and complains when they don't get that is probably not cut out for real estate investing, or any other entrepeneurial venture. A good course will give you the foundation from which to begin. But you and only you have to fill in the gaps, and put in the time and effort to make it work. If it was easy, everybody would be doing it and would be successful. Many try, many quickly give up. My motto is just to be willing to fail enough times until you get it right.
By Ross Treakle (3 comments) | Reply
What is sad is that the RWI is still in business and still practicing these techniques. I spoke with a “guru” a few years ago who had been a speaker for the RWI until the first time they used the “raise your credit limit” pitch. He said that after seeing what was done, he walked away and never returned to their platform.
It is a shame that RK is associated with the RWI. I think that he may be changing his seminar company after realizing how they do business. Many investors have RK to thank for their success. It was the very first investment book I was given years ago and it is one of those that I re-read about every 6-9 months.
By Adil (1 comments) | Reply
I've been to Kiyosaki, Robert Allen (Jeff Schnitter and his team of two Nick's, Nicole) and Donald Trump (taught by Mr. Gosh) free seminars in 2009, plus paid for the Kiyoasaki's $495 seminar. I agree with many comments and witnessed it firsthand. Trump's is less pressuring and is more ethical, whilst Kiyosaki's is the worst (taught by Allen Swayles). Robert Allen's is in between. But Robert Allen's gives out a lot of great and useful information for investors.
By Daniel Ray (1 comments) | Reply
YES, YES, YES, I know all about these seminars. This is how I got started in my REI investment career as well, but I didn't pay the money that RK was asking. I paid 500 bucks for a weekend of sales pitches and little to no education that was offered by RK. I have a friend who actually paid 10K for the classes and still has not done ONE DEAL. Instead i've taken him under my wing to show him how Steve Cook with Flipping Homes has taught me how to wholesale for less than 500 bucks. Now you can't beat that price with a BAT. I encourge everyone to do there HOMEWORK before signing up for training that is being offered at seminars.
By Rachel (3 comments) | Reply
The book Rich Dad Poor Dad changed my way of thought that opened so many doors for me that I have and always will highly recommend it. Let's be fair here, every real estate investment group meeting that I've ever attended has always been about selling the newest & most popular way of investing in real estate using the very same techniques. First come to the free seminar, get sold on the several hour Saturday for $40-50, then at the Saturday event sell the $5-15k packages (that of course are worth $10-30k but since we're there that day we get the big discount). I don't agree with these common sales tactics, but I wasn't surprised when I went to the first free event. It didn't have the same feel of what I felt the book Rich Dad Poor Dad stood for, so my choice was not to buy into it. I guess by this time though I was lucky that I had become somewhat numb to this type of selling tactics, so I chose to 'just say no'. Regarding when confronted, I would have expected more accountability coming from RK. Only knowing him through his writing, I do hope he follows through with his promises and takes accountability and control over this company or finds a way to cut the ties with them.
By jual barang antik (1 comments) | Reply
this kind of seminar right now still booming in my country , a lot of people interesting at it , while i dont, coz it seems too good to be true
By Hayley Keen (1 comments) | Reply
This is disappointing! I love Rich Dad, Poor Dad and Robert Kiyosaki.
Just on the first tip you offer about checking out the company or instructors. I'd say to look at how many years experience the instructors or speakers have in their field (ten or more is good) and whether the company hosting the event takes any “money” from them to present at the seminar.
I recently traveled From Australia to the United States to attend an event and there I met a previous Rich Dad Company trainer. Nice guy with a great entrepreneurial mind. He was definitely positive about the experience. It would have been good to read your post before I met him JP and ask a few questions…
By Tiemen (1 comments) | Reply
Russ Whitney had to license someone else's name because his got so tainted.
No seriously, I'm a big RK fan. I met Robert 6 months after reading RDPD (he was a local, who knew) and I credit him for putting me on the right path. Two of his past apprentices are good friends of mine and they can't totally understand why Robert signed the deal. The only answer any of his folks can produce is that he needed the leverage to spread his brand. I think he could have done better on his own, and maybe he will go that route one day.
By dwill3423 (1 comments) | Reply
I loved the books by Robert and his advisers. So I went to one of those free events and saw exactly what you are saying here. They encourage you to raise your credit limits to purchase the next level. I almost fell for it and then realized what was going on. After a little research the whole thing smelled fishy.
I am disappointed in the RK organization.
By Tom (3 comments) | Reply
I read RDPD and it changed my way of thinking, Most of all, it changed my wife from being a hardy E type person to wanting to become a B and I type person. If nothing else, that was worth everything else. We both went to the $495 (2 for 1) weekend seminar. We knew what we were getting into, I have been in sales all my life. We actually made it a fun weekend away from home and meet some very nice people. Now, both of us have real estate backgrounds so we had a lot of prior knowledge but not so much on the investing side. We were able to take some good points home with us so it was a good investment. Now, the best thing we found out is that most of the people at the seminar wouldn't be capable of doing any investing. Most did not have any working knowledge of the real estate business, and most didn't even know how to set up a business, do any type of marketing or understand how to work with public records to find information. I say it was the best thing because there were over 50 people at this seminar and many purchased additional education at a very steep price and I know almost every one of them will never do a transaction. So that keeps the field wide open for me.
By JFT (1 comments) | Reply
I went to the mentioned free seminar and bought the $500 seminar which turned out to be both and overview of the types of REI available and a heavy sales pitch for more classes. I was at a tough time in my life having a business go belly up because of a partner's embezzlement and was looking to get a fresh start so I was definitely in a vulnerable state and ended purchasing 4 “advanced courses” for $15K. I took courses in basic investing, short sale and lease options and still have one remaining. The first class gave me the confidence, knowledge and connections to do my first deal which I ended up purchasing a foreclosed house (someone else did the short sale negotiation and made $15K on the resale to me) and rehabbed it myself. All said and done I had $80K invested in a house that appraised for $125K but I completed it right when the mortgage crisis hit and I could not find a qualified buyer. It is now rented out at $1K/mo and the appraised value has dropped $15K (still $30K more than I have in it) so I haven't done too bad.
The question is would I do the Rich Dad classes if I had to do all over again knowing what I know now? I would say the $500 class was worth it but would never recommend the advanced classes. They were not much more than a repeat of what was already taught in the basic classes and in areas where I could not turn a single deal due to well publicized local scams in both investment methods (SS and LO).