[Music] I've received a number of you know positive emails and negative email saying you're not helping us and all this stuff you know and I'm going I don't know if people get it yet so yes any people were here yesterday okay how many people enjoy it Larry Larry wing it you know Larry wing it is no BS it says you're broke because you want to be you know I mean and things like this and it was my sister who was one of the only women ordained with His Holiness at the Lai Lama and she's not a wimp you know and the reason people are poor or getting their asses kicked out there is because they're wimps pure and simple and that I cannot give anybody but you have to give it yourself if you're a wimp grow something you know what I mean either a backbone or some gonads here for the male rate sex you know you have to do something so tell you back in 1987 when the stuff that stock market crash I still remember was 87 I was in Honolulu Airport I was flying in from Sydney Australia and I get up like they say the market has crashed I'm on those before cellphones I'm on the phone gun the market crashed I dropped to my knees broke out the rosary beads even though not Catholic and took laps around the beads say thank you God thank you God this one is crashing and for those of you who remember 87 year old enough it wasn't just subprime crash it took out the entire Savings and Loan industry I mean a whole banking system collapse and the savings and loans collapsed just got taken out and it was taken out by an 86 tax reform act and 86 tax reform act basically screwed professional people doctors lawyers and accountants it took this phony tax base write-off system away from doctors lawyers and accounts as they should they have no business being in real estate just so this market just kept crashing and that kept saying to Kim yes so is 87 88 and it just got worse and that's in 1989 at the height of pessimism or the depth of pessimism I said yes this is it I'm gonna get rich now everybody was crying the blues and as as Buffett always says you always buy when the Bears are selling and when the Bears finally give up that's when you go in so I'm listening to all of these people whine and complain you know sending me emails some love some hate saying why don't you help me well dammit you better help yourself you know if you haven't got these or these or whatever you're finished you know as I said in 1997 when I wrote Rich Dad Poor Dad your house is not an asset and all of the Wall Street guys and the financial planners and the real estate sales people they attacked they say you don't know what you're talking about and I said no you don't know what you're talking about you know your house is not an asset your house is a what liability and then when I so for the last ten years it was 2007 I go on television they say you know what I think about real estate real estate is fabulous but but but how can you know but what if the house what if the house price comes down I said that's not real estate that's called housing you know your house is a necessity you know yeah you should have a house a roof over your head even if it's just a cardboard box something you know so they must take housing with real estate investment does that make sense it goes here my house it's you know it cost me about seven thousand a month it's a liability it's a liability and what's up what's my net worth I don't know I don't count my house so a lot of people today I crying the Blues hanging oh you know what's the house my house worth today my net worth is going down I said you never had a net worth all you had was a liability does that make sense you guys here so the point here is this I cannot save wimps that was my sister's message I was Larry winged its message if it went the mark we'll take their money period that make sense you guys here you know if you're stupid they'll take your money and I cannot save you from that as I said the story also is little Gilberto who works at the health club at the Arizona Biltmore where I worked out he comes up to me goes ah mr. Robert economy's bad isn't it I said for you Gilberto it's terrible for me it's wonderful I'm gonna get even richer he goes oh why and I didn't say it because he will wimp because you're a wimp you won't get poor he goes oh the hotel they froze my wages you know a year ago I said yeah and then they cut me ten percent so yeah but expenses keep going up I said yeah it's terrible isn't it I said yes Gilberto for you it's terrible I gave you in my book ten years ago and you didn't do a damn thing oh it's so terrible what can I do I said are you Catholic yes I said call the Pope maybe he'll bless you or something you know I mean but one of the things I was taught hope is for the hopeless you know hope is for hopeless people there's only activity so wit you know with that real estate has never been better the markets change you know look I was talk to somebody about when we were taught as you know I went to four years of military school in six she doesn't Marine Corps the terrain is always changing you fight differently in the jungle then you fight differently on the deserts you fight differently on water and you fight differently on air but the terrain economic terrains are always changing but the fundamentals remain the same so with that I'm gonna bring ken McElroy up here you know to offer some salvation you know for all you losers out there who thought your house with an asset and all you losers who are flipping property flipping is capital gains the name of our company is cash flow cash flow and capital gains flippers and traitors you know guys who are buying stock low and selling high buying real estate low and selling high they're called flippers and people who buy and sell stock are called traders they're investing for capital gains I do that occasionally but generally I'm only selling because I'm moving up to something else like man when I met Kenny for the first time we had some losing 30 unit apartment houses and I asked Kenny I said what can I do is get rid of them it says I can't help you at 30 units you have to go to 150 you know I said okay so Gemini's sole several small 30 unit apartment houses and when went up to our first hundred 50 unit apartment house now we're over a thousand units together but that's the only reason we flip because we're moving up 1031 in tax free exchange us into bigger properties why because you've economies of scale of management does that make sense it guys yeah but I don't flip property I don't buy low to try and sell high I don't buy I mean sometimes in stock I'll trade I've made more money in the last three weeks but when the market crashed I moved about half a million dollars into the market and made about another and off of it just three weeks good ROI you know but I haven't sold yet I'm kind of waiting so I do flip stocks trade stocks but you haven't know when and what to do that's all I'm saying here okay so I just remember this when I got started in the old days of real estate a 12% loan was considered good I remember one time this guy offered me ten percent financing you know again I dropped to my knees prayed to the Virgin Mary took laps around the bees a Hail Mary thank you Father you blessed me you know a ten percent loan and today people are crying the Blues at seven what a bunch of wimps if you can't make a deal work there's something wrong with you that make sense of guys here so the other thing is this is I pulled your Burcham and I feel from my heart bleeds room but I can't help him if he doesn't help himself guys guy said here but if you're stupid they'll take your money I don't care the stocks bonds mutual funds real estate but they'll take your money stupid people are poor people period they don't have it up here eight to be a salon but that's it okay the trends are really really good you look at this here's this USA Today I saved this thing is that you've got my glasses but in 1950 there are 150 million people and then by 2006 the 300 million people and 2025 there will be 350 million Americans here most of them moving to this part of the world that's why we're here they're moving out of Michigan and all that moving over here okay so the trend for population keeps going up which means that demand for housing keeps going up now the other trend is this which I've been saying president for years is a dollar as going down why is it dollar going down is because Bush Clinton and Bernanke and Greenspan had been printing dollars they have printed 17 percent more dollars in the last few if Bush has run up the highest deficit in the history of any president now they don't tell you that that's why the you see the price of gold going up you see the price of oil going up and that's why you see the dollar euro rate going you know you know euros started at 85 it took 85 cents to buy one euro today takes a dollar 40 us to buy euro that means the dollar is coming down and parochial Berto is taking a cut in pay while prices keep going up and Bernanke and Bush and Clinton you know they say there's no inflation I mean how stupid you've gotta be to believe those guys you know gullible got much kool-aid you got a drink okay so the reason Kenny and I are really happy as populations keep going up the replacement cost of our properties keeps going up right the dollar keeps going down so we keep jacking up the rent so while people are saying you know what about real estate they're thinking about their stupid effing house that is a house that is a home that is not real estate that's a liability when Kenny and I my wife buy is to make money not to lose money got that so it's better now than ever before except for the losers without the education the people that always believe your house goes up in value the house isn't going up in value your dollar is coming down in value that makes sense and then taxes keep going up so that's why rich dad company is not for stupid people it's not for people who want to buy a few mutual funds and diversified you know stock prices are going up the same reason real estate prices are going up because a dollar is coming down [Music] you [Music]