John T. Reed vs. Robert Kyosaki
I found this website was fairly honest and consistent. The real estate advice he gives in his articles section is fairly basic, but it gives a prospective real estate investor some basic fundamental understanding of what is required for the job, how to make sound financial decisions using ratios, etc.
One segment that I enjoyed was his complete disdain for Robert Kyosaki that culminates in a 185kB plain text document outlining inconsistencies in his book Rich Dad, Poor Dad, his life, and other musings. It really is quite scathing, I’m sure Ken over at ARRDPD would disapprove. However, it is consistent, and reads well. It is actually quite amusing to look at how JTR’s research disproves many of the careless comments in Rich Dad, Poor Dad.
I do see JTR’s point though. When reading RDPD, one gets the feeling that everything is exceedingly vague. I think Kyosaki, if anything is a fantastic salesperson who has managed to find a key niche of selling real estate investment advice to people who will probably never get involved in real estate investing. The book is dumbed down, and mostly amounts to a bunch of flag waving like you see at a highschool pep rally.
For some readers, Kyosaki makes them feel smarter by giving them ‘insider’ information like how to calculate your net income. For other readers he makes you feel superior to the rest of the world by constantly putting down people as not being able to figure out the most basic foundations of accounting.
The article entitled
“Suggested sequence for starting a real
estate investment program” has some good information. Its more of a
pre-questionairre to see if you have the right-stuff for investing in
real estate. It is a simlar approach to that used by Robert Griswold in “Property Management for Dummies.”
Either way, there is some good information on John’s site that is worth a look and skimming the Rich Dad, Poor Dad book review is good for some amusement on a Friday afternoon.
NG
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January 10th, 2007 at 8:59 am
I do agree with you on your analysis of RDPD and johnreed website. I believe that RDPD is a great introduction to basic concept only, to open your eyes, however if one wnats to pursue it further then they would need do more research and self-learning. John Reed website offers that first step.
-Marc
January 10th, 2007 at 11:38 am
Thanks for your comment Marc, I really enjoyed reading RDPD, but it left something lacking in how well it teaches you to actually invest.
However, what I think the reader should appreciate is that there is a reason for that. Kyosaki’s goal was to create a system. The objective of RDPD is to hook the reader, so they will believe in his system. This is the definition of multi-level marketing. One product sells the next.
You can see this all throughout his books as he pitches the value of his games, his other books, his seminars, etc., etc. I think you could actually learn more about how to market things from his books than you could ever learn about investing in real estate.
But, I’m a cynic
February 4th, 2007 at 3:43 pm
Overall, I’m pro-Kiyosaki.
Personally, I interpret the books as more like parables than historical records, though, and was a bit surprised to believe that JTR would ever have read them differently.
Actually, Multi-Level-Marketing is something different
However, I agree with your analysis that Robert Kiyosaki has created an outstanding “information publishing” business.
Whether or not you, I, or JTR agree with 100% of RDPD, I am on public record as saying that the series have taught me a few things that have paid for the cost of the books and the game many, many, times over.
Regards,
Mark in Sunny England.
March 20th, 2007 at 8:12 pm
I agree with Mark. Kiyosaki opened my eyes to the world fo real estate investing. I’ve made many times my annual salary from that step.
of course JTR’s books are stellar - amongst the best I’ve read - but you wouldn’t think that from his comments. He comes off as extremely bitter.
Maybe he’s jealous that kiyosaki (who didn’t go to Harvard B school like JTR) is so many times richer!
April 21st, 2007 at 5:30 pm
I’m for Kiyosaki…(he teamed up with Billionaire Trump). I know John T. Reed looks at the glass half empty and that’s what I don’t like. I go by the saying “success leaves clues”. John T Reed lists his properties owned. (big deal) Doesn’t impress me. He really lost me when he put down a Billionaires books and systems “Donald J. Trump. I think once you hit the B’s in income no one with a few bucks should ever be able to open their mouth negatively against you. Does anybody know John T. Reeds net worth? There’s your answer ,Allen j. OC, CA
April 21st, 2007 at 5:36 pm
Does anyone know Kyosaki’s net worth? I would assume Trump’s worth is estimated. The thing about Trump, is that he knows a good marketing opportunity when he sees one. He must have a good PR person. Take the Apprentice for example, or his recent collaboration with Kyosaki. I’m not really pro Kyosaki or Reed… they both have their points.
April 21st, 2007 at 5:36 pm
Does anyone know Kyosaki’s net worth? I would assume Trump’s worth is estimated. The thing about Trump, is that he knows a good marketing opportunity when he sees one. He must have a good PR person. Take the Apprentice for example, or his recent collaboration with Kyosaki. I’m not really pro Kyosaki or Reed… they both have their points.
June 10th, 2007 at 1:19 pm
Rich dad’s response is at http://www.mastermindforum.com/kiyosakiresponsetoreed.htm
He doesn’t reply to most of the points JTR makes (which probably would have taken him quite a while to do).
I’m far more of a JTR fan then a RDPD fan.
June 22nd, 2007 at 12:05 pm
I do like some of Kiyosaki’s books. I also realize that the “Rich dad” concept is most likley fictionalized in an atempt to illistrate the difference between the employee and entrepaneurial mindsets.
The way I look at it is I take what I need as far as inspiration and understanding the concepts of traditional employment vs other types of business models and get the meat form other authors and books.
I don’t waste my time trying to pick everything apart. I take what makes sense to me and move on.
July 9th, 2007 at 11:34 pm
I am a core JTR fan in this matter. About the John-Reed-being-jealous argument, please read this:
http://www.johntreed.com/envy.html
That is a good summary of why John T Reed has been successful.
About Kiyosakis reply to Reed: It Sucks. There is no substance in it whatsoever, and it does not in any way explain why RDPD is a nonfiction book (which should have been his major intention).
Personally, I wouldn’t trust liars. But hey, that’s just me.
October 3rd, 2007 at 7:46 am
I do like Robert Kiyosaki’ material, it does give you something to think about in terms of building businesses and assets, true it is not forthcoming with theory but I dont think it was ever intended to be.
Bill