Announcer: Welcome to Creating Wealth with Jason Hartman, during this program Jason is going to tell you some really exciting things that you probably haven’t thought of before and a new slant on investing fresh new approaches to America’s best investment that will enable you to create more wealth and happiness than you ever thought possible. Jason is a genuine self made multimillionaire who not only talks the talk but walks the walk. He’s been a successful investor for 20 years and currently owns properties in 11 states and 17 cities this program will help you follow in Jason’s footsteps on the road to financial freedom. You really can do it, and now here is your host Jason Hartman with the complete solution for real estate investors.

Jason Hartman: Welcome to the Creating Wealth show this is your host Jason Hartman this is episode number 224, thank you so much for joining me today. So, lot of stuff going on many of you have asked me what do I think and why have I not talked about occupy Wall Street and all of the occupy movements that are spreading all around the world. Where do I fall on this issue? Well it might surprise you where I fall on this issue of the occupy Wall Street thing because its interesting we’ve got like these two sort of polar opposites in the news media and its interesting because the occupy Wall Street movement is purported to be against corporations, and against capitalism, and against business, and that’s how the right wing media that I agree with more often than not I guess, to some extent would have you believe, and then you’ve got the left wing media that says well these corporations are abusive and they are foreclosing on people and the bank-stirs are like the modern mafia and they are kicking people out of their house etc. etc. etc.

And I take kind of a middle ground on this one I guess and I guess I could best sum up my thoughts on the occupy Wall Street movement by recounting a recent Facebook post that I made on my friend Mike Munzing’s post, he posted a really cool graphic that showed the protestors and it said down with the evil corporations and it had whole list a picture of all the protestors showing all of the things that they’re using and carrying and how these things are all made by big corporations and then so, it’s a cool graphic I am sure you may have seen it floating around the internet it says camera by Sony, video camera by Panasonic, cell phone by Samsung, hat by J. Crew, razors by Gillette, dye by Clairol, bag by Eddie Bower, shirt by Gap, cameras by Cannon, aluminum by Alcoa, another camera by Nikon, Poster board by Weyerhaeuser, cardboard box by Kimberly Clark.

And it said join us as we organize against corporations using social networking by corporations, smart phones by corporations, service by wireless carriers that are corporations, wearing clothing made by corporations, capturing it all with cameras made by corporations and getting there via cars, busses, bicycles and shoes all made by corporations. We deserve more from these greedy corporations, joins us afterwards at Starbucks another big corporation. And so my comment on this post was this. This whole issue really isn’t that simple I assume that most of these protestors are clueless folks who probably need haircuts, however, and what I’m referring to there is the self styled 60’s revolutionaries, they had their points but, I think some of them were just kind of protesting to protest, however so is the conservative media that I mostly agree with, and I mostly agree with them by the way because they want smaller government, less spending etc., in saying that Wall Street represents “capitalism” nothing could be further from the truth Wall Street banks and mega corporations are mostly anti-capitalism.

In that they are playing in a rigged game with lobbyists, government cronyism, insider dealings at every level. They use lawyers, accountants and PR firms as well as of course the “corporate media,” to commit their crimes, there is very little capitalism on Wall Street if you are looking for capitalism look at Main Street, where small business operates under far too much government regulation. What I mean by that folks, and you know, you probably get this if you have been listing to the show for long time is that the big corporations they’re not playing in the same game that we are, they are operating in a much clear playing field, if you listen to my other show the holistic survival show, hear me talk about and interview guest experts all the time about how large companies they act like they don’t want to be regulated but, they really secretly beg the government to come in and regulate them because what that does is it simply excludes competition, that’s what is has the effect of, it guarantees their monopoly.

Now they don’t have total monopolies of course I realize this but, they do have semi monopolies and the occupy Wall Street movement, it’s interesting, I am glad its happening frankly to draw attention to this, another one of my facebook friends made and interesting post, posting a picture of occupy Wall Street protestor’s and the crowd versus tea party protestors, and the caption said 700 arrests for the occupy Wall Street movement, at all the tea party rallies not one arrest. At the tea party rallies American flags were everywhere at the occupy Wall Street rally or protest there’s not a single American flag, at least in this picture, so is interesting, we’ll see what comes out of this whole occupy Wall Street thing and now there is an occupy Phoenix and occupy LA and occupy everywhere else, and its mostly not constructive but, at least its drawing attention to the cause, if these folks could get clear on their message I think they would be a lot more successful they just aren’t very clear on it so far and what I would say is they should say we love capitalism, it just doesn’t really exist much on Wall Street.

You hear the right wing media and you turn on any of those folks and they say all these people are morons, and then they say that they don’t know what they are talking about Wall Street capitalism is what makes us great well all I am saying is that capitalism doesn’t include lobbyists, huge law firms and huge accounting firms, control of the media, huge PR firms that control the news people see and that’s not capitalism if you want to see capitalism you look at Main Street, you look at small business that is the real American capitalism right there. Now I would be kind of remiss in mentioning all this about big companies if I didn’t mention the unfortunate passing of Steve Jobs, I am a big Apple fan and I sure a lot of you are because a lot of you are getting our podcast on iTunes, and what a great CEO, what a great inventor, what great visionary he was and really kind of a Thomas Edison of the late well I guess the 80’s and then again when he came back to Apple, the 2000 so the 21st century.

But, you know, there again another big company not really using or I should say abusing the system so far as I know the way the bank-stirs do and the way the Wall Street folks do and that’s because, they don’t really make anything, they just engineer things in their favor and I’d love to see in America where we could have production here, where our biggest export to china wasn’t salvage materials and trash, where our biggest exports was really products and we saw American jobs come back. The other thought on the occupy Wall Street movement, is that it is supported so far as I know largely by labor unions and I think labor unions are completely anti capitalists in almost everyway.

Well last year about this time I was in Washington DC and they had big rally in DC I can’t remember what it was called, but, it was a big like labor rally and it was huge and I went to the spot where that rally was held just as it was ending and I took dozens of photographs and picked up dozens of leaflets, literally for the communist party in America, all of that stuff was just circulated there like crazy, it was all over the ground, just litter everywhere and so you know, unions are anti capitalist, I mean if you think about it a lot of people talk about the auto companies, the three major auto companies, the American auto companies and you know, why do they all have to buy their labor from the UAW isn’t that restraint of trade why can’t they buy their labor from whoever they want its so illogical some of these things in so many ways it just drives me kind of crazy. So, anyway we’ll see how the occupy Wall Street thing goes and go from there. Lets take short break here and just give the show a little bit of variety and then I will be back with more commentary and play for you one of the articles from the financial freedom report which I think you will find very interesting just few minutes long here and then I’ll be back with more commentary after this. So this is an article from the freedom report my news letter that is available at jasonhartman.com here we go.

Announcer: Too big to fail. How incompetent companies and politicians are kept in power. Within the Lexicon of business terminology there is a popular phrase entitled “too big to fail,” that is frequently used to describe large industry players that are kept afloat by the government when they are faced with financial ruin. The theory behind these bailout initiatives is that liquidating a major industry player will result in a total market collapse. These claims are very difficult to substantiate since the government frequently uses this rationale to justify its arbitrary actions but, never seems to allow one of these failing ventures to go into liquidation like a normal business, in practice the too big to fail phenomenon exists to perpetuate vested interests by artificially maintaining the status quo unfortunately this phenomenon also applies to political movements as well. When individuals or movements are viewed as historic or symbolic there is frequently a sentiment that it is too big to fail and that any level of incompetence or power obsession must be overlooked to avoid failure for the favored parties.

What we have seen is that attempts by government to manipulate the market frequently create much larger problems than those that were originally said to be solved, in these situations there is an endless litany of excuses that serve as the convenient justification for the expansion of government power that are necessary to protect businesses and individuals that are deemed too big to fail by the powers that be. Ultimately we will find that the price of this massive government power grab is paid by the producers that make the country run, as these initiatives compound on top of one another over time the ranks of the producers will contract as fewer people find it profitable to engage in business similarly the ranks of the idle masses will rise as the number of people seeking free entitlements expands. It is inevitable that a breaking point will be reached at sometime in the future where the burden foisted on the backs of the producers will be too great for them to bare. The optimal situation would be for a political reversal to happen before that point comes so that the wanton damage being inflicted on the country by the power obsession of its leadership is stopped. In the interim prudent investors should seek to pursue strategies that will allow them to profit from the government irresponsibility so that their wealth will not be totally destroyed before control of the government is returned to more responsible hands.

Jason Hartman: We’ve got our Meet The Masters event coming up and that’s coming up here in just few short days starting October 14th and I am really looking forward to it we’ve got, I know that many of you are attending and we look forward to seeing you and thank you for your attendance and especially those of you who come back to every one, that’s just really awesome, we love to see you every six months, in one of the presentations at the last Meet The Masters even was entitled “six years six million new renters.” And I have talked a lot at our live events and on the show here about generation Y, gen Y, the biggest demographic cohort in American history, 80 million people, 80 million, four million larger than the other prior biggest cohort which changed everything, changed the entire economic and social landscape of the United States of America and that was the baby boomers.

And when we’re talking about Gen Y, what’s interesting, I just recently read this is that the census data showed that 14.2% of all young people ages 25 to 34 are still living with their parents compared to only 11.8% of them before the recession began in 2007. Now just think of how significant that is because what I did is, I went to a website called nationmaster.com that has some really cool age distribution pyramid charts, and it shows kind of the age distribution in those pyramids you’ve probably seen those before and what is interesting is I did a little math here and gen Y, in terms of just this segment of Gen Y, this isn’t the entire gen Y, the entire 80 million but, this part of gen Y, it consists from age 25 to 34, 42 million people, 42 million people, and when you look at percentage of them 14.25 of them living at home.

Let me pull out my calculator here 42 million okay you got to put in a lot of zeros here oh, that’s too many 42 million and lets take 14.2% that is five million nine hundred and sixty four thousand people living with their parents in just that age group. It doesn’t count the people under 25 that are also part of gen Y, or the people coming right up going through college or finishing their high school years right now. Can you imagine the impact of this when all of those people enter the housing market, and the rental market as they ultimately will. I mean folks this didn’t even include the presentation at the last [indiscernible] [00:15:07]. This concept wasn’t even included in that presentation I referred to “six years, six million new renters,” and by the way that presentation basically showed that for every one percent increase in interest rates in mortgage rates that will come in the future, it puts another million people into the rental market.

To rent properties from you and that presentation also showed that six million new renters in the next six years was actually what we thought to be a fairly conservative number that could go as high as 25 million. So, you do the math but, this why large institutional investors are buying up apartment buildings like they are going out of style so to speak, because the demographics coming at the rental housing market are nothing short of phenomenal. Now you compare that with the demographics coming at stock market right now and you’ll see a completely contrary picture, you see, and this where Harry Dent I think was absolutely right some things I definitely do not agree with him on but, he was, he called this perfectly and he basically said back in mid 90’s that baby boomers 76 million Americans would start pulling their money out of the stock market as the aged and they would start using that money to live. Now here is the thing he never addressed and no body so far as I have heard accept me has ever thought of this I don’t know why, I’ve certainly never read it anywhere and I read a lot of stuff but, it’s an interesting question because about 70 I think it 72% of what Americans buy is represented on the S&P 500.

In those stocks, so, the interesting thing and this shows that if it’s true the stock market is really a bubble because if people start pulling their money out of stocks to spend on products and to live, they use that money to live and 70% of their spending is on stocks that are represented in the S&P 500 then it begs the question that I’ve never heard anybody ask or think of other than yours truly it is this; for a corporation what is important? Is it more important for a corporation to have investors’ i.e. shareholders or is it more important for a corporation to have customers? Well I would certainly think it would be more important for the company to have customers than investors, I mean investors are only needed to expand a company’s customer base, and expand their production facilities, and grow in that way, which that’s all well and good but, I mean the first thing you got to have is demand pulling products through the system, demand from customers.

And so if this hypothesis of mine is accurate then it really shows that the stock market is largely fed on speculation where people are investing because they are thinking other people will invest and rather than the intrinsic value of customers to a business. I don’t think I’ve ever mentioned that on the show before but, I’ve been thinking about it for many years ever since I really heard about Harry Dent and what he said in terms of the baby boomers pulling money out of the market anyway we’re going to talk about a lot of this interesting stuff at the Meet The Masters event starting on the 14th few more things here I’ve got quite few random things just to talk to you about but, the QWR, the Qualified Written Request letter, I noticed a lot of you have ordered that, thank you for your business, I hope it has helped you, it has been fascinating to see the responses I sent these out on a bunch of my-loans, and just to see what the bank would say and interestingly enough a lot of the responses have been where the banks have basically sent me back my loan docs I was actually impressed that they have them. So, that kind of surprised me, they’ve sent back long answers to my, what is that letter I think is 19 pages long.

And it’s available at jasonhartman.com we actually sell it on the website for a pretty nominal price and you can use it for as many lenders as you have it comes as PDF file and a word document, so you can modify it, and of course you need to, you need to put in you own loan number and the property address and you lender address and then send it off. But what’s interesting is just the varied responses from the lenders, some lenders have not responded in time they missed the deadline, which makes them subject to sanctions because they did a consent decree with the government, where they said they would answer QWR’s and respond to consumer requests for information and a QWR Qualified Written Request that’s what it is and its just been really fascinating I haven’t taken any substantive action on them but, I did find one of my properties to be something very, very interesting, which when I have time to kind of address it they may have been some fraud in that loan and not borrower fraud, lender fraud, and I think
I have discovered it and well I’ll talk about that on a future show. As we see what comes of that, but, this QWR letter you should definitely send it out. Of course we are not qualified to give legal or tax advice on the show I can just tell you that it’s a letter that I have used and I have definitely enjoyed the responses so far. I have been getting big mailers from the banks and seeing what they say about my loans and who actually owns them and all this different stuff. I mean that letter is so incredibly detailed and yet something quite amazing.

So we’d love to hear from you by the way if you have used the QWR and you have wanted to obtain information from your lender, which believe me before the QWR I tried to obtain information from one lender a big name lender that I won’t mention oh, bank of America and they were totally non responsive which is just completely unethical on their part. I don’t have really too many good things to say about B of A I don’t think anybody does, but, the QWR has actually, they have responded to it. So that’s been really nice to finally see them take some action and respond. On another issue a lot of you have joined members you have become members at jasonhartman.com and we are continually increasing the value of that membership and one of the things we are going to start doing is giving away the back issues of the financial freedom report to members.

So, again we have been publishing that for a few years now and its $200.00 a year, $197.00 per year and many of those articles you know, in real estate things don’t change really quickly. It’s not like stocks where you are going to watch it every day or every minute actually. And so we’ve been giving away some stuff, but, we are going to give away now many of the back issues of the financial freedom report and they are still completely valid today. These are not things that have changed in anyway so get your membership at jasonhartman.com and you are going to see you know free products and stuff like this in the future or so be sure to take advantage of that. Also take advantage of our exclusive deals. I am funding more and more deals for our providers, our local market specialists in all of the different markets around the country and we have exclusive deals available to our network only so be sure take advantage of those. Let me take a brief pause we’ll be back in just a minute.

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Jason Hartman: Also I thought I had mentioned I had mentioned it before I think on the show that I am planning to do a little indeed documentary a documentary film and the tentative working title is rigged and you can go to riggedmovie.com. Its just a little one page brochure website right now, but, I just really, really like to work with people who are listening to the show following our work and if you have any services that you can provide to us if you are a financial writer, video producer anything like that we constantly need services of course we’d rather keep the money within the family and get those eservices from our own followers who understand our philosophy and who are our customers, we’d love to circulate some of the company’s money back to them. So let us know you can go to jasonhartman.com just fill out the contact us form and we will be happy to respond. And you know it may not be something that we do right away, but, we’ll have your name and we may do business together in the future. So we can let some of the money you have sent our way in doing business with us and investing and so forth. We can send it back to you. So there is my kind of help wanted ad, another thing I wanted to mention to you is some of our properties we’re starting to get a little more flexible on some of our properties.

With some of our providers just because we are finding some really good valued inventory and when we were doing business oh, a few years back pretty much all of our business was brand new product and then as the development stopped as the recession started we stopped looking at new product. There were still builders selling it out there, but, they just couldn’t compete with the resale market and the resale market that was particularly attractive was that market where people had purchased homes between 2004, 2005, 2006 in that range and they obviously bought properties they could never afford. They bought properties that didn’t make sense today the day they bought them they broke the rules of my ten commandments of successful investing. And so what we did is we started doing a lot of business with resale properties, properties that were purchased at foreclosure auctions hardened via repos, government repos all of these different things and we started getting a little more flexible in our time frame and we started looking at and then you know our thing then was buying properties that were built after 2000.

So 11 year old properties and then we started finding deals that were even better and we started looking back into the 80’s and the 90’s. And the great thing about real estate is it lasts so long and now it’s taken a lot to persuade me to do this frankly and I have providers that are calling constantly that want to get into our network, that want to sell properties to our investors because they know the high quality of our investors and our listeners. People that really get it, people that are sound, people who are making good decisions that’s you our listeners. For example I looked about two weeks ago I was out looking at properties in phoenix again and I went out with this one group that we are not doing business with and we looked at a lot of properties and we looked older we looked at properties that were built back in the 70’s and older stuff and you know if the deal was good enough if the price was low enough we would probably have signed them up and you would probably be hearing from that group now. But, what I want you to realize is that frankly I have had to come to terms with because I just always liked newer it was easy. But, there is a right price for everything and if the price is low enough I tell you if the house was built in 1960 and the price is low enough that’s fine with me.

It’s just that you’ve got to have a low enough price to offset age because of course when the property gets older you got to worry more about maintenance issues. One thing that you don’t have to worry about as much in some of the older properties though is having a lot of rental competition in the area. The newer the property the easier it is the maintenance wise and the less concern you are probably going to have there. But, when the property is newer many times you have more competition for renters because a lot of these newer areas of course have more renter competition. So there are equalizing factors and this is all something to think about and we are just constantly evaluating it and we will let you know. Going down the list the other thing that I wanted to talk to you about, you know what’s amazing to me is how people’s perceptions of investing in stocks bonds and mutual funds is that they can just write a check and be done with it. Yet when it comes to real estate they got to be involved. Well if you are paying any attention whatsoever to your own portfolio you’ve got to be involved in your stocks bonds and mutual funds too. And I don’t mean if you are just a buy and hold investor or if you have a financial planner managing your account I mean at any level whether you are doing it yourself or you are doing it with an advisor for example I get these things in the mail constantly and it’s just unbelievable the number of trees these people kill with all their disclosure statements.

So the other day I got this one it was from Ameritrade I have some tiny amount of money in that account that my mother gave me for a birthday present years and years and years ago and I think at the time it was like few hundred dollars and AT&T stock or something like that and now it’s even much less than that I can’t even remember what’s in there. But, anyways so I get this advisor direct Ameritrade what is it the advisor direct disclosure statement form ADV part two and I open it up and it is just legalese. I mean pages and pages and pages of legalese and I get to the end of it and it is 33 pages long. Now do you really think I have time to read this? Do you have time to read this when you have stock investments paper investments? Do you read all of these statements? Do you do all the votes the shareholder votes the proxy votes this is just ridiculousness nobody is doing this. All these companies are basically sending out all this stuff and it is just a big note about how you can’t sue them for anything. I don’t know I haven’t read it I don’t have time to read it. But, there is no such thing as a passive investments folks. There are various levels of passivity, but, nothing is passive.

The last thing I want to talk to you about is Robert Kiyosaki he published a little report called the new rules of money and I thought it was pretty interesting and what he does is he talks about the old rules and the new rules and you know I think Kiyosaki just he does a really good job just summing it up making it simple and his stuff it’s good, its just crystal clear and that’s why I like it. So he says the old rules and I thought I’d kind of review these. The old rules, number one; go to school so you can get a safe secure job, well folks we know that ain’t the case anymore. There is no such thing as a safe secure job. Rule number two; work hard climb the ladder and earn more money and as Kiyosaki points out rightly so he says the problem with working hard is that an employee is taxed at the highest rate. Employees all the tax laws they are basically written against the employee. Most of us have heard Warren Buffett say and I talked about this on a private show that he thought it unfair that he pays a lower percentage in taxes than his secretary. Well on the last show with Chris Mayer we kind of blew that myth a bit. But, conceptually that concept is true because he has got so many deductions and so forth and he only takes a fairly small salary of a hundred thousand dollars etc. etc.

But, the point is that the active income, the income that you earn actively as an employee on a job is taxed at the highest rate. Yet the income you earn by being an entrepreneur it can be filtered somewhat through the business, but, the income you earn and the wealth that you create as a real estate investor that is the most favorable asset in America tax wise and otherwise as well. Now this is me talking I just reading his rules that’s not what he said here I paraphrased a couple of things that he said so on the old rules Kiyosaki goes on rule number three; save money, and he says rightly so savers are losers, especially if you are saving in U.S dollars. Well I actually would say that if you are saving in any form of the odd currency you are going to be a loser and of course we have noticed at least lately that the precious metal’s market are totally manipulated haven’t we? And if you want to learn more about that we have talked about it on past shows, but, go to GATA they basically talk about precious metal’s manipulation and it’s definitely happening and there are lot of powers that are a lot more powerful than any of us. So I would say that the precious metals are not the answer. They are better than dollars probably, but, they are not the answer overall. They are defensive not offensive. Number four; get out of debt, okay well we know this doesn’t make sense. Understand good debt and bad debt of course, but in my term is always inflation induced debt destruction that is a very, very powerful concept that can help us as investors win the game. Can it?

Yes, it can inflation induced debt destruction so we want to have as much debt as possible on hard commodity assets like income property and we of course do not want to carry consumer debt, but as inflation comes it will wipe out the value of this debt we outsource the debt to something called a tenant it’s the ultimate inflation arbitrage. Five; in the old rules invest in a well diversified portfolio of mutual funds through your company 401K. So, here I am reading what Kiyosaki says and its well put. First of all Warren Buffett does not diversify he says diversification in by the way “diversification is for people who don’t know what they are doing.” Now this is me talking I love the way Robert Allen said it years ago, he said “put all your eggs in one basket and watch that basket.” And of course he believed that basket was income property income producing real estate and then I’ll get back to Kiyosaki here second of all John Bogle founder of the vanguard group and one of the most brilliant minds in investing today says that the mutual fund companies have been ripping investors off.

He states that investors in mutual funds put up one hundred percent of the capital absorb one hundred percent of the risk and receive only twenty percent of the rewards and I would say if it goes well the eighty percent in the investor gains goes to the mutual fund company. On top of that the Wall street journal called the last ten years “the lost decade” because there have been no real profits in stocks in the past ten years. So now let’s switch over Kiyosaki’s new rules. Okay so we’ve got five of these number one; keep your day time job and start a part time business, well we’ve certainly covered a lot of home based business opportunities in past creating wealth shows we haven’t concentrated on that as much lately because so many of you are asking for more real estate content. But, I would certainly agree because you need a tax shelter at least. That business shelters some of your tax liability at the very least and at the best it could produce some good income for you. So keep your day time job, but, start a part time business maybe that business for you is being a real estate investor part time if you are not one already. Maybe you can actually get to the IRS distinction of real estate professional and have material participation in your income properties so that you can get some huge tax advantages just phenomenal advantages.

Number two; on the new rules become an entrepreneur the worlds’ most successful entrepreneurs did not go to school nor did they climb the corporate ladder and we were just talking about Steve Jobs college dropout just like Bill Gates. So, again it’s about what you do, we no longer live so much in the credential society do we? So, I would definitely say that you need to be an entrepreneur ultimately. Number three; hedge your money instead of saving money keep money liquid in assets that increase in value as the dollar drops in value. So there we go the ultimate inflation arbitrage inflation induced debt destruction so that is something that is very important. I always say that real estate is a fantastic investment, but, it’s a lousy bank. Real estate is the best investment, but, it’s not a good bank so don’t have a bunch of equity in your real estate if you can at all help it. Now some of you can’t help it you’ve got to put cash down because of the loan limits and I have had to do that lately, but, I am still making my real estate work for me quite well because I am buying it at such discounted prices occasionally I’ll flip something here or there, but, mostly I like buy and hold that is the ultimate real strategy and there will be a time when I can refinance these properties I can sell them to tenants on lease option.

Our members’ only call was about that, and we’re going to be talking about that at the Meet the Masters even, and so there are a lot of options there okay. Number four; use debt as leverage Kiyosaki says I am personally in debt good debt, so use that debt to make you get leverage, everything in life, in financial life is about leverage you have got create leverage, leverage through technology, leverage through money, leverage through thinking and education, and, leverage by doing things that most people are not doing that’s my own statement that’s not what Kiyosaki said. And the last rule is; know the difference between sales people and rich people, here I will read Kiyosaki because I like what he said here he says “one of the reasons so many people are in trouble financially today is because they get their financial advice from sales people, today I cringe whenever I hear a so called investment gurus, who are really sales people recommending the old rules of money.”

And as Warren Buffet says “Wall Street is the only place that people ride to in Rolls Royce to get advice from people who take the subway.” Now I love that I mean Warren Buffet, the guy has become largely a political show lately, recommending all kinds of crazy things that he isn’t following himself and I don’t like that but, you know, he is very quotable there I mean think about that “Wall Street is the only place that people ride to in Rolls Royce to get advice from people who take the subway.” In other words are you listening to someone who is really done it, or are you just listening to some internet marketing guru who happens to be on the real estate kick this week, I have really done it, I have been doing it for years, I have created real, real wealth from real estate I have created a lot of it and I am absolutely love this business so it’s the most historically proven asset class, put all your eggs in one basket watch that basket of course I do mean diversify a little bit but, the main focus should be on income property diversify geographically you already know my ten commandments we will look forward to seeing you at the meet the masters event and thanks so much for listening.

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