Habits That Can Make You Rich - Robert Kiyosaki [Millennial Money]

[Applause] hey youtubers its Alex for another Melania money and today we're gonna learn on how you can find your passion pursue it and profit from it so let's get right into it so part 1 of this is what made you see the light you know part one is why did you change because most people want to change but they lack you know what my Hispanic friends called cojones they don't have tell us why you changed what was what motivated you to change because that's where most people get stuck they don't change right so what was your story from there so to put it to the point I just didn't want to be poor anymore I you know my my fear of stain poor was big and but you're highly educated aren't you I wasn't at the time 1997 I found myself in the throes of a nasty divorce and I didn't even have a car my ex-husband kindly took my car and our house so I was basically without a car and yes and if he's out there thank you cuz he really got me a huge favor and I sat there one day thinking this sucks I I don't have even two pennies to rub together oh you weren't you weren't the schoolteachers not yeah I was an instructional aide I was making $11 an hour in California in California and I worked with special-needs kids and I didn't have enough money and one day I just thought this is not gonna happen anymore so I enrolled in school went back to get went to school to get a degree in education because I was told I'd make a phenomenal teacher so I was doing that but I also started researching how do wealthy people get rich so I sat at Barnes & Noble and I read I read every book you wrote I read every book out there on people that I admire and I sat at Barnes & Noble and I read for free and they were kind enough to let me read their books and I told them one day I'm gonna be very very successful and I'm gonna have a lot of money and I'm gonna buy my books from you and I've kept that promise to Barnes and Noble but my why was I knew there was so much more to life and I knew from what I read that if I followed what you did and what you said I could have that outcome I just needed to do it so my why became much bigger I didn't have children it wasn't married anymore and I thought I'm going to do this for the future of my unborn children I didn't even have a man in my life so that was a far stretch for me but my why was so big it was also about giving my parents a life that they couldn't give themselves it was the dream car for them the dream house being at an age where they didn't have to worry about money ever again so when I thought of love it was out of love yeah and it was about making a difference in my community there were days that I wanted to give up but my why was so big how could I look at my unborn children who one day would be born and say sorry I gave up no college for you no house for you and dad yes yes so my wife was really big yeah and I think it's very inspiring because the reason why we started this show millennium money previously was because we wanted to help people who are looking to what to do with their life and their purpose and why and how to find their way and so it's inspiring to hear here such a frightening and kind of traumatizing story that brought so much good out of it but I also believe that some people think they're not capable of turning ugly into something so positive like you did and many women find their self in that situation yes or they were depending on someone else and now they're left with nothing and you went from like you said previously from pennies to now a millionaire Aska this people like horror stories you know they don't like good stories so what was it was you know during this why pair of this a questioning of life period what was some of the most horrible things that most people are afraid of that you had to face oh boy so where do I start one of the consequences of deciding to divorce my husband was that I would be kicked out of my religion so which is that I was once a Jehovah's Witness and I made the decision that I just couldn't live with that type of a marriage anymore and I made the choice that there was something bigger for me so overnight I was left my husband I was excommunicated and lost my family and my friends so I was really alone talk about that being pretty tragic I was important to you they were very important and I'm very family-oriented but what I've learned in hindsight was that it really taught me one whether you believe in God or the universe or all whoever that is I connected on a spiritual level to a higher power and that gave me the strength to move forward in my goals and so it was a pretty dark time in my life so would you say that darker had got the stronger your spirit yes see that's yeah that's what most people miss it's when it's really really bad you have a chance for your spirit to get stronger yes that's what when people avoid doing what you had to do the bad times you also don't get stronger right and and to just go through it I read somewhere that said that to get through it you have to go through it so you know I I don't drink I don't smoke I don't take drugs so it was very raw that I had to just figure out what I needed to do every day so that I could keep moving forward and have that goal right in front of me so that I wouldn't give up it's interesting that you fed your brain you know JK Rowling's who wrote Harry Potter she was the same place she had no money and she'd go to the library she sit in a coffee shop I could Barnes and Noble and something a sip coffee and read books for free and she would write her books there well as she now she's a billionaire her Harry Potter sold more than Rich Dad it's challenging for me the bad time the big lesson here is bad times or what our good times actually unless ins my darkest hour ended up being the best days of my life so one of the things I learned in all the readings that I did was to write down what did I want and I think that's one of the hardest things people go through they don't know what they want so for me I just wrote like I was writing to a genie this is what I want this is how much money I want to make a year I want a husband that looks like John F Kennedy jr. I want children I want and I just went wild with writing what I wanted my husband does look like dude okay by the way yes and and then I found pictures to match what I wanted so I started with vision boards put everything up on a board and then as things would happen I have a dreams accomplished board so I refer to my dreams accomplished board even now when I'm asking or ordering something big because I look at my what I've accomplished what I've manifested and I think boy that was hard at the time we did it so Kim and I went to the same process we had nothing and sitting in in some of our looks like artwork but her vision board was she went to magazines as she cut out her ideal life yes I did high-end magazine yes I did you were even on my vision board which is so funny a picture of you hey and you know just the way I met you was like oh this is really Twilight Zone like here we are in Hollywood I'm at an awards event and you're at a filming and you come and sit by me and here we are today so for me it was very powerful to know what I wanted and dream big and get past the I don't deserve it get rid of all that stuff act as if you deserve it put it on your board find the pictures in a magazine and and then act as if I love that you mentioned nourishing your mind because Millennials and a lot of even orogenic generations no longer read and so here at the rich data company we're taught to have book studies and constantly be like we have a code of honor and that is personal development and reading books is one of them and I've seen it helped me and I think that's the reason why I'm here today to it's all thanks to reading the book Rich Dad Poor Dad and manifesting it and you've mentioned how you read the book Rich Dad Poor Dad and I was wondering how did that infant and influence and impact your life oh my gosh it it changed the trajectory of my life Robert said something in Rich Dad Poor Dad that I never forgot that money should work for me and that my investments and my money should pay for my life and that concept was like wow that I wouldn't have to work for money anymore so about two years into reading the book I no longer had to work my real estate investments that my husband and I invested in the passive income from that took over my salary and so you were you were teaching for a while mm-hmm I did I got my degree and that financed your investing right yes yes so then when we started investing so I'll go back a little bit and I'll have to thank my ex-husband for this too he was letting our original home go into foreclosure and then your original lousy husband really did you a big favor that's a lousy anymore at the time I thought it allows Yvette I am very thankful to him not long ago Dangerfield's is this I've thought about divorcing my wife but why should I do her a favor exactly so the house that he took was going into foreclosure so long story short I begged the credit union for $5,000 to save it from foreclosure they were so sweet they didn't like my ex-husband so they were happy to give me the money and I promised him I said I will always bank with you and I've kept my word to that I said even if I don't need a loan from you I will get loans from you one day just trust me on this that's spiritual isn't it it is when you make a promise so save the house no lie it went from being worth a hundred and forty thousand we owed 150 then it went up to one hundred and seventy five thousand then it went up to two hundred and fifty thousand so I borrowed money from it I bought a beautiful house near the Country Club market was still low and that original house I sold it in one day for five hundred and fifty thousand dollars and then I turned around and I bought apartments so what kind of teacher did you become or what about so I ended up going back to school and I became a vocational education teacher for adults with disabilities my heart was always been with those who have developmental disabilities so I started doing that I became Teacher of the Year and what count you know where was us-ally County LA County not for the county for the school district so it was a Bassett Unified School District and I became Teacher of the Year what were some of the personal problems you're right into to keep going that got in your way so you know not knowing about real estate I didn't have a mentor I mean you were my mentor but you didn't even know I existed so my mentors were the books that I read so knowing how to the laws of being a property owner and not realizing that when people live in your property I like it to be beautiful and they don't treat it so well not taking it personal the the work I did a lot of the work with my husband I'm repairing and all the repairs I learned to do tile I learned to lay floor as I learned to do baseboards I learned to paint change windows so you teach and then the weekends were spent making our properties look beautiful so that was some of the hard work that went into it when the economy started to shift my husband was us this was 2000 like 5 mm yeah California boom earlier than everybody else we did we did cuz that's like KTLA saying all this is coming down in 2005 they didn't like that message no so when that started to happen you know now I'm married to my new husband who was amazing he's phenomenal with money and his thing was you can buy but we can't owe more than 50% on properties so we were able to good it was 50% yes yes and that was hard cuz you know you want to buy more but we did a very slow growth for 10 years we did nothing but what would be wrong with having a higher debt to equity like maybe 80% debt and 20% equity what would be wrong with that from your point of view you know I think based on my experience of losing everything and not having two pennies or nickels or dimes to rub together I just don't want to lose it so there there's this fear that i have of making sure that my rents always pay the mortgage and i have a responsibility to all the families that live there to be financially smart so you know do i have some properties leverage a little high right now I do because I wanted to buy other property tricks but I put my experience is higher and I have more assets and I have the money to be able to ride the wave but I don't encourage you to leverage everything a the goal for me is I love things being paid off more than you know 75% of our properties are all paid off I like that case I'm homeless I can go live in something my cars are all paid off in case I'm homeless I can live in a car so there's always a little bit of that fear still in there which i think is healthy because I don't what's true yeah it works for us but don't don't use your real estate to finance your vacation or you know borrow money to go and buy that car use the rents like you taught me to pay for your life so our real estate now pays for our cars or pays for our homes or our vacation homes our vacations and that's how it's set up and I I love that so one of the things I always hear is well where do I find the money and how do I find the deals and they're generally people who say that are lazy people because I always say there's a deal of a lifetime I mean that's more deals not ever before and the more deals to see the more deals you see no deals here you know you ever hear that I do and you got to do it for the right reason we invest in real estate now to give better opportunities to families who would never be able to live in these multimillion-dollar neighborhoods or these beautiful homes elderly we rent to a lot of veterans and elderly people and I just virtual relationship with the tenant it is back to your question of the hard part's is we're blessed that we have phenomenal tenants I've probably only had to evict five in the 17 years we've been doing this but I do that every other day but so some of the hard parts is you know I have to really work on not being afraid of the unknown yeah not letting my past beliefs scare me and I need to just look at my dreams accomplish board to fortify me like you can do this you did that you mentioned when people ask you know how do you find these deals where are they if you're doing it for the right reason they show up I bought 18 units for half a million dollars that's unheard of I thought it was falling off the mountain or falling no job but you also did your homestead an area like Mount Baldy isn't all that high up in Crestline San Bernardino County like we own a lot up there it was affordable yeah a lot of times mistake people make is that when you look at property it's not like looking for a stock you've got to find an area that you want to be the expert in right so you found this one area that was affordable needed development and that's what he went into yes explain how you did that well again you know in your books find the ugliest house in the nicest neighborhood that that's stuck with me it's what I do we we bought things that people said I don't know I don't think you should buy that and when you can see past that and the repairs and the outcome of it you've got to be able to see that so you know Crestline everyone's like oh it's not good and you know it's as bad but I could buy it triplex for $40,000 use and turn around and make 2,100 a month we could buy a beautiful house on the lake you just walk how did you finance oh how did I finance it well it was $40,000 so I pulled it off credit cards at first and then you know that's what a lot of people tell us that you can't do that it's impossible and so here we are at listening to a real story of that someone actually did it yeah I I did you know again the book I knew I wanted to be very wealthy I had a retirement as an educator and when I left being an educator I pulled out all of my retirement I thought my husband was going to flip and have a heart attack so I was able to pull out three hundred thousand dollars a you know after all the penalties and the taxes and everything paint but I did the math at if I had to wait till I was 65 I was gonna bring in 5,600 a month but 13 years ago if I pulled out the money then 300,000 I bought 18 units 500,000 I put all of my money into that finance 200,000 my mortgage is 900 a month my return is 22,000 a month but I knew that at 40 I could bring in eighteen to twenty-two thousand a month forever and I would way surpassed my retirement we've talked a lot about certain situations you faced and you mentioned how you have children and I would like to know more about your future and also how you educate them and how many kids you have okay so married this amazing man and we were blessed to have two children so our daughter Katelyn is 16 and 15 and a half and our son Michael is 14 and a half when Kaitlyn was born I made the shift to no longer work as a school administrator and started companies I was able to do that because of our real estate and the passive income allowed me to not have to work anymore teaching them what I wished I would have learned at their age has been one of the funnest parts of parenthood they're like sponges they I started giving them money as an allowance when Michael was four in Caitlin was five and my husband thought I'd lost my mind he said they're too young to have money they don't know I said we're gonna do this I had them negotiate how much money they needed a week and every Friday was payday and every Friday we went to Target so they started off at you know five dollars a week well my son is brilliant and figured out that he could not do enough with five dollars so he said negotiate tell me why you need more so they went up to $20 a week okay I said the only rule is you can't lend and you can't borrow so Friday so for the first six months they spent every penny they got then after that they figured if they saved it they would get more so long story short they are great savers they're up to about $20,000 each in a savings account I said when they get that their dad and I will match that and then we're gonna buy a piece of real estate that they're gonna learn and that's great because sometimes we believe that when people are wealthy their kids will be spoiled and so implementing a structure on how to manage your money to have money work for you right is what every parent needs to be doing so that they can be able to provide for themselves in the future yes yes and another interesting fact I love about you is that you were actually in the education system for a very long time and I know Robert has a strong issue with the current state of our education system and so what advice would you have for our viewers who are maybe going to college or thinking about going to college you know I think at my heart I'm always going to be a teacher but you have to teach with passion and teach that you want kids to be successful nothing gets under my skin more than teachers that have their own agenda and are out to find kids doing bad you know I always started kids off with an A it's yours to lose but I don't want you to lose it so my goal was to facilitate their success and I think our system of education would be amazing one if we taught financial literacy and two if we just taught these kids to find their purpose and and celebrate that or we're so we give attention to the kids who aren't making good choices and we don't teach them how to make good choices so I feel those those kids that are in trouble all the time have some great leadership skills they just don't leave it in the right way [Laughter] I think that we should yeah so what's the future hold for you what are your dreams so my dreams are I love giving people jobs I just love that I love anybody coming up and saying they need a job and I can ask them what do you do and whether it's housekeeping or working in a restaurant or ice cream or after school I want to be able to say yes come on come work so I know to do that I need to grow our real estate division so I definitely want to grow that my goal is to have as many properties as you have [Laughter] I'm putting my feelers out writing some books and this is this is your first book this is always a contributing author with Jack Canfield so that gives a little story if you only get what you order and it's about ordering the life that you want so that's next be able to create more jobs got my contractor's license so we're going to look at developing some properties and grow so you know and there's some social impact things that I want to be a part of the homeless target those that really just are homeless because of circumstances not mental illness or any of those things but just lost their job so there's some social things that I want to be a part of and I need to grow make more money to be able to do that congratulations thank you so much for watching this video and thank you to all our amazing subscribers and to those who haven't subscribed yet we have a huge favor to ask you we want to reach 1 million before the end of the year and we're almost there we just need your help so go ahead and click that subscribe button thank you guys and I'll see you in the next one [Music] you [Music]

Channel: The Rich Dad Channel

Views: 621,445

Rating: 4.9176688 out of 5

Keywords: TheRichDadChannel, robert, kiyosaki, rich dad poor dad, motivational speakers, business ideas, make money, how to get rich, network marketing, how to make money, how to invest, passive income, cashflow game, millenial money, how to invest in yourself, financial freedom, millennial money robert kiyosaki, how to become a millionaire, robert kiyosaki real estate investing, london real

Id: XFQMhdAUGOU

Length: 26min 23sec (1583 seconds)

Published: Fri Dec 13 2019