Posted by soapymac on March 31, 2000 at 08:28:16:
with your premise of taking on as much debt as you possibly can. It’s been awhile since I read both of Kiyosaki’s books that are frequently talked about on this board. However, one thing I remember:
An ASSET is something you own that puts money in your pocket.
A LIABILITY is something that owns YOU and takes money out of your pocket.
On the face of it, it would appear that you are highly leveraged. If the RE market in your area “burps,” as it frequently does, or if businesses start laying off people because the economy “hiccups,” as it surely will, then your leveraging will crash in on you.
I mean no disrespect here for you…I’m just trying to point out that the leveraging you appear to be using was emphasized by some highly educated real estate gurus back in the “go-go” 80’s.
Where are they now? There’s a lesson here.