Current Events > Your thoughts on Graham's interview with Kevin O'Learly?

(+) Yeah! (+)

I can't stand how Kevin keeps mentioning he's debt free cause he got a lump sum of money which the average person doesn't get. I'm not sure if he paid cash for his houses, but most rich people tend to keep a mortgage cause they don't wanna drop that much at once on a house. I'm kinda leaning towards the same direction as Graham in terms of how I wanna invest in real estate first then get into stocks.

Graham also mentions he tends not to raise the rent if tenants are good cause he can keep them long term. Similar to me. Eventually when the tenant moves out you can increase rent if you want to for the next person.

https://www.youtube.com/watch?v=u1rXNTbFm-s

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Who posted!!!

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@Shablagoo your thoughts on Graham being a landlord <_<

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The same shit I've been telling you. You keep handwaving debt as if it's not a risk. Kevin is right. You need to watch that shit man.

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That was an enjoyable watch

I was thinking that O'Leary was like Dave Ramsey when it comes to debt, but he appears more reasonable.

Debt is definitely a risk, but you don't get a $10 million portfolio at this kid's age without taking huge risks. But also keep in mind that more people fail than succeed.

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Owning multiple houses to rent is a risk cause the tenant pays for the mortgage. Worse cause you sell the house. It's the same risk as if investing in stocks. Lots of average people including millionaires lost money this year. My advice would be don't keep all your eggs in one basket. I wouldn't just buy homes in one area cause of a natural disasters. I'd buy some in different areas. Same with stocks. You don't put all your money into just 3 stocks as an example. Also have a backup plan similar to an emergency fund. Lets say a tenant stops paying rent and you have to start the eviction process. Make sure you have money set aside to ride out the 2-4 months you aren't getting rent from them. Graham also mentions he does a 1 year lease which seems risky. I do month to month to avoid losing money for months if they stop paying. I can sell and buy another house and move on.

What I liked what Kevin said was he isn't blowing his money on things like yachts and other luxury toys. It seems like he still lives an average life besides getting a few high end watches. He's not out there buying tons of Gucci clothing and stuff. And him and others said typically you only need one good suit (which you can rent also). Personally I'd never own a yacht either even if I was a billionaire. I'd rather rent one for a week or something at most. Same thing with supercars. Rent one for a week or maybe do a lease. I wouldn't spend over half a million on a car. The parts and service alone is crazy high.

My rental is going good and I'm disciplined with my money. When I do start making more income I won't be spending more. I'll still live within and slightly below my means. Save up and buy another unit.

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Austin_Era_II posted...

Who posted!!!

It was me. No seriously, it was was me, I mistook this topic for something else yesterday, sorry if I left you confused for a while.

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Tag

tremain07 posted...

It was me. No seriously, it was was me, I mistook this topic for something else yesterday, sorry if I left you confused for a while.

Don't listen to him. It was me, OP.

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tremain07 posted...

It was me. No seriously, it was was me, I mistook this topic for something else yesterday, sorry if I left you confused for a while.

lol no worries I was joking.

I watched a few of Kevin's other videos he gives good advice compared to Shark Tank where he plays a certain role, but he has the ability to pay cash now for stuff. Many people aren't 100% debt free who are also rich. They are just wise and discipline with their money. It's like someone winning the lottery and blowing it away. Most of Kevin's money is in dividends so he gets a nice amount each month. I think the average person needs like $800,000 in certain stocks to get $2000 a month from dividends which isn't an easy task. At the same time the person with $800,000 might wanna spend that rather than invest it.

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