Props to this channel for having Dave Ramsey on and letting him speak this way. In depth and candid.
@willvice39982 жыл бұрын
Have you seen them feature Graham on Dave Ramsey? It just aired
@rnt45t12 жыл бұрын
Dad?
@BP-vr3rt2 жыл бұрын
Graham is a con artist. Only low IQ cultists can take him seriously. Also, Dave Ramsey's financial preaching is just a big informational. Dude's a con too
@BP-vr3rt2 жыл бұрын
The channep, Investment Expert Exposes Fake Investment Gurus, exposed Ramsey and Graham multiple times with undeniable facts
@amireallythatgrumpy65082 жыл бұрын
@@blingdream8637 He's normally talking to idiots.
@smileychess2 жыл бұрын
Outstanding interviewers. Three young guys who didn't interrupt a single time?! By today's standards that's absolute top tier.
@gerrygalvan73132 жыл бұрын
This means they are willing to learn. Those who interrupt do not have learning in mind.
@jeremyduplessis23342 жыл бұрын
Nothing to do about young people, some people know how to listen some don't. Actually there was a study done that showed the older people get the less they want to listen and the more they want to talk, regardless of knowledge.
@20001mexico2 жыл бұрын
@@colin1818 Ben Shapiro interupts people all the time and says nothing but half truths to throw them off
@colin18182 жыл бұрын
@@20001mexico - Clearly somebody who has never watched a single one of his “Sunday Specials” but claims to be an expert.
@hellac62 жыл бұрын
They’re smart, this dude is worth hundreds of millions……he’s obviously doing something right.
@tenminutetravelbreak2 жыл бұрын
I think Dave did a great job of actually answering this question.
@davidpatton22962 жыл бұрын
Yes but he is wrong about good debt.
@pat-orl2 жыл бұрын
How is he wrong, he just said it is more risk. He didn't say anything more really.
@davepatton75292 жыл бұрын
@@pat-orl Yes, more risk and he says to pay it off which is bad advice. 3% for 30 years will be paying much less back in 15 years. Meanwhile, my real estate will be earning 15%+.
@abrahamflores25662 жыл бұрын
90 day callable notes are very very very riskyyyyy....30 year fannie mae conventional notes are much less risk.
@danielstellwag30812 жыл бұрын
What did Graham confront? Dave's meat stick?
@JoseS13t2 жыл бұрын
When I heard Dave the first time I thought he was clueless about people that didn’t have much money. It wasn’t until I actually listened to what he was saying that I realized he knows what he’s talking about. My wife and I just paid off our house and cars. We are debt free and the freedom we have and feel is life changing.
@canadianslivingdebtfree61202 жыл бұрын
WOOOOOOOOOOO!!!!!! YES! WAY TO GO!
@RealGalaxyGamers2 жыл бұрын
Yes! It takes a long time to understand all the reasons on why to stay away from debt!
@aaronb49362 жыл бұрын
It’s like removing a noose off of your own neck. Congratulations
@Nmdresser Жыл бұрын
Great for you man this is awesome
@justincaldero5174 Жыл бұрын
Congrats!!!! I can't wait to pay mine off!
@quixomega2 жыл бұрын
I appreciate Dave being real here.
@ToastbackWhale Жыл бұрын
I like this version of Dave a lot more than the Dave on his show. Calmer, more time to get his thoughts out, shows that he does, in fact, know what he's talking about. Shows that his dogma doesn't come from ignorance, but a place of extreme risk aversion.
@mathematician1234 Жыл бұрын
I agree with you. I think part of the difference is that he is a guest on someone else's show here. The audience is a little different. He's not the boss here; he's a guest. So, he is preaching in a lower key.
@WatchList-xf8ic Жыл бұрын
@@mathematician1234 Dave is no preacher. He is a false prophet, and he has no business speaking in churches or quoting from the Bible.
@LaneDenson10 ай бұрын
The talk radio format does not lend itself to long, thoughtful explanations, where the goal is to get the caller to explain their situation as quickly as possible, find the actual root of the problem (it's rarely what the caller thinks it actually is), and provide a recommendation before the next ad break.
@timb.72969 ай бұрын
I think part of it is a different audience: his show is for the radio so it needs to be exciting and also promoting his baby step method which is fine but geared towards a group of people who often need tough love and a simple step by step plan without a lot of thought and options
@tomlxyz7 ай бұрын
Extreme risk aversion is stupid tho. Don't try anything because you might fail
@WildcatWarrior152 жыл бұрын
I was raised on DR, listening to him on AM in my parents minivan during the recession, and this was one of the best clips I've seen of him ever. Simple, yet rock solid response to one of his biggest critiques. Remember folks, there is a reason why Dave has been relevant for as long as he has.
@canadianslivingdebtfree61202 жыл бұрын
💯💯💯
@dj-rocketman8545 Жыл бұрын
Here’s when I think it’s okay to take out debt, if your home is paid off and everything and you have 100k in savings and you can buy a rental property with a 1/3 down payment. I would take out debt for that.
@freepat101 Жыл бұрын
He’s also really good at speaking. His message isn’t the best message for each person, but it’s a good message for everyone. I’ve heard Dave tell people who’ve paid off thousands in debt over a 3 year period, skimping on life and taking on extra jobs, who then ask if they should take an unexpected bonus of say $15k and pay off the last bit of their debt, or take their family to Disney World and finish up their debt over the next 8 months or so. You can guess it, because his method has no practical use for debt of any kind, he told these people to go next year, although their kids are getting older and some of them would likely be much less interested. Also heard him tell a small business owner no to debt who could 3x their revenues by taking out a small business loan to buy some equipment that could be paid off in very short order via the incremental cash flows. It wasn’t that it was a bad plan, it’s just not a part of his plan and methods. Dave says that RE investments don’t allow for the calculation of risk, but I would say that his plan doesn’t allow for the calculation of solid plans and the likelihood of success or failure. He just says no to all debt, whether it’s to buy a fishing boat, or increase the growth of your small business exponentially with limited downside risk.
@millier.206 Жыл бұрын
@@freepat101that’s because you’re missing the long term goal here which is to become a millionaire 😂 he wants people to reach this goal and be debt free
@WatchList-xf8ic Жыл бұрын
I feel sorry for you. Because of Dave's influence in your life, you will not be poor, but you will most certainly never be rich. Shame.
@SteveTheDrummer2 жыл бұрын
I deeply respect both Dave and Graham, it warms my heart to see two people with similar theories and opposing theories sit and discuss the pros and cons of their philosophy. My hat is off to both Dave and Graham for doing this…
@JJ-mh3hb Жыл бұрын
Graham is a ftx grifter
@Immigrantlovesamerica Жыл бұрын
I mean, Dave has literally gotten millions of people out of debt and made several thousand millionaires with his strategies over the past 40 years. And Graham has only made himself richer all the while screwing people, like with the FTX scam and all the other credit card BS he used to push. They are not equals.
@ltmsimply Жыл бұрын
Agree. That’s the way it supposed to be as we grow from other’s mistakes and experiences!
@jmc8076 Жыл бұрын
@@ltmsimply Cooperation and creativity vs competition and domination. We can also agree to disagree.
@Jenda-ld8dj10 ай бұрын
Concur. Most people today do not intelligently discuss anything without name calling and taking things personally.
@alexsteven.m64142 ай бұрын
Building wealth involves developing good habits like regularly putting money away in intervals for solid investments. Instead of trying to predict and prognosticate the stability of the market and precisely when the change is going to happen, a better strategy is simply having a portfolio that’s well prepared for any eventually, that’s how some folks' been averaging 150K every 7week these past 4months according to Bloomberg.
@PremSteve-yg4de2 ай бұрын
The professionals presently control the market since they not only have the essential business strategy but also have access to inside information that the general public is not aware of.
@Tanner-c2m2 ай бұрын
The issue is most people have the “I will do it myself mentality” but not skilled enough. Ideally, advisors are perfect reps for investing jobs and at first-hand experience, my portfolio has yielded over 350%, since covid-outbreak to date, summing up nearly $1m.
@antoniaribeiro80732 ай бұрын
How can I participate in this? I sincerely aspire to establish a secure financlal future and am eager to participate. Who is the driving force behind your success?
@Tanner-c2m2 ай бұрын
Rebecca Nassar Dunne is the licensed advisor I use. Just research the name. You’d find necessary details to work with to set up an appointment
@belobelonce352 ай бұрын
Thanks for the advice. The search for your coach was simple. I investigated her well before using her services. Considering her résumé, she appears competent.
@kpboost2 жыл бұрын
What he said about people in the real estate business is so true. They are taught to preach that the market always goes up and there’s no risk involved in buying a home or investing in a property. Most agents and mortgage loan officers are just out here acting like used car salesman and trying to hit their sales goals. They don’t care if you foreclose or lose money on a deal and get stuck in it for years longer than you forecasted. I see a lot of first time homebuyers in the near future regretting buying at the highs the past few years.
@ralph43702 жыл бұрын
During my days of Real Estate. The person who was the main broker in charge of the office. Lets say manager. He stated "I don't know why young people are not buying houses. They rather rent than buy? Can you belive. It is up to us to show them why its better to have skin in the game" I heard another agent about my age or slightly older say the samething. I counter it by saying "Can you blame them for not buying? Its cheaper to rent if your not staying long at one location. With people moving around, and upsizing and downsizing and also who can afford a home? Also if you rent its on the landlord to fix yours place not you. Landlord pays the property taxes, insurance and etc. Explain." He had no words other than "huh its hard to argue and I do agree the manager doesn't see it that way"
@TwinsAndAPitBull2 жыл бұрын
@@ralph4370 I definitely agree with this. I renovated my own home at 25, built $40k in net equity, and plan to turn it into a cash flowing rental in a year or two when I move, but that's a lot of work people can't manage as easily if they are moving around or their work or skillset doesn't permit. I'd never chastise someone for doing what's right for their situation.
@williamvea4418 Жыл бұрын
there are a lot more ppl on the sidelines wishing they bought a couple years ago when rates were below 3
@Roland597 Жыл бұрын
It really depends on what you bought and why. Houses are vehicles for living before they are investment vehicles. If someone bought a house thinking they will get to flip it in 3-7 years and come out 80% up from 2022, then yeah they are bound to be disappointed. If someone bought a house that had an ARM loan and they could barely afford it to begin with, then yeah its probably going to blow up in their face. These are risky things. People shouldn't buy homes assuming they can sell at year 7 and turn a profit. Well thought out risk management in home buying is understanding that the risk is really in the opportunity costs of not being able to sell and move when you want. Not the loss of capital. Its removing the down payment from your investment pool and shifting it into building equity. Most of the time that starts around year 5, and it can be longer if you buy high and end up having to wait for a good market to sell.
@GossAug Жыл бұрын
Unless these are just the new lows. We printed 5x the money supply…if you don’t own assets you missed out
@brandonbrooks6780 Жыл бұрын
As a former Dave Ramsey follower turned cynic, if I’m being honest, after this recent economic downturn, his principles have started to look very appealing. I’m really starting to come around to the idea that slow and steady may in fact be the better way. Especially if you can find a career that you truly enjoy and don’t need to escape from.
@user-tl5yb1jy7c Жыл бұрын
What economic downturn?
@the_expidition427 Жыл бұрын
@@user-tl5yb1jy7c The one that has been happening for the last 6 months
@user-tl5yb1jy7c Жыл бұрын
@@the_expidition427 how so?
@the_expidition427 Жыл бұрын
@@user-tl5yb1jy7c What nation are you in? There is the rising rate environment, highest credit card usage seen in many years, high prices, high inflation year over year.
@user-tl5yb1jy7c Жыл бұрын
@@the_expidition427 I'm in Houston Tx. There is inflation but people have jobs and things are generally fine w economy here.
@JMKING20082 жыл бұрын
"When the tide goes out, you can tell who's skinny dipping." Damn! That's one hell of a quote from Buffet.
@Run4Ever772 жыл бұрын
Yes, brilliant quote. And there is even a little more to the quote... It is actually: "It's ONLY when the tide goes out, that you discover who's been swimming naked."
@Run4Ever772 жыл бұрын
@@VuuHere And: “You only learn who has been swimming naked when the tide goes out.” - Warren Buffett, Letter to shareholders, Feb. 2003
@allenpriest89855 ай бұрын
Tide goes out twice a day...
@gm24074 ай бұрын
@@allenpriest8985Can't time the market and some positions change rapidly. But when the tide goes out if you got it wrong everyone knows.
@samuel.carlson2 жыл бұрын
Dave answers here very well in my view. He’s taken his life experience and learned the lessons that came his way; can’t be mad at a guy who decides not to take on unnecessary leverage. Love his life, love his career and his heart to serve people sincerely to help them get out of debt. Maybe don’t agree with him on everything, but it’s evident God has worked to use Dave experiences and trials for his own edification, and for the edification of many others. Praise God.
@TheOnlyWayYeshua9 ай бұрын
This is it
@madhatter36875 ай бұрын
@jamesof7sevenLike taking out a $500,000 loan with $100,000 down payment and using that for an investment (property, mutual funds, whatever) instead of just using the $100,000. Its more risky but if it pays off you get rich quicker, etc. If the investment goes down you go in debt/bankrupt.
@ToblerX2 жыл бұрын
I've used debt on almost every investment. But each and every time I'm thinking about the worst case. 'Do I have enough cash if shit hits the fan?" "What if the market drops 20%, 30% 50%?" Debt can be amazing or it can end you. You can never forget that.
@bamabackroads1203 Жыл бұрын
Exactly. Risk is factored in if you're smart, you just don't let it stop you.
@Ratkill9000 Жыл бұрын
That's why it's better to have very little to no risk involved. He says that using debt to amass wealth can work, at greater risk and know what you are doing. But it's just better to have little to no risk. Less chances of getting hurt for the long haul.
@misterdeluxia594811 ай бұрын
@@Ratkill9000 theres going to be risk regardless, you could be debt free and end up screwed. Your banks and investments arent 100% bulletproof. If you can stomach the attention needed theres almost no reason to go againts debt.
@IQLion10 ай бұрын
@@Ratkill9000I work in cyber, so risk is something we talk about every day. What I find Dave talking about is very naive. If you don't have any debt that does not mean you have zero risk. In fact, there are some instances where not having your own money invested can pay off. If a property is lost, having your insurance work directly with a lender, while you make a monthly payment is way better than having capital just sitting there until you can recoup the costs. Yes, you want to minimize the risk, but if you take it too far, it can certainly bite you.
@Rome1017Lights10 ай бұрын
@@misterdeluxia5948if you look at every stock market fall, it's always sudden, and extremely quick. It's just the same as when you build a house vs knock it down or start a business vs going under. Yes investments aren't bulletproof, nothing ever is. But investing over time, guarantees that the losses you see won't be as dramatic as if you invest quickly and gain quickly. Your investments have had years and years to grow overtime, so in 10 years it could be 120% up, if it drops 20% one year in a crash, it's not going to hurt anywhere near as much as if you invest in something quick like crypto or single stocks that can fall just as quickly as they rise.
@olabashanda2 жыл бұрын
“The borrower is the lender’s slave” is so straight forward Proceed at your own risk. Including the axiom that risk yields reward.
@quixomega2 жыл бұрын
It's also a religious principal that doesn't make sense if you're not Christian. Proverbs 22:7
@NoRegertsHere2 жыл бұрын
The bible is cool with slavery though
@olabashanda2 жыл бұрын
Unsecured debt being a bad idea is something most of the entire planet realizes the danger in. Yet most of us do MANY things that are dangerous and/or stupid
@jbriscella2 жыл бұрын
@@quixomega how does it not make sense if your not a Christian?
@Brian-vk1hm2 жыл бұрын
Didn’t they also hate gays and kill people with holes into their clothes in that book?
@SeraphsWitness Жыл бұрын
Dave knows what he's talking about. He's more than just a math/finance guy. That's what people miss in their conversations about him. He's explaining that people don't behave in purely calculated mathematical ways. That the world is more complicated than that. Yes, in a vacuum with very predictable variables, debt is a much smaller issue. But in the real world, that's not how people operate. And that's his audience. The mainstream typical spender.
@danh.3675 Жыл бұрын
There might be someone out there who finds that debt is good for them, but it certainly is not me. Thanks to Dave for helping to make debt a 4-letter word in my house. My wife, while slow to get on board, can see the benefits now of no payments, to anyone, anywhere, anytime. Debt-free since Jan. 2020.
@insideoutsideupsidedown2218 Жыл бұрын
Just in time…
@thecurrentmoment Жыл бұрын
Do you use 'debt' as a swear word when something bad happens? Maybe try it
@DEBTFREEMIKE769 Жыл бұрын
I was curious if you use credit or only debit cards?
@barnabusdoyle4930 Жыл бұрын
Dave’s advice for getting out of debt and budgeting is god tier and has helped millions of people. His problem is that his view on debt is like the view on alcohol from a former alcoholic.
@baderaw25 Жыл бұрын
Debt sucks so why teach how to use “good debt” to the masses when the vast majority of the masses will end up in bad debt trying to use “good debt” be become rich. I would argue “Good debt” teachers have unintentionally hurt more people then they have helped.
@blakedjameson Жыл бұрын
Yes he’s right, alcohol is always bad
@guppy71911 ай бұрын
@@baderaw25 The arguement on is it overall good or bad. Is how much is a little leveraging going to cause a bunch of people to fuck up and ruin their lives. Stuff like that is just hard to quantify. Because mathematically it makes sense if everyone does it perfectly and responsibly but you know some of them wont.
@baderaw2511 ай бұрын
@@guppy719 Exactly
@devotedrealestate154011 ай бұрын
excellent analogy and agreed, i use his getting out of debt "snowball method" for consumer debt but im also on the flip side of the coin and realize theres no way to grow for a guy like me started from nothing except to use OPM
@NathansNostalgia2 жыл бұрын
I really appreciate getting the chance to hear Dave talk about debt besides his usual “Debt = Bad”. I would love to hear him talk a little more about his philosophy in this manner
@Camz3162 жыл бұрын
This is how Dave always talks you probably should listen to him and not what others say he says.
@Gardslawns2 жыл бұрын
You have to remember his radio show is meant to drive in revenue. He is going to be boisterous and firm in his beliefs, it’s his show and he does what he wants lol. He is aware there are more ways to skin a cat. I’m personally debt free but my business uses debt wisely to do what I need to do (lawn care) if I used the debt free mentality to build the business I’d grow at a much slower pace and that doesn’t fit my kind of business. I know exactly what he’d say if I called into the show is to use what I have but I couldn’t do the amount of work I have with a push mower lol
@aaronqueen552 жыл бұрын
@@Gardslawns “uses debt wisely” is nonsensical. You choose to take on the risk of debt because, as Dave even says in this video, it can create wealth faster. And millions of people choose to take on the risk of debt with possibly the majority of them ending up losing it all. Hopefully you win the game of risk you chose to play.
@Gardslawns2 жыл бұрын
@@aaronqueen55 yeah we have the cash on hand to pay for the equipment, we haven’t gone crazy buying 3 brand new trucks, buying 10 new mowers and all of that stuff that sinks lawn care companies. The marketing, cost of goods, maintenance and repairs are what we spend the cash on. As things progress we will have to use cash for equipment because cash on hand in a business is a liability in its self. But yes had we not used the financing we would have grown much, much slower
@kmcclarney2 жыл бұрын
He used to talk a lot more like this but about 2 or 3 years ago I noticed he reduced the amount of time spent on each caller and they have added more talking time for their other personalities they are try to grow on the show. I've felt like it has made him come across at times as the grumpy old man yelling debt is bad...next caller Good on him for doing this
@APennyPinchersGuide2 жыл бұрын
What an excellent conversation! I've always wanted Dave Ramsey to address the concept of beta (risk) when dealing with leveraged investments, but never heard it on his podcast. Thanks Graham for putting this out there for us to all see!
@user-bd1dr3ui8k2 жыл бұрын
Thanks for that mature adult like remark! Always good catching up with you, Leave me a msg I’ve got something essential to share ⬆️..
@Swagalious6892 жыл бұрын
Dave is speaking wisdom. He acknowledges good debt but says it can be a double edge sword and quickly ruin your life at a moments notice. At the end of day debt is fire and when you play with it you have to accept you can get burnt. Best way to handle debt is to know how much your willing to lose when things go south and have a real prospective at whats at stake .
@anonymoususer18242 жыл бұрын
Very well said
@docsays2 жыл бұрын
True. And on a cold night that same fire may keep you warm and safe while providing light. But yes, there is always risk of getting burnt.
@colin18182 жыл бұрын
If it can quickly ruin your life is it really "good" debt?
@insulatoru88172 жыл бұрын
Yes but also let’s not ferget peeing da bed
@MikeThePike3162 жыл бұрын
@@docsays Safety is an illusion when it comes to debt. I'm sure the bankrupt companies that leveraged debt felt safe right up until the loans got called 😂.
@bryanlark28982 жыл бұрын
Dave’s answer was incredibly valid. I’m leveraged on an investment and “plan” to do incredibly well on it but things could always go sideways. Nice perspective on risk Dave!
@SportZFan4L1fe2 жыл бұрын
Before Dave Ramsey I was broke and living paycheck to paycheck. After applying his principles, I've had more money in my account than I've ever had. I'm sticking with Dave's Principles.
@TheOnlyWayYeshua9 ай бұрын
A smart man
@JermA-xx4zw6 ай бұрын
Seriously why does Dave get credit for speaking some simple truth. It's budgeting 101!!!
@marcusagrippa80786 ай бұрын
@@JermA-xx4zwI was broke with a repoed car and never heard of him and when I got a decent job I knew what not to do after that and still never heard of him until years later studying financial things. I think he gives people hope. They know what to do, but don’t think they can do it. And he breaks it down into little pieces to where it doesn’t seem so overwhelming.
@farzana66765 ай бұрын
@@JermA-xx4zw Because he drills that philosophy into your brain.
@briandickens9608 Жыл бұрын
I LOVE that’s there’s still people in the world that have two different opinions and can talk about it!
@SpillCity Жыл бұрын
I've been watching Dave Ramsey for years and have never heard him talk this in-depth about the ins and outs of the financial system. He does a great job of making it simple for people on his show/with his plan, but his knowledge is deep and impressive.
@jobunaga41789 ай бұрын
i think if he approached the people who call into his show at this level, they would get lost in the complexity. basic financial literacy is required to benefit from ramsey's comments here.
@heidithaw10722 жыл бұрын
Good to hear him in a different format.
@91Wildcat700 Жыл бұрын
Studying finance and hearing Dave talk about Betas is pretty cool because I’m studying finance right now and learned about Alphas and Betas in my investment analysis class this year. Really cool to see stuff you learn in the class room talked about outside of it.
@Mox-HoneyCommunity7 ай бұрын
Hey, hi, im sorry to ask you but, you think is a good idea to study finance? thats the one that i want to study but i dont know, is there a lot of math o what? if is not a problem to ask
@91Wildcat7007 ай бұрын
@@Mox-HoneyCommunity No worries long story short I graduated with my degree and now I am working on Wall St studying for my exams to become a Stockbroker. Yes there is a lot of math when you're in school its not too bad though. As a broker I am learning that you really don't need any math to do the job I am doing (client facing). We get most of our information from our analysts. If you want to be an analyst or investment banker you will definitely use the math that you learn. That being said I learned so much about rules and regulations in school that is helping me currently. If you have the opportunity I would highly recommend trying to get an internship it will help you get a job, and let you know what kind of area in finance you would like to work in.
@samuelmorales75802 жыл бұрын
I’ll tell you something about Dave. Whether you agree or disagree with him. He’s an amazing salesman. His ability to sell you an idea is top notch. One of the best. Really deserves the company he has
@tallswede802 жыл бұрын
not really a sales pitch. He's talking about the mathematics of risk analysis. Risk analysis is fundamental to all types of investment.
@geoffreyespinosa4311 Жыл бұрын
He’s also talking from his own experience of what happens when you’re over leveraged.
@sauce8277 Жыл бұрын
The best salesman is a honest person. Because they aren’t trying to sell you something you don’t actually need.
@mmp4952 жыл бұрын
Keeping it real and holding on strong to his principals. DR's system and his podcast have helped me tremendously. I am a single mom with a paid off house and 0 debt. My family and I are forever grateful❤🙏
@fettaboyproductions60222 жыл бұрын
I love controlled opposite Makes me proud to be an American !!!
@insulatoru88172 жыл бұрын
Congrats
@craigholland22742 жыл бұрын
What went wrong was dave was doing 90 day loans... Don't do that.
@craigholland22742 жыл бұрын
@Browsing No didn't miss the point. I got his point.
@drewskeez11562 жыл бұрын
Can you explain this? He always says "my loans got called and I got screwed" and it never made any sense to me. This means that they basically said you owe us everything on the loans right now? And this is not something possible with a traditional mortgage? Ive never heard of a 90 day loan. meaning it needs to be repaid in 90 days?
@craigholland22742 жыл бұрын
@@drewskeez1156 A bank can't just randomly call your note or your mortgage for any reason. So back when Dave was getting loans it was kind of a relationship based loan business to where the banker that was in the bank was giving loans that he probably shouldn't have been the dave was over leveraged on. They was taking out 90 day loans to do flips on houses which is very risky doesn't make a whole lot of sense. A new banker came in I saw that Dave was over leveraged and probably shouldn't have got the loans that he should have gotten and asked for assets which they didn't have to pay it and he was on 90 days to which he couldn't liquidate his properties come up with the balance.
@funtechu2 жыл бұрын
For what he was doing (short term house flips) 90 day notes are actually the correct product.
@JD-li8li2 жыл бұрын
@@craigholland2274 pretty sure Dave is richer than you.
@rist98 Жыл бұрын
This was delightful to hear. Dave speaking in a different setting. A setting for more hardcore investor types. And he is perfectly correct. Debt=risk. Not just reward.
@richardramfire39712 жыл бұрын
My father built the family business without taking risky loans. While his former boss lost everything because he was leveraged. The bank called in the loan in full. He couldn’t get the money so they seized his building, his house , cars. Etc. Lost everything
@bighands692 жыл бұрын
The exact same could happen with a mortgage but tends not to but the risk is still there.
@embg2 жыл бұрын
Guarantee there is more to the story than simply the loans being "called in full".. Also must be more to Ramsey's story than he wanted to share; guessing he was overleveraged in Hard Money loans, the market dipped and he was short of the cash flow to (a) service the loans or (b) to refinance.
@inertiaforce78462 жыл бұрын
My father got screwed when the Great Recession occurred. He defaulted on his debt and they foreclosed on his properties. When covid occurred the same thing happened again. Debt is a nightmare.
@richardramfire39712 жыл бұрын
@@embg he was making minimum payments on the loan but the bank was scared because there was a slowdown so they figured the best way to get there money was to screw him
@richardramfire39712 жыл бұрын
@@inertiaforce7846 that’s similar to what happened to that guy.
@stuntman2212 жыл бұрын
That is the most even keeled and thoughtful I’ve heard Dave Ramsey speak about debt on any form of media. I would like to hear him speak on more financial matters in this way.
@han12182 жыл бұрын
His audience on his main show is different. Different presentation.
@tahirisaid269311 ай бұрын
Reading books has really skyrocket the way I think about investing. Indeed, no one has ever got rich by saving money. If you want to become financially free, You need to Invest. I've come to realize that the key to amassing wealth lies in making sound investments.
@georgestone012311 ай бұрын
Yeah, You're Right! According to a book writer; ‘What everyone needs is to work with a financial advisor, who can help you get in and out of any investment at any time and you'd sure be in profit.
@tahirisaid269311 ай бұрын
Whichever firm you select, make sure you get your insurance from a reputable financial adviser, such as *Jenny Pamogas Canaya,* who has dedicated her career to financial planning. Because they will assist you in escalating, navigating better, and completing the task in a safer manner.||
@georgestone012311 ай бұрын
I've come across several positive endorsements of Jenny Pamogas Canaya on various platforms, including KZbin channels, seminars, and more._
@georgestone012311 ай бұрын
Thanks to these recommendations, I successfully located her online profile and have already reached out to her with a message
@JustinCase7802 жыл бұрын
Papa Dave is AWESOME.
@peanutbutterisfu11 ай бұрын
My father inlaw (rip) owned a heavy equipment business, he owned all his equipment out right, other business owners in his industry would tell him how he’s stupid for not owning all brand new equipment and when the housing market crashed he was one of the very few companies that made it through in our area because he didn’t owe anything.
@brandondobschutz51462 жыл бұрын
I read multiple Dave Ramsey books, on and off radio listener during my mid 20s (2010-2015) Now I am a multi millionaire, debt free commercial construction business. I had $300 to my name 6 years ago. Thank you Dave Ramsey, among others to my success.
@justinhc1232 жыл бұрын
Awesome! Where do you live?
@jamesdean67442 жыл бұрын
I just want to say thanks to Kanye’s work out plan I am now in control of my finances and my own boss.
@inertiaforce78462 жыл бұрын
@@justinhc123 He lives in Don'tworryaboutit. That's where he lives.
@bangladeshirealtor2 жыл бұрын
@@justinhc123 lol that’s a bit intrusive
@user-bd1dr3ui8k2 жыл бұрын
Thanks for that mature adult like remark! Always good catching up with you, Leave me a msg I’ve got something essential to share ⬆️.....
@jackie.mendoza2 жыл бұрын
Dude, Dave is CONFIDENT in what he's teaching and what he does for a living. He stands on his faith and values till he dies and I love it!
@michaelpalumbo48802 жыл бұрын
Just remember, Dave doesn't make his money by following his baby steps. He makes his money as a content provider.
@jackie.mendoza2 жыл бұрын
@@michaelpalumbo4880 yes but people who follow him are living debt free and growing wealth it’s incredible! His methods got him to where he is today!
@XxChuyoxX2 жыл бұрын
@@jackie.mendoza his methods don't grow incredible wealth lol he teaches the undisciplined how to be disciplined with their budget. He's good for staying out of debt but he also shills his mutual funds with high fees.
@jackie.mendoza2 жыл бұрын
@@XxChuyoxX I read making millionaires and I beg to differ! (Millions is incredible wealth to me lol)
@ariefraiser1402 жыл бұрын
@@jackie.mendoza Many more who've never heard of Dave Ramsey are also living debt free. Let's not get carried away here. And while his advice is mostly good there are some serious glaring holes in his baby steps.
@justins57562 жыл бұрын
Dave is right, more debt = more risk, so if you know how to manage your risk debt isn’t bad. The problem occurs when you can’t calculate your risk, just look at what happened to archegos and Melvin capital
@inertiaforce78462 жыл бұрын
The problem is that a lot of people who thought they knew how to calculate risk turned out they didn't. Debt always seems to bite you in the ass.
@justins57562 жыл бұрын
@@inertiaforce7846 it’s pretty fun In fact these people were a hedge fund with so called the smartest people in the world working for them yet they couldn’t understand risk because greed got the best out of them
@inertiaforce78462 жыл бұрын
@@justins5756 I just got into an argument with some moron about debt over the last 3 days on KZbin he kept telling me how Ramsey doesn't know what he's talking about and how risk can be managed and all kinds of other nonsense. It's frustrating as hell I don't know why it's so hard for some people to see the obvious.
@justins57562 жыл бұрын
@@inertiaforce7846 Im not about always being debt free but people should understand that most people can’t handle the burden of debt over their head and you will feel better if you have no debt. If you have the money pay it off, now I am against paying cash for a brand new car that’s just a lose lose
@user-bd1dr3ui8k2 жыл бұрын
Thanks for that mature adult like remark! Always good catching up with you, Leave me a msg I’ve got something essential to share ⬆️.....
@thursday42672 жыл бұрын
When I read the title I thought this was gonna be more like a witch hunt argument, but it was actually an intellectual discussion. Great video!
@sreng81 Жыл бұрын
Ramsey follower here. Excelent video. DRS callers are often in deep financial trouble. They need direct simple advice to stop the bleeding. He provides it. Other callers ask questions like this video. He gives them answers like this video, although this Q&A was really well done. Thanks to all.
@mensb1936 Жыл бұрын
It's clear that Dave Ramsey haters don't even watch his videos. I think they just hear about him and immediately get defensive about being in debt.
@hlhl26912 жыл бұрын
Seeing @dave ramsey stepping out of his box is refreshing! Way to go Dave!
@-Wreckanize-2 жыл бұрын
In my opinion, Dave gives his "zero debt and pay off mortgage first to become wealthy" because it works for 100% of people who take this advice. If you tell people to invest (regardless of investment risk) while carrying a mortgage, it may only work for half of those that do it (or less).
@nothingtoseehere962 жыл бұрын
I think the real question is how many people actually know how to calculate risk and arbitrage it correctly? Basically nobody. 90 percent of people who took out hundreds of thousands of dollars on student loans for useless degrees? People who bought 50k cars that break in 3 years? A good chunk of the US population can't even do simple addition and subtraction, don't even know how many states there are, or even if the Earth goes around the Sun or if evolution is true. Given that most people are idiots, they should not do risky things.
@davidpatton22962 жыл бұрын
It doesn’t work for 100% of people. Paying off your mortgage rather than investing is poor advice.
@-Wreckanize-2 жыл бұрын
@@davidpatton2296 No it's not. Teaching the mass public (key phrase) to pay off all debts before investing will work for the general public. Teaching someone to invest while carrying debt (or leveraging debt) is like teaching someone how to gamble and come out profitable. I agree that you can teach someone to leverage debt to invest, and with some calculated risk, come out ahead, (just like teaching someone to come out ahead in blackjack) but this advice is not for the general public.
@supermanalexk2 жыл бұрын
He tells people to invest 15% of your income, and then put anything left over to pay of your house.
@davepatton75292 жыл бұрын
@@-Wreckanize- Wrong
@flytyingtex Жыл бұрын
Finally a quality video of Dave explaining his take without trying to make it a 30 second slam dunk clip for his show. This makes his stance way more understandable but I’m still going to be using debt to invest in rentals. He’s right, using debt is risk and that just means he is very risk averse. I can respect that. What I never agreed with is when he’s ranting about RE investors or home buyers that are willing and able to take on the risks of buying properties w debt and doing it in a way that is responsible. An example is that he often criticizes ppl who want to buy a home w less than 20% down or with anything longer than a 15 year mortgage. Owning a property for years even w PMI will often times be more beneficial to the buyer because they will have gained equity while the property has also increased in value. It doesn’t always work that way but taking that risk in an area that is growing can definitely be worth it for a lot of ppl. I think Dave’s advice is amazing for most normal folks struggling with consumer/educational debt. He’s definitely helped a ton of ppl.
@WesTheMarketer Жыл бұрын
Loved hearing this answer from Dave. In the end, he tries to keep things as simple as possible for as many people as possible. Those interested in good debt are outside his target.
@haynesatteh44632 жыл бұрын
I wasnt financial free until my 40’s and I’m still in my 40’s, bought my third house already, earn on a monthly through passive income and got 4 out of 5 goals, just hope it encourages someone that it doesn’t matter if you don’t have any of them right now, you can start TODAY regardless your age INVEST and change your future! Investing in the financial market is a grand choice I made. Great video! Thanks for sharing!Very inspiring! I love this.
@jackroyston32632 жыл бұрын
I understand the fact that tomorrow isn't promised to anyone, but investing today is a hard thing to do for me now because I have no idea of how and where to invest in.I would be happy if you could advise me based on how you went about yours, as I am ready to go the passive income path.?
@haynesatteh44632 жыл бұрын
@@jackroyston3263 Will advice you consult ASHLEY AIRAGAHI an investment advisor who will help assist you navigate your options and see you through the procedures of achieving your dream portfolio
@jackroyston32632 жыл бұрын
@@haynesatteh4463 That’s great , your investment advisor must be really good,I have seen testimonies of people using the help of investment advisors in making them more financial stable. Do you mind sharing more info on this person??
@haynesatteh44632 жыл бұрын
@@jackroyston3263 look her up on the internet and leave her a message, she's quite popular for her services as she was recently featured on cnn. She can work with anyone irrespective of where your located
@jackroyston32632 жыл бұрын
@@haynesatteh4463 Thank you, i just found her website.
@zrkst2 жыл бұрын
Buffett also said many times that Volatility does not measure risk. If you own a piece of a business (stock) and its quote goes up and down every day a lot, you don't have to buy or sell each time. Mr. Market analogy, Chapter 8 in The Intelligent Investor. Really worth reading! Great to hear you guys on the podcast together, it finally happened, so glad 😄
@bighands692 жыл бұрын
That only applies to the holding of an actual asset not the holding of debt. So when a person holds a stock that has been gained through the use of debt there most certainly is relationship between volatility and risk.
@franco5212 жыл бұрын
If you used margin to buy that piece of business or that asset, and if the market thinks that asset is worth very little, then you're going to receive a margin call.
@inertiaforce78462 жыл бұрын
@@franco521 Bingo.
@inertiaforce78462 жыл бұрын
@@bighands69 Bingo
@Bobbyholland9015 ай бұрын
This is very good and I appreciate the dialogue. I think what it boils down to is risk tolerance.
@pmw3839 Жыл бұрын
This is all so on point. Totally agree with everything he says. Risk is stress. Security and peace of mind matter far more to me than maths. None of us knows what’s round the corner.
@youngmicah818 ай бұрын
but what if i’m not stressed by my debt. My car loan and and my student loan isn’t even a 1/4th of my take home pay a month. I get more returns and higher interest on my stock investments then they money I lose by paying interest
@samholder196 Жыл бұрын
this was a MUCH more nuanced, complex and thoughtful answer than I was expecting. Props.
@zorkman1112 жыл бұрын
Props to Dave Ramsey for having a leveled discussion that goes way more in depth than he talks about on his radio show.
@user-bd1dr3ui8k2 жыл бұрын
Thanks for that mature adult like remark! Always good catching up with you, Leave me a msg I’ve got something essential to share ⬆️..
@amireallythatgrumpy65082 жыл бұрын
He spends most of his time talking to idiots. He speaks their language when speaking to them..
@smoovethetrucker19262 жыл бұрын
Yess!! Can't believe you guys got the GOAT Dave Ramsey on the podcast. Mad props 👏
@jasonbroom714710 ай бұрын
If a guy owns $600M in real estate and is 100% debt-free, you should probably listen to what he has to say about buying and selling real estate. OPM is catchy and sexy, but that's not how truly wealthy people got there. They did it by being smart and boring.
@JJ-zr6fu29 күн бұрын
He didn’t get rich by what he teaches. He got rich by teaching. No one who listens to his advice will get as rich as him because it’s mathematically impossible for most people and the ones it would be possible for will do it a different more effective way. Even people making over a million a year won’t be able to reach his level.
@jasonbroom714728 күн бұрын
@@JJ-zr6fu - He got rich by teaching...and yet, you're still not learning.
@walterraschenbach4068 Жыл бұрын
Whatever people's thoughts on Dave, FPU was phenomenal for me. It motivated me and made me believe I could do something about my debt, and to knuckle down and face the long-term effort of getting debt free. It took 12 years but I got out, and I've lived my first year as an adult without debt. In no small measure, I owe him for that.
@Mr.Lateralus Жыл бұрын
Dave couldn’t have explained this any better…. Thank you, Dave.
@waltersobchak80802 жыл бұрын
"Good debt" principles should only be applied to something that generates profit. Too many people think minimum payments on a credit card is "good debt". That $400 purse or $60k new car is not generating any value.
@Zachery_2 жыл бұрын
Honestly I think even a car payment could be good debt depending on the interest IF you were going to buy the car anyway, I paid for my car in cash during a time where borrowing money was extremely cheap, maybe I should have done payments and kept more in the bank to invest
@waltersobchak80802 жыл бұрын
@@Zachery_ i personally save pre-tax so I really treat anything in the bank as a nest egg if i were to fall on hard times. I have the minimum in 401k to receive full company match with the rest in an S&P index fund
@user-bd1dr3ui8k2 жыл бұрын
Thanks for that mature adult like remark! Always good catching up with you, Leave me a msg I’ve got something essential to share ⬆️....
@travisminneapolis2 жыл бұрын
30 year FIXED mortgage loans are very different than 90 day hard money (short term loans). The RISK Dave keeps hitting on is dramatically different when you have a 30 year FIXED versus 90 day notes that can be called on.
@av12042 жыл бұрын
yes and all these kids grew up in a real estate market that has never had a down slide.
@ryanburnham99862 жыл бұрын
@@av1204 Graham literally started his career in the middle of a housing crash lol
@av12042 жыл бұрын
@@ryanburnham9986 no he bought houses at the bottom of a crash. That is different than owning what he owns now in the middle of a crash.
@rushabhtrivedy2134 Жыл бұрын
Great insight at 3:50 - "IRR doesn't recognise Risk" Important to assess both.
@_nik2 жыл бұрын
have a lot more respect for dave after this clip. he gives his blanket advise because it's easy and safe, not because it's the best way for all scenarios. more knowledge = able to take more "risk" safely
@_nik2 жыл бұрын
@Go Jojo ? more knowledge does = ability to take more "risk", because it's not risk if you know what you're doing... was just saying that this clip gave me more respect for Dave's financial understanding, since most of his advise is beginner and only fit for people who literally know nothing and have no plans to learn more. this is the first clip I've seen of him that showed a true understanding of finance, thus increasing my understanding and respect of his opinion (not that he or you care, or should care)
@williamswinimer9650 Жыл бұрын
So cool to finally see these guys in a room together!
@kierah16 Жыл бұрын
Great work, Graham and team! A+!! Thanks for not being afraid to introduce some new ideas on your channel.
@israel-r72 ай бұрын
Amazing video, A friend of mine referred me to a financial adviser sometime ago and we got to talking about investment and money. I started investing with $150k and in the first 2 months, my portfolio was reading $274,800. Crazy right!, I decided to reinvest my profit and get more interesting. For over a year we have been working together making consistent profit just bought my second home 2 weeks ago and care for my family.
@BarbaraHarper-c1p2 ай бұрын
Hi. I’ve been forced to find additional sources of income as I got retrenched. I barely have time to continue trading and watch my investments since I had my second child. Do you think I should take a break for a while from the market and focus on other things or return whenever I have free time or is it a continuous process? Thanks
@israel-r72 ай бұрын
@@BarbaraHarper-c1p However, if you do not have access to a professional like Clementina Abate Russo, quitting your job to focus on trading may not be the best approach. It is important to consider all options and seek guidance from reliable sources before making any major decisions. Consulting with an AI or using automated trading systems can also be helpful in managing investments while balancing other commitments.
@BarbaraHarper-c1p2 ай бұрын
@@israel-r7 Oh please I’d love that. Thanks!
@israel-r72 ай бұрын
@@BarbaraHarper-c1p Clementina Abate Russo is her name
@israel-r72 ай бұрын
Lookup with her name on the webpage.
@HannahbenowitzАй бұрын
It's worrying that big financial firms could own 40% or more of homes, squeezing out the middle class. Most folks should hold onto their homes if they can. I'm thinking of buying cheap houses in 2024 and maybe trying stocks too. When's the best time for stocks? Some say it's profitable, others say it's risky. Any advice?
@PennyBergeron-os4chАй бұрын
I believe the retirement crisis will get even worse. Many struggle to save due to low wages, rising prices, and exorbitant rents. With homeownership becoming unattainable for middle-class Americans, they may not have a home to rely on for retirement either.
@bartlyADАй бұрын
Accurate asset allocation is crucial. Some use hedging or defensive assets in their portfolio for market downturns. Seeking financial advice is vital. This approach has kept me financially secure for over five years, with a return on investment of nearly $1 million.
@HildaBennetАй бұрын
Mind if I ask you to recommend this particular coach you using their service?
@bartlyADАй бұрын
REBECCA NOBLETT ROBERTS is the licensed advisor I use. Just search the name. You’d find necessary details to work with to set up an appointment.
@HildaBennetАй бұрын
Thanks a lot for this recommendation. I just looked her up, and I have sent her an email. I hope she gets back to me soon.
@alexanderlyon2 жыл бұрын
I'll bet most people watching know more than one real estate investor who is leveraged beyond advisable levels. The industry seems to attract people who are all gas pedal and no brake. That said, while risk isn't part of the calculations on the spreadsheet, most investors I know look pretty carefully at the possible downside of a deal.
@bighands692 жыл бұрын
That cannot be true because if it was many would not take out debt
@gregabrams5792 Жыл бұрын
I'm impressed. Never heard Dave go that in depth
@l.j.willis21616 ай бұрын
4:56 for those of you who wanted to know the pitch, it’s C3, the third C on the piano
@patriciaemma16922 жыл бұрын
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@lucyameliaflynn47682 жыл бұрын
Trading with Josef Dennis signals completely altered my perspective on bitcoin because, despite everyone's complaints and fears, I was able to expand my portfolio from 6 BTC to 27 BTC in just 7 weeks with active trading…
@castroguo44242 жыл бұрын
Crypto currency and NFTS will outsmart the banking system in the nearest future serving as a global fiat. Already making over 85% profit from my current investment with the help of Josef Dennis's signal
@richardnicholas96542 жыл бұрын
I'll agree with you because I've used he's strategy in the past and was able to raise a total profit of 10.5 BTC in 6 weeks.
@kenedyright2322 жыл бұрын
I want to make good profits and learn how to stop loss..
@corneliahenriettaalbert51742 жыл бұрын
Trading with Josef Dennis have change my life from financially misfortune, I like to introduce you all to him and his strategic method of trading works perfectly well.
@MattsGamblingSlots2 ай бұрын
I like how they go to each other's studios. Now this is Graham Field Advantage
@ph_hacker_d Жыл бұрын
Wow. Impressive answer. I knew he was sharp, but had never heard him in a full question answer format. Great job interviewers for letting him fully answer!
@RETRONEXT7 ай бұрын
This is a much better analysis of finances than how Dave typically presents on his own show, where debt is vilified as a sin-like act of self-servitude and not approached with nuance about someone’s particular risk tolerance at any given time, given their situation. I think if he presented with this much complexity normally people would have a lot more respect for his recommendations. Instead he comes across as so simplistic and detached it pushes many folks who are in reasonable situations regarding debt away who might otherwise benefit from his advice.
@RussFedorov Жыл бұрын
Honestly I don't think Dave Ramsey is dumb like a lot of people say, it just comes down to how much risk you want to take on in your financial life. He just simply likes avoiding it and tells others to avoid risk as well.
@jamalnasir5648 Жыл бұрын
sure but his theory of eating ramen noodles for 10 years and saving up for a house to pay with cash isnt really realistic either
@RussFedorov Жыл бұрын
@@jamalnasir5648 well yeah haha, especially with house prices moving faster than you can save.
@millier.206 Жыл бұрын
@@RussFedorovit’s already moved beyond my scope of comfort lol guess I’m renting.
@BrandurnPorchiga Жыл бұрын
Really the guy who is a multimillionaire is not dumb? Seems like he’s a lot smarter than all the broke people calling him dumb to me.
@AaronCMounts8 ай бұрын
Debt is like fire. It's dangerous and it can severely harm or even kill you in several different ways. But if you're thoughtful, careful and deliberate in your interactions with debt, you can come up with specific ways to make it work in your favor.
@BlackScreen552 жыл бұрын
A Grant Cardone ad came on after the video finished 😂🤦🏾♂️
@TheOnlyWayYeshua9 ай бұрын
😂
@Irene1208Lano5 ай бұрын
Thanks for having Dave Ramsey and George Kamel on your channel.
@DocLegendary2 жыл бұрын
Dave Ramsey did an awesome job answering this question. Great video. That Warren Buffet quote is perfect!
@americandissident90629 ай бұрын
Been following DR’s plan for several years. We now have zero debt, and are just working on paying off our mortgage.
@pmh1nic2 жыл бұрын
I think Dave puts his Christian faith ahead of potential profit. Yes, you can intelligently manage debt to increase your potential for profit but in his mind that potential benefit isn't worth sacrificing the principles of his faith. I agree with him.
@bighands692 жыл бұрын
For the average saver/investor debt is not a good thing. For a business investment it can be a great tool but that depends on the person using it.
@jdizzle63242 жыл бұрын
How, in Christian faith, can you use your life to chase money? Do you think Jesus was rich?
@pmh1nic2 жыл бұрын
@@jdizzle6324 In think you have a warped understanding of the Christian faith. Not everyone is called into full time teaching, preaching ministry. God gives most people talents to use to create products and services to enrich the lives of others. There is nothing in the Bible to teaches against making a profit from your work. I don’t think you have any idea how much money Dave gives to churches or other charitable organizations. He is chasing the purpose for why God put him here and in doing that he has helped hundreds of thousands if not millions of people get out of debt and get the finances lined up with Biblical principles.
@wittenberg52 жыл бұрын
@@jdizzle6324 "hard work and planning lead to prosperity but hasty shortcuts end in poverty.." - the Bible
@jdizzle63242 жыл бұрын
@@pmh1nic Does the Bible not teach to sell your land, sell your things and come to Jesus? Does dave not own hundreds of million of dollars worth of real estate? Does Dave invest in the stock market? Ya know......the belly of the beast. Daves whole life in about making a monetary profit......MONEY. Was Jesus's followers filthy rich? Did they purchase all the land they could afford? You can't and won't answer a single question. You love money. Dave loves money. 1 Timothy 6:10 For the love of money is the root of all evil: which while some coveted after, they have erred from the faith, and pierced themselves through with many sorrows.
@BonnieHalfElven2 жыл бұрын
I've always had an aversion to debt. I thought of it as a necessary evil. So when I found Dave Ramsey's plan, I knew it was a good fit for me. I won't be a millionaire on it, because I started it too late in life, but I will retire with a nest egg and no debt.
@foolfan832 жыл бұрын
DR: "I talked a guy into giving me 100%, and then I talked him into doing it again, and then I did it again for $1 million 2." Millennials: 😳
@zacpohlenz52522 жыл бұрын
"The IRR is agnostic to risk." That's a great way to put, never thought of it that way.
@jyoung52562 жыл бұрын
It’s agnostic to risk if you don’t factor risk into future cash flows
@IcyDeath914 ай бұрын
@@jyoung5256 you generally factor risk into future cash flows with your discount rate. However, there is no discount rate in an IRR analysis. That's what you're solving for. That's why NPV is to be preferred.
@jarrettjb2 жыл бұрын
Yeah debt is obviously the reason the vast amount of people should not add debt to their debt. And that’s why I built a business with zero investment required but real work and personal change paid in full. Figured I’d pay the price required for real cash flow by giving up some former fears and changing my thinking.
@05AcuraRSXtypeS2 ай бұрын
Dave changed my families life... Thank you uncle Dave.
@pmoses9872 жыл бұрын
That moment when you realize Dave Ramsey is actually pretty smart.
@mr.j4102 жыл бұрын
Same moment you realize you're stupid
@CB-rv2lj2 жыл бұрын
I never thought he wasn't can't relate.
@gr86er2 жыл бұрын
Dave is smart. Debt is dumb. Cash is king.😃
@bob154792 жыл бұрын
Thank goodness he came on here and redeemed himself cuz he comes off like an idiot on his show
@colin18182 жыл бұрын
We can disagree on some of the things he teaches, but if you ever thought he wasn't educated on this stuff then you're a fool.
@JohananRios Жыл бұрын
Great interview and really made me appreciate his stance more than i did before. It's true, accounting for risk is something a lot of people don't do in the real estate world. That being said, the younger you are the more you should take on that risk as you effectively have nothing (money, time, commitments etc.) to lose. Even in Dave's case he lost everything yet was able to rebuild and grow another empire.
@Nepthu2 жыл бұрын
The argument that "some debt is good" is like telling a drowning person that "some water is good for you." When it comes to finances, most people are drowning or tredding water.
@abrahamflores25662 жыл бұрын
Well then why is Dave okay with a mortgage on a primary home but not all other mortgages? Because debt is on a primary homes is less risk but risk nonetheless with amazing track record of prosperity. Investors using debt to prosper also mitage risk
@TheBswan2 жыл бұрын
Statistically incorrect to suggest that most people are drowning in debt. For those of us who have a steady income and responsible financial habits, understanding when/how to take debt is valuable. Easy example is taking out a mortgage to buy a house. Other example might be a low interest auto loan rather than paying cash so you can keep more assets in stocks which you expect to appreciate at a rate greater than that of the loan interest. Taking calculated, modest risks over decades of investing will yield better returns than holding an irrational fear of any and all debt.
@docsays2 жыл бұрын
Poor analogy. And that same will save a person in the desert
@innocentrage12 жыл бұрын
That's why David's prime pitch on his show is eat beans and drive a car from the 1980s until you pay the debt off because most of his callers are the ones drowning in debt. Debt is fine if you can do it responsibly.
@Jackal799 Жыл бұрын
What people outside of DR’s sphere with different opinions on debt rarely talk about is the psychological impact of carrying debt. I have a nice 6 figure income and carry zero debt outside of my mortgage. I could use my income to leverage and potentially make more money but the freedom of knowing that when stuff hits the fan I’ll be ok, feeds into lifestyle and overall wellbeing. I don’t need flashy things, just a calm and peaceful life. The guys sitting across from him were extremely gracious, kind, and thoughtful. They earned my respect even though I disagree with them. Well done.
@chrishallnyc2 жыл бұрын
No need to clickbait with “confront” when it’s a basic question delivered so kindly
@Danny-sx6cj2 жыл бұрын
This was awesome. Great question and I appreciate Dave elaborating on what he has made over the years an overly simplistic answer.
@nathanyeo26212 жыл бұрын
This was the best conversation to have ever come to light. Thanks guys.
@user-bd1dr3ui8k2 жыл бұрын
Thanks for that mature adult like remark! Always good catching up with you, Leave me a msg I’ve got something essential to share ⬆️.....
@blossr17 ай бұрын
This is the first honest conversation I have heard him have about debt. Usually he is dismissive and can't be taken seriously. He was honest and basically said he wants to guarantee as little risk as possible, for fair reasons, and thus debt doesn't allow for that. Thank you for being honest.
@embg2 жыл бұрын
The type of debt scenario Ramsey replied with ("90 day paper", etc.) is very different from the question posed by the moderator. For the paper to be "called" definitely indicates he was taking much more risk than the average investor is taking through traditional bank loans.
@bighands692 жыл бұрын
No it is not different at all. A 30 year mortgage could end up being called in even though we have seen nothing like that in our life times the risk is still there. Debt can be a great tool if used properly but for the vast majority of people it is not a good thing at the scales they are using it at. If you think a bank loan presents less risk you are being very naive. The contract interest rate is only as good as the strength of the institution that issues it. If every bank looked like Lehman Brothers all of those save loans would look not so safe.
@cameronmcnulty87322 жыл бұрын
@@bighands69 It’s very much different. Traditional mortgages have “no call clauses” in them. Lehman brothers couldn’t call notes on 30 year mortgages, if anything their notes were sold to other institutions. And your point about “a 30 year mortgage could be called” may be true in theory, but then you could also say that the money in your bank account or brokerage account could potentially be confiscated as well. Those scenarios would mean the world has gone to complete shit and if that happens then you have more to worry about than notes being called.
@embg2 жыл бұрын
@@bighands69 If you don't understand the difference between a "hard money" loan (which is what he is referring to) and a conventional bank loan then you aren't even in real estate. Of course any loan "could" be called but the risk is infinitely greater with hard money. That was my point. By the way, I have about $5 Mill in real estate. Not bragging bc I am aware that is small beans but just to say I know a bit of what I am talking about.
@embg2 жыл бұрын
@@cameronmcnulty8732 I don't think @bighand69 is even in real estate if he doesn't understand Real Estate 101 basics.
@inertiaforce78462 жыл бұрын
Until the Great Recession occurs or covid-19 occurs, then your traditional bank loan goes into default.
@thebeautifulmanclub37906 ай бұрын
The amount of people that are financially savvy enough to handle debt vs no debt, where it works out beneficial is minute.
@GeorgeCaulfield110 ай бұрын
No debt is good debt, some is better than others, mortgage vs credit card. But you ideally want none
@Madmun357 Жыл бұрын
GREAT topic. For years I've said Dave Ramsey is good for the average person, but to really thrive you've gotta use some debt. Dave is a wise man, he understands risk. I smashed to thumbs up on this video.
@jasonsmithers24482 жыл бұрын
Shout out to Dave Ramsey. Did an excellent job explaining risk and how it should be considered.
@drproton85 Жыл бұрын
The theory of risk is barely talked about in financial classes and really needs to be driven home as a reality that everyone has to face who invests into anything.
@29_lets_go Жыл бұрын
My life isn’t fancy but it’s peaceful by avoiding debt. I can’t mathematically explain it but I like knowing that I don’t have to stress as much about income and payments. I want to look at my monthly bank statement and see calmness.
@itchyisvegeta Жыл бұрын
Here's a way to explain it with math that I use. The loss of time in a year to deal with that stress, both health management and tasks, could be made up by working extra hours of overtime or a second job for additional income. Or the time can be used for meal prepping lower cost food as opposed to eating out on the go, which cut down on monthly expenses. That additional income than then be used to further pay for your house and invest for retirement.
@gtfreakmotzi6 ай бұрын
@@itchyisvegeta Or that the lower stress levels trough life could lead to a longer life in which you can use the exponential growth of your assets even more.
@WarriorsPhoto Жыл бұрын
Dave Ramsey had the entire floor. He was good at presenting and everyone was listening 👂. 😊 When we listen 🎧 we learn the most. 🎉
@paulstandaert57092 жыл бұрын
The only "good" debt for the average person is a mortgage. Reason being is that the rent money goes away, never to return, and get the home you buy is as close to inflation-proof as anything can get and the money going into it has *some* kind of rate of return.
@tommartyn5242 жыл бұрын
And there’s some people who even disagree with that. Point is, everything has risk.
@yellowstoic76782 жыл бұрын
What happens to your mortgage payment when interest rates rise and what happens to how much the next person can borrow because of the interest rate rise?
@paulstandaert57092 жыл бұрын
@@yellowstoic7678 Nothing, as long as a person wasn't dumb enough to get an adjustable rate mortgage. A rise in interest rates does effectively push down the value of a home, though. We are darn near better off to buy when interest rates are high because of this. But in either case, if your property value drops, it is usually safe to say that everyone else's has, too. So if a person was going to relocate, it is a wash. You will sell yours for a lower price, but you are going to buy the next place at a lower price, too. Unless that person is selling to move into an apartment, it really doesn't matter what the values do.
@user-bd1dr3ui8k2 жыл бұрын
Thanks for that mature adult like remark! Always good catching up with you, Leave me a msg I’ve got something essential to share ⬆️....
@yellowstoic76782 жыл бұрын
@@paulstandaert5709 Plenty of people did it back in 08. In most countries, they offer 5 year terms. In Canada the during the last year 50% of the mortgage renewals are essentially adjustable.
@cheekychipolataАй бұрын
It’s refreshing to hear Dave having a more advanced conversation about finance with people who get it, beyond the usual ‘pay off your credit cards’.