Sunday, July 29, 2007

Facing Foreclosure Video #3

Rest of the topics:

* Still think this is a fake blog? Adsense
* Listening to advice on the blog
* Handling negativity
* Comments on video?

Depending on the response and my availability, I may start doing these facing foreclosure videos on a weekly basis, or something like that. We’ll see.

Filed under uncategorized, still, sweet video, other stuff
Facing Foreclosure Video #2
Larchmont Dr 1st Lender Won’t Go Below 240 on a Short Sale
93 Comments

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1. Vortex
November 10th, 2006 at 4:00 pm

Cool videos. If that takes less time for you, go for it.

Some technical tips:
1. Some fill lighting would help
2. Imagine that the person you are speaking to *is* the camera.

Thanks for the update on the houses.
It would be nice to hear more about timelines and a plan B. If the short sale doesn’t work soon at what point would you do a DIL? Can you start lining up the paperwork on the DIL so there is less delay if you need to work more quickly.
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2. Joseph
November 10th, 2006 at 4:17 pm

First idea of yours that actually makes sense - videos of you explaining your situation.

NOW, PLEASE TELL US WHY YOU CHOOSE TO LIE AND VIDEO THAT AND EXPLAIN IT. NO EXCUSES UNLESS YOU HAD A GUN TO YOUR HEAD.

PLEASE, START EXPLAIN WHY YOU WILLINGLY CHOOSE TO LIE ON LOAN APPLICATIONS THAT STATES THAT LIES WILL BE PROSECUTED TO THEIR FULLEST.
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3. "Stone Cold" Steve Austin
November 10th, 2006 at 4:22 pm

You have go to be kidding me. You’re going to be a successful real estate investor? Why not just say you’re going to be a astronaut or hell a Supreme Court Justice. Seriously, you need to get in touch with reality. You are not going to be a success at real estate investing. You just got foreclosed upon and you’re trying to short sell your way out of the rest of the $2.2 million you owe.

At some point in time you just have to say you’re licked. Son, at this point in time you better hope you get out of this without going to jail. Give up being an “investor”, get a job, and stay as far away from other peoples money as possible.

And that’s the bottom line, because Stone Cold said so.
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4. "Stone Cold" Steve Austin
November 10th, 2006 at 4:27 pm

By the way, my guess - you borrowed both the car and the $3,000 from “Rich Dads” MF Doom-quoting son.

And that’s the bottom line, because Stone Cold said so.
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5. Allenm
November 10th, 2006 at 4:28 pm

www.kbr.com
go get the money
you may not need to bk- but you are still going to end up owing about 100k from your little adventure- good luck
I think that you not only have been delusional in dealing with your problems, your have not been quite honest with yourself in terms of your failures.

Examine your need for “deals” and decide if that part of your personality has dug this hole, and what you can do to curb your impulsive nature.
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6. Blah
November 10th, 2006 at 4:36 pm

Well with video blogging you’ll be able to more quickly get a larger amount of information out.

I don’t mind the format, that way I can play the video and listen to it on my headphones while I minimize the site and continue working.

Sounds like reality has been very sobering lately, hopefully it will keep you on the up and up. But we’ll see.
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7. Roland Barthes
November 10th, 2006 at 4:42 pm

One can prove imposture; never authenticity.
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8. T.White
November 10th, 2006 at 5:20 pm

People are interested in:
a) seeing a trainwreck, or
b) seeing you fight your way of of this.

They won’t pay for either.

They either want to secretly delight in your misfortune or be inspired by your resilience.

If YOU, CASEY, can’t gain from this blog, it’s all for nought.
Everybody can afford to pay attention.
Everybody can afford attention.
Attention affords you nothing.
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9. ROKIT88
November 10th, 2006 at 5:27 pm

Video is fine for interaction. Thanks for sharing the comments.

See above, you already have failed. This doesn’t mean you will be a failure your whole life, but you need to get working, not being busy and creative.

Ignore the people who think you are faking it, nothing will convince them.

Don’t take off the ads, they don’t hurt your credibility in the slightest. If you had a huge site with traffic, and debt and weren’t using the ads you would just be an idiot.
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10. shadash
November 10th, 2006 at 6:11 pm

I don’t see how you think that you haven’t failed when one of your houses has already been foreclosed on.

You HAVE failed. Get it through your head!

That being said. If you won’t stop working in Real Estate consider getting a license and start looking into buying rental properties that are cash flow positive. Stop trying to flip and start baseing your financial decisions on facts not speculation.
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11. Misstrial
November 10th, 2006 at 6:12 pm

Hi Casey:

Nice video.

You look really, really tired. Try to get some sleep - you need rest to think properly. Take melatonin (avail at health food markets to straighten out your sleep patterns).

I am not sure that filing bankruptcy would be good. The last 2 court cases I read on the subject showed how prosecutors used BK filings (in both cases) by the defendants as proof of criminal intent to defraud where mortgage fraud occurred. In other words, criminal charges *followed* the BK filings. BK was not intended to protect persons who committed fraud as you admitted on this Board.

Before you do anything, please call Warren Siegel. He is a fabulous atty and may be able to refer you to a criminal defense atty who specializes in WHITE COLLAR crime. I would like you to see an atty who does both BK and CD, but that person could be difficult to find. In any event, you need to get good legal counsel so that your situation does not become worse. You do not want to end up with a criminal history (which will happen if charges are filed. Its on Lexis).

Warren Siegel: 925.674.9170 (His office is in Pleasant Hill which is near Sacto.)

~Misstrial, copyright 2006
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12. Muning
November 10th, 2006 at 6:24 pm

Lot of jealousy going on here by the bloggers.
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13. Sprezzatura
November 10th, 2006 at 6:30 pm

I hate video blogs. They can’t be read through RSS feeds.
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14. Kris crazy s Kris
November 10th, 2006 at 6:37 pm

HOt STuff Coming

Hey Casey, I don’t FEel sorry for you at all, I think You gave yourself the best gift ever, by getting into this hole.
Congrats in a good way
I was in a very like sitution, and I sold all these properties and have one left that did not sell yet, IM 2 months behind in morg.payments, No big deal IM to the point where nothing scares me in world of Real estate, But One think that I realize everytime I came out of a hole I beacome more lot more confident, Plus you can do Bk. so you still have some options, But I would do whatever it takes to not to do it, plus im your age so I feel your pain but its good to try to enjoe it if you can, Lol, ONe thing for sure, Nagative people help me succed, Why Dont you Try to liste you home on Ebay for like $150,, Huge market place, let me know how it works out
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15. JM
November 10th, 2006 at 6:54 pm

It seems to me that if you short on everything and come out $100K, $200K or even $300K in the hole, I would not say that is a failure. I would say that is something to strive for if it keeps you out of bankruptcy. $300K is not a *completely* ridiculous amount of money to have to pay back.

Especially for a 24 year old. I say don’t give up.

I say this with 100% sincerity: It’s only money. You have plenty of time to just make more.

Now focus on taking care of what you can take care of now.

How’s the house raffle coming along?
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16. John
November 10th, 2006 at 6:55 pm

You strongly need to establish a means to maintain balance and focus. I strongly recommend daily yoga.

You are right about your job, and to seek nickels and dimes as hard as you can. This approach got me out of a similar situation. Basicly, a hard-working person finds solutions. You’ve sought a magic genie too long.

Seek *traction* and *daily progress*. A regular job would and should help provide this.
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17. Falconer
November 10th, 2006 at 7:08 pm

- Good videos - you come across more mature in video than text
- I especially like the fact that they don’t appear professionally done or ‘glossy’
- You unfortunately still have the rose colored glasses on (to a lesser) extent:
- ‘don’t want to fail’ - too late, a foreclosure is a big one
- corporate credit - please understand the RE market is a terrible place for amateurs now, and you’re certainly an amateur
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18. Mark
November 10th, 2006 at 7:20 pm

life is a gamble, and the rule of successful gambling is simple : never risk what you don’t want to lose.
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19. mp_man
November 10th, 2006 at 7:32 pm

I thought the videos were pretty good, they definitely provide a lot more information and obviously require less time to create.

You definitely have some technical skill and can communicate reasonably well. I was also impressed that you didn’t lose your temper over some of the uglier comments on the blog.

I still think you should give up this fascination with flipping real estate and get a web development / programming job.

I am curious how you live from day to day. How do you pay for groceries, gas, auto insurance for the car, utilities, health insurance, etc?
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20. TheJudge
November 10th, 2006 at 7:34 pm

Yeah untill I heard you speak I was not sure of it, but now I really think you do have Asperger’s.

Talked to a friend who’s dad is a judge and also a friend who is a defense lawyer and they both said it will not get you off the hook, but if you get someone independant to diagnose you it could offset the offensiveness of the way you handled this

(blog, purchases, manipulation of people, lying, obsession with RE, compulsive purchases etc etc)

All are symptoms of AS in one way or another
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21. Lou Minatti
November 10th, 2006 at 7:36 pm

Casey,

You’re well-spoken. You’re young. Someone else mentioned this yesterday. Go join the Army or Air Force. Get the BK over with, then walk down to the recruiting station and join. They desperately need good translators. The pay sucks, but you get to see and do amazing things, and the retirement bennies are pretty good. Do 20 and retire and you’ll get a guaranteed pension and you’ll be young enough to start a new career, adding to your income. You’ll get valuable skills and learn some discipline. Flipping real estate in a crashing market is not a valuable skill. The ability to tear apart a jet engine and rebuild it is a valuable skill.

I am not kidding. I think this is your best avenue to take.
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22. Astro Zombie
November 10th, 2006 at 7:52 pm

Casey,

Here are my thoughts…

1) The video blog is a good idea. It keeps the time you spend on this site low and still keeps us updated.

2) You need a job. If you absolutely want to stay in real estate then I would get a job as a rental sales agent at a local apartment complex. You’ll learn a lot about the industry and it will keep you close to the market.

3) You need to understand that no serious investor or executive works as little as you want to. Do you think Trump or any of your other heroes put in 40 hour weeks? If you want to be on top of things then you’ll need to work hard. If one of your main goals is not to work too much then you’re going into the wrong area.

4) You need to accept that you got scammed on all of the courses and seminars you went to. Carlton Sheets, RK and the bunch are in the business of scamming daydreamers. If they really had the secret “system” then they would keep their secrets to themselves and take all of the money.

My questions:

1) How do you live day to day? For example, if you need to go to the grocery store tonight, how are you going to pay?
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23. Rich Dad's Son
November 10th, 2006 at 7:54 pm

I didn’t loan him the money or the car. I don’t even think I’ve met the person who did. I’m an investor, not a money lender.

All Casey has received from my family is some office space in exchange for some tech help once in a while. As well as some finder’s fee opportunities which are essentially open to anyone we know.

The one thing I regret about Casey’s situation is that he has been so busy with staying afloat that it takes away from what he really wants to do, but I suspect things will settle down over time. I’m still eager to see how he does as a “bird dog”. Just about anyone willing to get up everyday and methodically work some well known & time tested “bird dog” programs can make a pretty decent living over time. Like any business though, it takes hard work and a little time to get off the ground. The odds are clearly against him, but Casey is the kind of guy who doesn’t just beat the odds, he defies them.

-D

P.S. I enjoy the comments about me, keep them coming, it me happy to know that people I don’t know and certainly don’t care about have reserved a little spot in their cold heart to hate me. Thank you, you really don’t know how good it makes me feel!
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24. Take Some Responsibilty
November 10th, 2006 at 8:47 pm

Kris crazy s Kris :

Dude, are you drunk? Is that how you are dealing with your real estate failures - the bottle?
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25. Rob
November 10th, 2006 at 8:51 pm

Use the negativity that others put off on you to drive you harder. There are many successful business people out there who have lost everything, just to gain it all back and be a bit wiser on how to keep it. Do what you can to control the impulsive decisions.

On another note, not to get you down, you may already know this, but when the bank allows you to do a short-payoff, they can 1099 you at the end of the year for the difference of the paid off amount and the owed amount. This of course is taxed like it is income.
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26. Kerri-Lynn
November 10th, 2006 at 8:53 pm

Hi Casey!
I think you’re the cutest guy I’ve ever seen. Can you email me sometime, I would love to learn more about real estate. Thanks for being so honest, you are very sincere about everything and I hope it all works out.
Take care
Kerri-Lynn
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27. Brian
November 10th, 2006 at 9:12 pm

I think the video blog is a good idea for three reasons.

1. Saves time and lets you respond to comments quickly.
2. As was mentioned, you seem less like a 12 year old kid in person.
3. When people see a human being, they are less likely to write completely caustic and heartless responses (although those are entertaining).

That being said, I prefer text so I think you should try regular text blogs as much as possible and then maybe once a week have a video blog to respond to any issues you didn’t have time to get to.
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28. Panama1
November 10th, 2006 at 9:24 pm

Casey, Casey -

I think you are part of what is wrong with this whole generation of kids entering the workforce. “I’ll work….but on MY terms!!” A job is more than a paycheck it’s about responsibility, providing for others (family), being a good steward of your time & money, and being someone somebody can rely on. Where is this in ANY of what you are doing?

I think you got a taste (albeit a little late) of how to make money flipping houses at a time when the real estate market was like nothing we’ve ever seen in history. Casey, if flipping houses and real estate investing was such a money maker, don’t you think the smart people who grew up in the 50’s, 60’s, 70’s, etc. would be “Professional Real Estate Flippers”? In order to properly invest in real estate and/or any other venture like that you need capital. You need smaller deals to learn and grow your wealth. You got sucked into the greed train of the mid-2000’s. Just like others who got sucked into the greed train of the late 1990’s.

I will have to say that I commend you for your honesty and willingness to go forward, just get some direction!! How many 24 year olds are sitting on a boucing ball in a white office taking up space, 2M in debt, wondering who they can bum their next $1K from! No, if out of work they are:

1) polishing their resume (listing accomplishments, goals, etc)
2) setting up interviews (with real companies, not scammers)
3) taking a job for the stability and experience it brings.

Your videos show a different side of you than the blogs. I have to say, I am impressed with your maturity and the “matter of fact” way you just bounce things off yourself. “Yeah, you guys are right, I have to do that…I should do this…I have been doing this…blee blah blee” It’s like someone is scrambling eggs in your head and you are all over the place.

Start with a piece of paper. Write down what’s important to you and what it will take to succeed going forward. If you don’t change something drastically you will be in this same place in 5 years, 10 years, etc. You are either going to crash & burn or pull yourself out.

And forget this “Rich Dad/Mentor” stuff. It’s overrated. Mentors serve no purpose but teaching you their way (their mistakes, too) Anyone can claim to be a mentor. Casey, the world is not that hard. Real Estate is not rocket science. What more do you have to learn? You don’t need a degree, there is no regulation, and 18 year old kids out of high school are all realtors & investors now. Suck it up and go out there and act like a PROFESSIONAL. THese chump mentors have nothing to offer you that a) you don’t know 2) you haven’t done or 3) you can’t figure out on your own.

You need accountability, not mentorship. But as long as you stay in your little “safe world” you don’t have to commit or be accountable to anyone. Deal, nah no deal. Honey don’t worry won’t ruin your credit..oops… yeah, I need a real steady job…nope, want to flip houses…

What do you stand for Casey???
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29. Joseph
November 10th, 2006 at 9:54 pm

Casey,

I will repeat. Put your money (no pund intended :) where your mouth is.

You claim you want to do good and come clean - pay off all debt.

Video yourself EXPLAINING why you willingly choose to LIE and commit FRAUD on mortgage applications? No excuses, just the TRUTH since you say want to come clean.

We all make mistakes Casey and you will find lots of help from me and others with helpful ideas to help you out. BUT YOU WONT GET MUCH HELP AND YOU WILL SEE MORE AND MORE NEGATIVE POSTINGS THE LONGER YOU HIDE THE TRUTH.

So, start at the top and explain why you LIED?
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30. Cranny
November 10th, 2006 at 11:09 pm

109th CONGRESS

2d Session

S. 2280
To stop transactions which operate to promote fraud, risk, and under-development, and for other purposes.

IN THE SENATE OF THE UNITED STATES

February 14, 2006
Mr. OBAMA (for himself, Mr. DURBIN, and Mr. MENENDEZ) introduced the following bill; which was read twice and referred to the Committee on Banking, Housing, and Urban Affairs

——————————————————————————–

A BILL
To stop transactions which operate to promote fraud, risk, and under-development, and for other purposes.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the `Stopping Transactions which Operate to Promote Fraud, Risk, and Underdevelopment Act’ or the `STOP FRAUD Act’.

SEC. 2. MORTGAGE FRAUD.

(a) In General- Chapter 63 of title 18, United States Code, is amended by adding at the end the following:

`Sec. 1351. Mortgage fraud

`(a) In General- It shall be unlawful for any mortgage professional to knowingly execute, or attempt to execute, a scheme or artifice–

`(1) to defraud any natural person or financial institution in connection with the offer or extension of consumer credit (as such term is defined in subsections (e) and (h) under section 103 of the Truth in Lending Act (15 U.S.C. 1602(e) and (h))), which credit is, or is to be, secured by an interest–

`(A) in real property; or

`(B) in personal property used or expected to be used as the principal dwelling (as such term is defined under section 103(v) of the Truth in Lending Act (15 U.S.C. 1602(v))) of the natural person to whom such consumer credit is offered or extended; or

`(2) to obtain, by means of false or fraudulent pretenses, representations, or promises, any money or property, including without limitation in the form of fees or charges, from a natural person in connection with an extension of consumer credit secured by an interest–

`(A) in real property; or

`(B) in personal property used or expected to be used as the principal dwelling of such natural person;

`(b) Penalty- Any person who violates paragraph (1) shall be fined not more than $5,000,000, or imprisoned not more than 35 years, or both.

`(c) Private Right of Action by Persons Aggrieved- Any person aggrieved by a violation of this section, or any regulation under this section may, but shall not be required to, file suit in any district court of the United States having jurisdiction of the parties to such suit–

`(1) without respect to the amount in controversy;

`(2) without regard to the citizenship of the parties; and

`(3) without regard to exhaustion of any administrative remedies.

`(d) Rule of Construction- Nothing in this section shall be construed to modify, lessen, or otherwise affect any other provision of this title relating to the rights afforded to financial institutions.

`(e) Definition- As used in this section, the term `mortgage professional’ includes real estate appraisers, real estate accountants, real estate attorneys, real estate brokers, mortgage brokers, mortgage underwriters, mortgage processors, mortgage settlement companies, mortgage title companies, mortgage loan originators, and any other provider of professional services engaged in the mortgage process.’.

(b) Table of Sections- The table of sections for chapter 63 of title 18, United States Code, is amended by inserting after the item relating to section 1350 the following:

`1351. Mortgage fraud.’.

(c) Conforming Amendment- Section 3293(2) of title 18, United States Code, is amended by striking `or 1343′ and inserting `, 1343, or 1351′.

SEC. 3. MANDATORY REPORTING REQUIREMENTS.

(a) Definition of Financial Institution- Section 5312(a)(2)(U) of title 31, United States Code, is amended by–

(1) inserting `and companies’ after `persons’;

(2) inserting `, transactions,’ after `closings’; and

(3) inserting after `settlements’ the following: `, including the Federal National Mortgage Association, the Government National Mortgage Association, the Federal Home Loan Mortgage Corporation, mortgage appraisers, real estate accountants, real estate attorneys, real estate brokers, mortgage underwriters, mortgage processors, mortgage settlement and title companies, mortgage brokers, mortgage loan originators, and any other mortgage professional engaged in the mortgage industry’.

(b) Regulations-

(1) IN GENERAL- Not later than 1 year after the date of enactment of this Act, the Secretary of the Treasury shall issue regulations to implement the amendments made in subsection (a).

(2) CONTENT OF REGULATION- A regulation required under paragraph (1) shall include a requirement that any suspicious activity by an individual or entity described in section 5312(a)(2)(U) be reported to the Secretary of the Treasury.

(c) Authorization of Appropriations- There are authorized to be appropriated such sums as are necessary to implement the regulations issued under subsection (b).
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31. Crashlander
November 10th, 2006 at 11:11 pm

Seriously consider abandoning all efforts to unload homes and pay back debt and continue with your life with whatever you want to do for money whether is regular job or RE stuff.

You already have a foreclosure so your credit is trash. 4 more and credit card debt will not matter further at this point. - thats a fact -

Trying to pay back the debt and sell the homes is now COSTING you money. And it cant help at all. You cant have ‘only 1 foreclosure and a ton of lates’ and still have ok credit - no way!

Only declare BK as a last resort IF you ever get hit with wage garnishments in the future. When the garninshment starts file BK right there. You will have judgemnts on you. Its called a ‘paper judgement’ when you wont pay and they cant find where you work.

This is the most common thing people do. THat way they can instantly ‘forget’ about all outstanding debt and get work and all your income you keep.

Seriously Casey- EVERY DOLLAR YOU PAY TOWARD THE DEBT AND EVERY HOUR YOU SPEND ON IT IS SET ON FIRE AND GONE FOREVER. Its true, think about it.

Its like having HIV and continuing with condoms, sorry to anyone but thats my analogy. If im wrong please explain how. There is good credit or bad no inbetween.
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32. ** Ego **
November 11th, 2006 at 12:10 am

Do NOT take off the ads. Every income is good in your situation.

Track each ad-unit’s performance. If a unit doesn’t perform well, remove it and create another placement elsewhere on the page.

Look here for some tips on where to place the ads: https://www.google.com/adsense/support/bin/answer.py?answer=17954

Also, consider RSS advertising.
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33. Hamburger Flipper
November 11th, 2006 at 12:32 am

Here’s what I think of your video.
I think you look incredibly handsome.
Maybe you should consider trying out as a model for a company.
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34. SCapitalist
November 11th, 2006 at 12:57 am

Casey,

I like the video idea. It makes your statements more personal. I wouldn’t do them EVERY post, but I think they are a nice touch. The videos were well done and addressed some good topics concerning your situation.

As I have said before, I am one of the few on this blog that want to see you succeed. I can’t imagine the stress your under right now… What doesn’t kill you only makes your stronger. And remember that failure is only permanent if you quit.

You have skills. You just need to harness your abilities and focus them in the right direction.

Best of luck.
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35. Jeff
November 11th, 2006 at 3:08 am

For some reason I feel a bit sympathetic after watching these videos.

I’m still not sure how I feel, though. You have made some very bad choices along the way, and I think that part of it is because you have a dangerously loose grip on reality, and also because you seem to have a careless disregard for the effects your actions have on other people.

Many people make grievous mistakes for the same reasons. I know I have. Some of the mistakes are more severe than others (I’ve ruined a relationship or two, but I never racked up a million dollars of debt). Either way, it seems like you’re improving and starting to make progress on things. I just hope that you’re making the right choices and that things will start to shape up.

I have to say, though: I’m still skeptical as to whether this is all a ruse or not. We’ll see, though, right?
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36. Jeff
November 11th, 2006 at 3:09 am

Arg. I meant to say that the video made it easier for me to sympathize. It certainly makes things personal, and it’s easier to see that this is happening to an actual, real live person and not some persona.
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37. johnnie
November 11th, 2006 at 5:37 am

LEAVE THE ADS UP! you might as well make some money!!!!!!!!!!!!!
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38. StingyFinance
November 11th, 2006 at 6:08 am

Hi Casey,

Have you considered getting your real estate license? At least that way you can list and sell your houses minus the comissions. And who knows, with your popularity with this blog, you may get some business!

Joe
http://www.StingyFinance.com
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39. Jozsibacsi
November 11th, 2006 at 7:28 am

Any successful investor, be it in real estate, software, or really any industry must understand the market conditions to succeed over the long term. Any fool can do well in an irrational market, as evidenced by the dot.com mania, but when the market corrects, those with a sound understanding of market conditions have a far better chance of surviving. Similarly, the housing market of the past few years has made astounding gains, with easy profits to be made by many flippers and investors. However, by most accounts conditions have changed in many areas, including Sacramento. You may not believe there is a housing bubble, but many people do, and this along with the increases in housing inventory seem likely to depress market prices. Your ambition to flip houses and sell to investors flies in the face of market conditions and seems overly optimistic to me.

http://www.sacramentolanding.blogspot.com/

Lyon’s 2007 Prediction: 10% Price Drop, With Price Declines in Most Areas
A follow-up to Tuesday’s post. The Sacramento Bee has some tidbits on Mr. Lyon’s 2007 predictions:
Nationally, realty agents are trying to sell 3.75 million homes, a 7.3 month supply at current sales rates. El Dorado, Placer, Sacramento and Yolo counties have a 7.4 month supply, with nearly 15,000 houses for sale.

Though the number of sales are expected to rise about 7 percent next year in the four counties, the number of for-sale signs suggests “prices are going to decline in most areas,” Mike Lyon, head of Sacramento-based Lyon Real Estate, told a North State Building Industry Association gathering Wednesday.

“We’ve got another year of this, another 10 percent probably, in the next year, of value loss,” he said. “We won’t see true price stabilization until 2007, and then we’ll slowly start ramping back up again.”

Folsom-based home-builder consultant Greg Paquin told the industry group that new houses won’t see “real increases in pricing until 2009 or 2010, and then it’s going to be more modest than we’ve seen in the past.”
Excerpts from Mr. Lyon’ s presentation [pdf]:

We will experience up to a 10% drop in values for most of the region in 2007
We will not see an increase in values until 2008 for most properties
Strong job creation and increases in income will be the key to a real estate recovery by 2008.
Do not expect the prices to increase as fast as they did from 2000 to 2005 after 2008.
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40. "Stone Cold" Steve Austin
November 11th, 2006 at 8:50 am

“I’m an investor, not a money lender.”

If that isn’t the most ironic statement ever made.

“The one thing I regret about Casey’s situation is that he has been so busy with staying afloat that it takes away from what he really wants to do, but I suspect things will settle down over time.”

Do you suspect this will be before or after he goes to prison, declares bankruptcy, and/or ends up divorced? Don’t you feel you have an obligation as his friend to keep him from doing more damage than he’s already done? I mean, if I had just seen my friend go $2.2 million in the whole, get foreclosed on, and then started talking about getting back into the game I’d have a heart to heart with them telling them to get a grip. But then again that’s just me.

“I enjoy the comments about me, keep them coming, it me happy to know that people I don’t know and certainly don’t care about have reserved a little spot in their cold heart to hate me.”

Dude, no one here cares about you, much less “hates” you. The fact that you replied is hilarious. If you don’t care about what we say why waste your time responding? This is blog and everyone associated with it is malakis.

And that’s the bottom line ’cause Stone Cold says so.
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41. jjr
November 11th, 2006 at 9:11 am

Casey, why video when an audio blog will accomplish the same thing? You’re not offering any value add with video above and beyond the audio track.

Also, you are seriously misguided if you think you can just start a corporation and get a line of credit for the corp. Where do you think the creditors look first? They look at the credit of the principals in the corp. With your credit score, you’re not going far. You can’t just set up a corporation and put up a screen around your credit. Doesn’t work like that.

Thirdly, you need to learn the meaning of due diligence. It’s not clear to me that you learned any lessons from your homebuying. Or perhaps you didn’t learn the generally applicable lessons. When buying anything which might be classified as a durable good (house, car, bicycle, wash machine), if it’s used you need to check it out from top to bottom. If you aren’t well versed enough to know what to look for, you need to take it to a professional. I admire your naivete, but you’re a bit delusional if you think the seller is going to just take that car back. You ever heard the latin term ‘caveat emptor’. That’s you buddy. Whatever is wrong with that car is your problem now.
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42. Free advice
November 11th, 2006 at 9:35 am

Cranny:

S2280 status: “Read twice and referred” means a lot of trees were killed for no reason to print this bill.
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43. Free advice
November 11th, 2006 at 9:52 am

Crashlander:

No, it’s not like HIV. Credit is neither good nor bad. Does you SAT score place into one of two categories: “dumb” or “smart”? It’s just a metric.

There are many lenders who use specific unyielding criteria because they have a fiduciary responsibility to their investors to do so. An investor who buys “A paper” expects to face fewer risks than those who buy “D paper.”

But those who deal in “D paper” are happy to do so. Why? They get a huge spread between their rate and the so-called “risk-free” rate. And the collateral is most likely a lot more secure. Even in a falling market, I’d be happy to lend at “hard money” terms and rates if I were diversified.

And there’s plenty of borrowers and lenders who are in between.
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44. Me
November 11th, 2006 at 11:42 am

The videoblogging is interesting, but it probably won’t change the growth curve of your site traffic. Here’s why -

http://www.realmeme.com/roller.....f_memes_to
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45. Sac Realtor
November 11th, 2006 at 11:52 am

Nice post from Rich Dad’s Son. Keep working hard and you can trade in that crappy Acura for a BMW.
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46. sean-sisb
November 11th, 2006 at 12:13 pm

Casey, I am surprised that people are claiming that you have technical skill simply because you put up a few videos or installed a blog that was prefabricated for you.

To show these people real technical skill, give links or descriptions of the interesting programming projects you have accomplished.

With the amount of traffic this blog receives, you might be able to get some of these people to hire you as a programmer for a decent rate.

Since they already see you as having technical skill without much evidence, use this forum to blow them away.
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47. Joseph
November 11th, 2006 at 12:54 pm

To Dumb And Dumber: That is what I have been saying all along - I agree with you 100%

Casey dude, either you are a con and continue to be a con or you are honestly comming out clean.

*IF* you are trying to come out clean, then tell us WHY you LIED on loan applications?

The reason you are seeing more and more negative postings is because those of us who honestly want to help you are beginning to smell a rat.

Look at all of the original comments you got at first. Many well wishers, lots of good advice, lots of good people in general. That has changed and you made it that way.

You say you want to come clean. Video yourself explaining WHY you choose to LIE on the loan applications and if someone held a gun to your head forcing you to lie.

You see Casey, sooner or later, that question WILL come up. I see you in front of a Judge having to explain it.

If you continue to LIE, you will be telling the same story to BUBBA in cell block D instead of a Judge or a blog.

Think about it.
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48. Rick
November 11th, 2006 at 1:43 pm

Rich Dad’s Son,

I think if your dad ever came to a sudden stop your nose would end up so far up his a** you would not be able to see.

You have “Silver Spoon Syndrome”. If you had an ounce of integrity you would go out and make your own living instead of feeding off your father’s money. I could have ridden daddy’s coattails myself, but my dad taught me something kids like you just don’t have today…pride.

I got off my a** when I was 19 and joined the army, then started a career at 23. Things were tough and it was often quite tempting to just give up and go to work for daddy. The offer was always there, but to me that was admitting to myself, my friends, and my family that I couldn’t cut it in the real world on my own. 20 years later I have built a professional career and a financial portfolio that 99% of the people I went to high school with would envy.

I am quite proud of my career, and so is my father. He was my inspiration and my biggest supporter throughout all my struggles, but never my meal ticket. I know he was impressed with the fact that I refused to take handouts from him and chose instead to find my own road to success. My father and I are both independant, strong willed and successful men.

My father and I view each other as peers and equals, something I doubt will ever be the case between you and your father if you just continue to ride along on his bus. Sure he will always love you, he is your father, but respect is something earned not given. You will never be equal in his eyes if you take the easy road and keep eating off his table.

I think you perceive your father’s success to be your own just because you happen to be related. You have a subtle air of superiority that shows through in your postings. You think you are better than “normal” people, that you are entitled. You talk about what Casey gets from your family as if it is yours to give. What Casey gets its nothing, and it certainly does not come from anything you own. It comes from your father’s business, which is not yours. You have to earn something for it to be yours.

What you are is a spoiled, pompous, arrogant little brat that more than likely could not hold down a job at a burger joint for more than a month without getting your sorry butt fired.

Have you ever worked for anything in your entire life? I mean really worked, not just had daddy throw you a carrot for learning a new trick. What you need is a drill seargent to kick your a** into reality, it would do you some good to grow your own spine to replace that umbilical cord you have attached to daddy’s wallet.

Call me a hater if that makes you feel better, your pathetic opinion is incosequential. The facts are what they are, go earn your own way and actually accomplish something. Then you may deserve an ounce of respect. Until then you are just a parasite.
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49. Mr. Flipper
November 11th, 2006 at 2:34 pm

To: Rich Dad’s Son,

I find it hilarious that those who convey expressions of empathy, offer encouragement, or in any way tender a bit of faith in Casey overcoming his obstacles, are met with so many negative, critical, knee-jerk reactions.

Had you given/sold him that car… Oh, crap, that would that have caused a firestorm. And heaven forbid you actually help Casey make money!

I can hear the critics now…
“Why you’d just be enabling him to maintain this delusion that somehow he can make it as an investor some day. Ohhhhh, thaaaat caaannnoooottt haaappppeeeennnn!

Great Ceasar’s ghost, “NO” he can’t ever be encouraged to succeed! Ever.

He must be punished for his sins, forever without mercy!!!!

After all we couldn’t stand it if Casey went on to somehow become more successful at something that we haven’t been, right men? “Yeah!”, they screamed waving their pitchforks and torches.”
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50. invest3
November 11th, 2006 at 2:50 pm

“He who tries to get rich in a day gets hanged in a year”- Chinese Proverb

Casey,

The only people I have seen get rich in real estate (and keep it) are people who already have a nice down payment as well as outside income to make the payments and support themselves. You are attempting to borrow and speculate your way to success. Successful real estate investing is about generating positive cash flow. With most CA properties sporting a 2-4% cap rate this is impossible. Sure the market is off its high, but with houses still trading @ 7-8 times household income we’ve got a long way to fall. During the last cycle housing peaked in 1990 but didn’t hit bottom until 1996 after losing 50% of its value in CA. You’re just the tip of the iceberg as far as financial casualties are concerned. My advice is to get a job/career outside of RE and build up a war chest. Wait for housing to completely crash, and then begin to purchase properties when you can get least a 10% net return on rent. Right now is still armature hour. The bottom feeders will begin to buy in a few years when the numbers make sense.

PS To get ahead in business it helps for one to look successful; get a haircut.
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51. Jon
November 11th, 2006 at 3:00 pm

OMG, Casey–I can’t believe you actually believe that doing MORE of what has gotten you into trouble in the past is going to solve all your problems. That is crazy talk!

Even if you succeed in getting “corporate credit” (which sounds to me like a scam to part you from some of your little remaining money), using it to do further real estate investing will only compound your problems. You are already over-leveraged in an asset class that is heading downward, and has a LOT further to fall.

Get some professional help. I now agree with others that have stated that you have the equivalent of a gambling addiction. Addicts never know when to stop.

Best of luck; I do hope you get some help and your life turns around.

Jon
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52. invest3
November 11th, 2006 at 3:20 pm

Should be “amateur hour.”
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53. Bubbly
November 11th, 2006 at 3:57 pm

Good videos. Finally I can sympathize with you (a little).

One question: how much do you spend on your hair?
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54. Bubbly
November 11th, 2006 at 4:04 pm

Casey,

Lou Minatti at November 10th, 2006 at 7:36 pm posted a very helpful comment.

Someone I know did exactly that 40 years ago. He learned how to take apart and put together military planes in his first career in the army.

In his second career about 20 years ago, he became a real real-estate investor (not a quote “investor”). He has since retired and lives comfortably (thanks in part to the recent run up in real estate prices).

However, as I think has already been said, you probably need to get all or most debt paid off through bankruptcy or some other means. The military might reject you because of it unfortunately. It has serious problems now with some of their soldiers’ high debt. They have too many paperwork problems to remain focused on their jobs.
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55. Bubbly
November 11th, 2006 at 5:26 pm

Dumb And Dumber at November 11th, 2006 at 9:33 am:

“BUT, anyone that knows how to read facial expressions, eye movement, voice inflection, and body movement can tell when you are lying.”

Dumb And Dumber: I do not believe that you know what you are talking about. Please post what you consider to be Casey’s fraudulent facial expressions.

Thanks.
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56. crispy&cole
November 11th, 2006 at 5:58 pm

Start singing young man. Bury all those clowns who “helped” you achieve great wealth! Take them down with you - the world will be better for it!
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57. NLG
November 11th, 2006 at 10:12 pm

Maybe you should hire someone else to blog for you so that you can go ahead and sell some real estate! Seriously, you could find some student to work for $7/hr and fill in blog posts for you.

Podcast… that’d be a good way to share the content.

Sell advertising. If you’re going to do video or audio casts, why not put some hard advertising in there? Sell some space to newspapers, mortgage websites, credit checking websites, whatever… you could raise capital much quicker by having directed advertising, rather than adsense (which is small-time). Companies will pay good money to have access to an audience the size of yours! Some companies might not want to be associated with some of the illegal aspects, but foreclosure or bankruptcy-related businesses may go for it.

I agree, the audio makes it easier to access the site, allowing you to do something else in the background.
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58. Mark "the aRt Pimp"
November 12th, 2006 at 5:33 am

Casey,

If Stunning Good Looks were all that was required to be a real estate success you would have Trump billions…….

You have mad skills that you just need to harness. Once you focus your abilities in the right direction you will be unstoppable.

You’re Hired!!

P.S. when you get 2 hours of free time sit down with some loved ones and enjoy the movie called “The Secret” www.thesecret.tv
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59. Carpenter One
November 12th, 2006 at 7:58 am

The following entry is not constructive criticism; it is called a knock-in-the-head and a dose of reality.

For a year now we have had to live next to a house that was purchased by some ‘flippers’ such as this Casey fellow. Having to deal with the fallout of these quick-buck scammers and their incredible incompetence as it relates to matters of code compliant construction leaves me with nothing but disdain for them, Casey and his ilk. This type of ‘investor’ has been a parasite on our neighborhood and community for decades. They have no vested interest in the social fabric that makes a neighborhood work, or not. They will rent to anyone, drug addicts, criminals, sexual predators, etc. Their desire is to suck money out and that is where it ends.

If you don’t understand that a house is not a commodity to be sold like so many tons of wheat then you have no business getting involved with real estate and construction; you will get burned and the sooner the better.
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60. Cara
November 12th, 2006 at 8:07 am

You know, extreme impulsivity and inability to learn from mistakes or pay attention are typical ADD symptoms. There are doctors who can diagnose that and treat the symptoms (medication is very helpful).

Not sure what can be done about your extraordinary narcissism, but I’m not a shrink.
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61. Unbelievable
November 12th, 2006 at 8:58 am

This website has become decidedly boring. Please start answering some of the questions you have been asked. Finch and Able ? Your real-life Dad is a flipper ?
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62. Houser
November 12th, 2006 at 9:27 am

From your first video:

Interesting thing is, I heard the bank put some kind of notice on the door about them taking over the house soon, and uh, it looks like they might be boarding up the windows and trying to secure it, to secure their investment. So that’s not good. I need to get on top of that and figure out what’s going on there.

Can a business walk in and board up the windows of a house it doesn’t own?
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63. Dumb And Dumber
November 12th, 2006 at 10:44 am

Bubbly, (uh Casey)

That was a nice attempt at fishing for clues. Just know that I can tell. It is obvious when you lie. Anyone with with training will also be able to know. Lile a BK trustee, or the DA. I cannot wait for that. They will tear you apart and you can add perjury to the list of felonies they will charge you with.

Rich Dad’s Son,

Can you say ,” Accessory after the fact?” I hope you and your dad have a good lawyer as well. You are as dumb as Casey if you don’t think for a second that your pretty boy a** won’t be hauled in for questioning.

So Casey,

What no response to my questions?

What about Finch and Able? What about your relatives flipping houses? You been punked. GAME OVER
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64. Josh
November 12th, 2006 at 1:08 pm

Don’t care what people think?

Why do you care about people who think you’re a fake or a scam? What’s worse? Thinking you’re a scam or making fun of you because you’re real?

The fact is, you’re sharing your experience, and what good do you get from acting like a broke liar? (Oh wait, I meant, lying about being a liar)

You can’t possibly be making enough money on Google Adsense to pay for any debt, certainly nothing as big as foreclosures, for those who don’t believe you, they won’t click them and those who do and feel sorry, they’ll give you some, that’s it.

Don’t care what people think, they don’t and won’t pay your bills, nobody’s going to donate you their house because you lied about loans anyway, right?. So do what you have to do and maintain positive attitude, take it easy!
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65. astrid
November 12th, 2006 at 4:22 pm

testing
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66. ITS REAL
November 12th, 2006 at 11:01 pm

Casey,

I have followed your progress ever since we meet at the Thrusday night Investment club. As I told you before never give up your ambitions. Although it might help to augment them with other income. Getting your Liscense is both simple and will lead to additional easy income.

To all you readers,

I have meet Casey about 5 times before he got into all this trouble. He is a very interesting and entergetic person with a very strong desire to suceed. I belive he will. I also know Rich Dad and his Son. Rich Dad is not spoon feeding his son. Rich Dad is out playing and the son is doing all the work. Dad gets to dable in Real Estate again without the distasteful part. The son only got comissions also untill he saved up money to invest alongside his dad. If Casey can slow down enough to focus on the job of a Bird Dog then he will learn what it is to make money in Real Estate. Both in an up market and a down market.

Casey,

Forget the 9-5, evenings and weekends are when you have to be doing your work.

I could go on for hours about my opinion.
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67. Tim
November 13th, 2006 at 1:10 am

“To all you readers,

I have meet Casey about 5 times before he got into all this trouble. He is a very interesting and entergetic person with a very strong desire to suceed. I belive he will. I also know Rich Dad and his Son. Rich Dad is not spoon feeding his son. Rich Dad is out playing and the son is doing all the work. Dad gets to dable in Real Estate again without the distasteful part. The son only got comissions also untill he saved up money to invest alongside his dad. If Casey can slow down enough to focus on the job of a Bird Dog then he will learn what it is to make money in Real Estate. Both in an up market and a down market.”

Even ignoring the spelling errors most of us make when not writing with great care, you write like a retard, a dimwit.

As Casey’s fellow Uzbekistani would say, “You have head like chicken. You are retard.”

Casey does not need you as one of his cheerleaders.

–Tim
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68. Rick
November 13th, 2006 at 8:32 am

ITS REAL,

Or I suspect the real alias is “Rich Dad’s Son”?

Ya, that’s right…defending yourself on a blog under an alias. ROFL.

You are pathetic.

“Rich Dad is not spoon feeding his son. Rich Dad is out playing and the son is doing all the work. Dad gets to dable in Real Estate again without the distasteful part. The son only got comissions also untill he saved up money to invest alongside his dad.”

Doubtful you would know this is the case when you supposedly met Casey at an investment seminar. Did you also meet Rich dad and his son there too? Or did Casey introduce you to his friends and family after the seminar because you were such a cool guy?

Like I said, if you had an ounce of spine you would go find your own path to success instead of playing with daddy’s money. Building up “commisions” on daddy’s money is a joke and calling that earning is a joke. That is a handout. If you want your father’s respect you have to earn it. Playing with his money isn’t earning it.

You are a leach.
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69. BT98
November 13th, 2006 at 8:57 am

waoh! that’s a great video and it does change my skeptism somewhat. And even though I am a straight guy, I have to agree that you look very handsome in the video and somehow that does improve how I perceive your situation. Maybe it’s a little naive of me, but I am gonna take you off my scam list and believe your story for a while. I wish to know a little more specific details about how you get into loan 2-8.
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70. stupidretard
November 13th, 2006 at 11:32 am

sounds like, richdad’s son=casey. casey, is defending himself w/another alibi. pretty pathetic to take on another identity and defend yourself with that identy on your blogs. if it’s really richdad’s son himself, then he really needs to find another job that will keep him busy.

notice, how there is a constant defense from richdad’s son? does richdad’s son really have that much time on his hand?
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71. Pavel
November 13th, 2006 at 12:00 pm

Casey,

Thanks for your site, it’s very informative, interesting and extremely useful for anyone who’s got more than a one brain cell.

I don’t think I could admit (even to myself or my loved ones) most of my failures and mistakes, and you are sharing your mistakes with the world. This takes a lot of guts and I thank you for doing it, since it changes my own perception and perhaps will get me to admit and record my own mistakes as an investor. Only by analyzing what we did wrong can we learn from our failures.

Remember - “Whatever doesn’t kill, only makes you stronger”.

As far as all the naysayers in here - Посылай их всех на Х…
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72. ITS REAL
November 13th, 2006 at 12:21 pm

Rick,

I have known Rich Dad For over 15 years. I did not know his son’s high school friends. I never meet Casey untill the thursday night meetings. The meetings were a small group of people 20-30 and you got to know people’s background.
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73. Sir Cornholeo
November 13th, 2006 at 12:45 pm

Посылай их всех на Х…

Send all of them to x? Another family member I see.

What about FINCH AND ABLE? The DA knows, why not fess up?
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74. Rick
November 13th, 2006 at 12:52 pm

ITS REAL,

Interesting how you have access to comments made on this blog before the rest of the world seems to. Your reponse appeared at the same time as my post did. I know because I checked before I went to lunch and my comment was still awaiting review. I come back 30 minutes later and low and behold, my comment is posted and so is your reply.

How exactly did you read it and then respond before it was even posted?

Nice try Casey, now we know you are at least two of the persona posting in this blog. Probably more, there is definitely a rat here.
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75. notaflipper
November 13th, 2006 at 1:20 pm

casey,

you have got to be kidding you plan to be a real estate investor. You bought all those houses with no money…an investor to me is someone who has some cash or some rich person behind them. a speculator is what you are and the thousands like you. Do you think you will be able to go back to the banks for more loans once this is all over. Your credit score it toast and you will be in bankruptcy sooner or later. sounds like the banks will not allow short sales to the level you need to get out of the houses before forclosure. lending practices will tighten up due to examples like yours of no money down and the banks taking all the losses. the fed will force them to tighten up when the forclosure wave starts. How many other flippers are caught like you with multiple houses and are about to lose them? in the thousands I believe and all those adjustables are going up up up! New home builders are offering free upgrades and cutting prices to keep houses moving. existing home sellers can’t compete and prices of existing are about to follow the new home prices down. medium new homes prices fell by 10%. i’m sure this data is old by now!
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76. Big Cheese
November 13th, 2006 at 9:51 pm

Casey,

In the video there is no question you appear very charismatic and handsome even though you have the ‘grunge’ look going.

However something about you seems a bit shady like you are holding something back. If I had to loan you some of my personal money I would be skeptical. Maybe I don’t know you well enough and just get a partial impression from the video. But at least it’s some feedback for you to think about.

I wish you luck in getting the best possible outcome for yourself and family here.

-Big Cheese
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77. Boulder Colorado Real Estate Research Blog
November 13th, 2006 at 10:52 pm

is quite popular and he even landed an interview with Robert Kiyosaki and some fairly mainstream media outlets. Perhaps the publicity will help others will learn from his mistakes. Lately, Casey seems to be getting depressed. He’s even started video blogging his efforts, which are somewhat interesting to watch. The biggest problem the kid faces, in my opinion, is that he’s still looking for dodgy shortcuts to success, suggesting he’s not learning the lessons from his mistakes. I don’t know whether to feel
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78. Frank
November 15th, 2006 at 7:09 pm

Casey - hang in there. I must say that one of the qualities I admire in you is that you took action to be a real estate investor. I am the opposite and I only have 1 rental home so far. It has worked out for me and it cash flows about $300 a month. But I have not gone further. I get stuck with analysis paralysis and fear. I plan so much that no detail is overlooked and unfortunately it leaves me unwilling to take risks. You and I are polar opposites - I do too much planning and not enough action while you have the tendency to jump in and buy properties without a game plan. So I wanted you to know that I do see qualities in you that will someday allow you to be successful at this. I think more knowledge and planning on your part would do it. Your blog in return is an inspiration to me to stop reading courses and being paralyzed by fear. Good luck to you Casey and I do hope you get out of this situation and back in the game.
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79. Niko
November 28th, 2006 at 10:39 am

Casey — Have you given any thought to tax time?

How are you going to report all of the money that you took out of the deals?

Do you have to report it as income?

I am only asking because I have been on a similiar journey as yours, with a few exceptions. I did look at the houses before I brought them, with the exception of one.. My renovations were not very extensive… I had a plan for how I could rent the houses for more than they normally rented for, thus my mortgages would be covered. I also stuck to houses between the 100,000 to 120,000 range, and only took about 10K out of each deal.

Can I get some feedback on the tax issues associated with this?

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