A while ago I picked up the book Rich Dad, Poor Dad. It got me thinking and one of the big things I had a dilemma with, particularly as it relates to real estate, are these thoughts below:
When I think only about the financial side of the real estate business, it’s quite tempting to try and jump in. And that’s when I step back and think about some of the social implications.
I’ll start with a typical example. Pick up your average ‘Make millions in Real Estate’ book and one of it’s tips will be to go to the bankruptcy office, or look for foreclosure notices, those are places to get houses for dirt cheap. Never have I seen in ANY book or tape or information anything that addresses the needs or situation of the person that is bankrupt or foreclosing. If anything it might mention that they’ll be glad to have the money, but I highly doubt they are glad to lose their house. “Your misfortune is my fortune,” that’s basically what it is, and that just doesn’t sound right to me.
The other major problem with real estate that I see is the power it has to push people around, particularly poor people. Gentrification is somewhat of a buzzword, but it’s happening and it’s frustrating and sad. Pick any major city and what’s happening is people with low incomes, but people who had a stable home, are being pushed out of their residence and left to move somewhere else. Now that the city has become popular again, those with money are forcing (I’ll explain in another post) out those without money. This includes housing projects (Cabrini Green of Chicago is now condos). This troubles me.
It didn’t get many comments then, but maybe someone could chime in now…