'Rich Dad Poor Dad' self-help author Robert Kiyosaki is $1.2 billion in debt: report

Key Points:

• Robert Kiyosaki, author of "Rich Dad Poor Dad," has accumulated $1.2 billion in debt linked to his real estate investments, a figure he publicly acknowledges as part of his wealth-building strategy involving borrowing against income-producing assets.
• Kiyosaki’s ex-wife and business partner Kim Kiyosaki clarified that the $1.2 billion debt is tied to multiple properties held with partners, and his personal share of the debt is significantly smaller, estimated between $30 million and $60 million.
• The strategy involves borrowing against rising property equity to generate tax-free loan proceeds while isolating investments in separate limited liability companies to protect against financial risk.
• Experts note that while leveraging property-backed debt is common and can be a sound investment tactic, carrying such a large amount of debt requires careful management and may pose significant risks if property values decline.
• Kiyosaki’s financial-education empire is built around advocating smart use of debt and investment in cash-producing assets, though critics caution that his approach may not be suitable for average investors without substantial knowledge and resources.