Don't let your future existence be part of someones moral test.

Don't let your future existence be part of someones moral test.

Real Estate Consultant · Houston TX · Member since 2021 · 125 posts · 93 votes

This lady owns 4 homes and they are currently cash flowing. Not a bad problem. Although she discovered her "Mentor" made 20k-65k per home, without her knowing. Now, she owns property worth less than she paid and doesn't have very much in writing. Luckily she has the deeds and is getting rents. But realizing you should have 80k and 1k more per month towards your bills, and someone you trusted took it; is heartbreaking.
Greed is a wildly powerful thing. It has more power than people truly realize. This lady is actually very lucky. She still has a large portion of her original "value" and enough cash-flow to maintain the assets.
Its okay, and necessary to trust people. But its also just as important to verify as much as you can along the way. Don't put your future existence entirely into someone else's moral test.

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  • Joseph CacciapagliaBusiness Member
    Lender · San Antonio, TX · Member since 2020 · 1k+ posts · 1k+ votes
    3mo

    Unfortunately this industry attracts a lot of grifters. Doing due diligence on people is just as important as on properties. At some point I need to make a list of all the scams I've seen, and the signs to lookout for. How did this person get got?

    Joseph Cacciapaglia powered by Morty
  • Real Estate Consultant · Houston TX · Member since 2021 · 125 posts · 93 votes
    3mo

    I didn't dig into the details of the pitch that sold her. Honestly, they are all basically the same. All the good stuff with no mention of potential risk or downside. Paperwork written to absolve the guru and pay him too.

    Story as old as I have been around (30yrs in this business)

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