Real Estate Investment Scam Strategies by Dean Graziosi
About Dean Graziosi
Dean Graziosi isn't a “real estate investment guru” as many think of them. Dean spends most of his time these days in teaching people how to make millions in real estate investment. But, it's not from some “formula” or untried system. Dean became a millionaire in real estate not long after he started in his teens. His success is documented and verifiable. His students will tell you so on his websites, and they'll tell you how Dean's instruction has changed their lives. This scam alert is part of Dean Graziosi's efforts to educate in the field of real estate investment with real tools that work, not scam systems or reports that merely make money for the “guru” pushing them.
From Dean Graziosi:
Hi, I'm Dean Graziosi, and I'm really glad that you found this site. I hope you found it early in your research into real estate investment, as this means I can save you a huge amount of money and wasted time. Without mentioning names, I'll give you here on this site the specific information you need to recognize real estate investing scams and to avoid giving your money to those who aren't going to deliver on their promises.
I've written several best-seller books on real estate investing, and the things I teach are useful and they're what I did to make millions in real estate investing. There's not hype, and no need to dream up untried systems, as I've done everything I teach, and done it successfully. It's a matter of doing before teaching, not the other way around. So, read the material on this site, and learn to recognize real estate investing scams before they get into your pocket and steal your dreams.
Real Estate Investment Scams
Here are Some Ways People Are Scammed Regarding Real Estate Investing
All Promise – No Delivery
When you're reading advertisements in books or magazines, or viewing websites that tell you that you can make millions in real estate investing, look at the information that's given there in the ad or on the site. If there's nothing but hype statements, like “huge profits with this system,” or “secret report that gives the secret to real estate riches,” look for any evidence that there's more there than just promises. Are there real verifiable people to provide a reference of their experience? If you have to give up money before even the least bit of information is provided, it could be a real estate investment scam.
Success Statements Without Financial Data Backup
The bigger the promises, the more you should expect to see proof that they work. Has the teacher actually used their “fail-safe system?” Are there financial statements to show that the stuff works? If not verifiable financial statements, are there at least references from real people who have used the materials or the system and made the promised fortune doing it?
The Escalating Payments Scam
First you go to a “free” seminar. You expect to be offered something to buy, and it's not a huge step to purchase a $50 book, or perhaps even a $300 mini-course. But, then you're called and emailed to sign up for coaching or the full course, and it's thousands of dollars. The key here is that nothing you've purchased before this high dollar offer has given you any information you can actually put into action to make money in real estate investing. You have to bite the big bullet to get what you need...or at least that's what they say.
All Theory and Math – No Real-Life Examples
I've had students tell me of spending thousands of dollars on real estate investing scams. It's not that they didn't teach them something, but it wasn't anything they couldn't have learned I a number of places...and for free. A lot of math, and learning about “capitalization rates” can be a smoke-screen for a lack of real and useful information and examples to get real profitable deals done.
You Never Hear a Student Story, Especially a Mistake Story
Life, even for the very rich and successful, isn't a walk in the park. If everything you hear and read is “success,” and there aren't any stories of mistakes or less-than-successful deals, it's possibly a scam. Other people in the courses or using the “system” surely have had results that weren't as expected. If you never hear about them, maybe your information is heavily censored and it's a scam.
How to Avoid Real Estate Investing Scams
Identifying and Avoiding Real Estate Investing Scams
Research the teacher
The Internet is an amazing resource. Find out what you can about the person or people trying to sell you a system or information they promise will make you a rich and successful real estate investor. Look for testimonials, and try to make sure they're from real people. If there isn't a lot of material out there that speaks well of the “guru,” you could be the victim of a scam.
Ask for proof of success
If you're being promised riches in real estate investing by someone who says they've been successful, ask for documentation of that success. Are there real deals to back up their claims of experience? If there's no proof available of expertise or real success, it could be a scam.
Look for value in each step of the learning process
If you keep getting offered yet another product, report, or system step for more money, look at the previous one and ask yourself what you learned there that you could use today to make money in real estate investment. If there's little or no value in the previous steps, it's possibly a scam.
How much will you need to spend to do a deal?
I'm not talking about the money you have to put into a deal. I'm talking about how much money you'll have to spend on courses, reports and systems before you are encouraged to go out and actually do a deal? Dean Graziosi's students will tell you on his websites that they're given great tools early on and encouraged to use them to get a deal going. It's not how much the teacher gets before a deal, as it should be getting the right information into your hands to get you out there making money as soon as possible.
Each lesson should get you closer to your goal
Every lesson, report or course should provide real information and tools that allow you to come away with the belief that you just learned something that puts you into a better position to make money in real estate investing. 100 lessons with little of value aren't as valuable as five of them that actually make you want to go out and get a deal going.
Are you kept isolated?
How many other students, course participants or system users do you get to talk to? If it's none or very few, there could be a scam in progress. If there are a great many students successfully using the instruction or system, then you would think that you would be introduced to them to keep your enthusiasm alive. If you're not meeting them, it could be a scam.
Are you offered help or mentoring?
I'm not just talking about the teacher offering someone at a high cost to consult or coach you. I'm talking about other students who have successfully used the material to make money in real estate investment. Dean's students regularly offer to do joint deals or help a new investor to get their feet wet.
There are riches out there for anyone who wants to learn how to invest in real estate. It's a shame when their dreams are crushed before they ever get the chance to try a deal. Or, they simply give up because they've been scammed so many times they trust nobody. Use the information on this site to spot and avoid a real estate investing scam.
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