Property Investor Scams: Too many newbie investors are losing their hard-earned money to dodgy property influencers running Ponzi schemes, disguised as “earn and learn” opportunities. In a recent video, I expose these property scams so you can spot the red flags before it’s too late!
If you don’t want to be the next victim of these property investor scams, I would highly recommend watching the full video until the end. You can watch the video at the top of this page or via my YouTube channel.
Sometimes it can be hard to know what property investment schemes are legit, and which ones are scams. That is because many of the scams start out by paying back investors, creating good feedback and reviews. Someone you know and trust could recommend such a scheme with good intentions, assuming it is genuine, because they have been paid out themselves.
These scams are Ponzi schemes. In a Ponzi scheme, the scammer claims to be doing a legitimate business activity, such as investing in property. However, they are actually paying out old investors with the money paid by new investors. Eventually, the scammer cannot find any new investors, the scheme collapses, and the scammer stops paying back participants.
Ponzi schemes are illegal, and those that run them can end up in prison for a long time. However, they are often not discovered until investors lose their money. So if you want to keep your money safe, you need to know how to avoid these property investor scams in the first place!
In this article, I will give you 3 massive red flags to look out for that indicate property investor schemes could be property investor scams! If you apply these tips when looking to invest, you will be in a much better position to avoid losing money to scammers!
There is a growing number of property investor scams out there, and I want to help people avoid them! That means getting high quality information out to as many people as possible! But I need your help to do it. Please consider sharing this article on your social media pages. The more people that read it, the more people we can protect from property investor scams!
Property Investor Scams Red Flag 1: The Company No Longer Exists!
In some cases, companies running property investor scams have been struck off the companies register! Often, they have late or overdue accounts. Even when they do exist, they have little in the way of assets or profits. Check any company you intend to invest in on the Companies House website. Review their records to check that they are an established, profitable, active company.
Property Investor Scams Red Flag 2: Their Contracts Miss Crucial Information!
Often, property investor scams will miss out key information on their contracts. For example, they may omit the full address of the property you are investing in. They may claim to have contracts with social housing providers, but refuse to disclose which ones. They may fail to provide penalties for late repayment on their part. Study any investment contract with the help of a legal professional before signing, especially when dealing with large sums.
Property Investor Scams Red Flag 3: No Real Security On Your Investment!
If you are investing a lot of money, you need to know how your investment is secured. In the case of buying property, this could be in the form of a charge on the property. In the case of personal guarantees, you need proof that the person is actually rich enough to cover any liabilities. A flashy life on social media can easily be faked, require actual evidence!
Avoid Property Investor Scams By Being Trained In Property!
The best way to avoid property investor scams, is to be trained in property. That way, no one can pull the wool over your eyes! Join me at my next £1 training event!
We have different courses throughout the year, each teaching different things. Here is a sample of what you could learn on one of our popular £1 courses:
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Become a property investor using other people’s money so that you can get started straight away
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Utilise the 5 different types of raised finance so that you know exactly what to offer and when
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Find the perfect properties for the BRRR strategy
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Recycle your money so that you can ‘rinse and repeat’
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Build a power team you can trust, so that you can save time and money
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And much more!
Tickets are only £1, and you can get yours here. If you are ready to take action, I hope to see you very soon! If you can’t make it in person, we also have virtual events too!
