How I Learned to Spot a Real Estate Scam (and How You Can, Too)
Real estate investing can change your life in amazing ways. But like I shared in Grit Daily’s article, “Avoid Cunning Con Artists in the Investing World,” it can also be a minefield—especially if you’re not careful about who you partner with.
My Experience with a Shady JV Partner
I know firsthand how fast things can go from promising to painful. Early on, I teamed up with a partner, Lena Meadowcroft, to buy and renovate a property in Tampa, FL. Everything looked great at the start—shared vision, shared profits.
But as the project took shape, things turned ugly. Lena transferred the property title behind my back, took the rental income for herself, and cut me out of critical decisions—even though I had skin in the game and was actively involved.
I ended up losing over $100,000. It stung. But it taught me lessons I’ll never forget.
Biggest Lesson: Put Everything in Writing
My biggest mistake? Letting verbal promises stand in for actual contracts. As the deal evolved, I didn’t update the paperwork. And when the relationship fell apart, I had no real leverage.
The hard truth? If it’s not in writing, it doesn’t exist. Even if someone seems totally trustworthy, you need everything in black and white.
Why This Matters for Every Investor
While Grit Daily’s article shares different stories of shady deals—bad sellers, manipulative buyers, predatory lenders—my story is just one example. And even if you don’t face the same situation, you’ve got to know these scams are out there.
For me, the experience changed how I invest. I don’t ignore red flags or take anyone’s word at face value anymore. It was a painful education, but one I’m grateful for.
My Advice to Fellow Investors
Trust your gut—but verify everything. Get everything in writing. Ask the hard questions, even if it feels awkward. And if something doesn’t sit right with you, walk away.
Real estate can absolutely change your life. Just make sure it changes it for the better.