Reality TV - Real Estate Flipping - Did it Flip Us Off with Lies?

By
Real Estate Agent with Crye-Leike REALTORS® 165062

Reality TV is all the rage on TV for the last year or so in the real estate frenzy we've all just lived through.No questions asked! The shows seemed to be geared toward the ask no question crowds of crazed would be investors and do-it-your-selfers obsessed with easy profits..  For those of us that are seasoned in real estate it was just hard to swallow a lot of the TV and media hype.  After all, true acquisition costs, adn real expenses such as commissions and tax consequences were never part of any of the shows.  But did anyone ever assume that fraud could be part of the show?

In the Atlanta area, a recent evening news station just ran an expose that revealed some startling news about the reality show.  The news quickly traveled though the real estate community in Atlanta, but I was curious if the story received press anywhere else.  The article I am linking contains most of the details that were aired on the TV shows.  They did not show the "SOLDS" signs on the homes that were never really sold at all, or the fact that the real estate license was in fact revoked prior to the shows airing. Investors claimed their investment dollars disappeared!  I'd love to hear your reaction and comments on the Article.

Not-so-real estate on ‘Flip This House' Investigation reveals that home-flipping show may have sold bill of goods to viewers

Fight This Lawsuit - Article where real estate license was revoked. Researched  and contributed by Ray Delao

Posted by

James Crawford ABR, Broker Associate

 

 

 

 

Atlanta Real Estate | Atlanta Homes for Sale - Call Now!

 

678-595-5283 Direct

 

What's My Home Worth?

 

Jim Crawford Crye-Leike REALTORS® AtlantaAtlanta Real Estate AgentsAlpharetta GA Homes for SaleAtlanta Luxury Homes, Dunwoody GA Homes for SaleAtlanta Real Estate &  Atlanta Homes for Sale,  Gwinnett Homes for SaleAtlanta Real Estate BlogCumming GA Homes, Decatur GA Homes for Sale.   

Atlanta Homes for Sale | Atlanta Listing Agents | Atlanta Buyers Agents

 

Atlanta Real Estate for Sale

 

Buying A Home

 

Selling A Home in Atlanta

 

Atlanta Real Estate Agents - Contact Us

  

Jim Crawford Atlanta Real Estate Social Media icons

Search Listings

Search By
City
Type
Price -
Beds/Baths /
 
 More Options
 Map Search
close

This entry hasn't been re-blogged:

Re-Blogged By Re-Blogged At
Tags:
real estate investing
real estate news
flipping real estate
flipping homes
real estate flipping articles
real estate flipping

Post a Comment
Spam prevention
Spam prevention
Show All Comments
Rainmaker
286,422
Tina Maraj
RE/MAX Cornerstone - Fullerton, CA
Top Agent in Fullerton 2016-2018 714-403-7901
Those shows make it look sooooooooooooo easy. I just chuckle inside when a potential client talks about that show!
May 30, 2007 04:47 PM #15
Ambassador
1,485,851
Jim Crawford
Crye-Leike REALTORS® - Atlanta, GA
Jim Crawford Atlanta Best Listing Agents & REALTOR
Tina!  It looks too easy!  Noticed they never mention taxes due on a short term sail or real estate commissions as part of their expenses!  This story on the evening news was much juicier!  No sale ever occurred, hence no profit,and fraud and theft were also alleged by investors that claim their money was stole.  The principle also had real estate licensed revoked by real estate commission.
May 30, 2007 04:50 PM #16
Rainmaker
74,006
Ray Delao
Home Foundations LLC - Grayslake, IL

I found this while I was googling!

it was interesting

http://www.flipthislawsuit.com/2006/08/

it's flip this lawsuit.com

Cool Title :) 

 

May 30, 2007 05:05 PM #17
Rainmaker
659,456
Randy Prothero
eXp Realty - Mililani, HI
Hawaii REALTOR, (808) 384-5645

I enjoy watching the shows.  It is obvious there is some fiction. 

If it were here in Hawaii, it would take quite awhile to get the building permits and then to get them closed out after the work is done.

May 30, 2007 06:28 PM #18
Rainer
40,647
KRISTINE CROWE
COLDWELL BANKER RESIDENTIAL BROKERAGE - Dundalk, MD
It doesn't suprise me. The sad part is that people watch those reality shows, think it's that easy by watching the show, then get disappointed when it's not. I just sold a home for a newbie flipper, and she was very disappointed with what she walked away with. She thought it would be much easier than it really was.
May 30, 2007 10:49 PM #19
Ambassador
1,485,851
Jim Crawford
Crye-Leike REALTORS® - Atlanta, GA
Jim Crawford Atlanta Best Listing Agents & REALTOR

Ray Delao Wow!  The power of the Internet!  I added your link to the original post and gave you credit for it.

Randy  Yeah what's with the permits...sameday?  LOL!  Fiction can be fun.

Kristine everything seems easy on TV

May 31, 2007 12:50 AM #20
Rainmaker
193,804
Mary Strang
Viroqua, WI
That's fifteen minutes of real fame
May 31, 2007 03:11 AM #21
Ambassador
1,485,851
Jim Crawford
Crye-Leike REALTORS® - Atlanta, GA
Jim Crawford Atlanta Best Listing Agents & REALTOR
Mary  As in the COPS tune! "BAD BOY, BAD BOY, WHAT YOU GOING TO DO WHEN THEY COME FOR YOU?"
May 31, 2007 04:18 AM #22
Rainmaker
190,347
Robert McArtor
RE/MAX Components - Fallston Maryland - Bel Air, MD
Top Listing Agent for Baltimore and Harford County
Jim, thank you for your Blog. As with any industry, there will always be bad news. The idea of purchasing a property under market value, rehabbing the property, and marketing it to make a profit has been around for many many years. There are unscrupulous Investors just as with Lenders, Brokers, Agents...on and on and on.... If your readers would like more information on Flipping Homes, please visit the website of a friend of mine here in Baltimore. Steve Cook with FlippingHomes.com
May 31, 2007 07:43 AM #23
Ambassador
1,485,851
Jim Crawford
Crye-Leike REALTORS® - Atlanta, GA
Jim Crawford Atlanta Best Listing Agents & REALTOR
Robert thank you so much for your comments and link!  I guess it takes the evening news to expose what should be exposed.
May 31, 2007 09:31 AM #24
Ambassador
910,477
Frank Rubi
Frank Rubi Real Estate, LLC - Metairie, LA
FrankRubiRealEstate.com
This is an interesting topic. Everyday people should not just run out and think that flipping property is as easy as shown on TV.
May 31, 2007 12:28 PM #25
Ambassador
1,485,851
Jim Crawford
Crye-Leike REALTORS® - Atlanta, GA
Jim Crawford Atlanta Best Listing Agents & REALTOR
Even for the pros it can become difficult.  I know a lot of agents now getting caught with homes they cannot move in many markets.
May 31, 2007 12:30 PM #26
Rainmaker
897,822
Kay Van Kampen
RE/MAX Broker, RE/MAX - Springfield, MO
Realtor®, Springfield Mo Real Estate
You mean, we have "flipped" over a show that wasn't true?  Boy, am I easily fooled! 
May 31, 2007 02:32 PM #27
Ambassador
1,485,851
Jim Crawford
Crye-Leike REALTORS® - Atlanta, GA
Jim Crawford Atlanta Best Listing Agents & REALTOR

Kay and I liked the show.  I do not like fraud and deception!  I'm very happy it was exposed.

May 31, 2007 02:36 PM #28
Rainmaker
719,762
Teri Eckholm
Boardman Realty - White Bear Lake, MN
REALTOR Serving Mpls/St Paul North & East Metro
Jim--I am sure that most reality TV is staged. Who'd watch if it wasn't interesting? But when the public believes they can Flip and make out like a bandit...It is kind of sad. As we are the ones that have to deliver the bad news to the investor when we provide a realistic market analysis. Thanks for posting the article!
May 31, 2007 04:33 PM #29
Rainmaker
1,045,687
Fred Carver Personal Real Estate Corporation
RE/MAX Camosun Victoria BC Real Estate - Victoria, BC
Accredited Real Estate Consultant

Jim,

 As they say if it sounds to good to be true, it probably is not true, I too watch the Flip It TV series, very entertaining, but not possible here, the public is too aware of real estate values to let a flipper steal a house like these guys do, Our Government sends all homeowner annual current market value assessments , which we have to compete with when pricing a home. I cannot imagine a Flipper sealing home(buying it under the assessed value)

Thanks for the news article, I do not believe it was in our news.

Jim...Have an awesome day! :0)

May 31, 2007 05:43 PM #30
Ambassador
1,485,851
Jim Crawford
Crye-Leike REALTORS® - Atlanta, GA
Jim Crawford Atlanta Best Listing Agents & REALTOR

Teri  You are more than welcome to it.  It is sad when reality TV is not real but fabricated.  It is sadder when there is alleged fraud involved.

Fred - Thanks.  It is always interesting to learn something new.  I like the show, but now I feel sorry for the public.

Jun 01, 2007 12:46 AM #31
Rainer
47,848
Tony Gallegos
Cognicorp Mortgage Banking Advisory - Marietta, GA
Jim - A saw the new report on it and also posted on my blog. Amazing that A & E didn't investigate them more thoroughly. Enjoyed post.
Jun 04, 2007 07:05 PM #32
Ambassador
1,485,851
Jim Crawford
Crye-Leike REALTORS® - Atlanta, GA
Jim Crawford Atlanta Best Listing Agents & REALTOR
Tony  They need to be accountable to all.
Jun 05, 2007 12:15 AM #33
Ambassador
1,485,851
Jim Crawford
Crye-Leike REALTORS® - Atlanta, GA
Jim Crawford Atlanta Best Listing Agents & REALTOR
Post a Comment
Spam prevention
Show All Comments

What's the reason you're reporting this blog entry?

Are you sure you want to report this blog entry as spam?

Ambassador
1,485,851

Jim Crawford

Jim Crawford Atlanta Best Listing Agents & REALTOR
Contact Me Now!
*
*
*
*
Spam prevention

Additional Information