Multifamily Investing Podcast  with Multifamily Attorney Charles Dobens 

#262: Unmasking Passive Investing: The Scam Behind Multifamily Millions

podcast Feb 23, 2024

In this podcast episode, Charles Dobens delves into the contentious topic of passive investing, asserting that it might be a scam. He explores three compelling reasons to support his viewpoint. Firstly, he draws parallels between passive investments and pyramid schemes, arguing that only those at the top of the hierarchy benefit substantially. Secondly, he highlights the growing trend of cash calls in passive investments, suggesting that this contradicts the essence of true passivity. Lastly, Charles contends that the process of raising funds for passive investments often involves breaking securities laws, particularly by compensating capital raisers based on the funds they bring in.

As a bonus insight, he challenges the celebration at the closing table, advocating for delayed profitability and backend gains. Charles encourages a critical evaluation of passive investments, questioning the conventional narrative of easy wealth accumulation.

 

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Unmasking Passive Investing: The Scam Behind Multifamily Millions 

Join us in this eye-opening episode as we delve into the controversial topic of passive investing and why Charles Dobens believes it's nothing short of a scam. Buckle up as he fearlessly discusses three compelling reasons why passive investing might not be the golden ticket many claim it to be. From the eerie resemblances to pyramid schemes to the unexpected cash calls that turn the 'passive' into an active nightmare, Charles sheds light on the darker side of this widely touted investment strategy.

Discover the unsettling truth about the top-down profit distribution, where only those at the pinnacle reap the rewards, leaving passive investors at the mercy of unforeseen financial storms. Brace yourself as we navigate through real-life examples and personal experiences, unraveling the myths surrounding passive investing.

But that's not all! Charles doesn't stop there. He reveals a bonus insight that challenges the very essence of what makes a genuine real estate deal. Is popping the champagne at the closing table a sign of success, or is it a red flag? Find out why Charles advocates for a different approach, one that aligns with the principles of successful long-term real estate investing.

If you've ever considered passive investing or have been a part of syndications, this episode is a must-listen. Don't be fooled by the promises of easy millions. Tune in to gain a deeper understanding of the potential pitfalls and legal gray areas lurking behind the facade of passive investing.

Visit Passive Investing is a SCAM (multifamilyinvestingacademy.com) to access our interactive multifamily unit calculator, and for additional resources and insights. And remember, true wealth in real estate may require a more active approach than the passive investment narrative suggests. Join us as we unravel the layers of this controversial topic and challenge the status quo in the world of multifamily investments.

Check out Charles' MultifamilyOS™ Business Builder Program HERE

 

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