If you are looking to invest in real estate or need to do a 1031 exchange stay far away from David Lerner Associates and especially Martin Walcoe the executive vice president of the company. They will promise you the rosiest of scenarios with the lowest cost but unfortunately after the documents are signed and the check is cashed you find out it was anything but true. These guys leverage real estate using over 90% debt, through first and second mortgages. They show you how good the revenue stream is and the dividends youll earn so that the debt seems inconsequential. Well Im here to tell you its nothing like Marty Walcoe says it is.
The property I bought a share of was a complete bust, but his presentation was that this was the deal of a life time. All the generous revenue I was going to make never materialized. When I questioned him he gave me every song in the book until he wouldnt even take my calls. I cant begin to tell you how many thousands of dollars I had to come up with so I dont lose my investment. The other partners in this property are also disillusioned and angry.
I did a 1031 exchange. I had done very well on my own in real estate and this is my retirement nest egg. My wife and I are losing sleep wondering if well have anything left. I cant even sell my share although Marty made it sound like it wouldnt be a problem with his contacts and sources if I wanted to sell down the road. He babbled something about the bad market whenever I brought it up.
They say a fish stinks from the head well this must be true for David Lerner Associates. They tout their decades of experience which is laughable. They have a few guys and they added up each persons years in real estate investments. Heck if there was an office of 50 one year rookies they could say they had 50 years of real estate experience! If this report spares one person from the financial problems and the anxiety about losing your retirement nest egg to a shyster then it is worth it. Marty has a Wall St. Background, maybe Bernie Madoff was his mentor. Im sure Bernie would be proud of him.
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