The $63M Real estate fraud that just sent a CEO to prison for 87 months. Elie Schwartz lived in an $18M penthouse. Bought luxury watches. Flew private jets. All while raiding investor escrow accounts—before deals even closed. 600 CrowdStreet investors learned this the hard way. Now they're facing $45M in losses and endless legal battles. The Nightingale CEO knew the rules. He signed the documents. Then he broke them anyway. Consider the following before you make any investments: Escrow verification is non-negotiable. Ask exactly how funds are held. Who controls them. What triggers release. If they can't answer immediately, walk away. Track record verification goes deeper than websites. Call past investors directly. Verify exit strategies on completed deals. Anyone can photoshop returns—few can fake satisfied investors. Red flag identification saves fortunes. 40% IRR promises? Pressure to "act fast"? These aren't confidence signals—they're desperation signals. If it’s too good to be true, don’t invest. Platform due diligence matters. Crowdfunding democratizes access, not due diligence. You still need to underwrite the operator, not just the opportunity. Fraud isn't always obvious upfront. But it's usually preventable with the right questions. The best investors don't just chase returns. They protect principal first. What's the biggest red flag you've seen in a real estate deal? Share below—your experience could save someone's portfolio. https://lnkd.in/eYKVMd2d