Kris Krohn is a real estate expert who has gained some notoriety through his YouTube videos bragging about the investment properties that he utilized to generate an income at a young age.
But will Kris Krohn’s guidance result in significant real estate wealth? Is everything Kris Krohn Real Estate says truly achievable with simply rental income? And what amount does it all end up costing in the end? Let’s take a look and find out more about him & his stories.
You can help us put a stop to online scams before they grow too big and end-up ruining thousands of lives. A scam is a scam, doesn’t matter if it’s big or small. Now that this is out of the way, let’s get started with the review.
Kris Krohn Real Estate: Charge by SEC?
(i) Financial Fraud Alert (August 2012)
In the mentioned case the plaintiff was the Securities and Exchange Commission & the Defendants were: The Companies, LLC, Michael Krohn, Stephen R. Earl, and Kris Krohn Real Estate.
Case Summary: The defendants were charged with engaging in deceptive practices in connection with the proposal and purchase of illicit securities to invest in distressed real estate.
The Plaintiff asserts that the Defendants devised a plan to buy real estate-owned properties (REOs), which are houses that have been foreclosed on and bundled together for resale, donate or sell off the houses in total disrepair, repair and rent out some of the houses for cash flow, and then sell the houses for a profit when their market value increases.
Financial fraud is when someone uses dishonest, false, or other unlawful methods to deprive you of your cash, capital, or in any other way impair your financial stability. Numerous techniques, including identity theft and investment fraud, might be used to accomplish this.
To obtain money to pay for the acquisition of these REOs, the defendants reportedly started four private offerings. Plaintiff asserts that Defendants gave the investors materially false information throughout these sales and failed to disclose certain information.
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They are accused of failing to disclose certain facts, such as the fact that the REO properties owned by Defendant Kris Krohn Real Estate had serious issues and encumbrances, and of providing valuations of the REO properties based on RealQuest software without disclosing the limitations of the program’s ability to determine the current market value of the real estate.
The complaint states that the Defendants obtained broker price opinions (BPOs) from a third-party real estate appraisal firm that put the value of all the properties in Defendant Kris Krohn’s REO at around $2.9 million.
But the defendants also allegedly used RealQuest software, which allegedly produced REO property appraisals totaling $12,272,986, or about $9.4 million higher than the sum of the BPO values.
According to the complaint, the RealQuest values overestimated the worth of numerous REO properties because they failed to take into account the sizeable liens or encumbrances on those properties.
(ii) SEC Files Lawsuit Against Utah-Based Crypto Asset Company, Its Founder, and a Recidivist Salesperson for Registration and Fraud Violations
The Securities and Exchange Commission (SEC) has accused Green United, LLC, its founder Wright W. Thurston, and one of its promoters Kristoffer A. Krohn of defrauding investors by marketing crypto asset securities through an unregistered offering.
The SEC’s lawsuit alleged that Thurston and Green United, LLC, doing business as “Green” or “Set Power Free,” raised at least $18 million by marketing investments known as “Green Boxes” or “Green Nodes” to investors from April 2018 until at least December 2022.
Investors were misled into thinking that these goods were utilized in the alleged “Green Blockchain” to mine a digital currency called “GREEN.” Additionally, investors were made to believe that if Green United was successful in developing a “public worldwide decentralized electric grid,” the value of GREEN might rise.
Thurston was charged with generating the full amount of GREEN tokens in October 2018 through a smart contract on the Ethereum blockchain, and Green United then distributed those GREENS.
However, as claimed in the complaint, the Green Boxes did not mine GREEN, but rather mined Bitcoin, and the Bitcoin mined was not handed over to investors. Additionally, the Green Nodes did not mine GREEN but rather were simple software that did not generate GREEN tokens.
The complaint claimed that promoter Kris Krohn, who had previously been found guilty of SEC breaches, repeatedly misled investors about the current value of the GREEN token and the potential returns on their investments between April and October 2018.
In the SEC’s lawsuit, Green United, Thurston, and Kris Krohn Real Estate are accused of breaking Sections 5(a) and 5(c) of the Securities Act of 1933, which forbid the offering or sale of unregistered securities.
Section 17(a) of the Securities Act, Section 10(b), and Rule 10b-5 of the Securities Exchange Act of 1934, which deal with deceptive conduct in connection with the purchase or sale of securities, are also allegedly violated by Green United.
In addition to breaking Sections 10(b) and 10b-5(a) and (c) of the Exchange Act, Thurston is also accused of breaking Sections 17(a)(1) and (3) of the Securities Act. Infractions of Sections 15(a)(1) and 17(a)(2) and (3) of the Exchange Act as well as the Securities Act are alleged to have been committed by Krohn.
In addition to indefinite and conduct-based orders, restitution of ill-gotten gains plus interest from the time before the verdict, and fines, the SEC is requesting several different remedies against the defendants. Further included as relief defendants in the complaint are True North United Investments, LLC, and Block Brothers, LLC.
Members of the Crypto Asset and Cyber Unit of the Division of Enforcement as well as the Office of Investigative and Market Analytics of the Division of Enforcement conducted the SEC’s investigation into the incident, which was overseen by Tracy Combs. Casey Fronk and Michael Welsh will be in charge of the legal action against the accused.
Kris Krohn Real Estate Reviews: Scam Exposed by Clients & Victims
Let’s examine Kris Krohn’s true characteristics using the comments I found, which emphasize the negative aspects of his character.
#1. A fraudster, Kris Krohn Real Estate
According to the review described above, it appears that there is a person (Kris Krohn Real Estate) who has been associated with a problematic business operation. They might be taking part in events that some people think resemble a pyramid scheme, based on what I’ve learned.
Their strategy appears to involve making phone calls and passing off the information as investment advice. However, it seems that some people are hesitant to bring up this issue directly and are instead voicing their worries more quietly.
#2. Recommendation of a Legitimate Real Estate Investor Amidst the Prevalence of Scammers
The reviewer asserts that they think the said guy is a con artist, much like the bulk of real estate “gurus” (including people like Kris Krohn) at the moment.
However, the user advises adhering to Brad Askren if one wants to follow a legitimate investor who doesn’t endorse dubious mentorship programs or courses.
When it comes to discussing the challenges of investing and being a landlord, they find him to be dependable and one of the most open investors.
Who Is Kris Krohn?
Kris Krohn, a graduate of Brigham Young University, is well-known as a real estate investor and guru.
He claims to lead teams and speaks and coaches businesspeople. His main selling point is that he can help customers buy real estate with little or no money down and with bad credit.
According to reports, Kris Krohn’s net worth may be as high as $65 million. Krohn takes satisfaction in his ability to guide others toward financial freedom through real estate investing.
As of 2023, Kris has approximately 1 million subscribers to his YouTube channel and offers free lessons that are clear and easy to understand.
He gave up his former work when he was 26 and concentrated all of his efforts on becoming an investor.
He achieved this by paying only $110,000 for a property with a fair market value of $260,000. He therefore owned $150,000. Then he collected enough income from the basement rental to cover the mortgage.
He purchased a second property to rent out for a profit of $600 per month using the equity in his first home and a $20,000 mortgage that he obtained a year later.
Kris continued to go through this process repeatedly, obtaining more loans with assets as evidence to purchase more homes. After purchasing his 25th home, he resigned from his work four years later with a monthly salary of $12,000.
But what do you think all his earnings are honest? Well, after making some research I don’t think so. It’s untrustworthy.
What Services Does Kris Krohn Real Estate Provide?
There are many programs claimed by Kris Krohn Real Estate that are available.
The Strongbrook Group, a collection of businesses that support one another, was founded by him.
The following people make up the Strongbrook Team:
- An estate agency
- A mortgage company, property management company, and insurance companies
- An Organization
Is Kris Krohn Real Estate A Scam?
So, is Kris Krohn Real Estate an authentic person?
With this program, you can certainly make money, but it’s not as simple as Kris Krohn Real Estate appears to seem.
There is a lot of effort to be done upfront, there is no real assurance of success, and – most crucially – the actual earnings ratios on investments in real estate are somewhat slim.
Now, there is nothing wrong with doing the work upfront and earning the money later.
However, if your reward is only about $100 per month in profits after working hard for three months to seek deals, send out offers, and negotiate with the owner and lender to acquire a rental property, it’s not truly worth it.
What Says the Internet About This?
Here, a reviewer revealed his (Kris Krohn Real Estate) unpleasant experience with the Recession-proof American dream package in one of the comments. We had high hopes for the software, particularly because it stated that it offered a 100% money-back guarantee. However, it appears that the organization’s refund procedure was complicated by several justifications and requirements, making it challenging for you to receive your money back.
When businesses utilize deceptive strategies to persuade clients to make purchases only to subsequently disclose hidden fees or conditions, it is upsetting. The reality that participants were prompted to purchase extra programs while using the software itself is misleading and may cause users to feel defrauded and misled.
Krish Krohn: Refund Policy
Despite the website appearing to state that there are often 30-day warranties, I’ve read several reviews that claim Kris Krohn Real Estate isn’t the best with refunds.
It’s wise to be certain you’re prepared for this adventure before you invest because some of the evaluations stated that there were only 3 days.
Kris Krohn Real Estate: What Does He Charge?
The relationship has a cost, which can be seen in the screenshot above: it costs between $10,000 and $25,000.
There are other possibilities if you only want to dip your toes into the Kris Krohn Real Estate waters because one of his courses is as cheap as $197 and the books are believed to be much less expensive.
Conclusion: Kris Krohn Real Estate
Finally, it has become apparent that Kris Krohn Real Estate is a con artist who is concealing his fraudulent policies and properties behind false public relations efforts. Additionally, it is without a doubt that the SEC was involved in a financial fraud case twice, not just once. In light of this, it is obvious that he has a bad character.
