Lee Arnold's System of Real Estate Investing is an educational platform. Also known as The Lee Arnold System, it offers courses and mentorships. The program tackles a variety of topics. This includes structuring and funding deals. It also includes buying, selling, and rehabbing properties. The programs teach you how to navigate the major drawbacks of real estate investing.
System of Real Estate Investing reviews are mixed. They have a 4.6/5 rating on Trustpilot and a 1.5/5 rating on BBB. Students praise Lee Arnold's expertise and hands-on training programs. The special financing options are both praised and criticized. Some students complain about the hurdles involved in getting their financing approved. Complaints also include high costs and aggressive upselling.
In this article, you will learn about the 3 major drawbacks of real estate investing and how Lee Arnold can help you. You will discover all that the platform has to offer, who it is for, and what students say. I will also tell you all about Lee Arnold.
System of Real Estate Investing Pros and Cons
Pros
Lee Arnold and his team have an excellent reputation in real estate investment.
Online and in-person programs.
Current real estate materials.
Cons
Too much time was spent on hype and motivational content.
Doesn’t teach how Canadians and non-US citizens can use the program by buying and selling in the US.
Price
The System of Real Estate Investing costs $9.97 per month for a period of 90 days. After such a membership fee expires, you need to settle $39.97 every month thereafter. Virtual certification programs cost $2,997 each.
Refund Policy
The System of Real Estate Investing online programs has a 30-day money-back guarantee, but with specific terms.
Origin
The System of Real Estate Investing was founded in February 2004 in Coeur d'Alene, Idaho.
Reputation
The System of Real Estate Investing has 109K followers on Facebook.
The sales team makes false promises and gives wrong information. I also think the short online courses are overpriced.
3 Major Drawbacks of Investing in Real Estate
What’s Inside the System of Real Estate Investing?
Membership to the System of Real Estate Investing gives you access to Lee Arnold's Online Real Estate Academy. The course teaches you how to structure and fund every type of real estate deal. You also get access to home study courses such as the Independent Private Money Broker. Below is the list of mentorships for those who want more hands-on training.
Lee's Inner Circle is a three-day, exclusive real estate investment training. It is led by Lee Arnold and held in Coeur d’Alene, Idaho, and Spokane, Washington. Participants will get hands-on experience with Lee. He will outline his top real estate investing system. The program includes live demos on buying, selling, and rehabbing properties. It also trains on lead generation, deal structuring, and property research.
Students will take part in a real estate auction in Spokane. They also must make tough calls in the Call Party Training. Cogo Capital offers special financing benefits to graduates. This includes 100% financing for up to four properties at once. If graduates close four Cogo Capital-funded real estate deals within a year, they may get their tuition back. They must provide proof of their success.
This program is a specialized training course held in Coeur d'Alene, Idaho. It aims to make participants expert private money brokers. It is held periodically and lasts for 4 days. It builds on the Independent Private Money Broker Certification. It covers many topics, including a marketing plan, industry leadership, and managing leads.
Participants will learn to:
The course also includes professional portrait and video shoots for personal branding. It has hands-on activities like loan stacking and setting up marketing. This includes CRM and social media integration. The program ends with a graduation dinner.
There is also a 3-day livestream version called Certified Independent Private Money Broker. This is best for those who aren’t able to attend in-person. It costs $2,997.
The program is a virtual livestreamed training course offered periodically. It teaches the ReverseREO™ system to find hidden, off-market real estate deals. This program shows you how to control deeply discounted properties. You can do this without owning them, using no cash or credit. The course is for part-time, home-based investors. It gives a step-by-step guide to making extra money with real estate.
Participants learn from live negotiations and case studies. They gain insights from experts and can earn fees as a ReverseREO™ birddog. Also, attendees can partner with Lee Arnold on deals. This offers practical experience and profits from the certification process. This program is perfect for those wanting to enter real estate with low risk and investment.
The mentorship is a 3-day hands-on program held periodically. It teaches you the essentials of real estate investment. The program takes place at various locations across the U.S., including your own market or one of your choice. You will learn to identify top investment submarkets, analyze deals, and build credibility with brokers. You'll also build relationships to access exclusive listings. You'll gain skills in negotiating offers. You'll learn to craft profitable deals by analyzing income, expenses, and financing.
The program includes:
This is a three-day, personalized, in-person training program. It will teach participants to be successful private money brokers. The program is at various U.S. locations, including your market or one you choose. This mentorship will teach you to market your services and work with clients over the phone. You'll also learn to analyze loan applications. Then, find the best lenders for residential, commercial, and land loans.
You'll also create a business plan using the "Rule of 54." You'll develop a marketing strategy and learn about field tech, like CRM systems and email. The mentorship focuses on turning leads into loan applications and closed loans. This will help you maximize your commissions.
Who Is System of Real Estate Investing For?
System of Real Estate Investing Online Reviews
The online reviews for the System of Real Estate Investing are a mixed bag. The course got mostly positive reviews on Trustpilot. But, it faced some criticism on the BBB and BiggerPockets.
System of Real Estate Investing Review on Trustpilot
80% of over 5,000 Trustpilot reviews are positive. Almost half of all reviews are verified. These are students whom the company invited to leave reviews. Only 3% of reviews are negative and another 3% are mixed.
Jeff Walter had a great experience with Lee Arnold's training. He praised Lee's expertise in explaining concepts. Most of the positive reviews are like this one. They all value Lee's expertise on a subject they're interested in. I found no positive reviews with real-world examples of the program's success.
C. Chumley had a bad experience with Lee Arnold's training. Although they did not specify which program they took. They explained that there was too much fluff in the presentation. The complaint was that Lee talked too much about himself and his religion. They explained that they did not learn anything new that they did not already know. Chumley also mentioned that they did not like the aggressive upsells.
System of Real Estate Investing Review on BBB
Michael had a very bad experience with Lee's Certified Broker Training and Inner Circle. He spent $20,000 foCogor both programs but wasn't able to make any money from deals. Michael criticized COGO and the Inner Circle for their undelivered 100% financing. He explained that he was not able to secure any funding for any of his deals.
There are also dozens of complaints on BBB regarding refunds. The most common are customers seeking refunds for false advertising by Lee's sales team. Lee Arnold's team has answered most of the complaints, with many being resolved.
System of Real Estate Investing Review on BiggerPockets
Nate Marshall is a student of Lee's money lender certification program. He has many posts defending Lee on BiggerPockets. Nate points out that the certification programs are legit, as they end with an exam. If you pass the exam, that's when you get your certification.
Wayne Roberts had a very bad experience with System of Real Estate Investing. He invested over $45,000 just for the promised %100 financing. While he gives no specifics, he warns others to stay away. He says there are other more legit and cheaper programs out there.
Is the System of Real Estate Investing Worth It?
System of Real Estate Investing is worth it if you’re willing to invest a considerable amount of time and money. The certification programs are quite expensive and they're on-site in Idaho. If you cannot travel or afford the program, there may be cheaper alternatives near you. Lee's real estate investing courses are worth it if you are a beginner. Because of the number of complaints, I would say Lee's financing options are not worth it.
System of Real Estate Investing Alternatives
Who Is Lee Arnold?
Lee Arnold is the CEO and creator of the System of Real Estate Investing. He started it in 2004 to teach people to invest in real estate for financial freedom. He also founded Cogo Capital in 2010. It provides private loans to real estate investors. Also, in 2009, Arnold started Secured Investment Corporation. It helps investors and private lenders make profit in real estate deals. He is also a certified digital marketer and a customer acquisition specialist.
Digital Real Estate VS Real Estate
Digital real estate and traditional real estate are both ways to invest and earn. But they differ in key ways. Digital real estate means owning online assets. These include websites, social media accounts, and virtual properties. They generate traffic and income. A Flippa report says, in 2023, the average website sold on their platform made $25,000 in annual revenue. It also requires less upfront investment. For instance, a blog can cost as little as $100 for a domain and hosting, says Blogging Wizard. It can scale quickly and offers high returns. But, it can be risky due to market volatility and lack of regulation.
Traditional real estate means owning physical properties. They can provide steady cash flow and long-term security. The National Association of Realtors says the median rental income for U.S. residential properties was $1,500 per month in 2023. But, it requires significant capital and is less liquid. For example, the average down payment for a home in the U.S. was around $20,000 in 2023, as reported by Zillow. Both can be profitable. Digital real estate is easier to access and scale. A U.S. Small Business Administration study found that 50% of small businesses are now online. This shows that digital real estate is more accessible.
Pros and Cons of Digital Real Estate
It is important to know the pros and cons of digital real estate to navigate it successfully. Unable to identify its strong and weak points will lead to failure.
Pros of Digital Real Estate
Cons of Digital Real Estate
My Recommended Digital Real Estate Business
Local lead generation is my recommended digital real estate business model. It creates passive income through the rank and rent method. By ranking a website on Google using SEO, you can rent it out to local businesses. As long as your site gets traffic, it will earn you passive, predictable income.
Local lead generation is my recommended digital real estate business model. It creates passive income through the rank and rent method. By ranking a website on Google using SEO, you can rent it out to local businesses. You immediately start earning once it's rented. As long as your site gets traffic, it will earn you passive, predictable income.
A local lead generation business costs as little as $500 to start and $30 to maintain. To scale, you just need to repeat the rank and rent process. Due to it's low-cost and passive nature, you can scale as much as you want. Each site can earn you $500 to $3,000 a month. This makes local lead generation the quickest and less risky way to create financial freedom.
