Basically, the allegations are that Nouveau Riche is only an educational program in disguise, the Nouveau Riche scam. The Nouveau Riche program consists of three parts:
1. A course that claims to teach people how to invest in real estate
2. A “community” of “investors” who have access to their database of properties to purchase (”Investor Concierge”)
3. The marketing of the course and community through standard multilevel marketing techniques.
Expenses for the course range from $300 per month to a $16,000 one-time payment, each student is “encouraged’ to join the $16,000 program. Depending on the “level” you wish to join at primarily affects how quickly you begin getting money from people that you have signed up. Higher level students get priority on properties available for purchase.
At the $16,000 level (you receive $8,000 (50%) for every person you sign up. Scholars have full top-priority access to Investor Concierge, which allows you to buy properties in their database. On the educational side, you get 20 days of intensive training in real estate investing; access to conference calls, etc. all the support you need to help you succeed in real estate investing.
Some people actually make money by selling the program to others, similar to a pyramid scheme. Others actually do make money by investing in real estate and eventually success is dependent on each individual’s efforts and skills and then there is the famous Nouveau Riche scam.
