Readers of this blog should be aware that I am receiving some information that Summerhills Realty and someone named Ron E. Russell is using this blog as a reference in an effort to scam homeless people. Be aware that Mr. Russell and his business is cited as a possible perpetrator of fraud by a website called Ripoff Report. See this webpage. Also, there is this claim of fraud against Ron Russell Properties at the website BizClaims - Latest scams, frauds and complaints. Please be aware that the information of being 'ripped off'' may be coming from only one source is coming from multiple sources, with perhaps as many as twelve persons/couples now pursuing legal action after paying thousands of dollars for services and receiving none of the services that were promised/contracted.
While I know neither Mr. Russell nor Summerhills, I do know that an inordinate number of “in links” from readers of this blog have come via summerhillsrealestate.com for quite some time. I haven't known what to make of it, nor that there was anything I could or should do about it.
Be aware that Sacramento Homeless blog [aka, SacHo] has no affiliation with anyone named Ron Russell nor an organization named Summerhills. Neither do I know anything about Mr. Russell's activities nor the nature of his business.
Be very, very careful out there, my homeless and poor friends! It is a dangerous, scamming world.
I will post again on this matter as I learn more.
If anyone reading this blogpost knows anything about this matter, please contact me or post a comment.
-- Tom Armstrong
UPDATE: I now see that at summerhillsrealestate.com , there is a link to a SacHo blogpost.
FURTHER UPDATE: I've sent a letter to Haven for Hope regarding Ron Russell and his activities, to inquire if Haven for Hope does, indeed, have an association with the man and his businesses, as the summerhillsrealestate.com website claims. Note that, suspiciously, the summer hills website does not call Haven for Hope "Haven for Hope," but, instead, "Haven of Hope."
UPDATE 9/2/10: I've used an additional route to contact Haven for Hope [no response from those folks, as yet], and I've submitted a crime tip to the FBI, via the internet. Apparently, summerhills attempts to interest poor people in buying Sacramento homes, via their service, which they promote as a money saver. UPDATE 9/26/2012: Ron Russell has been charged with multiple cases of fraud. http://sacramento.cbslocal.com/2012/09/20/elderly-man-arrested-for-real-estate-con/
While I know neither Mr. Russell nor Summerhills, I do know that an inordinate number of “in links” from readers of this blog have come via summerhillsrealestate.com for quite some time. I haven't known what to make of it, nor that there was anything I could or should do about it.
Be aware that Sacramento Homeless blog [aka, SacHo] has no affiliation with anyone named Ron Russell nor an organization named Summerhills. Neither do I know anything about Mr. Russell's activities nor the nature of his business.
Be very, very careful out there, my homeless and poor friends! It is a dangerous, scamming world.
I will post again on this matter as I learn more.
If anyone reading this blogpost knows anything about this matter, please contact me or post a comment.
-- Tom Armstrong
UPDATE: I now see that at summerhillsrealestate.com , there is a link to a SacHo blogpost.
FURTHER UPDATE: I've sent a letter to Haven for Hope regarding Ron Russell and his activities, to inquire if Haven for Hope does, indeed, have an association with the man and his businesses, as the summerhillsrealestate.com website claims. Note that, suspiciously, the summer hills website does not call Haven for Hope "Haven for Hope," but, instead, "Haven of Hope."
UPDATE 9/2/10: I've used an additional route to contact Haven for Hope [no response from those folks, as yet], and I've submitted a crime tip to the FBI, via the internet. Apparently, summerhills attempts to interest poor people in buying Sacramento homes, via their service, which they promote as a money saver. UPDATE 9/26/2012: Ron Russell has been charged with multiple cases of fraud. http://sacramento.cbslocal.com/2012/09/20/elderly-man-arrested-for-real-estate-con/
Comments
I paid to Ronald E. Russell a sum of $2900.00. The amount was for the first month’s lease payment, and security deposit. It also covered the required down payment and closing costs for the loan that would eventually be made by the seller (seller financing) to cover the purchase of the home.
The $2900.00 was paid at the time of signing the agreement to get on the first-come, first-served list being created by the seller, Ron Russell Properties, LLC. He stipulated he would purchase homes for resale to his buyers, and that he had a number of homes in inventory for sale.
It turns out he had neither the funds, nor investors to purchase the homes, nor any homes for sale in his inventory, or plans to purchase any.
I wrote to Ron Russell requesting the return of my deposit. I have been emailing, phoning and visiting Ron ever since, at least once a week, in an attempt to get my deposit returned to me. Each time I am told a new version of the same story. For instance, he would assert that he had investors who would soon be injecting cash into his organization, or a list of homes for purchase from HUD would soon be available for him to purchase homes at a 50% discount from market value. His continued assertions that “any day now” he would have my funds available for refund, are what has kept me from taking action against Ron to date.
Ron Russell claimed he would be purchasing homes from HUD’s inventory at a 40% to 50% discount from market value due to his being involved with a non-profit whom had access to a list of HUD homes for sale at a discount. These purchased HUD homes would then be used for his awaiting home buyers, and investors. Whereupon he would then have the funds available to refund the deposit monies he owes to his clients.
Ron Russell also claims to be involved with a non-profit charity, “Haven of Hope”, and claims this is how he has access to HUD properties at a discount that he will sell to his buyers. However, I contacted Haven of Hope and they have never heard of Ron Russell, or Summer Hills Real Estate.
After three months of hearing this, and not receiving even a payment from Ron Russell towards the amount owed to me, I decided to take action. I am not alone in this, I have read the accounts of 4 others who have fallen victim to Ron Russell’s scam, and have heard there are many more out there. So far Sue Best, Sheryl Taylor, and Darrien Rakestraw have also filed a complaint against Ron Russell in the last few months.
Ron Russell’s latest story is to say that if anyone tries to take him to the DRE, or court, or to the DA, he will simply file bankruptcy, and re-emerge to do the same business under another name. He tells me his brother and nephew are both real estate brokers and he will just use their license to do the same thing. He claims that if I try to pursue him with the DRE and claim misrepresentation, that I was only doing business with his holding company, and it doesn’t have a license, and that he is not required to keep trust fund accounting, nor is he required to give anyone their money back. He claims that if he did give anyone their money back, it was just out of his desire to “reward them” for going along with his time frame to get repaid.
It seems to me he should have always had the deposit funds readily available for refund. The deposit funds should have been kept in a separate account, a trust account, far away from any funds used for operating expenses, or investment purposes. The conversion of these funds has resulted in frustration and humiliation from persons like myself who trusted this real estate broker and have since regretted it, as this person has stolen our money.
Signed:
Jeff Johnson
Complaintant
I take it you have both filed a complaint with the District Attorney.
I am very sorry for you, in the situation you are in. Hopefully, funds will be found to refund your money and Mr. Russell will be facing with felony charges.
I will follow up on the matter with whatever I can learn from the DA's office and post my findings to this blog.
rob1981sac@gmail.com
rob1981sac@gmail.com
we have a list of people who have been a victim as well.
rob1981sac@gmail.com
Tom Armstrong, blogger of Sacramento Homeless
here is a link
http://sacramento.cbslocal.com/2012/09/20/elderly-man-arrested-for-real-estate-con/
An awful thing. I feel bad for everybody who was cheated.
I will follow up on this matter, keeping tabs on Russell's trek through the legal system. Likely, I'll find out where he's jailed (if he hasn't made bond) and visit the guy.