ARV way over actual value is it fraud?

[Michael Williams]

Hi all. I have a deal I'm I have listed with the agent that brought it to me. Originally listed as a rather heavy rehab deal. I got the job done just a little over budget and the hold was longer than expected but otherwise not too bad. Now here is my issue. The house just got an offer way below the a ARV the agent said we could get. It's the only offer in three months. I feel like I have been scammed by this agent. Inflating the ARV to get me to buy the place and now getting killed by the actual ARV. Please refrain from saying anything about checking ARV on my own. This deal was in area that had little activity, and local knowledge was "key". The comps really didn't show the size of the deal or the amenities we had. I'm going to lose about 30K on this deal really feel like I got scammed. So back to the original question. Is it fraud to have an agent grossly over estimate an ARV? Lets say the number is about 80K over actual ARV on a 400K home.

[Zach Sikes]

There's not really much you can do to the agent.  That was his opinion unfortunately. 

Another flag here is the lack of activity in the area.  If there isn't enough activity to get good info, there's probably not enough activity to do a flip.