For example, wrap lenders may set up shell land trusts, not record transactions, or use the name of an unsuspecting investor.

I am a host in an unsuspecting town and have been doing surprisingly well.

I truly hope it's the gurus who get in trouble, not the unsuspecting victims they prey on, who are just seeking a better life for themselves. 

Could an unsuspecting private lender somehow lose the property as collateral for the loan?

Basically the hackers would compromise the syndicator's email, intercept wiring instructions, insert their own banking information, then the unsuspecting investor wires their funds to the hacker's bank account. 

To convince unsuspecting little mortals that this is how it is done, because heavens forbid investors start to think logically and use their common sense.

I call these properties landmines; because they sit on the market for years and wait for some unsuspecting victim to put their foot down. 

DON'T string an unsuspecting seller along while you try to mark up their contract, fail to do so and walk away leaving them to keep your $10.00 earnest money when they were counting on the sale to move on with their lives.Getting a license isn't especially hard. 

Especially being over 100 years old, there may be a lot of deferred maintenance that the owner wants to unload on some unsuspecting sap.

Investor who talked unsuspecting seller into the scenario is long gone...Sub too is just flat dangerous to a Seller in any scenario really..