Three Warning Signs Your REIT Investment Might Be a Scam

Unlisted REIT investments are often marketed to potential investors as great opportunities to make significant amounts of money. However, unlisted REITS, such as the Apple REITs sold by David Lerner, are coming under increased scrutiny because of the potential for broker misconduct and fraud.

If you are concerned about your own REIT investment, then it is important to be aware of the potential signs of a real estate investment trust scam and to know what to do about it.

Three Potential REIT Red Flags

As with any investment, your first signs of a potential scam may start off subtly and cause you some concern. For example, you may become concerned about a REIT investment scam if:

• The particulars of the investment are hard to investigate. Your broker should be able to explain the details of the investment and the risks that you are taking. If your broker can't do that, then it is possible that the REIT is too good to be true.
• The people selling you the investment are hard to investigate. Most brokers have a strong online presence or are relatively easy to research. If you have trouble locating the brokers who sold your investment, then they may have something to hide.
• Your broker is telling you things now, after you purchased the REIT, that would've caused you to avoid the purchase. Your broker has a duty to make suitable investment recommendations for you. If the investment was unsuitable based on your income, assets, and investment goals, and you have lost money, then you may have a cause of action against the broker.

Of course, there are many different ways that a REIT investment scam may become apparent to an investor. If you are concerned about your own investment, then it is important to contact an Ohio investment fraud lawyer as soon as possible to discuss your concerns.

Contact a Columbus Investment Fraud Attorney

The Ohio stockbroker fraud lawyers at the Law Firm of Meyer Wilson have successfully helped more than 800 clients recover damages through stockbroker mediation, arbitration, and litigation claims.

If you suspect that you have been the victim of Columbus stockbroker fraud, please call one of our experienced attorneys today at 614-224-6000, and please read our FREE book Five Signs of Investment Fraud... And What to Do if it's Happened to You for more information.