Quote:
Originally Posted by retiredguy123
If an advisor recommends an REIT, read the prospectus. Does the real estate they are investing in make sense? What are the proposed salaries of the REIT managers? Do they have a successful resume? Is there any incentive for the managers to make a profit on the real estate, or are they just collecting a salary even if the investors lose money?
Note that anyone can establish an REIT and write a prospectus that names them as the CEO with a huge salary. Then, they hire brokers to sell the shares, and lawyers, accountants, real estate professionals, etc. to buy the real estate and to manage it. As long as they sell enough shares, they can make a lot of money even if the REIT goes broke.
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I don't see myself buying one. I already own two REIT funds in my Roth IRA. If I were to buy a single REIT at this time it would be VICI Properties.
I am not going to use this advisor. I have a few more plus a CPA to interview next week. Being retired, I have plenty of time to investigate.
