REITs and Real Estate Mutual Funds Investing - Scams by: Robert Shumake

As you begin your investing life, you may have a lot of thoughts in your head about how investing works and how you acquire and sell stocks, bonds, mutual funds and other commodities on the stock market. Before you start throwing your money around you need to understand that most days on the stock market are not like what you have seen in the movies.

Often in the movies you see a person get a 'great tip' and run to buy up that stock and make a fortune. They are buying and selling as quick as they can when tips come in and while they may have started with a few dollars, suddenly they are a millionaire.

Real life is not like the movies. In real life more often than not those great investing tips are scams. They may come in the form of e-mails that offer just you a hot tip about the next big thing that will be hitting the market.

The only person who is going to profit from this deal is the person who sent you the e-mail. Usually they are the owner of a company that will profit when everyone jumps onto that stock. They will sell to you for a higher price and then when the stock goes to it's real value, which is much lower than the hype has made it, they will reap the profits while you will lose your hard earned money.

Instead, you should only put your money into wise investments. One of the wisest is real estate. Sure, real estate, like every other market, is dealing with a tough time right now. But that does not mean it is going to fall through the floor. Instead real estate mutual funds and REITs have the benefit of a little more stability since they are built on the foundation of a tangible asset – real estate.

In addition to knowing which market to invest in, there are plenty of avenues in those markets. While you could purchase individual stocks or bonds, you may want to go with something a little more solid and diverse like real estate mutual funds and REITs or real estate investment trusts. The reason these are more solid is that they are not putting all of their eggs in one basket. Instead the real estate mutual fund or REIT basket is filled with a number of real estate related stocks and bonds and therefore you are getting a lot of shares for one buy in.

The hard part is often picking which one you want. By going onto a website like REITBuyer.com you can look at the latest news and research on real estate mutual funds and REITs. REITBuyer.com is the first and only online brokerage specializing in REITs and real estate mutual funds so you will have all the information you need at your fingertips without having to dig through information that is useless to you. Once you've selected the real estate mutual fund or REIT that is right for you, you will also be able to make a purchase and watch your portfolio in the same place.

About The Author

Robert Shumake's mission is to inform the public about mortgage fraud and real estate scams and to provide tips on how to avoid being a victim. "Sometimes people will commit identity theft to obtain a housing loan, sell someone else's house or take over someone else's property," says Shumake. "It is my goal to inform the public on how to protect themselves from being victims of this crime."

http://reitbuyer.com