In a recent action against a property investment scheme, Monetary Authority of Singapore has placed Brazilian property developer Ecohouse on alert list. An investor who invested $46k in Mar 2013 has not received any payments. In late 2013 there were already various complains from the Singaporean investors and some are considering legal action. Ecohouse offers investors a 20% fixed rate of return for a 1 year commitment. Basically how it works is that the investors will first buy the house while it is being developed and then make the returns when the unit is resold to a Brazilian buyer at a higher price.

An EcoHouse Project

This is not the first controversial issue with property investment schemes. There have been many other cases, many of them being landbanking schemes, such as Edgeworth Properties which was a land banking scheme. If one bothers to look online, you can already see a ......