5 Seller Red Flags in a Commercial Real Estate Transaction

10/07/2026 10:00 AM Mark Goodman

It’s an unfortunate reality that fraudsters target commercial real estate transactions, so it’s important to be aware of some red flags that may indicate a bad actor. None of these actions mean that you are certainly working with a scammer, but they should cause you to pause and reevaluate your commercial transaction to make sure you’re not being taken advantage of. With all that said, here’s a look at some seller actions that should have you thinking twice about proceeding:

Pushing For A Quick Sale - Many buyers and sellers would love that a deal is wrapped up quickly and efficiently, but not before necessary checks and investigations take place. If they are pushing to close within weeks of you showing interest in the property, take a step back and slow things down. Don’t rush through the transaction and end up holding the bag when the dust settles.
Refusal To Meet In Person - It’s certainly possible that the buyer lives in another state or has moved south for the winter, but if they refuse to meet in person, it should send up a red flag. Scammers want to protect their identity if possible, and it’s easier to pretend to be someone you’re not if you’re only ever communicating with a person via email, text or phone calls. Be wary of the seller who you’ve never met or seen on a video call.
Wants To Keep Other Parties Out - If the seller wants to work just with you or have control over who you bring into the transaction or who notarizes documents, be warned. Buying commercial property is a complex process, and you want experienced professionals to review all aspects of the transaction so that no problems are overlooked. If the seller doesn’t want you to bring in a title service team, a third party escrow team, a professional notary or other professionals that you hire on your own, they may be trying to keep some problems from coming to light. If they are very controlling over who gets involved in the team, you may be working with a scammer.
Wanting Cash Buyers And Early Payments - All things the same, many sellers would probably prefer a cash buyer, but if a seller only wants cash offers or demands earnest money or other types of down payments early in the process, know that they may simply be trying to get a wire transfer and ghost you. Protect your money by sending money to a team like Commercial Partners who can act as a neutral escrow services provider to hold and distribute funds when certain conditions are met.
Priced The Property Too Low - If the price seems too good to be true, there’s probably a reason for it. Now, that may be something as simple as existing liens that need to be absorbed by a potential buyer, or it could be a scammer that is hoping to prey on a buyer that sees a lucrative opportunity. In the world of commercial real estate, you typically need to ask “What’s the catch?” when something seems too good to be true. If you can’t find any issue with the property, make sure you see if the issue lies in the seller.