Introduction to Real Estate Investment Trusts (REITs)
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How about a way to invest in real estate without so much risk? Welcome to the world of real estate investment trust (REITs).
What you will learn
- What Is a Real Estate Investment Trust (REIT)?
- How Do You Earn Money from a REIT?
- What Types of Real Estate Does a REIT Invest In?
- How Can You Invest in a REIT?
- What Are Some Advantages and Disadvantages of Investing in a REIT?
What do you know?
Introduction to Real Estate Investment Trusts (REITs)
Unless it is your own home, investing in real estate can be uncertain. A development can fail, and rents can plummet. Mortgage interest rates can decline, and the flood of the century can wipe out your investment. A real estate investment trust (REIT) aims to lower the risk of investing in real estate. It operates much like a mutual fund, except that instead of investing in stocks or bonds, it invests in a diversified portfolio of real estate.
A REIT might be a good investment choice to help diversify a portfolio with the right asset allocation strategy.