Real Estate Investment Trusts

Discussion in 'Stock Market Forum' started by crimsonghost747, Sep 17, 2014.

  1. crimsonghost747

    crimsonghost747 Senior Investor

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    Anyone else investing heavily (or not so heavily?) in REITs?

    They fit pretty well into my strategy as they are relatively safe investments that provide a constant cashflow due to a (usually) high dividend percentage and in most cases monthly distributions. Basically it's my way of getting into the real estate business with low capital... and it saves me from all the hassle as I've got professionals doing it all for me.

    Due to the nature of their business it's unlikely that REITs will lead to huge profits.. unless we are talking about mREITs but that's a whole different story. A lot of people are also worried about rising interest rates as most REITs are highly leveraged, but I see the interest going up only when the economy is stronger and then it's also very likely that rent prices can be increased to counter the loss from higher interest rates.

    I currently own 3 different REITs with their total value somewhere around 20% of my current portfolio.
     
  2. dianethare

    dianethare Senior Investor

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    Would you kindly advise how one can enter into this type of investment and what's the minimum rate required to invest in...am a bit lost in the forest when it comes to this type of investment....will appreciate your input into the whole topic.
     
  3. JR Ewing

    JR Ewing Super Moderator Staff Member

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    I sometimes like better publicly traded highly liquid REITs, real estate stocks & mutual funds, etc as part of a balanced portfolio.
     
  4. crimsonghost747

    crimsonghost747 Senior Investor

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    Many publicly traded ones, so you can buy them through your broker just like you buys shares in companies.

    http://en.wikipedia.org/wiki/List_of_public_REITs_in_the_United_States

    Of course there are options outside of the USA too, Canada is very good and I can imagine that you can find some pretty cheap deals in European ones.
     

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