A Rall Estate Investment Trust is a security that uses
investors’ money to purchase and invest in managed real estate. Investors
realize many of the tax advantages of owning real estate. Instead of outright
purchase of real estate, which requires a lot of capital and makes you
responsible for repairs, upkeep and rent collection, REIT’s give you the
opportunity to pool your money with other investors, participate in a
diversified portfolio of properties, and passively receive rental income.
Since their inception, REIT’s have offered outstanding returns for investors,
and represent the easiest and most liquid way to participate in the real estate
markets. Most REIT’s payout a much higher level of dividend income than most
other investments. Many investors use REIT’s to diversify their overall
portfolios, which also contain stocks, bonds and precious metals. REIT’s are
available for rental properties, timber, commercial real estate and many other
types of real property investments.