By Stephen L. Thomas | November 3, 2023 | In
REITs also known as real Estate Investment Trusts are companies that own income-producing real estate. REITs can be an ideal investment for people who want to invest in real estate without paying the often hefty upfront cost. Examples of REITs include apartment complexes, warehouses, assisted living facilities, corporate buildings, or resorts. There are both publicly traded REITs and non traded REITs. Publicly traded REITs have been registered with the SEC and therefore can be publicly traded on a stock exchange. Non-traded REITs may be registered with the SEC, but they don’t trade publicly. REITs are ideal for individuals who want to diversify their portfolio and are interested in passive and fixed income forms like dividend payments. Types of REITs There are three main types of REITs and they include equity, mortgage, and hybrid. The main difference between all three is in how income is generated for investors. Note that REITs can also be categorized by the industry they operate in. Some common industries include retail, residential, healthcare, office, and mortgage. Equity These types of REITs are companies who own or manage properties that produce income