Differences Between REITs And Real Estate

Recent trends tell that a lot of people are turning in investing to REITs, or real estate investment trusts, which are affordable investments for almost anyone who are interested. Many has seen its numerous advantages compared to buying actual properties. Basically, an REIT is a corporation or association that operates real estate and other related assets in order to generate income. One popular example for this is shopping malls. But how does it really differ from real estate?

No need for purchase

Usually, an investor goes out to buy assets like real estate as an investment, in hopes of possibly generating income. But with REITs, numerous investors can participate in funding a commercial real estate and will have a share of income produced. In addition, when you choose a real estate, you would have to figure out sourcing your initial capital, and other financial and major decisions that may be crucial to the growth of your investment. In REIT, there will be people who are expert when it comes to these terms. If you think this is the right path for you, just ask Mr. Neil Maxwell and his entire pool of successful executives on how investing in REITs can turn fruitful.


Unlike real estate assets which cost significantly expensive even as a down payment, with real estate investment trust, you can invest for a reasonable price. This is one of the primary reasons why many are encouraged to participate in this kind of investment.

No sweat

Upon pouring a portion of your money as a share in REITs, all you have to do is monitor the growth of your investment without having too much effort. When you actually own a real estate, you will need to be in charge of everything that goes in and out, which can be kind of tiresome. Besides, you may have to deal with problems and maintenance regarding your own property such as complaints and equipment repairs. Fund a real estate investment trust australia in order to generate income without stressing yourself so much.

Easily traded

Investing in REITs is like owning stocks in a company. When you want to pursue other business dealings, you can sell your shares easily and as is. With real estate, you still have to estimate the entire value of what you want to sell, in which the resale value may depend on a lot of factors such as market conditions.