What are general benefits of REITs?
REITs offer the distinct advantage of greater diversification through investing in a portfolio of properties rather than a single property. They also provide management by experienced real estate professionals. REITs are designed to provide investors with steady income in the form of monthly or quarterly dividends, as well as growth potential in the appreciation of the properties owned by the REIT. REITs may also help investors diversify their assets and overall portfolio allocation. While most investors have substantial holdings of stocks, bonds and mutual funds, for many investors, real estate is overlooked. Many investors feel that in order to invest in real estate, they must have substantial amounts of capital, assume new debt and loans and be experienced at managing real estate. REITs can help alleviate some of these requirements as they offer low minimum investments, they do not require investors to acquire a loan and the properties are managed by experienced real estate professi