2006-11-16 12:04:55 · 3 answers · asked by ed a 1 in Business & Finance ➔ Renting & Real Estate
You're looking for a REIT which is a real estate investment trust. They invest in all kinds of real estate...not just commercial properties. To remain a REIT, they are required by IRS rules to distribute a large percentage of their income every year to the owners. This makes REITS a good source of income...if that's what you desire. You also get the potential capital gains the company can gain upon sale of some of their properties. REITS are a good way to invest in real estate...without having to get your hands dirty with cleaning and repairing a piece of property and without all the other landlord problems you could also have. You buy REITs from a stockbroker just like any other stock. Make sure you get some diversification across geography and real estate types. eg invest in some residential, commercial and office properties. Try to get some of the hot markets like Las Vegas or California...if you can. Also try to find one with investments in several different parts of the country.
2006-11-16 13:28:13 · answer #1 · answered by dltcpa 2 · 0⤊ 0⤋
A "REIT" is a Stock. It's basically like buying a piece of a corporation that buys and sells investment quality real estate- usually commercial buildings. You can get in or out of it just like a stock- Another one you should take a look at is a 1031 Tax Exchange- especially if you already own real estate and you want to sell it and buy something new -but you don't want to pay taxes on your income from the sale. You just want to move the income into something new until you retire into a lower tax bracket and make your 1 time allowances for income -blah, blah, blah.
2006-11-16 20:31:17 · answer #2 · answered by loosenutbehindthecomputer! 2 · 0⤊ 0⤋
I think you mean REITs - Real Estate Investment Trusts. Try this .. I haven't read it but it seems like a good place to start.
2006-11-16 20:07:06 · answer #3 · answered by princessmeltdown 7 · 0⤊ 0⤋