What Are Real Estate Stocks?
Real estate stocks can involve any publicly traded stock for a business that touches the real estate market in some shape, form, or fashion.
Most REITs distribute these profits to their investors quarterly, making them a convenient interest-earning vehicle for those who want a steady stream of income.
– These large payouts will result in above-average yields, which is great for the dividend investor.
Investing in REITs helps to diversify your portfolio.
– Stock share prices can drop when property values fall.
– Tax inefficient: When comparing REITs to rental properties, actively managed real estate is more tax efficient.