Real estate investment trusts (REITs) are a type of investment vehicle that allows investors to pool their money to invest in real estate. REITs can invest in a variety of property types, including commercial, residential, industrial, and healthcare properties. REITs offer a number of advantages over direct real estate investment, including diversification, liquidity, and professional management.
REITs are publicly traded on stock exchanges, making them easy to buy and sell. Investors can buy REITs through a broker or directly from the REIT itself. When you buy a REIT, you are buying a share of the trust, which represents a portion of the underlying real estate portfolio. REITs typically pay dividends to shareholders on a regular basis, which can provide a source of passive income.