What It Is and How to Invest
| Types of REITs | ||
|---|---|---|
| Type of REIT | Percent of Market Share | Holdings |
| Equity | 96% in 2023 | Owns and operates income-producing real estate |
| Mortgage | 4% in 2023 | Holds mortgages on real estate |
| Hybrid | Negligible since 2009 | Owns properties and holds mortgages |
How to Invest in REITs
Within the above types are REITs that have different ways of attracting funding. These differences will be important when we next go through our tips for how to begin investing in REITs:
- Publicly traded REITs. Shares of publicly traded REITs are listed on a public exchange, where they are bought and sold by individual investors. These fall under U.S. Securities and Exchange Commission (SEC) regulations.
- Public non-traded REITs. These REITs are…
