Real Estate Investment Trust, REIT, is a type of company that owns income generating real-estate. This could be commercial, multi family, medical facilities, or warehouse properties. Generally, they are traded like stocks, and pay dividends to their shareholders from their income stream.
REITs must pay 90% of their income in dividends, subject to various management and transaction fees, (found in the small print).
Your investment can lose value due to market fluctuations. REITs are publicly traded on the stock market so the value of your investment will vary every day and your dividend will vary each quarter.
With Income producing properties experiencing historic closures, evictions, and declining sales.
What do you think happened to the value of the REITs and dividends in 2020 and now 2021?
Notes can also be grouped together and invested in. CITx does that in 3 different portfolios. By investing in one of our portfolios, you will receive a set payment of Principal and Interest, every month, for a set period of time. No small print or hidden fees.
No changes, no surprises = peace of mind.
But what about real estate fluctuations, interest rate volatility, economic issues?
Unlike income property, a person’s home is generally the center of their family, they have emotional equity in their house. Your investment and interest income is not affected by any of those negative factors.
Which is the better investment plan for you?