REIT Vs. Rental Property: What Is A Better Investment?

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Are you interested in building wealth by investing in real estate? One of the most popular real estate investment questions is whether to invest in a REIT or a rental property.

There are several differences between the two options, from the initial purchase and taxes to how they generate income or appreciation over time.

What Is a REIT

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Real estate investment trusts or REITs own, operate, or finance income-producing real estate across many property sectors. The real estate investment trust is a way to invest in real estate passively.

Types of REITs

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Equity REIT is the most prevalent type of REIT. Equity REITs own or operate income-producing real estate like shopping malls, commercial real estate, health care facilities, apartment buildings, warehouses, office buildings, cellphone towers, and hotels.

Equity REITs

Mortgage REITs (mREITs) only provide financing for income-producing real estate by borrowing money at low short-term interest rates and purchasing mortgages that pay more excellent long-term interest rates.

Mortgage REITs

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