Tuesday, March 3, 2009

Foreign REITs as Good Real Estate Investments

Profit By Investing in Indian Real Estate

If you're ready to get into the investing market and are looking for a great investment, have you considered foreign REITs? REIT stands for Real Estate Investment Trust. Essentially, this is a real estate management fund. As an investor you purchase shares into the fund for those running it to buy and maintain real estate interests. From commercial real estate to residential real estate, there are REITs in all sectors of the market.

When many people think of investing in REITs they think of investing in those that are based in the United States. But there are plenty of investment options around the world that you can take advantage of as well. For example, there is a lot of industrial growth happening in India. Industrialization in a country means that there are more focuses happening on the larger cities and more and more people are trying to move to those cities because that is where the jobs are.

This opens two markets for real estate investing. The first is residential real estate investing. The more people want to live in an area the more need there is for housing for those people. From apartments to houses there will be a major growth in the number of residential units that need to be built and managed, opening up possibilities for a number of Real estate investment funds. The other places that real estate interests will be trading strong is in commercial real estate investing. The more people are moving to the city to live and find jobs, the more businesses will want to open to support all of those people. From restaurants to stores and service companies, they will all need commercial real estate land and buildings to get up and running. This is where many real estate developers or real estate management companies are coming in and forming REITs, to offer that commercial space.

There are some important things to think about before you begin any investment in an international REIT. First, what do you know about that country and it's investment options? If you are like most people, you may be lacking in this arena. That's all right. That is why there are real estate broker firms like REITBuyer.com on the market. REITBuyer.com has a website that is filled with information and research to give you the knowledge you need to make a wise decision on investing in REITs in India.

In addition to having the latest news and analysis on real estate investing, they are also investing real estate brokers which means you will be able to do your research, pick your REITs and make the purchase all in one place.

There is one thing to keep in mind as you are purchasing any foreign REITs. Not all governments and construction schedules run like they do in the US. If you are getting in on the ground floor of a REIT, it may be a long wait to start seeing a return on your investment as often government slowdowns muck up the process.

That's not to say that this is not a good market, just that you need to keep in mind that your investments may take a little longer to pay you back, so you will need to be patient with your funds.

REITs for Full Liquidity of Your Money for Tough Economic Times

Buy REITs for Real Estate Investment Liquidity

When you think about real estate and investing in it, you probably think that means money that you will be out of for a long, long time. This only makes sense. Most people think of real estate investing as purchasing a home or pieces of land. The loans for these purchases often last quite some time.

But this does not have to be the case. If you know what you are doing and are doing real estate investing instead of real estate purchasing, you can have full liquidity of your money, just in case you need it.

Here's a look at the difference. In real estate purchasing, you are buying properties and then responsible for them. If they are homes or businesses, you have to maintain them and keep them in good working order.

On the other hand REITs are investments. They are purchased in shares, just like you would with the stock market. If you need some liquid cash or just no longer want to be a part of a REIT, you just sell your shares as you would with any other stock or mutual fund investment.

In many respects, REITs offer the same flexibility as any of the other markets, while at the same time offering you the chance for a longer-term secured investment.

What I mean by secured investment is that for the most part real estate always has some value. While the value may fluctuate, it is a physical asset that will retain some value over the long term. In other stocks and mutual funds, if the company that you are purchasing shares in goes out of business, you can lose everything. In the case of real estate investing, there is always an asset with worth involved.

Many people steer away from REITs because they are not a 'make money fast' source of investment income. In most cases, that is true. Most REITs will see pretty constant regular returns in dividends, but not necessarily big spikes where you can grab a big profit. With that said, think about what else is in your portfolio. If you have other stocks and mutual funds in your portfolio adding real estate investments will give you a more stable backbone to base your investment profile off of.

There is also another way to add diversity to our real estate investment trusts. Why not diversify the trusts you own. Instead of just owning commercial, residential or US based ones, you can purchase shares in a number of different investment trusts across the world and across all markets.

When you're ready to jump onboard and diversify your portfolio with the addition of a few REITs, it's time to do a little research and understand what you want and how to get it. Instead of trying to sort all of this out from a number of different sources, why not do it the easy way and get everything you need in one place. REITBuyer.com has all the aspects you need to get going with REITs. From research and analysis of the REITs out there to the tools to follow them and even make a purchase, as they are a complete investment real estate broker site.