A REIT Good Investment, or should it be BUYER BEWARE?

摘要

1st January 2007 was the launch date for REITs, or Real Estate Investment Trusts. A REIT is a company that owns and manages income producing property, which can be commercial or residential. Most of this income is distributed to shareholders and in return the company is exempt from corporation taxes. The returns from investing in a REIT are closely aligned with direct property investment, as the effect of 'double taxation' at both the corporate and the investor level is removed.