Real Estate Investment Trusts (REITs) are corporations (trusts) that own, and in most cases operate, income-producing real estate. They own many types of commercial real estate, including office and apartment buildings, warehouses and hospitals.
REITs are entities that operate by pooling the capital of numerous investors, in order to buy and manage either properties that produce income or mortgage loans.
Real estate investment trusts, or REITs, own or finance income-producing real estate across several property sectors. REITs allow companies and individual investors to invest in real estate without owning any property. It IS a public investment vehicle listed on a stock exchange.
Buying into a REIT means investing in a company that earns rental income from its real estate assets. A real estate investor may be interested in investing in a REIT because it diversifies their portfolio among numerous properties.
RRIT are investment vehicles where investors can pool their money and distribute it in various real estate investments. They do so through companies that acquire and run real estate assets for their investors. Real estate investment trusts allow individuals to invest in large-scale.
Types of Real Estate Investment Trusts
- Equity: Equity REITs are real estate companies that own or manage income producing properties – such as office buildings, shopping centers and apartment buildings – and lease the space to tenants.
They mainly focus on hotels and many other building with large rental income.
- Mortgage: Mortgage REITs, or MREITs, are investments in purchased or originated mortgages and mortgage-backed securities(MBS) that earn income from the interest paid on those assets.
They gain income through interest paid on the loans, as they own the property.
- Office REITs: Office REITs are Real Estate Investment Trusts, which are companies indulging in business of owning, constructing & managing income producing properties like Offices & Office Buildings, which they further lease to multinational companies or tenants for running their business. They mostly invest in particular geographic areas. IT parks and skyscrapers are also example of these properties.
- Industrial REITs: Industrial REITs is a real estate investment trust which owns or operates real estate properties like manufacturing, warehousing, production, distribution, or any other industrial estate and earns by either leasing or renting them to businesses.
- Hybrid REITs: It is a real estate investment trust that is effectively a combination of equity REITs, which own properties, and mortgage REITs, which invest in mortgage loans or mortgage-backed securities.
- HealthCare REITs: Healthcare REITS own, manage, and collect rent from healthcare-related real estate. They own hospitals, nursing homes, assisted living and senior care facilities. In addition with other healthcare properties. It is recognized that America has the biggest Healthcare REITs.
How Many Jobs are Available in Real Estate Investment Trusts?
The real estate industry employs many people across various jobs. As of February 2023, there are 1.855 million people employed in the real estate industry. Some companies may employ more people than others. For instance, in 2021, there were approximately 144,000 real estate sales agents, while there were approximately 44,000 real estate brokers.
326,000 jobs are available in real estate investment trusts in the United States, and a further 3.4 million full-time jobs are available that are indirectly related to the REIT industry.
Major Jobs that are available in Real Estate Investment Trusts
- Real Estate Property Appraiser
The term Appraiser refers to a professional who determines the market value of an asset, notably in the real estate industry. Real Estate Appraiser, also known as a real property appraiser, is a professional that is called upon to determine the value of a home or property.
These valuations are used during the sale and purchase of properties and can be very useful for a real estate investment. A property appraiser’s work can help ensure that properties get purchased at an appropriate price.
These appraisers can also help prepare information regarding tax assessments/allocation and identify areas of the property that are problematic or unsafe. They get paid $68,319 per year as the national average salary.
- Financial Analyst
Financial analysts guide businesses and individuals in decisions about expending money to attain profit. They assess the performance of stocks, bonds, and other types of investments.
A financial analyst working in the real estate investment trust industry may work with clients to provide financial analysis and advice and support clients in the acquisition of properties. They may conduct research on properties in which clients are interested and prepare reports of their assessments.
If the client decides to purchase a property, the financial analyst can help them complete the various paperwork needed to process the purchase. The average national salary is $72,148 per year.
- REIT Analyst
REIT Analysts assess properties in a real estate investment trust portfolio to provide updated information. For instance, they may conduct market research, find financial statements, and prepare underwriting of real estate properties to help portfolio holders have accurate data about income, loan amounts, and valuations of properties in their portfolio.
They may also complete assessments of various properties, including taking photographs and creating maps to help provide comprehensive information. These analysts may also be responsible for handling legal documentation for various property purchases. The national average salary is $67,737 per year.
- Investor Relations Manager
Investor Relations Manager oversees communication and nurtures relationship with shareholders. They handle shareholder requests for information. The main focus of this role is to help investors make informed business decisions about investments.
They often gather and create various documents to share information, such as financial statements, equity statements, and information about a company’s operations and finances. They get paid $82,762 annually as the national average salary for this job.
- Leasing Consultant
Leasing Consultants are rental property specialists who interact with tenants on behalf of landlords and property management companies. They assist potential and existing tenants with the viewing of properties, lease terms and prices, rental applications, and lease negotiation and renewal. The average salary is $34,500 per year.
- Real Estate Attorney Jobs
Real Estate Attorneys are certified professionals who oversee the legal aspects of real estate transactions. They prepare and review legal documents relating to real estate, negotiate the terms and conditions of real estate transactions, and facilitate the transfer of titles. They provide legal advice and representation to clients involved in real estate transactions.
You can read more about available jobs in Finance Consumer Service and get to apply for any available jobs in consumer companies.