VICI - Why REITs Are A Better Buy In Today's Market
2024-04-10 07:00:00 ET
Summary
- Investing in REITs is a more attractive alternative to physical real estate currently due to the rapid rise in interest rates and cost associated with owning a home.
- High interest rates and rising home prices make owning physical properties less feasible in the current market, but have driven REIT prices down in the process, creating great buying opportunities.
- REITs offer the opportunity to own properties globally and provide regular dividend income, making them an appealing investment option.
- Using the saying that real estate prices double every 10 years, high-quality REIT share prices have also doubled in the past decade as well.
- Homebuyers need to earn 80% more than they did four years ago, while incomes have risen only 23% over the same period.
Introduction
You might've heard me mention this before but after spending 21 years in the U.S. Navy, the one investment many military members often talked about was investing in Real Estate. And while real estate is an attractive way to build wealth, there's always more than one way to skin a cat as the saying goes. And who knows, one day I may buy an apartment building or something, but in today's market, placing your money into REITs ( XLRE ) is an alternative, but more attractive way to build wealth. And in this article I discuss why investing in REITs are more attractive today.
Navy Investing
Growing up in the Navy I always heard older people say "I'm going to buy a house and when I transfer, I'm just going to rent it out." This seemed to be the only way military members invested. Investing through the stock market wasn't talked about as much, although I do know some members who prefer the market....
Why REITs Are A Better Buy In Today's Market