You Don't Have to Pick a Winner In REITs. Here's Why.
Lots of people think that they'd love being a real estate investor, buying and renting out properties. It can seem like easy money, with all those rent checks rolling in. But you generally need to have a fair amount of money in order to buy property in the first place -- a down payment, at least. And there are downsides to being a property owner, too: You can't just sell half the building when you need money. You might lose money when the unit is empty between tenants. You'll still be on the hook for taxes, insurance, maintenance, and repairs, too.
Fortunately, there's a much easier way to invest in real estate: Via real estate investment trusts (REITs). You don't even have to find and invest in the perfect REIT, because you can invest in many via a REIT-focused exchange-traded fund (ETF). Here's a look at what REITs and ETFs are, along with a few exemplary ETFs to consider.
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Source Fool.com
