Saturday, March 21, 2009

"Warehouse Lending" Looking for More Liquidity - REITs

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.

"Warehouse Lending" - Looks at REITs - The Wise Investment

"Warehouse Lending" researched many different investments always looking for a good deal like today's typical consumer.

In today's touchy economic climate many people want to also be doing something to invest their money wisely, but are not sure how to do that. It seems every time you look at the business section all you see is more bad news about markets taking a tumble.

So, what is an investor to do? Well now may be a good time to take on an investment in something that is solid and has assets backing it up like Real Estate.

Sure, you're thinking that the real estate investment market has taken its share of hits. Yes, it has. But if you compare the hits it takes in a down market to the other mutual funds, stocks, bonds and options out there, you will see real estate is still the way to go.

For example, in one chunk of the market drop the regular stocks were down in a painful way. People then looked to see what the more stable commodities were doing. Even they were down. Utilities were down 4-5 percent. But at this same time real estate funds were down less than a percent. That should tell you something. Even when the rest of the investing building is crumbling, real estate is still a pretty strong corner stone.

Sure, some markets are still rather low for where most investors would like them to be, but if you look at this in a different way you may see the light.

While the funds may be low now, real estate is an asset. That means real estate will never completely lose it's valuable. That tangible piece of land or building will always retain some value. Therefore unlike the regular stock market where a bad day could wipe all of your money away, the real estate investing market will usually allow you to at least keep your investment, although you may not see as much profit as you would like.

How to Invest in Real Estate

The next thing you may be wondering is how to start getting invested in real estate. The first thing you need to do is your homework. You need to know what is best to invest in and how to get your money into those markets.

Begin by going to REITBuyer.com. This is a website that is in the business of real estate investments and real estate investment trusts (REITs).

Unlike other brokerage firms that just want your money, they also want to make sure you know what you are getting into. The website is filled with information about REITs and the real estate market in general. This will give you a good base in the options that are out there and which ones you may want to consider purchasing.

Once you know which ones are the best to put into your portfolio, REITBuyer.com can take care of that part of the process as well, making the purchases for you.

After the purchase has been made, they will also help you keep up with your REITs and follow their progress in the weeks, months and years to come.