{"id":67269,"date":"2018-11-28T19:06:35","date_gmt":"2018-11-28T11:06:35","guid":{"rendered":"https:\/\/nomoneylah.com\/?p=67269"},"modified":"2022-05-02T13:30:12","modified_gmt":"2022-05-02T05:30:12","slug":"4-key-differences-between-reit-and-rental-property","status":"publish","type":"post","link":"https:\/\/nomoneylah.com\/2018\/11\/28\/4-key-differences-between-reit-and-rental-property\/","title":{"rendered":"4 Key Differences Between Investing in REIT and Rental Property"},"content":{"rendered":"\n

One of the most amazing thing when it comes to real estate investment is its versatility. As such, 2 of the most common ways to invest in real estate are through investing<\/a> in Rental Property<\/strong> and Real Estate Investment Trust<\/a> (REIT<\/abbr>)<\/strong> in the stock market.<\/p>\n\n\n\n

If you are not familiar with REITs, just imagine yourself buying into shares of companies that own and manage real estate<\/strong> as their primary business activity.<\/p>\n\n\n\n

Some REITs specialize in one specific asset class (eg. YTL REIT in hospitality) while some diversify into multiple asset classes (eg. Sun REIT in retail, hospitality and office space).<\/p>\n\n\n\n

While both methods of investment allow investors to gain exposure in the real estate market, it is like comparing apples and oranges. Owning rental property represents direct ownership<\/strong> while investing in REITs is characterized by owning shares in a company<\/strong> whose sole purpose is to manage a portfolio of real estate assets.<\/p>\n\n\n\n

In this article, let\u2019s explore 4 key differences between both methods of real estate investment:<\/p>\n\n\n\n

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Table of Contents<\/p>\n