How do REITs affect the real estate market?
Curious about REITs
REITs (Real Estate Investment Trusts) can have a significant impact on the real estate market. They provide an alternative way for investors to invest in real estate without actually owning physical property. This can increase liquidity in the real estate market by allowing investors to buy and sell shares in REITs on an exchange.
REITs also have the potential to affect property prices. When REITs are performing well and have significant capital to invest, they may choose to purchase more properties, which can drive up demand and prices for real estate in certain areas. However, the impact on the real estate market may vary depending on the type of REIT, the location of the properties it invests in, and the overall economic conditions.
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