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How does one get invited to invest in a REIT?


Not investing via mutual fund but a direct investor through invite.

Also, what is the benefit of doing so once accepting invite?

Private type REITs are available through any knowledgeable financial advisor. Restrictions would include net worth/income requirements (minimal) as well as suitability. The problem with this way of investing in REIT's is liquidity. Mutual fund/ETF type REIT's provide much more liquidity and typically more diversification.

You have to have a lot of money. There may or may not be a benefit. If the real estate market booms, you will make a good profit. If it's sluggish, it could take a long time to pay off.

Look into REIT mutual funds or ETFs those are good something like TRREX is a good option

Unless you are a seasoned investor...in which case you wouldn't be asking this question....or stay the heck away from any REIT pitch, in fact, any pitch

But, if you must....direct investment in any vehicle means high risk/high rewards....
Beware, though....if you are "asked" to participate...determine how the amount of $$$$$ you are asked to contribute compares to the total amount...your $$$$$ may be at HIGH risk....also, ask to see the revenue estimations/tax liabilities/tort liabilities/voting rights/cancellation policy/estimated break even date/ long and short term strategies of the REIT..

in short....the legal fees to check out the prospectus will be non trivial..
if all of that goes well and you still want to directly invest....you are hoping that your share of the REIT will produce a sizable return on your $$$$$

Trust me....go with the ETFs


There are a large number of close-ended mutual funds and ETFs that mirror most REITs....

Quite honestly, the best way to buy into a REIT is to either find a reit stock or a mutal fund. The mutual fund route is probably the better way to go because you're spreading out the risk.

The KEY thing with REITs is what kind of properties they invest in. Some focus exclusively on shopping centers, others medical centers, etc. It's the quality of the properties and locations that matter.

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