It looks like a bumper year for the Real Estate Market as there have been constructive developments in this particular sector of late. India has shot to the top of the list as favoured destinations for real-estate investments in the eyes of major institutional investors. People usually buy real estate stocks as they consider it be a sheltered investment.
Today, most of the real estate dividend stocks are organised as Real estate investment trusts which is commonly called RIETs. To income investors the biggest advantage in investing in RIETs is their dividend rates. Currently, the average yield of all S&P 500 companies is about two percent. With REIT stocks, the dividend yield could easily double or triple itself. And that’s because these companies distribute at least 90% of their taxable income each year as dividends to shareholders (as required by the Law). Moreover, we can say that real estate stocks are more solid than any other high-yielding stocks just because real estate is backed with RIETs.
There are hundreds of real estate stocks flickering in the stock exchange market today which are open to different segments. Some specialize in shopping malls and freestanding retail, while others invest in office buildings and multi-family apartment buildings. There are also healthcare REITs, which invest in the real estate of nursing facilities, retirement homes, and medical offices.
Therefore, RIETS give an opportunity to tap those areas of real estate which are generally not in the reach of small investors. For instance, a small investor may not be able to buy a shopping mall However, by investing in a REIT stocks that specializes in malls and shopping centres, an investor can easily become a part time owner of those properties. For REITs, the minimum investment required is usually low.
ROF is one of the top developers in Gurgaon, which has given many affluent projects so far. Investing in ROF for long term benefits can prove to be a wise decision.
What are you waiting for? Invest in real estate stocks immediately.
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