Real Estate Mutual Funds (REITs)

If you want a piece of the real estate action, but don't have enough money to buy a rental unit or invest in another property, look into Real Estate Investment Trusts (REITs). These special mutual funds only invest in property. Some specialize in rental units, while other buy only commercial properties. Over time, investing in real estate tends to yield slower profits than investing in the stock market, but investing in tangible objects can give you a greater sense of security. Plus, REITs give you several other mutual fund benefits including the ability to quickly build a diverse portfolio with little investment.

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