Friday, May 1, 2009

Playing Affordable Real Estate Investing - REITs and Real Estate Mutual Funds by: Robert Shumake

Who doesn't want to be the next Donald Trump or Warren Buffet? But before you have a multi billion-dollar investment portfolio filled with stocks, bonds, and the other commodities on the stock market, you have to start somewhere. That somewhere is with your first wise investing decision.

If you are new to the investing game you may have a lot of ideas about how this works. Many people have seen movies that show Wall Street actions and people putting everything on the line to make a big purchase that they turn around and sell quickly to make a major profit. This is not usually the way things work. They call it the movies for a reason. Instead, real successful stock market investing and trading relies much more on research and wise decisions.

If you are not sure what market you should be investing in, ask yourself this question. Are you up for taking a lot of risk or would you like something that has a more stable grounding? There are plenty of investing markets that are very risky. While there is potential to make money, there is also a potential to lose everything you have put into it. If you are not willing to put everything you have on the line you may want to try a market that has a little more stability like real estate.

The reason real estate is considered more stable is because unlike other markets it is based on something tangible – property. Other markets are based on ideas and companies that could be here today, gone tomorrow. But if you have real estate at the base of your investment world you know it will always have some value. That stability also spreads into the businesses and services that relate to the real estate market.

Next is deciding where to invest in real estate. While purchasing property is one way to invest in real estate, that can be very cumbersome and pricey. Imagine if you were out buying property after property as your investment. First you probably wouldn't have the money available to do this, as pieces of property can be very expensive. Second imagine all that paperwork!

No, instead you may want to play in affordable and less problematic real estate investing. Real estate mutual funds and REITs (real estate investment trusts) are a wise way to go to this end. These are essentially portfolios of stocks, bonds, and properties that will let you buy into a piece of the real estate action without having to own a number of pieces of property yourself. This is a great way to even let the little guy have a piece of the real estate market.

When you're ready to get into the market, make sure to work through a company that knows their field. REITBuyer.com is one such company. They are the first and only online brokerage that specializes in real estate mutual funds and REITs so the information you need and the power to buy are both at your fingertips.

About The Author

Robert Shumake's mission is to inform the public about mortgage fraud and real estate scams and to provide tips on how to avoid being a victim. "Sometimes people will commit identity theft to obtain a housing loan, sell someone else's house or take over someone else's property," says Shumake. "It is my goal to inform the public on how to protect themselves from being victims of this crime."

http://reitbuyer.com

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