Friday, May 1, 2009

REITs and Real Estate Mutual Funds – Your Chance to Be Donald Trump by: Robert Shumake

What investor doesn't look at success stories like Donald Trump and think ' Wow, I would love to be like that guy and have money in the bank not to mention an amazing investment portfolio of stocks, bonds, mutual funds and everything else being traded on the stock market.'

Just like many of the other richest people in the world, Trump had to work his way up to being the big dog in real estate he is today. It was not just handed to him on a silver platter.

So, where does one start? Well, Donald Trump chose real estate as his avenue to riches. Why? Because he understood that real estate is a smart market to put your money in. There are a few reasons for this. First, real estate is always going to be there. Sure the market can fluctuate from time to time (any market can) but at the end of the day real estate is backed by something tangible, real property, and it will always have value.

As you begin your career into real estate investing, there are a few avenues you may want to try. You could choose an individual stock or bond to invest in or you could spread out your money buy buying into REITs and real estate mutual funds.

Buying an individual stock has some risk. What if that stock suddenly comes on hard times? It will take all of your money with it. That is something no investor likes to think about. Instead, why not focus on a more safe option, REITs and real estate mutual funds. The reason these are safer is because either one you buy into is like buying into a whole portfolio of stocks and bonds. Most REITs are made up of 10, 20 or more stocks and bonds in the real estate arena. So, your one share in the REIT will translate to dozens of shares of stocks.

Now you just have to decide which one to purchase. There are plenty of REITs and real estate mutual funds out there. That means you need to really sort through all of the offerings and come up with one that is best for you. A great place to get the research and information you need to make this decision is REITBuyer.com. REITBuyer.com is the first and only online brokerage that specializes in REITs and real estate mutual funds. This means all of their focus is on the market you want to be investing in. You will be surrounded by the tools and information you need to make wise decisions when investing.

The final thing to keep in mind is reinvestment. While your initial investment may make money, the key to really making money in investments is keeping your investment base growing. That means when you make money and get a dividend check you should not splurge with it. Instead put it back into your investment portfolio and let it continue to work for you.
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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