Real Estate Investment Trust for passive income: A Smarter Way to Invest in Real Estate
By : Whitehat Realty
16 May 2025
FAQs
FAQs
A REIT, or Real Estate Investment Trust, is like a mutual fund for real estate. It collects money from many investors and buys big commercial properties like offices and malls. You earn rental income and property growth without owning property yourself.
Not much! Unlike buying a flat or shop, you can start investing in REITs with just a few thousand rupees. It’s an affordable way to get into real estate without huge loans or down payments.
Yes. REITs earn rent from their properties and share most of that income with investors as dividends. If you’re looking for steady passive income without the headache of managing tenants, REITs are a great option.
Absolutely. REIT units are listed on stock exchanges, just like shares. You can buy or sell them whenever you want, without waiting months like you would when selling a property.
In India, REITs are strictly regulated by SEBI. They must invest mainly in commercial real estate and follow clear rules to protect investors. While all investments carry some risk, REITs offer a safer, more transparent way to invest in property.