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What Is REIT?

Definition and plain-English explanation of "REIT"

REIT — Strategies illustration

A Real Estate Investment Trust (REIT) is a company that owns or finances income-producing real estate, such as apartments, offices, malls, or warehouses. REITs trade like stocks and are legally required to pay out at least 90% of taxable income as dividends, making them a popular way to earn real estate income without buying property directly.

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