Investing in real estate has long been seen as a smart strategy for building wealth. However, traditional real estate investing—like purchasing rental properties or commercial buildings—often requires significant capital and management know-how. If you’re looking to enjoy the benefits of real estate without directly owning property, Real Estate Investment Trusts (REITs) offer an attractive alternative. But with so many options available, a common question arises: where to invest in real estate investment trust?
In this comprehensive guide, we’ll explore the best sectors, locations, and investment strategies for REITs, empowering both beginners and seasoned investors to make informed decisions.
What Is a Real Estate Investment Trust (REIT)?
A REIT is a company that owns, operates, or finances income-producing real estate across a range of property sectors. By law, REITs must pay out at least 90% of their taxable income as dividends, making them a popular choice for income-seeking investors.
REITs are traded on major stock exchanges, making it easy for anyone to invest in real estate without the hassles of property management or large capital requirements.
Why Invest in REITs?
Before diving into where to invest in real estate investment trust, let’s quickly review why REITs might belong in your portfolio:
- Accessibility: You can start with minimal capital.
- Liquidity: Public REIT shares can be bought and sold like stocks.
- Diversification: Exposure to different kinds of properties and markets.
- Income Potential: Regular dividends and potential price appreciation.
- Hands-Off Investment: No property maintenance or tenant management needed.
Where to Invest in Real Estate Investment Trust: Top Options for 2025
1. Stock Market-Listed (Publicly Traded) REITs
The most popular and accessible way to invest in REITs is through the stock market. Dozens of REITs are listed on major exchanges like the New York Stock Exchange (NYSE) and the NASDAQ.
Popular U.S. REITs:
- Prologis (PLD): Global leader in logistics and industrial warehouses—a sector booming thanks to e-commerce.
- Equinix (EQIX): Specializes in data centers and digital infrastructure, benefiting from cloud growth.
- Public Storage (PSA): Dominates the self-storage sector, which remains resilient in both good and bad economies.
- Realty Income (O): Retail and commercial properties, with the distinction of paying monthly dividends.
How to Invest:
- Open an online brokerage account (Fidelity, Charles Schwab, Robinhood, E*TRADE, etc.)
- Search and buy shares of your chosen REIT (by ticker symbol).
2. REIT Exchange-Traded Funds (ETFs)
If you’re unsure which individual companies to pick or want instant diversification, REIT ETFs are an efficient choice. These funds hold a basket of REITs, spreading your risk across multiple sectors and regions.
Top REIT ETFs:
- Vanguard Real Estate ETF (VNQ)
- Schwab U.S. REIT ETF (SCHH)
- iShares U.S. Real Estate ETF (IYR)
Investors simply purchase shares of the ETF through their brokerage, just like any stock.
3. International REITs
Don’t limit yourself to the U.S. REIT market—some of the best opportunities exist overseas. Top markets include:
- Singapore: Singapore-listed REITs (S-REITs) are famous for their transparency and juicy yields.
- Australia: Known for strong, well-managed property trusts.
- Europe: REITs in Germany, France, and the UK, such as Unibail-Rodamco-Westfield and Segro, offer regional diversification.
You can buy international REITs directly via global brokerage accounts or invest in international REIT ETFs such as Vanguard Global ex-U.S. Real Estate ETF (VNQI).
4. Private and Non-Traded REITs
Private and non-traded REITs aren’t listed on public exchanges and can sometimes offer higher returns and lower volatility, but often with less liquidity and higher fees. These are best suited for more experienced investors and are typically accessible via brokers, financial advisors, or specialized investment platforms (like Fundrise, CrowdStreet, and RealtyMogul).
Where to Invest in Real Estate Investment Trust by Sector
REITs specialize in various sectors. Here are some top-performing sectors to consider:
- Industrial/Logistics: Prologis, Duke Realty. Strong demand due to e-commerce growth.
- Data Centers: Equinix, Digital Realty. Booming with cloud computing.
- Healthcare: Welltower, Ventas. Aging population drives demand for hospitals and senior living.
- Residential: AvalonBay, Equity Residential. Urbanization and housing needs support this sector.
- Retail: Simon Property Group, Realty Income. Focus on high-quality properties with reputable tenants.
Where to Invest in Real Estate Investment Trust by Location
United States
The U.S. remains the world’s largest and most mature REIT market, offering everything from retail and office buildings to digital infrastructure.
Asia-Pacific
Singapore, Australia, and Japan lead in transparency and innovation, with attractive yields and growth.
Europe
The UK, Germany, France, and the Netherlands provide strong REIT options, particularly in logistics, commercial, and retail.
How Much Should You Invest in REITs?
- As little as $10–$100: Through fractional shares or ETFs.
- Standard stock purchases: Buy as many shares as you like.
- Diversification tip: REITs can make up 5–20% of a balanced long-term portfolio, depending on your risk tolerance.
Conclusion: Where to Invest in Real Estate Investment Trust (REIT) in 2025
Whether you’re seeking growth, income, or diversification, there are countless ways and places where to invest in real estate investment trust—from public U.S. REITs and ETFs to international markets and sector-focused trusts. For most investors, starting with a U.S. REIT ETF like VNQ or SCHH is the simplest path, while those seeking diversification can look internationally or at specialized sectors like data centers or healthcare.
Key Takeaways:
- Open a brokerage account for access to U.S. and international REITs.
- Consider ETFs for diversification with a single purchase.
- Explore global and sector-specific REITs for bigger opportunities.
- Assess your goals, risk tolerance, and desired level of involvement.
Start your REIT investment journey today and watch your real estate portfolio grow—no landlord experience or large capital needed!
Ready to invest in REITs?
Compare brokerage platforms, begin your research, and invest wisely today! For more tips and up-to-date rankings of the best REITs, explore our other real estate investment guides.