REITs: Real Estate Beginners Gateway. Real Estate Investment Trusts (REITs) let you invest in commercial properties like office spaces, malls, etc.โwithout actually owning them. You get a share of the rent collected, just like dividends. Globally, in the US and UK, REITs are a mature market. Stable, tax-efficient, and investor-friendly. In the US, REITs are a common tool in retirement portfolios. In the UK, theyโre exempt from corp tax on rental incomeโmassively attractive. India introduced REITs in 2014. We have a few listed, mostly from big players. The dividend payout rule (90% of taxable income) makes them a great passive income option. But adoption is still low. What needs to change? โข Better awareness โข Friendlier regulations โข More institutional participation SEBI is already pushing mutual funds to invest more in REITs. Thatโs a good start.
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