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Real estate investment trust (REIT)

A real estate investment trust is a company that owns and typically operates income-producing real estate or related assets.

By Betta Signals Research Desk · Reviewed October 24, 2026

Plain-English definition: A real estate investment trust is a company that owns and typically operates income-producing real estate or related assets.[1]

How the term is used

Publicly traded REITs trade on exchanges, while non-traded REITs do not. The two can differ substantially in liquidity, valuation visibility, fees, and redemption options.[1]

What to check before relying on it

Identify the REIT type, property or loan exposure, leverage, occupancy or credit measures, share structure, distribution coverage, and trading liquidity.

Example

Funds from operations may help analyze an equity REIT because property depreciation affects accounting earnings, but FFO is not cash and definitions still need checking.

DistributionDividend yieldStock

Research last reviewed: October 24, 2026. This definition is educational and does not evaluate a particular security.

Sources

  1. Investor.gov: Real Estate Investment Trusts (REITs) — REIT structure, traded and non-traded REITs, distributions, fees, and risks. Accessed October 24, 2026.