Many people are currently exploring various industries in search of the perfect career change. So how many jobs are available in real estate investment trusts?
People are interested in the real estate market but don’t want their own business. You might be a good fit working for a REIT.
REIT stands for Real Estate Investment Trusts. The real estate investment trusts (REITs) continue to experience exponential growth, as the real estate market continues to boom.
There are many opportunities for career advancement in a REIT. What are the jobs available in real-estate investment trusts? What are the roles available in REIT?
This guide will provide information about the available jobs, how these real-estate investment trusts work, as well as other details.
What Are Real Estate Investment Trusts
REITs (real estate investment trusts) are a type security that invests in income-producing real property. REITs can be an excellent way to invest in real property without being a property owner.
You are not buying real estate when you invest in a REIT. Instead, you are investing in real estate that is owned and operated by a company. The REIT will not sell the properties it acquires. Instead, it will keep them and make rent- or lease-payment profits.
How do Real Estate Investment Trusts Work?
The US Congress established the real estate investment trusts in 1960 with the goal of giving every person the opportunity to make a profit from the revenue-generating real property.
This process is similar to investing in any other sector, where an national real estate investor purchases stock and the dividend is paid by a company that sells the stock.
These are the rules and regulations that govern REITs:
- All REITs should be structured according to mutual funds, and treated as corporations by the Internal Revenue Code
- All REITs must have a large shareholder base
- All REITs must own and finance real property with a long-term investment plan
- Minimum 75% of the income of the corporation comes from real estate rent, real estate interest, and the sale of real property assets
- At least 75% must be in real estate and 95% passive income.
Are REITs a good investment?
A REIT is a great way to diversify your investment portfolio and not increase the risk. While there is always risk, investing in REITs can help you grow your wealth.
A REIT doesn’t have to pay corporate tax because of the way it works. Dividend stocks are often subject to double taxation at both the individual and corporate levels. REITs do not have to be taxed at the corporate level. This is a significant tax advantage.
REITs must pay 90% of the taxable income to shareholders. While REITs can yield a higher dividend yield than average stocks, many have yields that exceed 5%. Average stocks yield less than 2%. For anyone who is looking to earn income or reinvest, a REIT investment is a great option.
The value of real estate tends to increase over time. Many REITs are able to capitalize on this by selling their valuable properties and investing the capital elsewhere. These strategies are the reason many REITs generate returns that exceed the market.
How Do I Become A Real Estate Investment Trust Professional?
To make informed investment decisions, you must be able identify and analyze opportunities. Experience in investing, financial analysis, and accounting is a must. You will need to communicate well with investors and clients.
When you are considering becoming a professional in real estate investment trusts, there are many factors to consider. It is important to make sure this is the right career path. While there are many great benefits to working for REITs it is important that you are ready to take on the challenge.
It is important to get educated about the subject. There are many programs and courses that will teach you everything about real estate investing. Once you have completed your education, it is time to build your network. You will be able to connect with mentors and other professionals in your industry, as well as meet other professionals.
Finding a job is the final step. There are many job opportunities, so do your research to find the right company for you. You can make a great career out of REITs. With the right preparation, it can be rewarding.
Real Estate Industry Job Statistics
The United States Department of Labor continues to show a growing demand for property managers, real-estate brokers and sales agents. The average real estate agent’s annual salary is $51,220 in 2022. There are hundreds of thousands of agents and property managers across the US.
Average wages in the REIT industry are far higher than those of real estate agents. As of November 2022, the average Real Estate Investment Trust (REIT), analyst makes $108,164 annually. This is more than twice as much as real estate brokers or sales agents. The salary range for most analysts is between $76,495 to $145,071.
274,000 are employed full-time by REIT companies. Real estate investment trusts indirectly account for approximately 2.6 million full time jobs.
Anyone interested in a career as a REIT manager will be happy to hear that there is growth. This gives you plenty of opportunities for employment and a higher salary than in other areas of the realty industry.
Types Of Jobs Available In Real Estate Investment Trusts
1. Asset Management Roles
Asset Management is the job that manages the portfolio of real estate investment trusts. Asset managers must manage client assets according to agreed investment goals. Asset managers manage client portfolios by organizing, maintaining and updating them.
Asset managers must be able to work with many other teams. Asset managers can work with finance, accounting, development and finance to achieve results. They must also ensure compliance with SEC, REIT regulations and Sarbanes Oxley.
It is not uncommon to work in property management or acquisitions and then move on to manage residential or commercial properties. Anyone with the right skills can also apply for an asset management position.
2. Investor Relationship Roles
Investor Relations is responsible for managing all communications with REIT shareholders. This role is well-paid and suitable for those with accounting or finance backgrounds.
The investor relations team will arrange the annual meeting, meeting documents, and proxy statements. All of this must be done in compliance with the SEC regulations. This role would suit anyone with an accounting or finance background.
3. Development Roles
Development is responsible to build new projects. This role is perfect for those looking for project management work. This role requires you to collaborate with others in order to finance development.
The REIT industry is highly sought-after for its development jobs. They pay well, are challenging and are highly valued.
4. Acquisition Roles
Real estate investment trusts have a variety of acquisition jobs. These include sourcing investment opportunities. These roles ensure that deals are done.
These roles are also in REITs, and they pay well. This work is heavily finance-related, and anyone who has a background in marketing, finance, or capital markets will be able to do it.
5. Property Management Roles
Property managers oversee the management of a property, including leasing, maintenance, collections and any other duties as needed.
You don’t need to meet any minimum requirements to become a property manager. The ideal candidate is someone who can manage multiple situations and has good project management skills.
It is often a great chance to start as a property manager at a REIT. There are many opportunities for career advancement, especially if there are other roles available within the REIT.
How Many Jobs Are Available in Real Estate Investment Trusts
A large number of REITs (real estate investment trusts) are available around the world. These trusts hold an enormous array of properties, from apartments to hospitals to data centres to a combined equity capitalization of $1 trillion.
There are over 225 registered real estate investment trusts in the United States (REITs), which trade on major stock exchanges.
More than 1,100 REITs filed tax returns according to the IRS. Most REITs, therefore, are privately owned.
Is Reale Estate Investment Trusts a Good Career Path?
The average annual salary of REITs is $75,000. This makes them a great choice for those with financial, real-estate, and research skills looking for steady career growth.
The industry of real estate investment trusts is already large and growing. A REIT requires that you follow strict reporting and regulation guidelines. A lot of jobs in ommercial real estate investment funds require applicants to have an accounting or finance background.
There are other roles that do not have these restrictions. It’s possible to advance to other positions if you are working for a REIT company. Visit real estate investment website HERE.