Is Real Estate Investment Trusts a Good Career Path?

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You may have wondered at some point if real estate investment trusts is a good career path if you have been nursing the dream to end up in this field.

While there are tons of opportunities in the labor market in the United States, one opportunity you shouldn’t miss is a career in real estate investment trusts.

Hence, the need to equip you on all there is to know about real estate investment trusts (REITs).

At the end of this article, you will realize why real estate investment trusts is a good career path; as well as the benefits and opportunities that abound.

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What is Real Estate Investment Trust?

A real estate investment trust (REIT) is a company with ownership, operations, or funds income-producing real estate.

This means that a real estate investment trust combines the funds of several investors.

People may now earn from real estate investments without being involved in key components such as property ownership, maintenance, or financing.

What Qualifies As REIT?

A company must be able to follow through with the provisions in the IRC (Internal Revenue Code).

Some of the requirements to be met in order to qualify as a REIT are:

  • Investing no less than 75% of total assets in real estate, cash, or US Treasury bonds
  • Being a taxable entity such as a company
  • Holding no more than 50% of its shares in the hands of five or fewer persons
  • Paying a minimum of 90% of taxable revenue in shareholder dividends each year
  • Being administered by a board of directors or trustees

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Types of Real Estate Investment Trusts

There are different types of (REITs) you might be interested in. You can consider the following types:

Medical Real Estate Investment Trusts

Medical REITs engage in a wide range of healthcare projects and infrastructure, such as research institutes, healthcare buildings, multi-specialty clinics, and so on.

With the significance of quality of life, there will always be a demand in hospitals and other medical facilities.

Hence, this type of REIT will always generate returns.

Domestic Real Estate Investment Trust

Part of the focus of this type of REIT focuses on building houses and large-scale community complexes.

Debt Real Estate Investment

These are companies or organizations that provide loans to people who wish to acquire real estate.


Similar to lending, the buyer is granted debts in exchange for repaying the loan interest.

Merchandise Real Estate Investment Trust

REITs distribute loans to purchasers and collect profits from retail businesses and market operators.

Equitability Real Estate Investment Trusts

Real estate investment trust equally invests in residential property, hotels, and apartments.


They create, oversee, and build the hub if the application is approved.

Is Real Estate Investment Trust a Good Career Path?

Of course! Real estate investment is a good career path. While investing in REIT is a great career, you should also know that real state investment trust is a broad sector.

Hence, you have a lot of career options to pick from. The steady and continuous growth of this sector makes it a great career path.

Additionally, you can pursue a career in REIT irrespective of your initial degree, which points towards career diversity.

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What are the Benefits of Pursuing a Career in Real Estate Investment Trusts?

For you to further determine if real estate investment trusts are a good career path, you need to consider the benefits you stand to gain from getting a job in this sector.

The following benefits are some of the reasons why real estate investment trusts are a good career path:

Flexible work hours

It is no secret that most persons cringe at the sound of 9 to 5 jobs. Landing a job in real estate investment trusts eliminates the 9 to 5 issue.

Pursuing a career in REIT affords you the opportunity to work with a flexible routine.

With a job in REIT, you are at liberty to fix meetings and tours that most suit you.

In other words, you have more control of your time than those with stiff work hours.

You determine your earnings

If there’s one thing you should know about the compensation in real estate investment trusts, it is the fact that these professionals don’t earn a monthly income.

They generate their earnings through commissions. Therefore, your ability to close deals and contribute to sales and profit determines how much you would earn.

Terms of employment

You work as a contract employee and operate your business according to your own set of rules and preferences.

Do Real Estate Investment Trusts Pay a Monthly Dividend?

The answer to this is yes! However, the monthly dividend basically comes from residential and diversified real estate investments.

According to reports, REITs, like traditional rental (landlord-tenant) real estate investment systems, have an average return of 10.5 percent.

In the meantime, the investment of REITs managers often exceed the average annual 10.5% return.

What Degree Do You Need To Work in Real Estate Investment Trust?

While considering a future in real estate investment trusts, there are degrees in certain fields you ought to bag to make this happen.

Bagging these degrees will adequately prepare you and jumpstart your career in REIT,

Some of these degrees include:

  • Real estate
  • Accounting
  • Finance
  • Statistics

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Required Skills for Real Estate Investment Trust

As with other fields, there are skills you need to possess in order to make a smooth sail in REIT.

Equipping yourself with these skills will also ensure productivity in this field.

The following are some of the necessary skills in REIT:

  • Great communication skills (written and verbal)
  • Data analytical skills
  • Technical skills
  • Financial skills

What are the Job Prospects for Real Estate Investment Trust?

The job prospects for real estate investment trust look great.

Real estate investment trust (REIT) is a steadily growing section of the American financial industry.

According to statistics, the market value of REITs in the United States is approximately $1.25 trillion, making it a good job prospect.

How Much Can You Make in This Field?

The salary of professionals in the real estate sector varies by profession. In other words, the salary one earns in one profession will differ from the salary in another profession.

For instance, while the average salary of a property manager in the United States is $105,209, a real estate attorney earns an average annual salary of $84,000.

This clearly shows that there is no specific salary you can make in this field.

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7 Highly Paid Real Estate Investment Trust Career Paths for Graduates

Although employees in the real estate sector pay well, there are some professions in this field that pay the most.

You might want to have this in mind when scouting for jobs in real estate investment trusts.

Some of the highly paid jobs in real estate investment trust:

Property Manager

A property manager is in charge of managing real estate assets. In addition, he directs the acquisition, sale, and leasing of portfolio assets.

Property managers give information on running costs as well as the annual budget for the properties.

Salary.com puts the annual average salary of a property manager at $105,266. Property managers also earn between $87,206 and $121,750.

Source: salary.com

Real Estate Attorney

This attorney is an important asset in the real estate sector. A real estate attorney drafts or reviews the documentation required for the acquisition or sale of real estate and represents the buyer or seller during closing.

According to zippia.com, real estate attorneys earn an average annual salary of $98,016.

The annual salary of real estate attorneys also falls between $67,000 and $143,000.

Also, this attorney earns an average annual pay of $47.12. The hourly pay for a real estate attorney ranges from $22 to $75.

Source: zippia.com

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Real Estate Developer

A real estate developer is a person who constructs new developments or renovates old ones, advertises them, and sells them.


This developer also acquires land, organizes it for development, and controls the building and selling processes.

Real estate developers can either choose to be self-employed or end up working with a real estate company.

The average annual salary of a real estate developer is $93,510, according to zippia.com. This salary also falls between $66,000 and $131,000.

Additionally, they earn an average hourly rate of $44.96. The hourly pay for a real estate developer ranges from $23 to $60.

Source: zippia.com

Real Estate Appraiser

A real estate property appraiser is an expert who evaluates the market worth of real estate assets and property.

In other words, a real estate property appraiser provides a professional judgment on a property’s value and plays an important part in the home-buying process.

According to payscale.com, a real estate appraiser makes an annual average salary $61,551. The salary of a real estate appraiser earns between $39,000 and $105,000.

Source: payscale.com

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Real Estate Analyst

Real estate analysts oversee the real estate investments of businesses with large estate holdings.


They continuously watch market movements and develop models to forecast future events based on market patterns.

These analysts make an average annual salary of $71,206, according to zippia.com. Real estate analysts earn from $44,000 to $113,000.

In addition, they earn an average pay of $34.23. The hourly pay of these analysts also ranges from $19 to $44.

Source: zippia.com

Real Estate Broker

A real estate broker is a licensed real estate agent. This agent uses his knowledge in aiding individuals with real estate deals.
He also assists clients to sell or purchasing real estate.

According to payscale.com, a real estate broker earns an average annual salary of $61,314.

In addition, the annual salary of a real estate broker ranges from $25,000 to $108,000.

Source: payscale.com

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Real Estate Agent

This is a licensed real estate professional who represents buyers and sellers during transactions.

In other words, they bring the seller and buyer and equally represent them in handling deals.

Real estate agents primarily earn based on commissions from the deals they close. This commission comes from the purchase price of the property they close.

Real estate agents in the United States earn an annual average salary of $49,299, according to payscale.com.

These agents also make between $24,000 and $101,000 annually.

Source: payscale.com

FAQs

What type of real estate investments makes the most money?

Real estate wholesaling makes the most money. Like fix-and-flips, this real estate investment strategy can be used on both residential and commercial properties.

Is real estate investing hard?

Investing in real estate is hard. Real estate investing generally involves quality time and effort on your path.

While it can be a passive job, in the long run, it is usually demanding or more like a full-time job

Is real estate a good business?

Today, one of the most promising sectors for starting a business is the real estate market.


Yes, this industry is thriving at an incredible speed, attracting people from all walks of life to set up their own real estate businesses.

How long does it take to be successful at real estate investing?

Becoming successful at real estate investing takes a while. It could take a year or more before you buy your first home.

On the other hand, it could happen sooner, and purchasing a home is one way to make it happen.

However, you need to be patient if things don’t fall into place as you expect.

Can owning real estate make you rich?

Buying real estate has been one of the best ways to generate wealth for decades.

Although, there have been real estate boom-and-bust cycles in recent decades, owning real estate has made thousands of people wealthy across the country.

Do you need a license to be a real estate investor?

You don’t need a license in order to become successful as a real estate investor.

Although, getting a real estate license is a good move.

Conclusion

Now we have established the fact that real estate investment trusts is a good career path, its up to you to make a move.

With the amazing benefits and career opportunities at your disposal, it will be a shame for you to give up your dreams on REIT.

However, while you might get tempted by the wealth that lies in real estate investment trusts, remember, REITs are not a career path for everyone.

Therefore, it is advisable to center your attention on fields where your interests and abilities lie.

Good luck on your quest!

We hope you found this article useful on REIT. For comments or feedback, kindly reach us through the comment section or @ makedailyprofit.com.

References

  • kamerpower.com – Top 12 Paying Jobs in Real Estate Investment Trusts 2022
  • vastlearners.com – Is Real Estate Investment Trusts (REITs) A Good Career Path?

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